A. 6144--A 2
EXEMPT DEBT; (IV) APPROVES OR MAKES RECOMMENDATIONS FOR THE APPROVAL OF
PUBLIC FINANCIAL ASSISTANCE, INCLUDING PROVIDING LOANS FROM A REVOLVING
LOAN FUND FINANCED, IN WHOLE OR IN PART, BY FEDERAL, STATE OR LOCAL
GOVERNMENT FUNDS; OR (V) RELIES ON STATE OR LOCAL GOVERNMENT EMPLOYEES
OR STAFF OF A LOCAL AUTHORITY FOR ADMINISTRATIVE OR OPERATIONAL SUPPORT;
OR (E) an affiliate of such local authority.
S 2. Section 5 of the public authorities law, as added by chapter 506
of the laws of 2009, is amended to read as follows:
S 5. Director of the authorities budget office. The director of the
authorities budget office shall be appointed by the governor, upon the
advice and consent of the senate. The director shall hold office for a
term of four years beginning on the date of confirmation. The salary of
the director shall be established by the governor within the limit of
funds available therefor; provided, however, such salary shall be no
less than the salaries of certain state officers holding the positions
indicated in paragraph (d) of subdivision one of section one hundred
sixty-nine of the executive law. THE DIRECTOR MAY APPOINT EMPLOYEES OF
THE AUTHORITIES BUDGET OFFICE AND PRESCRIBE THEIR POWERS AND DUTIES AND
FIX THEIR COMPENSATION WITHIN THE AMOUNTS APPROPRIATED THEREFOR. The
director may be removed by the governor only after notice and opportu-
nity to be heard, and only for:
1. permanent disability;
2. inefficiency;
3. neglect of duty;
4. malfeasance;
5. a felony or conduct involving moral turpitude; or
6. breach of fiduciary duty.
S 3. Paragraphs (i) and (j) of subdivision 2 of section 6 of the
public authorities law, as added by chapter 506 of the laws of 2009, are
amended and three new paragraphs (k), (l) and (m) are added to read as
follows:
(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 authorities budget office a detailed explanation of
such failure to comply; [and]
(j) commence a special proceeding in supreme court, when it does not
receive from a state or local authority upon request information, books,
records or other documentation necessary to perform its duties, seeking
an order directing the production of the same[.];
(K) DETERMINE WHETHER ENTITIES OPERATING WITHIN NEW YORK STATE ARE
STATE OR LOCAL AUTHORITIES AS SET FORTH IN SECTION TWO OF THIS ARTICLE;
(L) ASSESS, AFTER NOTICE, FINES OR OTHER FINANCIAL PENALTIES ON ANY
STATE OR LOCAL AUTHORITY THAT (I) FAILS TO FILE ANY REPORT REQUIRED BY
THE AUTHORITIES BUDGET OFFICE PURSUANT TO THIS CHAPTER, ON OR BEFORE THE
DAY DESIGNATED FOR THE FILING THEREOF; (II) SUBMITS INACCURATE, INCOM-
PLETE, OR MISLEADING INFORMATION THEREIN; OR (III) INTENTIONALLY OR
UNINTENTIONALLY FAILS TO COMPLY WITH ANY REQUIREMENT OR PROVISION OF
THIS CHAPTER; PROVIDED THAT THE ASSESSMENT OF ANY FINES OR FINANCIAL
PENALTIES SHALL BE IN ACCORDANCE WITH RULES OR REGULATIONS PROMULGATED
BY THE AUTHORITIES BUDGET OFFICE; AND FURTHER PROVIDED THAT SUCH FINES
OR FINANCIAL PENALTIES SHALL BE FORFEITED TO THE PEOPLE OF THE STATE;
AND FURTHER PROVIDED THAT SUCH FINES OR FINANCIAL PENALTIES SHALL NOT
EXCEED ONE HUNDRED DOLLARS FOR EACH DAY DURING WHICH SUCH REPORT IS
DELAYED OR WITHHELD, OR SUCH INACCURATE, INCOMPLETE OR MISLEADING INFOR-
MATION IS NOT CORRECTED, CERTIFIED AND SUBMITTED, OR SUCH INTENTIONAL OR
UNINTENTIONAL ACTS OF NONCOMPLIANCE ARE NOT CORRECTED, UNLESS THE TIME
A. 6144--A 3
THEREFORE SHALL HAVE BEEN EXTENDED BY THE DIRECTOR OF THE AUTHORITIES
BUDGET OFFICE FOR GOOD CAUSE SHOWN, IN HIS OR HER SOLE DISCRETION; AND
(M) REVIEW ANY CONTRACT, SUB-CONTRACT, OR FINANCIAL TRANSACTION THAT
IS IN FURTHERANCE OF THE PUBLIC PURPOSE OR MISSION OF A STATE OR LOCAL
AUTHORITY, OR FOR WORK PERFORMED, OR SERVICES RENDERED, TO OR ON BEHALF
OF ONE OR MORE COUNTY, CITY, TOWN OR VILLAGE GOVERNMENTS OR STATE OR
LOCAL AUTHORITIES IN FURTHERANCE OF THE PUBLIC PURPOSE OR MISSION OF
SUCH GOVERNMENTS OR AUTHORITIES, AND TO REVIEW DOCUMENTS ASSOCIATED WITH
SUCH CONTRACT OR FINANCIAL TRANSACTION.
