A. 7977--A 2
412. ANNUAL REPORT.
413. DEPOSIT AND INVESTMENT OF MONEYS OF THE AUTHORITY.
414. NOTES OR BONDS OF THE AUTHORITY.
415. GUARANTY BY THE STATE.
416. STATE'S RIGHT TO REQUIRE REDEMPTION OF BONDS.
417. REMEDIES OF NOTEHOLDERS AND BONDHOLDERS.
418. LIABILITY OF STATE.
419. NOTES AND BONDS LEGAL INVESTMENTS FOR PUBLIC OFFICERS AND
FIDUCIARIES.
420. TAX EXEMPTION.
421. TAX COVENANT.
422. AGREEMENT OF THE STATE.
423. REPORTS BY THE AUTHORITY.
424. SUBSIDIARIES OF THE AUTHORITY.
425. AUTHORITY CONTRACTS; LIMITATIONS.
426. PREVAILING WAGES.
427. EQUAL EMPLOYMENT OPPORTUNITY.
428. CONTRACTS FOR PROFESSIONAL, MAINTENANCE, CLERICAL, OR TECH-
NICAL SERVICES.
429. WHISTLEBLOWER ACTION.
430. LOBBYING CONTACTS.
431. ARTICLE NOT AFFECTED IF IN PART UNCONSTITUTIONAL.
432. INCONSISTENT PROVISIONS IN OTHER ACTS SUPERSEDED.
S 400. LEGISLATIVE INTENT. IT IS THE INTENT OF THE LEGISLATURE IN
ESTABLISHING A NEW YORK STATE RAIL AUTHORITY THAT SUCH AUTHORITY SHALL
REVIEW THE RECOMMENDATIONS PUT FORTH BY THE NEW YORK STATE SENATE HIGH
SPEED RAIL TASK FORCE IN JANUARY TWO THOUSAND SIX AND USE SUCH RECOMMEN-
DATIONS AS GUIDELINES FOR FUTURE IMPROVEMENTS, ENHANCEMENTS AND ADDI-
TIONAL RECOMMENDATIONS TO RAIL SERVICE IN THE STATE.
S 401. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS
THE "NEW YORK STATE RAIL AUTHORITY ACT".
S 402. DEFINITIONS. AS USED OR REFERRED TO IN THIS ARTICLE, UNLESS A
DIFFERENT MEANING CLEARLY APPEARS FROM THE CONTEXT:
1. THE TERM "AUTHORITY" SHALL MEAN THE PUBLIC AUTHORITY CREATED BY
SECTION FOUR HUNDRED THREE OF THIS ARTICLE.
2. THE TERMS "BONDS" AND "NOTES" SHALL MEAN BONDS AND NOTES, RESPEC-
TIVELY, ISSUED BY THE AUTHORITY PURSUANT TO THIS ARTICLE.
3. THE TERM "MUNICIPALITY" SHALL MEAN A COUNTY, TOWN, CITY, VILLAGE,
SPECIAL DISTRICT OR OTHER POLITICAL SUBDIVISION.
4. THE TERM "REAL PROPERTY" SHALL MEAN LANDS, WATERS, RIGHTS IN LANDS
OR WATERS, STRUCTURES, FRANCHISES AND INTERESTS IN LAND, INCLUDING LANDS
UNDER WATER, RIPARIAN RIGHTS, RAILROAD CAPITAL FACILITIES, INCLUDING
STATIONS, BRIDGES, SHOPS AND MAINTENANCE FACILITIES, PROPERTY RIGHTS IN
AIR SPACE AND/OR SUBSURFACE SPACE AND ANY AND ALL OTHER THINGS AND
RIGHTS USUALLY INCLUDED WITHIN THE SAID TERM AND INCLUDES ALSO ANY AND
ALL INTERESTS IN SUCH PROPERTY LESS THAN FULL TITLE, SUCH AS EASEMENTS
PERMANENT OR TEMPORARY, RIGHTS-OF-WAY, USES, LEASES, LICENSES AND ALL
OTHER INCORPOREAL HEREDITAMENTS AND EVERY ESTATE, INTEREST OR RIGHT
LEGAL OR EQUITABLE.
5. RAILS OR RAILROAD CAPITAL FACILITY SHALL BE DEFINED PURSUANT TO THE
TRANSPORTATION LAW.
6. "BUSINESS PLAN" SHALL MEAN A DOCUMENT SUBMITTED BY THE AUTHORITY TO
THE LEGISLATURE AND GOVERNOR WHICH SHALL INCLUDE ALL OF THE FOLLOWING:
THE TYPE OF SERVICE THE AUTHORITY ANTICIPATES IT WILL DEVELOP, A
DESCRIPTION OF THE PRIMARY BENEFITS THE SYSTEM WILL PROVIDE; A FORECAST
OF THE ANTICIPATED PATRONAGE, OPERATING COSTS, AND CAPITAL COSTS FOR THE
A. 7977--A 3
SYSTEM; AN ESTIMATE AND DESCRIPTION OF THE TOTAL ANTICIPATED FEDERAL,
STATE, LOCAL, AND OTHER FUNDS THE AUTHORITY INTENDS TO ACCESS TO FUND
THE CONSTRUCTION AND OPERATION OF THE SYSTEM; AND THE PROPOSED CHRONOLO-
GY FOR THE CONSTRUCTION OF THE ELIGIBLE CORRIDORS OF THE STATEWIDE
HIGH-SPEED TRAIN SYSTEM. THE BUSINESS PLAN SHALL ALSO INCLUDE A
DISCUSSION OF ALL REASONABLY FORESEEABLE RISKS THE PROJECT MAY ENCOUNT-
ER, INCLUDING, BUT NOT LIMITED TO, RISKS ASSOCIATED WITH THE PROJECT'S
FINANCES, PATRONAGE, CONSTRUCTION, EQUIPMENT, AND TECHNOLOGY, AND OTHER
RISKS ASSOCIATED WITH THE PROJECT'S DEVELOPMENT. THE PLAN SHALL DESCRIBE
THE AUTHORITY'S STRATEGIES.
S 403. NEW YORK STATE RAIL AUTHORITY. 1. (A) A BOARD, TO BE KNOWN AS
THE "NEW YORK STATE RAIL AUTHORITY" IS HEREBY CREATED. THE BOARD SHALL
CONSIST OF SEVENTEEN MEMBERS APPOINTED AS FOLLOWS:
(I) ELEVEN BY THE GOVERNOR WITH THE ADVICE AND CONSENT OF THE SENATE;
(II) TWO BY THE TEMPORARY PRESIDENT OF THE SENATE;
(III) TWO BY THE SPEAKER OF THE ASSEMBLY;
(IV) ONE BY THE MINORITY LEADER OF THE SENATE; AND
(V) ONE BY THE MINORITY LEADER OF THE ASSEMBLY.
(B) OF THE ELEVEN MEMBERS APPOINTED BY THE GOVERNOR, ONE SHALL BE
APPOINTED AS THE CHAIR OF THE BOARD. OF THE REMAINING TEN MEMBERS, A
MEMBER SHALL BE APPOINTED FROM EACH OF THE FOLLOWING REGIONS, AS ESTAB-
LISHED BY THE EMPIRE STATE DEVELOPMENT CORPORATION:
(I) THE CAPITAL DISTRICT;
(II) CENTRAL NEW YORK;
(III) THE FINGER LAKES REGION;
(IV) THE MID-HUDSON REGION;
(V) THE MOHAWK VALLEY;
(VI) THE SOUTHERN TIER;
(VII) WESTERN NEW YORK;
(VIII) TWO MEMBERS WITH AT LEAST FIVE YEARS EXPERIENCE IN THE PASSEN-
GER RAIL INDUSTRY, INCLUDING AT LEAST ONE MEMBER OF A STATEWIDE RAIL
PASSENGER ADVOCACY ORGANIZATION; AND
(IX) THE CHAIR OF THE METROPOLITAN TRANSIT AUTHORITY OR THE CHAIR'S
DESIGNEE.
(C) THE MEMBERS OF THE BOARD SHALL SERVE FIVE YEAR TERMS, EXCEPT THAT
THE INITIAL APPOINTMENTS SHALL SERVE TERMS AS FOLLOWS:
(I) THREE MEMBERS INITIALLY APPOINTED BY THE GOVERNOR, ONE MEMBER
INITIALLY APPOINTED BY THE TEMPORARY PRESIDENT OF THE SENATE, AND ONE
MEMBER INITIALLY APPOINTED BY THE SPEAKER OF THE ASSEMBLY SHALL SERVE A
ONE YEAR TERM.
(II) FOUR MEMBERS INITIALLY APPOINTED BY THE GOVERNOR, ONE MEMBER
INITIALLY APPOINTED BY THE TEMPORARY PRESIDENT OF THE SENATE, AND ONE
MEMBER INITIALLY APPOINTED BY THE SPEAKER OF THE ASSEMBLY SHALL SERVE A
TWO YEAR TERM.
(III) FOUR MEMBERS INITIALLY APPOINTED BY THE GOVERNOR, INCLUDING THE
CHAIR, THE MEMBER INITIALLY APPOINTED BY THE MINORITY LEADER OF THE
SENATE AND THE MEMBER INITIALLY APPOINTED BY THE MINORITY LEADER OF THE
ASSEMBLY SHALL SERVE A THREE YEAR TERM.
D. ANY VACANCIES OCCURRING PRIOR TO THE EXPIRATION OF A TERM SHALL BE
FILLED AS PRESCRIBED PURSUANT TO THIS SUBDIVISION FOR THE PERIOD OF THE
UNEXPIRED TERM. A MEMBER APPOINTED AS CHAIR SHALL REMAIN CHAIR UNTIL THE
EXPIRATION OF HIS OR HER TERM.
E. ALL MEMBERS OF THE BOARD SHALL SERVE WITHOUT SALARY OR OTHER
COMPENSATION, BUT SHALL BE ENTITLED TO REIMBURSEMENT FOR THEIR ACTUAL,
NECESSARY EXPENSES INCURRED IN THE PERFORMANCE OF THEIR OFFICIAL DUTIES.
A. 7977--A 4
2. NOTWITHSTANDING ANY INCONSISTENT PROVISIONS OF LAW, GENERAL,
SPECIAL OR LOCAL, NO OFFICER OR EMPLOYEE OF THE STATE, OR OF ANY CIVIL
DIVISION THEREOF, SHALL BE DEEMED TO HAVE FORFEITED OR SHALL FORFEIT HIS
OFFICE OR EMPLOYMENT BY REASON OF HIS ACCEPTANCE OF MEMBERSHIP ON THE
BOARD CREATED BY THIS SECTION.
3. THE POWER OF SUCH CORPORATION SHALL BE VESTED IN AND EXERCISED BY A
MAJORITY OF THE MEMBERS OF THE BOARD THEN IN OFFICE. SUCH BOARD MAY
DELEGATE TO ONE OR MORE OF ITS MEMBERS OR ITS OFFICERS, AGENTS AND
EMPLOYEES SUCH POWERS AND DUTIES AS IT MAY DEEM PROPER.
4. ALL MEMBERS OF THE BOARD SHALL DISCHARGE EACH OF THEIR DUTIES AS
BOARD MEMBERS, INCLUDING BUT NOT LIMITED TO THOSE IMPOSED BY THIS
SECTION, IN GOOD FAITH AND WITH THAT DEGREE OF INDEPENDENCE, DILIGENCE,
CARE AND SKILL WHICH AN ORDINARILY PRUDENT PERSON WOULD EXERCISE UNDER
SIMILAR CIRCUMSTANCES IN LIKE POSITIONS, AND IN ALL WAYS CONSISTENT WITH
THEIR FIDUCIARY DUTIES OF LOYALTY AND DUE CARE TO THE ORGANIZATION AND
OBEDIENCE TO THE AUTHORITY'S CORPORATE PURPOSES, PROVIDED, HOWEVER, THAT
ANY ACTION TAKEN BY A BOARD MEMBER SERVING EX OFFICIO AFTER DISCLOSURE
OF SUCH MEMBER'S CONFLICT OF INTEREST BASED ON HIS OR HER PUBLIC OFFICE
SHALL NOT BE EVIDENCE OF ANY FAILURE TO FULFILL HIS OR HER FIDUCIARY
DUTIES. AT THE TIME THAT THE MEMBER TAKES AND SUBSCRIBES HIS OR HER OATH
OF OFFICE, HE OR SHE SHALL EXECUTE AN ACKNOWLEDGMENT IN WHICH THE BOARD
MEMBER ACKNOWLEDGES THAT HE OR SHE UNDERSTANDS HIS OR HER ROLE, RESPON-
SIBILITIES, INDEPENDENCE AND FIDUCIARY DUTIES IMPOSED PURSUANT TO THIS
SECTION AND AN ACKNOWLEDGMENT IN WHICH THE BOARD MEMBER ACKNOWLEDGES
THAT HE OR SHE UNDERSTANDS HIS OR HER INDEPENDENCE AND FIDUCIARY DUTIES,
INCLUDING THE DUTY OF LOYALTY AND CARE TO THE ORGANIZATION AND COMMIT-
MENT TO THE AUTHORITY'S MISSION.
5. SUCH BOARD AND ITS CORPORATE EXISTENCE SHALL CONTINUE SO LONG AS IT
SHALL HAVE NOTES, BONDS OR OTHER OBLIGATIONS OUTSTANDING (INCLUDING
NOTES, BONDS OR OBLIGATIONS HEREAFTER ISSUED OR INCURRED) AND UNTIL ITS
EXISTENCE SHALL BE TERMINATED BY LAW. UPON THE TERMINATION OF THE EXIST-
ENCE OF THE AUTHORITY, ALL ITS RIGHTS AND PROPERTIES SHALL PASS TO AND
BE VESTED IN THE STATE.
S 404. PURPOSES OF THE AUTHORITY AND BENEFITS THEREFROM. THE AUTHORITY
IS CREATED TO AND SHALL HAVE POWER TO FINANCE, OWN, CONSTRUCT, RECON-
STRUCT, IMPROVE, DEVELOP, MAINTAIN AND/OR OPERATE A RAIL SYSTEM AS
PROVIDED BY AND SUBJECT TO THE PROVISIONS OF THIS ARTICLE TOGETHER WITH
FACILITIES FOR THE PUBLIC INCIDENTAL THERETO. IT IS HEREBY FOUND AND
DECLARED THAT SUCH PURPOSES ARE IN ALL RESPECTS FOR THE BENEFIT OF THE
PEOPLE OF THE STATE OF NEW YORK FOR THE INCREASE OF THEIR PLEASURE,
CONVENIENCE AND WELFARE, FOR THE IMPROVEMENT OF THEIR HEALTH, TO FACILI-
TATE TRANSPORTATION FOR THEIR RECREATION AND COMMERCE AND FOR THE COMMON
DEFENSE; AND THE AUTHORITY SHALL BE REGARDED AS PERFORMING A GOVERN-
MENTAL FUNCTION IN CARRYING OUT ITS CORPORATE PURPOSE AND IN EXERCISING
THE POWERS GRANTED BY THIS ARTICLE. IN CARRYING OUT THIS PURPOSE, THE
AUTHORITY SHALL PRODUCE SHORT-TERM GOALS TO BE CARRIED OUT BEFORE THE
END OF THE CALENDAR YEAR IN WHICH THIS ARTICLE BECOMES EFFECTIVE,
MID-TERM GOALS TO BE COMPLETED BEFORE THE END OF CALENDAR YEAR TWO THOU-
SAND FIFTEEN AND LONG-TERM GOALS TO BE COMPLETED BEFORE CALENDAR YEAR
TWO THOUSAND TWENTY-NINE. EACH OF THESE GOALS SHALL ANTICIPATE IMPROVE-
MENTS IN SERVICE, SPEED AND RELIABILITY.
