1. (1) Notwithstanding any other provision of regulation, State aid, subject to the limits of appropriations made by the Legislature and the regulations set forth in this section, is available to counties and the City of New York in an amount not to exceed 50 percent of approved expenditures incurred for construction or improvement of locally operated secure detention facilities.
2. (2) Counties and the City of New York may request State aid in the form of lump sum reimbursement for the aggregate of approved capital costs of construction or improvement of county-owned or New York City-owned buildings certified by the Division for Youth pursuant to Executive Law, section 510-a and in use, or to be used, as secure detention facilities.
3. (3) State aid is limited to 50 percent of division-approved capital costs or, when applicable, the amount appropriated for the county or the city, whichever is less.

4. (4) Eligible projects and costs, as defined below, are qualified for reimbursement only if the expenses therefor were incurred on or after January 1, 1970.

   (b) Eligibility.

   In order to receive State aid under this section, a project must be eligible for reimbursement, the costs must be eligible, and the county or the city must meet the programmatic criteria set forth herein. The division shall have sole discretion to determine if eligibility and programmatic criteria have been met.

5. (1) Eligible projects shall include the following:

   1. (i) new construction project, which shall mean the construction of an entirely new physical facility; and
   2. (ii) alteration/rehabilitation/improvement project, which shall mean modification of an existing facility in order to allow it to be used for secure detention, or which will appreciably extend the useful life of the facility or which will upgrade a facility to provide for more efficient utilization.

6. (2) Ineligible projects shall include the following:

   1. (i) repairs/maintenance projects which have as their purpose maintaining a secure detention facility in an ordinary efficient operating condition and which do not significantly add to the value of the facility or appreciably prolong its useful life.

7. (3) Eligible costs must be part of the costs of an eligible project and shall include costs associated with the following:

   1. (i) planning and design, including preliminary surveys or studies, preparation of plans and specifications, and related architect or engineering fees;
   2. (ii) site acquisition, including appraisals, abstracts, demolition and other costs necessary to acquire property;
   3. (iii) construction, including all work necessary to prepare project for operation, also inspection and supervision;
   4. (iv) equipment, including purchase and installation of original furnishings and built-in equipment necessary for the project operation; and
   5. (v) interest on bonds, notes or other type of indebtedness necessarily undertaken to finance construction costs.

8. (4) Ineligible costs include the following:

   1. (i) any costs financed by any Federal funds (except revenue sharing funds), other State aid or other noncounty funds;
   2. (ii) administrative overhead costs associated with the capital project such as, but not limited to, centralized services costs, indirect cost rates, costs associated with bid lettings, etc.;
   3. (iii) management fees related to marketing of bonds, notes or any other type of indebtedness;
   4. (iv) any other cost which the division deems inappropriate.

9. (5) Programmatic criteria.

   1. (i) The county or the city, when requesting reimbursement, shall provide or assure the availability of conveniently accessible and adequate nonsecure detention facilities, certified by the State Division for Youth, as resources for the Family Court, to be operated in compliance with the regulations of the Division for Youth for the temporary care and maintenance of alleged juvenile delinquents and persons in need of supervision held for or at the discretion of the Family Court.
   2. (ii) Adequate nonsecure detention facilities for the purpose of this reimbursement shall mean that there shall be a sufficient range of nonsecure detention programs to meet the needs of all youth in need of nonsecure detention care, in the county or in the city. The county or the city shall, in consultation with the Division for Youth, establish facilities or programs sufficient to meet such needs.
   3. (iii) The county or the city shall meet Federal detention requirements which relate to the removal of status offenders (PINS) from secure detention facilities.
   4. (iv) The county or the city shall provide secure detention care, pursuant to law, to other counties through contract between the county or city and the division.
10. (6) Claiming/documentation. All claims shall be made by the county or city agency operating the secure detention facility or its authorized designee on forms provided by the division. Claims shall be made in accordance with procedures of the division and shall include all documentation necessary to allow the division or its designees to properly audit the claim. The division or its designees shall have the right to inspect, at reasonable times and after written notification, any and all records and documents relating to such claim and the right to inspect the facilities for which reimbursement is requested. No reimbursement will be made until a certificate of allocation has been approved by the Division of the Budget and copies thereof filed with the State Comptroller, the Chairman of the Senate Finance Committee and the Chairman of the Assembly Ways and Means Committee.

(a) General conditions.