S 4. The public authorities law is amended by adding a new section 8
to read as follows:
S 8. AUTHORITIES BUDGET OFFICE BOARD OF DIRECTORS. THERE IS HEREBY
CREATED THE AUTHORITIES BUDGET OFFICE BOARD OF DIRECTORS WHICH SHALL
CONSIST OF FIVE MEMBERS. ONE MEMBER EACH SHALL BE APPOINTED BY THE
GOVERNOR, ATTORNEY GENERAL, STATE COMPTROLLER, SPEAKER OF THE ASSEMBLY
AND SENATE MAJORITY LEADER. EACH DIRECTOR SHALL SERVE FOR A TERM OF FOUR
YEARS. THE BOARD SHALL ELECT THE CHAIRMAN OF THE BOARD FROM ITS OWN
MEMBERS. THE BOARD SHALL ESTABLISH ITS OWN BYLAWS. THE FUNCTIONS OF THE
BOARD SHALL BE TO:
(A) OVERSEE THE CONDUCT OF THE AUTHORITIES BUDGET OFFICE AND EVALUATE
WHETHER THE AUTHORITIES BUDGET OFFICE IS BEING PROPERLY MANAGED AND
MEETING ITS STATUTORY RESPONSIBILITY TO ACT IN AN INDEPENDENT AND EFFEC-
TIVE MANNER;
(B) INSTRUCT, WHERE APPROPRIATE, THE DIRECTOR AND SENIOR OFFICERS OF
THE AUTHORITIES BUDGET OFFICE, AND REVIEW THEIR ACTIONS;
(C) PROVIDE ADVICE AND COUNSEL TO THE DIRECTOR AND SENIOR OFFICERS;
(D) REVIEW AND APPROVE MAJOR POLICY AND ADMINISTRATIVE DECISIONS
RESPECTING THE OPERATIONS AND RESPONSIBILITIES OF THE AUTHORITIES BUDGET
OFFICE;
(E) REVIEW AND APPROVE THE FINANCIAL AND OPERATING DISCLOSURE STATE-
MENTS, BUDGETARY SUBMISSIONS AND REPORTS OF THE AUTHORITIES BUDGET
OFFICE;
(F) REPORT AT THE END OF EACH SIX MONTH PERIOD BEGINNING ON JUNE
FIRST, TWO THOUSAND ELEVEN TO THE GOVERNOR AND THE MAJORITY AND MINORITY
LEADERS OF THE SENATE AND ASSEMBLY, ON ITS OVERSIGHT RESPONSIBILITIES AS
PROVIDED IN PARAGRAPHS (A) THROUGH (E) OF THIS SECTION; AND
(G) IN THE EVENT OF A VACANCY, RECOMMEND TO THE GOVERNOR A LIST OF
THREE OR MORE CANDIDATES FOR THE OFFICE OF DIRECTOR. THE GOVERNOR SHALL
SELECT HIS NOMINEE FROM SUCH LIST.
