2023 New York Laws › STF - State Finance › Article 4-A - State Assistance to Local Government › 54 - Per Capita State Aid for the Support of Local Government.

§  54.  Per  capita  state aid for the support of local government. 1.
Definitions. When used  in  this  section,  unless  otherwise  expressly
stated:
a.  (1)  "Population"  of  a  county,  city, town or village means the
population as shown by the latest  preceding  decennial  federal  census
completed and published as a final population count by the United States
bureau of the census preceding the commencement of the state fiscal year
in which the apportionment and payment are made, or a special population
census  certified  to  the  state  comptroller pursuant to this section,
whichever  is  later.  The  population  of  a  town  shall  include  the
population  of any village or villages or parts thereof within such town
but shall exclude the population of any city or part thereof within such
town.
(2) The population of  a  town  outside  village  area  shall  be  the
population  of  the  town  minus  the population of the area of the town
located in any village or villages for the same year and  shall  exclude
persons residing within the boundaries of a military post or reservation
under  the  jurisdiction  of  the  United States to the extent that they
exceed twenty-five percent of the  population  of  a  town  outside  the
village area.
(3)  Where there is an alteration in the boundaries of a county, city,
village, town or town outside village  or  a  municipality  is  created,
population  shall  be  determined in accordance with subdivision four of
this section.
(4) Population excludes the reservation and school  Indian  population
and  incarcerated  individuals  of  institutions  under  the  direction,
supervision or control  of  the  state  department  of  corrections  and
community supervision and the state department of mental hygiene and the
incarcerated  individuals  of state institutions operated and maintained
by the office of children and family services.
(5) Where the director of the  United  States  bureau  of  the  census
certifies  that  the  population  of a county, city, town or village, as
shown by such latest preceding decennial or  special  population  census
should  be  corrected  because  it,  (a)  excludes a specified number of
persons who were actually residing in such county, city, town or village
at the time of such census,  or  (b)  includes  a  specified  number  of
persons  who  were  not  actually residing in such county, city, town or
village at the time of such census, a copy of such certificate shall  be
filed  by  the  locality or state agency receiving such certificate with
the state comptroller within ten days of receipt. In the case of a  gain
in  population, the specified number shall be added to the population on
the basis of which moneys are apportioned and paid in state fiscal years
subsequent to  the  date  such  certificate  is  filed  with  the  state
comptroller.  In  the case of a loss in population, the specified number
shall be subtracted from the population of such county,  city,  town  or
village  on the basis of which moneys are apportioned and paid under the
provisions of this section commencing with the first state  fiscal  year
beginning  not  less  than six months after the date such certificate is
required to be filed with the state comptroller.
b.  "Special  population  census"  or  "special  census"   means   the
population  of  a  county, city, town or village certified by the United
States bureau of the  census  as  of  a  date  not  earlier  than  March
fifteenth and not later than May fifteenth in any year subsequent to the
latest  federal  decennial  census, which shall have been filed with the
state comptroller and not subsequently withdrawn, in accordance with the
provisions of subdivision three of this section.
c. "Full value" of a county, city, village or town  means  the  amount
which  results  from  dividing  the  total  assessed  valuation  of real

property taxable by it on its assessment roll by the state  equalization
rate  established  by  the commissioner of taxation and finance for such
roll except as otherwise provided in subdivision four of  this  section.
The  assessment  roll of a county shall be the aggregate of the assessed
valuations taxable for county purposes on the assessment  rolls  of  the
cities and towns therein and the state equalization rate applied thereto
shall  be  the county-wide rate established by the commissioner for such
roll in any case where a regular or special census for all  or  part  of
the  county  taken in nineteen hundred sixty-six or a later year is used
in the county aid calculation.
In the case of the city of New York, the city-wide state  equalization
rate established pursuant to article twelve of the real property tax law
shall  be used except that, if no such rate has been established for the
roll used in the calculation, the equalization rate shall be computed as
provided in subdivision one of section  four  hundred  eighty-nine-l  of
such law.
"Full  value"  of a town outside village means the full value obtained
by applying the state equalization rate of  the  town  to  the  assessed
value  of the unincorporated area of the town calculated on the basis of
the town assessment roll, except that where  subdivision  four  of  this
section  applies  town  outside  village  full value shall be calculated
under the provisions of such subdivision. Where the full value of a town
includes property located within a city, the town outside  village  full
value shall be calculated as if such city was a village.
The  assessment roll used in calculating aid for a city, village, town
or town outside village under this section shall be the assessment  roll
completed in the calendar year preceding the calendar year of the census
used in the calculation.
The  assessment  roll  used in calculating aid for a county under this
section shall be  the  county-wide  assessment  roll  completed  in  the
calendar  year preceding the calendar year of the latest census used for
all or part of the county in such calculation.
Where full value is authorized to be estimated pursuant to subdivision
four of this section such estimated full value shall be used.
An assessment roll shall be deemed to have been completed on the  last
date on which such roll was authorized by law to be finally completed.
d.  "Personal  income" of a county means the estimate of the income of
the residents of the county, certified by the state  tax  commission  in
accordance  with  the provisions of this paragraph, for the taxable year
preceding the year of the latest population census  for  the  county  or
part  thereof  to  be  used in calculating per capita aid payments under
this section.
The commissioner of taxation and  finance  shall  prepare  by  October
fifteenth  of each year, a certified report setting forth an estimate of
the total New York adjusted gross income,  as  defined  in  section  six
hundred twelve of the tax law, of all residents of the state and of each
county based on an examination of personal income tax returns filed with
the  state  department of taxation and finance for the preceding taxable
year under article twenty-two of the tax law.
e. "Full value per capita" of a county, city, town,  village  or  town
outside  village  means  the  full  value  of such municipality or area,
divided by the population thereof.
f. "Personal income per capita" of a county means the personal  income
of the county divided by the population of the county.
g.  "Average of full value and personal income per capita" of a county
means the average of the full value per capita and personal  income  per
capita  of  the  county  determined as provided by paragraphs e and f of
this subdivision for payments to the county during the state fiscal year

except  that  the  amount  for  personal  income  per  capita  used   in
calculating  such  average  shall be multiplied by the ratio computed to
the sixth decimal point of the aggregate  full  value  of  taxable  real
property  in  the state to the aggregate personal income of residents of
the state, for the calendar year preceding the year of the latest census
to be used in the calculation of per capita aid payable to the county in
such state fiscal year. In computing such  ratio  full  value  shall  be
calculated upon the basis of assessment rolls completed in such calendar
year  and  personal  income shall be the estimate filed by the state tax
commission pursuant to paragraph d of  this  subdivision  for  the  same
calendar year.
h. "County", for the purposes of computation and payment of per capita
aid  to  counties  under this section, means each county located outside
the city of New York and the city of New York.
i. "Town outside village" or "town outside  village  area"  means  the
area  of  any  town  which  is  not  included within the boundaries of a
village.
j. The comptroller and the commissioner of taxation and finance  shall
jointly  prepare  by  June  fifteenth  of  each year, a certified report
setting forth total state tax collections during the prior state  fiscal
year.
"Total  state  tax  collections",  for the purposes of computation and
payment of aid under this section, means all net revenues accrued to any
fund of the state pursuant to the following provisions during the  prior
state fiscal year:
(1)  section twenty-five of chapter nine hundred twelve of the laws of
nineteen hundred twenty, as amended;
(2) section two hundred nineteen of the racing,  pari-mutuel  wagering
and breeding law, as amended;
(3)  article  nine  of the tax law, except fees and considerations for
releases of liens;
(4) article nine-A of the tax law, except fees and considerations  for
releases of liens;
(5)  article  ten  of  the tax law, except fees and considerations for
releases of liens;
(6) article twelve of the tax law;
(7) article twelve-A of the tax law, except license fees under section
two hundred eighty-three-a of the tax law;
(8) article thirteen of the tax law;
(9) article eighteen of the tax law;
(10) article twenty of the tax law;
(11) article twenty-one of the tax law;
(12) article twenty-two of the tax law;
(13) article twenty-six of the tax law;
(14) article twenty-six-A of the tax law;
(15) article twenty-eight of the tax law;
(16) article thirty-one of the tax law;
(17) article thirty-two of the tax law;
(18) article thirty-three of the tax law;
(19) sections two hundred eight, two hundred twenty-eight, two hundred
twenty-nine, three hundred eighteen,  four  hundred  eighteen  and  five
hundred  twenty-seven  of  the racing, pari-mutuel wagering and breeding
law;
(20) the alcoholic beverage control law; and
(21) the vehicle  and  traffic  law  for  the  registration  of  motor
vehicles,  trailers  and  motorcycles,  for  licenses  to  operate motor
vehicles, as operators or chauffeurs, and for learners' permits, and for

licenses for drivers  schools,  automobile  dealers,  and  for  lost  or
cancelled licenses and certificates.
2.  Annual apportionment.  During each fiscal year of the state, there
shall be apportioned and paid to the several counties, cities, towns and
villages, from moneys appropriated by the  state,  for  the  support  of
local  government including the state portion of local matching funds as
required by section three hundred three, subdivision two of the  Omnibus
Crime  Control  and  Safe Streets Act of 1968, as amended, the following
amounts:
a. City, village and town outside village.  To each city  and  village
and  to  each town for the town outside village area, an amount equal to
the population of such city, village or town outside village  multiplied
by the following rates: cities, eight dollars and sixty cents; villages,
three  dollars  and  sixty  cents;  and  town outside village areas, two
dollars and five cents, plus an increase in such rate of five cents  for
each  one  hundred dollars, or part thereof, by which the full value per
capita of the city, village or town outside village is less  than  eight
thousand dollars; and
b.  Town-wide.  To each town for the entire town area, an amount equal
to the population of the town multiplied by three dollars and fifty-five
cents; and
c. County.  To each county, an amount equal to the population of  such
county  multiplied  by sixty-five cents plus an increase in such rate of
five cents for each one hundred dollars, or part thereof, by  which  the
county average of full value and personal income per capita is less than
eight thousand dollars.
d.  Additional  apportionment.    During  the fiscal year of the state
beginning April first, nineteen hundred seventy-one  and  in  each  such
year  thereafter  prior  to the fiscal year of the state beginning April
first, nineteen hundred seventy-nine, there shall be paid to the cities,
counties, towns and villages of the state, in addition  to  the  amounts
provided  by  paragraphs  a,  b and c of this subdivision, an additional
apportionment calculated by determining the amount of  nine  percent  of
the  total  state personal income tax collections during the prior state
fiscal year, subtracting the total amount required under paragraphs a, b
and  c  of  this  subdivision,  determining  the  percentage  which  the
remainder  is  of the total payments under paragraphs a, b and c of this
subdivision, and then increasing the  amount  payable  to  each  county,
town,  village  and city under paragraphs a, b and c of this subdivision
by such percentage. During the fiscal year of the state beginning  April
first,  nineteen  hundred seventy-nine and in each such year thereafter,
there shall be paid to the counties, towns, villages and cities  of  the
state,  in  addition to the amounts provided by paragraphs a, b and c of
this subdivision, an additional apportionment calculated by  determining
the  amount  of  four per cent of the total state tax collections during
the prior state  fiscal  year,  as  certified  by  the  commissioner  of
taxation  and finance pursuant to paragraph j of subdivision one of this
section, subtracting the total amount required under paragraphs a, b and
c of this subdivision, determining the percentage which the remainder is
of the total payments under paragraphs a, b and c of  this  subdivision,
and then increasing the amount payable to each county, town, village and
city under paragraphs a, b and c of this subdivision by such percentage.
e.  Additional  city  apportionment.    On June twenty-fifth, nineteen
hundred seventy-one  and  in  each  year  thereafter  to  and  including
nineteen hundred seventy-eight, there shall be paid to the cities in the
state  in existence on April one, nineteen hundred sixty-eight an amount
equal to nine percent of the total state personal income tax collections
during the prior state  fiscal  year.  On  June  twenty-fifth,  nineteen

hundred seventy-nine and in each year thereafter, there shall be paid to
the  cities  in  the state in existence on April first, nineteen hundred
sixty-eight, an  amount  equal  to  four  percent  of  total  state  tax
collections  during  the  prior  state  fiscal  year as certified by the
commissioner  of  taxation  and  finance  pursuant  to  paragraph  j  of
subdivision  one  of  this  section. Such amount shall be apportioned to
such cities on the basis of the percentage that the total population  of
each city bears to the total population of all cities in the state.
f.  Notwithstanding  any provision of law to the contrary, the amounts
apportioned to the cities of the state pursuant to paragraph a  of  this
subdivision  shall  be  paid on or before June twenty-fifth in the state
fiscal year commencing April first, nineteen hundred seventy-one and  on
or  before  June  twenty-fifth  of each subsequent state fiscal year and
when the fiscal year of  a  city  ends  on  April  thirtieth  an  amount
equivalent  to one-fourth of the amount payable to such city pursuant to
this paragraph and  paragraph  a  of  this  subdivision  shall  be  paid
annually  on  or before April twenty-fifth and when the fiscal year of a
city ends on May thirty-first an amount equivalent to  one-half  of  the
amount  payable  to such city pursuant to this paragraph and paragraph a
of  this  subdivision  shall  be  paid  annually  on   or   before   May
twenty-fifth.
3.  Filing and withdrawal of special population census.  a.  Filing. A
county, city, village or town may file on or before October first in any
year a special census of the population within its boundaries  certified
by  the  United  States  bureau of the census or a copy thereof and such
special census unless withdrawn as provided  herein  shall  be  used  in
apportioning  per capita state aid to such county, city, village or town
in subsequent state fiscal years until a later census  become  effective
for  such  apportionments  in  accordance  with  the  provisions of this
section.
b. Withdrawal.  A county, city, village or town upon notice filed with
the state comptroller on or  before  December  first  of  any  year  may
withdraw a special population census so filed. A special census filed by
a  county,  city,  village  or  town in nineteen hundred sixty-eight and
thereafter shall be used for the apportionment of per capita  state  aid
to  such  county, city, village or town in subsequent state fiscal years
until a later census becomes effective; provided, however, that if  such
special  census  would result in a lesser amount of per capita aid being
paid to such county, city, village  or  town  in  any  subsequent  state
fiscal year, such special census shall be deemed to have been withdrawn,
but  only  for purposes of the computation and payment of per capita aid
in such subsequent year.
c. Cross-filing by city, town or county.    Any  city  or  town  which
receives  a certification of a special population census from the United
States bureau of the census within ten days of its receipt shall file  a
copy  of  such certification with the chief fiscal officer of the county
within which it is located. Any county, which has a county-wide  special
population  census,  within  ten days of receipt of the certification by
the United States bureau of the census, shall file a copy with the chief
fiscal officer of  each  city,  village  and  town  located  within  its
boundaries.
d.  Notice  to  commissioner  of  taxation and finance of contract for
special census. Each county, city, village and town which enters into  a
contract  with  the  United  States  bureau  of the census for a special
population census  shall,  within  thirty  days  of  the  date  of  such
contract,  file  written  notice  with  the commissioner of taxation and
finance.
e. List of filings and withdrawals. On or before October fifth of each
year, the  state  comptroller  shall  furnish  to  the  commissioner  of
taxation  and  finance  a  list  of  the  names of the counties, cities,
villages and towns which filed special population censuses  pursuant  to
this  subdivision, in that year, showing for each such locality the date
of such filing and in the case of a county which has so filed for county
aid purposes a special census of some but not all of the cities or towns
located therein, the names of such cities and towns. A copy of each such
special population census so filed shall be transmitted with such  list.
On  or  before  December fifth of each year, the state comptroller shall
furnish to the commissioner of taxation and finance a list setting forth
the name of each county, city, village and town which has withdrawn  the
filing  of  a  special  population  census  pursuant to this subdivision
including, in the case of a county where the census  was  withdrawn  for
some  but  not  all  of the cities and towns in the county, the names of
such cities and towns.
f. Notwithstanding paragraphs a through  e  of  this  subdivision,  no
special  census  shall  be  used  for the computation, apportionment and
payment of per capita state aid under this section to  a  county,  city,
town  or  village  for  the  state  fiscal years commencing April first,
nineteen  hundred  seventy-three,  nineteen  hundred  seventy-four   and
nineteen  hundred  seventy-five.  Where a special census has been taken,
certified by the United  States  bureau  of  the  census  for  the  year
nineteen  hundred  seventy-one  and duly filed by the municipality, such
census shall be used for the computation, apportionment and  payment  of
per capita aid under this section.
4.  Estimates  of  population,  full  value and equalization rates. a.
Changes in boundaries; dissolution of municipalities;  creation  of  new
municipalities; consolidation of municipalities. Where the boundaries of
a  county,  city, village, town or town outside village are altered or a
municipality is created, consolidated,  or  dissolved,  aid  under  this
section  shall  be  calculated  to  reflect  such  change beginning with
payments in the first state fiscal year commencing not less  than  three
months  after  the  effective  date  of  such  change. The county, city,
village or town shall file not later than February first in the  offices
of the state comptroller and the commissioner of taxation and finance, a
certificate  of any change in boundaries, dissolution of a municipality,
consolidation of municipalities or incorporation of a  new  municipality
which  took  place  in  the  preceding  calendar  year but subsequent to
January first or on January first preceding the date of filing and which
affects the population or the full value of the county, city, village or
town for payments under this section. Where population or full value  to
be  used  in  calculating such payments is not in existence, it shall be
estimated by the commissioner of taxation and finance, upon the basis of
information provided by the localities and such other information as may
be available, to reflect the effects of such change. Such population and
full value shall be estimated for a newly incorporated city  or  village
or  consolidated  town  as of the calendar year of the effective date of
incorporation or consolidation except that full value so estimated shall
be at the period price level used  in  establishing  state  equalization
rates for assessment rolls completed in the preceding calendar year. For
other  municipalities  or  areas  affected  by  such  an  incorporation,
consolidation or change in boundaries, estimates of population and  full
value  shall be as of the years otherwise applicable under this section.
Where a municipality is dissolved or  consolidated,  the  annual  amount
which  such municipality would be eligible to receive under this section
on the date the municipality is  dissolved  or  consolidated,  less  the
increase  in  state  aid  under  this  section which will be paid to the

