Shown verbatim: the complete text as captured from the official source posted by the New York State Senate, fetched 2026-08-11. Nothing is edited or removed. Where this bill amends existing law, language marked for deletion in the official source appears here in brackets. The official bill page.
S T A T E O F N E W Y O R K
________________________________________________________________________
8373
2025-2026 Regular Sessions
I N S E N A T E
June 5, 2025
___________
Introduced by Sen. HOYLMAN-SIGAL -- (at request of the Unified Court
System) -- read twice and ordered printed, and when printed to be
committed to the Committee on Rules
AN ACT to amend the surrogate's court procedure act, in relation to the
computation and allocation of the commissions of trustees of charita-
ble trusts; and to repeal certain provisions of such law relating
thereto
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 3 of section 2308 of the surrogate's court
procedure act, as amended by chapter 601 of the laws of 2019, is amended
to read as follows:
3. Unless the will OR LIFETIME TRUST INSTRUMENT otherwise explicitly
provides, the annual commissions allowed by [subdivision two of] this
section shall be payable one-third from the income of the trust [or of
the property subject to the power in trust] and two-thirds from the
principal of the trust [or from the property subject to the power in
trust]. However, in the case of a trust whose definition of income is
governed by SECTION 11-2.4 of the estates, powers and trusts law, such
annual commissions shall be payable from the corpus of any such trust
after allowance for the ANNUITY OR unitrust [amount] AMOUNTS and shall
not be payable out of such ANNUITY OR unitrust amount AND SHALL NOT BE
PAYABLE OUT OF SUCH UNITRUST AMOUNT.
§ 2. Paragraphs (a) and (b) of subdivision 5 of section 2308 of the
surrogate's court procedure act, as amended by chapter 601 of the laws
of 2019, are amended to read as follows:
(a) During the continuance of a trust created solely for public, reli-
gious, charitable, scientific, literary, educational or fraternal uses
and during the period of continuance of such a trust ESTABLISHED after
the termination of a life use or uses the trustee shall be entitled to
and may retain ANNUAL commissions [from income in an amount annually
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD09812-01-5
S. 8373 2
equal to 6 per cent of income collected in each year] ACCORDING TO THE
TERMS SPECIFIED IN SUBDIVISION 2 OF THIS SECTION, BUT ONLY TO THE EXTENT
OF 80 PERCENT OF THE RATES STATED THEREIN. NOTWITHSTANDING ANY
OTHER PROVISION OF LAW, WITH RESPECT TO ANY PORTION OF SUCH TRUST
WHICH EXCEEDS A PRINCIPAL VALUE OF TWENTY MILLION DOLLARS, THE TRUSTEE
MAY ONLY TAKE ANNUAL COMMISSIONS TO THE EXTENT OF 50 PERCENT OF THE RATE
SPECIFIED IN PARAGRAPH (C) OF SUBDIVISION 2 OF THIS SECTION.
(b) In the case of a trust [created solely for public, religious,
charitable, scientific, literary, educational or fraternal uses the]
DESCRIBED IN PARAGRAPH (A) OF THIS SUBDIVISION, A trustee shall not be
entitled to any commission from principal AS SPECIFIED IN SUBDIVISION 1
OF THIS SECTION FOR PAYING OUT PRINCIPAL.
§ 3. Paragraph (c) of subdivision 6 of section 2308 of the surrogate's
court procedure act is REPEALED.
§ 4. Subdivision 12 of section 2308 of the surrogate's court procedure
act, as amended by chapter 601 of the laws of 2019, is amended to read
as follows:
12. If a trustee of a trust [or donee of a power in trust] is author-
ized or required by the terms of the will to accumulate income for any
purpose permitted by law, any income so accumulated which is not added
to principal of the trust [or to the principal of the property subject
to the power in trust] shall be deemed a separate trust [or separate
fund subject to the power in trust] for purposes of this subdivision and
the trustee [or donee of the power in trust] shall be entitled to
commissions in respect thereof at the rates and according to the terms
and provisions of subdivisions 1 [and], 2 AND 5 of this section as
though, for purposes of computing commissions of the trustee, income so
accumulated was principal.