S 5. Paragraphs (a) and (b) of subdivision 1 and subdivision 2 of
section 2800 of the public authorities law, as amended by chapter 506 of
the laws of 2009, are amended to read as follows:
(a) For the purpose of furnishing the state with systematic informa-
tion 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 gover-
nor, the chairman and ranking minority member of the senate finance
committee, the chairman and ranking minority member of the assembly ways
and means committee, the state comptroller, and the authorities budget
office, within ninety days after the end of its fiscal year, a complete
and detailed report or reports setting forth IN A MANNER AND FORM TO BE
DETERMINED BY THE AUTHORITIES BUDGET OFFICE: (1) its operations and
accomplishments; (2) its financial reports, including (i) audited finan-
cials in accordance with all applicable regulations and following gener-
ally accepted accounting principles as defined in subdivision ten of
section two of the state finance law, (ii) grant and subsidy programs,
A. 6144--A 4
(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 meas-
urements 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. Addi-
tionally, 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 title,] that shall include, by
position, title and name of the person holding such position or title,
the salary, compensation, AND allowance [and/or] PAID TO SUCH PERSON,
AND 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 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, LESSEE,
LESSOR or seller for all such property sold, LEASED or bought by the
authority during such period; (8) such 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, 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)] (11) a
description of the total amounts of assets, services or both assets and
services bought or sold without competitive bidding, including (i) the
nature of those assets and services, (ii) the names of the counterpar-
ties, and (iii) where the contract price for assets purchased exceeds
fair market value, or where the contract price for assets sold is less
than fair market value, a detailed explanation of the justification for
making the purchase or sale without competitive bidding, and a certif-
ication by the chief executive officer and chief financial officer of
the public authority that they have reviewed the terms of such purchase
or sale and determined that it complies with applicable law and procure-
A. 6144--A 5
ment guidelines; and [(17)] (12) a description of any material pending
litigation in which the authority is involved as a party during the
reporting year, except that no hospital need disclose information about
pending malpractice claims beyond the existence of such claims.
(b) Each state authority shall make accessible to the public, via its
official or shared internet web site, (I) documentation pertaining to
its mission[,] AND current activities[,]; (II) ITS most recent annual
REPORT AND financial [reports] STATEMENTS, AND current [year] budget
[and] REPORTS; (III) its most recent independent audit report AND ANY
OTHER REPORT PROVIDED TO THE AUTHORITIES BUDGET OFFICE unless such
information is covered by subdivision two of section eighty-seven of the
public officers law; (IV) BIOGRAPHICAL INFORMATION, NOT INCLUDING CONFI-
DENTIAL PERSONAL INFORMATION, PERTAINING TO THE PROFESSIONAL QUALIFICA-
TIONS AND EXPERTISE FOR ALL DIRECTORS AND OFFICERS; (V) A COPY OF THE
LEGISLATION THAT FORMS THE STATUTORY BASIS OF THE AUTHORITY; (VI) A
DESCRIPTION OF THE AUTHORITY AND ITS BOARD STRUCTURE, INCLUDING (A)
NAMES OF COMMITTEES AND COMMITTEE MEMBERS, (B) MINUTES OF BOARD MEET-
INGS, (C) DESCRIPTIONS OF MAJOR AUTHORITY UNITS AND SUBSIDIARIES, (D)
NUMBER OF EMPLOYEES AND STAFF; (VII) AN ORGANIZATION CHART; (VIII) ITS
CHARTER, IF ANY, AND A COPY OF ITS CURRENT BY-LAWS; (IX) A LISTING OF
MATERIAL CHANGES IN OPERATIONS AND PROGRAMS DURING THE REPORTING YEAR;
AND (X) ANY OTHER INFORMATION AS MAY BE REQUIRED BY THE AUTHORITIES
BUDGET OFFICE.
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
officer, the chairperson of the legislative body of the local government
or local governments and the authorities budget office, within ninety
days after the end of its fiscal year, a complete and detailed report or
reports setting forth IN A MANNER AND FORM TO BE DETERMINED BY THE
AUTHORITIES BUDGET OFFICE: (1) its operations and accomplishments; (2)
its financial reports, including (i) audited financials in accordance
with all applicable regulations and following generally accepted
accounting principles as defined in subdivision ten of section two of
the state finance law, (ii) grants 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 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, AND allowance [and/or] PAID TO SUCH PERSON, 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
A. 6144--A 6
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 all real property of such author-
ity 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, LESSEE, LESSOR or seller for all such proper-
ty sold, LEASED or bought by the authority during such period; (8) such
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, subsid-
iaries, (iv) number of employees, and (v) organizational chart; (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 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 the public officers law; [(16)] (11) a description of the
total amounts of assets, services or both assets and 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 for assets purchased exceeds fair market value,
or where the contract price for assets sold is less than fair market
value, a detailed explanation of the justification for making the
purchase or sale without competitive bidding, and a certification by the
chief executive officer and chief financial officer of the public
authority that they have reviewed the terms of such purchase or sale and
determined that it complies with applicable law and procurement guide-
lines; and [(17)] (12) a description of any material pending litigation
in which the authority is involved as a party during the reporting year,
except that no provider of medical services need disclose information
about pending malpractice claims beyond the existence of such claims.