municipality in which the territory of  the  dissolved  or  consolidated
municipality   is   located   as   a   result  of  such  dissolution  or
consolidation, shall continue to be paid for the  first  year  following
dissolution  or  consolidation and payments shall thereafter continue to
be paid for an additional four years in reduced amounts as  follows:  in
the  second  year following dissolution or consolidation, eighty percent
of such annual amount; in the third year, sixty percent; in  the  fourth
year,  forty  percent; in the fifth year, twenty percent; and thereafter
such payments shall cease to be paid. Such payments shall be paid to the
city, town or  village  in  which  the  territory  of  the  municipality
dissolved  or  consolidated  is  located, or in the event such territory
would not be located in a city, town or village, payment shall  be  made
to the county. If such territory is located in two or more cities, towns
or villages, the payment shall be apportioned on the basis of population
which  was  used  in  determining  the  amount of aid under this section
heretofore paid to the dissolved or consolidated municipality.
b. Period price level adjustment.  Where the state  equalization  rate
for  an  assessment  roll  to be used in calculating payments under this
section is based on a different period price level than the equalization
rates generally  for  other  assessment  rolls  completed  in  the  same
calendar  year,  with  the  year  of completion defined as prescribed in
paragraph c of subdivision one of this section, a  special  equalization
rate  shall  be  established  for such roll upon the basis of the period
price level used generally in the  state  equalization  rates  for  such
other assessment rolls.
c.  Adjustment  for  differences between town and village roll.  Where
the town assessment roll used in calculating town outside  village  full
value  includes  taxable  property  located in a village, which property
does not appear as taxable on the assessment roll of the village used in
such calculation and where the assessed valuation of  such  property  in
all  villages in the town on the town assessment roll is five percent or
more of the total taxable assessed valuation of  property  in  the  town
outside  villages  on  such  town  assessment  roll, the commissioner of
taxation and finance shall estimate the full value of the  town  outside
village,  provided  that  the  supervisor  of  the  town  applies to the
commissioner on or before August first preceding the first state  fiscal
year  in  which  such estimated full value is used in making payments of
per capita state aid under this section.
d. Railroad ceiling adjustment. Where the  taxable  full  value  of  a
city, village or town declined by five percent or more between the years
nineteen hundred sixty-one and nineteen hundred sixty-two, as determined
by  application  of  the  state  equalization rates to the total taxable
assessed valuations on the assessment rolls of  such  city,  village  or
town  completed  in such years, the commissioner of taxation and finance
shall adjust the full value for nineteen hundred sixty-one  by  reducing
the  taxable  full  value of railroad real property, which was wholly or
partly exempt on the  assessment  roll  completed  in  nineteen  hundred
sixty-two  under  the provisions of title two-A or two-B of article four
of the real property tax law, to the full value of  such  railroad  real
property  which  was  taxable  on  the  first  assessment roll for which
railroad ceilings were established under such titles without  the  taper
adjustment  provided  in section four hundred eighty-nine-t of such law.
Town outside village full value shall be calculated by the  commissioner
to  give  effect to a similar adjustment in any case where full value of
the town is required to be adjusted pursuant to this paragraph.
e. Lack of assessment roll or equalization  rate.  Where  on  November
first preceding the date of the annual certification of aid payments, an
assessment  roll  or  an  equalization  rate  required  to  be  used  in

calculating such payments does not exist, full value shall be  estimated
by  the  commissioner  of  taxation  and  finance,  upon  the  basis  of
information provided by the localities and such other information as may
be available for that purpose.
5.  Information  to  be  supplied.  The  chief fiscal officer or other
official of any county, city, village or town shall, upon request of the
commissioner of taxation and finance, furnish  to  the  commissioner  of
taxation and finance such information as may be required for the purpose
of carrying out the provisions of this section.
6. Payments. a. The commissioner of taxation and finance shall compute
and  certify  to  the  state  comptroller in due time the amounts of per
capita aid payable to counties, cities, villages and towns  pursuant  to
this  section.  For  towns, the certification shall set forth separately
the amounts payable for town-wide and for town outside village purposes,
and for the city of New York the commissioner shall set forth separately
the amounts payable under the city and county per capita grants.
b. The rates established and the calculations and  estimates  made  by
the  commissioner  pursuant to this section shall be filed in the office
of the commissioner.
c. Upon such certification of the amounts payable to counties, cities,
villages and towns for town-wide and town outside village purposes, such
per capita aid shall be apportioned and paid to the chief fiscal officer
of each such locality pursuant to this section on audit and  warrant  of
the  state comptroller out of moneys appropriated by the legislature for
such purpose to the credit  of  the  local  assistance  account  in  the
general  fund  of  the  state  treasury; provided however that upon such
certification of amounts payable to the  city  of  New  York,  such  per
capita  aid  shall  be  apportioned and paid as follows: (i) any amounts
required to be paid to the city university construction fund pursuant to
the city university construction fund act, (ii) any amounts required  to
be paid to the New York city housing development corporation pursuant to
the New York city housing development corporation act, (iii) any amounts
required  to  be paid by the city to the New York city transit authority
pursuant to the provisions of chapter seven  of  the  laws  of  nineteen
hundred seventy-two, (iv) any amounts required to be paid by the city to
the  state  to repay an advance made in nineteen hundred seventy-four to
subsidize the fare of the New York  city  transit  authority,  (v)  five
hundred  thousand dollars to the chief fiscal officer of the city of New
York for payment to the trustees of the police pension fund of such city
pursuant to the provisions of paragraph  e  of  this  subdivision,  (vi)
eighty  million  dollars  to  the  special  account  for  the  municipal
assistance corporation for  the  city  of  New  York  in  the  municipal
assistance  tax  fund  created  pursuant to section ninety-two-d of this
chapter to the  extent  that  such  amount  has  been  included  by  the
municipal  assistance  corporation  for  the  city  of  New  York in any
computation for the issuance of bonds on a parity with outstanding bonds
pursuant to a contract with the holders  of  such  bonds  prior  to  the
issuance  of  any  other  bonds  secured  by payments from the municipal
assistance state aid fund created pursuant to  section  ninety-two-e  of
this chapter, (vii) the balance to the special account for the municipal
assistance  corporation  for  the  city  of  New  York  in the municipal
assistance state aid fund created pursuant to  section  ninety-two-e  of
this  chapter, and (viii) any amounts to be refunded to the general fund
of the state of New York pursuant to the  annual  appropriation  enacted
for  the  municipal  assistance  state  aid  fund.  Notwithstanding  any
existing law, no payments of per capita aid payable to the city  of  New
York  shall be paid to the state of New York municipal bond bank agency,
the New York state sports authority or the transit construction fund  so

long  as  amounts of such aid are required to be paid into the municipal
assistance state aid fund, and thereafter, after payment of the  amounts
described  in  subparagraphs  (i)  through  (viii) of this paragraph the
balance shall be paid (A) to the state in repayment of the appropriation
of  two  hundred  fifty  million  dollars  made  to the city pursuant to
chapter  two  hundred  fifty-seven  of  the  laws  of  nineteen  hundred
seventy-five providing emergency financial assistance to the city of New
York  at the extraordinary session held in such year, as amended, (B) to
the state of New York municipal bond bank agency to the extent  provided
by section twenty-four hundred thirty-six of the public authorities law,
(C)  to  the  New  York state sports authority to the extent provided by
section twenty-four hundred sixty-three of the public  authorities  law,
(D)  to  the transit construction fund to the extent provided by section
twelve  hundred  twenty-five-i  of  the  public  authorities  law,   and
thereafter (E) to the city.
d.  The  amounts  so  annually apportioned shall be paid in four equal
installments as follows:
(1) to the city of New York, on the twenty-fifth days of April,  June,
October and February;
(2) to every county, city, village or town, other than the city of New
York,  whose  fiscal year commences on the first day of June or July, on
the twenty-fifth days of April, May, September and December;
(3) to every county, city, village or town whose fiscal year commences
on the first day of December, on the twenty-fifth days of  April,  July,
September and November;
(4) to any town in Westchester county whose boundaries are coterminous
with  those  of  one village, on the same days on which installments are
payable to such village pursuant to this paragraph; and
(5) to every other county, city, village or town, on the  twenty-fifth
days of April, July, September and December.
e.  The  chief  fiscal officer of the city of New York shall, from the
amounts so received by him, pay to the board of trustees of  the  police
pension  fund  of  such  city,  the aggregate annual sum of five hundred
thousand dollars for the purposes of such fund and the balance into  the
general fund of such city.
f.  Where  a town applies an amount received under this section to the
reduction of the county tax in the town-wide area or in the town outside
village area, or as a credit against special ad valorem  levies  in  the
town  outside  village  area  as  provided  in subdivision eight of this
section, the town shall file  notices  thereof  with  the  chief  fiscal
officer  of the county and the state comptroller, within five days after
the last day for adoption of the town  budget.  Such  amounts  shall  be
credited  against the amount of taxes or special ad valorem levies to be
levied  for  such  purposes  in  the  designated  area  and  the   state
comptroller  shall  pay  to the chief fiscal officer of the county, from
the moneys apportioned to the town for town-wide purposes or for outside
of village purposes, as the case may be, the amounts so credited against
the county tax or special ad valorem levies, in the same manner as other
payments to counties under this section.
g. Notwithstanding any provision of the law to the contrary,  any  aid
derived  by  any city pursuant to paragraph d of subdivision two of this
section for the state  fiscal  year  commencing  April  first,  nineteen
hundred  seventy-one and each subsequent state fiscal year which exceeds
the total aid paid to such city pursuant to paragraph a  of  subdivision
two of this section during the state fiscal year commencing April first,
nineteen  hundred  seventy  shall be paid on June twenty-fifth, nineteen
hundred seventy-one and on June twenty-fifth of  each  subsequent  state
fiscal year.
h. Notwithstanding any provision of law to the contrary, payments made
pursuant to subdivision two of this section during April and May of each
state  fiscal  year  shall  be  based  on  estimates  of total state tax
collections  to  be  provided  jointly  by  the  comptroller   and   the
commissioner  of  taxation  and  finance on or before April fifteenth of
each year. Notwithstanding any provision of law to the contrary, amounts
so paid during the balance of each state fiscal  year  shall  compensate
for any overpayment or underpayment which may have occurred during April
and May of such fiscal year.
i.  Notwithstanding  any other provision of law, the amount payable on
June twenty-fifth, to a city having a population of one million or  more
pursuant  to  this  subdivision  shall be reduced by fifty-three million
five  hundred  eighty-five  thousand  five  hundred   eighteen   dollars
($53,585,518).   Such   fifty-three  million  five  hundred  eighty-five
thousand five hundred eighteen dollars ($53,585,518) shall  be  paid  to
such  city  on  the December fifteenth next following June twenty-fifth,
which payment shall be for an entitlement period ending  June  thirtieth
of the month in which the June twenty-fifth payment is made.
7.  Apportionment  of  special  city, town and village aid. During the
state fiscal year beginning April first, nineteen  hundred  eighty-eight
and  in  each  year  thereafter  aid  to  cities,  towns and villages in
addition to the amounts apportioned pursuant to subdivision two of  this
section shall be apportioned, according to this subdivision.
a. Definitions. As used in this subdivision:
(1)  "City"  means each city having a population less than one million
persons.
(2) "Town" means a town for which  complete  population,  full  value,
land  area,  and  local tax effort per capita information, as defined in
this subdivision, are available as determined by the comptroller.
(3) "Village" means a village  for  which  complete  population,  full
value,  land  area,  and  local  tax  effort  per capita information, as
defined  in  this  subdivision,  are  available  as  determined  by  the
comptroller.
(4)  "Population" means for towns and villages the final population as
shown  by  the  nineteen  hundred  eighty  decennial   federal   census;
"population"  for  cities  means  the  final  population as shown by the
nineteen hundred seventy decennial federal census.
(5) "Population density" means for each town  and  village  an  amount
equal  to  its  population  divided  by its total land area expressed in
square miles as of the last day of  the  local  fiscal  year  ending  in
nineteen hundred seventy-nine.
(6)  "Full  value"  means for each town and village an amount equal to
the total taxable assessed value of  property  on  the  assessment  roll
completed  and  filed  in  nineteen  hundred seventy-nine divided by the
final  state  equalization  rate  established  for  such  roll  by   the
commissioner of taxation and finance.
(7)  "Taxing capacity" means for each town and village an amount equal
to its full value divided by the population of such town or village.
(8) "Average population density" means for towns the sum of population
densities for all  towns  divided  by  the  number  of  towns;  "average
population  density"  for  villages  means  the  sum  of  the population
densities for all villages divided by the number of villages.
(9) "Average taxing capacity" means for towns an amount equal  to  the
sum  of  the  taxing  capacities  for all towns divided by the number of
towns; "average taxing capacity" means for villages an amount  equal  to
the  sum of the taxing capacities for all villages divided by the number
of villages.
(10) "Assessed value tax rate" of  a  city  means  the  tax  rate  for
general  city  purposes  for  the  latest  twelve month city fiscal year
ending on or before  December  thirty-first,  nineteen  hundred  eighty;
provided,  however,  that  for  any  city with a population greater than
twenty-one  thousand and less than twenty-two thousand persons, assessed
value tax rate means the tax rate for  general  city  purposes  for  the
latest  twelve  month  city  fiscal  year  ending  on or before December
thirty-first, nineteen hundred seventy-eight.
(11) "Full value tax rate" of a city means the assessed value tax rate
of such city multiplied by the final state equalization rate established
by the commissioner of taxation and finance for the assessment  roll  to
which such assessed value tax rate applied.
(12)  "Local tax effort per capita" means for each town and village an
amount equal to the sum of all taxes,  fees,  charges,  assessments  and
other  revenues  received less any revenues received from the federal or
state government for the latest local fiscal year ending  on  or  before
December  thirty-first,  nineteen  hundred  seventy-nine, divided by its
population.
(13) "Local tax effort factor" means for each town  and  village,  its
local  tax effort per capita divided by the average local tax effort per
capita for towns or villages as appropriate.
(14) "Average local tax effort per capita" means for towns the sum  of
the  local tax efforts per capita for all towns divided by the number of
towns; "average local tax effort per capita" means for villages the  sum
of  the  local  tax  efforts  per capita for all villages divided by the
number of villages.
(15) Provided, however, that for a town or village created on or after
January first,  nineteen  hundred  eighty-one,  the  population  density
pursuant to subparagraph five of this paragraph, the full value pursuant
to  subparagraph  six  of  this  paragraph, and the local tax effort per
capita pursuant to subparagraph twelve of this paragraph  shall  pertain
to  the  first  completed  local fiscal year following such creation for
which  applicable  information  is  available  as  determined   by   the
comptroller.
b. City aid. The sum of one hundred two million three hundred eighteen
thousand   three  hundred  seventeen  dollars  ($102,318,317)  shall  be
apportioned to cities as follows:
(1) The sum of sixty-two million two hundred twenty-two thousand three
hundred thirteen dollars  ($62,222,313)  shall  be  apportioned  in  the
following manner:
City of Buffalo .................................. $22,476,436
City of Rochester ................................ $11,140,494
City of Yonkers .................................. $12,508,626
City of Syracuse ................................. $ 7,817,890
City of Albany ................................... $ 3,812,897
City of Binghamton ............................... $ 2,345,367
City of Plattsburgh .............................. $   508,162
City of White Plains ............................. $ 1,612,441
(2)  The  sum  of  forty  million  ninety-six  thousand  four  dollars
($40,096,004) shall be apportioned to cities according to the  following
formula:
For all cities having a population of less than one hundred thousand a
numerical  ranking  between  one  and  fifty-six shall be assigned. Such
ranking shall correspond to each city's position in a schedule  of  full
value tax rates of all such cities arranged in descending order.
An  aid  rate for each city with a population of less than one hundred
thousand shall be determined from the following schedule:
Cities with Rankings                                  Aid Rate
One through twelve.....................................$ 17.00
Thirteen through twenty-three..........................$ 15.00
Twenty-four through thirty-four........................$ 13.00
Thirty-five through forty-five.........................$ 11.00
Forty-six through fifty-six............................$ 10.00
For each city not eligible for apportionments pursuant to subparagraph
one  of  this  paragraph, a base aid amount shall be calculated equal to
the population of such city multiplied by its aid rate.  For  each  such
city  an aid percentage shall be calculated equal to its base aid amount
divided by the sum of the base aid amounts  for  all  such  cities.  The
amount  of  special  aid  to  be  apportioned to each such city shall be
calculated by multiplying such city's aid percentage  by  forty  million
ninety-six thousand four dollars ($40,096,004).
c.  Town  aid.  The  sum  of  nineteen million five hundred forty-four
thousand  seven  hundred  twenty-six  dollars  ($19,544,726)  shall   be
apportioned to towns according to the following formula:
For  each  town, a population density factor shall equal the lesser of
the amount calculated by dividing such town's population density by  the
average population density for towns, or the number five;
For  each  town,  a  taxing  capacity  factor  shall  be calculated by
dividing the average taxing capacity for towns  by  such  town's  taxing
capacity;
For   each   town,  a  weighted  population  shall  be  calculated  by
multiplying such  town's  population  by  the  product  of  such  town's
population density factor multiplied by the sum of such town's local tax
effort factor plus such town's taxing capacity factor;
For  each  town,  an  aid  percentage shall be calculated equal to the
weighted population of such town divided by  the  sum  of  the  weighted
populations for all towns;
The  amount  to  be  apportioned  to  each town shall be calculated by
multiplying such town's aid percentage by nineteen million five  hundred
forty-four thousand seven hundred twenty-six dollars ($19,544,726).
Notwithstanding  the  definition  of  town  in  paragraph  a  of  this
subdivision, any town as defined in section two of the town  law,  which
is  not  included  in  the  definition  of  town  in paragraph a of this
subdivision shall be apportioned three hundred ninety-two  dollars.  The
total  of  any  such  amounts shall be deducted on a pro rata basis from
those towns apportioned  more  than  three  hundred  ninety-two  dollars
pursuant to the above formula.
In  such case where the apportionment to a town in accordance with the
above formula is less than three hundred ninety-two dollars,  such  town
shall  be  apportioned  three hundred ninety-two dollars. The difference
between three hundred  ninety-two  dollars  and  the  amount  determined
pursuant  to  such  formula  shall  be deducted on a pro rata basis from
those towns apportioned  more  than  three  hundred  ninety-two  dollars
pursuant to such formula.
d.   Village   aid.  The  sum  of  twenty-six  million  three  hundred
eighty-five thousand  three  hundred  eighty-one  dollars  ($26,385,381)
shall be apportioned to villages according to the following formula:
For  each  village, a population density factor shall equal the lesser
of the amount calculated by dividing such village's  population  density
by the average population density for villages, or the number five;
For  each  village,  a  taxing  capacity factor shall be calculated by
dividing the average taxing capacity  for  villages  by  such  village's
taxing capacity;
For  each  village,  a  weighted  population  shall  be  calculated by
multiplying such village's population by the product of  such  village's

