BILL NUMBER:  S4121

 TITLE OF BILL :
An act to amend the public authorities law, in relation to providing
veto power to the governor over acts of the power authority of the
state of New York


 PURPOSE :
Provides veto power to the governor over acts of the Power Authority
of the state of New York

 SUMMARY OF PROVISIONS :
Adds Section 1003-a to the Public Authorities Law to read as follows:
Power of Authority to be approved or vetoed by governor. The exercise
of the veto power of the governor over any action of the authority is
hereby granted. The governor may within ten days veto any action taken
by the authority. If the governor shall not veto such action of the
authority within such 10 day period, then at the expiration thereof,
such action shall have full force and effect.

 JUSTIFICATION :
The Legislature has an obligation to ensure that fiscal decisions made
by the political subdivisions, agencies or authorities of state
government have been reviewed and are deemed to be in the best
interest of the public. This is particularly important in cases where
              

the decision-makers are unelected and therefore unaccountable to the
citizens of New York.

In light of a series of recent decisions made by the Board of Trustees
of the New York Power Authority, the Legislature recognizes that
greater transparency and accountability are necessary to ensure that
the power Authority is able to carry out its mission. The actions of
the Power Authority in question includes considering pay raises and
bonuses for employees during a fiscal crisis, a virtually
secret-approval of $476 million "sweep" of NYPA funds, and a proposed
rate hike of over 10 percent to finance the "sweep" to the General
Fund. All of these fiscally imprudent activities conflict with the
Power Authority's ability to provide low-cost power to businesses and
residents and spur economic development.

This proposal would give the governor greater oversight of the Board
of Trustees of the Power Authority by granting the governor 10 days to
object to, and thereby rescind, any actions of the Board.

Precedent for this bill exists in current law wherein the governor is
given veto power over acts exercised by the Port Authority of New York
and New Jersey.

 BILL HISTORY :
New Bill.

 FISCAL IMPLICATIONS :
None.

 EFFECTIVE DATE :
Immediately.