(b) Each local authority shall make accessible to the public, via its
official or shared internet web site, (I) documentation pertaining to
its mission[,] AND current activities[,]; (II) ITS most recent annual
REPORT AND financial [reports] STATEMENTS, AND current [year] budget
[and] REPORTS; (III) its most recent independent audit report AND ANY
OTHER REPORT PROVIDED TO THE AUTHORITIES BUDGET OFFICE unless such
information is covered by subdivision two of section eighty-seven of the
public officers law; (IV) BIOGRAPHICAL INFORMATION, NOT INCLUDING CONFI-
DENTIAL PERSONAL INFORMATION, PERTAINING TO THE PROFESSIONAL QUALIFICA-
TIONS AND EXPERTISE FOR ALL DIRECTORS AND OFFICERS; (V) A COPY OF THE
LEGISLATION THAT FORMS THE STATUTORY BASIS OF THE AUTHORITY; (VI) A
DESCRIPTION OF THE AUTHORITY AND ITS BOARD STRUCTURE, INCLUDING (A)
NAMES OF COMMITTEES AND COMMITTEE MEMBERS, (B) MINUTES OF BOARD MEET-
INGS, (C) DESCRIPTIONS OF MAJOR AUTHORITY UNITS AND SUBSIDIARIES, (D)
NUMBER OF EMPLOYEES AND STAFF; (VII) AN ORGANIZATION CHART; (VIII) ITS
CHARTER, IF ANY, AND A COPY OF ITS CURRENT BY-LAWS; (IX) A LISTING OF
MATERIAL CHANGES IN OPERATIONS AND PROGRAMS DURING THE REPORTING YEAR;
A. 6144--A 7
AND (X) ANY OTHER INFORMATION AS MAY BE REQUIRED BY THE AUTHORITIES
BUDGET OFFICE.
S 6. Subdivision 3 of section 2801 of the public authorities law is
REPEALED and subdivisions 1 and 2, as amended by chapter 506 of the laws
of 2009, 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, the
chair and ranking minority member of the senate finance committee, the
chair and ranking minority member of the assembly ways and means commit-
tee and the authorities budget office, for their information, annually
[not more than one hundred twenty days and] not less than [ninety] THIR-
TY days before the commencement of its fiscal year, in the form [submit-
ted to its members or trustees,] DETERMINED BY THE AUTHORITIES BUDGET
OFFICE, AN ADOPTED BUDGET PLAN OF AT LEAST SIX YEARS AND budget informa-
tion on operations and capital construction setting forth the estimated
receipts and expenditures for the next fiscal year [and], the current
fiscal year, AND THE NEXT THREE FISCAL YEARS, 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 authorities budget office for their information,
annually [not more than ninety days and not less than sixty] THIRTY days
before the commencement of its fiscal year, in the form [submitted to
its members or trustees,] DETERMINED BY THE AUTHORITIES BUDGET OFFICE,
AN ADOPTED BUDGET PLAN OF AT LEAST SIX YEARS AND 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 NEXT THREE FISCAL YEARS, AND the actual receipts and
expenditures for the last completed fiscal year.
S 7. Subdivisions 2 and 7 of section 2802 of the public authorities
law, subdivision 2 as amended by chapter 506 of the laws of 2009 and
subdivision 7 as added by chapter 766 of the laws of 2005, are amended
to read as follows:
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 the authorities 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 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.
7. Notwithstanding any provision of law to the contrary, a [public]
STATE OR LOCAL authority may exempt information from disclosure or
report, if the counsel of such authority deems that such information is
A. 6144--A 8
covered by subdivision two of section eighty-seven of the public offi-
cers law.
S 8. Section 2806 of the public authorities law is REPEALED.