S 405. POWERS AND RESPONSIBILITIES OF THE AUTHORITY. 1. EXCEPT AS
OTHERWISE LIMITED BY THIS ARTICLE, THE AUTHORITY SHALL HAVE POWER:
(A) TO SUE AND BE SUED;
(B) TO HAVE A SEAL AND TO ALTER THE SAME AT PLEASURE;
A. 7977--A 5
(C) TO ACQUIRE, HOLD AND DISPOSE OF PERSONAL PROPERTY AND EQUIPMENT
FOR ITS CORPORATE PURPOSES;
(D) TO ACQUIRE AND HOLD IN THE NAME OF THE STATE BY PURCHASE OR APPRO-
PRIATION REAL PROPERTY OR RIGHTS OR EASEMENTS THEREIN AND TO SELL,
EXCHANGE, OR OTHERWISE DISPOSE OF ANY REAL PROPERTY NOT NECESSARY FOR
ITS CORPORATE PURPOSES OR WHENEVER THE BOARD SHALL DETERMINE THAT IT IS
IN THE INTEREST OF THE AUTHORITY; AND UPON SUCH TERMS AND CONDITIONS AND
USES AS THE BOARD SHALL DETERMINE, TO LEASE OR TO GRANT PERMITS TO OCCU-
PY REAL PROPERTY NOT PRESENTLY REQUIRED FOR RAIL PURPOSES BUT HELD FOR
FUTURE USE IN CARRYING OUT ITS CORPORATE PURPOSES;
(E) TO MAKE BY-LAWS FOR ITS ORGANIZATION AND INTERNAL MANAGEMENT AND,
SUBJECT TO AGREEMENTS WITH NOTEHOLDERS OR BONDHOLDERS, RULES AND REGU-
LATIONS GOVERNING THE USE OF THE RAILS AND ALL OTHER PROPERTIES AND
FACILITIES UNDER ITS JURISDICTION, WHICH SHALL BE FILED WITH THE DEPART-
MENT OF STATE IN THE MANNER PROVIDED BY SECTION ONE HUNDRED TWO OF THE
EXECUTIVE LAW;
(F) TO APPOINT OFFICERS, AGENTS AND EMPLOYEES AND FIX THEIR COMPEN-
SATION;
(G) TO MAKE CONTRACTS, INCLUDING FRANCHISES, AND TO EXECUTE ALL
INSTRUMENTS NECESSARY OR CONVENIENT;
(H) SUBJECT TO AGREEMENTS WITH NOTEHOLDERS OR BONDHOLDERS, TO FIX AND
COLLECT SUCH FEES, RENTALS AND CHARGES FOR THE USE OF THE RAIL SYSTEM OR
ANY PART THEREOF NECESSARY OR CONVENIENT, WITH AN ADEQUATE MARGIN OF
SAFETY, TO PRODUCE SUFFICIENT REVENUE TO MEET THE EXPENSE OF MAINTENANCE
AND OPERATION AND TO FULFILL THE TERMS OF ANY AGREEMENTS MADE WITH THE
HOLDERS OF ITS NOTES OR BONDS, AND TO ESTABLISH THE RIGHTS AND PRIVI-
LEGES GRANTED UPON PAYMENT THEREOF;
(I) TO RETAIN AND EMPLOY PRIVATE CONSULTANTS ON A CONTRACT BASIS FOR
RENDERING PROFESSIONAL AND TECHNICAL ASSISTANCE AND ADVICE IF COST
EFFECTIVE TO DO SO;
(J) TO CONSTRUCT, RECONSTRUCT OR IMPROVE ON OR ALONG THE RAIL SYSTEM
IN THE MANNER HEREIN PROVIDED, SUITABLE FACILITIES FOR RESTAURANTS AND
OTHER FACILITIES FOR THE PUBLIC, OR TO LEASE THE RIGHT TO CONSTRUCT,
RECONSTRUCT OR IMPROVE AND OPERATE SUCH FACILITIES; SUCH FACILITIES
SHALL BE PUBLICLY OFFERED FOR LEASING FOR OPERATION, OR THE RIGHT TO
CONSTRUCT, RECONSTRUCT OR IMPROVE AND OPERATE SUCH FACILITIES SHALL BE
PUBLICLY OFFERED UNDER RULES AND REGULATIONS TO BE ESTABLISHED BY THE
AUTHORITY;
(K) TO CONSTRUCT AND MAINTAIN OVER, UNDER, ALONG OR ACROSS A RAIL
SYSTEM UNDER ITS JURISDICTION TELEPHONE, TELEGRAPH, TELEVISION, ELECTRIC
POWER AND OTHER WIRES OR CABLES, PIPE LINES, WATER MAINS AND OTHER
CONDUITS AND MECHANICAL EQUIPMENT, NOT INCONSISTENT WITH THE APPROPRIATE
USE OF THE RAIL SYSTEM, OR TO CONTRACT FOR SUCH CONSTRUCTION; AND UPON
SUCH TERMS AND CONDITIONS AS THE BOARD SHALL DETERMINE, TO LEASE ALL OR
ANY PART OF SUCH PROPERTY AND FACILITIES OR THE RIGHT TO USE THE SAME,
WHETHER SUCH FACILITIES ARE CONSTRUCTED BY THE AUTHORITY OR UNDER A
CONTRACT FOR SUCH CONSTRUCTION, OR TO LEASE THE RIGHT TO CONSTRUCT AND
USE SUCH FACILITIES OR TO GRANT PERMITS OR EASEMENTS FOR SUCH PURPOSES
TO ANY GOVERNMENTAL AGENCY OF THE STATE OR TO ANY PUBLIC CORPORATION, OR
TO THE UNITED STATES OF AMERICA OR ANY GOVERNMENTAL AGENCY THEREOF FOR
ANY PUBLIC PURPOSES OR TO INDIVIDUALS, PARTNERSHIPS AND CORPORATIONS,
PROVIDED, HOWEVER, THAT NO LEASE OR RENEWAL THEREOF SHALL BE GRANTED FOR
A PERIOD OF MORE THAN THIRTY YEARS FROM THE DATE WHEN SUCH LEASE IS
MADE;
(L) TO BORROW MONEY AND ISSUE NEGOTIABLE NOTES, BONDS OR OTHER OBLI-
GATIONS AND TO PROVIDE FOR THE RIGHTS OF THE HOLDERS THEREOF;
A. 7977--A 6
(M) TO ENTER ON ANY LANDS, WATERS, OR PREMISES FOR THE PURPOSE OF
MAKING BORINGS, SOUNDINGS, AND SURVEYS;
(N) TO ACCEPT GRANTS, FEES, AND ALLOCATIONS FROM THE STATE, FROM POLI-
TICAL SUBDIVISIONS OF THE STATE OR FROM THE FEDERAL GOVERNMENT, FOREIGN
GOVERNMENTS, AND PRIVATE SOURCES;
(O) TO PROVIDE SUCH INFORMATION, ANALYSIS AND OTHER DOCUMENTS AS MAY
BE REASONABLY REQUESTED BY THE LEGISLATURE AND STATE COMPTROLLER;
(P) TO ENTER INTO COOPERATIVE AGREEMENTS WITH OTHER GOVERNMENT OFFICES
TO EFFICIENTLY CARRY OUT ITS WORK AND NOT DUPLICATE RESOURCES;
(Q) TO ENTER INTO COOPERATIVE AGREEMENTS WITH OTHER AUTHORITIES, MUNI-
CIPALITIES, UTILITY COMPANIES, INDIVIDUALS, FIRMS OR CORPORATIONS, AND
THE DOMINION OF CANADA AND ITS POLITICAL SUBDIVISIONS, FOR THE INTERCON-
NECTION OF FACILITIES AND THE EXCHANGE OR INTERCHANGE OF CONNECTED
SERVICES, UPON SUCH TERMS AND CONDITIONS AS SHALL BE DETERMINED TO BE
REASONABLE; AND
(R) TO DO ALL THINGS NECESSARY OR CONVENIENT TO CARRY OUT ITS PURPOSES
AND EXERCISE THE POWERS EXPRESSLY GIVEN IN THIS ARTICLE.
2. EXCEPT AS OTHERWISE LIMITED BY THIS ARTICLE, THE AUTHORITY SHALL
HAVE THE FOLLOWING RESPONSIBILITIES:
(A) TO CONDUCT IN-HOUSE ENGINEERING AND OTHER STUDIES RELATED TO THE
SELECTION AND ACQUISITION OF RIGHTS-OF-WAY AND THE SELECTION OF A FRAN-
CHISEE, INCLUDING, BUT NOT LIMITED TO, ENVIRONMENTAL IMPACT STUDIES,
SOCIOECONOMIC IMPACT STUDIES, AND FINANCIAL FEASIBILITY STUDIES;
(B) TO EVALUATE ALTERNATIVE HIGH SPEED RAIL TECHNOLOGIES, SYSTEMS AND
OPERATORS, AND SELECT AN APPROPRIATE HIGH SPEED RAIL SYSTEM WHICH MAY
BUILD UPON RAIL SYSTEMS ALREADY IN EXISTENCE;
(C) TO ESTABLISH CRITERIA FOR THE AWARD OF A FRANCHISE;
(D) TO SELECT A PROPOSED FRANCHISEE, A PROPOSED ROUTE, AND PROPOSED
TERMINAL SITES;
(E) TO PREPARE AND SUBMIT AN ANNUAL REPORT AS DESIGNED ABOVE;
(F) TO PREPARE A BUSINESS PLAN WHICH SHALL BE SUBMITTED AS PART OF THE
AUTHORITY'S ANNUAL REPORT AND REVISED AS NEEDED;
(G) TO PREPARE A DETAILED FINANCING PLAN, INCLUDING ANY NECESSARY
TAXES, FEES, OR BONDS TO PAY FOR THE CONSTRUCTION OF THE HIGH SPEED
TRAIN NETWORK AND TO ENTER INTO CONTRACTS WITH PUBLIC AND PRIVATE ENTI-
TIES FOR THE PREPARATION OF THE PLAN;
(H) TO DEVELOP A PROPOSED HIGH SPEED RAIL FINANCIAL PLAN, INCLUDING
NECESSARY TAXES, BONDS, OR BOTH, OR OTHER INDEBTEDNESS, AND SUBMIT THE
PLAN TO THE LEGISLATURE AND TO THE GOVERNOR;
(I) TO KEEP THE PUBLIC INFORMED OF ITS ACTIVITIES THROUGH ESTABLISH-
MENT OF AN AUTHORITY WEBSITE;
(J) TO INVESTIGATE, IMPLEMENT AND INTEGRATE, TO THE FULLEST EXTENT
PRACTICABLE AND ECONOMICALLY FEASIBLE, RESOURCE CONSERVATION AND ENERGY
EFFICIENCY MEASURES AND EQUIPMENT INTENDED TO REDUCE POWER DEMAND AND
USAGE, AND TO UTILIZE GREEN TECHNOLOGIES AND ALTERNATIVE AND RENEWABLE
FUELS, ALL AS INTEGRAL ELEMENTS IN ITS INVESTMENTS IN NEW FACILITIES AND
EQUIPMENT FOR OPERATIONS, AND IN MARKETING AND SALE OF SERVICES TO
CONSUMERS; AND
(K) TO CREATE AN AFFORDABLE, HIGH SPEED PASSENGER RAIL NETWORK ACROSS
NEW YORK STATE.
S 406. ROLE AND RESPONSIBILITIES OF BOARD MEMBERS. 1. BOARD MEMBERS OF
THE AUTHORITY SHALL: (A) EXECUTE DIRECT OVERSIGHT OF THE AUTHORITY'S
CHIEF EXECUTIVE AND OTHER MANAGEMENT IN THE EFFECTIVE AND ETHICAL
MANAGEMENT OF THE AUTHORITY; (B) UNDERSTAND, REVIEW AND MONITOR THE
IMPLEMENTATION OF FUNDAMENTAL FINANCIAL AND MANAGEMENT CONTROLS AND
OPERATIONAL DECISIONS OF THE AUTHORITY; (C) ESTABLISH POLICIES REGARDING
A. 7977--A 7
THE PAYMENT OF SALARY, COMPENSATION AND REIMBURSEMENTS TO, AND ESTABLISH
RULES FOR THE TIME AND ATTENDANCE OF, THE CHIEF EXECUTIVE AND MANAGE-
MENT; (D) ADOPT A CODE OF ETHICS APPLICABLE TO EACH OFFICER, DIRECTOR
AND EMPLOYEE THAT, AT A MINIMUM, INCLUDES THE STANDARDS ESTABLISHED IN
SECTION SEVENTY-FOUR OF THE PUBLIC OFFICERS LAW; (E) ESTABLISH WRITTEN
POLICIES AND PROCEDURES ON PERSONNEL INCLUDING POLICIES PROTECTING
EMPLOYEES FROM RETALIATION FOR DISCLOSING INFORMATION CONCERNING ACTS OF
WRONGDOING, MISCONDUCT, MALFEASANCE, OR OTHER INAPPROPRIATE BEHAVIOR BY
AN EMPLOYEE OR BOARD MEMBER OF THE AUTHORITY, INVESTMENTS, TRAVEL, THE
ACQUISITION OF REAL PROPERTY AND THE DISPOSITION OF REAL AND PERSONAL
PROPERTY AND THE PROCUREMENT OF GOODS AND SERVICES; (F) ADOPT A DEFENSE
AND INDEMNIFICATION POLICY AND DISCLOSE SUCH PLAN TO ANY AND ALL
PROSPECTIVE BOARD MEMBERS; AND (G) AT THE TIME THAT THE MEMBER TAKES AND
SUBSCRIBES HIS OR HER OATH OF OFFICE, EXECUTE AN ACKNOWLEDGMENT IN WHICH
THE BOARD MEMBER ACKNOWLEDGES THAT HE OR SHE UNDERSTANDS HIS OR HER ROLE
AND RESPONSIBILITIES IMPOSED PURSUANT TO THIS SECTION.
2. BOARD MEMBERS OF THE AUTHORITY, OR SUBSIDIARY THEREOF, SHALL ESTAB-
LISH AN AUDIT COMMITTEE TO BE COMPRISED OF NOT LESS THAN THREE INDEPEND-
ENT MEMBERS, WHO SHALL CONSTITUTE A MAJORITY ON THE COMMITTEE, AND WHO
SHALL POSSESS THE NECESSARY SKILLS TO UNDERSTAND THE DUTIES AND FUNC-
TIONS OF THE AUDIT COMMITTEE; PROVIDED, HOWEVER, THAT IN THE EVENT THAT
A BOARD HAS LESS THAN THREE INDEPENDENT MEMBERS, THE BOARD MAY APPOINT
NON-INDEPENDENT MEMBERS TO THE AUDIT COMMITTEE, PROVIDED THAT THE INDE-
PENDENT MEMBERS MUST CONSTITUTE A MAJORITY OF THE MEMBERS OF THE AUDIT
COMMITTEE. THE COMMITTEE SHALL RECOMMEND TO THE BOARD THE HIRING OF A
CERTIFIED INDEPENDENT ACCOUNTING FIRM FOR SUCH AUTHORITY, ESTABLISH THE
COMPENSATION TO BE PAID TO THE ACCOUNTING FIRM AND PROVIDE DIRECT OVER-
SIGHT OF THE PERFORMANCE OF THE INDEPENDENT AUDIT PERFORMED BY THE
ACCOUNTING FIRM HIRED FOR SUCH PURPOSES. MEMBERS OF THE AUDIT COMMITTEE
SHALL BE FAMILIAR WITH CORPORATE FINANCIAL AND ACCOUNTING PRACTICES.
