Senate Bill S3806

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  3806

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                              April 1, 2009
                               ___________

Introduced  by  Sens.  FLANAGAN,  ALESI,  DeFRANCISCO,  HANNON,  LARKIN,
  LAVALLE, LITTLE, MORAHAN, PADAVAN, WINNER -- read  twice  and  ordered
  printed,  and  when printed to be committed to the Committee on Corpo-
  rations, Authorities and Commissions

AN ACT to amend the public authorities law, the  general  municipal  law
  and  the racing, pari-mutuel wagering and breeding law, in relation to
  points of clarification; to  amend  the  public  authorities  law,  in
  relation  to  prohibiting  the  formation  of a subsidiary of a public
  authority without prior permission of the  legislature  and  repealing
  certain  provisions  of  the  public  authorities  law  and the public
  authorities accountability act of 2005 relating thereto

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision 4 of section 2 of the public authorities law is
REPEALED and a new subdivision 4 is added to read as follows:
  4.  "AUTHORITY BUDGET OFFICE" SHALL MEAN THE ENTITY ESTABLISHED PURSU-
ANT TO SECTION FOUR OF THIS ARTICLE.
  S 2. Subdivision 5 of section 2 of  the  public  authorities  law,  as
added by chapter 766 of the laws of 2005, is amended to read as follows:
  5.  "subsidiary"  shall not include, for the purposes of this chapter,
corporations that have been certified by the parent corporation  to  the
[entity  created  pursuant to section twenty-seven of the chapter of the
laws of two thousand five which added  this  section]  AUTHORITY  BUDGET
OFFICE as being inactive for the past twelve months, having an identical
board  of its parent corporation, or not having separate and independent
operational control.   Provided, however,  the  parent  corporation,  in
response  to  any  request, shall address any provision or provisions of
this chapter.
  S 3. The public authorities law is amended by adding a new  section  3
to read as follows:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06532-01-9

              

S. 3806                             2

  S 3.  FISCAL YEAR. NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRA-
RY, EFFECTIVE JULY FIRST, TWO THOUSAND ELEVEN, AND EACH YEAR THEREAFTER,
THE  FISCAL  YEAR  OF  ALL STATE AUTHORITIES AND LOCAL AUTHORITIES SHALL
COMMENCE ON THE FIRST DAY OF JULY, PROVIDED, HOWEVER, THAT ANY STATE  OR
LOCAL  AUTHORITY  THAT SHALL NOTIFY THE AUTHORITY BUDGET OFFICE PRIOR TO
JULY FIRST, TWO THOUSAND ELEVEN, THAT THERE EXIST GOOD REASONS WHY  SUCH
AUTHORITY  SHOULD  NOT  CHANGE ITS FISCAL YEAR, SHALL NOT BE REQUIRED TO
COMPLY WITH THIS SECTION. ON OR BEFORE DECEMBER THIRTY-FIRST, TWO  THOU-
SAND  ELEVEN,  THE AUTHORITY BUDGET OFFICE SHALL SUBMIT TO THE GOVERNOR,
THE TEMPORARY PRESIDENT OF THE SENATE AND THE SPEAKER OF THE ASSEMBLY  A
REPORT  LISTING  EACH STATE AND LOCAL AUTHORITY THAT HAS SO NOTIFIED THE
AUTHORITY BUDGET OFFICE TOGETHER WITH AN EVALUATION OF THE REASONS STAT-
ED IN SUCH NOTIFICATION AND A RECOMMENDATION AS  TO  WHETHER  EACH  SUCH
AUTHORITY  SHOULD BE ALLOWED TO CONTINUE WITH ITS CURRENT FISCAL YEAR OR
BE REQUIRED BY FURTHER ACT OF THE LEGISLATURE TO CHANGE THE COMMENCEMENT
OF ITS FISCAL YEAR TO JULY FIRST.  SUCH  REPORT  SHALL  ALSO  LIST  EACH
SECTION  OF  LAW  THAT  ESTABLISHES A FISCAL YEAR FOR ANY STATE OR LOCAL
AUTHORITY THAT DOES NOT COMMENCE ON JULY FIRST.
  S 4. Section 1299-uu of the public authorities law, as added by  chap-
ter 1124 of the laws of 1969, is amended to read as follows:
  S  1299-uu.  Fiscal year. The fiscal year of the authority shall begin
on the first day of April.  FOR ANY FISCAL YEAR  BEGINNING  AFTER  APRIL
FIRST,  TWO  THOUSAND  TWELVE,  THE  FISCAL  YEAR SHALL BE DETERMINED BY
SECTION THREE OF THIS CHAPTER.
  S 5. Section 1320 of the public authorities law, as added  by  chapter
460 of the laws of 1970, is amended to read as follows:
  S  1320.  Fiscal year. The fiscal year of the authority shall begin on
the first day of April.   FOR ANY  FISCAL  YEAR  BEGINNING  AFTER  APRIL
FIRST,  TWO  THOUSAND  TWELVE,  THE  FISCAL  YEAR SHALL BE DETERMINED BY
SECTION THREE OF THIS CHAPTER.
  S 6. Section 1345 of the public authorities law, as added  by  chapter
714 of the laws of 1970, is amended to read as follows:
  S  1345.  Fiscal year. The fiscal year of the authority shall begin on
the first day of April.   FOR ANY  FISCAL  YEAR  BEGINNING  AFTER  APRIL
FIRST,  TWO  THOUSAND  TWELVE,  THE  FISCAL  YEAR SHALL BE DETERMINED BY
SECTION THREE OF THIS CHAPTER.
  S 7. Section 27 of chapter 766 of the laws of 2005,  constituting  the
public authorities accountability act of 2005, is REPEALED.
  S  8.  Sections  1, 2 and 3 of article 1 of the public authorities law
are designated title 1 and a new title  heading  is  added  to  read  as
follows:
                  SHORT TITLE; DEFINITIONS; FISCAL YEAR
  S  9.  Article  1 of the public authorities law is amended by adding a
new title 2 to read as follows:
                                 TITLE 2
                         AUTHORITY BUDGET OFFICE
SECTION 4. ESTABLISHMENT OF THE AUTHORITY BUDGET OFFICE.
        5. DIRECTOR OF THE AUTHORITY BUDGET OFFICE.
        6. POWERS AND DUTIES OF THE AUTHORITY BUDGET OFFICE.
        7. REPORTS OF THE AUTHORITY BUDGET OFFICE.
  S 4. ESTABLISHMENT OF THE AUTHORITY BUDGET OFFICE. THERE SHALL  BE  AN
AUTHORITIES  BUDGET  OFFICE WHICH SHALL HAVE AND EXERCISE THE POWERS AND
DUTIES PROVIDED BY THIS TITLE.  THE AUTHORITY BUDGET OFFICE SHALL NOT BE
A UNIT OF THE EXECUTIVE DEPARTMENT OR ANY OF ITS  COMPONENTS,  INCLUDING
BUT NOT LIMITED TO THE DIVISION OF THE BUDGET.  THE HEAD OF THE AUTHORI-
TY  BUDGET  OFFICE SHALL BE THE DIRECTOR OF THE AUTHORITY BUDGET OFFICE,