S 9. The opening paragraph of subdivision 2 of section 2825 of the
public authorities law, as amended by chapter 174 of the laws of 2010,
is amended to read as follows:
Except for members who serve as members by virtue of holding a civil
office of the state OR MUNICIPAL GOVERNMENT, the majority of the remain-
ing members of the governing body of every state or local authority
shall be independent members; provided, however, that this provision
shall apply to appointments made on or after the effective date of chap-
ter seven hundred sixty-six of the laws of two thousand five which added
this subdivision. 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 and further, shall consider the
prospective diversity of the members of a state authority when making
their determinations to appoint any member. For the purposes of this
section, an independent member is one who:
S 10. Subdivisions 1 and 8 of section 2879 of the public authorities
law, as amended by chapter 564 of the laws of 1988, paragraph (a) of
subdivision 8 as amended and such subdivision as renumbered by chapter
844 of the laws of 1992, are amended to read as follows:
1. Every [public] STATE AND LOCAL authority [and public benefit corpo-
ration, a majority of the members of which consist of persons either
appointed by the governor or who serve as members by virtue of holding a
civil office of the state, or a combination thereof, (such entities to
be hereinafter in this section referred to as "corporation")] shall
adopt by resolution comprehensive guidelines which detail the corpo-
ration's operative policy and instructions regarding the use, awarding,
monitoring and reporting of procurement contracts. Guidelines approved
by the corporation shall be annually reviewed and approved by the corpo-
ration.
8. (a) Each [corporation] STATE AND LOCAL AUTHORITY shall [annually]
submit WITHIN NINETY DAYS OF THE END OF ITS FISCAL YEAR its report on
procurement contracts to the [division of the budget] AUTHORITIES BUDGET
OFFICE and copies thereof to the department of audit and control, the
department of economic development, the senate finance committee and the
assembly ways and means committee.
(b) Each corporation shall make available to the public copies of its
report on procurement contracts upon reasonable request therefor.
S 11. Section 2827 of the public authorities law, as amended by chap-
ter 506 of the laws of 2009, is amended to read as follows:
S 2827. Removal of authority members. Except as otherwise provided in
this chapter, every member of every authority or commission heretofore
or hereafter continued or created by this chapter, except ex-officio
members, that is, members whose membership results by virtue of their
incumbency of a public office, shall be removable by the public officer
or public body which is empowered by this chapter to appoint such
authority or commission member, for inefficiency, breach of fiduciary
duty, neglect of duty or misconduct in office, provided, however, that
such member shall be given a copy of the charges against him and an
opportunity of being heard in person, or by counsel, in his or her
defense upon not less than ten days' notice. IF THE AUTHORITIES BUDGET
OFFICE RECOMMENDS TO THE PUBLIC OFFICER OR PUBLIC BODY WHICH IS
EMPOWERED TO APPOINT OFFICERS OR DIRECTORS OF A STATE OR LOCAL AUTHORITY
THE SUSPENSION OR DISMISSAL OF SUCH OFFICERS OR DIRECTORS, THE PUBLIC
A. 6144--A 9
OFFICER OR PUBLIC BODY SHALL NOTIFY THE AUTHORITIES BUDGET OFFICE IN
WRITING WITHIN THIRTY DAYS OF RECEIVING SUCH A RECOMMENDATION WHETHER OR
NOT SUCH RECOMMENDATION WILL BE ACCEPTED.
S 12. Subdivision 3 of section 2896 of the public authorities law, as
amended by chapter 506 of the laws of 2009, is amended to read as
follows:
3. a. Each [public] STATE AND LOCAL authority shall [publish, not less
frequently than annually] PREPARE WITHIN NINETY DAYS OF THE END OF ITS
FISCAL YEAR AS PART OF THE ANNUAL REPORT PURSUANT TO SECTION
TWENTY-EIGHT HUNDRED OF THIS ARTICLE, a report listing all real property
of the public authority. Such report shall 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 AND SUCH OTHER INFORMATION AS
REQUIRED BY THE AUTHORITIES BUDGET OFFICE.
b. The [public] STATE OR LOCAL authority shall deliver copies of such
report to the comptroller, the director of the budget, the commissioner
of general services, the legislature and the authorities budget office.
