S. 5878 2
(3) 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;
(4) ADOPT A CODE OF ETHICS APPLICABLE TO EACH OFFICER, DIRECTOR, AND
EMPLOYEE THAT, AT A MINIMUM, INCLUDES RULES GOVERNING CONFLICTS OF
INTEREST;
(5) ESTABLISH WRITTEN POLICIES FOR: PROTECTING EMPLOYEES FROM RETALI-
ATION FOR DISCLOSING INFORMATION CONCERNING ACTS OF WRONGDOING, MISCON-
DUCT, 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;
(6) ADOPT A DEFENSE AND INDEMNIFICATION POLICY AND DISCLOSE SUCH PLAN
TO ANY AND ALL PROSPECTIVE BOARD MEMBERS; AND
(7) AT THE TIME THAT THE MEMBER TAKES AND SUBSCRIBES THE OATH OF
OFFICE, OR WITHIN SIXTY DAYS AFTER THE EFFECTIVE DATE OF THIS ACT IF THE
MEMBER HAS ALREADY TAKEN AND SUBSCRIBED THE OATH OF OFFICE, EXECUTE AN
ACKNOWLEDGMENT, ISSUED BY THE INDEPENDENT BUDGET OFFICE AFTER CONSULTA-
TION WITH THE OFFICE OF THE ATTORNEYS GENERAL OF NEW YORK AND NEW
JERSEY, IN WHICH THE BOARD MEMBER ACKNOWLEDGES THAT THE MEMBER UNDER-
STANDS HIS OR INDEPENDENCE AND FIDUCIARY DUTIES, INCLUDING HIS OR HER
DUTY OF LOYALTY AND CARE TO THE ORGANIZATION AND COMMITMENT TO THE
AUTHORITY'S MISSION.
B. THE BOARD OF COMMISSIONERS SHALL ESTABLISH AN AUDIT COMMITTEE TO BE
COMPRISED OF NOT LESS THAN THREE BOARD 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. THE COMMIT-
TEE SHALL RECOMMEND TO THE BOARD THE HIRING OF AN INDEPENDENT FIRM OF
CERTIFIED PUBLIC ACCOUNTANTS FOR THE AUTHORITY, ESTABLISH THE COMPEN-
SATION TO BE PAID TO THE ACCOUNTING FIRM, AND PROVIDE DIRECT OVERSIGHT
OF THE ANNUAL INDEPENDENT FINANCIAL AUDIT PERFORMED BY THE ACCOUNTING
FIRM HIRED FOR SUCH PURPOSES. MEMBERS OF THE AUDIT COMMITTEE SHALL BE
FAMILIAR WITH CORPORATE FINANCIAL AND ACCOUNTING PRACTICES AND SHALL BE
OR BECOME FINANCIALLY LITERATE.
C. THE BOARD OF COMMISSIONERS SHALL ESTABLISH A GOVERNANCE COMMITTEE
TO BE COMPRISED OF NOT LESS THAN THREE BOARD 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 GOVERNANCE COMMIT-
TEE. IT SHALL BE THE RESPONSIBILITY OF THE MEMBERS OF THE GOVERNANCE
COMMITTEE TO KEEP THE BOARD INFORMED OF CURRENT BEST GOVERNANCE PRAC-
TICE; TO REVIEW CORPORATE GOVERNANCE TRENDS; TO UPDATE THE AUTHORITY'S
CORPORATE GOVERNANCE PRINCIPLES; TO ADVISE APPOINTING AUTHORITIES ON THE
SKILLS AND EXPERIENCE REQUIRED OF POTENTIAL BOARD MEMBERS; TO EXAMINE
ETHICAL AND CONFLICT OF INTEREST ISSUES; TO PERFORM BOARD SELF-EVALUA-
TIONS; TO INVESTIGATE TERM LIMITS, REAPPOINTMENTS AND BOARD RESPONSIBIL-
ITIES; TO DEVELOP BY-LAWS WHICH INCLUDE RULES AND PROCEDURES FOR CONDUCT
OF BOARD BUSINESS; AND TO MAKE RECOMMENDATIONS FOR NEW COMMISSIONERS.