S. 3806                             3

WHO SHALL BE CHOSEN IN  ACCORDANCE  WITH  THE  PROCEDURE  SET  FORTH  IN
SECTION FIVE OF THIS TITLE.
  S  5.  DIRECTOR  OF  THE AUTHORITY BUDGET OFFICE.  THE DIRECTOR OF THE
AUTHORITY BUDGET OFFICE SHALL BE APPOINTED FOR A TERM THAT  SHALL  BEGIN
ON  THE  DATE OF APPOINTMENT, AND SHALL END ON THE THIRTY-FIRST OF MARCH
OF THE FIFTH CALENDAR YEAR BEGINNING AFTER THE EFFECTIVE  DATE  OF  THIS
TITLE. ALL SUBSEQUENT DIRECTORS SHALL BE APPOINTED FOR A FIVE YEAR TERM.
THE  DIRECTOR  OF  THE  AUTHORITY  BUDGET OFFICE SHALL BE APPOINTED BY A
SPECIAL COMMITTEE  CONVENED  FOR  THIS  PURPOSE.  SUCH  COMMITTEE  SHALL
CONSIST  OF  THE  GOVERNOR,  THE  COMPTROLLER, THE ATTORNEY GENERAL, THE
TEMPORARY PRESIDENT OF THE SENATE, AND THE SPEAKER OF THE  ASSEMBLY  AND
SHALL  ACT  BY  UNANIMOUS  VOTE  WITHIN FORTY-FIVE DAYS AFTER THE OFFICE
BECOMES VACANT.  IN THE EVENT THAT A VACANCY SHALL OCCUR FOR ANY  REASON
DURING  ANY FIVE YEAR TERM, THE VACANCY SHALL BE FILLED AS PRESCRIBED IN
THIS SECTION FOR THE REMAINDER OF THE UNCOMPLETED TERM, PROVIDED, HOWEV-
ER, THAT IF THE UNCOMPLETED TERM IS LESS THAN TWO YEARS,  THE  COMMITTEE
MAY  RECOMMEND  THAT  THE NEW DIRECTOR SERVE A FULL FIVE YEAR TERM.  THE
SALARY OF THE DIRECTOR SHALL BE ESTABLISHED BY THE COMMITTEE WITHIN  THE
LIMIT  OF FUNDS AVAILABLE THEREFOR; PROVIDED, HOWEVER, SUCH SALARY SHALL
BE NO LESS THAN THE SALARIES OF CERTAIN STATE OFFICERS HOLDING THE POSI-
TIONS INDICATED IN PARAGRAPH (A)  OF  SUBDIVISION  ONE  OF  SECTION  ONE
HUNDRED  SIXTY-NINE OF THE EXECUTIVE LAW. THE OFFICE OF GENERAL SERVICES
SHALL ARRANGE FOR SUITABLE OFFICE SPACE, EQUIPMENT AND  RESOURCES.  EACH
PUBLIC  AUTHORITY  SUBJECT TO THE DIRECTOR SHALL PROVIDE SUITABLE OFFICE
SPACE, EQUIPMENT AND RESOURCES FOR EMPLOYEES OF THE DIRECTOR ASSIGNED TO
SUCH PUBLIC AUTHORITY ON A FULL-TIME OR PART-TIME  BASIS.  THE  DIRECTOR
MAY  BE  REMOVED  BY THE COMMITTEE BUT ONLY AFTER NOTICE AND OPPORTUNITY
FOR HEARING, AND ONLY FOR: (A) PERMANENT DISABILITY;  (B)  INEFFICIENCY;
(C) NEGLECT OF DUTY; (D) MALFEASANCE; OR (E) A FELONY OR CONDUCT INVOLV-
ING MORAL TURPITUDE.
  S  6.    POWERS  AND  DUTIES  OF THE AUTHORITY BUDGET OFFICE. 1.   THE
AUTHORITY BUDGET OFFICE SHALL (A) CONDUCT REVIEWS AND  ANALYSIS  OF  THE
OPERATIONS,  PRACTICES  AND  REPORTS  OF  STATE AND LOCAL AUTHORITIES TO
ASSESS COMPLIANCE WITH THE PROVISIONS OF THIS CHAPTER AND OTHER APPLICA-
BLE PROVISIONS OF LAW, (B) MAINTAIN A COMPREHENSIVE INVENTORY  OF  STATE
AND  LOCAL  AUTHORITIES  AND SUBSIDIARIES AND THE ANNUAL REPORTS OF SUCH
STATE AND LOCAL AUTHORITIES AS DEFINED IN SECTION  TWENTY-EIGHT  HUNDRED
OF  THIS  CHAPTER,  (C)  ASSIST STATE AND LOCAL AUTHORITIES IN IMPROVING
MANAGEMENT PRACTICES AND THE PROCEDURES  BY  WHICH  THE  ACTIVITIES  AND
FINANCIAL  PRACTICES OF STATE AND LOCAL AUTHORITIES ARE DISCLOSED TO THE
PUBLIC, (D) MAKE RECOMMENDATIONS TO THE GOVERNOR, THE  TEMPORARY  PRESI-
DENT OF THE SENATE, THE SPEAKER OF THE ASSEMBLY AND THE CHAIRS AND RANK-
ING  MINORITY  MEMBERS  OF  THE FOLLOWING COMMITTEES: THE SENATE FINANCE
COMMITTEE, THE ASSEMBLY WAYS AND MEANS COMMITTEE, THE  SENATE  COMMITTEE
ON  CORPORATIONS, AUTHORITIES AND COMMISSIONS AND THE ASSEMBLY COMMITTEE
ON CORPORATIONS, AUTHORITIES AND COMMISSIONS AND AUTHORITY BOARD MEMBERS
CONCERNING OPPORTUNITIES TO IMPROVE THE PERFORMANCE, REPORTING, REFORMA-
TION, STRUCTURE AND  OVERSIGHT  OF  STATE  AND  LOCAL  AUTHORITIES,  (E)
PROVIDE  SUCH  ADDITIONAL  INFORMATION AND ANALYSIS AS MAY BE REASONABLY
REQUESTED BY THE LEGISLATURE AND STATE COMPTROLLER, (F) PROMULGATE REGU-
LATIONS TO EFFECTUATE THE PURPOSES OF THIS TITLE AND TITLE ONE  OF  THIS
ARTICLE,  AND  ARTICLE  NINE OF THIS CHAPTER, (G) DEVELOP BEST PRACTICES
FOR THE SCREENING OF PROPOSED DIRECTORS, (H) DEVELOP  AND  ISSUE,  AFTER
CONSULTATION WITH THE OFFICE OF THE ATTORNEY GENERAL, A WRITTEN ACKNOWL-
EDGEMENT  THAT  A  BOARD MEMBER MUST EXECUTE AT THE TIME THAT THE MEMBER
TAKES AND SUBSCRIBES THEIR OATH OF OFFICE, OR WITHIN  SIXTY  DAYS  AFTER