S 13. Paragraphs (a) and (b) of subdivision 7 of section 2925 of the
public authorities law, as added by chapter 838 of the laws of 1983, are
amended to read as follows:
(a) Each corporation, a majority of the members of which consist of
persons appointed by the governor or who serve as members by virtue of
holding a civil office of the state, or a combination thereof, shall
[annually] submit WITHIN NINETY DAYS OF THE END OF ITS FISCAL YEAR its
investment report to the [division of the budget] AUTHORITIES BUDGET
OFFICE and copies thereof to the department of audit and control, the
senate finance committee and the assembly ways and means committee.
(b) Each corporation, other than a corporation included under para-
graph (a) of this subdivision, shall annually submit its investment
report to the chief executive officer and chief fiscal officer of each
municipality for the benefit of which it was created and to the depart-
ment of audit and control AND THE AUTHORITIES BUDGET OFFICE.
S 14. Subdivision 2 of section 561-a of the general municipal law, as
added by chapter 681 of the laws of 1963, is amended to read as follows:
2. Within [sixty] NINETY days after the close of the fiscal year, an
agency shall submit an annual report of its financial condition to the
commissioner, THE AUTHORITIES BUDGET OFFICE and to the state comp-
troller. The report shall be in such form as the comptroller shall
require. The commissioner or the comptroller OR THE DIRECTOR OF THE
AUTHORITIES BUDGET OFFICE may require additional information from the
agency or any officer thereof at any time.
S 15. Section 859 of the general municipal law, as added by chapter
692 of the laws of 1989, paragraph (b), the first and second undesig-
nated paragraphs and subparagraph (v) of paragraph (e) of subdivision 1
as amended by chapter 357 of the laws of 1993, paragraph (e) of subdivi-
sion 1 and subdivision 3 as added and subdivision 2 as amended by chap-
ter 356 of the laws of 1993 and paragraph (f) of subdivision 1 as added
by section 28 of part A-3 of chapter 62 of the laws of 2003, is amended
to read as follows:
S 859. Financial records. 1. (a) Each agency shall maintain books and
records in such form as may be prescribed by the state comptroller.
(b) Within ninety days following the close of its fiscal year, each
agency or authority shall prepare a financial statement for that fiscal
year in such form as may be prescribed by THE AUTHORITIES BUDGET OFFICE
A. 6144--A 10
AND the state comptroller. Such statement shall be audited within such
ninety day period by an independent certified public accountant in
accordance with government accounting standards established by the
United States general accounting office. The audited financial statement
shall include supplemental schedules listing all straight-lease trans-
actions and bonds and notes issued, outstanding or retired during the
applicable accounting period whether or not such bonds, notes or trans-
actions are considered obligations of the agency. For each issue of
bonds or notes such schedules shall provide the name of each project
financed with proceeds of each issue, and whether the project occupant
is a not-for-profit corporation, the name and address of each owner of
each project, the estimated amount of tax exemptions authorized for each
project, the purpose for which each bond or note was issued, date of
issue, interest rate at issuance and if variable the range of interest
rates applicable, maturity date, federal tax status of each issue, and
an estimate of the number of jobs created and retained by each project.
For each straight-lease transaction, such schedules shall provide the
name of each project, and whether the project occupant is a not-for-pro-
fit corporation, the name and address of each owner of each project, the
estimated amount of tax exemptions authorized for each project, the
purpose for which each transaction was made, the method of financial
assistance utilized by the project, other than the tax exemptions
claimed by the project and an estimate of the number of jobs created and
retained by each project.
(c) Within [thirty] NINETY days after [completion] THE END OF THE
FISCAL YEAR, a copy of the audited financial statement shall be trans-
mitted to the commissioner of the department of economic development,
THE AUTHORITIES BUDGET OFFICE, the state comptroller and the governing
body of the municipality for whose benefit the agency was created.
(d) [An agency with no bonds or notes issued or outstanding and no
projects during the applicable accounting period may apply to the state
comptroller for a waiver of the required audited financial statement.
Application shall be made on such form as the comptroller may prescribe.
