S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                          831
                              2015-2016 Regular Sessions
                                 I N  A S S E M B L Y
                                    January 7, 2015
                                      ___________
       Introduced by M. of A. CAHILL -- read once and referred to the Committee
         on Education
       AN  ACT  to  provide for the payment of the debts and obligations of the
         West Park union free school district in the  town  of  Esopus  in  the
         county of Ulster; to amend chapter 566 of the laws of 1967 relating to
         providing  for  the  apportionment  of funds to certain special school
         districts, in relation to eliminating  references  to  the  West  Park
         union  free  school district; and to repeal chapter 744 of the laws of
         1973 relating to establishing and constituting  as  a  separate  union
         free  school  district  certain territory in the town of Esopus in the
         county of Ulster, in relation thereto
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.  Chapter  744 of the laws of 1973 relating to establishing
    2  and constituting as a separate union free school district certain terri-
    3  tory in the town of Esopus in the county of Ulster is REPEALED.
    4    S 2. Section 1 of chapter 566 of the laws of 1967, relating to provid-
    5  ing for the apportionment of funds to certain special school  districts,
    6  as  amended  by section 6 of chapter 446 of the laws of 2014, is amended
    7  to read as follows:
    8    Section 1. Notwithstanding the provisions of section 3602  and  3602-b
    9  of  the  education  law, and in lieu of any apportionments to which such
   10  school districts might otherwise be  entitled  under  such  sections  or
   11  under  any  other  provisions  of  law, the commissioner of education is
   12  hereby authorized to include the following school districts in the annu-
   13  al apportionment of  public  moneys  and  such  apportionment  shall  be
   14  computed  in  accordance  with the provisions of sections two, three and
   15  four of this act: union free school district number twenty-seven of  the
   16  town of Dryden, Tompkins county; union free school district number eight
   17  of  the  town  of  Canaan,  Columbia county; union free school districts
   18  numbers ten, eleven and twelve of the town  of  Greenburgh,  Westchester
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD06341-01-5
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    1  county;  union  free school districts numbers three and four of the town
    2  of Mount Pleasant, Westchester county; union free school district number
    3  six,  Blythedale,  town  of  Mount  Pleasant,  Westchester  county;  and
    4  Randolph  Children's  Home  union  free  school  district of the town of
    5  Randolph, Cattaraugus county; [West  Park  union  free  school  district
    6  number  two,  town  of  Esopus,  Ulster  county;] common school district
    7  number seven of the town of Oyster  Bay,  Nassau  county;  the  Hopevale
    8  union free school district, town of Hamburg, Erie county; and union free
    9  school district number three, town of Riverhead, Suffolk county.
   10    S 3. Section 1 of chapter 566 of the laws of 1967, relating to provid-
   11  ing  for the apportionment of funds to certain special school districts,
   12  as amended by section 7 of chapter 446 of the laws of 2014,  is  amended
   13  to read as follows:
   14    Section  1.  Notwithstanding the provisions of section 3602 and 3602-b
   15  of the education law, and in lieu of any apportionments  to  which  such
   16  school  districts  might  otherwise  be  entitled under such sections or
   17  under any other provisions of law,  the  commissioner  of  education  is
   18  hereby authorized to include the following school districts in the annu-
   19  al  apportionment  of  public  moneys  and  such  apportionment shall be
   20  computed in accordance with the provisions of sections  two,  three  and
   21  four  of this act: union free school district number twenty-seven of the
   22  town of Dryden, Tompkins county; union free school district number eight
   23  of the town of Canaan, Columbia  county;  union  free  school  districts
   24  numbers  ten,  eleven  and twelve of the town of Greenburgh, Westchester
   25  county; union free school districts numbers three and four of  the  town
   26  of Mount Pleasant, Westchester county; union free school district number
   27  six,  Blythedale,  town  of  Mount  Pleasant,  Westchester  county;  and
   28  Randolph Children's Home union free  school  district  of  the  town  of
   29  Randolph,  Cattaraugus  county;  [West  Park  union free school district
   30  number two, town of  Esopus,  Ulster  county;]  common  school  district
   31  number  seven  of  the town of Oyster Bay, Nassau county; and union free
   32  school district number three, town of Riverhead, Suffolk county.
   33    S 4. Any funds remaining in the possession of the West Park union free
   34  school district number two, after all of its debts and obligations  have
   35  been  paid,  shall  be  paid  over  to each social services district and
   36  school district having resident children served by the West  Park  union
   37  free school district number two in the 2010-2011 school year in the same
   38  proportion as the number of students placed by each such social services
   39  district  or  school  district  and  served  by the West Park union free
   40  school district number two in the 2010-2011 school  year  bears  to  the
   41  total  number  of  students  served  by  the West Park union free school
   42  district number two in the 2010-2011 school year. Though the  West  Park
   43  union  free school district number two be dissolved, section 1518 of the
   44  education law shall be deemed to apply, and it shall continue  to  exist
   45  in  law  for the purpose of providing for and paying all its just debts;
   46  provided that the board of cooperative educational services of the  sole
   47  supervisory  district  of  the  county of Ulster (Ulster BOCES) shall be
   48  authorized to act on behalf of the school district pursuant  to  section
   49  four of this act.