S. 3806                             4

THE EFFECTIVE DATE OF THIS PROVISION IF THE MEMBER HAS ALREADY TAKEN AND
SUBSCRIBED  THEIR OATH OF OFFICE, IN WHICH THE BOARD MEMBER ACKNOWLEDGES
THAT THEY UNDERSTAND THEIR INDEPENDENCE AND FIDUCIARY DUTIES,  INCLUDING
THEIR DUTY OF LOYALTY AND CARE TO THE ORGANIZATION AND COMMITMENT TO THE
AUTHORITY'S  MISSION,  (I)  DEVELOP  MEANS  OF ENFORCING THOSE FIDUCIARY
DUTIES, (J) DEVELOP A COMPREHENSIVE  DEFINITION  OF  PUBLIC  AUTHORITIES
INCLUDING  A  CONSOLIDATED  LISTING  BY  CLASS  AND NAME, (K) VERIFY THE
EXISTENCE OF ALL AUTHORITIES LISTED IN STATE LAW, (L) REVIEW THE  POTEN-
TIAL FOR CONSOLIDATION OR NAME CHANGE OF CERTAIN AUTHORITIES, (M) STAND-
ARDIZE  CONTENT  AND FORMAT OF STATE AND LOCAL AUTHORITY ANNUAL REPORTS,
(N) ASSESS INDIVIDUAL AUTHORITIES  AND  BASED  UPON  THEIR  ABILITY  AND
RESOURCES, SET A DATE BY WHICH CHANGES MADE PURSUANT TO THIS TITLE SHALL
BE  IMPLEMENTED, (O) ISSUE RECOMMENDATIONS TO THE LEGISLATURE AND GOVER-
NOR ON SETTING DEBT  LIMITATIONS  FOR  AUTHORITIES  WITHOUT  STATUTORILY
REQUIRED  DEBT LIMITS, AND (P) RECOMMEND TO THE LEGISLATURE AND GOVERNOR
A COMPENSATION PLAN FOR BOARDS OF DIRECTORS.
  2. THE AUTHORITY BUDGET  OFFICE  SHALL  HAVE  THE  AUTHORITY  TO:  (A)
REQUEST  AND  RECEIVE FROM ANY STATE OR LOCAL AUTHORITY, AGENCY, DEPART-
MENT OR DIVISION OF THE STATE OR POLITICAL SUBDIVISION SUCH  ASSISTANCE,
PERSONNEL,  INFORMATION, BOOKS, RECORDS, OTHER DOCUMENTATION AND COOPER-
ATION AS MAY BE NECESSARY TO PERFORM ITS DUTIES, (B) ENTER INTO  COOPER-
ATIVE  AGREEMENTS WITH OTHER GOVERNMENT OFFICES TO EFFICIENTLY CARRY OUT
ITS  WORK  AND  NOT  DUPLICATE  RESOURCES,  (C)  RECEIVE  AND  ACT  UPON
COMPLAINTS  OR RECOMMENDATIONS FROM THE PUBLIC OR OTHER PERSONS OR ENTI-
TIES REGARDING ANY AUTHORITY COVERED BY THIS TITLE, (D) INITIATE  FORMAL
INVESTIGATIONS  IN  RESPONSE TO COMPLAINTS OR APPEARANCES OF NON-COMPLI-
ANCE BY AN AUTHORITY, (E) ISSUE SUBPOENAS FOR THE PURPOSES OF EFFECTUAT-
ING THE POWERS AND DUTIES OF THIS SECTION, (F) PUBLICLY WARN AND CENSURE
AUTHORITIES FOR NON-COMPLIANCE WITH THIS TITLE, AND TO ESTABLISH  GUIDE-
LINES  FOR  SUCH ACTIONS, (G) RECOMMEND TO THE GOVERNOR AND THE LEGISLA-
TURE SUSPENSION OR DISMISSAL OF OFFICERS OR DIRECTORS, (H) REPORT CRIMI-
NAL ACTIVITIES TO THE ATTORNEY GENERAL AND OTHER PROSECUTORIAL AGENCIES,
AND (I) COMPEL ANY AUTHORITY WHICH IS DEEMED  TO  BE  IN  NON-COMPLIANCE
WITH  THIS  TITLE  AND TITLE ONE OF THIS ARTICLE OR ARTICLE NINE OF THIS
CHAPTER TO SUBMIT TO THE AUTHORITY BUDGET OFFICE A DETAILED  EXPLANATION
OF  SUCH  FAILURE  TO  COMPLY,  PROVIDED  THAT  WITH  SUBMISSION OF SUCH
DETAILED EXPLANATION, THE AUTHORITY SHALL BE  CONSIDERED  IN  COMPLIANCE
WITH  THIS  TITLE  UNLESS  AND UNTIL NOTIFIED OTHERWISE BY THE AUTHORITY
BUDGET OFFICE.
  3.  THE  REPORTS  AND  NON-PROPRIETARY  INFORMATION  RECEIVED  BY  AND
PREPARED  BY  THE AUTHORITY BUDGET OFFICE SHALL BE MADE AVAILABLE TO THE
PUBLIC, TO THE EXTENT PRACTICABLE, THROUGH THE INTERNET.
  S 7. REPORTS OF THE AUTHORITY BUDGET OFFICE. ON JULY FIRST, TWO  THOU-
SAND  ELEVEN  AND  ANNUALLY THEREAFTER THE AUTHORITY BUDGET OFFICE SHALL
ISSUE REPORTS ON ITS FINDINGS AND ANALYSES TO THE  GOVERNOR,  THE  CHAIR
AND  RANKING  MINORITY MEMBER OF THE SENATE FINANCE COMMITTEE, THE CHAIR
AND RANKING MINORITY MEMBER OF THE ASSEMBLY WAYS  AND  MEANS  COMMITTEE,
THE  CHAIR  AND RANKING MINORITY MEMBER OF THE SENATE STANDING COMMITTEE
ON CORPORATIONS, AUTHORITIES AND  COMMISSIONS,  THE  CHAIR  AND  RANKING
MINORITY  MEMBER  OF  THE  ASSEMBLY  STANDING COMMITTEE ON CORPORATIONS,
AUTHORITIES AND COMMISSIONS, THE  STATE  COMPTROLLER  AND  THE  ATTORNEY
GENERAL,  WITH  CONCLUSIONS  AND  OPINIONS CONCERNING THE PERFORMANCE OF
PUBLIC AUTHORITIES AND TO STUDY, REVIEW AND REPORT  ON  THE  OPERATIONS,
PRACTICES  AND  FINANCES  OF  STATE  AND LOCAL AUTHORITIES AS DEFINED BY
SECTION TWO OF THIS ARTICLE.

S. 3806                             5

  S 10. Subdivisions 1 and 2 of section 2800 of the  public  authorities
law,  subdivision 1 as amended and subdivision 2 as added by chapter 766
of the laws of 2005, are amended to read as follows:
  1. State authorities. (a) For the purpose of furnishing the state with
systematic information regarding the status and the activities of public
authorities,  every state authority continued or created by this chapter
or any other chapter of the laws of the state of New York  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, AND THE
AUTHORITY BUDGET OFFICE, 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 [receipts and disbursements,  or
revenues  and  expenses,  during such fiscal year in accordance with the
categories or classifications established by such authority for its  own
operating  and capital outlay purposes] FINANCIAL REPORTS, INCLUDING (I)
AUDITED FINANCIALS IN ACCORDANCE WITH  ALL  APPLICABLE  REGULATIONS  AND
FOLLOWING  GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AS DEFINED IN SUBDI-
VISION 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
assets and liabilities at the end  of  its  fiscal  year  including  the
status  of  reserve,  depreciation, special or other funds and including
the receipts and payments of these  funds]  ITS  MISSION  STATEMENT  AND
MEASUREMENTS  INCLUDING ITS MOST RECENT MEASUREMENT REPORT; (4) a sched-
ule 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  issuance, term, amount, interest rate and means of repay-
ment.   Additionally, the debt schedule shall  also  include  all  refi-
nancings,  calls, refundings, defeasements and interest rate exchange or
other such agreements, and for any  debt  issued  during  the  reporting
year,  the schedule shall also include a detailed list of costs of issu-
ance for such debt; (5) a compensation  schedule,  IN  ADDITION  TO  THE
REPORT DESCRIBED IN SECTION TWENTY-EIGHT HUNDRED SIX OF THIS TITLE, 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 position 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 PARAGRAPH; (6) the projects undertaken by such 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 ARTICLE of [(i)] all real property of such
authority having an estimated fair market value  in  excess  of  fifteen
thousand  dollars  that  the  authority [intends to dispose of; (ii) all
such property held by the authority at the end of the period covered  by
the  report;  and (iii) all such property disposed] ACQUIRES OR DISPOSES
of during such period. The report shall contain  [an  estimate  of  fair
market  value  for all such property held by the authority at the end of
the period and] 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

S. 3806                             6

authority during such period; (8) such authority's code of ethics; [and]
(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, IF ANY, AND BY-LAWS; (13) A LISTING OF MATERIAL CHANG-
ES IN OPERATIONS AND PROGRAMS DURING THE REPORTING YEAR; (14) AT A MINI-
MUM 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 DISCLO-
SURE UNDER ARTICLE SIX OF THE PUBLIC OFFICERS LAW; (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 AUTHORITY 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  LOW
PRICE  SALE  INCLUDING  THE  RELATIONSHIP, 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.
  (b)  [To the extent practicable, each] EACH state authority shall make
accessible to the public, via its official OR SHARED internet web  site,
documentation pertaining to its mission, current activities, most recent
annual  financial reports, current year budget and its most recent inde-
pendent audit report unless such information is covered  by  subdivision
two of section eighty-seven of the public officers law.
  2.  Local authorities. (a) Every local authority, continued or created
by this chapter or any other chapter of the laws of  the  state  of  New
York shall submit to the chief executive officer, the chief fiscal offi-
cer,  the chairperson of the legislative body of the local government or
local governments and the [entity established pursuant to section  twen-
ty-seven  of  the  chapter  of the laws of two thousand five which added
this subdivision] AUTHORITY BUDGET OFFICE, 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 receipts
and disbursements, or revenues and expenses, during such fiscal year  in
accordance  with  the  categories or classifications established by such
authority for its own operating and capital outlay purposes] ITS  FINAN-
CIAL  REPORTS,  INCLUDING  (I) AUDITED FINANCIALS IN ACCORDANCE WITH ALL
APPLICABLE REGULATIONS AND FOLLOWING GENERALLY ACCEPTED ACCOUNTING PRIN-
CIPLES 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 assets and liabilities at the end  of  its  fiscal  year
including  the  status  of reserve, depreciation, special or other funds