3. BOARD MEMBERS OF THE AUTHORITY, OR SUBSIDIARY THEREOF, SHALL ESTAB-
LISH A GOVERNANCE COMMITTEE TO BE COMPRISED OF NOT LESS THAN THREE INDE-
PENDENT MEMBERS, WHO SHALL CONSTITUTE A MAJORITY ON THE COMMITTEE, AND
WHO SHALL POSSESS THE NECESSARY SKILLS TO UNDERSTAND THE DUTIES AND
FUNCTIONS OF THE GOVERNANCE COMMITTEE; PROVIDED, HOWEVER, THAT IN THE
EVENT THAT A BOARD HAS LESS THAN THREE INDEPENDENT MEMBERS, THE BOARD
MAY APPOINT NON-INDEPENDENT MEMBERS TO THE GOVERNANCE COMMITTEE,
PROVIDED THAT THE INDEPENDENT MEMBERS MUST CONSTITUTE A MAJORITY OF THE
MEMBERS OF THE GOVERNANCE COMMITTEE. IT SHALL BE THE RESPONSIBILITY OF
THE MEMBERS OF THE GOVERNANCE COMMITTEE TO KEEP THE BOARD INFORMED OF
CURRENT BEST GOVERNANCE PRACTICES; TO REVIEW CORPORATE GOVERNANCE
TRENDS; TO RECOMMEND UPDATES TO THE AUTHORITY'S CORPORATE GOVERNANCE
PRINCIPLES; TO ADVISE APPOINTING AUTHORITIES ON THE SKILLS AND EXPERI-
ENCES REQUIRED OF POTENTIAL BOARD MEMBERS; TO EXAMINE ETHICAL AND
CONFLICT OF INTEREST ISSUES; TO PERFORM BOARD SELF-EVALUATIONS; AND TO
RECOMMEND BY-LAWS WHICH INCLUDE RULES AND PROCEDURES FOR CONDUCT OF
BOARD BUSINESS.
S 407. OFFICERS AND EMPLOYEES; TRANSFER, PROMOTION AND SENIORITY. 1.
UPON BOARD CONFIRMATION, OFFICERS AND EMPLOYEES OF STATE DEPARTMENTS OR
AGENCIES MAY BE TRANSFERRED TO THE AUTHORITY AND OFFICERS, AGENTS AND
EMPLOYEES OF THE AUTHORITY MAY BE TRANSFERRED TO STATE DEPARTMENTS OR
AGENCIES, WITHOUT EXAMINATION AND WITHOUT LOSS OF ANY CIVIL SERVICE
STATUS OR RIGHTS. NO SUCH TRANSFER FROM THE AUTHORITY TO ANY STATE
DEPARTMENT, AGENCY OR DIVISION MAY, HOWEVER, BE MADE EXCEPT WITH THE
APPROVAL OF THE HEAD OF THE STATE DEPARTMENT, AGENCY OR DIVISION
INVOLVED AND THE DIRECTOR OF THE BUDGET AND IN COMPLIANCE WITH THE RULES
A. 7977--A 8
AND REGULATIONS OF THE STATE CIVIL SERVICE COMMISSION PROVIDED THAT,
BECAUSE OF THE SPECIALIZED NATURE OF TECHNICAL EXPERTISE REQUIRED FOR
POSITIONS AT THE AUTHORITY, NOTHING WITHIN THIS SECTION SHALL LIMIT
AUTHORITY HIRING TO CIVIL SERVICE LISTS.
2. PROMOTIONS FROM POSITIONS IN STATE DEPARTMENTS AND AGENCIES TO
POSITIONS IN THE AUTHORITY, AND VICE VERSA, MAY BE MADE FROM INTERDE-
PARTMENTAL PROMOTION LISTS RESULTING FROM PROMOTION EXAMINATIONS IN
WHICH EMPLOYEES OF THE AUTHORITY AND EMPLOYEES OF THE STATE ARE ELIGIBLE
TO PARTICIPATE.
3. IN COMPUTING SENIORITY FOR PURPOSES OF PROMOTION OR FOR PURPOSES OF
SUSPENSION OR DEMOTION UPON THE ABOLITION OF POSITIONS IN THE SERVICE OF
THE AUTHORITY OR IN THE SERVICE OF THE STATE, IN THE CASE OF AN EMPLOYEE
OF THE AUTHORITY A PERIOD OF PRIOR EMPLOYMENT IN THE SERVICE OF THE
STATE SHALL BE COUNTED IN THE SAME MANNER AS THOUGH SUCH PERIOD OF
EMPLOYMENT HAD BEEN IN THE SERVICE OF THE AUTHORITY, AND IN THE CASE OF
AN EMPLOYEE OF THE STATE A PERIOD OF PRIOR EMPLOYMENT IN THE SERVICE OF
THE AUTHORITY SHALL BE COUNTED IN THE SAME MANNER AS THOUGH SUCH PERIOD
OF EMPLOYMENT HAD BEEN IN THE SERVICE OF THE STATE. FOR THE PURPOSES OF
THE ESTABLISHMENT AND CERTIFICATION OF PREFERRED LISTS, EMPLOYEES
SUSPENDED FROM THE AUTHORITY SHALL BE ELIGIBLE FOR REINSTATEMENT IN THE
SERVICE OF THE STATE, AND EMPLOYEES SUSPENDED FROM THE SERVICE OF THE
STATE SHALL BE ELIGIBLE FOR REINSTATEMENT IN THE SERVICE OF THE AUTHORI-
TY, IN THE SAME MANNER AS THOUGH THE AUTHORITY WERE A DEPARTMENT OF THE
STATE.
S 408. ACQUISITION OF REAL PROPERTY BY THE AUTHORITY. THE AUTHORITY
MAY FROM TIME TO TIME DETERMINE WHAT REAL PROPERTY IS NECESSARY FOR THE
CONSTRUCTION, IMPROVEMENT AND OPERATION OF RAIL SYSTEMS OR PART THEREOF,
AND THEREUPON MAY ACQUIRE SUCH REAL PROPERTY BY CONDEMNATION PURSUANT TO
THE EMINENT DOMAIN PROCEDURE LAW. THE AUTHORITY MAY ALSO, AND IN ANY
CASE, ACQUIRE REAL PROPERTY IN THE NAME OF THE STATE BY DEED AND MAY PAY
SUCH PRICE THEREFOR AS SHALL BE AGREED WITH THE OWNER THEREOF.
S 409. DISPOSAL OF PROPERTY BY THE AUTHORITY. 1. SUPERVISION AND
DIRECTION. EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, THE CONTRACT-
ING OFFICER DESIGNATED BY THE AUTHORITY SHALL HAVE SUPERVISION AND
DIRECTION OVER THE DISPOSITION OF PROPERTY OF THE AUTHORITY.
2. CUSTODY AND CONTROL. THE CUSTODY AND CONTROL OF THE PROPERTY OF THE
AUTHORITY, PENDING ITS DISPOSITION, AND THE DISPOSAL OF SUCH PROPERTY,
SHALL BE PERFORMED BY THE AUTHORITY OR BY THE COMMISSIONER OF GENERAL
SERVICES WHEN SO AUTHORIZED UNDER THIS SECTION.
3. METHOD OF DISPOSITION. SUBJECT TO SECTION TWENTY-EIGHT HUNDRED
NINETY-SIX OF THIS CHAPTER, THE AUTHORITY MAY DISPOSE OF PROPERTY FOR
NOT LESS THAN THE FAIR MARKET VALUE OF SUCH PROPERTY BY SALE, EXCHANGE,
OR TRANSFER, FOR CASH, CREDIT, OR OTHER PROPERTY, WITH OR WITHOUT
WARRANTY, AND UPON SUCH OTHER TERMS AND CONDITIONS AS THE CONTRACTING
OFFICER DEEMS PROPER, AND IT MAY EXECUTE SUCH DOCUMENTS FOR THE TRANSFER
OF TITLE OR OTHER INTEREST IN PROPERTY AND TAKE SUCH OTHER ACTION AS IT
DEEMS NECESSARY OR PROPER TO DISPOSE OF SUCH PROPERTY UNDER THE
PROVISIONS OF THIS SECTION; PROVIDED, HOWEVER, THAT NO DISPOSITION OF
REAL PROPERTY, OR ANY INTEREST IN REAL PROPERTY, SHALL BE MADE UNLESS AN
APPRAISAL OF THE VALUE OF SUCH PROPERTY HAS BEEN MADE BY AN INDEPENDENT
APPRAISER AND INCLUDED IN THE RECORD OF THE TRANSACTION, AND, PROVIDED
FURTHER, THAT NO DISPOSITION OF ANY OTHER PROPERTY, WHICH BECAUSE OF ITS
UNIQUE NATURE OR THE UNIQUE CIRCUMSTANCES OF THE PROPOSED TRANSACTION IS
NOT READILY VALUED BY REFERENCE TO AN ACTIVE MARKET FOR SIMILAR PROPER-
TY, SHALL BE MADE WITHOUT A SIMILAR APPRAISAL.
A. 7977--A 9
4. SALES BY THE COMMISSIONER OF GENERAL SERVICES. WHEN IT SHALL BE
DEEMED ADVANTAGEOUS TO THE STATE, THE AUTHORITY MAY ENTER INTO AN AGREE-
MENT WITH THE COMMISSIONER OF GENERAL SERVICES WHERE UNDER SUCH COMMIS-
SIONER MAY DISPOSE OF PROPERTY OF THE AUTHORITY UNDER TERMS AND CONDI-
TIONS AGREED TO BY THE AUTHORITY AND THE COMMISSIONER OF GENERAL
SERVICES. IN DISPOSING OF ANY SUCH PROPERTY OF THE AUTHORITY, THE
COMMISSIONER OF GENERAL SERVICES SHALL BE BOUND BY THE TERMS OF THIS
ARTICLE AND REFERENCES TO THE CONTRACTING OFFICER SHALL BE DEEMED TO
REFER TO SUCH COMMISSIONER.
5. VALIDITY OF DEED, BILL OF SALE, LEASE, OR OTHER INSTRUMENT. A DEED,
BILL OF SALE, LEASE, OR OTHER INSTRUMENT EXECUTED BY OR ON BEHALF OF THE
AUTHORITY, PURPORTING TO TRANSFER TITLE OR ANY OTHER INTEREST IN PROPER-
TY OF THE AUTHORITY UNDER THIS ARTICLE SHALL BE CONCLUSIVE EVIDENCE OF
COMPLIANCE WITH THE PROVISIONS OF THIS ARTICLE INSOFAR AS CONCERNS TITLE
OR OTHER INTEREST OF ANY BONA FIDE GRANTEE OR TRANSFEREE WHO HAS GIVEN
VALUABLE CONSIDERATION FOR SUCH TITLE OR OTHER INTEREST AND HAS NOT
RECEIVED ACTUAL OR CONSTRUCTIVE NOTICE OF LACK OF SUCH COMPLIANCE PRIOR
TO THE CLOSING.
6. BIDS FOR DISPOSAL; ADVERTISING; PROCEDURE; DISPOSAL BY NEGOTIATION;
EXPLANATORY STATEMENT. (A) ALL DISPOSALS OR CONTRACTS FOR DISPOSAL OF
PROPERTY OF THE AUTHORITY MADE OR AUTHORIZED BY THE CONTRACTING OFFICER
SHALL BE MADE AFTER PUBLICLY ADVERTISING FOR BIDS EXCEPT AS PROVIDED IN
PARAGRAPH (C) OF THIS SUBDIVISION.
(B) WHENEVER PUBLIC ADVERTISING FOR BIDS IS REQUIRED UNDER PARAGRAPH
(A) OF THIS SUBDIVISION:
(I) THE ADVERTISEMENT FOR BIDS SHALL BE MADE AT SUCH TIME PRIOR TO THE
DISPOSAL OR CONTRACT, THROUGH SUCH METHODS, AND ON SUCH TERMS AND CONDI-
TIONS AS SHALL PERMIT FULL AND FREE COMPETITION CONSISTENT WITH THE
VALUE AND NATURE OF THE PROPERTY;
(II) ALL BIDS SHALL BE PUBLICLY DISCLOSED AT THE TIME AND PLACE STATED
IN THE ADVERTISEMENT; AND
(III) THE AWARD SHALL BE MADE WITH REASONABLE PROMPTNESS BY NOTICE TO
THE RESPONSIBLE BIDDER WHOSE BID, CONFORMING TO THE INVITATION FOR BIDS,
WILL BE MOST ADVANTAGEOUS TO THE STATE, PRICE AND OTHER FACTORS CONSID-
ERED; PROVIDED, THAT ALL BIDS MAY BE REJECTED WHEN IT IS IN THE PUBLIC
INTEREST TO DO SO.
(C) DISPOSALS AND CONTRACTS FOR DISPOSAL OF PROPERTY MAY BE NEGOTIATED
OR MADE BY PUBLIC AUCTION WITHOUT REGARD TO PARAGRAPHS (A) AND (B) OF
THIS SUBDIVISION BUT SUBJECT TO OBTAINING SUCH COMPETITION AS IS FEASI-
BLE UNDER THE CIRCUMSTANCES, IF:
(I) THE PERSONAL PROPERTY INVOLVED HAS QUALITIES SEPARATE FROM THE
UTILITARIAN PURPOSE OF SUCH PROPERTY, SUCH AS ARTISTIC QUALITY, ANTIQUI-
TY, HISTORICAL SIGNIFICANCE, RARITY, OR OTHER QUALITY OF SIMILAR EFFECT,
THAT WOULD TEND TO INCREASE ITS VALUE, OR IF THE PERSONAL PROPERTY IS TO
BE SOLD IN SUCH QUANTITY THAT, IF IT WERE DISPOSED OF UNDER PARAGRAPHS
(A) AND (B) OF THIS SUBDIVISION, WOULD ADVERSELY AFFECT THE STATE OR
LOCAL MARKET FOR SUCH PROPERTY, AND THE ESTIMATED FAIR MARKET VALUE OF
SUCH PROPERTY AND OTHER SATISFACTORY TERMS OF DISPOSAL CAN BE OBTAINED
BY NEGOTIATION;
(II) THE FAIR MARKET VALUE OF THE PROPERTY DOES NOT EXCEED FIFTEEN
THOUSAND DOLLARS;
(III) BID PRICES AFTER ADVERTISING THEREFOR ARE NOT REASONABLE, EITHER
AS TO ALL OR SOME PART OF THE PROPERTY, OR HAVE NOT BEEN INDEPENDENTLY
ARRIVED AT IN OPEN COMPETITION;
A. 7977--A 10
(IV) THE DISPOSAL WILL BE TO THE STATE OR ANY POLITICAL SUBDIVISION,
AND THE ESTIMATED FAIR MARKET VALUE OF THE PROPERTY AND OTHER SATISFAC-
TORY TERMS OF DISPOSAL ARE OBTAINED BY NEGOTIATION; OR
(V) SUCH ACTION IS OTHERWISE AUTHORIZED BY LAW.
(D) (I) AN EXPLANATORY STATEMENT SHALL BE PREPARED OF THE CIRCUM-
STANCES OF EACH DISPOSAL BY NEGOTIATION OF:
(A) ANY PERSONAL PROPERTY WHICH HAS AN ESTIMATED FAIR MARKET VALUE IN
EXCESS OF FIFTEEN THOUSAND DOLLARS;
(B) ANY REAL PROPERTY THAT HAS AN ESTIMATED FAIR MARKET VALUE IN
EXCESS OF ONE HUNDRED THOUSAND DOLLARS, EXCEPT THAT ANY REAL PROPERTY
DISPOSED OF BY LEASE OR EXCHANGE SHALL ONLY BE SUBJECT TO CLAUSES (C)
AND (D) OF THIS SUBPARAGRAPH;
(C) ANY REAL PROPERTY DISPOSED OF BY LEASE, IF THE ESTIMATED ANNUAL
RENT OVER THE TERM OF THE LEASE IS IN EXCESS OF FIFTEEN THOUSAND
DOLLARS; AND
(D) ANY REAL PROPERTY OR REAL AND RELATED PERSONAL PROPERTY DISPOSED
OF BY EXCHANGE, REGARDLESS OF VALUE, OR ANY PROPERTY ANY PART OF THE
CONSIDERATION FOR WHICH IS REAL PROPERTY.
(II) EACH SUCH STATEMENT SHALL BE TRANSMITTED TO THE PERSONS ENTITLED
TO RECEIVE COPIES OF THE REPORT REQUIRED UNDER SECTION TWENTY-EIGHT
HUNDRED NINETY-SIX OF THIS CHAPTER NOT LESS THAN NINETY DAYS IN ADVANCE
OF SUCH DISPOSAL, AND A COPY THEREOF SHALL BE PRESERVED IN THE FILES OF
THE AUTHORITY.