D. THE BOARD OF COMMISSIONERS SHALL ESTABLISH A FINANCE COMMITTEE TO
BE COMPRISED OF NOT LESS THAN THREE BOARD MEMBERS, WHO SHALL CONSTITUTE
A MAJORITY ON THE COMMITTEE, AND WHO SHALL POSSESS THE NECESSARY SKILLS
TO UNDERSTAND THE DUTIES AND FUNCTIONS OF THE COMMITTEE. IT SHALL BE THE
RESPONSIBILITY OF THE MEMBERS OF THE FINANCE COMMITTEE TO OVERSEE AND
APPROVE THE DEBT THAT THE AUTHORITY OR SUBSIDIARY COMMISSIONS ISSUE.
3. THE AUTHORITY SHALL SUBMIT TO THE GOVERNORS OF NEW YORK AND NEW
JERSEY, THE TEMPORARY PRESIDENT OF THE SENATE AND THE SPEAKER OF THE
ASSEMBLY OF THE NEW YORK STATE LEGISLATURE, THE PRESIDENT AND MINORITY
S. 5878 3
LEADER OF THE SENATE AND THE SPEAKER AND MINORITY LEADER OF THE GENERAL
ASSEMBLY OF THE NEW JERSEY LEGISLATURE, THE NEW YORK STATE COMPTROLLER,
AND THE STATE TREASURER OF NEW JERSEY WITHIN NINETY DAYS AFTER THE END
OF ITS FISCAL YEAR, A COMPLETE AND DETAILED REPORT OR REPORTS SETTING
FORTH:
A. ITS OPERATIONS AND ACCOMPLISHMENTS;
B. ITS FINANCIAL REPORTS, INCLUDING (1) AUDITED FINANCIALS IN ACCORD-
ANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES (GAAP) AND THE
ACCOUNTING STANDARDS ISSUED BY THE GOVERNMENTAL ACCOUNTING STANDARDS
BOARD (GASB), (2) GRANT AND SUBSIDY PROGRAMS, (3) OPERATING AND FINAN-
CIAL RISKS, (4) CURRENT RATINGS AND NOTICE OF CHANGES, AND (5) LONG-TERM
LIABILITIES, INCLUDING LEASES AND EMPLOYEE BENEFIT PLANS;
C. ITS MISSION STATEMENT;
D. 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;
E. BIOGRAPHICAL INFORMATION AND TITLE OF COMMISSIONERS AND SENIOR
MANAGEMENT, INCLUDING COMPENSATION AND BENEFITS PAID TO COMMISSIONERS IN
ANY AMOUNT AND TO SENIOR STAFF IN EXCESS OF ONE HUNDRED THOUSAND
DOLLARS;
F. THE PROJECTS UNDERTAKEN BY THE AUTHORITY DURING THE PAST YEAR;
G. A LISTING AND DESCRIPTION OF ALL REAL PROPERTY OF THE AUTHORITY
HAVING AN ESTIMATED FAIR MARKET VALUE EQUAL TO TEN PERCENT OR MORE OF
THE AUTHORITY'S TOTAL ASSETS OR TWO HUNDRED FIFTY THOUSAND DOLLARS,
WHICHEVER IS LESS, OR OF A SIGNIFICANT VALUE, AS DETERMINED BY THE
AUTHORITY BUDGET OFFICE, THAT THE AUTHORITY ACQUIRES OR DISPOSES OF
DURING SUCH PERIOD. THE REPORT SHALL CONTAIN THE PRICE RECEIVED OR PAID
BY THE AUTHORITY AND THE NAME OF THE PURCHASER OR SELLER FOR ALL SUCH
PROPERTY OF A SIGNIFICANT VALUE, AS DETERMINED BY THE AUTHORITY BUDGET
OFFICE, SOLD OR BOUGHT BY THE AUTHORITY DURING SUCH PERIOD;
H. ITS CODE OF ETHICS;
I. AN ASSESSMENT OF THE EFFECTIVENESS OF ITS INTERNAL CONTROL STRUC-
TURE AND PROCEDURES;
J. THE STATUTORY BASIS OF THE AUTHORITY;
K. A DESCRIPTION OF THE AUTHORITY AND ITS BOARD STRUCTURE, INCLUDING
