NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A7400
SPONSOR: Pheffer Amato TITLE OF BILL:
An act to amend chapter 130 of the laws of 1998, amending the general
municipal law relating to temporary investments by local governments,
in relation to extending the expiration of the provisions thereof
PURPOSE OR GENERAL IDEA OF BILL:
The purpose of this bill is to extend authority, until July 1, 2026,
related to investments made by the local governments.
SUMMARY OF PROVISIONS:
This bill would amend section 2 of chapter 130 of the laws of 1998 to
extend the sunset date of July 1, 2023, as last extended by chapter 58
of the law of 2020, by an additional three years, to July 1, 2026.
JUSTIFICATION:
The Legislature has recognized the need to allow the City to modernize
the management of its finances by expanding the types of instruments in
which the City may invest, within prudent limits. This expansion has
provided the City with increased flexibility in its investment decisions
and has consequently allowed the City to achieve higher yields on its
investments, without a significant increase in risk. In 2020, the Legis-
lature last extended the sunset provision by three years. A new three-
year extension will allow the City to continue to achieve the increased
flexibility and higher yields made possible by the past changes.
PRIOR LEGISLATIVE HISTORY:
2019-2020: A.9508 - Chapter 58 of the Laws of 2020.
2017-2018: A.7099 - Chapter 65 of the Laws of 2017.
2013-2014: A.8853 - Chapter 48 of the Laws of 2014.
FISCAL IMPLICATIONS:
None to the State.
EFFECTIVE DATE:
Immediately.
