Bill > A06157

This bill modifies the definition of "surplus funds" for school districts in New York, specifically addressing how much unspent money a school district can retain without being required to apply those funds to reducing future tax levies. Currently, school districts can retain 4% of their annual budget as surplus funds, but the bill changes this to 6% starting in the 2027-2028 school year and continuing thereafter. The bill amends the real property tax law to update this percentage, which impacts how school districts manage their annual budgets and financial planning. By increasing the allowable surplus from 4% to 6%, the bill gives school districts more flexibility in maintaining financial reserves while still ensuring that excess funds are eventually considered when calculating future tax levies. The bill will take effect 120 days after becoming law, providing school districts with advance notice of the change in surplus fund regulations.

Education

https://www.nysenate.gov/legislation/bills/2025/A6157