S. 3806                             7

and including the receipts and payments  of  these  funds]  ITS  MISSION
STATEMENT AND MEASUREMENTS 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  issuance, 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 agreements, 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  TITLE
that  shall  include,  by position, title and name of the person holding
such position or title, the salary, compensation, allowance and/or bene-
fits provided to any officer, director or employee in a decision  making
or  managerial  position  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 OFFI-
CERS  AND EMPLOYEES FOR WHOM SALARY REPORTING IS REQUIRED UNDER SUBPARA-
GRAPH FIVE OF THIS  PARAGRAPH;  (6)  the  projects  undertaken  by  such
authority  during the past year; (7) a listing AND DESCRIPTION, IN ADDI-
TION TO THE REPORT REQUIRED BY  PARAGRAPH  A  OF  SUBDIVISION  THREE  OF
SECTION  TWENTY-EIGHT  HUNDRED  NINETY-SIX  OF THIS ARTICLE of [(i)] all
real property of such authority having an estimated fair market value in
excess of fifteen  thousand  dollars  that  the  authority  [intends  to
dispose  of;  (ii) all such property held by the authority at the end of
the period covered by the report; and (iii) all such property  disposed]
ACQUIRES OR DISPOSES of during such period. The report shall contain [an
estimate of fair market value for all such property held by the authori-
ty  at  the  end  of  the  period and] 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) such authority's
code  of  ethics;  [and]  (9)  an assessment of the effectiveness of its
internal control structure and procedures; (10) A  COPY  OF  THE  LEGIS-
LATION  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,  SUBSID-
IARIES,  AND  (IV)  NUMBER  OF  EMPLOYEES; (12) ITS CHARTER, IF ANY, 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 OPER-
ATING 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 EVALU-
ATIONS SHALL NOT BE SUBJECT TO  DISCLOSURE  UNDER  ARTICLE  SIX  OF  THE
PUBLIC  OFFICERS  LAW; (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 COUN-
TERPARTIES,  AND (III) WHERE THE CONTRACT PRICE OR FAIR MARKET VALUE FOR
GOODS PURCHASED EXCEEDS A FAIR MARKET VALUE DETERMINED BY THE  AUTHORITY
BUDGET OFFICE, OR WHERE THE CONTRACT PRICE FOR GOODS SOLD IS LESS THAN A
FAIR  MARKET  VALUE,  AN ATTESTATION OF THE FAIR MARKET VALUE 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 LOW PRICE SALE INCLUDING THE RELATIONSHIP,  IF  ANY,  OF

S. 3806                             8

PERSONS  ASSOCIATED WITH THE BUYER/PURCHASER AND PERSONS ASSOCIATED WITH
THE AUTHORITY AND/OR THE OFFICIALS WHO APPOINTED MEMBERS TO THE AUTHORI-
TY BOARD; AND (17) A DESCRIPTION OF ANY MATERIAL PENDING  LITIGATION  IN
WHICH THE AUTHORITY IS INVOLVED AS A PARTY DURING THE REPORTING YEAR.
  (b)  [To the extent practicable, each] EACH local authority shall make
accessible to the public, via its official OR SHARED internet web  site,
documentation pertaining to its mission, current activities, most recent
annual  financial reports, current year budget and its most recent inde-
pendent audit report unless such information is covered  by  subdivision
two of section eighty-seven of the public officers law.
  S  11. Section 2801 of the public authorities law, as amended by chap-
ter 766 of the laws of 2005, is amended to read as follows:
  S 2801. Budget reports by authorities.  1.  State  authorities.  Every
state  authority  or  commission  heretofore  or  hereafter continued or
created by this chapter or any other chapter of the laws of the state of
New York shall submit to the governor, [chairman] THE CHAIR and  ranking
minority  member  of  the  senate  finance committee, [and chairman] THE
CHAIR and ranking minority member of the assembly ways and means commit-
tee AND THE AUTHORITY BUDGET OFFICE, for their information, annually NOT
MORE THAN ONE HUNDRED TWENTY DAYS AND not less than ninety  days  before
the  commencement  of  its  fiscal  year,  in  the form submitted to its
members or  trustees,  budget  information  on  operations  and  capital
construction  setting  forth the estimated receipts and expenditures for
the next fiscal year  and  the  current  fiscal  year,  and  the  actual
receipts and expenditures for the last completed fiscal year.
  2. Local authorities. For the local authority fiscal year ending on or
after December thirty-first, two thousand seven and annually thereafter,
every  local  authority  heretofore or hereafter continued or created by
this chapter or any other chapter of the laws of the state of  New  York
shall  submit  to the chief executive officer, the chief fiscal officer,
the chairperson of the legislative  body  of  the  local  government  or
governments and the [entity established pursuant to section twenty-seven
of  the chapter of the laws of two thousand five which added this subdi-
vision,] AUTHORITY BUDGET OFFICE for  their  information,  annually  NOT
MORE  THAN NINETY DAYS AND not less than sixty days before the commence-
ment of its fiscal year, in the form submitted to its members  or  trus-
tees,  budget information on operations and capital construction setting
forth the estimated receipts and expenditures for the next  fiscal  year
and  the  current  fiscal year, and the actual receipts and expenditures
for the last completed fiscal year.
  3. IF ANY STATE  OR  LOCAL  AUTHORITY  HAS  PROVIDED  THE  INFORMATION
REQUIRED  BY  THIS  SECTION  AS  PART  OF  THE ANNUAL REPORT REQUIRED BY
SECTION TWENTY-EIGHT HUNDRED OF THIS TITLE, SUCH  AUTHORITY  MAY  COMPLY
WITH  THE  PROVISIONS  OF  THIS SECTION BY REFERENCE TO SUCH INFORMATION
WITH ANY NECESSARY UPDATES.
  S 12. Subdivisions 1 and 2 of section 2802 of the  public  authorities
law,  subdivision 1 as amended and subdivision 2 as added by chapter 766
of the laws of 2005, are amended to read as follows:
  1. State authorities. Every state authority or  commission  heretofore
or  hereafter  continued or created by this chapter or any other chapter
of the laws of the state of New  York  shall  submit  to  the  governor,
chairman  and  ranking  minority member of the senate finance committee,
chairman and ranking minority member of  the  assembly  ways  and  means
committee  [and],  the  state  comptroller,  [within  thirty  days after
receipt thereof by such authority,] AND  THE  AUTHORITY  BUDGET  OFFICE,
TOGETHER  WITH  THE  REPORT DESCRIBED IN SECTION TWENTY-EIGHT HUNDRED OF

