2012 New York Consolidated Laws
FIS - Financial Services Law
Article 2 - (201 - 207) ORGANIZATION OF THE DEPARTMENT OF FINANCIAL SERVICES
206 - Assessments to defray operating expenses of the department.

 
    § 206. Assessments to defray operating expenses of the department. (a)
  For  each  fiscal  year commencing on or after April first, two thousand
  twelve, assessments to defray operating expenses, including  all  direct
  and  indirect  costs, of the department, except expenses incurred in the
  liquidation  of  banking  organizations,  shall  be  assessed   by   the
  superintendent  in  accordance  with  this subsection. Persons regulated
  under the insurance law shall be assessed by the superintendent for  the
  operating  expenses  of  the  department that are solely attributable to
  regulating persons under the insurance  law,  which  shall  include  any
  expenses  that  were  permissible  to  be  assessed  in  fiscal year two
  thousand nine-two thousand ten, with the assessments allocated pro  rata
  upon  all  domestic  insurers and all licensed United States branches of
  alien insurers domiciled in this state within the meaning  of  paragraph
  four  of  subsection (b) of section seven thousand four hundred eight of
  the insurance law, in proportion to the gross direct premiums and  other
  considerations,  written  or  received  by them in this state during the
  calendar year ending December thirty-first immediately preceding the end
  of the fiscal year  for  which  the  assessment  is  made  (less  return
  premiums  and  considerations  thereon)  for  policies  or  contracts of
  insurance covering property or risks resident or located in  this  state
  the  issuance of which policies or contracts requires a license from the
  superintendent.  Persons  regulated  under  the  banking  law  shall  be
  assessed  by  the  superintendent  for  the  operating  expenses  of the
  department that are solely attributable to regulating persons under  the
  banking  law  in  such proportions as the superintendent shall deem just
  and reasonable. Operating expenses of the department not covered by  the
  assessments  set  forth above shall be assessed by the superintendent in
  such proportions as the superintendent shall deem  just  and  reasonable
  upon  all  domestic  insurers and all licensed United States branches of
  alien insurers domiciled in this state within the meaning  of  paragraph
  four  of  subsection (b) of section seven thousand four hundred eight of
  the insurance law, and upon any regulated person under the banking  law,
  other  than  mortgage  loan originators, except as otherwise provided by
  sections one hundred fifty-one  and  two  hundred  twenty-eight  of  the
  workers'  compensation  law  and  by  section  sixty  of  the  volunteer
  firefighters' benefit law. The provisions of this subsection  shall  not
  be  applicable  to  a  bank  holding company, as that term is defined in
  article three-A of the banking law. Persons regulated under the  banking
  law  will  not be assessed for expenses that the superintendent deems to
  benefit solely persons regulated under the insurance  law,  and  persons
  regulated under the insurance law will not be assessed for expenses that
  the  superintendent  deems to benefit solely persons regulated under the
  banking law.
    (b) For each fiscal year commencing  on  or  after  April  first,  two
  thousand  twelve, a partial payment shall be made by each entity subject
  to this section in a sum equal to twenty-five per centum, or such  other
  per  centum  or  per centums as the superintendent may prescribe, of the
  annual expenses assessed upon it for the fiscal year as estimated by the
  superintendent. Such payment  shall  be  made  on  March  tenth  of  the
  preceding  fiscal  year  and on June tenth, September tenth and December
  tenth of each year, or at such other dates  as  the  superintendent  may
  prescribe.  The balance of assessments for the fiscal year shall be paid
  upon determination of the actual  amount  due  in  accordance  with  the
  provisions  of  this  section.  Any  overpayment  of  annual  assessment
  resulting from complying with the requirements of this subsection  shall
  be applied against the next estimated quarterly assessment, if less than
  or equal to such amount, with any excess refunded to the assessed. As an
  alternative,  if  the estimated annual assessment for the fiscal year is

