A 2319: Relates to interest rates on judgments.

  
  STATE OF NEW YORK ________________________________________________________________________ 2319 2025-2026 Regular Sessions  IN ASSEMBLY January 16, 2025 ___________ Introduced by M. of A. McDONALD, WOERNER, STIRPE -- Multi-Sponsored by -- M. of A. SAYEGH -- read once and referred to the Committee on Judiciary AN ACT to amend the general municipal law, the public housing law, the state finance law and chapter 585 of the laws of 1939, relating to the rate of interest to be paid by certain public corporations upon judg- ments and accrued claims, in relation to interest rates on judgments The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivisions 1 and 2 of section 3-a of the general munici- 2 pal law, subdivision 1 as amended by chapter 4 of the laws of 1991, and 3 subdivision 2 as amended by chapter 777 of the laws of 1978, are amended 4 to read as follows: 5 1. Except as provided in subdivisions two, four and five of this 6 section, the rate of interest to be paid by a municipal corporation upon 7 any judgment or accrued claim against the municipal corporation shall 8 [not exceed] be calculated at a rate equal to the weekly average one 9 year constant maturity treasury yield, as published by the board of 10 governors of the federal reserve system, for the calendar week preceding 11 the date of the entry of the judgment awarding damages. In no event, 12 however, shall an authority pay a rate of interest on any judgment or 13 accrued claim exceeding nine per centum per annum. 14 2. The rate of interest to be paid upon any judgment or accrued claim 15 against the municipal corporation arising out of condemnation 16 proceedings or action to recover damages for wrongful death shall [not 17 exceed] be calculated at a rate equal to the weekly average one year 18 constant maturity treasury yield, as published by the board of governors 19 of the federal reserve system, for the calendar week preceding the date 20 of the entry of the judgment awarding damages. In no event, however, 21 shall an authority pay a rate of interest on any judgment or accrued 22 claim exceeding six per centum per annum. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD01563-01-5 
 A. 2319 2 1 § 2. Subdivision 5 of section 157 of the public housing law, as 2 amended by chapter 681 of the laws of 1982, is amended to read as 3 follows: 4 5. The rate of interest to be paid by an authority upon any judgment 5 or accrued claim against the authority shall [not exceed] be calculated 6 at a rate equal to the weekly average one year constant maturity treas- 7 ury yield, as published by the board of governors of the federal reserve 8 system, for the calendar week preceding the date of the entry of the 9 judgment awarding damages. In no event, however, shall an authority pay 10 a rate of interest on any judgment or accrued claim exceeding nine per 11 centum per annum. 12 § 3. Section 16 of the state finance law, as amended by chapter 681 of 13 the laws of 1982, is amended to read as follows: 14 § 16. Rate of interest on judgments and accrued claims against the 15 state. The rate of interest to be paid by the state upon any judgment 16 or accrued claim against the state shall [not exceed] be calculated at a 17 rate equal to the weekly average one year constant maturity treasury 18 yield, as published by the board of governors of the federal reserve 19 system, for the calendar week preceding the date of the entry of the 20 judgment awarding damages. In no event, however, shall an authority pay 21 a rate of interest on any judgment or accrued claim exceeding nine per 22 centum per annum. 23 § 4. Section 1 of chapter 585 of the laws of 1939, relating to the 24 rate of interest to be paid by certain public corporations upon judg- 25 ments and accrued claims, as amended by chapter 681 of the laws of 1982, 26 is amended to read as follows: 27 Section 1. The rate of interest to be paid by a public corporation 28 upon any judgment or accrued claim against the public corporation shall 29 [not exceed] be calculated at a rate equal to the weekly average one 30 year constant maturity treasury yield, as published by the board of 31 governors of the federal reserve system, for the calendar week preceding 32 the date of the entry of the judgment awarding damages. In no event, 33 however, shall an authority pay a rate of interest on any judgment or 34 accrued claim exceeding nine per centum per annum. The term "public 35 corporation" as used in this act shall mean and include every corpo- 36 ration created for the construction of public improvements, other than a 37 county, city, town, village, school district or fire district or an 38 improvement district established in a town or towns, and possessing both 39 the power to contract indebtedness and the power to collect rentals, 40 charges, rates or fees for services or facilities furnished or supplied. 41 § 5. This act shall take effect on the first of April next succeeding 42 the date upon which it shall have become a law.