§ 5. Subdivision 3 of section 2309 of the surrogate's court procedure
act, as amended by chapter 601 of the laws of 2019, is amended to read
as follows:
3. Unless the will or lifetime trust instrument otherwise explicitly
provides, the annual commissions allowed by [subdivision 2] THIS SECTION
shall be payable one-third from the income of the trust [or property
subject to the power in trust] and two-thirds from the principal of the
trust [or property subject to the power in trust]. However, in the case
of a trust whose definition of income is governed by section 11-2.4 of
the estates, powers and trusts law or a charitable remainder annuity
trust or a charitable remainder unitrust, as defined in section six
hundred sixty-four of the Internal Revenue Code of nineteen hundred
eighty-six, as amended, such annual commissions shall be payable from
the corpus of any such trust after allowance for the annuity or unitrust
amounts and shall not be payable out of such annuity or unitrust
amounts.
§ 6. Paragraphs (a) and (b) of subdivision 5 of section 2309 of the
surrogate's court procedure act, as amended by chapter 601 of the laws
of 2019, are amended to read as follows:
(a) During the continuance of a trust created solely for public, reli-
gious, charitable, scientific, literary, educational or fraternal uses
and during the period of continuance of such a trust ESTABLISHED after
the termination of a life use or uses the trustee shall be entitled to
and may retain ANNUAL commissions [from income in an amount annually
equal to 6 per cent of income collected in each year] ACCORDING TO THE
TERMS SPECIFIED IN SUBDIVISION 2 OF THIS SECTION, BUT ONLY TO THE EXTENT
OF 80 PERCENT OF THE RATES STATED THEREIN. NOTWITHSTANDING ANY OTHER
PROVISION OF LAW, WITH RESPECT TO ANY PORTION OF SUCH TRUST WHICH
S. 8373 3
EXCEEDS A PRINCIPAL VALUE OF TWENTY MILLION DOLLARS, THE TRUSTEE MAY
ONLY TAKE ANNUAL COMMISSIONS TO THE EXTENT OF 50 PERCENT OF THE RATE
SPECIFIED IN PARAGRAPH (C) OF SUBDIVISION 2 OF THIS SECTION.
(b) In the case of a trust [created solely for public, religious,
charitable, scientific, literary, educational or fraternal uses the]
DESCRIBED IN PARAGRAPH (A) OF THIS SUBDIVISION, A trustee shall not be
entitled to any commission from principal AS SPECIFIED IN SUBDIVISION 1
OF THIS SECTION FOR PAYING OUT PRINCIPAL.
§ 7. Paragraphs (a) and (b) of subdivision 3 of section 2312 of the
surrogate's court procedure act, as amended by chapter 601 of the laws
of 2019, are amended to read as follows:
(a) during the continuance of a trust created solely for public, reli-
gious, charitable, scientific, literary, educational or fraternal uses
and during the period of continuance of such a trust ESTABLISHED after
the termination of a life use or uses a corporate trustee, EXCEPT AS
PROVIDED IN PARAGRAPH (B) OF THIS SUBDIVISION, shall be entitled to and
may retain ANNUAL commissions [from income] in accordance with the
provisions of subdivision 1 or 2 [hereof] OF THIS SECTION, as the case
may be.
(b) In the case of a trust created solely for public, religious, char-
itable, scientific, literary, educational or fraternal uses a corporate
trustee shall not be entitled to any commission [from] FOR PAYING OUT
principal.
§ 8. This act shall take effect on the sixtieth day after it shall
have become a law and shall apply to all trusts in existence on or after
such effective date; provided, however, that a trustee of a trust in
existence on such effective date may elect to continue to take commis-
sions under the law in effect prior to such effective date until Decem-
ber 31 of the year this act takes effect.Every fact on this page links to its source, starting with the official bill record.