Bill > A08097

This bill, known as the "Reciprocal Enforcement of Claims on Unpaid or Reduced State Entitlements Act" (RECOURSE Act), establishes a mechanism for the state to respond to federal funding disputes. The state comptroller is required to produce a detailed monthly report within 60 days of the act's implementation, documenting federal funds owed to the state (particularly those owed in contravention of court decisions) and anticipated state payments to the federal government, including taxes, employment taxes, and grant repayments. If the report indicates that federal funds are owed to the state based on a court decision, the governor, comptroller, and budget director can jointly authorize the Commissioner of Taxation and Finance to withhold payments to the federal government. The amount withheld cannot exceed the amount of federal funds owed to the state, and these withheld funds can be appropriated as state funds, providing a potential enforcement mechanism for resolving federal funding disputes and ensuring the state receives funds it believes are owed to it.

Budget and Finance

https://www.nysenate.gov/legislation/bills/2025/A8097