(e)] If an agency or authority shall fail to file or substantially
complete, as determined by the state comptroller, the financial state-
ment required by this section, the state comptroller shall provide
notice to the agency or authority. The notice shall state the following:
(i) that the failure to file a financial statement as required is a
violation of this section, or in the case of an insufficient financial
statement, the manner in which the financial statement submitted is
deficient;
(ii) that the agency or authority has thirty days to comply with this
section or provide an adequate written explanation to the comptroller of
the agency's or authority's reasons for the inability to comply; and
(iii) that the agency's or authority's failure to provide either the
required financial statement or an adequate explanation will result in
the notification of the chief executive officer of the municipality for
whose benefit the agency or authority was created of the agency's
noncompliance with this section. Where such agency or authority has
failed to file the required statement, the comptroller shall addi-
tionally notify the agency or authority that continued failure to file
the required statement may result in loss of the agency's or authority's
authority to provide exemptions from state taxes.
(iv) If an agency or authority after thirty days has failed to file
the required statement or the explanation in the manner required by
subparagraph (i) of this paragraph, or provides an insufficient explana-
A. 6144--A 11
tion, the comptroller shall notify the chief executive officer of the
municipality for whose benefit the agency or authority was created and
the agency of the agency's or authority's noncompliance with this
section. Such notice from the state comptroller shall further delineate
in what respect the agency or authority has failed to comply with this
section. If the agency or authority has failed to file the required
statement, the notice shall additionally state that continued failure to
file the required statement may result in loss of the agency's or
authority's authority to provide exemptions from state taxes.
(v) If, thirty days after notification of the chief executive officer
of the municipality for whose benefit the agency or authority was
created of the agency's or authority's noncompliance, the agency or
authority fails to file the required statement, the comptroller shall
notify the chief executive officer of the municipality for whose benefit
that agency or authority was created and the agency or authority that if
such report is not provided within sixty days, that the agency or
authority will no longer be authorized to provide exemptions from state
taxes.
(vi) If, sixty days after the notification required by subparagraph
(v) of this paragraph, the comptroller has not received the required
statement, the agency or authority shall not offer financial assistance
which provides exemptions from state taxes until such financial state-
ment is filed and the comptroller shall so notify the agency or authori-
ty and the chief executive officer of the municipality for whose benefit
the agency was created. Provided, however, that nothing contained in
this paragraph shall be deemed to modify the terms of any existing
agreements. THE COMPTROLLER SHALL PROVIDE THE AUTHORITIES BUDGET OFFICE
WITH NOTIFICATION THAT SUCH AGENCY OR AUTHORITY IS PROHIBITED FROM
OFFERING FINANCIAL ASSISTANCE THAT PROVIDES EXEMPTIONS FROM STATE TAXES.
[(f)] (E) Within thirty days after completion, a copy of an audited
financial statement which contains transactions of or bonds or notes of
civic facilities as defined in paragraph (b) of THE FORMER subdivision
thirteen of section eight hundred fifty-four of this article, shall be
transmitted by the agency to the commissioner of health, the chair of
the senate finance committee, the chair of the assembly ways and means
committee, the chair of the senate health committee and the chair of the
assembly health committee.
2. On or before September first of each year, the commissioner of the
department of economic development shall prepare and submit to the
governor, speaker of the assembly, majority leader of the senate, THE
DIRECTOR OF THE AUTHORITIES BUDGET OFFICE, and the state comptroller, a
report setting forth a summary of the significant trends in operations
and financing by agencies and authorities; departures from acceptable
practices by agencies and authorities; a compilation by type of the
bonds and notes outstanding; a compilation of all outstanding straight-
lease transactions; an estimate of the total number of jobs created and
retained by agency or authority projects; and any other information
which in the opinion of the commissioner bears upon the discharge of the
statutory functions of agencies and authorities.