population  density factor multiplied by the sum of such village's local
tax effort factor plus such village's taxing capacity factor;
For  each  village, an aid percentage shall be calculated equal to the
weighted population of such village divided by the sum of  the  weighted
populations for all villages;
The  amount  to  be apportioned to each village shall be calculated by
multiplying such village's aid percentage by  twenty-six  million  three
hundred   eighty-five   thousand   three   hundred   eighty-one  dollars
($26,385,381).
Notwithstanding the definition of  village  in  paragraph  a  of  this
subdivision, any village as defined in section fifty-four of the general
construction  law, which is not included in the definition of village in
paragraph a of this  subdivision  shall  be  apportioned  three  hundred
ninety-two dollars. The total of any such amounts shall be deducted on a
pro  rata  basis from those villages apportioned more than three hundred
ninety-two dollars pursuant to the above formula.
In such case where the apportionment to a village in  accordance  with
the  above  formula  is less than three hundred ninety-two dollars, such
village shall be  apportioned  three  hundred  ninety-two  dollars.  The
difference  between  three  hundred  ninety-two  dollars  and the amount
determined pursuant to such formula shall be  deducted  on  a  pro  rata
basis from those villages apportioned more than three hundred ninety-two
dollars pursuant to such formula.
e.   Special   city,  town,  village  aid.  (1)  Not  later  than  May
twenty-fifth of each state fiscal year the comptroller shall certify  to
the  director  of  the  budget,  the  chairman  of  the  senate  finance
committee, and the chairman of the assembly ways  and  means  committee,
the  amount  of special city, town, village aid which is payable to each
city,  town  and  village  for  such  fiscal  year  pursuant   to   this
subdivision.
(2) For each state fiscal year the amount apportioned pursuant to this
subdivision  and certified as payable pursuant to this subdivision shall
be paid to each city, town and village (i) on the last day of its  local
fiscal  year  which  is current as of October thirty-first of such state
fiscal year or (ii)  on  February  first  of  such  state  fiscal  year,
whichever  is  earlier; provided, however, that the payment date for any
city, town or village shall be March fifteenth,  of  such  state  fiscal
year  if  the  comptroller  receives  a  written  request for such later
payment date from the chief fiscal officer of such city, town or village
at least ten days prior to the date on which the payment would otherwise
have been made. The comptroller shall notify the director of the budget,
the chairman of the senate finance committee and  the  chairman  of  the
assembly ways and means committee of any such written request.
f.  Notwithstanding any provision of this subdivision to the contrary,
for fiscal years beginning April first, nineteen  hundred  eighty-eight,
the  amount  apportioned to each city, town and village pursuant to this
subdivision shall be multiplied by sixty-six percent.
8. Use of per capita state aid. a. The chief fiscal officer  of  every
county,  city,  village  and  town shall pay the amounts received by him
under the provisions of this  section  into  the  general  fund  of  the
county,  city, village or town for general county, city, village or town
purposes respectively, except that such amounts received by a  town  for
the  town  outside village area shall be used for the following purposes
in the order stated: (1) for town purposes for which taxes may be levied
on the area of the town outside of villages, (2)  as  a  credit  against
amounts  of  taxes  levied  or  to  be  levied ad valorem for other town
purposes on all taxable property in the town outside village  area,  (3)
as  a  credit against amounts of taxes levied or to be levied ad valorem

for county purposes on all taxable property in the town outside  village
area,  (4)  as a credit against special ad valorem levies on property in
the town outside village area in a town where the  entire  town  outside
village  area is subject to special ad valorem levies provided that such
credit shall be a uniform rate on assessed valuation in all parts of the
town outside village area and such uniform rate  shall  not  exceed  the
total of the rates for special ad valorem levies in any part of the town
outside village area. The rate on assessed valuation for each special ad
valorem  levy,  as  shown  on the tax bill for each parcel, shall be the
rate before application of such credit. Such credit shall be shown as  a
rate  on  assessed  valuation  and  as a percentage of the total of such
rates for such special ad valorem  levies  on  such  parcel.  Each  such
special  ad  valorem  rate  shall be deemed to have been reduced by such
percentage.
b. In no event shall such amounts received by  a  town  for  the  town
outside village area be used as part or all of the local share necessary
to qualify for state assistance pursuant to the highway law.
9.    a. Notwithstanding any inconsistent provision of this section or
of any other provision of law to the contrary, the  payment  of  general
purpose local government aid for the support of local government for the
state  fiscal  year  commencing April first, two thousand four, shall be
paid from an appropriation made for such purposes pursuant to the public
protection and general government budget for such state fiscal year in a
manner consistent with this subdivision. Subdivisions one through  eight
of  this  section  shall  not be applicable to the payment of per capita
state aid for the support of local government.
b. Notwithstanding any inconsistent provision of article five  of  the
general  construction  law,  in  the fiscal year of the state commencing
April first, two thousand four, any city  having  a  population  of  one
million  or more shall be entitled to receive the same amount of general
purpose, local government aid that it received for such purpose pursuant
to chapter fifty of the laws of two  thousand  three,  constituting  the
public  protection and general government budget, and section fifty-four
of the state finance law, as added by section  twelve  of  chapter  four
hundred  thirty  of the laws of nineteen hundred ninety-seven, as if the
provisions of such section fifty-four were in full force and effect  for
the  entire state fiscal year commencing April first, two thousand four.
Except as provided in paragraph c of this subdivision, each city,  other
than  any  city  having  a  population  of one million or more, town and
village that was  appropriated  general  purpose  local  government  aid
pursuant  to  chapter  fifty  of the laws of two thousand three shall be
entitled to receive a total of one hundred five percent of the amount of
aid that it would be entitled to receive under section fifty-four of the
state finance law, as added by section twelve of  chapter  four  hundred
thirty  of  the  laws  of  nineteen  hundred  ninety-seven,  as  if  the
provisions of such section fifty-four were in full force and effect  for
the  entire state fiscal year commencing April first, two thousand four.
Notwithstanding the provisions of this subdivision in the  state  fiscal
year  commencing  April  first,  two  thousand  four the village of East
Nassau, Rensselaer county, newly  incorporated  on  January  fourteenth,
nineteen  hundred  ninety-eight,  shall  be entitled to receive the same
amount of general purpose local government aid that it received for such
purpose pursuant to chapter fifty of the laws of two thousand three. All
aid pursuant to this section shall be paid in the  same  "on  or  before
month  and  day"  manner  as  specified  in chapter fifty of the laws of
nineteen hundred ninety-six, constituting the general government budget.
c. Consolidations, mergers,  or  dissolutions-entitlement  to  general
purpose  local  government  aid.  In  the  case where any city, town, or

village consolidates, merges or dissolves, and the  resulting  successor
government  has  filed  with  the  office  of  the  state  comptroller a
certificate of any such  consolidation,  merger,  or  dissolution,  such
successor  government  shall  be  entitled  to  receive  any payments of
general purpose local government aid which, pursuant to paragraph  b  of
this  subdivision,  would  have been otherwise payable to the individual
cities, towns, or villages who were party to such consolidation, merger,
or dissolution in addition to the general purpose local  government  aid
such   successor   government   is  entitled  to  receive  had  no  such
consolidation, merger, or dissolution occurred.  The  annual  amount  of
general  purpose local government aid that any city, town, or village in
which a municipality has consolidated, merged,  or  dissolved  shall  be
eligible  to  receive  on  the  date  such  city,  town,  or  village is
consolidated, merged, or dissolved shall continue to be paid pursuant to
paragraph b of this subdivision for every state  fiscal  year  following
the  date  of  such  consolidation, merger, or dissolution. In instances
where only a portion  of  a  city,  town,  or  village  is  party  to  a
consolidation,  merger, or dissolution, general purpose local government
aid payable to the resulting successor government shall include  only  a
pro  rata share of the aid otherwise due and payable to such city, town,
or village. Such pro rata share shall be based on a  ratio  of  the  two
thousand   federal   decennial   census   population   of   the  portion
consolidated, merged, or dissolved as compared to the total two thousand
federal decennial census population of the city, town, or village  party
to such consolidation, merger, or dissolution.
d.  Notwithstanding any other law to the contrary, in the state fiscal
year beginning April first, two thousand four,  and  each  state  fiscal
year  thereafter,  the city of Amsterdam shall receive on or before June
twenty-fifth, the same amount of aid it received by  June  twenty-fifth,
two thousand three, plus, pursuant to a memorandum of understanding with
the  director  of  the  budget,  three  hundred  fifty  thousand dollars
($350,000) that would have been payable on or before March thirty-first,
two thousand five.
e. Notwithstanding any other law to the contrary, in the state  fiscal
year  beginning  April  1,  2004, and each state fiscal year thereafter,
twelve  million  five  hundred   thousand   dollars   ($12,500,000)   of
supplemental  municipal aid otherwise due and payable on or before March
31 shall be paid to the city of Yonkers, pursuant  to  a  memorandum  of
understanding with the director of the budget, on or before June 30.
10.   Aid  and  incentives  for  municipalities.  Notwithstanding  any
inconsistent provision of this section or of any other provision of  law
to the contrary, the payment of general purpose local government aid for
the  support of local government for state fiscal years commencing April
first, two thousand seven, shall be paid from an appropriation made  for
the aid and incentives for municipalities program pursuant to the public
protection  and general government budget for such state fiscal years in
a manner consistent with this subdivision. Subdivisions one through nine
of this section shall not be applicable to the  payment  of  per  capita
state aid for the support of local government.
a.  Definitions.  When  used  in  this  subdivision,  unless otherwise
expressly stated:
(i) "Municipality" means a  city  with  a  population  less  than  one
million, town or village.
(ii)  "Aid  and  incentives for municipalities" means the total of all
aid payable to municipalities pursuant to this  subdivision  except  for
grants payable pursuant to paragraphs j, m and n of this subdivision.
(iii)  "Full valuation" means "full valuation for taxable purposes" as
reported in the state comptroller's special report on  local  government