S. 3806                             9

THIS TITLE, a copy of the annual independent audit report, performed  by
a certified public accounting firm in accordance with generally accepted
[government]  auditing  standards  AS  DEFINED  IN SUBDIVISION ELEVEN OF
SECTION  TWO  OF  THE  STATE  FINANCE LAW, and management letter and any
other external examination of the books and accounts of  such  authority
other  than  copies of the reports of any examinations made by the state
comptroller.
  2. Local authorities. For the local authority fiscal year ending on or
after December thirty-first, two thousand seven and annually thereafter,
every local authority heretofore or hereafter continued  or  created  by
this  chapter  or any other chapter of the laws of the state of New York
shall submit to the chief executive officer, the chief  fiscal  officer,
the chairperson of the legislative body of the local government or local
governments  [and  to the entity established pursuant to section twenty-
seven of the chapter of the laws of two thousand five which  added  this
subdivision,  within  thirty days after receipt thereof by such authori-
ty,] AND THE AUTHORITY BUDGET OFFICE, TOGETHER WITH THE REPORT DESCRIBED
IN SECTION TWENTY-EIGHT HUNDRED OF THIS TITLE,  a  copy  of  the  annual
independent  audit  report,  performed  by a certified public accounting
firm in accordance with generally accepted [government] auditing  stand-
ards  AS  DEFINED  IN  SUBDIVISION  ELEVEN  OF  SECTION TWO OF THE STATE
FINANCE LAW, and management letter and any other external examination of
the books and accounts of  such  authority  other  than  copies  of  the
reports of ANY examinations made by the state comptroller.
  S  13. Section 2806 of the public authorities law, as added by chapter
149 of the laws of 1993, is amended to read as follows:
  S 2806. Personnel reports by [public] STATE AND LOCAL authorities  and
public benefit corporations. 1. Every [public] STATE AND LOCAL authority
and  public  benefit  corporation  shall  submit to the comptroller, the
director of the budget [and], the chairpersons of the legislative fiscal
committees AND THE AUTHORITY BUDGET OFFICE, for their information, annu-
ally, on or before the fifteenth day of January of each  calendar  year,
personnel  information  setting  forth  personal  service  schedules  by
subsidiary, division and unit which indicate position, grade, salary and
title for each employee and in summary form.
  2. IF ANY STATE  OR  LOCAL  AUTHORITY  HAS  PROVIDED  THE  INFORMATION
REQUIRED  BY  THIS  SECTION  IN THE ANNUAL REPORT REQUIRED UNDER SECTION
TWENTY-EIGHT HUNDRED OF THIS TITLE, SUCH AUTHORITY MAY COMPLY  WITH  THE
PROVISIONS  OF  THIS  SECTION BY REFERENCES TO SUCH INFORMATION WITH ANY
NECESSARY UPDATES.
  S 14. Title 2 of article 9 of the public authorities law is amended by
adding a new section 2823 to read as follows:
  S 2823. BOARD SIZE. ALL STATE AND LOCAL AUTHORITIES  NOT  SPECIFICALLY
IDENTIFIED  IN  CHAPTER SEVEN HUNDRED SIXTY-SIX OF THE LAWS OF TWO THOU-
SAND FIVE WHICH HAVE A BOARD OF LESS THAN SEVEN MEMBERS, SHALL BE  IDEN-
TIFIED  BY  THE  AUTHORITY  BUDGET OFFICE, AND SUCH OFFICE SHALL BY JULY
FIRST, TWO THOUSAND ELEVEN, REPORT TO THE  GOVERNOR  AND  THE  TEMPORARY
PRESIDENT  OF THE SENATE AND THE SPEAKER OF THE ASSEMBLY RECOMMENDATIONS
AS TO LEGISLATION TO INCREASE SUCH BOARD MEMBERSHIP TO  AT  LEAST  SEVEN
MEMBERS.
  S 15. Subdivisions 1, 4, 6 and 7 of section 2824 of the public author-
ities  law,  as added by chapter 766 of the laws of 2005, are amended to
read as follows:
  1. Board members of state and  local  authorities  shall  (a)  execute
direct  oversight  of the authority's chief executive and other [senior]
management in the effective and ethical management of the authority; (b)

S. 3806                            10

understand, review and monitor the implementation of fundamental  finan-
cial and management controls and operational decisions of the authority;
(c) establish policies regarding the payment of salary, compensation and
reimbursements  to,  and establish rules for the time and attendance of,
the chief executive and [senior] management; (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; [and] (f) adopt a defense and indemnification  policy  and
disclose  such plan to any and all prospective board members; (G) RECOM-
MEND TO THE AUTHORITY  BUDGET  OFFICE  A  COMPENSATION  PLAN  FOR  BOARD
MEMBERS;  AND (H) AT THE TIME THAT THE MEMBER TAKES AND SUBSCRIBES THEIR
OATH OF OFFICE, OR WITHIN SIXTY DAYS AFTER THE EFFECTIVE  DATE  OF  THIS
PARAGRAPH  IF  THE MEMBER HAS ALREADY TAKEN AND SUBSCRIBED THEIR OATH OF
OFFICE, EXECUTE AN  ACKNOWLEDGEMENT,  ISSUED  BY  THE  AUTHORITY  BUDGET
OFFICE  AFTER  CONSULTATION  WITH THE OFFICE OF THE ATTORNEY GENERAL, IN
WHICH THE BOARD MEMBER ACKNOWLEDGES THAT THEY UNDERSTAND THEIR INDEPEND-
ENCE AND FIDUCIARY DUTIES, INCLUDING THEIR DUTY OF LOYALTY AND  CARE  TO
THE ORGANIZATION AND COMMITMENT TO THE AUTHORITY'S MISSION.
  4.  Board  members  of  each  state and local authority, or subsidiary
thereof, shall establish an audit committee to be comprised of NOT  LESS
THAN  THREE  independent members, WHO SHALL CONSTITUTE A MAJORITY ON THE
COMMITTEE, AND WHO SHALL POSSESS THE NECESSARY SKILLS TO UNDERSTAND  THE
DUTIES  AND FUNCTIONS 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 INDEPENDENT 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 oversight of the performance of the independent audit
performed by the accounting firm hired for such purposes.
  6. [To the extent practicable, members] MEMBERS of the audit committee
[should] SHALL be familiar with corporate financial and accounting prac-
tices.
  7. Board members of each state  and  local  authority,  or  subsidiary
thereof,  shall  establish a governance committee to be comprised of NOT
LESS THAN THREE independent 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 COMMIT-
TEE, 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  [update]  RECOMMEND  UPDATES  TO  the authority's corporate
governance principles; [and] to advise  appointing  authorities  on  the
skills  and  experiences required of potential board members; TO EXAMINE
ETHICAL AND CONFLICT OF INTEREST ISSUES; TO PERFORM  BOARD  SELF-EVALUA-

S. 3806                            11

TIONS;  AND  TO RECOMMEND BY-LAWS WHICH INCLUDE RULES AND PROCEDURES FOR
CONDUCT OF BOARD BUSINESS.
  S  16. Section 2824 of the public authorities law is amended by adding
a new subdivision 8 to read as follows:
  8. BOARD MEMBERS OF EACH STATE  AND  LOCAL  AUTHORITY,  OR  SUBSIDIARY
THEREOF  WHICH  ISSUES  DEBT,  SHALL ESTABLISH A FINANCE COMMITTEE TO BE
COMPRISED OF NOT LESS THAN THREE INDEPENDENT MEMBERS, WHO SHALL  CONSTI-
TUTE  A  MAJORITY  ON THE COMMITTEE, AND WHO SHALL POSSESS THE NECESSARY
SKILLS  TO  UNDERSTAND  THE  DUTIES  AND  FUNCTIONS  OF  THE  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  FINANCE  COMMITTEE,  PROVIDED  THAT  THE  INDEPENDENT  MEMBERS MUST
CONSTITUTE A MAJORITY OF THE MEMBERS OF THE FINANCE COMMITTEE.  IT SHALL
BE THE RESPONSIBILITY OF THE MEMBERS OF THE FINANCE COMMITTEE TO  REVIEW
PROPOSALS FOR THE ISSUANCE OF DEBT BY THE AUTHORITY AND ITS SUBSIDIARIES
AND MAKE RECOMMENDATIONS.
  S  17.  The  public authorities law is amended by adding a new section
2824-a to read as follows:
  S 2824-A. MISSION STATEMENT AND MEASUREMENT REPORT. EACH STATE AUTHOR-
ITY SHALL SUBMIT TO THE AUTHORITIES BUDGET OFFICE  ON  OR  BEFORE  MARCH
THIRTY-FIRST, TWO THOUSAND ELEVEN, AND EACH LOCAL AUTHORITY SHALL SUBMIT
TO  THE  AUTHORITIES  BUDGET OFFICE ON OR BEFORE MARCH THIRTY-FIRST, TWO
THOUSAND TWELVE, A PROPOSED AUTHORITY  MISSION  STATEMENT  AND  PROPOSED
MEASUREMENTS.  THE  PROPOSED  AUTHORITY  MISSION  STATEMENT AND PROPOSED
MEASUREMENTS SHALL HAVE THE FOLLOWING COMPONENTS: A BRIEF MISSION STATE-
MENT EXPRESSING THE PURPOSE GOALS OF THE AUTHORITY; A DESCRIPTION OF THE
STAKEHOLDERS OF THE AUTHORITY AND THEIR REASONABLE EXPECTATIONS FROM THE
AUTHORITY, WHICH STAKEHOLDERS SHALL INCLUDE AT A MINIMUM  THE  RESIDENTS
AND  TAXPAYERS  OF  THE  AREA  OF THE STATE SERVED BY THE AUTHORITY, THE
PERSONS THAT USE THE SERVICES PROVIDED BY THE AUTHORITY, AND THE EMPLOY-
EES OF THE AUTHORITY AND ANY EMPLOYEE ORGANIZATION;  THE  GOALS  OF  THE
AUTHORITY  IN RESPONSE TO THE NEEDS OF EACH GROUP OF STAKEHOLDERS; AND A
LIST OF MEASUREMENTS BY WHICH  PERFORMANCE  OF  THE  AUTHORITY  AND  THE
ACHIEVEMENT  OF ITS GOALS MAY BE EVALUATED. EACH AUTHORITY SHALL REEXAM-
INE ITS MISSION STATEMENT AND  MEASUREMENTS  ON  AN  ANNUAL  BASIS,  AND
PUBLISH A SELF EVALUATION BASED ON THE STATED MEASUREMENTS HOWEVER, SUCH
REEXAMINATION  MAY BE WAIVED PURSUANT TO A DETERMINATION BY THE DIRECTOR
OF THE AUTHORITIES' BUDGET OFFICE THAT SUCH UNDERTAKING  IS  UNNECESSARY
FOR AN INDIVIDUAL AUTHORITY.
  S  18. Section 2825 of the public authorities law, as amended by chap-
ter 766 of the laws of 2005, is amended to read as follows:
  S 2825. Membership on authorities and commissions;  independence;  and
financial  disclosure.  Notwithstanding  the  provisions of any general,
special or local law, municipal charter or ordinance: 1. No public offi-
cer or employee shall be ineligible for  appointment  as  a  trustee  or
member  of  the governing body of a state or local authority, as defined
in section two of this chapter, and any public officer or  employee  may
accept  such  appointment  and  serve  as such trustee or member without
forfeiture of any other public office or position of  public  employment
by reason thereof.
  2.  Except  for  members  who  serve as members by virtue of holding a
civil office of the state, the majority of the remaining members of  the
governing  body  of  every state or local authority shall be independent
members; provided, however, that this provision shall apply to  appoint-
ments made on or after the effective date of [the] chapter SEVEN HUNDRED
SIXTY-SIX of the laws of two thousand five which added this subdivision.