3. On or before April first, nineteen hundred ninety-six, the commis-
sioner shall submit to the director of the division of the budget, THE
DIRECTOR OF THE AUTHORITIES BUDGET OFFICE, the temporary president of
the senate, the speaker of the assembly, the chairman of the senate
finance committee, the chairman of the assembly ways and means commit-
tee, the chairman of the senate local government committee, the chairman
of the senate committee on commerce, economic development and small
A. 6144--A 12
business, the chairman of the assembly committee on commerce, industry
and economic development, the chairman of the assembly local governments
committee [and], the chairman of the assembly real property taxation
committee, THE CHAIR OF THE SENATE COMMITTEE ON CORPORATIONS, AUTHORI-
TIES AND COMMISSIONS, AND THE CHAIR OF THE ASSEMBLY COMMITTEE ON CORPO-
RATIONS, AUTHORITIES AND COMMISSIONS an evaluation of the activities of
industrial development agencies and authorities in the state prepared by
an entity independent of the department. Such evaluation shall identify
the effect of agencies and authorities on: (a) job creation and
retention in the state, including the types of jobs created and
retained; (b) the value of tax exemptions provided by such agencies and
authorities; (c) the value of payments received in lieu of taxes
received by municipalities and school districts as a result of projects
sponsored by such entities; (d) a summary of the types of projects that
received financial assistance; (e) a summary of the types of financial
assistance provided by the agencies and authorities; (f) a summary of
criteria for evaluation of projects used by agencies and authorities;
(g) a summary of tax exemption policies of agencies and authorities; and
(h) such other factors as may be relevant to an assessment of the
performance of such agencies and authorities in creating and retaining
job opportunities for residents of the state. Such evaluation shall also
assess the process by which agencies and authorities grant exemptions
from state taxes and make recommendations for the most efficient and
effective procedures for the use of such exemptions. Such evaluation
shall further include any recommendations for changes in laws governing
the operations of industrial development agencies and authorities which
would enhance the creation and retention of jobs in the state.
S 16. Paragraph (a) of section 1411 of the not-for-profit corporation
law, as amended by chapter 847 of the laws of 1970, is amended to read
as follows:
(a) Purposes.
This section shall provide an additional and alternate method of
incorporation or reincorporation of not-for-profit corporations for any
of the purposes set forth in this paragraph and shall not be deemed to
alter, impair or diminish the purposes, rights, powers or privileges of
any corporation heretofore or hereafter incorporated under this section
or under the stock or business corporation laws. Corporations may be
incorporated or reincorporated under this section as not-for-profit
local development corporations operated for the exclusively charitable
or public purposes of relieving and reducing unemployment, promoting and
providing for additional and maximum employment, bettering and maintain-
ing job opportunities, instructing or training individuals to improve or
develop their capabilities for such jobs, carrying on scientific
research for the purpose of aiding a community or geographical area by
attracting new industry to the community or area or by encouraging the
development of, or retention of, an industry in the community or area,
and lessening the burdens of government and acting in the public inter-
est, and any one or more counties, cities, towns or villages of the
state, or any combination thereof, or the New York job development
authority in exercising its power under the public authorities law to
encourage the organization of local development corporations, may cause
such corporations to be incorporated by public officers or private indi-
viduals or reincorporated upon compliance with the requirements of this
section, and it is hereby found, determined and declared that in carry-
ing out said purposes and in exercising the powers conferred by para-
graph [(b)] (C) OF THIS SECTION such corporations will be performing an
A. 6144--A 13
essential governmental function. A LOCAL DEVELOPMENT CORPORATION INCOR-
PORATED OR REINCORPORATED FOR THE PURPOSES OF THIS PARAGRAPH THAT (I)
SUPPORTS, MANAGES, MARKETS, FUNDS, OR IMPLEMENTS PROGRAMS AND PROJECTS,
OR ACQUIRES PUBLIC PROPERTY IN THE PUBLIC INTEREST, FOR THE PURPOSE OF
PROMOTING OR ACHIEVING ECONOMIC OR INDUSTRIAL DEVELOPMENT, JOB CREATION,
OR JOB RETENTION; (II) RELIES IN WHOLE OR IN PART ON LOAN REPAYMENTS OR
PROJECT REVENUE FOR ITS OPERATIONS; (III) HAS THE AUTHORITY TO ISSUE TAX
EXEMPT DEBT; (IV) APPROVES OR MAKES RECOMMENDATIONS FOR THE APPROVAL OF
PUBLIC FINANCIAL ASSISTANCE, INCLUDING PROVIDING LOANS FROM A REVOLVING
LOAN FUND FINANCED, IN WHOLE OR IN PART, BY FEDERAL, STATE OR LOCAL
GOVERNMENT FUNDS; (V) RELIES ON STATE OR LOCAL GOVERNMENT EMPLOYEES OR
STAFF OF A LOCAL AUTHORITY FOR ADMINISTRATIVE OR OPERATIONAL SUPPORT; OR
(VI) IS AN AFFILIATE OF A LOCAL AUTHORITY SHALL BE DEFINED AS A LOCAL
AUTHORITY FOR PURPOSES OF COMPLYING WITH THE REQUIREMENTS OF THE PUBLIC
AUTHORITIES LAW.
S 17. This act shall take effect immediately.