Goodell Introduces Legislation To Forgive Panama Fine
Perhaps the fourth time will be the charm for Gov. Andrew Cuomo to finally sign legislation forgiving a state Education Department fine of the Panama Central School District.
Panama was assessed a $4.9 million penalty as a result of a late final cost report from a 2005 capital project. In 2005, the Panama Central School District completed a small maintenance project that was closed out.
The state Legislature has passed legislation to forgive the fine in each of the last three legislative sessions, only to have the measure vetoed by Gov. Andrew Cuomo.
BACK HISTORY
In 2009, Panama Central School District verified that the project was complete as shown on the state website. Panama then started a new project in 2008.
In 2012, Panama Central School reviewed the state’s website to find that they had an “open” project with a substantial completion certificate filed on Aug. 28, 2002, and Dec. 12, 2005. The information was not previously made available to Panama Central School when they were closing out the district’s 2005 building project. In the eyes of the state Education Department, the open project meant that Panama officials had neglected to file a Final Cost Report for the 2005 building project with the Office of Facility Planning of the state Education Department within the established time frame, and state Education Department officials fined the district.
In the 2013-14 state budget, a plan was negotiated that allowed for a 10-year repayment plan to help the school manage the penalty. Also provided in the 2013-14 state budget was a $500,000 Supplemental Valuation Impact Grant through the Education Department/Aid to Localities budget bill. The state Legislature secured funding again in 2015-16, 2016-17, 2017-18, 2018-19 and 2019-20.
Goodell’s legislation would forgive the remaining $1.9 million of the original penalty.
SEVERAL SIMILAR BILLS VETOED
Six other school districts that have also had fines levied against them saw legislation forgiving their fine vetoed recently by Cuomo. The Huntington Union Free School District was fined by the state Education Department for allegedly failing to file final cost report reports before eventually proving that either the documents were sent or after they were found by state Department of Education staff members.
The Monticello Central School District was given a $1.9 million reduced aid penalty for final cost reports that weren’t filed on time. Legislation was passed forgiving the Mahopac Central School District for clerical errors that removed eight capital projects from eligibility for state aid. Another piece of legislation would have forgiven state building aid take-backs and penalties on late-filed final cost reports for eight capital improvement projects by the Islip Union Free School District.
Bills also passed both houses of the state Legislature forgiving clerical errors in transportation contracts by the Corning-Painted Post Area School District and the Fulton City School District that could cost the districts a portion of its state transportation aid. Fulton could lose $1.03 million in state transportation aid.