S 410. CONSTRUCTION, RECONSTRUCTION AND IMPROVEMENT. 1. ON ASSUMING
JURISDICTION OF A RAIL OR ANY PART THEREOF, OR OF A HIGHWAY CONNECTION,
THE AUTHORITY SHALL PROCEED WITH THE CONSTRUCTION, RECONSTRUCTION OR
IMPROVEMENT THEREOF. ALL SUCH WORK SHALL BE DONE PURSUANT TO A CONTRACT
OR CONTRACTS WHICH SHALL BE LET TO THE LOWEST RESPONSIBLE BIDDER, BY
SEALED PROPOSALS PUBLICLY OPENED, AFTER PUBLIC ADVERTISEMENT AND UPON
SUCH TERMS AND CONDITIONS AS THE AUTHORITY SHALL REQUIRE; PROVIDED,
HOWEVER, THAT THE AUTHORITY MAY REJECT ANY AND ALL PROPOSALS AND MAY
ADVERTISE FOR NEW PROPOSALS, AS PROVIDED IN THIS ARTICLE, IF IN ITS
OPINION, THE BEST INTERESTS OF THE AUTHORITY WILL THEREBY BE PROMOTED.
2. ALL CONTRACTS FOR THE CONSTRUCTION, RECONSTRUCTION, REHABILITATION
OR IMPROVEMENT OF BUILDINGS LET BY THE AUTHORITY SHALL COMPLY WITH THE
PROVISIONS OF SECTION TWO HUNDRED TWENTY OF THE LABOR LAW AND SHALL ALSO
BE SUBJECT TO THE PROVISIONS OF LAW APPLICABLE TO CONTRACTS LET BY A
MUNICIPAL CORPORATION, EXCEPT AS OTHERWISE PROVIDED HEREIN.
3. ALL CONTRACTS FOR THE CONSTRUCTION, RECONSTRUCTION, REHABILITATION
OR IMPROVEMENT OF BUILDINGS LET BY THE AUTHORITY SHALL BE IN CONFORMITY
WITH THE APPLICABLE PROVISIONS OF SECTION ONE HUNDRED THIRTY-FIVE OF THE
STATE FINANCE LAW.
4. THE AUTHORITY MAY, IN ITS DISCRETION, ASSIGN CONTRACTS FOR SUPER-
VISION AND COORDINATION TO THE SUCCESSFUL BIDDER FOR ANY SUBDIVISION OF
WORK FOR WHICH THE AUTHORITY RECEIVES BIDS. ANY CONSTRUCTION CONTRACT
AWARDED BY THE AUTHORITY SHALL CONTAIN SUCH OTHER TERMS AND CONDITIONS
AS THE AUTHORITY MAY DEEM DESIRABLE. THE AUTHORITY SHALL AWARD ANY
CONSTRUCTION CONTRACT INVOLVING AN EXPENDITURE OF MORE THAN FIVE THOU-
SAND DOLLARS TO THE LOWEST BIDDER WHO, IN ITS OPINION, IS QUALIFIED TO
PERFORM THE WORK REQUIRED AND WHO IS RESPONSIBLE AND RELIABLE. THE
AUTHORITY MAY, HOWEVER, REJECT ANY OR ALL BIDS OR WAIVE ANY INFORMALITY
IN A BID IF IT BELIEVES THAT THE PUBLIC INTEREST WILL BE PROMOTED THERE-
BY. THE AUTHORITY MAY REJECT ANY BID, IF, IN ITS JUDGMENT, THE BUSINESS
AND TECHNICAL ORGANIZATION, PLANT, RESOURCES, FINANCIAL STANDING, OR
EXPERIENCE OF THE BIDDER JUSTIFIES SUCH REJECTION IN VIEW OF THE WORK TO
BE PERFORMED.
A. 7977--A 11
5. FOR THE PURPOSES OF ARTICLE FIFTEEN-A OF THE EXECUTIVE LAW ONLY,
THE AUTHORITY SHALL BE DEEMED A STATE AGENCY AS THAT TERM IS USED IN
SUCH ARTICLE, AND ALL CONTRACTS FOR PROCUREMENT, DESIGN, CONSTRUCTION,
SERVICES AND MATERIALS SHALL BE DEEMED STATE CONTRACTS WITHIN THE MEAN-
ING OF THAT TERM AS SET FORTH IN SUCH ARTICLE.
S 411. JURISDICTION IN CERTAIN SUITS AGAINST THE AUTHORITY. EXCLUSIVE
JURISDICTION IS HEREBY CONFERRED UPON THE COURT OF CLAIMS TO HEAR AND
DETERMINE THE CLAIMS OF ANY PERSON AGAINST THE AUTHORITY (1) FOR ITS
TORTIOUS ACTS AND THOSE OF ITS AGENTS, AND (2) FOR BREACH OF A CONTRACT
RELATING TO CONSTRUCTION, RECONSTRUCTION, IMPROVEMENT, MAINTENANCE OR
OPERATION, IN THE SAME MANNER AND TO THE EXTENT PROVIDED BY AND SUBJECT
TO THE PROVISIONS OF THE COURT OF CLAIMS ACT WITH RESPECT TO CLAIMS
AGAINST THE STATE, AND TO MAKE AWARDS AND RENDER JUDGMENTS THEREFOR. ALL
AWARDS AND JUDGMENTS ARISING FROM SUCH CLAIMS SHALL BE PAID OUT OF
MONEYS OF THE AUTHORITY.
S 412. ANNUAL REPORT. THE AUTHORITY SHALL SUBMIT TO THE GOVERNOR, TO
THE LEGISLATURE, TO THE COMPTROLLER AND TO THE DIRECTOR OF THE BUDGET ON
OR BEFORE THE FIRST DAY OF FEBRUARY OF EACH YEAR A DETAILED REPORT
SETTING FORTH ITS OPERATIONS AND FISCAL TRANSACTIONS DURING THE PRECED-
ING CALENDAR YEAR WITH A STATEMENT OF ITS FINANCIAL CONDITION AS OF THE
END OF SUCH YEAR AND A STATEMENT OF ALL RECEIPTS AND EXPENDITURES DURING
SUCH YEAR. THE AUTHORITY SHALL SUBMIT REPORTS PURSUANT TO THIS SECTION
IN ACCORDANCE WITH SECTION TWENTY-EIGHT HUNDRED OF THIS CHAPTER.
S 413. DEPOSIT AND INVESTMENT OF MONEYS OF THE AUTHORITY. ALL MONEYS
OF THE AUTHORITY FROM WHATEVER SOURCE DERIVED SHALL BE PAID TO THE COMP-
TROLLER AS AGENT OF THE AUTHORITY, WHO SHALL NOT COMMINGLE SUCH MONEYS
WITH ANY OTHER MONEYS. SUCH MONEYS SHALL BE DEPOSITED IN A SEPARATE
BANK ACCOUNT OR ACCOUNTS. THE MONEYS IN SUCH ACCOUNTS SHALL BE PAID OUT
ON CHECK OF THE COMPTROLLER ON REQUISITION OF THE CHAIR OF THE AUTHORITY
OR OF SUCH OTHER PERSON AS THE AUTHORITY MAY AUTHORIZE TO MAKE SUCH
REQUISITION. ALL DEPOSITS OF SUCH MONEYS SHALL, IF REQUIRED BY THE
COMPTROLLER OR THE AUTHORITY, BE SECURED BY OBLIGATIONS OF THE UNITED
STATES OR OF THE STATE OF A MARKET VALUE EQUAL AT ALL TIMES TO THE
AMOUNT OF THE DEPOSIT AND ALL BANKS AND TRUST COMPANIES ARE AUTHORIZED
TO GIVE SUCH SECURITY FOR SUCH DEPOSITS. THE COMPTROLLER AND HIS OR HER
LEGALLY AUTHORIZED REPRESENTATIVES ARE HEREBY AUTHORIZED AND EMPOWERED
FROM TIME TO TIME TO EXAMINE THE ACCOUNTS AND BOOKS OF THE AUTHORITY,
INCLUDING ITS RECEIPTS, DISBURSEMENTS, CONTRACTS, LEASES, SINKING FUNDS,
INVESTMENTS AND ANY OTHER MATTERS RELATING TO ITS FINANCIAL STANDING.
NOTWITHSTANDING THE PROVISIONS OF THIS SECTION, THE AUTHORITY SHALL
HAVE POWER TO CONTRACT WITH THE HOLDERS OF ANY OF ITS NOTES OR BONDS AS
TO THE CUSTODY, COLLECTION, SECURING, INVESTMENT AND PAYMENT OF ANY
MONEYS OF THE AUTHORITY, OR ANY MONEYS HELD IN TRUST OR OTHERWISE FOR
THE PAYMENT OF NOTES OR BONDS OR IN ANY WAY TO SECURE NOTES OR BONDS,
AND TO CARRY OUT ANY SUCH CONTRACT. MONEYS HELD IN TRUST OR OTHERWISE
FOR THE PAYMENT OF NOTES OR BONDS OR IN ANY WAY TO SECURE NOTES OR BONDS
AND DEPOSITS OF SUCH MONEYS MAY BE SECURED IN THE SAME MANNER AS MONEYS
OF THE AUTHORITY, AND ALL BANKS AND TRUST COMPANIES ARE AUTHORIZED TO
GIVE SUCH SECURITY FOR SUCH DEPOSITS.
MONEYS OF THE AUTHORITY NOT REQUIRED FOR IMMEDIATE USE MAY, IN THE
DISCRETION OF THE AUTHORITY, BE INVESTED BY THE COMPTROLLER IN OBLI-
GATIONS IN WHICH THE COMPTROLLER MAY INVEST PURSUANT TO SECTION NINETY-
EIGHT-A OF THE STATE FINANCE LAW.
SUBJECT TO AGREEMENTS WITH NOTEHOLDERS AND BONDHOLDERS, THE AUTHORITY
SHALL PRESCRIBE A SYSTEM OF ACCOUNTS.
A. 7977--A 12
S 414. NOTES OR BONDS OF THE AUTHORITY. 1. (A) SUBJECT TO THE
PROVISIONS OF SECTION FOUR HUNDRED FIFTEEN OF THIS ARTICLE, THE AUTHORI-
TY SHALL HAVE THE POWER AND IS HEREBY AUTHORIZED FROM TIME TO TIME TO
ISSUE ITS NEGOTIABLE NOTES AND BONDS, UP TO ONE HUNDRED FIFTY MILLION
DOLLARS ANNUALLY, IN CONFORMITY WITH APPLICABLE PROVISIONS OF THE
UNIFORM COMMERCIAL CODE IN SUCH PRINCIPAL AMOUNT AS, IN THE OPINION OF
THE AUTHORITY, SHALL BE NECESSARY TO PROVIDE SUFFICIENT MONEYS FOR
ACHIEVING THE CORPORATE PURPOSES THEREOF, TOGETHER WITH SUITABLE FACILI-
TIES AND APPURTENANCES, THE PAYMENT OF ALL INDEBTEDNESS TO THE STATE,
THE COST OF ACQUISITION OF ALL REAL PROPERTY, THE EXPENSE OF MAINTENANCE
AND OPERATION, INTEREST ON NOTES AND BONDS DURING CONSTRUCTION AND FOR A
REASONABLE PERIOD THEREAFTER, ESTABLISHMENT OF RESERVES TO SECURE NOTES
OR BONDS, AND ALL OTHER EXPENDITURES OF THE AUTHORITY INCIDENT TO AND
NECESSARY OR CONVENIENT TO CARRY OUT ITS CORPORATE PURPOSES AND POWERS.
(B) THE AUTHORITY SHALL HAVE POWER FROM TIME TO TIME TO ISSUE RENEWAL
NOTES, TO ISSUE BONDS TO PAY NOTES, AND WHENEVER IT DEEMS REFUNDING
EXPEDIENT, TO REFUND ANY BONDS BY THE ISSUANCE OF NEW BONDS, WHETHER THE
BONDS TO BE REFUNDED HAVE OR HAVE NOT MATURED, AND MAY ISSUE BONDS PART-
LY TO REFUND BONDS THEN OUTSTANDING AND PARTLY FOR ANY OTHER PURPOSE.
THE REFUNDING BONDS SHALL BE SOLD AND THE PROCEEDS APPLIED TO THE
PURCHASE, REDEMPTION OR PAYMENT OF THE BONDS TO BE REFUNDED.
(C) EXCEPT AS MAY OTHERWISE BE EXPRESSLY PROVIDED BY THE AUTHORITY,
EVERY ISSUE OF THE NOTES OR BONDS SHALL BE GENERAL OBLIGATIONS PAYABLE
OUT OF ANY MONEYS OR REVENUES OF THE AUTHORITY, SUBJECT ONLY TO ANY
AGREEMENTS WITH THE HOLDERS OF NOTES OR BONDS PLEDGING ANY RECEIPTS OR
REVENUES.
2. THE NOTES AND BONDS SHALL BE AUTHORIZED BY RESOLUTION OF THE BOARD,
SHALL BEAR SUCH DATE OR DATES AND MATURE AT SUCH TIME OR TIMES, IN THE
CASE OF NOTES AND ANY RENEWALS THEREOF WITHIN FIVE YEARS AFTER THEIR
RESPECTIVE DATES AND IN THE CASE OF BONDS NOT EXCEEDING FORTY YEARS FROM
THEIR RESPECTIVE DATES, AS SUCH RESOLUTION OR RESOLUTIONS MAY PROVIDE.
THE NOTES AND BONDS SHALL BEAR INTEREST AT SUCH RATE OR RATES, BE IN
SUCH DENOMINATIONS, BE IN SUCH FORM, EITHER COUPON OR REGISTERED, CARRY
SUCH REGISTRATION PRIVILEGES, BE EXECUTED IN SUCH MANNER, BE PAYABLE IN
SUCH MEDIUM OF PAYMENT, AT SUCH PLACE OR PLACES, AND BE SUBJECT TO SUCH
TERMS OF REDEMPTION AS SUCH RESOLUTION OR RESOLUTIONS MAY PROVIDE. BONDS
AND NOTES SHALL BE SOLD BY THE AUTHORITY, AT PUBLIC OR PRIVATE SALE, AT
SUCH PRICE OR PRICES AS THE AUTHORITY MAY DETERMINE.