  equal to  or  less  than  the  annual  minimum  assessment  set  by  the
  superintendent,  the  superintendent may require full payment to be made
  on or before September thirtieth or such other date of the  fiscal  year
  as the superintendent may determine.
    (c)  The  expenses  incurred in making examinations of, or for special
  services performed on account of, any bank holding company, as that term
  is defined in the banking law, or any regulated person under the banking
  law, shall be assessed provided, however, that  the  superintendent,  in
  the  superintendent's  sole  discretion,  may determine, with respect to
  expenses  incurred  in  the  making  of  any  specific  examination   or
  investigation,  or the performing of any special services, that any such
  expense shall be assessed against and paid by the bank  holding  company
  or  any other regulated person under the banking law for which they were
  incurred or performed.
    (d) The expenses incurred in making an examination of any affiliate of
  a banking organization pursuant to the banking  law,  and  the  expenses
  incurred  in  making  an  examination, pursuant to the banking law, of a
  non-banking subsidiary of a corporation or any other entity that  is  an
  affiliate  of a banking organization, shall be assessed against and paid
  by such  banking  organization  if  the  affiliate  cannot  be  assessed
  pursuant to the provisions of the banking law.
    (e)  The  superintendent may, in the superintendent's sole discretion,
  upon notice, suspend the license, registration, certificate or authority
  (for purposes of this section, a license) granted to any person pursuant
  to this chapter, the banking law or insurance law, upon the  failure  of
  such  person  to make any payment required by this section within thirty
  days after the due date. If the superintendent has  suspended  any  such
  license, such license may be reinstated if the superintendent determines
  that such person has made any such payments within ninety days after the
  date of such notice of suspension. Otherwise, unless the superintendent,
  in  the  superintendent's sole discretion, has extended such suspension,
  the  license  of  such  person  shall  be  deemed  to  be  automatically
  terminated  by  operation  of  law  at  the  close  of  business on such
  ninetieth day.
    (f) (1) The expenses of  every  examination  of  the  affairs  of  any
  regulated person subject to the insurance law, including an appraisal of
  such  regulated  person's real property or of any real property on which
  such regulated person holds a mortgage, made pursuant to  the  authority
  conferred  by  any  provision  of this chapter, the insurance law or the
  banking law, shall  be  borne  and  paid  by  the  regulated  person  so
  examined,  but the superintendent, with the approval of the comptroller,
  may in the superintendent's discretion for good cause shown  remit  such
  charges.
    (2)  (A)  For  any  such examination by the superintendent or a deputy
  superintendent personally, the charge made shall be only  for  necessary
  traveling  expenses  and  other actual expenses. In all other cases, the
  expenses  of  examination  shall  also  include  reimbursement  for  the
  compensation   paid   for  the  services  of  persons  employed  by  the
  superintendent  or  by  the  superintendent's  authority  to  make  such
  examination or appraisal.
    (B) Notwithstanding any provisions of this section to the contrary, in
  case  of  an  examination or appraisal of a domestic insurer made within
  this state, the traveling and living expense of the  person  or  persons
  making  the  examination  shall  be  considered  a cost of operation, as
  referred to in section three hundred thirty-two of the insurance law and
  not an expense of examination.
    (3) All  charges,  including  necessary  traveling  and  other  actual
  expenses,  except as hereinabove provided, as audited by the comptroller

  and paid on the  comptroller's  warrant  in  the  usual  manner  by  the
  comptroller   to  the  person  or  persons  making  the  examination  or
  appraisal, shall be presented to the insurer, or other person whose duty
  it  is  to  pay  the  same,  in  the form of a copy of the itemized bill
  therefor as certified and approved  by  the  superintendent  or  by  any
  deputy  superintendent  or  authorized  employee of the department. Upon
  receiving such certified copy the insurer or other person whose duty  it
  is   to   pay   such  charges  shall  pay  the  amount  thereof  to  the
  superintendent,  to  be  paid  by  the  superintendent  into  the  state
  treasury.