   50    S  5.    Notwithstanding  any  other provision of law to the contrary,
   51  during any period in which there is no duly constituted board of  educa-
   52  tion  of  the  West  Park  union free school district number two, Ulster
   53  BOCES shall be authorized to take any actions on behalf  of  the  school
   54  district  that  are  reasonably  necessary to complete the closedown and
   55  dissolution of the district that the  board  of  education  would  have,
   56  including  but  not  limited  to,  the  power  to  enter  contracts, pay
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    1  outstanding debts for reimbursable costs incurred for closedown  of  the
    2  school  district  under  this  section, provided however that the Ulster
    3  BOCES shall not pay for outstanding debts using its own funds and  shall
    4  not  be  liable for any outstanding debt incurred by the West Park union
    5  free school district number two, town of  Esopus,  Ulster  county,  sell
    6  school  district property if any, with approval of the commissioner, and
    7  to bill for and receive any reimbursement  due  and  owing  for  tuition
    8  pursuant  to  article  81 of the education law or any other provision of
    9  law for services rendered to students on or before the  school  district
   10  ceased  operation  on  February 28, 2011 and reimbursement for closedown
   11  costs determined pursuant to this section. The Ulster BOCES shall review
   12  the business records of  the  school  district,  including  any  claims,
   13  invoices and bills submitted to the school district during any period in
   14  which  there  was no duly constituted board of education and shall audit
   15  any expenses or claims, based on invoices, bills or other documentation,
   16  that were not included in an audited financial  statement  or  financial
   17  reports submitted to the department by the school district, to determine
   18  if  such expenses or claims are duplicative of claims previously submit-
   19  ted for reimbursement  and,  if  not,  whether  they  are  supported  by
   20  documentation  that  would  substantiate  a  claim  that the expense was
   21  incurred by the school district or is otherwise an outstanding  debt  of
   22  the  school  district. Such audit may be conducted by the claims auditor
   23  of the BOCES or, with the approval of the commissioner, by an  independ-
   24  ent auditor retained by the BOCES. The BOCES shall report to the depart-
   25  ment  any  audited claims that were not included in an audited financial
   26  statement or financial report, together with the documentation  support-
   27  ing  such  claims. Reimbursement for costs incurred for closedown of the
   28  school district, shall include only: (i) any allowable costs approved by
   29  the commissioner that were included in the audited  financial  statement
   30  and  financial  reports  submitted  by the school district in conformity
   31  with the financial reporting  requirements;  (ii)  additional  allowable
   32  costs,  incurred in the 2010-2011 school year or subsequently during the
   33  closedown period, that are approved by the  commissioner  in  accordance
   34  with  the  reimbursable  cost  manual in effect for the 2010-2011 school
   35  year and relate to claims that were audited by the Ulster BOCES pursuant
   36  to this section and are based on  supporting  documentation  that  would
   37  substantiate  a  claim  that  the  expense  was  incurred  by the school
   38  district and not duplicative of claims previously reimbursed; and  (iii)
   39  the  actual  documented  cost  to  the  Ulster BOCES of carrying out its
   40  duties under the provisions of this section to  close  down  the  school
   41  district,  as  approved  by the commissioner based on documentation that
   42  such costs were necessary to carry out such duties, shall be included in
   43  a closedown rate payable by each  school  district  or  social  services
   44  district  responsible for tuition for students attending the special act
   45  school district in the 2010-2011 school year. Notwithstanding any  other
   46  provision  of  law,  rule  or regulation to the contrary, such closedown
   47  rate may be payable in three installments which shall  be  as  equal  as
   48  practicable,  over  three  consecutive years after the closedown rate is
   49  established; provided that any reimbursement costs due to  Ulster  BOCES
   50  for carrying out its administrative duties under this act may be paid in
   51  the  first  installment.  In  such  capacity,  such board of cooperative
   52  educational services and its officers and employees shall be entitled to
   53  defense and indemnification by the state pursuant to section 18  of  the
   54  public  officers law.   Services provided by the Ulster BOCES under this
   55  act shall not result in any additional costs being imposed on  component
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    1  school  districts,  except  those  costs  imposed  on a component school
    2  district pursuant to a closedown rate calculated under this section.
    3    S  6.  The  records of the West Park union free school district number
    4  two, shall be forwarded to the district superintendent of schools of the
    5  Ulster BOCES for preservation. Notwithstanding any  other  provision  of
    6  law  to  the contrary, such records shall be deemed to be records of the
    7  Ulster BOCES for purposes of the  management  and  disposition  of  such
    8  records  and  local  government  records  management  grants pursuant to
    9  section 57.35 of the arts and cultural affairs law.
   10    S 7. The territory comprising the West Park union free school district
   11  number two, town of Esopus, county of Ulster, shall revert to and become
   12  a part of the Highland Central school district in the county of Ulster.
   13    S 8. That certain Agency Lease dated August 12, 1998 between  Mission-
   14  ary  Sisters  of the Sacred Heart, a New York not-for-profit corporation
   15  and the West Park union free school district number two is hereby termi-
   16  nated.
   17    S 9. This act shall take effect  immediately;  provided  that  section
   18  three  of  this  act  shall take effect on the same date and in the same
   19  manner as section 5 of chapter 213 of the  laws  of  2011,  as  amended,
   20  takes effect.