BILL NUMBER: S6732A
SPONSOR: MAY
 
TITLE OF BILL:
An act to amend the highway law, in relation to the rate paid by the
state to a city for maintenance and repair of highways
 
PURPOSE:
To increase the rate used by the state when reimbursing municipalities
for maintenance of the state highway system within city borders.
 
SUMMARY OF PROVISIONS:
Section one amends subdivision 5-a of section 340-b of the highway law
to increase the rate used by the state when reimbursing municipalities
for maintenance of the state highway system within city borders. The
rate would be raised to two dollars and fifty-four cents from eighty-
five cents per square yard of pavement area that is included in the
state highway system. The rate would also be raised from ten cents to
twenty cents per square yard of such pavement area where such pavement
area is located on any elevated bridge.
Section two amends subdivision 7 of section 349-c to provide for the
rate to be increased each year by the percentage change in the consumer
price index for all urban consumers (CPI-U), New York-Northern New
Jersey-Long Island, NY-NJ-CT-PA, as published by the United States
Department of Labor Bureau of Labor Statistics, over the prior five
years.
Section three sets forth the effective date.
 
JUSTIFICATION:
Over the last fifty years, the state has delegated responsibility to
municipalities to maintain state highways within city borders. The
current reimbursement rate covers less than half of the actual costs
that municipalities throughout the state bear for highway maintenance,
which includes guide rail and fence repair, impact attenuator repair,
and pothole maintenance. This maintenance is essential for safe travel
on highways.
Since 1987, the state has reimbursed cities at a rate of eighty-five
cents per square yard of pavement, with no adjustments for inflation.
Cities throughout the state would benefit from raising this rate to two
dollars and fifty-four cents per square yard, a rate reflecting the
Consumer Price Index (CPI) increase. To ensure that the reimbursement
rate keeps up with inflation, this bill would also require that the rate
be indexed annually to CPI.
 
PRIOR LEGISLATIVE HISTORY:
2025-2026: S6732 (May) / A4612 (McDonald)
2023-2024: A4865 (McDonald)
2021-2022: A6435 (Rozic) / S3529 (Kennedy)
2019-2020: A8895 (Rozic) / S7701 (Kennedy)
 
FISCAL IMPLICATIONS:
To be determined.
 
EFFECTIVE DATE:
This act shall take effect on the first of April next succeeding the
date on which it shall have become law.

Statutes affected:
S6732: 340-b highway law, 340-b(5-a) highway law, 349-c highway law, 349-c(7) highway law