S. 3806                            12

The official or officials having the authority to appoint or remove such
remaining members shall take such actions as may be necessary to satisfy
this  requirement.  For  the  purposes  of  this section, an independent
member is one who:
  (a)  is  not,  and in the past two years has not been, employed by the
public authority or [an affiliate] A RELATED AUTHORITY OR CORPORATION in
an executive capacity;
  (b) is not, and in the past two years has not  been,  employed  by  an
entity  that  received remuneration valued at more than fifteen thousand
dollars for goods and services  provided  to  the  public  authority  or
received  any  other  form  of  financial assistance valued at more than
fifteen thousand dollars from the public authority;
  (c) is not a relative of an executive officer or employee in an execu-
tive position of the  public  authority  or  [an  affiliate]  A  RELATED
AUTHORITY OR CORPORATION; and
  (d)  is not, and in the past two years has not been, a lobbyist regis-
tered under a state or local law and paid by a client to  influence  the
management  decisions, contract awards, rate determinations or any other
similar actions of the public authority  or  [an  affiliate]  A  RELATED
AUTHORITY OR CORPORATION.
  3.  Notwithstanding  any  other  provision  of any general, special or
local law,  municipal  charter  or  ordinance  to  the  contrary,  board
members,  officers, and employees of a state authority shall file annual
financial disclosure statements as required by  section  seventy-three-a
of  the public officers law. Board members, officers, and employees of a
local public authority shall file annual financial disclosure statements
with the county board of ethics for the county in which the local public
authority has its primary office pursuant to  article  eighteen  of  the
general municipal law.
  S  19. Section 2826 of the public authorities law, as added by chapter
429 of the laws of 1958 and as renumbered by chapter 838 of the laws  of
1983, is amended to read as follows:
  S  2826. Quorums and majorities.  [Notwithstanding any other provision
of this chapter  and  notwithstanding  any  provision  of  any  general,
special  or local law] EXCEPT AS OTHERWISE PROVIDED BY LAW APPLICABLE TO
A SPECIFIC AUTHORITY, whenever the whole number  of  the  board  of  any
STATE OR LOCAL authority or commission heretofore or hereafter continued
or  created  by this chapter is [three] FIVE or more persons, a majority
of the whole number of the members of such board, at a meeting duly held
at a time fixed by law, or by any by-law duly adopted by such board,  or
at  any  duly  adjourned  meeting of such meeting or at any meeting duly
held upon reasonable notice to all of the members of such  board,  shall
constitute  a quorum and not less than a majority of the whole number of
such board may perform and exercise the powers authorized  and  provided
in  this  chapter.  For  the  purpose  of  this section the words "whole
number" shall be construed to mean the total  number  which  such  board
would  have were there no vacancies and were none of the members of such
board disqualified from acting.
  S 20. The public authorities law is amended by adding  a  new  section
2879-a to read as follows:
  S  2879-A.  COMPTROLLER APPROVAL OF CONTRACTS. 1. EACH STATE AUTHORITY
SHALL SUBMIT TO REVIEW, BY THE STATE COMPTROLLER, OF PROCUREMENT, PUBLIC
WORK, CONSTRUCTION, AND REVENUE CONTRACTS THAT INCLUDE  THE  PAYMENT  OF
MONEY,  THE  EXCHANGE  OF  PERSONAL OR REAL PROPERTY, OR THE EXCHANGE OF
SERVICES, OR ANY COMBINATION THEREOF, WHICH IN AGGREGATE MAY  REASONABLY

