N.Y. State Finance Law 4-A – Electronic value transfer program
§ 4-a. Electronic value transfer program. 1. Definitions. As used in this section the following terms shall have the following meanings:
Terms Used In N.Y. State Finance Law 4-A
- Appropriation: The provision of funds, through an annual appropriations act or a permanent law, for federal agencies to make payments out of the Treasury for specified purposes. The formal federal spending process consists of two sequential steps: authorization
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Lien: A claim against real or personal property in satisfaction of a debt.
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Personal property: All property that is not real property.
a. "Electronic value transfer device" means a credit card, debit card, charge card, electronic fund transfer or other electronic value transfer mechanism approved by the electronic value transfer administrator.
b. "Device issuer" means an issuer of an electronic value transfer device.
c. "Electronic value transfer" means any transfer of funds which is initiated directly or indirectly by the use of an electronic value transfer device so as to order, instruct or authorize a financing agency, device issuer or processor to initiate a transaction in any manner which results in a payment to a state agency.
d. "Electronic value transfer administrator" means a state agency designated by the governor to administer electronic value transfer programs which shall have the authority, duties, and responsibilities granted pursuant to this section.
e. "Financing agency" means any agency defined as such in subdivision eighteen of § 401 of the personal property law to the extent not inconsistent with this chapter.
f. "Charge back" means a credit to the device user from an electronic value transfer transaction of the amount of the transaction in question including, but not limited to, duplicate or other erroneous payments.
g. "Device user" means a person using an electronic value transfer device pursuant to this section.
h. "Processor" means an entity which manages the physical system, authorizes acceptance of electronic value transfer transactions and/or arranges for fund transfers or customer billings.
i. "State agency" means any department, board, bureau, division, commission, committee, council, office of the state, or other governmental entity with statewide jurisdiction.
2. Electronic value transfer administrator. The electronic value transfer administrator shall have the following authority, duties, and responsibilities: to establish a statewide policy and direction for electronic value transfer programs; to facilitate and oversee the state's electronic value transfer programs with primary responsibility for their effective and efficient implementation, operation and administration; to issue guidelines for the development of plans required to be submitted pursuant to this section, for the collection of payments by electronic value transfer devices and the associated agreements with device issuers, processors and financing agencies; to negotiate directly or in conjunction with other state agencies agreements with financing agencies, device issuers, or processors; and to determine in conjunction with state agencies the cost benefit to the state for utilizing alternative payment mechanisms. The electronic value transfer administrator may exempt a state agency, where it is in the best interest of the state, from any policy or guideline issued pursuant to this section. Authorization for the payment of any amount by means of an electronic value transfer device pursuant to this section shall be in addition to any existing authority of state agencies to accept payment by other means.
3. State agency collection of payments. Each state agency is authorized, subject to the approval of the electronic value transfer administrator, and the director of the budget, to collect payments of fines, fees, rates, charges, taxes, interest penalties, special assessments, revenue, financial obligations or other amounts by electronic value transfer devices, consistent with the statewide policies and guidelines established by the electronic value transfer administrator. Such approval shall be based upon a plan submitted to the electronic value administrator and the director of the budget. The plan shall outline the costs and benefits of establishing an electronic value transfer program, indicate the type of alternative payment mechanisms proposed, and notwithstanding any law to the contrary, may include provisions for surcharges which shall not be state money, to pay for transaction costs of the financing agency, device issuers, or processor associated with the electronic value transfer. The state shall notify the device user of the amount or percentage of the surcharge.
4. Electronic value transfer agreements. Consistent with article eleven of this chapter, one or more state agencies are authorized to enter directly or collectively into agreements or to utilize centralized service contracts with one or more financing agencies, device issuers, or processors to provide for the acceptance by a state agency of electronic value transfer as a means of payment for fines, fees, rates, charges, taxes, interest, penalties, special assessments, revenue, financial obligations and other amounts. Any such agreement shall govern the terms and conditions upon which an electronic value transfer device proferred as a means of payment shall be accepted or declined and the manner in, and conditions upon, which the financing agency, device issuer or processor shall pay to such state agency the amount of payments collected by means of an electronic value transfer device pursuant to such agreement. Any agreement entered into shall include a term and condition that the financing agency, device issuer or processor shall not be authorized to charge back to the device user except as expressly provided in such agreement. Any state agency which has entered into an agreement with a financing agency, device issuer or processor, as authorized by the provisions of this section, may accept electronic value transfer as a means of payment as specified by the state agency in the agreement. The state agency may pay such fees, subject to an appropriation, as may be specified in such agreement with such financing agency, device issuer or processor in consideration of the services rendered by such financing agency, device issuer or processor, thereunder. Provided, however, in no event, shall there be a reduction in any payment due to the state of the amounts authorized to be collected pursuant due to subdivision three of this section.
5. Payment. The underlying debt, lien, obligation, bill, account or other amount owed to the state agency for which payment by electronic value transfer device is accepted by the state agency shall not be expunged, canceled, released, discharged or satisfied, and any receipt or other evidence of payment shall be deemed conditional, until the state agency has received final and unconditional payment of the full amount due from the financing agency, device issuer or processor for such electronic value transfer device transaction. Any such expunction, cancellation, release, discharge or satisfaction shall not be deemed to expunge, cancel, release, discharge or satisfy any amount which is not paid to the financing agency, device issuer or processor for such electronic value transfer device transaction.
6. Access to information. Nothing contained in this section shall be deemed to grant access to information where such information is otherwise protected by law from access.