(1) NAMES OF COMMITTEES AND COMMITTEE MEMBERS, (2) LISTS OF BOARD MEET-
INGS AND ATTENDANCE, (3) DESCRIPTIONS OF MAJOR AUTHORITY UNITS, AND
SUBSIDIARIES, AND (4) NUMBER OF EMPLOYEES;
L. ITS CHARTER AND BY-LAWS;
M. A LISTING OF MATERIAL CHANGES IN OPERATIONS AND PROGRAMS;
N. AT A MINIMUM A FOUR-YEAR FINANCIAL PLAN, INCLUDING (1) A CURRENT
AND PROJECTED CAPITAL BUDGET, AND (2) AN OPERATING BUDGET REPORT,
INCLUDING AN ACTUAL VERSUS ESTIMATED BUDGET, WITH AN ANALYSIS AND MEAS-
UREMENT OF FINANCIAL AND OPERATING PERFORMANCE;
O. ITS BOARD PERFORMANCE EVALUATIONS;
P. A DESCRIPTION OF THE TOTAL NUMBER OF ASSETS OR SERVICES OR BOTH
BOUGHT OR SOLD WITHOUT COMPETITIVE BIDDING, INCLUDING (1) THE NATURE OF
THOSE ASSETS AND SERVICES, (2) THE NAMES OF THE BUYERS OR LESSEES, AND
(3) WHERE THE CONTRACT PRICE OR FAIR MARKET VALUE EXCEEDS A VALUE DETER-
S. 5878 4
MINED BY THE AUTHORITY BUDGET OFFICE, AN ATTESTATION OF THE FAIR MARKET
VALUE BY THE CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER; AND
Q. A DESCRIPTION OF ANY PENDING LITIGATION IN WHICH THE AUTHORITY IS
INVOLVED AS A PARTY.
THE 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 INDEPENDENT AUDIT REPORT UNLESS SUCH INFORMA-
TION IS EXEMPT PURSUANT TO LAW.
S 3. Subdivision 2 of article XV-A of section 1 of chapter 154 of the
laws of 1921 constituting the Port of New York Authority, as added by
chapter 275 of the laws of 1992, is amended to read as follows:
2. As used in this act:
a. "Board" means the board of commissioners of the Port Authority of
New York and New Jersey.
b. "COMMITTEE" OR "COMMITTEES" MEANS THE AUDIT COMMITTEE, THE GOVER-
NANCE COMMITTEE, AND THE FINANCE COMMITTEE REQUIRED TO BE ESTABLISHED BY
THE BOARD OF COMMISSIONERS IN ACCORDANCE WITH PARAGRAPHS B, C, AND D OF
SUBDIVISION 2 OF SECTION ONE-A OF THIS ACT.
C. "EXECUTIVE SESSION" MEANS THAT PORTION OF A MEETING NOT OPEN TO THE
GENERAL PUBLIC.
D. "Meeting" means any gathering, whether corporeal or by means of
communication equipment, which is attended by, or open to, the board,
held with the intent, on the part of the board members present, to
discuss or act as a unit upon the specific public business of the
authority. "Meeting" does not mean a gathering (1) attended by less than
an effective majority of the board, or (2) attended by or open to all
the members of three or more similar public bodies at a convention or
similar gathering.
[c.] E. "Public business" mean matters which relate in any way,
directly or indirectly, to the performance of the functions of the port
authority of New York and New Jersey or the conduct of its business.