S. 3806                            13

BE  VALUED IN EXCESS OF ONE MILLION DOLLARS, PRIOR TO ACCEPTANCE OF SUCH
CONTRACTS BY SUCH STATE AUTHORITIES.
  2.  ANY  CONTRACT  SUBJECT TO SUBDIVISION ONE OF THIS SECTION SHALL BE
DEEMED APPROVED (A) UNLESS THE COMPTROLLER HAS DISAPPROVED THE  CONTRACT
WITHIN  FORTY-FIVE DAYS OF THE SUBMISSION OF SUCH CONTRACT TO HIS OR HER
OFFICE, (B) UNLESS THE STATE AUTHORITY SHALL AGREE WITH THE  COMPTROLLER
ON  AN  EXTENSION  FOR  A  REASONABLE  PERIOD OF TIME, OR (C) UNLESS THE
AUTHORITY BUDGET OFFICE SHALL GRANT THE COMPTROLLER ADDITIONAL TIME  FOR
GOOD CAUSE SHOWN.
  3.  PROCUREMENT, PUBLIC WORK, CONSTRUCTION, AND REVENUE CONTRACTS THAT
INVOLVE THE PAYMENT OF MONEY, THE EXCHANGE OF PERSONAL OR REAL PROPERTY,
OR THE EXCHANGE OF SERVICES, OR ANY COMBINATION THEREOF, WHICH EACH  MAY
REASONABLY  BE VALUED LESS THAN THE AMOUNTS STATED IN SUBDIVISION ONE OF
THIS SECTION SHALL BE SUBJECT TO PRIOR REVIEW AND APPROVAL BY THE  COMP-
TROLLER,  IF  THE COMPTROLLER, IN HIS OR HER DISCRETION, DETERMINES THAT
SUCH REVIEW AND APPROVAL SHALL BE REQUIRED. IF  THE  COMPTROLLER  DETER-
MINES  THAT  ANY  CONTRACT OR CATEGORY OF CONTRACTS OF A STATE AUTHORITY
WHICH ARE SUBJECT TO THIS SUBDIVISION, 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
AGREEMENT 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 ANY STATE AUTHORITY THAT APPROVAL SHALL BE REQUIRED AS PROVIDED  BY
THIS  SUBDIVISION, THEN THE STATE AUTHORITY SHALL INCLUDE A PROVISION IN
ALL SUCH CONTRACTS SELECTED FOR REVIEW,  SIMILAR  NOTICE  INFORMING  THE
OTHER PARTIES TO SUCH CONTRACTS THAT THE SAME ARE NOT VALID AND ENFORCE-
ABLE WITHOUT THE COMPTROLLER'S APPROVAL.
  4.  ANY  CONTRACT  SELECTED BY THE COMPTROLLER FOR REVIEW AND APPROVAL
PURSUANT TO SUBDIVISION THREE OF THIS SECTION SHALL BE  DEEMED  APPROVED
ONLY IF THE COMPTROLLER (A) APPROVES THE CONTRACT, OR (B) HAS NOT DISAP-
PROVED  THE  CONTRACT  WITHIN  FORTY-FIVE DAYS OF THE SUBMISSION OF SUCH
CONTRACT TO HIS OR HER OFFICE, UNLESS THE STATE  AUTHORITY  SHALL  AGREE
WITH THE COMPTROLLER ON AN EXTENSION FOR A REASONABLE PERIOD OF TIME, OR
UNLESS  THE  AUTHORITY  BUDGET  OFFICE SHALL GRANT THE COMPTROLLER ADDI-
TIONAL TIME FOR GOOD CAUSE SHOWN. THE NUMBER OF  CONTRACTS  OF  A  STATE
AUTHORITY  THAT  ARE  NOT  DEEMED APPROVED IN A STATE AUTHORITY'S FISCAL
YEAR AS A RESULT OF THE COMPTROLLER'S DETERMINATION NOT TO APPROVE  SUCH
CONTRACTS  AS  SET  FORTH IN SUBDIVISION THREE OF THIS SECTION SHALL NOT
EXCEED FIFTEEN PERCENT OF THE TOTAL NUMBER OF CONTRACTS EXECUTED BY  THE
STATE AUTHORITY DURING ITS PRIOR FISCAL YEAR.
  5.  NOTHING IN THIS SECTION SHALL BE DEEMED TO LIMIT THE COMPTROLLER'S
EXISTING AUTHORITY TO SUPERVISE THE ACCOUNTS OF PUBLIC AUTHORITIES.
  S 21. Subdivision 3 of section 2896 of the public authorities law,  as
added by chapter 766 of the laws of 2005, is amended to read as follows:
  3.  a.  Each  public authority shall publish, not less frequently than
annually, a report listing all real property of  the  public  authority.
Such  report  shall  [consist of] INCLUDE a list and full description of
all real and personal property  disposed  of  during  such  period.  The
report  shall contain the price received by the public authority and the
name of the purchaser for all such property sold by the public authority
during such period.
  b. The public authority shall deliver copies of  such  report  to  the
comptroller,  the  director  of  the budget, the commissioner of general
services, [and] the legislature AND THE AUTHORITY BUDGET OFFICE.

S. 3806                            14

  S 22. Section 2975 of the public authorities law is amended by  adding
a new subdivision 3-a to read as follows:
  3-A.  A  DIRECT  PORTION OF THESE FUNDS SHALL BE ALLOCATED TO FUND THE
AUTHORITY BUDGET OFFICE AS CREATED BY SECTION FOUR OF THIS CHAPTER.
  S 23. Subdivision 4 of section 3670 of the public authorities law,  as
added by chapter 84 of the laws of 2000, is amended to read as follows:
  4. The authority's fiscal year shall be January first through December
thirty-first.    FOR  ANY  FISCAL  YEAR BEGINNING AFTER APRIL FIRST, TWO
THOUSAND TWELVE, THE FISCAL YEAR SHALL BE DETERMINED BY SECTION THREE OF
THIS CHAPTER.
  S 24. Subdivision 4 of section 3960 of the public authorities law,  as
added by chapter 182 of the laws of 2005, is amended to read as follows:
  4. The authority's fiscal year shall be January first through December
thirty-first.    FOR  ANY  FISCAL  YEAR BEGINNING AFTER APRIL FIRST, TWO
THOUSAND TWELVE, THE FISCAL YEAR SHALL BE DETERMINED BY SECTION THREE OF
THIS CHAPTER.
  S 25. Section 561-b of the general municipal law, as added by  chapter
180 of the laws of 1966, is amended to read as follows:
  S 561-b. Fiscal year.  The fiscal year of an agency shall begin on the
same  day  and  end  on  the same day of the calendar month on which the
fiscal year of the municipality wherein such agency is established shall
begin and end.  FOR ANY FISCAL YEAR BEGINNING  AFTER  APRIL  FIRST,  TWO
THOUSAND TWELVE, THE FISCAL YEAR SHALL BE DETERMINED BY SECTION THREE OF
THE PUBLIC AUTHORITIES LAW.
  S  26. Subdivision 13 of section 502 of the racing, pari-mutuel wager-
ing and breeding law is amended to read as follows:
  13. The fiscal year of the corporation shall  be  the  calendar  year.
FOR  ANY  FISCAL  YEAR BEGINNING AFTER APRIL FIRST, TWO THOUSAND TWELVE,
THE FISCAL YEAR SHALL BE DETERMINED  BY  SECTION  THREE  OF  THE  PUBLIC
AUTHORITIES LAW.
  S  27. Subdivision 11 of section 603 of the racing, pari-mutuel wager-
ing and breeding law, as amended by chapter 115 of the laws of 2008,  is
amended to read as follows:
  11.  The  fiscal  year of the corporation shall be the same as that of
the city, provided, however, that the  corporation  shall  have  a  nine
month  fiscal  year  from  July  first, two thousand eight through March
thirty-first, two thousand nine, and then the fiscal year of the  corpo-
ration  shall  be  the same as the state.  FOR ANY FISCAL YEAR BEGINNING
AFTER APRIL FIRST, TWO THOUSAND TWELVE, THE FISCAL YEAR SHALL BE  DETER-
MINED BY SECTION THREE OF THE PUBLIC AUTHORITIES LAW.
  S  28.  The  public authorities law is amended by adding a new section
2829 to read as follows:
  S 2829. SUBSIDIARIES OF PUBLIC AUTHORITIES.   1.  NOTWITHSTANDING  ANY
OTHER  PROVISION  OF  LAW TO THE CONTRARY, NO PUBLIC BENEFIT CORPORATION
SHALL ESTABLISH A SUBSIDIARY CORPORATION WITHOUT STATUTORY CODIFICATION.
  2. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION ONE OF THIS  SECTION,
ANY  SUBSIDIARY  OF A PUBLIC AUTHORITY DULY AND LAWFULLY FORMED PRIOR TO
THE FIRST DAY OF JULY, TWO THOUSAND EIGHT,  SHALL  BE  DEEMED  TO  BE  A
PUBLIC  AUTHORITY  UNDER  THE TERMS OF THIS CHAPTER, AND NOTWITHSTANDING
ANY OTHER PROVISION OF LAW TO THE CONTRARY, SHALL BE SUBJECT TO ALL  THE
REQUIREMENTS, DUTIES AND RESPONSIBILITIES PROVIDED IN THIS CHAPTER.
  3.  ON OR BEFORE THE THIRTY-FIRST DAY OF MAY, TWO THOUSAND ELEVEN, ANY
SUBSIDIARY PUBLIC BENEFIT CORPORATION, IN COOPERATION  WITH  ITS  PARENT
PUBLIC  BENEFIT  CORPORATION,  SHALL  PROVIDE  TO  THE CHAIR AND RANKING
MINORITY MEMBER OF THE SENATE FINANCE COMMITTEE AND THE CHAIR AND  RANK-
ING  MINORITY  MEMBER OF THE ASSEMBLY WAYS AND MEANS COMMITTEE, A REPORT