finances  for  New  York  state for local fiscal years ended three years
prior to the beginning of the state fiscal year in which  an  additional
annual  apportionment  or  per  capita adjustment is payable pursuant to
paragraphs d and e of this subdivision.
(iv)  "Population"  means  population  data based upon the most recent
federal decennial census.
(v) "Full  valuation  per  capita"  means  the  full  valuation  of  a
municipality divided by the population of such municipality.
(vi)  "Average full valuation per capita for municipalities" means the
sum of the full valuation for municipalities divided by the sum  of  the
population  of the municipalities as reported in the state comptroller's
special report on local government finances for New York state for local
fiscal years ended three years prior  to  the  beginning  of  the  state
fiscal  year  in  which an additional annual apportionment or per capita
adjustment  is  payable  pursuant  to  paragraphs  d  and  e   of   this
subdivision.
(vii)  "State  aid"  means  the  total  amount  of  aid a municipality
received in the state fiscal year commencing April first,  two  thousand
six,  under  the  aid  and  incentives  for  municipalities  program, as
appropriated in chapter fifty of the laws of two thousand six, and under
the additional municipal aid program pursuant to section two of  part  A
of chapter fifty-six of the laws of two thousand six, as appropriated in
chapter fifty of the laws of two thousand six.
(viii)  "Prior  year  aid"  means for the state fiscal year commencing
April first, two  thousand  nineteen  and  in  each  state  fiscal  year
thereafter,  the  base level grant received in the immediately preceding
state fiscal year pursuant to paragraph b of this subdivision.
(ix)  "Per  capita  state  aid"  means  the  prior  year  aid  for   a
municipality  divided  by the population of the municipality as reported
in the most recent federal decennial census.
b. Base level grants. (i) Within amounts  appropriated  in  the  state
fiscal year commencing April first, two thousand seven and in each state
fiscal  year thereafter, there shall be apportioned and paid to a county
with a population of less than one million but more  than  nine  hundred
twenty-five  thousand  according  to the federal decennial census of two
thousand, cities with a population of less than one million,  towns  and
villages  a  base  level  grant in an amount equal to the prior year aid
received by such county, city, town or village.
(ii)  Notwithstanding  subparagraph  (i)  of  this  paragraph,  within
amounts  appropriated  in  the state fiscal year commencing April first,
two  thousand  ten,  there  shall  be  apportioned  and  paid  to   each
municipality a base level grant in an amount equal to the prior year aid
received  by  such  municipality  minus  a  base  level grant adjustment
calculated in accordance with clause two of this subparagraph.
(1) When used in this subparagraph, unless otherwise expressly stated:
(A) "2008-09 AIM funding" shall mean the sum of the base  level  grant
pursuant  to this paragraph, additional annual apportionment pursuant to
paragraph d of this  subdivision,  per  capita  adjustment  pursuant  to
paragraph  e  of  this  subdivision  and  special  aid and incentives to
certain eligible cities as appropriated in chapter fifty of the laws  of
two  thousand  eight,  as  amended  by  chapter  one  of the laws of two
thousand nine, apportioned and paid to such municipality  in  the  state
fiscal year commencing April first, two thousand eight.
(B)  "2008  total  revenues"  shall  mean  "total  revenues"  for such
municipality as reported in the state comptroller's  special  report  on
local  government  finances  for  New  York state for local fiscal years
ended in two thousand eight.
(C) "AIM reliance" shall mean  2008-09  AIM  funding  expressed  as  a
percentage of 2008 total revenues.
(2) The base level grant adjustment shall equal:
(A)  two  percent  of  prior year aid if AIM reliance was at least ten
percent, or
(B) five percent of prior year aid if AIM reliance was less  than  ten
percent.
(iii)  Notwithstanding  subparagraph  (i)  of this paragraph, a county
with a population of less than one million but more  than  nine  hundred
twenty-five  thousand  according  to the federal decennial census of two
thousand shall not receive a base level grant in the state  fiscal  year
commencing  April  first,  two  thousand ten or in any state fiscal year
thereafter.
(iv)  Notwithstanding  subparagraph  (i)  of  this  paragraph,  within
amounts  appropriated  in  the state fiscal year commencing April first,
two thousand eleven,  there  shall  be  apportioned  and  paid  to  each
municipality a base level grant in an amount equal to the prior year aid
received  by such municipality minus a base level grant adjustment equal
to two percent of such prior year aid.
(v) Notwithstanding subparagraph (i) of this paragraph, within amounts
appropriated in the  state  fiscal  year  commencing  April  first,  two
thousand  nineteen,  and annually thereafter, there shall be apportioned
and paid to each municipality which is a city a base level grant  in  an
amount  equal  to  the  prior  year aid received by such city, and there
shall be apportioned and paid to each municipality which is  a  town  or
village  a  base  level  grant  in  accordance  with  clause two of this
subparagraph.
(1) When used in this subparagraph, unless otherwise expressly stated:
(A) "two thousand eighteen--two thousand nineteen AIM  funding"  shall
mean  the sum of the base level grant paid in the state fiscal year that
began April first, two thousand eighteen pursuant to this paragraph.
(B) "two thousand seventeen total expenditures" shall mean  all  funds
and  total expenditures for a town or a village as reported to the state
comptroller for local fiscal years ended in two thousand seventeen.
(C) "AIM Reliance" shall  mean  two  thousand  eighteen--two  thousand
nineteen  AIM  funding  calculated  as  a  percentage  of  two  thousand
seventeen  total  expenditures,  provided  that,  for  a  village  which
dissolved  during  the  state  fiscal  year  that began April first, two
thousand eighteen, the village's  two  thousand  eighteen--two  thousand
nineteen  AIM  funding  shall  be  added  to  the  existing two thousand
eighteen--two thousand nineteen AIM funding of the town into  which  the
village dissolved for purposes of this calculation.
(2)  A  base  level  grant equal to a town or village's prior year aid
only if such town or  village's  AIM  reliance  equals  two  percent  or
greater  as  reported  to  and  published by the state comptroller as of
January tenth, two thousand nineteen.
(vi)  Notwithstanding  subparagraph  (i)  of  this  paragraph,  within
amounts  appropriated  in  the state fiscal year commencing April first,
two  thousand  twenty-one,  and  annually  thereafter,  there  shall  be
apportioned  and  paid  to  each  municipality  a base level grant in an
amount equal to the aid received  by  such  municipality  in  the  state
fiscal  year  commencing  April  first, two thousand nineteen; provided,
however, and notwithstanding any law  to  the  contrary,  in  the  state
fiscal  year  commencing  April  first,  two  thousand  twenty-one,  and
annually thereafter, the town of Palm Tree shall receive  a  base  level
grant  of  twenty-four  thousand  two  hundred thirteen dollars, and the
village of Sagaponack shall receive a base level grant of  two  thousand
dollars, and the village of Woodbury shall receive a base level grant of

twenty-seven  thousand  dollars, and the village of South Blooming Grove
shall receive a base level grant of nineteen thousand dollars.
(vii)  Notwithstanding  subparagraph  (i)  of  this  paragraph, within
amounts appropriated in the state fiscal year  commencing  April  first,
two  thousand  twenty-two,  and  annually  thereafter,  there  shall  be
apportioned and paid  to  each  municipality  as  of  April  first,  two
thousand  twenty-two  a  base  level grant in an amount equal to the aid
received by such municipality in the state fiscal year commencing  April
first,  two  thousand twenty-one; provided, however, and notwithstanding
any law to the contrary, for each municipality that did  not  receive  a
base  level  grant  in the state fiscal year commencing April first, two
thousand twenty-one,  there  shall  be  apportioned  and  paid  to  each
municipality  a  base level grant in an amount equal to the aid received
by such municipality in the fiscal  year  commencing  April  first,  two
thousand eighteen.
c. "Fiscal distress indicators" shall include:
(i)  Full  valuation per capita less than fifty percent of the average
full valuation per capita for municipalities.
(ii) A population at least ten percent less  than  the  population  as
reported in the nineteen hundred seventy federal decennial census.
(iii)  Greater than sixty percent real property tax limit exhausted in
the most recent local fiscal year as reported to  the  division  of  the
budget by the state comptroller.
(iv)  A  percentage  of individuals living below the poverty level, as
reported for a municipality in the most recent federal decennial census,
in excess of one hundred fifty percent  of  the  average  percentage  of
individuals   living   below   the   poverty   level   as  reported  for
municipalities in the most recent federal decennial census.
d. Additional annual apportionments. Within  amounts  appropriated  in
the  state fiscal year commencing April first, two thousand seven and in
the state fiscal  year  commencing  April  first,  two  thousand  eight,
municipalities shall receive additional aid apportioned as follows:
(i)  Any  municipality with an average full valuation per capita equal
to or less than the average full valuation per capita for municipalities
that is a city, a town with a population greater than fifteen  thousand,
or  a  village  with  a  population  greater than ten thousand, shall be
eligible to receive an additional annual apportionment equal to:
(1) nine percent of  such  municipality's  base  level  grant  if  the
municipality  meets all of the fiscal distress indicators in paragraph c
of this subdivision,
(2) seven percent of such  municipality's  base  level  grant  if  the
municipality  meets  any  three  of  the  fiscal  distress indicators in
paragraph c of this subdivision, or
(3) five percent of  such  municipality's  base  level  grant  if  the
municipality  meets  at  least  one  but  no more than two of the fiscal
distress indicators in paragraph c of this subdivision.
(ii) Any municipality with an average full valuation per capita  equal
to or less than the average full valuation per capita for municipalities
that  is  a  town  with  a  population  of fifteen thousand or less or a
village with a population of ten thousand or less  which  meets  one  or
more  of  the  fiscal distress indicators in subparagraphs (i), (ii) and
(iii) of paragraph c of this subdivision shall be eligible to receive an
additional  annual  apportionment  equal  to  five   percent   of   such
municipality's base level grant.
(iii)  Any municipality that does not qualify for an additional annual
apportionment pursuant to subparagraphs (i) and (ii) of  this  paragraph
shall be eligible to receive an additional annual apportionment equal to
three percent of such municipality's base level grant.
e.  Per  capita  adjustment.  Within amounts appropriated in the state
fiscal year commencing April first, two thousand seven and in the  state
fiscal  year  commencing April first, two thousand eight, additional aid
shall be apportioned as follows:
(i)  For  the  purposes  of subparagraphs (ii), (iii), (iv) and (v) of
this paragraph, the threshold percentage shall be  seventy-five  percent
in  the state fiscal year commencing April first, two thousand seven and
eighty percent in the state fiscal  year  commencing  April  first,  two
thousand eight.
(ii) A municipality with an average full valuation per capita equal to
or  less  than  the average full valuation per capita for municipalities
that is a city with a population greater than or equal  to  one  hundred
twenty-five  thousand  and  receives  per  capita state aid less than or
equal to the threshold percentage of  the  average  for  cities  with  a
population  greater  than  or  equal to one hundred twenty-five thousand
shall be eligible to receive additional aid of four and one-half percent
of such city's base level grant, subject to the availability of funds.
(iii) A municipality with an average full valuation per  capita  equal
to or less than the average full valuation per capita for municipalities
that  is  a  city  with  a  population less than one hundred twenty-five
thousand, meets one or more  of  the  fiscal  distress  indicators,  and
receives  per  capita  state  aid  less  than  or equal to the threshold
percentage of the average for cities with a  population  less  than  one
hundred  twenty-five  thousand  that  meet  one  or  more  of the fiscal
distress indicators, shall be eligible to receive additional aid of four
and one-half percent of such city's base level  grant,  subject  to  the
availability of funds.
(iv) A municipality with an average full valuation per capita equal to
or  less  than  the average full valuation per capita for municipalities
that is a town with a population greater than  fifteen  thousand,  meets
one  or  more of the fiscal distress indicators, and receives per capita
state aid less than or equal to the threshold percentage of the  average
for  towns with a population greater than fifteen thousand that meet one
or more of the fiscal distress indicators, shall be eligible to  receive
additional  aid  of  four and one-half percent of such town's base level
grant, subject to the availability of funds.
(v) A municipality with an average full valuation per capita equal  to
or  less  than  the average full valuation per capita for municipalities
that is a village with a population greater than ten thousand, meets one
or more of the fiscal distress indicators, and receives per capita state
aid less than or equal to the threshold percentage of  the  average  for
villages  with  a  population greater than ten thousand that meet one or
more of the fiscal distress indicators, shall  be  eligible  to  receive
additional aid of four and one-half percent of such village's base level
grant, subject to the availability of funds.
(vi)  If  sufficient funds are not available for additional aid in the
amount authorized pursuant to subparagraphs (ii), (iii), (iv) and (v) of
this paragraph, additional aid shall be apportioned to each municipality
eligible for such aid based on the  municipality's  pro  rata  share  of
available funds.
e-1. Deficit reduction adjustment. Notwithstanding paragraph b of this
subdivision,  in  the  state  fiscal  year  commencing  April first, two
thousand nine the base level grant to each city  with  a  population  of
less  than one million whose fiscal year does not begin on January first
shall equal such  city's  prior  year  aid  minus  a  deficit  reduction
adjustment calculated in accordance with the following:
(i) When used in this paragraph, unless otherwise expressly stated:
(1)  "2008-09  AIM funding" shall mean the sum of the base level grant
pursuant to this paragraph, additional annual apportionments pursuant to
paragraph d of this  subdivision,  per  capita  adjustment  pursuant  to
paragraph  e  of  this  subdivision  and  special  aid and incentives to
certain  eligible cities as appropriated in chapter fifty of the laws of
two thousand eight, as amended  by  chapter  one  of  the  laws  of  two
thousand  nine,  apportioned  and  paid to such city in the state fiscal
year commencing April first, two thousand eight.
(2) "2008 total revenues" shall mean "Total Revenues" for such city as
reported in the state comptroller's special report on  local  government
finances for New York state for local fiscal years ended in two thousand
eight.
(3)  "AIM  reliance"  shall  mean  2008-09  AIM funding expressed as a
percentage of 2008 total revenues.
(ii) The deficit reduction adjustment for each such city shall equal:
(1) one percent of prior year aid if such city's AIM reliance  was  at
least ten percent,
(2)  two  percent of prior year aid if such city's AIM reliance was at
least five percent but less than ten percent,
(3) three percent of prior year aid if such city's AIM reliance was at
least one percent but less than five percent, or
(4) eight percent of prior year aid if such city's  AIM  reliance  was
less than one percent.
f.  Use of additional aid by distressed municipalities. As a condition
of  receiving  more  than  one  hundred  thousand  dollars  in  combined
additional  aid  pursuant  to  subparagraph  (i)  of paragraph d of this
subdivision and paragraph e of this  subdivision,  if  applicable,  each
municipality that is eligible for such aid, other than a city subject to
a control period under a state imposed fiscal stability authority, shall
be required to use the additional aid for the following purposes:
(i) To minimize or reduce the real property tax burden.
(ii)  To  support  investments  in  technology or other efficiency and
productivity  initiatives  that  permanently  minimize  or  reduce   the
municipality's operating expenses.
(iii)  To  support  economic development or infrastructure investments
that are necessary  to  achieve  economic  revitalization  and  generate
growth in the municipality's real property tax base.
Provided,  however,  that  if  the additional aid for the state fiscal
year commencing April first, two thousand seven  is  enacted  after  the
adoption of a municipality's budget for the fiscal year beginning in two
thousand   seven   and   cannot   be  used  for  such  purposes  in  the
municipality's current fiscal year, such additional aid shall be held in
fund balance or reserve and used for such purposes in the municipality's
subsequent fiscal year.
g. Accountability requirements. (i) As a condition of  receiving  more
than one hundred thousand dollars in combined additional aid pursuant to
subparagraph  (i)  of paragraph d of this subdivision and paragraph e of
this subdivision, if applicable, each municipality  that  qualifies  for
such additional aid, other than a city subject to a control period under
a state imposed fiscal stability authority, shall submit a comprehensive
fiscal  performance  plan  to  the  director of the budget and the state
comptroller. Such plan shall be submitted to the director of the  budget
and   the   state  comptroller  within  sixty  days  of  adoption  of  a
municipality's most recent budget or within sixty days of the  effective
date of this subdivision, whichever is later, and shall include:
(1) a multi-year financial plan including projected employment levels,
projected  annual  expenditures  for  personal service, fringe benefits,
non-personal  services  and  debt  service;  appropriate  reserve   fund

amounts;  estimated  annual  revenues  including  projected property tax
rates, the value of the taxable real property and  resulting  tax  levy,
annual  growth  in  sales  tax  and  non-property  tax revenues, and the
proposed use of one-time revenue sources. Such multi-year financial plan
shall  consist  of,  at  a  minimum,  four  fiscal  years  including the
municipality's most recently completed fiscal year, its  current  fiscal
year adopted budget, and the subsequent two fiscal years.
(2)  a  fiscal  improvement  plan covering the same time period as the
multi-year financial plan that contains  key  fiscal  performance  goals
necessary  to  achieve and maintain long term fiscal stability, proposed
local actions necessary to achieve such goals, and proposed  performance
measures  necessary to assess actual progress in implementing such local
actions. In the development of such plans, proposed local actions  shall
include,   but   not  be  limited  to,  improved  management  practices,
initiatives  to  minimize  or  reduce  operating  expenses,  and  shared
services agreements with other municipalities; and
(3)  a  fiscal  accountability  report that, for the state fiscal year
commencing April first, two thousand  seven,  describes  accomplishments
and  progress  during  the  preceding  two  local  fiscal  years  toward
achieving management improvements, operational  efficiencies  and  other
actions  necessary  to  achieve fiscal stability. Beginning in the state
fiscal year commencing April first, two  thousand  eight,  and  in  each
fiscal  year  thereafter  through  and  including  the state fiscal year
commencing April first, two  thousand  ten,  the  fiscal  accountability
report shall include: (A) a description of the progress toward achieving
fiscal  performance  goals  identified  in  the  previous  year's fiscal
performance plan; and (B) an accounting of the use of additional  annual
apportionments   and   per  capita  adjustments  provided  for  in  this
subdivision.
(ii) As a condition of  receiving  a  base  level  grant  pursuant  to
paragraph b of this subdivision, each municipality that is a city, other
than  a  city  subject  to a control period under a state imposed fiscal
stability  authority  or  a  city  subject  to   the   requirements   of
subparagraph  (i)  of  this  paragraph  and  each municipality that is a
village that, meets all four fiscal distress indicators in  paragraph  c
of  this  subdivision  shall  develop  a  multi-year financial plan that
includes: projected employment levels, projected annual expenditures for
personal  service,  fringe  benefits,  non-personal  services  and  debt
service;  appropriate  reserve  fund  amounts; estimated annual revenues
including projected property tax rates, the value of  the  taxable  real
property  and  resulting  tax  levy,  annual  growth  in  sales  tax and
non-property tax revenues, and the  proposed  use  of  one-time  revenue
sources.  Such multi-year financial plan shall consist of, at a minimum,
four fiscal years including the municipality's most  recently  completed
fiscal  year,  its current fiscal year adopted budget and the subsequent
two fiscal years. On or before March thirty-first,  two  thousand  eight
and  on or before March thirty-first in each year thereafter through and
including two thousand  eleven,  the  chief  elected  official  of  such
municipality  shall  submit written certification to the director of the
budget that such municipality has complied with the requirements of this
subparagraph.
h.  Compliance  review.  (i)  Compliance  with  the  requirements   of
paragraphs f and g of this subdivision shall be subject to review by the
state  comptroller,  including  any  compliance  review requested by the
director of the budget.
(ii) The state comptroller may direct a  municipality  to  modify  and
resubmit  its  fiscal  performance  plan pursuant to subparagraph (i) of