3. ANY RESOLUTION OR RESOLUTIONS AUTHORIZING ANY NOTES OR BONDS OR ANY
ISSUE THEREOF MAY CONTAIN PROVISIONS, WHICH SHALL BE A PART OF THE
CONTRACT WITH THE HOLDERS THEREOF, AS TO
(A) PLEDGING ALL OR ANY PART OF THE FEES, CHARGES, GIFTS, GRANTS,
RENTS, REVENUES OR OTHER MONEYS RECEIVED OR TO BE RECEIVED AND LEASES OR
AGREEMENTS TO SECURE THE PAYMENT OF THE NOTES OR BONDS OR OF ANY ISSUE
THEREOF SUBJECT TO SUCH AGREEMENTS WITH BONDHOLDERS AS MAY THEN EXIST;
(B) THE RATES OF THE FEES OR CHARGES TO BE ESTABLISHED, AND THE
AMOUNTS TO BE RAISED IN EACH YEAR THEREBY AND THE USE AND DISPOSITION OF
THE FEES, CHARGES, GIFTS, GRANTS, RENTS, REVENUES OR OTHER MONEYS
RECEIVED OR TO BE RECEIVED;
(C) THE SETTING ASIDE OF RESERVES OR SINKING FUNDS, AND THE REGULATION
AND DISPOSITION THEREOF;
(D) LIMITATIONS ON THE PURPOSE TO WHICH THE PROCEEDS OF SALE OF ANY
ISSUE OF NOTES OR BONDS THEN OR THEREAFTER TO BE ISSUED MAY BE APPLIED
AND PLEDGING SUCH PROCEEDS TO SECURE THE PAYMENT OF THE NOTES OR BONDS
OR OF ANY ISSUE THEREOF;
A. 7977--A 13
(E) LIMITATIONS ON THE ISSUANCE OF ADDITIONAL NOTES OR BONDS; THE
TERMS UPON WHICH ADDITIONAL NOTES OR BONDS MAY BE ISSUED AND SECURED;
THE REFUNDING OF OUTSTANDING OR OTHER NOTES OR BONDS;
(F) THE PROCEDURE, IF ANY, BY WHICH THE TERMS OF ANY CONTRACT WITH
NOTEHOLDERS OR BONDHOLDERS MAY BE AMENDED OR ABROGATED, THE AMOUNT OF
NOTES OR BONDS THE HOLDERS OF WHICH MUST CONSENT THERETO, AND THE MANNER
IN WHICH SUCH CONSENT MAY BE GIVEN;
(G) LIMITATIONS ON THE AMOUNT OF MONEYS TO BE EXPENDED BY THE AUTHORI-
TY FOR OPERATING, ADMINISTRATIVE OR OTHER EXPENSES OF THE AUTHORITY;
(H) IN THE CASE OF NOTES OR BONDS NOT GUARANTEED BY THE STATE, VESTING
IN A TRUSTEE OR TRUSTEES SUCH PROPERTY, RIGHTS, POWERS AND DUTIES IN
TRUST AS THE AUTHORITY MAY DETERMINE WHICH MAY INCLUDE ANY OR ALL OF THE
RIGHTS, POWERS AND DUTIES OF THE TRUSTEE APPOINTED BY THE BONDHOLDERS
PURSUANT TO THIS ARTICLE, AND LIMITING OR ABROGATING THE RIGHT OF THE
BONDHOLDERS TO APPOINT A TRUSTEE UNDER THIS ARTICLE OR LIMITING THE
RIGHTS, DUTIES AND POWERS OF SUCH TRUSTEE;
(I) THE ACQUISITION OF JURISDICTION OVER, AND OF PROPERTY FOR, RAILS
AND THE CONSTRUCTION, RECONSTRUCTION, IMPROVEMENT, MAINTENANCE OR OPERA-
TION THEREOF;
(J) ANY OTHER MATTERS, OF LIKE OR DIFFERENT CHARACTER, WHICH IN ANY
WAY AFFECT THE SECURITY OR PROTECTION OF THE NOTES OR BONDS.
4. WHENEVER THE AUTHORITY PLEDGES ITS REVENUES UNDER A RESOLUTION
AUTHORIZED BY THIS SECTION, SUCH RESOLUTION SHALL NOT PROHIBIT THE
AUTHORITY FROM FINANCING FOR ADDITIONAL CORPORATE TRANSPORTATION
PURPOSES AUTHORIZED BY LAW SECURED BY AN ADDITIONAL PLEDGE OF SUCH
REVENUES. SUCH ADDITIONAL PLEDGE OF REVENUES MAY, IN THE DISCRETION OF
THE AUTHORITY, BE SUBORDINATE TO THE PLEDGE OF SUCH REVENUES SECURING
OTHER BONDS, NOTES OR OTHER EVIDENCE OF INDEBTEDNESS OF THE AUTHORITY.
PROVIDED, HOWEVER, THE AUTHORITY SHALL NOT MAKE ANY SUCH ADDITIONAL
PLEDGE IF THE SECURITY OF THE BONDS, NOTES OR OTHER EVIDENCES OF INDEBT-
EDNESS PREVIOUSLY ISSUED WILL BE IMPAIRED AS A RESULT THEREOF.
PROVIDED, HOWEVER, THE AUTHORITY SHALL NOT MAKE ANY SUCH ADDITIONAL
PLEDGE IF THE SECURITY OF THE BONDS, NOTES OR OTHER EVIDENCES OF INDEBT-
EDNESS PREVIOUSLY ISSUED WILL BE IMPAIRED AS A RESULT THEREOF.
5. IT IS THE INTENTION HEREOF THAT ANY PLEDGE MADE BY THE AUTHORITY
SHALL BE VALID AND BINDING FROM THE TIME WHEN THE PLEDGE IS MADE; THAT
THE MONEYS SO PLEDGED AND THEREAFTER RECEIVED BY THE AUTHORITY SHALL
IMMEDIATELY BE SUBJECT TO THE LIEN OF SUCH PLEDGE WITHOUT ANY PHYSICAL
DELIVERY THEREOF OR FURTHER ACT, AND THAT THE LIEN OF ANY SUCH PLEDGE
SHALL BE VALID AND BINDING AS AGAINST ALL PARTIES HAVING CLAIMS OF ANY
KIND IN TORT, CONTRACT OR OTHERWISE AGAINST THE AUTHORITY IRRESPECTIVE
OF WHETHER SUCH PARTIES HAVE NOTICE THEREOF. NEITHER THE RESOLUTION NOR
ANY OTHER INSTRUMENT BY WHICH A PLEDGE IS CREATED NEED BE RECORDED.
6. NEITHER THE MEMBERS OF THE BOARD NOR ANY PERSON EXECUTING THE NOTES
OR BONDS SHALL BE LIABLE PERSONALLY ON THE NOTES OR BONDS OR BE SUBJECT
TO ANY PERSONAL LIABILITY OR ACCOUNTABILITY BY REASON OF THE ISSUANCE
THEREOF.
7. THE AUTHORITY SHALL HAVE POWER OUT OF ANY FUNDS AVAILABLE THEREFOR
TO PURCHASE NOTES OR BONDS, WHICH SHALL THEREUPON BE CANCELLED, AT A
PRICE NOT EXCEEDING (A) IF THE NOTES OR BONDS ARE THEN REDEEMABLE, THE
REDEMPTION PRICE THEN APPLICABLE PLUS ACCRUED INTEREST TO THE NEXT
INTEREST PAYMENT DATE THEREON, OR (B) IF THE NOTES OR BONDS ARE NOT THEN
REDEEMABLE, THE REDEMPTION PRICE APPLICABLE ON THE FIRST DATE AFTER SUCH
PURCHASE UPON WHICH THE NOTES OR BONDS BECOME SUBJECT TO REDEMPTION PLUS
ACCRUED INTEREST TO SAID DATE.
A. 7977--A 14
S 415. GUARANTY BY THE STATE. 1. TO THE EXTENT AUTHORIZED BY THE
CONSTITUTION AT THE TIME OF THE ISSUANCE OF NOTES OR BONDS, THE PUNCTUAL
PAYMENT OF THE NOTES AND BONDS SHALL BE, AND THE SAME HEREBY IS, FULLY
AND UNCONDITIONALLY GUARANTEED BY THE STATE, BOTH AS TO PRINCIPAL AND
INTEREST, ACCORDING TO THEIR TERMS; AND SUCH GUARANTY SHALL BE EXPRESSED
UPON THE FACE THEREOF BY THE SIGNATURE OR FACSIMILE SIGNATURE OF THE
COMPTROLLER OR A DEPUTY COMPTROLLER. IN THE EVENT THAT THE AUTHORITY
SHALL FAIL TO PAY WHEN DUE, THE PRINCIPAL OF, OR INTEREST ON, THE NOTES
OR BONDS, THE COMPTROLLER SHALL PAY THE HOLDER THEREOF, AND THEREUPON
THE STATE SHALL BE SUBROGATED TO THE RIGHTS OF THE NOTEHOLDERS OR BOND-
HOLDERS SO PAID.
2. THE AUTHORITY SHALL HAVE POWER TO ISSUE NOTES AND BONDS WITHOUT THE
GUARANTY OF THE STATE AND MAY ISSUE SUCH NOTES OR BONDS BEFORE AND AFTER
THE ISSUANCE OF NOTES OR BONDS SO GUARANTEED.
3. WHEN GUARANTEED NOTES OR GUARANTEED BONDS ARE OUTSTANDING, NOTES OR
BONDS SECURED BY A PLEDGE OF RECEIPTS OR REVENUES HAVING PRIORITY OVER
SUCH OUTSTANDING GUARANTEED NOTES OR GUARANTEED BONDS SHALL NOT BE
ISSUED, EXCEPT WITH THE CONSENT OF THE COMPTROLLER, AND UNLESS THE
AUTHORITY SHALL BY RESOLUTION FIRST FIND AND DETERMINE THAT, NOTWITH-
STANDING SUCH PLEDGE, THE AUTHORITY WILL HAVE ADEQUATE MEANS TO MEET ITS
OBLIGATIONS TO THE HOLDERS OF SUCH OUTSTANDING GUARANTEED NOTES OR
BONDS.
4. WHEN NOTES OR BONDS ARE OUTSTANDING SECURED BY A PLEDGE OF RECEIPTS
OR REVENUES, GUARANTEED NOTES OR BONDS EITHER UNSECURED, OR SECURED BY A
PLEDGE OF RECEIPTS OR REVENUES SUBORDINATE TO THE PLEDGE SECURING SUCH
OUTSTANDING NOTES OR BONDS, SHALL NOT BE ISSUED UNLESS THE AUTHORITY
SHALL FIRST FIND AND DETERMINE BY RESOLUTION THAT NOTWITHSTANDING THE
PLEDGE SECURING SUCH OUTSTANDING NOTES OR BONDS, THE AUTHORITY WILL HAVE
ADEQUATE MEANS TO MEET ITS OBLIGATIONS ON THE GUARANTEED NOTES OR BONDS
ABOUT TO BE ISSUED.
S 416. STATE'S RIGHT TO REQUIRE REDEMPTION OF BONDS. NOTWITHSTANDING
AND IN ADDITION TO ANY PROVISIONS FOR THE REDEMPTION OF BONDS WHICH MAY
BE CONTAINED IN ANY CONTRACT WITH THE HOLDERS OF THE BONDS, THE STATE
MAY, UPON FURNISHING SUFFICIENT FUNDS THEREFOR, REQUIRE THE AUTHORITY TO
REDEEM, PRIOR TO MATURITY, AS A WHOLE, ANY ISSUE OF BONDS ON ANY INTER-
EST PAYMENT DATE NOT LESS THAN FIFTEEN YEARS AFTER THE DATE OF THE BONDS
OF SUCH ISSUE AT ONE HUNDRED FOUR PER CENTUM OF THEIR FACE VALUE AND
ACCRUED INTEREST OR AT SUCH LOWER REDEMPTION PRICE AS MAY BE PROVIDED IN
THE BONDS IN CASE OF THE REDEMPTION THEREOF AS A WHOLE ON THE REDEMPTION
DATE. NOTICE OF SUCH REDEMPTION SHALL BE PUBLISHED IN AT LEAST TWO NEWS-
PAPERS PUBLISHED AND CIRCULATING RESPECTIVELY IN THE CITIES OF ALBANY
AND NEW YORK AT LEAST TWICE, THE FIRST PUBLICATION TO BE AT LEAST THIRTY
DAYS BEFORE THE DATE OF REDEMPTION.
S 417. REMEDIES OF NOTEHOLDERS AND BONDHOLDERS. 1. IN THE EVENT THAT
THE AUTHORITY SHALL DEFAULT IN THE PAYMENT OF PRINCIPAL OF OR INTEREST
ON ANY ISSUE OF NOTES OR BONDS AFTER THE SAME SHALL BECOME DUE, WHETHER
AT MATURITY OR UPON CALL FOR REDEMPTION, AND SUCH DEFAULT SHALL CONTINUE
FOR A PERIOD OF THIRTY DAYS, OR IN THE EVENT THAT THE AUTHORITY SHALL
FAIL OR REFUSE TO COMPLY WITH THE PROVISIONS OF THIS ARTICLE, OR SHALL
DEFAULT IN ANY AGREEMENT MADE WITH THE HOLDERS OF ANY ISSUE OF NOTES OR
BONDS, THE HOLDERS OF TWENTY-FIVE PER CENTUM IN AGGREGATE PRINCIPAL
AMOUNT OF THE NOTES OR BONDS OF SUCH ISSUE THEN OUTSTANDING, BY INSTRU-
MENT OR INSTRUMENTS FILED IN THE OFFICE OF THE CLERK OF THE COUNTY OF
ALBANY AND PROVED OR ACKNOWLEDGED IN THE SAME MANNER AS A DEED TO BE
RECORDED, MAY APPOINT A TRUSTEE TO REPRESENT THE HOLDERS OF SUCH NOTES
OR BONDS FOR THE PURPOSES HEREIN PROVIDED.
A. 7977--A 15
2. SUCH TRUSTEE MAY, AND UPON WRITTEN REQUEST OF THE HOLDERS OF TWEN-
TY-FIVE PER CENTUM IN PRINCIPAL AMOUNT OF SUCH NOTES OR BONDS THEN
OUTSTANDING SHALL, IN HIS OR ITS OWN NAME:
(A) BY MANDAMUS OR OTHER SUIT, ACTION OR PROCEEDING AT LAW OR IN EQUI-
TY ENFORCE ALL RIGHTS OF THE NOTEHOLDERS OR BONDHOLDERS, INCLUDING THE
RIGHT TO REQUIRE THE AUTHORITY TO COLLECT FEES, RENTALS AND CHARGES
ADEQUATE TO CARRY OUT ANY AGREEMENTS WITH THE HOLDERS OF SUCH NOTES OR
BONDS AND TO PERFORM ITS DUTIES UNDER THIS ARTICLE;
(B) BRING SUIT UPON SUCH NOTES OR BONDS;
(C) BY ACTION OR SUIT IN EQUITY, REQUIRE THE AUTHORITY TO ACCOUNT AS
IF IT WERE THE TRUSTEE OF AN EXPRESS TRUST FOR THE HOLDERS OF SUCH NOTES
OR BONDS;
(D) BY ACTION OR SUIT IN EQUITY, ENJOIN ANY ACTS OR THINGS WHICH MAY
BE UNLAWFUL OR IN VIOLATION OF THE RIGHTS OF THE HOLDERS OF SUCH NOTES
OR BONDS;
(E) DECLARE ALL SUCH NOTES OR BONDS DUE AND PAYABLE, AND IF ALL
DEFAULTS SHALL BE MADE GOOD THEN WITH THE CONSENT OF THE HOLDERS OF
TWENTY-FIVE PER CENTUM OF THE PRINCIPAL AMOUNT OF SUCH NOTES OR BONDS
THEN OUTSTANDING, TO ANNUL SUCH DECLARATION AND ITS CONSEQUENCES;
PROVIDED, HOWEVER, THAT THIS CLAUSE SHALL NOT BE APPLICABLE IN THE CASE
OF NOTES OR BONDS GUARANTEED BY THE STATE.
3. SUCH TRUSTEE, WHETHER OR NOT THE ISSUE OF BONDS OR NOTES REPRES-
ENTED BY SUCH TRUSTEE HAS BEEN DECLARED DUE AND PAYABLE, SHALL BE ENTI-
TLED AS OF RIGHT TO THE APPOINTMENT OF A RECEIVER OF ANY PART OR PARTS
OF THE RAILS, THE FEES, RENTALS, CHARGES OR OTHER REVENUES OF WHICH ARE
PLEDGED FOR THE SECURITY OF THE BONDS OR NOTES OF SUCH ISSUE AND SUCH
RECEIVER MAY ENTER AND TAKE POSSESSION OF SUCH PART OR PARTS OF THE
RAILS AND, SUBJECT TO ANY PLEDGE OR AGREEMENT WITH BONDHOLDERS, SHALL
TAKE POSSESSION OF ALL MONEYS AND OTHER PROPERTY DERIVED FROM OR APPLI-
CABLE TO THE CONSTRUCTION, OPERATION, MAINTENANCE AND RECONSTRUCTION OF
SUCH PART OR PARTS OF THE RAILS AND PROCEED WITH ANY CONSTRUCTION THERE-
ON WHICH THE AUTHORITY IS UNDER OBLIGATION TO DO AND SHALL OPERATE,
MAINTAIN AND RECONSTRUCT SUCH PART OR PARTS OF THE RAILS, AND COLLECT
AND RECEIVE ALL FEES, RENTALS, CHARGES AND OTHER REVENUES THEREAFTER
ARISING THEREFROM SUBJECT TO ANY PLEDGE THEREOF OR AGREEMENT WITH BOND-
HOLDERS OR NOTEHOLDERS RELATING THERETO AND PERFORM THE PUBLIC DUTIES
AND CARRY OUT THE AGREEMENTS AND OBLIGATIONS OF THE AUTHORITY UNDER THE
DIRECTION OF THE COURT. IN ANY SUIT, ACTION OR PROCEEDING BY THE TRUSTEE
THE FEES, COUNSEL FEES AND EXPENSES OF THE TRUSTEE AND OF THE RECEIVER,
IF ANY, SHALL CONSTITUTE TAXABLE DISBURSEMENTS AND ALL COSTS AND
DISBURSEMENTS ALLOWED BY THE COURT SHALL BE A FIRST CHARGE ON ANY TOLLS,
RENTALS AND OTHER REVENUES DERIVED FROM SUCH PART OR PARTS OF THE RAILS.
