Yes, the rumor is true. It starts with the class of 2007, so unfortunately for you, you will have no chance of substituting the NERB for a GPR.
I don't know what it'll do for the dentists who want to practice here, but I've heard a lot of reasons why this law was put in place. However, I don't have much to offer on the subject b/c like Tom, I too already shelled out the cash for my New York state license.
You should only bother to transfer to a NY school if you're going to end up saving $$$ in the process like coming to Stonybrook or Buffalo if you are a NY resident already (in other words, why would you want to transfer to NYU or Columbia???). Otherwise, stay where you are b/c as part of the class of 2008, you will have to do a GPR to come to NY. NY doesn't care which state you do the GPR/AEGD/specialty program in, as long as it is an ADA-accredited program.