paragraph g  of  this  subdivision  if  necessary  to  comply  with  the
requirements of paragraph g of this subdivision.
(iii)  If  upon review the state comptroller finds that a municipality
has not satisfied the  requirements  of  paragraphs  f  and  g  of  this
subdivision  he or she shall notify the municipality and the director of
the budget of such finding. Such notice may include a recommendation  to
withhold aid pursuant to subparagraph (iv) of this paragraph.
(iv) Upon notice pursuant to subparagraph (iii) of this paragraph, the
director  of  the  budget  shall  be  authorized  to  direct  the  state
comptroller to withhold aid and incentives for municipalities payable to
such municipality up to the amount of  additional  annual  apportionment
and  per  capita  adjustment  paid in the year in which the municipality
failed to comply with such requirements until compliance is satisfied.
(v) In the event a city fails to provide  the  certification  required
under  the  aid  and  incentives for municipalities program appropriated
pursuant to chapter fifty of the laws of two thousand six or pursuant to
subparagraph (ii) of paragraph g of this subdivision,  the  director  of
the  budget  shall  be  authorized  to  direct  the state comptroller to
withhold aid and incentives for municipalities payable to such  city  up
to  the  amount  of  additional  annual  apportionment  and  per  capita
adjustment  paid  pursuant  to  such  chapter  until  certification   is
provided.
i.  Payments. (i) In the state fiscal year commencing April first, two
thousand seven and in each state  fiscal  year  thereafter  through  and
including  the  state  fiscal  year commencing April first, two thousand
ten, base level grants shall be paid in the same "on or before month and
day" manner as:
(1) paid in the state fiscal year commencing April first, two thousand
six under the aid and incentives for municipalities program in effect at
that time and appropriated in chapter fifty of the laws of two  thousand
six; or
(2)  set  forth  in  part  R  of  chapter fifty-six of the laws of two
thousand four relating to unrestricted aid to certain cities.
(ii) In the state fiscal year commencing  April  first,  two  thousand
seven and in each state fiscal year thereafter through and including the
state  fiscal  year commencing April first, two thousand ten, additional
annual  apportionments  and  per  capita   adjustments   authorized   in
paragraphs  d  and  e  of  this  subdivision  shall be paid on or before
December fifteenth for cities with fiscal years beginning January first,
on or before March fifteenth for all other cities,  and  for  towns  and
villages,  in the same "on or before month and day" manner as their base
level grants are paid pursuant to subparagraph (i) of this paragraph.
(iii) Aid and incentives for municipalities shall be  apportioned  and
paid  to  the  chief  fiscal  officer  of each municipality on audit and
warrant of the state comptroller  out  of  moneys  appropriated  by  the
legislature  for  such  purpose  to  the  credit of the local assistance
account in the general fund of  the  state  treasury.  Any  municipality
receiving  aid  and  incentives  for  municipalities  pursuant  to  this
subdivision shall use such  aid  only  for  general  municipal  purposes
except as provided in subparagraph (iv) of this paragraph.
(iv)  Amounts  payable  to  any  city having a population of less than
fifty-five thousand but more than fifty-four thousand according  to  the
federal decennial census of nineteen hundred ninety shall be apportioned
and paid to the special account for the municipal assistance corporation
for the city of Troy in the municipal assistance state aid fund pursuant
to  section  ninety-two-e  of  this  chapter  and  chapters  one hundred
eighty-seven and one  hundred  eighty-eight  of  the  laws  of  nineteen
hundred ninety-five.
(v)  Notwithstanding  any  inconsistent  provision  of law, additional
annual apportionments pursuant to paragraph d of  this  subdivision  and
pursuant   to   the   aid  and  incentives  for  municipalities  program
appropriated in chapter fifty of the laws of two thousand six shall  not
be  considered  state  aid pursuant to title two of article ten-D of the
public authorities law for any eligible city subject to a control period
under a state imposed fiscal stability authority. Such additional annual
apportionments shall be paid to such authority for distribution to  such
city  within  the  context  of an authority-approved four year financial
plan, for the following purposes:
(i) To maintain, minimize, or reduce the real property tax burden;
(ii) To support investments in  technology  or  other  efficiency  and
productivity   initiatives  that  permanently  minimize  or  reduce  the
municipality's operating expenses;
(iii) To support economic development  or  infrastructure  investments
that  are  necessary  to  achieve  economic  revitalization and generate
growth in the municipality's real property tax base; and
(iv) To minimize or prevent reductions in city services.
(vi) Notwithstanding subparagraph (i) of this paragraph, in the  state
fiscal  year  commencing  April  first,  two  thousand  nine the deficit
reduction adjustment to the base level grants of certain cities pursuant
to paragraph e-one of this subdivision shall be made on or before  March
fifteenth, two thousand ten.
(vii) Notwithstanding subparagraph (i) of this paragraph, in the state
fiscal  year  commencing  April  first, two thousand ten, the base level
grant adjustment pursuant to subparagraph (ii) of paragraph  b  of  this
subdivision shall be made on or before September twenty-fifth for a town
or village, on or before December fifteenth for a city whose fiscal year
begins  January first, and on or before March fifteenth for a city whose
fiscal year does not begin on January first.
(viii) Notwithstanding subparagraph (i)  of  this  paragraph,  in  the
state  fiscal year commencing April first, two thousand eleven, the base
level grant adjustment pursuant to subparagraph (iv) of paragraph  b  of
this subdivision shall be made on or before September twenty-fifth for a
town or village, on or before December fifteenth for a city whose fiscal
year  begins  January first, and on or before March fifteenth for a city
whose fiscal year does not begin January first.
(ix) Notwithstanding subparagraph (i) of this paragraph, in the  state
fiscal  year  commencing  April  first,  two thousand nineteen, the base
level grant adjustment pursuant to subparagraph (v) of  paragraph  b  of
this subdivision shall be made on or before September twenty-fifth for a
town or village.
j.  Special  aid  and incentives for municipalities to the city of New
York. In the state fiscal year  commencing  April  first,  two  thousand
seven  a  city  with  a  population of one million or more shall receive
twenty million dollars on or before December  fifteenth.  In  the  state
fiscal  year  commencing  April first, two thousand eight, a city with a
population of one million or more shall receive two  hundred  forty-five
million  nine  hundred  forty-four  thousand  eight  hundred thirty-four
dollars payable on or before December fifteenth.  In  the  state  fiscal
year commencing April first, two thousand nine, a city with a population
of  one  million  or  more  shall  receive three hundred one million six
hundred fifty-eight thousand four hundred ninety-five dollars payable on
or  before  December  fifteenth.  Special   aid   and   incentives   for
municipalities  to the city of New York shall be apportioned and paid as
required as follows:
(i)  Any  amounts  required  to  be  paid  to  the   city   university
construction fund pursuant to the city university construction fund act;
(ii)  Any  amounts  required  to  be paid to the New York city housing
development  corporation  pursuant  to  the  New   York   city   housing
development corporation act;
(iii) Five hundred thousand dollars to the chief fiscal officer of the
city  of New York for payment to the trustees of the police pension fund
of such city;
(iv) Eighty million dollars to the special account for  the  municipal
assistance  corporation  for  the  city  of  New  York  in the municipal
assistance tax fund created pursuant to  section  ninety-two-d  of  this
chapter  to  the  extent  that  such  amount  has  been  included by the
municipal assistance corporation  for  the  city  of  New  York  in  any
computation for the issuance of bonds on a parity with outstanding bonds
pursuant  to  a  contract  with  the  holders of such bonds prior to the
issuance of any other bonds  secured  by  payments  from  the  municipal
assistance  corporation  for  the  city  of  New  York  in the municipal
assistance state aid fund created pursuant to  section  ninety-two-e  of
this chapter;
(v)  The  balance  of the special account for the municipal assistance
corporation for the city of New York in the municipal  assistance  state
aid fund created pursuant to section ninety-two-e of this chapter;
(vi)  Any  amounts  to be refunded to the general fund of the state of
New York pursuant to the annual appropriation enacted for the  municipal
assistance state aid fund;
(vii)  To  the  state  of  New  York municipal bond bank agency to the
extent provided by section twenty-four hundred thirty-six of the  public
authorities law; and
(viii)  To  the  transit  construction  fund to the extent provided by
section twelve hundred twenty-five-i of the public authorities law,  and
thereafter to the city of New York.
Notwithstanding  any  other  law to the contrary, the amount paid to any
city with a population of one million or  more  on  or  before  December
fifteenth  shall  be  for  an  entitlement period ending the immediately
preceding June thirtieth.
k. Contingency payments for the city of New York. For the state fiscal
year commencing April first, two thousand seven and in each state fiscal
year thereafter through and including the state fiscal  year  commencing
April first, two thousand ten, a contingency appropriation shall be made
available in the event payments are required as follows:
(i)   Any   amounts  required  to  be  paid  to  the  city  university
construction fund pursuant to the city university construction fund act;
(ii) Any amounts required to be paid to  the  New  York  city  housing
development   corporation   pursuant   to  the  New  York  city  housing
development corporation act;
(iii) Five hundred thousand dollars to the chief fiscal officer of the
city of New York for payment to the trustees of the police pension  fund
of such city;
(iv)  Eighty  million dollars to the special account for the municipal
assistance corporation for  the  city  of  New  York  in  the  municipal
assistance  tax  fund  created  pursuant to section ninety-two-d of this
chapter to the  extent  that  such  amount  has  been  included  by  the
municipal  assistance  corporation  for  the  city  of  New  York in any
computation for the issuance of bonds on a parity with outstanding bonds
pursuant to a contract with the holders  of  such  bonds  prior  to  the
issuance  of  any  other  bonds  secured  by payments from the municipal
assistance corporation for  the  city  of  New  York  in  the  municipal
assistance  state  aid  fund created pursuant to section ninety-two-e of
this chapter;
(v) The balance of the special account for  the  municipal  assistance
corporation  for  the city of New York in the municipal assistance state
aid fund created pursuant to section ninety-two-e of this chapter;
(vi)  Any  amounts  to be refunded to the general fund of the state of
New York pursuant to the annual appropriation enacted for the  municipal
assistance state aid fund;
(vii)  To  the  state  of  New  York municipal bond bank agency to the
extent provided by section twenty-four hundred thirty-six of the  public
authorities law; and
(viii)  To  the  transit  construction  fund to the extent provided by
section twelve hundred twenty-five-i of the public authorities law,  and
thereafter to the city of New York.
l.  Consolidations,  mergers,  or dissolutions; entitlement to aid and
incentives for municipalities. (i) In the case where any city, town,  or
village  consolidates,  merges or dissolves, and the resulting successor
government has  filed  with  the  office  of  the  state  comptroller  a
certificate  of  any  such  consolidation,  merger, or dissolution, such
successor government shall be entitled to receive all  payments  of  aid
and incentives for municipalities which, pursuant to paragraphs b, d and
e  of  this  subdivision,  would  have  been  otherwise  payable  to the
individual  cities,  towns,  or  villages  that  were  party   to   such
consolidation, merger, or dissolution.
(ii)  The  annual  amount  of  such payments of aid and incentives for
municipalities that any city, town, or village in which  a  municipality
has  consolidated,  merged, or dissolved shall be eligible to receive on
the date such  city,  town,  or  village  is  consolidated,  merged,  or
dissolved shall continue to be paid pursuant to paragraphs b, d and e of
this  subdivision for every state fiscal year following the date of such
consolidation, merger, or dissolution. In instances where only a portion
of a city, town, or village is party  to  a  consolidation,  merger,  or
dissolution,  aid  and  incentives  for  municipalities  payable  to the
resulting successor government shall include only a pro  rata  share  of
the  aid  otherwise due and payable to such city, town, or village. Such
pro rata share shall be based on a ratio of  the  two  thousand  federal
decennial  census  population  of  the  portion consolidated, merged, or
dissolved as compared to the total two thousand federal decennial census
population of the city, town, or village party  to  such  consolidation,
merger, or dissolution.
m.  Shared municipal services incentive awards applicable to the state
fiscal year commencing April first, two thousand five.  (i)  Within  the
amounts  appropriated  in  chapter sixty-two of the laws of two thousand
five therefor, the secretary of state may award  competitive  grants  to
two  or  more  municipalities  to  cover  costs associated with mergers,
consolidations, cooperative agreements, dissolutions and shared services
of municipalities where authorized by state law.
(ii) For the purposes of this paragraph, "municipalities"  shall  mean
counties, cities, towns, villages and school districts.
(iii)  Such  grants  may  be  used  to cover the costs associated with
consolidations, dissolutions, cooperative agreements and shared services
of municipalities, including, but not limited to, legal  and  consultant
services,  feasibility studies, capital improvements and other necessary
expenses.
(iv) The maximum grant awarded shall not exceed one  hundred  thousand
dollars per municipality.
(v)  Local  matching funds, equal to ten percent of the total approved
project cost, shall be required.
(vi) No part of the grant shall be used by the applicant for recurring
expenses such as salaries.
(vii) The secretary of state shall, prior to the acceptance  of  grant
applications,  adopt  rules  and  regulations  to  establish eligibility
requirements, application forms and procedures, criteria of  review  and
grant approval guidelines.
n. Shared municipal services incentive program applicable to the state
fiscal  year  commencing  April  first,  two  thousand seven. (i) Shared
municipal services incentive awards. Within the amount  appropriated  in
chapter  fifty of the laws of two thousand seven therefor, the secretary
of state may award competitive grants to two or more  municipalities  to
cover  costs  associated  with  consolidations,  mergers,  dissolutions,
cooperative agreements  and  shared  services  of  municipalities  where
authorized by state law as follows:
(1)  For  the  purposes of this paragraph, "municipalities" shall mean
counties, cities, towns, villages, special improvement  districts,  fire
districts, and school districts; provided, however, that for purposes of
this  definition,  a  school district shall be considered a municipality
only in instances where a school district advances an application for  a
grant  to  cover  costs associated with cooperative agreements or shared
services. For purposes  of  this  definition,  a  board  of  cooperative
educational   services  shall  be  considered  a  municipality  only  in
instances where such board of cooperative educational services  advances
a  joint  shared  service  application on behalf of school districts and
other  municipalities  within  the  board  of  cooperative   educational
services  region;  provided, however, that any shared service agreements
with a board of cooperative educational services:
(A) shall not generate additional state aid;
(B) shall be deemed not to be a  part  of  the  program,  capital  and
administrative  budgets of the board of cooperative educational services
for the purposes of computing charges upon  component  school  districts
pursuant  to  subparagraph  seven  of paragraph b of subdivision four of
section nineteen hundred fifty and subdivision one of  section  nineteen
hundred fifty-one of the education law; and
(C) shall be deemed to be a cooperative municipal service for purposes
of  subparagraph  two  of  paragraph  d  of  subdivision four of section
nineteen hundred fifty of the education law.
(2) Such grants may be used to cover costs, including, but not limited
to,  legal  and  consultant  services,  feasibility   studies,   capital
improvements,  and  other  necessary  expenses. The amounts awarded to a
school district pursuant to this paragraph shall not be included in  the
approved  operating  expense  of  the  school  district  as  defined  in
paragraph t of subdivision one of section thirty-six hundred two of  the
education law.
(3)  The  maximum  grant awarded shall not exceed two hundred thousand
dollars per municipality.
(4) Local matching funds, equal to ten percent of the  total  approved
project or initiative cost shall be required.
(5)  No part of the grant shall be used by the applicant for recurring
expenses such as salaries.
(6) In the selection of grant awards, the  secretary  of  state  shall
give priority to applications that:
(A)  include  a  municipality  that  meets  any of the fiscal distress
indicators in paragraph c of this subdivision;
(B) plan or implement the  consolidation,  merger  or  dissolution  of
municipalities;
(C)  share services between school districts and other municipalities,
including applications submitted by boards  of  cooperative  educational
services as defined in clause one of subparagraph (i) of this paragraph;
(D)   share   highway  services,  including  joint  highway  equipment
purchases, capital improvements  that  benefit  two  or  more  municipal
highway  departments, contractual services between two or more municipal
highway departments or for the consolidation of two  or  more  municipal
highway departments;
(E)   consolidate   health  benefit  plans  offered  by  two  or  more
municipalities;
(F) encourage countywide shared services, where a  county  develops  a
countywide  shared  services  plan  under  which  municipalities in such
county agree to participate  in  shared  services,  including,  but  not
limited  to,  public  safety, purchasing, payroll, and real property tax
assessment.
(7) The secretary of state shall, prior to  the  acceptance  of  grant
applications,  promulgate  rules  and  regulations  including,  but  not
limited to, (A) award eligibility criteria, and (B) application,  review
and grant approval procedures. The secretary of state shall also require
that  such  awards  be granted only for services that would otherwise be
individually provided by each grantee and  that  demonstrable  financial
savings result from such sharing, unless such awards are for feasibility
studies.  The  secretary  of  state may consult with the commissioner of
transportation, the president of the state civil service commission,  or
any  other  appropriate state official as needed to establish such rules
and regulations.
o. Local government efficiency grant program beginning  in  the  state
fiscal  year  commencing  April first, two thousand eight and continuing
until the end of the state  fiscal  year  commencing  April  first,  two
thousand  ten.  (i) Definitions. (1) For the purposes of this paragraph,
"municipality" shall mean counties,  cities,  towns,  villages,  special
improvement  districts,  fire  districts,  public libraries, association
libraries, water authorities, sewer authorities, regional  planning  and
development   boards,   school  districts,  and  boards  of  cooperative
educational services; provided, however, that for the purposes  of  this
definition,  a  board  of  cooperative  educational  services  shall  be
considered  a  municipality  only  in  instances  where  such  board  of
cooperative  educational services advances a joint application on behalf
of school  districts  and  other  municipalities  within  the  board  of
cooperative  educational  services  region;  provided, however, that any
agreements with a board of cooperative educational services:  shall  not
generate  additional  state aid; shall be deemed not to be a part of the
program, capital and administrative budgets of the board of  cooperative
educational   services  for  the  purposes  of  computing  charges  upon
component school districts pursuant to subparagraph seven of paragraph b
of subdivision four of section nineteen hundred  fifty  and  subdivision
one  of  section  nineteen  hundred fifty and subdivision one of section
nineteen hundred fifty-one of the education law; and shall be deemed  to
be  a  cooperative municipal service for purposes of subparagraph two of
paragraph d of subdivision four of section nineteen hundred fifty of the
education law.
(2) For the purposes of  this  paragraph,  "functional  consolidation"
shall  mean  when  one  municipality  completely  provides  a service or
function for another municipality,  which  no  longer  engages  in  that
service or function.
(ii)  High  priority  planning  grants.  (1) Within the annual amounts
appropriated therefor, the secretary of state  may  award  grants  to  a
municipality  to cover costs associated with plans and studies developed
for  a  city  or  county  charter  revision  which  includes  functional
consolidation  or increased shared services and for the dissolution of a
village; and to  two  or  more  municipalities  for  plans  and  studies