S. 3806                            15

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 SUBSIDIARY PUBLIC BENEFIT CORPORATION
DEEMS IMPORTANT TO INCLUDE IN SUCH REPORT.
  S 29. The public authorities law is amended by adding  a  new  section
2856 to read as follows:
  S  2856. LIMITATIONS ON TERMS AND CONDITIONS OF PUBLIC AUTHORITY DEBT.
1. EVERY AUTHORITY NOT SUBJECT TO A STATUTORY LIMIT ON BONDS, NOTES,  OR
OTHER DEBT OBLIGATIONS IT MAY ISSUE, SHALL SUBMIT TO THE AUTHORITY BUDG-
ET OFFICE, A PLAN RECOMMENDING A LIMIT ON THE AMOUNT OF BONDS, NOTES, OR
OTHER DEBT OBLIGATIONS IT MAY ISSUE.
  2.    NOTHING  IN  THIS  SECTION  SHALL  BE DEEMED TO PROHIBIT A STATE
AUTHORITY FROM REFUNDING OR REFINANCING ANY DEBT OBLIGATION FOR  A  TERM
NO  LONGER THAN THE TERM OF SUCH DEBT OBLIGATION IN EFFECT ON THE EFFEC-
TIVE DATE OF THIS SECTION IF SUCH REFUNDING OR REFINANCING WILL  ACHIEVE
AN ACTUAL DEBT SERVICE SAVINGS IN EVERY YEAR TO MATURITY AND WILL RESULT
IN  A  SUBSTANTIAL  OVERALL  DEBT SERVICE SAVINGS GREATER THAN TWICE THE
COST OF INSURANCE.
  3. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, BONDS OR NOTES MAY  NOT
BE SOLD IN A PRIVATE SALE BY ANY PUBLIC AUTHORITY, AS DEFINED IN SECTION
TWO OF THIS CHAPTER, UNLESS SUCH SALE AND THE TERMS AND CONDITIONS THER-
EOF HAVE BEEN APPROVED IN WRITING BY THE COMPTROLLER.
  S  30. Subdivision 3 of section 2897 of the public authorities law, as
added by chapter 766 of the laws of 2005, is amended to read as follows:
  3. Method of disposition.  Subject  to  section  twenty-eight  hundred
ninety-six  of  this title, any public 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, [or any other  prop-
erty  which  because  of its unique nature is not subject to fair market
pricing] 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 PROPERTY, SHALL  BE  MADE  WITHOUT  A  SIMILAR
APPRAISAL.
  S  31.  Paragraphs  c  and  d  of subdivision 6 of section 2897 of the
public authorities law, as added by chapter 766 of the laws of 2005, are
amended to read as follows:

S. 3806                            16

  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  feasible
under the circumstances, if:
  (i) the personal property involved [is of a nature and quantity which,
if]  HAS QUALITIES SEPARATE FROM THE UTILITARIAN PURPOSE OF SUCH PROPER-
TY, SUCH AS ARTISTIC QUALITY, ANTIQUITY, HISTORICAL SIGNIFICANCE,  RARI-
TY,  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 [aversely] 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;
  (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) [the disposal is for an amount less than the estimated fair market
value of the property, the terms of such disposal are obtained by public
auction  or  negotiation,  the  disposal  of the property is intended to
further the public health, safety or welfare or an economic  development
interest  of  the  state  or a political subdivision (to include but not
limited to, the prevention or remediation of  a  substantial  threat  to
public  health  or  safety,  the  creation or retention of a substantial
number of job opportunities, or the creation or retention of a  substan-
tial  source  of revenues, or where the authority's enabling legislation
permits), the purpose and the terms of such disposal are  documented  in
writing and approved by resolution of the board of the public authority;
or
  (vi)] such action is otherwise authorized by law.
  d. (i) An explanatory statement shall be prepared of the circumstances
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)
[through (E)] AND (D) of this subparagraph;
  (C)  any  real property disposed of by lease [for a term of five years
or less], if the estimated [fair] annual rent OVER THE TERM OF THE LEASE
is in excess of [one hundred thousand dollars for  any  of  such  years]
FIFTEEN THOUSAND DOLLARS;
  (D)  [any  real  property disposed of by lease for a term of more than
five years, if the total estimated rent over the term of the lease is in
excess of one hundred thousand dollars; or
  (E)] 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 title not less than ninety days in advance of

S. 3806                            17

such disposal, and a copy thereof shall be preserved in the files of the
public authority making such disposal.
  S  32. Section 2824 of the public authorities law is amended by adding
a new subdivision 9 to read as follows:
  9. ALL CHIEF EXECUTIVE OFFICERS OF STATE AUTHORITIES SHALL BE  SUBJECT
TO THE ADVICE AND CONSENT OF THE SENATE.
  S  33.  Article 9 of the public authorities law is amended by adding a
new title 12 to read as follows:
                                TITLE 12
               WHISTLEBLOWER ACCESS AND ASSISTANCE PROGRAM
SECTION 2986. WHISTLEBLOWER ACCESS AND ASSISTANCE PROGRAM.
  S 2986. WHISTLEBLOWER ACCESS AND ASSISTANCE PROGRAM. 1. (A) "EMPLOYEES
OF STATE AND LOCAL AUTHORITIES" MEANS THOSE PERSONS  EMPLOYED  AT  STATE
AND  LOCAL  AUTHORITIES,  INCLUDING  BUT  NOT  LIMITED TO: FULL-TIME AND
PART-TIME EMPLOYEES, CONTRACTORS,  THOSE  EMPLOYEES  ON  PROBATION,  AND
TEMPORARY EMPLOYEES.
  (B) "ATTORNEY GENERAL" SHALL MEAN THE ATTORNEY GENERAL OF THE STATE OF
NEW YORK.
  (C)  "WHISTLEBLOWER"  SHALL  MEAN  ANY  EMPLOYEE  OF  A STATE OR LOCAL
AUTHORITY WHO  DISCLOSES  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  OR  PERSONAL  PROPERTY AND THE DISPOSITION OF REAL OR PERSONAL
PROPERTY AND THE PROCUREMENT OF GOODS AND SERVICES.
  2. THE DIRECTOR OF THE AUTHORITY  BUDGET  OFFICE,  AFTER  CONSULTATION
WITH  THE  ATTORNEY GENERAL, SHALL DEVELOP AND RECOMMEND TO THE LEGISLA-
TURE A WHISTLEBLOWER ACCESS AND ASSISTANCE PROGRAM WHICH SHALL  INCLUDE,
BUT  NOT  BE  LIMITED  TO (A) EVALUATING AND COMMENTING ON WHISTLEBLOWER
PROGRAMS AND POLICIES BY STATE AND LOCAL AUTHORITIES PURSUANT  TO  PARA-
GRAPH  E  OF SUBDIVISION ONE OF SECTION TWENTY-EIGHT HUNDRED TWENTY-FOUR
OF THIS CHAPTER;
  (B) ESTABLISHING TOLL-FREE TELEPHONE AND FACSIMILE LINES AVAILABLE  TO
EMPLOYEES AT STATE AND LOCAL AUTHORITIES;
  (C)  OFFERING  ADVICE REGARDING THE EMPLOYEE'S RIGHTS UNDER APPLICABLE
STATE AND FEDERAL LAWS AND ADVICE AND OPTIONS AVAILABLE TO ALL  PERSONS;
AND
  (D) OFFERING AN OPPORTUNITY FOR EMPLOYEES OF STATE AND  LOCAL AUTHORI-
TIES  TO  IDENTIFY  CONCERNS  REGARDING  ANY  ISSUE  AT A STATE OR LOCAL
AUTHORITY.
  3. ANY COMMUNICATIONS BETWEEN AN EMPLOYEE  AND  THE  AUTHORITY  BUDGET
OFFICE  PURSUANT  TO THIS SECTION SHALL BE HELD STRICTLY CONFIDENTIAL BY
THE AUTHORITY BUDGET OFFICE, UNLESS THE EMPLOYEE SPECIFICALLY WAIVES  IN
WRITING THE RIGHT TO CONFIDENTIALITY.
  S  34.  The  public authorities law is amended by adding a new section
2857 to read as follows:
  S 2857. ACTIONS BY AN AUTHORITY. 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,
IN SO FAR AS THE ACTIONS TAKEN BY THE EMPLOYEE ARE LEGAL.
  S 35. Severability. If any provision of this act or its application to
any  person  or  circumstance  is held invalid, this invalidity does not
affect other provisions or applications of this act that  can  be  given
effect without the invalid provision or application, and to this end the
provisions of this act are declared to be severable.
  S  36.  This  act shall take effect on the sixtieth day after it shall
have become a law.