BILL NUMBER: S2986
SPONSOR: KAVANAGH
 
TITLE OF BILL:
An act to amend the insurance law and the state finance law, in relation
to providing for state assistance to local governments for the enforce-
ment of fire prevention and building codes
 
PURPOSE:
To ensure funding of local code enforcement activities.
 
SUMMARY OF PROVISIONS:
Section 1 amends Section 9108 of the state insurance law addressing the
fire insurance fee.
Section 2 amends Section 54g of the state finance law addressing state
assistance to local governments for support of activities related to
fire prevention and building codes.
Section 3 establishes an effective date.
 
JUSTIFICATION:
In 2019, the Senate Committees on Investigations and Housing conducted
an extensive investigation into local code enforcement across the state.
One of the resounding conclusions of the investigation was that nearly
all local code enforcement apparati are underfunded, often dramatically
so. State Finance Law Section 54g, in conjunction with Section 9108 of
State Insurance Law, dedicates the fire insurance fee collected on each
fire insurance policy in the state to support local code enforcement
activities. However, over the past decades, that money has not reached
localities, and has instead been swept out by the executive into the
general fund. This bill will ensure that the money intended to flow to
localities to conduct code enforcement actually makes it there, and will
help make homes across the country safer and more habitable.
 
LEGISLATIVE HISTORY:
2021-2022: S6970 (Kavanagh) / A8802A (Zebrowski) - INSURANCE/insurance
 
FISCAL IMPLICATIONS:
To be determined.
 
EFFECTIVE DATE:
This act shall take effect immediately.