developed   for   mergers,  consolidations,  and  dissolutions;  sharing
services  or  transferring  functions  that  would  be  performed  on  a
countywide  basis; and conducting services on a multi-county or regional
basis. Additional grant categories may be identified by the secretary of
state,   in   consultation  with  the  commission  on  local  government
efficiency  and  competitiveness,  and  included  in   a   request   for
applications.
(2)  Such  plans  and  studies  shall  include  an  examination of the
potential  financial  savings  and  management  improvements  from  such
charter revision, consolidation, dissolution, merger or shared services.
(3)  High  priority  planning  grants  may  be  used  to  cover  costs
including, but not limited to, legal and consultant services  and  other
necessary expenses. The amounts awarded to a school district pursuant to
this  subparagraph  shall  not  be  included  in  the approved operating
expense of the school district as defined in paragraph t of  subdivision
one  of  section thirty-six hundred two of the education law. No part of
the grant shall be used by the applicant for recurring expenses such  as
salaries.
(4)  The maximum high priority planning grant awarded shall not exceed
fifty thousand dollars per application. Award amounts may vary by  grant
category as identified in the request for applications.
(5)  Matching  funds  equal  to  ten  percent  of  the  total  cost of
activities under the grant work plan approved by the department of state
shall be required.
(iii) General  efficiency  planning  grants.  (1)  Within  the  annual
amounts   appropriated  therefor,  the  secretary  of  state  may  award
competitive  grants  to  two  or  more  municipalities  to  cover  costs
associated with plans and studies for potential functional consolidation
or shared services involving two or more municipalities.
(2)  Such  plans  and  studies  shall  include  an  examination of the
potential  financial  savings  and  management  improvements  from  such
functional consolidation or shared services.
(3)  General  efficiency  planning  grants  may be used to cover costs
including, but not limited to, legal and consultant services  and  other
necessary expenses. The amounts awarded to a school district pursuant to
this  subparagraph  shall  not  be  included  in  the approved operating
expense of the school district as defined in paragraph t of  subdivision
one  of  section thirty-six hundred two of the education law. No part of
the grant shall be used by the applicant for recurring expenses such  as
salaries.
(4)  The  maximum  general efficiency planning grant awarded shall not
exceed  twenty-five   thousand   dollars   per   application   for   two
municipalities,  with  an  additional  one  thousand  dollars  for  each
additional municipality  participating  in  the  application;  provided,
however, that in no case shall such an application receive a grant award
in excess of thirty-five thousand dollars.
(5)  Local  matching  funds  equal to ten percent of the total cost of
activities under the grant work plan approved by the secretary of  state
shall be required.
(6)  In  the  selection  of grant awards, the secretary of state shall
give the highest priority to  applications  that  would  result  in  the
complete  functional consolidation of a municipal service and shall also
give priority to applications that include a municipality which meets at
least three of the fiscal distress indicators in  paragraph  c  of  this
subdivision,  that  include  the  consolidation  of health benefit plans
offered  by  two  or  more  municipalities,  or  that  would  result  in
contractual  services  between two or more municipal highway departments
or the consolidation of  two  or  more  municipal  highway  departments;

provided,  however,  that to receive a general efficiency planning grant
award, an applicant shall indicate that an objective  of  the  study  or
plan  for  functional  consolidation  or  shared  services is to realize
financial savings upon implementation.
(iv)  Efficiency  implementation grants. (1) Within the annual amounts
appropriated therefor, the secretary  of  state  may  award  competitive
grants  to  two  or  more  municipalities to cover costs associated with
consolidations, mergers, dissolutions, cooperative agreements and shared
services where authorized by state law and where demonstrable  financial
savings  would  result  from  such  consolidation,  merger, dissolution,
cooperative agreement or shared service.
(2) Efficiency implementation  grants  may  be  used  to  cover  costs
including,  but  not  limited to, legal and consultant services, capital
improvements,   transitional   personnel   costs   essential   for   the
implementation  of  the  approved  efficiency  implementation grant work
plan, and other necessary expenses.  Grants  may  be  used  for  capital
improvements,  transitional personnel costs or joint equipment purchases
only where such expenses are integral to the coordinated or consolidated
service delivery. The amounts awarded to a school district  pursuant  to
this  subparagraph  shall  not  be  included  in  the approved operating
expense of the school district as defined in paragraph t of  subdivision
one of section thirty-six hundred two of the education law.
(3)  The  maximum  efficiency  implementation  grant awarded shall not
exceed two hundred thousand dollars per municipality; provided, however,
that in no case shall such an  application  receive  a  grant  award  in
excess of one million dollars.
(4)  Local  matching  funds  equal to ten percent of the total cost of
activities under the grant work plan approved by the department of state
shall be required. In the event an applicant is implementing  a  project
that  the  applicant developed through a successfully completed planning
grant funded under the local government efficiency grant program or  the
shared  municipal  services  incentive grant program, the local matching
funds required shall be reduced by the local matching funds required  by
such successfully completed planning grant.
(5)  No part of the grant shall be used by the applicant for recurring
expenses such as salaries, except that the salaries of certain personnel
essential for the effectuation of the joint activity shall  be  eligible
for a period not to exceed three years.
(6)  In  the  selection  of grant awards, the secretary of state shall
give the highest priority  to  applications  that  would  implement  the
merger,  dissolution  or  consolidation  of municipalities or that would
implement the complete functional consolidation of a municipal  service,
and  shall  also  give  priority  to  applications that are submitted by
applicants that successfully completed a high  priority  planning  grant
pursuant  to  subparagraph  (ii)  of  this paragraph or a planning grant
under the shared municipal services incentive grant program for  one  of
the  types  of high priority activity identified in subparagraph (ii) of
this paragraph; that include a municipality which meets at  least  three
of  the  fiscal  distress indicators in paragraph c of this subdivision;
that would consolidate health benefit  plans  offered  by  two  or  more
municipalities; or that would result in contractual services between two
or  more  municipal  highway  departments or the consolidation of two or
more municipal highway departments.
(v) Twenty-first century demonstration project grants. (1) Within  the
amounts   appropriated   therefor,   subject  to  a  plan  developed  in
consultation with the commission  on  local  government  efficiency  and
competitiveness  and  approved  by  the  director  of  the  budget,  the
secretary of state may award competitive  grants  to  municipalities  to

cover  costs  associated  with  a  functional  consolidation or a shared
services agreement having great potential to achieve  financial  savings
and   serve   as   a  model  for  other  municipalities,  including  the
consolidation  of services on a multi-county basis, the consolidation of
certain services countywide as identified in such plan, the creation  of
a   regional  entity  empowered  to  provide  multiple  functions  on  a
countywide or regional basis, the creation of a regional or  city-county
consolidated municipal government, the consolidation of school districts
or supporting services for school districts encompassing the area served
by  a  board  of  cooperative educational services, or the creation of a
regional smart growth compact or program.
(2) Twenty-first century demonstration project grants may be  used  to
cover  costs  including,  but  not  limited  to,  legal  and  consultant
services, capital improvements, transitional personnel  costs  essential
for   the   implementation   of   the   approved   twenty-first  century
demonstration project grant work plan,  and  other  necessary  expenses.
Grants  may  be  used  for  capital improvements, transitional personnel
costs or joint equipment purchases only where such expenses are integral
to the coordinated or consolidated service delivery.
(3) The  maximum  twenty-first  century  demonstration  project  grant
awarded shall not exceed four hundred thousand dollars per municipality.
Award  amounts  may  vary by grant category as identified in the request
for applications.
(4) Local matching funds equal to ten percent of  the  total  cost  of
activities under the grant work plan approved by the department of state
shall be required.
(vi)  The  secretary  of state shall, prior to the acceptance of grant
applications,  promulgate  rules  and  regulations  including,  but  not
limited  to, (1) award eligibility criteria, and (2) application, review
and grant approval procedures. The secretary of state shall also require
that such awards be granted only for services that  would  otherwise  be
individually  provided  by  each grantee and that demonstrable financial
savings result from such sharing, unless such awards are for feasibility
studies. The secretary of state may consult  with  the  commissioner  of
transportation,  the president of the state civil service commission, or
any other appropriate state official as needed to establish  such  rules
and regulations.
(vii)  Evaluation  of  grant  program.  The  department of state shall
prepare an annual report to the governor  and  the  legislature  on  the
effectiveness of the shared municipal services incentive program and the
local government efficiency grant program. Such report shall be provided
on  or  before  October first of each year and shall include, but not be
limited to, the following: a summary of applications and awards for each
grant category, an assessment  of  progress  in  the  implementation  of
initiatives  that received grant awards, estimated financial savings and
significant improvements in service realized by municipalities that have
received grants and an  evaluation  of  the  effectiveness  of  regional
technical  assistance  and  state agency assistance provided pursuant to
subparagraphs (vii) and (viii) of this paragraph.
(viii)  Regional  technical  assistance.  Within  the  annual  amounts
appropriated   therefor,   a   portion  of  the  administrative  funding
appropriated for the local government efficiency grant  program  may  be
used  to  support  technical  assistance  provided  by  regionally-based
organizations, pursuant to a plan submitted by the secretary of state in
consultation with the commission  on  local  government  efficiency  and
competitiveness  and  subject to approval by the director of the budget,
including but not limited to regional planning and  development  boards,
not-for-profit organizations that support local government concerns, and

academic  institutions. Regional technical assistance shall include, but
not be limited to, developing service sharing and  consolidation  guides
and manuals, providing presentations on how to undertake consolidations,
and  providing assistance in developing consolidation and shared service
agreements. Providers of regional technical assistance shall measure and
report to the secretary of state on the effectiveness of such assistance
in facilitating shared services or consolidation among municipalities.
(ix) State agency assistance. Within the annual  amounts  appropriated
therefor, a portion of administrative funding appropriated for the local
government  efficiency grant program may be used to support new programs
of  state  agency  assistance  to  achieve   financial   savings   among
municipalities  through  functional  consolidation  or  shared  services
pursuant to a plan submitted by such agency and approved by the director
of the budget. State agencies that provide such assistance shall measure
and report to the director  of  the  budget,  the  commission  on  local
government efficiency and competitiveness, and the secretary of state on
the  effectiveness  of  such  assistance in achieving cost savings among
municipalities.
p. Citizen empowerment tax  credit.  (i)  For  the  purposes  of  this
paragraph,  "municipalities"  shall  mean  cities with a population less
than one million, towns created on or before December thirty-first,  two
thousand  seventeen,  and  villages  incorporated  on or before December
thirty-first, two thousand seventeen.
(ii)  Within  the  annual  amounts  appropriated  therefor,  surviving
municipalities  following a consolidation or dissolution occurring on or
after the state fiscal year commencing April first, two thousand  seven,
and  any  new coterminous town-village established after July first, two
thousand twelve that operates principally as a town or as a village  but
not  as  both  a  town and a village, shall be awarded additional annual
aid, starting in the state fiscal year following the state  fiscal  year
in  which  such  reorganization took effect, equal to fifteen percent of
the combined amount  of  real  property  taxes  levied  by  all  of  the
municipalities  participating  in the reorganization in the local fiscal
year prior to the local fiscal year in which  such  reorganization  took
effect.  In  instances  of  the dissolution of a village located in more
than one town, such additional  aid  shall  equal  the  sum  of  fifteen
percent of the real property taxes levied by such village in the village
fiscal  year  prior to the village fiscal year in which such dissolution
took effect plus fifteen percent of the average amount of real  property
taxes  levied  by the towns in which the village was located in the town
fiscal year prior to the town fiscal year in which such dissolution took
effect, and shall be divided among such towns based on the percentage of
such village's population that resided in each such town as of the  most
recent  federal decennial census. In no case shall the additional annual
aid pursuant to this paragraph exceed one million dollars. For  villages
in which a majority of the electors voting at a referendum on a proposed
dissolution  pursuant  to  section  seven  hundred eighty of the general
municipal law vote in favor of dissolution after December  thirty-first,
two  thousand  seventeen,  in  no  case  shall the additional annual aid
pursuant to this paragraph exceed the lesser of one million  dollars  or
the  amount of real property taxes levied by such village in the village
fiscal year prior to the village fiscal year in which  such  dissolution
took effect. Such additional annual aid shall be apportioned and paid to
the  chief  fiscal  officer  of  each eligible municipality on or before
September twenty-fifth of each such  state  fiscal  year  on  audit  and
warrant  of  the  state  comptroller  out  of moneys appropriated by the
legislature for such purpose to the credit of the local assistance fund.
(iii) Any municipality receiving  a  citizen  empowerment  tax  credit
pursuant  to  this  paragraph shall use at least seventy percent of such
aid for property tax relief and the balance  of  such  aid  for  general
municipal  purposes.  For each local fiscal year following the effective
date  of  the  chapter  of the laws of two thousand eleven which amended
this paragraph in which such aid is payable, a statement shall be placed
on each property tax bill for such  municipality  in  substantially  the
following  form: "Your property tax savings this year resulting from the
State Citizen Empowerment Tax Credit received as  the  result  of  local
government  re-organization  is  $______." The property tax savings from
the citizen empowerment tax credit for each property tax bill  shall  be
calculated  by (1) multiplying the amount of the citizen empowerment tax
credit used for property tax relief by  the  amount  of  property  taxes
levied on such property by such municipality and (2) dividing the result
by the total amount of property taxes levied by such municipality.
q.   Local   government  citizens  re-organization  empowerment  grant
program.  (i) (1) For the purposes of this paragraph, "local  government
entity"  or  "entity"  shall  mean  a  town,  village, district, special
improvement district or other improvement district, including,  but  not
limited  to,  special  districts  created  pursuant  to articles eleven,
twelve, twelve-A or thirteen of the town  law,  library  districts,  and
other  districts  created  by  law;  provided,  however,  that  a  local
government entity shall not include school districts, city districts  or
special purpose districts created by counties under county law.
(2)   For   the   purposes   of   this  paragraph,  "local  government
re-organization" shall mean the consolidation or dissolution of a  local
government  entity in accordance with article seventeen-A of the general
municipal law or the establishment of  a  new  coterminous  town-village
that  operates  principally  as a town or as a village but not as both a
town and a village.
(ii) Within the annual amounts appropriated therefor, the secretary of
state may award grants to  local  government  entities  to  cover  costs
associated  with  studies,  plans, and implementation efforts related to
local government re-organization activities.
(iii) Study projects shall include an  examination  of  the  potential
financial savings, management improvements, and service delivery changes
resulting  from  a  local  government  re-organization, legal issues and
impediments  surrounding  the  re-organization,  recommended  steps   to
complete the re-organization, as well as options for cost-savings if the
re-organization is not completed.
(iv)  Local government citizens re-organization empowerment grants may
be used to  cover  costs  including,  but  not  limited  to,  legal  and
consultant  services, capital improvements, transitional personnel costs
and  other  necessary  expenses  related  to  re-organization  analysis,
planning   and   implementation.   Grants   may   be  used  for  capital
improvements, transitional personnel costs or joint equipment  purchases
only   where  such  expenses  are  integral  to  implementation  of  the
re-organization. No part of the grant shall be used by the applicant for
recurring expenses such as salaries, except that the salaries of certain
transitional  personnel  essential  for  the   implementation   of   the
re-organization  shall  be  eligible  for  a  period not to exceed three
years.
(v) Where the electors of a  local  government  entity  have  filed  a
petition  pursuant  to  article seventeen-A of the general municipal law
that will require a referendum  on  the  question  of  consolidation  or
dissolution of the local government entity, such local government entity
will  be  eligible for an expedited grant to cover costs associated with
the development and dissemination to the electors of information related

