2023 New York Laws › VAT - Vehicle and Traffic › Title 3 - Safety Responsibility; Financial Security; Equipment; Inspection; Size and Weight; and Other Provisions › Article 6 - Motor Vehicle Financial Security Act › 317 - Expenses of Administering Article.

§ 317. Expenses  of  administering  article.  1.  The  total amount of
expenses incurred in connection with the administration of this  article
shall  be  paid  by  all  insurance  carriers  which  issue  policies or
contracts of automobile bodily injury insurance risks  subject  to  this
article  resident  or  located  in  this  state  in  accordance with the
provisions of this section.
2. Estimate of expenses. (a) The commissioner  annually,  as  soon  as
practicable,  shall estimate the total amount of expenses which shall be
incurred during the  succeeding  fiscal  year  in  connection  with  the
administration of this article. Such expenses, in addition to the direct
costs  of  personal  service,  shall include the cost of maintenance and
operation, the  cost  of  retirement  contributions  made  and  workers'
compensation  premiums paid by the state for or on account of personnel,
rentals for space occupied in state-owned or state-leased buildings, the
amounts paid to a city, county, town, village or the division  of  state
police for the enforcement of orders issued pursuant to this article and
all other direct or indirect costs.
(b)  The  commissioner  shall  on  or before February first assess the
total amount of such expenses,  as  so  estimated,  pro  rata  upon  all
insurance  carriers  subject  to  the  provisions  of  this  section  in
proportion to the premiums reported by such carriers to  the  department
of  financial  services  for  policies or contracts of automobile bodily
injury insurance on risks subject to this article resident or located in
this state for the year prior to the previous calendar year.
(c) For fiscal years beginning on  and  after  April  first,  nineteen
hundred  eighty-three,  each  such  insurance carrier shall make partial
payments of the assessment levied against it as follows, one-quarter  of
the total on March tenth of the preceding fiscal year and one-quarter on
June  tenth, one-quarter on September tenth, and the balance on December
tenth of the fiscal year, or on such other dates as the budget  director
may  prescribe.  Provided,  however,  that  the payment due March tenth,
nineteen hundred eighty-three for the fiscal year beginning April first,
nineteen hundred eighty-three shall not be required  to  be  paid  until
June  tenth, nineteen hundred eighty-three. If the total amount due from
any such carrier is less than one hundred dollars,  no  partial  payment
shall  be  made  and  the  total  amount  due shall be paid on or before
September thirtieth of the fiscal year.
3. Final assessment. (a) The commissioner and the department of  audit
and  control  annually,  as soon as practicable after April first, shall
ascertain the total amount of expenses  incurred  during  the  preceding
fiscal  year  in  connection with the administration of this article. An
itemized statement of the expenses  so  ascertained  shall  be  open  to
public  inspection  in  the  office  of the commissioner for thirty days
after notice to those liable to be assessed for such expenses.
(b) As soon as practicable after January first, each insurance carrier
subject  to  the  provisions  of  this  section  shall  file  with   the
commissioner a report of the total amount of gross direct premiums, less
return  premiums thereon received during the preceding calendar year for
policies or contracts of automobile bodily  injury  insurance  on  risks
subject to this article resident or located in this state.
(c)  The  commissioner shall then determine the amount of expenses due
from each insurance carrier subject to the provisions  of  this  section
based  upon  the  final  determination  of  total expenses and the final
amount of premiums filed by the insurance carriers and shall notify each
such insurance carrier of such assessment. Within thirty days of receipt
of such notification each such carrier shall pay  the  total  amount  of
such  assessment less the total amount paid as a result of the estimated
assessments. If the total amount of the final assessment  is  less  than

the  amount  already paid, such excess payment shall be refunded to such
insurance  carrier  or  at  the  option  of  the  assessed  applied   to
assessments  for  the  succeeding  fiscal  year  as  requested  by  such
insurance carriers.
(d)  To  fully  fund  such  pilot database system and bar code program
established pursuant  to  subdivision  four  of  section  three  hundred
thirteen  of  this article, the commissioner shall utilize the following
three sources of revenue: (1) twenty-five percent of all civil penalties
imposed upon persons fined pursuant  to  paragraph  (b)  of  subdivision
one-a  of  section  three  hundred  eighteen of this article, (2) monies
obtained from grants that may be awarded to the  commissioner  from  the
motor  vehicle  theft  and  insurance fraud prevention fund, and (3) pro
rata assessments upon all insurance carriers subject to  the  provisions
of  this  section  in  proportion to the premium estimates filed by such
carriers.
4. The commissioner shall levy and collect such  assessments  and  pay
the  same  into the state treasury, subject to the provisions of section
one hundred twenty-one of the state finance law.