4. SUCH TRUSTEE SHALL IN ADDITION TO THE FOREGOING HAVE AND POSSESS
ALL OF THE POWERS NECESSARY OR APPROPRIATE FOR THE EXERCISE OF ANY FUNC-
TIONS SPECIFICALLY SET FORTH HEREIN OR INCIDENT TO THE GENERAL REPRESEN-
TATION OF BONDHOLDERS OR NOTEHOLDERS IN THE ENFORCEMENT AND PROTECTION
OF THEIR RIGHTS.
5. THE SUPREME COURT SHALL HAVE JURISDICTION OF ANY SUIT, ACTION OR
PROCEEDING BY THE TRUSTEE ON BEHALF OF SUCH NOTEHOLDERS OR BONDHOLDERS.
THE VENUE OF ANY SUCH SUIT, ACTION OR PROCEEDING SHALL BE LAID IN THE
COUNTY OF ALBANY.
6. BEFORE DECLARING THE PRINCIPAL OF NOTES OR BONDS NOT GUARANTEED BY
THE STATE DUE AND PAYABLE, THE TRUSTEE SHALL FIRST GIVE THIRTY DAYS'
NOTICE IN WRITING TO THE AUTHORITY.
S 418. LIABILITY OF STATE. THE STATE SHALL BE LIABLE ON NOTES OR BONDS
GUARANTEED PURSUANT TO THIS ARTICLE BUT SHALL NOT BE LIABLE ON NOTES OR
A. 7977--A 16
BONDS NOT GUARANTEED BY THE STATE WHICH SHALL NOT BE A DEBT OF THE
STATE.
S 419. NOTES AND BONDS LEGAL INVESTMENTS FOR PUBLIC OFFICERS AND FIDU-
CIARIES. THE NOTES AND BONDS ARE HEREBY MADE SECURITIES IN WHICH ALL
PUBLIC OFFICERS AND BODIES OF THIS STATE AND ALL MUNICIPALITIES AND
MUNICIPAL SUBDIVISIONS, ALL INSURANCE COMPANIES AND ASSOCIATIONS AND
OTHER PERSONS CARRYING ON AN INSURANCE BUSINESS, ALL BANKS, BANKERS,
TRUST COMPANIES, SAVINGS BANKS AND SAVINGS ASSOCIATIONS, INCLUDING
SAVINGS AND LOAN ASSOCIATIONS, BUILDING AND LOAN ASSOCIATIONS, INVEST-
MENT COMPANIES AND OTHER PERSONS CARRYING ON A BANKING BUSINESS, ALL
ADMINISTRATORS, GUARDIANS, EXECUTORS, TRUSTEES AND OTHER FIDUCIARIES AND
ALL OTHER PERSONS WHATSOEVER WHO ARE NOW OR MAY HEREAFTER BE AUTHORIZED
TO INVEST IN BONDS OR OTHER OBLIGATIONS OF THE STATE, MAY PROPERLY AND
LEGALLY INVEST FUNDS INCLUDING CAPITAL IN THEIR CONTROL OR BELONGING TO
THEM. THE NOTES AND BONDS ARE ALSO HEREBY MADE SECURITIES WHICH MAY BE
DEPOSITED WITH AND MAY BE RECEIVED BY ALL PUBLIC OFFICERS AND BODIES OF
THIS STATE AND ALL MUNICIPALITIES AND MUNICIPAL SUBDIVISIONS FOR ANY
PURPOSE FOR WHICH THE DEPOSIT OF BONDS OR OTHER OBLIGATIONS OF THIS
STATE IS NOW OR MAY HEREAFTER BE AUTHORIZED.
S 420. TAX EXEMPTION. THE PROPERTY OF THE AUTHORITY AND ITS INCOME AND
OPERATIONS SHALL BE EXEMPT FROM TAXATION.
S 421. TAX COVENANT. THE STATE COVENANTS WITH THE PURCHASERS AND WITH
ALL SUBSEQUENT HOLDERS AND TRANSFEREES OF NOTES AND BONDS ISSUED BY THE
AUTHORITY, IN CONSIDERATION OF THE ACCEPTANCE OF AND PAYMENT FOR THE
NOTES AND BONDS, THAT THE NOTES AND BONDS OF THE AUTHORITY ISSUED PURSU-
ANT TO THIS ARTICLE AND THE INCOME THEREFROM AND ALL ITS FEES, CHARGES,
RENTS, GIFTS, GRANTS, REVENUES, RECEIPTS AND OTHER MONEYS RECEIVED OR TO
BE RECEIVED, PLEDGED TO PAY OR SECURE THE PAYMENT OF SUCH NOTES OR BONDS
SHALL AT ALL TIMES BE FREE FROM TAXATION EXCEPT FOR ESTATE OR GIFT TAXES
AND TAXES ON TRANSFERS.
S 422. AGREEMENT OF THE STATE. THE STATE DOES PLEDGE TO AND AGREE WITH
THE HOLDERS OF NOTES, BONDS, OR OTHER OBLIGATIONS OF THE AUTHORITY NOT
GUARANTEED BY THE STATE THAT THE STATE WILL NOT LIMIT OR ALTER THE
RIGHTS HEREBY VESTED IN THE AUTHORITY TO ESTABLISH AND COLLECT SUCH
FEES, RENTALS AND CHARGES AS MAY BE CONVENIENT OR NECESSARY TO PRODUCE
SUFFICIENT REVENUE TO MEET THE EXPENSE OF MAINTENANCE AND OPERATION AND
TO FULFILL THE TERMS OF ANY AGREEMENTS MADE WITH THE HOLDERS THEREOF, OR
IN ANY WAY IMPAIR THE RIGHTS AND REMEDIES OF SUCH HOLDERS UNTIL SUCH
NOTES, BONDS, AND OTHER OBLIGATIONS, TOGETHER WITH THE INTEREST THEREON,
WITH INTEREST ON ANY UNPAID INSTALLMENTS OF INTEREST, AND ALL COSTS AND
EXPENSES IN CONNECTION WITH ANY ACTION OR PROCEEDINGS BY OR ON BEHALF OF
SUCH HOLDERS, ARE FULLY MET AND DISCHARGED.
S 423. REPORTS BY THE AUTHORITY. 1. (A) THE AUTHORITY SHALL SUBMIT TO
THE GOVERNOR, THE CHAIRMAN AND RANKING MINORITY MEMBER OF THE SENATE
FINANCE COMMITTEE, THE CHAIRMAN AND RANKING MINORITY MEMBER OF THE
ASSEMBLY WAYS AND MEANS COMMITTEE AND THE STATE COMPTROLLER, WITHIN
NINETY DAYS AFTER THE END OF ITS FISCAL YEAR, A COMPLETE AND DETAILED
REPORT OR REPORTS SETTING FORTH: (1) ITS OPERATIONS AND ACCOMPLISHMENTS;
(2) ITS FINANCIAL REPORTS, INCLUDING (I) AUDITED FINANCIALS IN ACCORD-
ANCE WITH ALL APPLICABLE REGULATIONS AND FOLLOWING GENERALLY ACCEPTED
ACCOUNTING PRINCIPLES AS DEFINED IN SUBDIVISION TEN OF SECTION TWO OF
THE STATE FINANCE LAW, (II) GRANT AND SUBSIDY PROGRAMS, (III) OPERATING
AND FINANCIAL RISKS, (IV) CURRENT RATINGS, IF ANY, OF ITS BONDS ISSUED
BY RECOGNIZED MUNICIPAL BOND RATING AGENCIES AND NOTICE OF CHANGES IN
SUCH RATINGS, AND (V) LONG-TERM LIABILITIES, INCLUDING LEASES AND
EMPLOYEE BENEFIT PLANS; (3) ITS MISSION STATEMENT AND MEASUREMENTS
A. 7977--A 17
INCLUDING ITS MOST RECENT MEASUREMENT REPORT; (4) A SCHEDULE OF ITS
BONDS AND NOTES OUTSTANDING AT THE END OF ITS FISCAL YEAR, TOGETHER WITH
A STATEMENT OF THE AMOUNTS REDEEMED AND INCURRED DURING SUCH FISCAL YEAR
AS PART OF A SCHEDULE OF DEBT ISSUANCE THAT INCLUDES THE DATE OF ISSU-
ANCE, TERM, AMOUNT, INTEREST RATE AND MEANS OF REPAYMENT. ADDITIONALLY,
THE DEBT SCHEDULE SHALL ALSO INCLUDE ALL REFINANCINGS, CALLS,
REFUNDINGS, DEFEASEMENTS AND INTEREST RATE EXCHANGE OR OTHER SUCH AGREE-
MENTS, AND FOR ANY DEBT ISSUED DURING THE REPORTING YEAR, THE SCHEDULE
SHALL ALSO INCLUDE A DETAILED LIST OF COSTS OF ISSUANCE FOR SUCH DEBT;
(5) A COMPENSATION SCHEDULE, IN ADDITION TO THE REPORT DESCRIBED IN
SECTION TWENTY-EIGHT HUNDRED SIX OF THIS CHAPTER, THAT SHALL INCLUDE, BY
POSITION, TITLE AND NAME OF THE PERSON HOLDING SUCH POSITION OR TITLE,
THE SALARY, COMPENSATION, ALLOWANCE AND/OR BENEFITS PROVIDED TO ANY
OFFICER, DIRECTOR OR EMPLOYEE IN A DECISION MAKING OR MANAGERIAL POSI-
TION OF SUCH AUTHORITY WHOSE SALARY IS IN EXCESS OF ONE HUNDRED THOUSAND
DOLLARS; (5-A) BIOGRAPHICAL INFORMATION, NOT INCLUDING CONFIDENTIAL
PERSONAL INFORMATION, FOR ALL DIRECTORS AND OFFICERS AND EMPLOYEES FOR
WHOM SALARY REPORTING IS REQUIRED UNDER SUBPARAGRAPH FIVE OF THIS PARA-
GRAPH; (6) THE PROJECTS UNDERTAKEN BY THE AUTHORITY DURING THE PAST
YEAR; (7) A LISTING AND DESCRIPTION, IN ADDITION TO THE REPORT REQUIRED
BY PARAGRAPH A OF SUBDIVISION THREE OF SECTION TWENTY-EIGHT HUNDRED
NINETY-SIX OF THIS CHAPTER OF ALL REAL PROPERTY OF SUCH AUTHORITY HAVING
AN ESTIMATED FAIR MARKET VALUE IN EXCESS OF FIFTEEN THOUSAND DOLLARS
THAT THE AUTHORITY ACQUIRES OR DISPOSES OF DURING SUCH PERIOD. THE
REPORT SHALL CONTAIN THE PRICE RECEIVED OR PAID BY THE AUTHORITY AND THE
NAME OF THE PURCHASER OR SELLER FOR ALL SUCH PROPERTY SOLD OR BOUGHT BY
THE AUTHORITY DURING SUCH PERIOD; (8) THE AUTHORITY'S CODE OF ETHICS;
(9) AN ASSESSMENT OF THE EFFECTIVENESS OF ITS INTERNAL CONTROL STRUCTURE
AND PROCEDURES; (10) A COPY OF THE LEGISLATION THAT FORMS THE STATUTORY
BASIS OF THE AUTHORITY; (11) A DESCRIPTION OF THE AUTHORITY AND ITS
BOARD STRUCTURE, INCLUDING (I) NAMES OF COMMITTEES AND COMMITTEE
MEMBERS, (II) LISTS OF BOARD MEETINGS AND ATTENDANCE, (III) DESCRIPTIONS
OF MAJOR AUTHORITY UNITS, SUBSIDIARIES, AND (IV) NUMBER OF EMPLOYEES;
(12) ITS CHARTER AND BY-LAWS; (13) A LISTING OF MATERIAL CHANGES IN
OPERATIONS AND PROGRAMS DURING THE REPORTING YEAR; (14) AT A MINIMUM A
FOUR-YEAR FINANCIAL PLAN, INCLUDING (I) A CURRENT AND PROJECTED CAPITAL
BUDGET, AND (II) AN OPERATING BUDGET REPORT, INCLUDING AN ACTUAL VERSUS
ESTIMATED BUDGET, WITH AN ANALYSIS AND MEASUREMENT OF FINANCIAL AND
OPERATING PERFORMANCE; (15) ITS BOARD PERFORMANCE EVALUATIONS; PROVIDED,
HOWEVER, THAT SUCH EVALUATIONS SHALL NOT BE SUBJECT TO DISCLOSURE UNDER
ARTICLE SIX OF THIS CHAPTER; (16) A DESCRIPTION OF THE TOTAL AMOUNTS OF
ASSETS AND/OR SERVICES BOUGHT OR SOLD WITHOUT COMPETITIVE BIDDING,
INCLUDING (I) THE NATURE OF THOSE ASSETS AND SERVICES, (II) THE NAMES OF
THE COUNTERPARTIES, AND (III) WHERE THE CONTRACT PRICE OR FAIR MARKET
VALUE FOR GOODS PURCHASED EXCEEDS A FAIR MARKET VALUE DETERMINED BY THE
AUTHORITIES BUDGET OFFICE, OR WHERE THE CONTRACT PRICE FOR GOODS SOLD IS
LESS THAN A FAIR MARKET VALUE, AN ATTESTATION OF THE FAIR MARKET VALUE
AND A DETAILED EXPLANATION EXECUTED UNDER PENALTIES OF PERJURY BY THE
CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER OF THE REASONS FOR
THE HIGH PRICE PURCHASE OR THE LOAN PRICE SALE INCLUDING THE RELATION-
SHIP, IF ANY, OF PERSONS ASSOCIATED WITH THE BUYER/PURCHASER AND PERSONS
ASSOCIATED WITH THE AUTHORITY AND/OR THE OFFICIALS WHO APPOINTED MEMBERS
TO THE AUTHORITY BOARD; AND (17) A DESCRIPTION OF ANY MATERIAL PENDING
LITIGATION IN WHICH THE AUTHORITY IS INVOLVED AS A PARTY DURING THE
REPORTING YEAR.
A. 7977--A 18
(B) THE AUTHORITY SHALL MAKE ACCESSIBLE TO THE PUBLIC, VIA ITS OFFI-
CIAL OR SHARED INTERNET WEBSITE, DOCUMENTATION PERTAINING TO ITS
MISSION, CURRENT ACTIVITIES, MOST RECENT ANNUAL FINANCIAL REPORTS,
CURRENT YEAR BUDGET AND ITS MOST RECENT INDEPENDENT AUDIT REPORT UNLESS
SUCH INFORMATION IS COVERED BY SUBDIVISION TWO OF SECTION EIGHTY-SEVEN
OF THE PUBLIC OFFICERS LAW.
2. (A) THE AUTHORITY SHALL SUBMIT TO THE COMPTROLLER, THE DIRECTOR OF
THE BUDGET AND THE CHAIRPERSONS OF THE LEGISLATIVE FISCAL COMMITTEES,
FOR THEIR INFORMATION, ANNUALLY, ON OR BEFORE THE FIFTEENTH DAY OF JANU-
ARY OF EACH CALENDAR YEAR, PERSONNEL INFORMATION SETTING FORTH PERSONAL
SERVICE SCHEDULES BY SUBSIDIARY, DIVISION AND UNIT WHICH INDICATE POSI-
TION, GRADE, SALARY AND TITLE FOR EACH EMPLOYEE AND IN SUMMARY FORM.