to the re-organization question before such referendum. The secretary of
state shall develop processes that will permit expedited  financial  and
technical  assistance  to  such local government entities, including but
not  limited  to  pre-qualified consultants, direct technical assistance
from program staff and pre-established work plans.
(vi) The  maximum  cumulative  grant  award  for  a  local  government
re-organization  shall  not exceed one hundred thousand dollars. A local
government   citizens   re-organization   empowerment   grant   for    a
re-organization  study  shall  in no event exceed fifty thousand dollars
per application, of which up to  twenty-five  thousand  dollars  may  be
awarded   on   an   expedited   basis.   A   local  government  citizens
re-organization empowerment grant for the planning or implementation  of
a  re-organization  shall not exceed fifty thousand dollars. In no event
shall the cumulative grant awards for a local government re-organization
exceed one hundred thousand dollars.
(vii) Matching funds equal to at least fifty percent of the total cost
of activities under the grant work plan approved by  the  department  of
state shall be required for a local government re-organization grant for
a  re-organization  study,  except for such grants that are awarded to a
local government entity eligible for  an  expedited  grant  pursuant  to
subparagraph  (v)  of  this  paragraph. Upon implementation of the local
government re-organization, the local matching funds  required  by  such
grant  for  a  re-organization  study  shall  be refunded except for ten
percent of the total cost  of  activities  under  the  grant  work  plan
approved  by  the  department of state. Matching funds equal to at least
ten percent of the total cost of activities under the  grant  work  plan
approved  by  the  department  of  state  shall  be required for a local
government re-organization grant for a re-organization study awarded  to
a  local  government  entity eligible for an expedited grant pursuant to
subparagraph  (v)  of  this  paragraph  and  for  a   local   government
re-organization grant for the implementation of a re-organization.
(viii)  Within  one  week  of  the  receipt  of  an  application,  the
department of state shall review the application to ensure the applicant
has filed the correct application, and  to  determine  if  any  required
sections  of the application contain no information. Within one business
day of determining an applicant has filed an incorrect  application,  or
determining an application contains no information in a section required
to  contain  information,  the department shall so notify the applicant.
Applicants shall be permitted  to  amend  an  application  found  to  be
missing  information,  and  such  application  shall be reconsidered for
approval if it is amended by the application deadline. If  an  applicant
has  submitted  an  incorrect  application, the applicant may submit the
correct application to the appropriate program by the deadline for  such
program   for   consideration.   Under   no   circumstances  shall  this
subparagraph be deemed to  require  the  extension  of  any  application
deadline  established  by  the  department,  nor  shall  it obligate the
department to conduct a  substantive  review  of  the  contents  of  any
application  outside of the procedures established by the department for
the purposes of maintaining  the  competitive  integrity  of  the  grant
program.
(ix)  Written  notice  shall be provided to an applicant of a decision
regarding the grant or denial of an award under this  paragraph,  within
thirty days after such decision.
r.  Local  government  efficiency grant program beginning in the state
fiscal year commencing April first, two thousand eleven  and  continuing
until  the  end  of  the  state  fiscal year commencing April first, two
thousand  twelve.  (i)  (1)  For  the  purposes   of   this   paragraph,
"municipality"  shall  mean  a  county,  city,  town,  village,  special

improvement  district,  fire  district,  public   library,   association
library,  or  public  library  system  as defined by section two hundred
seventy-two of  the  education  law,  provided  however,  that  for  the
purposes of this definition, a public library system shall be considered
a  municipality  only  in  instances  where  such  public library system
advances a joint application on behalf of its  member  libraries,  water
authority,  sewer  authority,  regional  planning and development board,
school district, or board of cooperative educational services; provided,
however,  that  for  the  purposes  of  this  definition,  a  board   of
cooperative educational services shall be considered a municipality only
in  instances  where  such  board  of  cooperative  educational services
advances a joint application on behalf of  school  districts  and  other
municipalities  within  the  board  of  cooperative educational services
region;  provided,  however,  that  any  agreements  with  a  board   of
cooperative  educational  services:  shall not generate additional state
aid; shall be deemed not to be  a  part  of  the  program,  capital  and
administrative  budgets of the board of cooperative educational services
for the purposes of computing charges upon  component  school  districts
pursuant  to  subdivision  one  and subparagraph seven of paragraph b of
subdivision four of section nineteen hundred fifty and  subdivision  one
of section nineteen hundred fifty-one of the education law; and shall be
deemed   to   be   a  cooperative  municipal  service  for  purposes  of
subparagraph two of paragraph d of subdivision four of section  nineteen
hundred fifty of the education law.
(2)  For  the  purposes  of this paragraph, "functional consolidation"
shall mean one municipality completely providing a service  or  function
for  another  municipality,  which  no  longer  provides such service or
function.
(ii) Within the annual amounts appropriated therefor, the secretary of
state may award competitive grants  to  municipalities  to  cover  costs
associated with local government efficiency projects, including, but not
limited  to, planning for or implementation of a municipal consolidation
or dissolution, a functional consolidation, a  city  or  county  charter
revision  that  includes functional consolidation, shared or cooperative
services, and regionalized delivery of services; provided, however, that
such  local  government  efficiency  projects   must   demonstrate   new
opportunities   for  financial  savings  and  operational  efficiencies;
provided, further, that eligible local  government  efficiency  projects
shall   not   include   studies   and   plans  for  a  local  government
re-organization  eligible  to  receive  a  local   government   citizens
re-organization  empowerment  grant  pursuant  to  paragraph  q  of this
subdivision. The secretary of state  may  focus  the  grant  program  in
specific  functional  areas,  within distressed communities and areas of
historically high local government costs and property taxes, or in areas
of unique opportunity, in which  case  such  areas  of  focus  shall  be
detailed in a request for applications.
(iii)  Any  approved project shall include an examination of financial
savings,  return  on  public  investment  and  management   improvements
resulting from project implementation.
(iv)  Local  government  efficiency  grants may be used to cover costs
including, but not limited to, legal and  consultant  services,  capital
improvements,  transitional personnel costs and other necessary expenses
related to implementing the approved local government  efficiency  grant
work  plan.  Grants  may  be used for capital improvements, transitional
personnel costs or joint equipment purchases only  where  such  expenses
are  integral  to  implementation  of  the  local  government efficiency
project. No part of the  grant  shall  be  used  by  the  applicant  for
recurring expenses such as salaries, except that the salaries of certain

transitional  personnel essential for the implementation of the approved
local government efficiency grant work plan  shall  be  eligible  for  a
period  not  to  exceed  three  years.  The  amounts awarded to a school
district  pursuant  to  this  subparagraph  shall not be included in the
approved  operating  expense  of  the  school  district  as  defined  in
paragraph  t of subdivision one of section thirty-six hundred two of the
education law.
(v)  The  maximum  cumulative  grant  award  for  a  local  government
efficiency  project  shall  not  exceed two hundred thousand dollars per
municipality; provided, however, that in no case shall  such  a  project
receive  a  cumulative grant award in excess of one million dollars. The
maximum grant award for a local government efficiency planning  project,
or  the  planning component of a project that includes both planning and
implementation of a  local  government  efficiency  project,  shall  not
exceed twenty-five thousand dollars per municipality; provided, however,
that  in no event shall such a planning project receive a grant award in
excess of two hundred thousand dollars.
(vi) Local matching funds equal to ten percent of the  total  cost  of
activities under the grant work plan approved by the department of state
shall  be  required. In the event an applicant is implementing a project
that the applicant developed through a successfully  completed  planning
grant  funded under the local government efficiency grant program or the
shared municipal services incentive grant program,  the  local  matching
funds  required shall be reduced by the local matching funds required by
such successfully completed planning grant.
(vii) In the selection of grant awards, the secretary of  state  shall
give  the highest priority to applications: (1) that would result in the
dissolution or consolidation of municipalities; (2) that would implement
the complete functional consolidation of a municipal service; or (3)  by
local  governments  with  historically high costs of local government or
sustained increases in property taxes. Priority will also  be  given  to
municipalities  that have previously completed a planning grant pursuant
to this  program  or  the  shared  municipal  services  incentive  grant
program,  and  to  local  governments  currently  involved  in  regional
development projects that have received funds  through  state  community
and infrastructure development programs.
(viii)  The  department of state shall prepare an annual report to the
governor  and  the  legislature  on  the  effectiveness  of  the   local
government  efficiency  grant  program and the local government citizens
re-organization empowerment grant program. Such report shall be provided
on or before October first of each year and shall include,  but  not  be
limited to, the following: a summary of applications and awards for each
grant  category,  an  assessment of progress in implementing initiatives
that  received  grant  awards,  and  estimated  financial  savings   and
significant improvements in service realized by municipalities that have
received grants.
s.  Local  government  efficiency grant program beginning in the state
fiscal year commencing April first, two thousand thirteen. (i)  (1)  For
the  purposes  of  this  paragraph,  "municipality" shall mean a county,
city, town, village, special improvement district, fire district, public
library, association library, or public library  system  as  defined  by
section  two hundred seventy-two of the education law, provided however,
that for the purposes of this definition, a public library system  shall
be considered a municipality only in instances where such public library
system  advances  a joint application on behalf of its member libraries,
water authority, sewer  authority,  regional  planning  and  development
board,  school  district,  or board of cooperative educational services;
provided, however, that for the purposes of this definition, a board  of

cooperative educational services shall be considered a municipality only
in  instances  where  such  board  of  cooperative  educational services
advances a joint application on behalf of  school  districts  and  other
municipalities  within  the  board  of  cooperative educational services
region;  provided,  however,  that  any  agreements  with  a  board   of
cooperative  educational  services:  shall not generate additional state
aid; shall be deemed not to be  a  part  of  the  program,  capital  and
administrative  budgets of the board of cooperative educational services
for the purposes of computing charges upon  component  school  districts
pursuant  to  subdivision  one  and subparagraph seven of paragraph b of
subdivision four of section nineteen hundred fifty and  subdivision  one
of section nineteen hundred fifty-one of the education law; and shall be
deemed   to   be   a  cooperative  municipal  service  for  purposes  of
subparagraph two of paragraph d of subdivision four of section  nineteen
hundred fifty of the education law.
(2)  For  the  purposes  of this paragraph, "functional consolidation"
shall mean one municipality completely providing a service  or  function
for  another  municipality,  which  no  longer  provides such service or
function.
(ii) Within the annual amounts appropriated therefor, the secretary of
state may award competitive grants  to  municipalities  to  cover  costs
associated with local government efficiency projects, including, but not
limited  to, planning for or implementation of a municipal consolidation
or dissolution, a functional consolidation, a  city  or  county  charter
revision  that  includes functional consolidation, shared or cooperative
services, and regionalized delivery of services; provided, however, that
such  local  government  efficiency  projects   must   demonstrate   new
opportunities   for  financial  savings  and  operational  efficiencies;
provided, further, that eligible local  government  efficiency  projects
shall   not   include   studies   and   plans  for  a  local  government
re-organization  eligible  to  receive  a  local   government   citizens
re-organization  empowerment  grant  pursuant  to  paragraph  q  of this
subdivision. The secretary of state  may  focus  the  grant  program  in
specific  functional  areas,  within distressed communities and areas of
historically high local government costs and property taxes, or in areas
of unique opportunity, in which  case  such  areas  of  focus  shall  be
detailed in a request for applications.
(iii)  Any  approved project shall include an examination of financial
savings,  return  on  public  investment  and  management   improvements
resulting from project implementation.
(iv)  Local  government  efficiency  grants may be used to cover costs
including, but not limited to, legal and  consultant  services,  capital
improvements,  transitional personnel costs and other necessary expenses
related to implementing the approved local government  efficiency  grant
work  plan.  Grants  may  be used for capital improvements, transitional
personnel costs or joint equipment purchases only  where  such  expenses
are  integral  to  implementation  of  the  local  government efficiency
project. No part of the  grant  shall  be  used  by  the  applicant  for
recurring expenses such as salaries, except that the salaries of certain
transitional  personnel essential for the implementation of the approved
local government efficiency grant work plan  shall  be  eligible  for  a
period  not  to  exceed  three  years.  The  amounts awarded to a school
district pursuant to this subparagraph shall  not  be  included  in  the
approved  operating  expense  of  the  school  district  as  defined  in
paragraph t of subdivision one of section thirty-six hundred two of  the
education law.
(v)  The  maximum  cumulative  grant  award  for  a  local  government
efficiency project shall not exceed two  hundred  thousand  dollars  per

municipality;  provided,  however,  that in no case shall such a project
receive a cumulative grant award in excess of one million  dollars.  The
maximum  grant award for a local government efficiency planning project,
or  the  planning component of a project that includes both planning and
implementation of a  local  government  efficiency  project,  shall  not
exceed  twelve thousand five hundred dollars per municipality; provided,
however, that in no event shall such a planning project receive a  grant
award in excess of one hundred thousand dollars.
(vi) Local matching funds equal to at least fifty percent of the total
cost  of activities under the grant work plan approved by the department
of state shall be required for planning grants, and local matching funds
equal to at least ten percent of the total cost of activities under  the
grant  work  plan  approved by the department of state shall be required
for implementation grants. In the event an applicant is  implementing  a
project  that  the  applicant developed through a successfully completed
planning grant  funded  under  the  local  government  efficiency  grant
program  or  the  shared municipal services incentive grant program, the
local matching funds required shall be reduced  by  the  local  matching
funds  required  by such successfully completed planning grant up to the
amount of local matching funds required for the implementation grant.
(vii) In the selection of grant awards, the secretary of  state  shall
give  the highest priority to applications: (1) that would result in the
dissolution or consolidation of municipalities; (2) that would implement
the complete functional consolidation of a municipal service; or (3)  by
local  governments  with  historically high costs of local government or
sustained increases in property taxes. Priority will also  be  given  to
municipalities  that have previously completed a planning grant pursuant
to this  program  or  the  shared  municipal  services  incentive  grant
program,  and  to  local  governments  currently  involved  in  regional
development projects that have received funds  through  state  community
and infrastructure development programs.
(viii)  Within  one  week  of  the  receipt  of  an  application,  the
department of state shall review the application to ensure the applicant
has filed the correct application, and  to  determine  if  any  required
sections  of the application contain no information. Within one business
day of determining an applicant has filed an incorrect  application,  or
determining an application contains no information in a section required
to  contain  information,  the department shall so notify the applicant.
Applicants shall be permitted  to  amend  an  application  found  to  be
missing  information,  and  such  application  shall be reconsidered for
approval if it is amended by the application deadline. If  an  applicant
has  submitted  an  incorrect  application, the applicant may submit the
correct application to the appropriate program by the deadline for  such
program   for   consideration.   Under   no   circumstances  shall  this
subparagraph be deemed to  require  the  extension  of  any  application
deadline  established  by  the  department,  nor  shall  it obligate the
department to conduct a  substantive  review  of  the  contents  of  any
application  outside of the procedures established by the department for
the purposes of maintaining  the  competitive  integrity  of  the  grant
program.
(ix)  Written  notice  shall be provided to an applicant of a decision
regarding the grant or denial of an award under this  paragraph,  within
thirty days after such decision.
(x)  The  department  of  state  shall prepare an annual report to the
governor  and  the  legislature  on  the  effectiveness  of  the   local
government  efficiency  grant  program and the local government citizens
re-organization empowerment grant program. Such report shall be provided
on or before October first of each year and shall include,  but  not  be

limited to, the following: a summary of applications and awards for each
grant  category,  an  assessment of progress in implementing initiatives
that  received  grant  awards,  and  estimated  financial  savings   and
significant improvements in service realized by municipalities that have
received grants.
t.  Local  government  efficiency grant program beginning in the state
fiscal year commencing April first, two thousand  twenty-four.  (i)  (1)
For  the purposes of this paragraph, "municipality" shall mean a county,
city, town, village, special improvement district, fire district, public
library, association library, or public library  system  as  defined  by
section two hundred seventy-two of the education law; provided, however,
that  for the purposes of this definition, a public library system shall
be considered a municipality only in instances where such public library
system advances a joint application on behalf of its  member  libraries,
water  authority,  sewer  authority,  regional  planning and development
board, school district, or board of  cooperative  educational  services;
provided,  however, that for the purposes of this definition, a board of
cooperative educational services shall be considered a municipality only
in instances  where  such  board  of  cooperative  educational  services
advances  a  joint  application  on behalf of school districts and other
municipalities within the  board  of  cooperative  educational  services
region;   provided,  however,  that  any  agreements  with  a  board  of
cooperative educational services: shall not  generate  additional  state
aid;  shall  be  deemed  not  to  be  a part of the program, capital and
administrative budgets of the board of cooperative educational  services
for  the  purposes  of computing charges upon component school districts
pursuant to subdivision one and subparagraph seven  of  paragraph  b  of
subdivision  four of section nineteen hundred fifty, and subdivision one
of section nineteen hundred fifty-one of the education law; and shall be
deemed  to  be  a  cooperative  municipal  service   for   purposes   of
subparagraph  two of paragraph d of subdivision four of section nineteen
hundred fifty of the education law.
(2) For the purposes of  this  paragraph,  "functional  consolidation"
shall  mean  one municipality completely providing a service or function
for another municipality, which  no  longer  provides  such  service  or
function.
(ii) Within the annual amounts appropriated therefor, the secretary of
state  may  award  competitive  grants  to municipalities to cover costs
associated with local government efficiency projects, including, but not
limited to, planning for or implementation of a municipal  consolidation
or  dissolution,  a  functional  consolidation, a city or county charter
revision that includes functional consolidation, shared  or  cooperative
services, and regionalized delivery of services; provided, however, that
such   local   government   efficiency  projects  must  demonstrate  new
opportunities  for  financial  savings  and  operational   efficiencies;
provided,  further,  that  eligible local government efficiency projects
shall  not  include  studies  and   plans   for   a   local   government
re-organization   eligible   to  receive  a  local  government  citizens
re-organization empowerment  grant  pursuant  to  paragraph  q  of  this
subdivision.  The  secretary  of  state  may  focus the grant program in
specific functional areas, within distressed communities  and  areas  of
historically high local government costs and property taxes, or in areas
of  unique  opportunity,  in  which  case  such  areas of focus shall be
detailed in a request for applications.
(iii) Any approved project shall include an examination  of  financial
savings,   return  on  public  investment  and  management  improvements
resulting from project implementation.
(iv) Local government efficiency grants may be  used  to  cover  costs
including,  but  not  limited to, legal and consultant services, capital
improvements, transitional personnel costs and other necessary  expenses
related  to  implementing the approved local government efficiency grant
work  plan.  Grants  may  be used for capital improvements, transitional
personnel costs or joint equipment purchases only  where  such  expenses
are  integral  to  implementation  of  the  local  government efficiency
project. No part of the  grant  shall  be  used  by  the  applicant  for
recurring expenses such as salaries, except that the salaries of certain
transitional  personnel essential for the implementation of the approved
local government efficiency grant work plan  shall  be  eligible  for  a
period  not  to  exceed  three  years.  The  amounts awarded to a school
district pursuant to this subparagraph shall  not  be  included  in  the
approved  operating  expense  of  the  school  district  as  defined  in
paragraph t of subdivision one of section thirty-six hundred two of  the
education law.
(v)  The  maximum  cumulative  grant  award  for  a  local  government
efficiency project shall not exceed two hundred fifty  thousand  dollars
per  municipality;  provided,  however,  that  in  no  case shall such a
project receive a cumulative grant award in excess of  one  million  two
hundred  fifty  thousand  dollars.  The  maximum grant award for a local
government efficiency planning project, or the planning component  of  a
project  that  includes  both  planning  and  implementation  of a local
government efficiency project, shall not exceed twenty thousand  dollars
per  municipality;  provided,  however,  that  in  no event shall such a
planning project receive a grant award in excess of one hundred thousand
dollars.
(vi) Local matching funds equal to at least fifty percent of the total
cost of activities under the grant work plan approved by the  department
of state shall be required for planning grants, and local matching funds
equal  to at least ten percent of the total cost of activities under the
grant work plan approved by the department of state  shall  be  required
for  implementation  grants. In the event an applicant is implementing a
project that the applicant developed through  a  successfully  completed
planning  grant  funded  under  the  local  government  efficiency grant
program or the shared municipal services incentive  grant  program,  the
local  matching  funds  required  shall be reduced by the local matching
funds required by such successfully completed planning grant up  to  the
amount of local matching funds required for the implementation grant.
(vii)  In  the selection of grant awards, the secretary of state shall
give the highest priority to applications: (1) that would result in  the
dissolution or consolidation of municipalities; (2) that would implement
the  complete functional consolidation of a municipal service; or (3) by
local governments with historically high costs of  local  government  or
sustained  increases  in  property taxes. Priority will also be given to
municipalities that have previously completed a planning grant  pursuant
to  this  program  or  the  shared  municipal  services  incentive grant
program,  and  to  local  governments  currently  involved  in  regional
development  projects  that  have received funds through state community
and infrastructure development programs.
(viii)  Within  one  week  of  the  receipt  of  an  application,  the
department of state shall review the application to ensure the applicant
has  filed  the  correct  application,  and to determine if any required
sections of the application contain no information. Within one  business
day  of  determining an applicant has filed an incorrect application, or
determining an application contains no information in a section required
to contain information, the department shall so  notify  the  applicant.
Applicants  shall  be  permitted  to  amend  an  application found to be

missing information, and such  application  shall  be  reconsidered  for
approval  if  it is amended by the application deadline. If an applicant
has submitted an incorrect application, the  applicant  may  submit  the
correct  application to the appropriate program by the deadline for such
program  for  consideration.   Under   no   circumstances   shall   this
subparagraph  be  deemed  to  require  the  extension of any application
deadline established by  the  department,  nor  shall  it  obligate  the
department  to  conduct  a  substantive  review  of  the contents of any
application outside of the procedures established by the department  for
the  purposes  of  maintaining  the  competitive  integrity of the grant
program.
(ix) Written notice shall be provided to an applicant  of  a  decision
regarding  the  grant or denial of an award under this paragraph, within
thirty days after such decision.
(x) The department of state shall prepare  an  annual  report  to  the
governor   and  the  legislature  on  the  effectiveness  of  the  local
government efficiency grant program and the  local  government  citizens
re-organization empowerment grant program. Such report shall be provided
on  or  before  October first of each year and shall include, but not be
limited to, the following: a summary of applications and awards for each
grant category, an assessment of progress  in  implementing  initiatives
that   received  grant  awards,  and  estimated  financial  savings  and
significant improvements in service realized by municipalities that have
received grants.
u. Local  government  performance  and  efficiency  program.  (i)  (1)
Definitions. For the purposes of this subparagraph, "municipality" shall
mean  a  county,  city,  town,  or  village,  but  shall not include the
individual counties contained in the city of New York.
(2) Purpose. The purpose of awards made pursuant to this  subparagraph
is  to  recognize  municipalities  that  have undertaken significant and
innovative actions to improve the  overall  efficiency  of  governmental
operations  and  produce  quantifiable  recurring financial savings that
reduce the municipal tax burden on residents.
(3) Eligibility. All municipalities in New York state are eligible  to
apply  individually  or  jointly, provided however that if an action was
undertaken jointly,  municipalities  must  apply  jointly  for  such  an
action.  The  actions  for  which  they  apply  must  already  have been
implemented.
(4) Use of awards. Awards received shall be used by municipalities for
general municipal purposes.
(5) Application. The secretary of state shall develop  an  application
for  municipalities seeking to receive awards and a process by which the
applications  will  be  evaluated.  Such   application   shall   require
municipalities to demonstrate how the action for which they have applied
has  resulted  in  quantifiable  recurring  savings,  efficiencies,  and
permanent improvements to municipal services. The secretary of state may
focus the awards in specific functional service  areas,  in  which  case
such  areas of focus shall be detailed in a request for applications. No
application shall be considered for  actions  that  commenced  prior  to
January first, two thousand ten.
(6) Awards. The secretary of state may make awards to applicants based
on  factors  including,  but  not  limited to, the amount of current and
future savings, the impact of such action upon  the  municipal  property
tax levy, the size and complexity of the action, and the ability for the
action  to  be  replicated by other municipalities. Awards shall only be
made to municipalities for actions that  have  been  fully  implemented,
that clearly resulted in quantifiable savings and efficiencies, and that
produced permanent and quantifiable improvements to municipal efficiency

or services. The maximum amount awarded per application shall not exceed
the  lesser  of five million dollars or twenty-five dollars per resident
of the applying municipalities as of the most recent  federal  decennial
census,  provided,  however,  that  if  the boundaries of municipalities
jointly applying for such funding overlap, the residents in  overlapping
areas  shall  only  be  counted  once,  and provided, further, that if a
county jointly applies with some but not all of the other municipalities
therein, only the  residents  in  such  other  municipalities  shall  be
counted.
(7)  Written  notice  shall  be provided to an applicant of a decision
regarding the grant or denial of an award under this  paragraph,  within
thirty days after such decision.
(8)   Regulation.   The   secretary  of  state  shall,  prior  to  the
establishment of applications, promulgate rules and regulations  on  the
awards,  including  but  not  limited  to award eligibility criteria and
application, review and approval procedures.
(ii)(1) Definitions. For the purposes of this subparagraph,  "fiscally
eligible municipality" shall have the same meaning as "fiscally eligible
municipality" as defined by section 160.05 of the local finance law. For
the  purposes  of  this subparagraph, "financial restructuring board for
local governments" or "board" shall  mean  the  financial  restructuring
board for local governments as authorized by section 160.05 of the local
finance law.
(2)  In  addition  to awards made pursuant to subparagraph (i) of this
paragraph,  the  board  may   award   funding   to   fiscally   eligible
municipalities  for  financial  restructuring  and  related purposes, as
determined by the board. This funding may be structured  as  a  loan,  a
grant, or combination thereof. The amount of such funding to be provided
to  a fiscally eligible municipality, the structure of such funding, any
conditions to be placed on a fiscally eligible municipality that accepts
such funding, and any other aspects of funding awarded pursuant to  this
subparagraph shall be determined by an affirmative vote of a majority of
the  total  number of members of the board and may differ for each award
of funding. Such loans shall not be bound by the local finance law  with
respect  to  terms and repayment limitations but in no event may the sum
of all awards pursuant to this subparagraph be greater than five million
dollars for any single municipality nor may  any  loan  be  for  a  term
longer  than  ten years. Further, any such loans shall not be considered
debt  for  purposes  of  calculating  constitutional  limit  provisions.
Notwithstanding  any  other  law  to  the  contrary, the director of the
budget may direct the  state  comptroller  to  withhold  any  state  aid
payments due to a fiscally eligible municipality in order to satisfy the
repayment   conditions   of   the   funding  awarded  pursuant  to  this
subparagraph.
v.  Local  government  efficiency  grant  program  highway  functional
consolidation  incentive.  (i)  When  used  in  this  paragraph,  unless
otherwise expressly stated:
(1) "Municipalities" shall mean counties, cities, towns or villages.
(2) "Functional consolidation" shall  have  the  same  meaning  as  in
clause two of subparagraph (i) of paragraph o of this subdivision.
(3)  "Highway  services"  shall  include,  but not be limited to, road
maintenance and snow and ice control services.
(ii) If the functional consolidation of highway services in  a  county
results  in  one  municipality  providing  highway services for at least
ninety percent of the lane miles in such county,  excluding  lane  miles
for  which the state has jurisdiction and maintenance responsibility, or
if all of  the  towns  in  a  county  functionally  consolidate  highway
services,  then  each one of the municipalities party to such functional

consolidation  shall  in  the   state   fiscal   year   following   such
consolidation  receive additional aid equal to thirty percent of the aid
that such municipality received pursuant to section ten-c of the highway
law  in  the  state  fiscal  year  preceding  such  consolidation, which
additional aid shall then be reduced in equal parts over  the  following
four  years;  provided, however, that in no case shall the total of such
additional aid provided in a state fiscal  year  to  all  municipalities
party  to  one  such  consolidation  exceed  one million dollars. If all
municipalities party to one such consolidation would otherwise receive a
total of more than one million dollars of such  additional  aid  in  any
state  fiscal  year,  each such municipality shall instead in such state
fiscal year receive a pro rata share of one million dollars based on the
ratio of the aid which such municipality received  pursuant  to  section
ten-c  of  the  highway  law  in  the  state  fiscal year preceding such
consolidation to the total aid which all  such  municipalities  received
pursuant  to  section  ten-c of the highway law in the state fiscal year
preceding such consolidation. Such additional aid shall  be  apportioned
and  paid to the chief fiscal officer of each municipality party to such
functional consolidation of highway services on audit and warrant of the
state comptroller out of moneys appropriated by the legislature for such
purpose to the credit of the local assistance fund in the  general  fund
of  the  state treasury and shall not be deemed to be consolidated local
highway assistance payments pursuant to section  ten-c  of  the  highway
law.
11.  Additional  municipal  aid  program. 1. Definitions. When used in
this section, unless  otherwise  expressly  stated  "Base  level  grant"
means:
For  state  fiscal  year commencing April first, two thousand six, the
total amount of aid for each municipality, other than a school  district
and  the counties of Essex, Hamilton and Franklin, received in the state
fiscal year commencing April first, two thousand five, under the aid and
incentives for  municipalities  program  in  effect  at  that  time  and
appropriated  in  chapter  fifty  of  the  laws of two thousand five, as
amended, which constitutes the public protection and general  government
budget bill.
2. Additional municipal aid. Additional municipal aid program shall be
distributed as follows:
The City of:
Buffalo shall receive $13,644,637
Rochester shall receive $12,000,000
Syracuse shall receive $9,000,000
Yonkers shall receive $11,750,685
3. Additional municipal aid for cities. All cities having a population
of  less than one hundred twenty-five thousand, in addition to any other
aid paid by the state pursuant to the budget for the state  fiscal  year
commencing  April  first, two thousand six, shall be eligible to receive
an apportionment equal to 13.1113 percent  of  such  city's  base  level
grant  payable  in  the  state  fiscal  year commencing April first, two
thousand six.
4. Additional municipal aid for towns  and  villages.  All  towns  and
villages shall be eligible to receive an additional annual apportionment
equal  to  16.7145 percent of such town's and village's base level grant
payable in the state fiscal year commencing April  first,  two  thousand
six.
5.  Payments.  In  the  state  fiscal year commencing April first, two
thousand six, all payments of grants  set  forth  in  subdivisions  two,
three  and  four of this section shall be paid in the same "on or before
month and day" manner as set forth in subdivision ten of this section.