(B) IF THE AUTHORITY HAS PROVIDED THE INFORMATION REQUIRED BY THIS
SECTION IN THE ANNUAL REPORT REQUIRED UNDER SECTION TWENTY-EIGHT HUNDRED
OF THIS CHAPTER, SUCH AUTHORITY MAY COMPLY WITH THE PROVISIONS OF THIS
SECTION BY REFERENCES TO SUCH INFORMATION WITH ANY NECESSARY UPDATES.
S 424. SUBSIDIARIES OF THE AUTHORITY. 1. NOTWITHSTANDING ANY LAW TO
THE CONTRARY, THE AUTHORITY SHALL NOT HAVE THE POWER TO ORGANIZE ANY
SUBSIDIARY CORPORATION UNLESS THE LEGISLATURE SHALL HAVE ENACTED A LAW
GRANTING THE AUTHORITY SUCH POWER FOR THE ORGANIZATION OF A SPECIFIC
CORPORATION, PROVIDED, HOWEVER, THAT THE AUTHORITY MAY ORGANIZE A
SUBSIDIARY CORPORATION PURSUANT TO THE FOLLOWING REQUIREMENTS:
(A) THE PURPOSE FOR WHICH THE SUBSIDIARY CORPORATION SHALL BE ORGAN-
IZED SHALL BE FOR A PROJECT OR PROJECTS WHICH THE AUTHORITY HAS THE
POWER TO PURSUE PURSUANT TO ITS CORPORATE PURPOSES;
(B) THE PRIMARY REASON FOR WHICH THE SUBSIDIARY CORPORATION SHALL BE
ORGANIZED SHALL BE TO LIMIT THE POTENTIAL LIABILITY IMPACT OF THE
SUBSIDIARY'S PROJECT OR PROJECTS ON THE AUTHORITY OR BECAUSE STATE OR
FEDERAL LAW REQUIRES THAT THE PURPOSE OF A SUBSIDIARY BE UNDERTAKEN
THROUGH A SPECIFIC CORPORATE STRUCTURE; AND
(C) THE SUBSIDIARY CORPORATION SHALL MAKE THE REPORTS AND OTHER
DISCLOSURES AS ARE REQUIRED OF THE AUTHORITY, UNLESS THE SUBSIDIARY
CORPORATION'S OPERATIONS AND FINANCES ARE CONSOLIDATED WITH THOSE OF THE
AUTHORITY.
2. IN SUCH CASES WHERE THE AUTHORITY HAS THE POWER TO ORGANIZE A
SUBSIDIARY CORPORATION PURSUANT TO SUBDIVISION ONE OF THIS SECTION, THE
AUTHORITY SHALL FILE, NO LESS THAN SIXTY DAYS PRIOR TO THE FORMATION OF
SUCH SUBSIDIARY, NOTICE TO THE AUTHORITY'S BUDGET OFFICE, THE GOVERNOR,
THE COMPTROLLER, AND THE LEGISLATURE THAT IT WILL BE CREATING A SUBSID-
IARY.
3. SUBSIDIARY CORPORATIONS FORMED UNDER SUBDIVISION ONE OF THIS
SECTION SHALL NOT HAVE THE AUTHORITY TO ISSUE BONDS, NOTES OR OTHER
DEBTS, PROVIDED, HOWEVER, THAT SUCH SUBSIDIARY CORPORATIONS MAY ISSUE
NOTES OR OTHER DEBT TO THE AUTHORITY. NO SUCH DEBT ISSUED BY THE SUBSID-
IARY TO THE AUTHORITY SHALL IN TOTAL EXCEED, AT ANY TIME, A PRINCIPAL
AMOUNT OF FIVE HUNDRED THOUSAND DOLLARS OR, DURING THE NINE MONTHS AFTER
THE FORMATION OF THE SUBSIDIARY, ONE MILLION DOLLARS.
4. THE CERTIFICATE OF INCORPORATION OR OTHER DOCUMENT FILED TO ORGAN-
IZE A SUBSIDIARY CORPORATION UNDER THIS SECTION SHALL STATE THAT THE
AUTHORITY IS THE PERSON ORGANIZING THE CORPORATION.
5. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO GRANT THE AUTHORITY
THE POWER TO CREATE A SUBSIDIARY WHERE THE AUTHORITY DOES NOT OTHERWISE
HAVE THE POWER TO DO SO.
6. ON OR BEFORE THE FIRST DAY OF JANUARY, TWO THOUSAND TEN, AND ANNU-
ALLY ON SUCH DAY THEREAFTER, ANY SUBSIDIARY PUBLIC BENEFIT CORPORATION,
IN COOPERATION WITH THE AUTHORITY, SHALL PROVIDE TO THE CHAIR AND RANK-
A. 7977--A 19
ING MINORITY MEMBER OF THE SENATE FINANCE COMMITTEE AND THE CHAIR AND
RANKING MINORITY MEMBER OF THE ASSEMBLY WAYS AND MEANS COMMITTEE, A
REPORT ON THE SUBSIDIARY PUBLIC BENEFIT CORPORATION. SUCH REPORT SHALL
INCLUDE FOR EACH SUBSIDIARY:
(A) THE COMPLETE LEGAL NAME, ADDRESS AND CONTACT INFORMATION OF THE
SUBSIDIARY;
(B) THE STRUCTURE OF THE ORGANIZATION OF THE SUBSIDIARY, INCLUDING THE
NAMES AND TITLES OF EACH OF ITS MEMBERS, DIRECTORS AND OFFICERS, AS WELL
AS A CHART OF ITS ORGANIZATIONAL STRUCTURE;
(C) THE COMPLETE BYLAWS AND LEGAL ORGANIZATION PAPERS OF THE SUBSID-
IARY;
(D) A COMPLETE REPORT OF THE PURPOSE, OPERATIONS, MISSION AND PROJECTS
OF THE SUBSIDIARY, INCLUDING A STATEMENT OF JUSTIFICATION AS TO WHY THE
SUBSIDIARY IS NECESSARY TO CONTINUE ITS OPERATIONS FOR THE PUBLIC BENE-
FIT FOR THE PEOPLE OF THE STATE OF NEW YORK; AND
(E) ANY OTHER INFORMATION THE AUTHORITY DEEMS IMPORTANT TO INCLUDE IN
SUCH REPORT.
S 425. AUTHORITY CONTRACTS; LIMITATIONS. 1. PRIOR TO THEIR PUBLICATION
FOR BIDS OR PROPOSALS, THE AUTHORITY SHALL SUBMIT TO THE STATE COMP-
TROLLER, PROPOSALS FOR CONTRACTS FOR PROCUREMENT, PUBLIC WORK,
CONSTRUCTION, OR REVENUE THAT INCLUDE THE PAYMENT OF MONEY, THE EXCHANGE
OF PERSONAL OR REAL PROPERTY, THE EXCHANGE OF SERVICES, OR ANY COMBINA-
TION THEREOF, WHICH IN THE AGGREGATE MAY REASONABLY BE VALUED IN EXCESS
OF ONE MILLION DOLLARS. IF THE COMPTROLLER WITHIN FORTY-FIVE DAYS OF
SUCH SUBMISSION NOTIFIES THE AUTHORITY THAT, PURSUANT TO HIS OR HER
AUTHORITY TO SUPERVISE THE ACCOUNTS OF PUBLIC AUTHORITIES, HE OR SHE
WILL REVIEW AND APPROVE SUCH CONTRACT, SUCH CONTRACT OR AGREEMENT SHALL
NOT BE A VALID ENFORCEABLE CONTRACT UNLESS SUCH CONTRACT SHALL FIRST BE
APPROVED BY THE COMPTROLLER. IN THE EVENT THAT THE COMPTROLLER NOTIFIES
THE AUTHORITY THAT FINAL APPROVAL SHALL BE REQUIRED AS PROVIDED BY THIS
SUBDIVISION, THEN THE AUTHORITY SHALL INCLUDE A PROVISION IN ALL SUCH
INVITATIONS TO BID OR SOLICITATIONS FOR PROPOSALS, INFORMING THE OTHER
PARTIES TO SUCH CONTRACTS THAT THE SAME ARE NOT VALID AND ENFORCEABLE
WITHOUT THE COMPTROLLER'S APPROVAL.
2. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION ONE OF THIS SECTION,
IF THE COMPTROLLER HAS NOT APPROVED OR DISAPPROVED ANY CONTRACT SUBJECT
TO THE PROVISIONS OF SUCH SUBDIVISION WITHIN NINETY DAYS OF SUBMISSION
OF SUCH CONTRACT TO HIS OR HER OFFICE, SUCH CONTRACT SHALL BE VALID AND
ENFORCEABLE.
3. IF THE COMPTROLLER DETERMINES THAT ANY CONTRACT OR CATEGORY OF
CONTRACTS OF THE AUTHORITY, WHICH ARE NOT SUBJECT TO THE PROVISIONS OF
SUBDIVISION ONE OF THIS SECTION, REQUIRE DIRECT SUPERVISION IN THE FORM
OF PRE-APPROVAL OF SUCH CONTRACTS, AND THE COMPTROLLER SO NOTIFIES SUCH
STATE AUTHORITY OF SUCH DETERMINATION, THEN NO SUCH CONTRACT OR AGREE-
MENT BY SUCH STATE AUTHORITY SELECTED FOR REVIEW BY THE COMPTROLLER
SHALL BE A VALID ENFORCEABLE CONTRACT UNLESS SUCH CONTRACT SHALL FIRST
BE APPROVED BY THE COMPTROLLER. IN THE EVENT THAT THE COMPTROLLER NOTI-
FIES THE AUTHORITY THAT APPROVAL SHALL BE REQUIRED AS PROVIDED BY THIS
SUBDIVISION, THEN THE AUTHORITY SHALL INCLUDE A PROVISION IN ALL SUCH
CONTRACTS SELECTED FOR REVIEW, INFORMING THE OTHER PARTIES TO SUCH
CONTRACTS THAT THE SAME ARE NOT VALID AND ENFORCEABLE WITHOUT THE COMP-
TROLLER'S APPROVAL.
4. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION THREE OF THIS
SECTION, IF THE COMPTROLLER HAS NOT APPROVED OR DISAPPROVED ANY CONTRACT
SUBJECT TO THE PROVISIONS OF SUCH SUBDIVISION WITHIN NINETY DAYS OF
A. 7977--A 20
SUBMISSION OF SUCH CONTRACT TO HIS OR HER OFFICE, SUCH CONTRACT SHALL BE
VALID AND ENFORCEABLE.
5. THIS SECTION SHALL NOT APPLY TO: (A) CONTRACTS ENTERED INTO FOR THE
ISSUANCE OF BONDED INDEBTEDNESS, EXCEPT CONTRACTS FOR PERSONAL SERVICES;
OR (B) CONTRACTS ENTERED INTO FOR THE PROCUREMENT OF GOODS AND/OR
SERVICES MADE TO MEET EMERGENCIES ARISING FROM UNFORESEEN CAUSES. FOR
THE PURPOSE OF THIS PARAGRAPH "EMERGENCY" SHALL MEAN AN URGENT AND UNEX-
PECTED REQUIREMENT WHERE HEALTH AND PUBLIC SAFETY OR THE CONSERVATION OF
PUBLIC RESOURCES IS AT RISK. THE AUTHORITY SHALL DOCUMENT IN THE
PROCUREMENT RECORD, SUBJECT TO REVIEW BY THE STATE COMPTROLLER, THE
NATURE OF THE EMERGENCY GIVING RISE TO THE PROCUREMENT; OR (C) CONTRACTS
OF PURCHASE OR SALE MADE ON A RECOGNIZED MARKET FOR THE GOODS, SERVICES,
OR COMMODITIES IN QUESTION IN ACCORDANCE WITH STANDARD TERMS AND CONDI-
TIONS OF SALE AT A MARKET PRICE.
6. THE PROVISIONS OF THIS SECTION DO NOT GRANT OR DIMINISH ANY POWER
OR RIGHT TO REVIEW CONTRACTS BEYOND OR FROM THAT WHICH THE COMPTROLLER
MAY HAVE PURSUANT TO HIS OR HER AUTHORITY TO SUPERVISE THE ACCOUNTS OF
PUBLIC AUTHORITIES. IF ANY PROVISIONS OF THIS SECTION OR ITS APPLICA-
TION TO ANY PERSON OR CIRCUMSTANCE IS HELD INVALID BY A COURT OF LAST
RESORT, THEN THIS SECTION SHALL BE DEEMED TO BE INVALID IN ITS ENTIRETY
AND SHALL BE DEEMED REPEALED.
S 426. PREVAILING WAGES. WHENEVER THE AUTHORITY ENTERS INTO ANY
CONTRACT, SUBCONTRACT, LEASE, GRANT, BOND, COVENANT OR OTHER AGREEMENT
FOR OR IN CONNECTION WITH ANY CONSTRUCTION, DEMOLITION, RECONSTRUCTION,
EXCAVATION, REHABILITATION, REPAIR, RENOVATION, ALTERATION, OR IMPROVE-
MENT PROJECT, SUCH PROJECT SHALL BE DEEMED TO BE A PUBLIC WORKS PROJECT
FOR THE PURPOSES OF ARTICLE EIGHT OF THE LABOR LAW, AND ALL OF THE
PROVISIONS OF ARTICLE EIGHT OF THE LABOR LAW SHALL BE APPLICABLE TO ALL
THE WORK INVOLVED IN THE CONSTRUCTION, DEMOLITION, RECONSTRUCTION, EXCA-
VATION, REHABILITATION, REPAIR, RENOVATION, ALTERATION, OR IMPROVEMENT
OF SUCH PROJECT. FUNDS, FINANCIAL ASSISTANCE, OR ANY OTHER BENEFITS
PROVIDED PURSUANT TO THIS ARTICLE SHALL NOT BE UTILIZED FOR OR IN
CONNECTION WITH THE CONSTRUCTION, DEMOLITION, RECONSTRUCTION, EXCA-
VATION, REHABILITATION, REPAIR, RENOVATION, ALTERATION, OR IMPROVEMENT
OF ANY PROJECT TO WHICH THE PROVISIONS OF ARTICLE EIGHT OF THE LABOR LAW
ARE NOT APPLICABLE.
S 427. EQUAL EMPLOYMENT OPPORTUNITY. ALL CONTRACTS ENTERED INTO BY THE
AUTHORITY PURSUANT TO THIS ARTICLE OF WHATEVER NATURE AND ALL DOCUMENTS
SOLICITING BIDS OR PROPOSALS THEREFOR SHALL CONTAIN OR MAKE REFERENCE TO
THE FOLLOWING PROVISION:
THE CONTRACTOR SHALL NOT DISCRIMINATE AGAINST EMPLOYEES OR APPLICANTS
FOR EMPLOYMENT BECAUSE OF RACE, CREED, COLOR, NATIONAL ORIGIN, SEX, AGE,
DISABILITY OR MARITAL STATUS, AND WILL UNDERTAKE OR CONTINUE EXISTING
PROGRAMS OF AFFIRMATIVE ACTION TO ENSURE THAT MINORITY GROUP PERSONS AND
WOMEN ARE AFFORDED EQUAL OPPORTUNITY WITHOUT DISCRIMINATION. SUCH
PROGRAMS SHALL INCLUDE, BUT NOT BE LIMITED TO, RECRUITMENT, EMPLOYMENT,
JOB ASSIGNMENT, PROMOTION, UPGRADING, DEMOTION, TRANSFER, LAYOFF, TERMI-
NATION, RATES OF PAY OR OTHER FORMS OF COMPENSATION, AND SELECTION FOR
TRAINING AND RETRAINING, INCLUDING APPRENTICESHIP AND ON-THE-JOB TRAIN-
ING.
S 428. CONTRACTS FOR PROFESSIONAL, MAINTENANCE, CLERICAL, OR TECHNICAL
SERVICES. 1. DEFINITIONS. AS USED IN THIS SECTION, THE FOLLOWING TERMS
HAVE THE FOLLOWING MEANINGS, UNLESS OTHERWISE SPECIFIED:
(A) "AUTHORITY" MEANS ANY PUBLIC AUTHORITY COMMISSION CREATED BY THIS
ARTICLE;
A. 7977--A 21
(B) "CONTRACT" MEANS AN ENFORCEABLE AGREEMENT, ENTERED INTO BY A
CONTRACTOR AND THE AUTHORITY, WHICH EXCEEDS TWO HUNDRED FIFTY THOUSAND
DOLLARS. A SINGLE CONTRACT WHICH IS DIVIDED INTO SEPARATE CONTRACTS
SOLELY TO AVOID THE APPLICATION OF THIS TITLE SHALL BE DEEMED A SINGLE
CONTRACT FOR PURPOSES OF THIS SECTION;
(C) "CONTRACTOR" MEANS ANY PERSON, PARTNERSHIP, FIRM, CORPORATION,
ASSOCIATION, LIMITED LIABILITY COMPANY, OR OTHER ENTITY RENDERING OR
PROVIDING PROFESSIONAL, MAINTENANCE, CLERICAL, OR TECHNICAL SERVICES
PURSUANT TO A CONTRACT WITH A PUBLIC AUTHORITY;
(D) "SERVICES" MEANS ANY PROFESSIONAL, MAINTENANCE, CLERICAL, OR TECH-
NICAL SERVICES CURRENTLY PERFORMED BY MEMBERS OF THE PROFESSIONAL, MAIN-
TENANCE, CLERICAL, AND TECHNICAL BARGAINING UNIT OF A PUBLIC AUTHORITY
OR WHICH COME WITHIN THE SCOPE OF THE PROFESSIONAL PRACTICE OF THE
MEMBERS OF SUCH BARGAINING UNIT;
(E) "CHANGE ORDER" MEANS A WRITTEN ORDER BY A PUBLIC AUTHORITY DIRECT-
ING THE CONTRACTOR TO MAKE CHANGES IN A CONTRACT; AND
(F) "CONTRACT MODIFICATION" MEANS ANY WRITTEN ALTERATION TO SPECIFICA-
TIONS, DELIVERY POINT, RATE OF DELIVERY, PERIOD OF PERFORMANCE, PRICE,
QUALITY, OR OTHER PROVISIONS OF ANY CONTRACT ACCOMPLISHED BY MUTUAL
ACTION OF THE PARTIES TO THE CONTRACT.
2. GUIDELINES FOR CONTRACTING FOR SERVICES. NO CONTRACT WITH A
CONTRACTOR FOR SERVICES SHALL BE ENTERED INTO BY THE AUTHORITY UNLESS
CONTRACTING FOR SUCH SERVICES IS:
(A) COST EFFECTIVE WHEN COMPARED TO THE COST OF HAVING THE AUTHORITY
PERFORM THE WORK; OR
(B) REQUIRED FOR A SHORT DURATION, MAKING IT IMPRACTICAL TO HIRE
BARGAINING UNIT EMPLOYEES TO PERFORM THE SERVICE; OR
(C) REQUIRED FOR SPECIAL EXPERTISE NOT CURRENTLY AVAILABLE IN THE
BARGAINING UNIT; OR
(D) REQUIRED DUE TO AN URGENT NEED SUCH THAT THE DELAY IN HIRING
EMPLOYEES WOULD FRUSTRATE THE PUBLIC INTEREST; OR
(E) REQUIRED TO AVOID A CONFLICT OF INTEREST; OR
(F) OTHERWISE REQUIRED TO BE SO CONTRACTED; OR
(G) IN COMPLIANCE WITH THE AUTHORITY'S AFFIRMATIVE ACTION EFFORTS AND
WILL NOT CAUSE THE PUBLIC AUTHORITY TO FAIL TO MEET ITS AFFIRMATIVE
ACTION GOALS. A CONTRACTOR MUST ALSO MEET OR EXCEED THE AUTHORITY'S
GOALS FOR AFFIRMATIVE ACTION; OR
(H) IN COMPLIANCE WITH THE REQUIREMENTS OF APPLICABLE STATE, LOCAL,
AND FEDERAL LAW.
3. COST BENEFIT ANALYSIS. IN DETERMINING IF A CONTRACT IS COST EFFEC-
TIVE, THE AUTHORITY SHALL PERFORM A COST BENEFIT ANALYSIS WHICH SHALL
EVALUATE, BUT NOT BE LIMITED TO, THE FOLLOWING FACTORS:
(A) REIMBURSEMENT FROM OTHER SOURCES;
(B) BOTH THE DIRECT AND INDIRECT COSTS OF PERFORMING THE WORK;
(C) WHETHER OR NOT THE CONTRACTOR PROVIDES WAGES AND SUPPLEMENTS TO
ITS EMPLOYEES WHICH ARE COMPARABLE TO THOSE PAID TO SIMILAR EMPLOYEES
PERFORMING SIMILAR WORK IN THE GEOGRAPHIC AREA WHERE THE WORK IS TO BE
PERFORMED. A CONTRACT MAY NOT BE CONSIDERED COST EFFECTIVE IF SUCH
WAGES AND SUPPLEMENTS ARE SUBSTANTIALLY BELOW THOSE CUSTOMARILY PAID IN
THE AREA; AND
(D) THE QUALITY OF SERVICE BEING PROVIDED.
4. REVIEW OF CONTRACTS FOR SERVICES. (A) PRIOR TO EXECUTING A CONTRACT
FOR SERVICES, THE AUTHORITY SHALL PREPARE A SPECIFIC STATEMENT WHICH
SETS FORTH THE OBJECTIVE DATA SUPPORTING THE REASONS WHY THE PROPOSED
CONTRACT MEETS THE REQUIREMENTS SET FORTH IN SUBDIVISION TWO OF THIS
SECTION.
A. 7977--A 22
(B) (1) PRIOR TO THE SCHEDULED AWARD OF A CONTRACT FOR SERVICES, THE
AUTHORITY SHALL PROVIDE TO THE EMPLOYEE ORGANIZATION THAT REPRESENTS
PUBLIC AUTHORITY EMPLOYEES WHO WOULD OTHERWISE PERFORM SUCH SERVICES
WITH COPIES OF THE STATEMENT RENDERED PURSUANT TO PARAGRAPH (A) OF THIS
SUBDIVISION AND THE PROPOSED CONTRACT SO THAT SUCH EMPLOYEE ORGANIZATION
SHALL HAVE AT LEAST FIFTEEN DAYS TO OBJECT TO THE PROPOSED CONTRACT. AN
EMPLOYEE ORGANIZATION WHICH PROVIDES TIMELY WRITTEN NOTICE OF OBJECTION
AND THE REASONS THEREFOR SHALL, UNLESS THE PUBLIC AUTHORITY AGREES IN
WRITING TO WITHDRAW THE PROPOSED CONTRACT, BE PERMITTED TO BE HEARD BY
THE PUBLIC AUTHORITY ON ITS OBJECTIONS PRIOR TO THE AWARD OF THE
CONTRACT. WITHIN FIFTEEN DAYS OF RECEIPT OF ANY SUCH OBJECTIONS, THE
AUTHORITY, AFTER CONSIDERING THE OBJECTIONS OF THE EMPLOYEE ORGANIZA-
TION, SHALL NOTIFY THE EMPLOYEE ORGANIZATION WHETHER THE AUTHORITY WILL
WITHDRAW THE PROPOSED CONTRACT OR ENTER INTO THE CONTRACT. IF THE
AUTHORITY DECIDES TO ENTER INTO THE CONTRACT, AND THE EMPLOYEE ORGANIZA-
TION STILL BELIEVES THAT THE CONTRACT IS IN VIOLATION OF THE GUIDELINES
IN SUBDIVISION TWO OF THIS SECTION, THE EMPLOYEE ORGANIZATION SHALL HAVE
THE RIGHT TO BRING A PROCEEDING PURSUANT TO ARTICLE SEVENTY-EIGHT OF THE
CIVIL PRACTICE LAW AND RULES TO DETERMINE WHETHER OR NOT THE APPROVAL
WAS IN ACCORDANCE WITH THE PROVISIONS OF THIS SECTION.
(2) NOTWITHSTANDING THE PROVISIONS OF SUBPARAGRAPH ONE OF THIS PARA-
GRAPH, THE EMPLOYEE ORGANIZATION MAY BE PROVIDED LESS THAN THE REQUIRED
FIFTEEN DAYS TO OBJECT TO THE PROPOSED CONTRACT WHEN THE CONTRACT IS
REQUIRED TO RESPOND TO AN EMERGENCY WITHIN THE SCOPE OF PARAGRAPH (D) OF
SUBDIVISION TWO OF THIS SECTION.
5. CHANGE ORDERS AND CONTRACT MODIFICATIONS. IF THE AUTHORITY INTENDS
TO CHANGE, BY USE OF A CHANGE ORDER OR CONTRACT MODIFICATION, A CONTRACT
FOR SERVICES, AND SUCH CHANGE RESULTS IN CAUSING THE AMOUNT OF THE
CONTRACT TO EXCEED ONE HUNDRED TWENTY-FIVE PERCENT OF THE ORIGINAL
CONTRACT AMOUNT, THEN APPROVAL OF SUCH CHANGES SHALL BE SUBJECT TO THE
PROVISIONS OF SUBDIVISION FOUR OF THIS SECTION.
S 429. WHISTLEBLOWER ACTION. NO STATE OR LOCAL AUTHORITY SHALL FIRE,
DISCHARGE, DEMOTE, SUSPEND, THREATEN, HARASS OR DISCRIMINATE AGAINST AN
EMPLOYEE BECAUSE OF THE EMPLOYEE'S ROLE AS A WHISTLEBLOWER, INSOFAR AS
THE ACTIONS TAKEN BY THE EMPLOYEE ARE LEGAL.
S 430. LOBBYING CONTACTS. 1. DEFINITIONS. AS USED IN THIS SECTION:
(A) "LOBBYING" SHALL HAVE THE SAME MEANING AS DEFINED IN SECTION ONE-C
OF THE LEGISLATIVE LAW.
(B) "LOBBYING CONTACT" SHALL MEAN ANY CONVERSATION, IN PERSON OR BY
TELEPHONIC OR OTHER REMOTE MEANS, OR CORRESPONDENCE BETWEEN ANY LOBBYIST
AND ANY PERSON WITHIN THE AUTHORITY WHO CAN MAKE OR INFLUENCE A DECISION
ON ANY MATTER ON BEHALF OF THE AUTHORITY, AND SHALL INCLUDE, AT A MINI-
MUM, ALL MEMBERS OF THE GOVERNING BOARD AND ALL OFFICERS OF THE AUTHORI-
TY.
(C) "LOBBYIST" SHALL MEAN ANY PERSON WHO CONTACTS THE AUTHORITY IN AN
EFFORT TO OBTAIN FAVORABLE ACTION BY THE AUTHORITY ON ANY MATTER ON
BEHALF OF ANOTHER PERSON.
2. THE AUTHORITY SHALL MAINTAIN A RECORD OF ALL LOBBYING CONTACTS MADE
WITH THE AUTHORITY.
3. EVERY MEMBER, OFFICER OR EMPLOYEE OF THE AUTHORITY WHO IS THE
PERSON CONTACTED BY A LOBBYIST SHALL MAKE A CONTEMPORANEOUS RECORD OF
SUCH CONTACT CONTAINING THE DAY AND TIME OF THE CONTACT, THE IDENTITY OF
THE LOBBYIST, AND A GENERAL SUMMARY OF THE SUBSTANCE OF THE CONTACT.
SUCH PERSON SHALL NOT BE REQUIRED TO MAKE A RECORD OF THE RECEIPT OF
DOCUMENTARY LOBBYING CONTACTS IF THE DOCUMENT OR A COPY THEREOF IS KEPT
IN A FILE RELATING TO LOBBYING CONTACTS.
A. 7977--A 23
4. THE AUTHORITY SHALL ADOPT A POLICY IMPLEMENTING THE REQUIREMENTS OF
THIS SECTION. SUCH POLICY SHALL APPOINT AN OFFICER TO WHOM ALL SUCH
RECORDS SHALL BE DELIVERED. SUCH OFFICER SHALL MAINTAIN SUCH RECORDS FOR
NOT LESS THAN SEVEN YEARS IN A FILING SYSTEM DESIGNED TO ORGANIZE SUCH
RECORDS IN A MANNER SO AS TO MAKE SUCH RECORDS USEFUL TO DETERMINE
WHETHER THE DECISIONS OF THE AUTHORITY WERE INFLUENCED BY LOBBYING
CONTACTS.
S 431. ARTICLE NOT AFFECTED IF IN PART UNCONSTITUTIONAL. IF ANY
SECTION, CLAUSE OR PROVISION OF THIS ARTICLE SHALL BE UNCONSTITUTIONAL
OR BE INEFFECTIVE IN WHOLE OR IN PART, TO THE EXTENT THAT IT IS NOT
UNCONSTITUTIONAL OR INEFFECTIVE, IT SHALL BE VALID AND EFFECTIVE AND NO
OTHER SECTION, CLAUSE OR PROVISION SHALL ON ACCOUNT THEREOF BE DEEMED
INVALID OR INEFFECTIVE.
S 432. INCONSISTENT PROVISIONS IN OTHER ACTS SUPERSEDED. IN SO FAR AS
THE PROVISIONS OF THIS ARTICLE ARE INCONSISTENT WITH THE PROVISIONS OF
ANY OTHER ACT, GENERAL OR SPECIAL, THE PROVISIONS OF THIS ARTICLE SHALL
BE CONTROLLING, PROVIDED HOWEVER, THAT THE AUTHORITY SHALL COMPLY WITH
ALL APPLICABLE PROVISIONS OF CHAPTER SEVEN HUNDRED SIXTY-SIX OF THE LAWS
OF TWO THOUSAND FIVE, CONSTITUTING THE PUBLIC AUTHORITIES ACCOUNTABILITY
ACT OF 2005.
S 2. Paragraph (b) of subdivision 11 of section 310 of the executive
law, as amended by chapter 628 of the laws of 2003, is amended to read
as follows:
(b) the following:
Albany County Airport Authority;
Albany Port District Commission;
Alfred, Almond, Hornellsville Sewer Authority;
Battery Park City Authority;
Cayuga County Water and Sewer Authority;
(Nelson A. Rockefeller) Empire State Plaza Performing Arts
Center Corporation;
Industrial Exhibit Authority;
Livingston County Water and Sewer Authority;
Long Island Power Authority;
Long Island Rail Road;
Long Island Market Authority;
Manhattan and Bronx Surface Transit Operating Authority;
Metro-North Commuter Railroad;
Metropolitan Suburban Bus Authority;
Metropolitan Transportation Authority;
Natural Heritage Trust;
New York City Transit Authority;
New York Convention Center Operating Corporation;
New York State Bridge Authority;
New York State Olympic Regional Development Authority;
NEW YORK STATE RAIL AUTHORITY;
New York State Thruway Authority;
Niagara Falls Public Water Authority;
Niagara Falls Water Board;
Port of Oswego Authority;
Power Authority of the State of New York;
Roosevelt Island Operating Corporation;
Schenectady Metroplex Development Authority;
State Insurance Fund;
Staten Island Rapid Transit Operating Authority;
State University Construction Fund;
A. 7977--A 24
Triborough Bridge and Tunnel Authority.
Upper Mohawk valley regional water board.
Upper Mohawk valley regional water finance authority.
Upper Mohawk valley memorial auditorium authority.
Urban Development Corporation and its subsidiary corporations.
S 3. This act shall take effect on the one hundred eightieth day after
it shall have become a law, provided that any and all actions necessary
to implement the provisions of this act on its effective date are
authorized to be completed on or before such effective date; and
provided further that the amendments to paragraph (b) of subdivision 11
of section 310 of the executive law made by section two of this act
shall not affect the expiration of such section and shall be deemed to
expire therewith.