S 4. Subdivision 3 of article XV-A of section 1 of chapter 154 of the
laws of 1921 constituting the Port of New York Authority, as added by
chapter 275 of the laws of 1992, is amended to read as follows:
3. [The board shall adopt and promulgate appropriate rules and regu-
lations concerning the right of the public to be present at meetings of
the authority. The board may incorporate in its rules and regulations
conditions under which it may exclude the public from a meeting or a
portion thereof.
Any rules or regulations adopted hereunder shall become a part of the
minutes of the port authority of New York and New Jersey and shall be
subject to the approval of the governor of New Jersey and the governor
of New York.] EVERY MEETING OF THE BOARD, INCLUDING MEETINGS OF COMMIT-
TEES, SHALL BE OPEN TO THE GENERAL PUBLIC, EXCEPT THAT AN EXECUTIVE
SESSION OF SUCH BODY MAY BE CALLED AND BUSINESS TRANSACTED THEREAT IN
ACCORDANCE WITH SUBDIVISION FOUR OF SECTION ONE-B OF THIS ACT. THE BOARD
SHALL MAKE OR CAUSE TO BE MADE ALL REASONABLE EFFORTS TO ENSURE THAT
MEETINGS ARE HELD IN FACILITIES THAT PERMIT BARRIER-FREE PHYSICAL ACCESS
TO THE PHYSICALLY HANDICAPPED. IF AND WHEN THE BOARD USES VIDEO CONFER-
ENCING OR SIMILAR TECHNOLOGY TO CONDUCT ITS MEETING, IT SHALL PROVIDE AN
OPPORTUNITY FOR THE PUBLIC TO ATTEND, LISTEN, AND OBSERVE AT ANY SITE AT
WHICH A MEMBER PARTICIPATES.
S 5. Chapter 154 of the laws of 1921 constituting the Port of New York
Authority is amended by adding four new sections 1-b, 1-c, 1-d and 1-e
to read as follows:
S. 5878 5
S 1-B. 1. AS USED IN THIS SECTION, "COMMITTEE" OR "COMMITTEES" MEANS
THE AUDIT COMMITTEE, THE GOVERNANCE COMMITTEE, AND THE FINANCE COMMITTEE
REQUIRED TO BE ESTABLISHED BY THE BOARD OF COMMISSIONERS IN ACCORDANCE
WITH PARAGRAPHS B, C, AND D OF SUBDIVISION 2 OF SECTION ONE-A OF THIS
ACT.
2. AT EVERY MEETING OF THE BOARD AND AT EVERY MEETING OF EACH COMMIT-
TEE, THE PUBLIC SHALL BE ALLOTTED A PERIOD OF TIME, NOT LESS THAN THIRTY
MINUTES, TO SPEAK ON ANY TOPIC ON THE AGENDA. THE PUBLIC SPEAKING PERIOD
SHALL TAKE PLACE BEFORE ANY ACTION BY THE BOARD OR THE COMMITTEE THAT IS
MEETING.
3. THE AUTHORITY SHALL MAKE AVAILABLE TO THE PUBLIC MEETING AGENDAS
AND PUBLIC DOCUMENTS PROVIDED TO THE BOARD OF COMMISSIONERS AT LEAST
FIVE BUSINESS DAYS BEFORE EVERY MEETING OF THE BOARD AND EVERY MEETING
OF EACH COMMITTEE. PUBLIC NOTICE OF THE TIME AND PLACE OF A MEETING
SHALL BE GIVEN TO THE NEWS MEDIA, SHALL BE CONSPICUOUSLY POSTED IN ONE
OR MORE DESIGNATED AREAS AT LEAST SEVENTY-TWO HOURS BEFORE SUCH MEETING
AND SHALL BE CONSPICUOUSLY POSTED VIA ITS OFFICIAL INTERNET WEB SITE AT
LEAST FIVE BUSINESS DAYS BEFORE THE MEETING.
THE PORT AUTHORITY SHALL MAKE AVAILABLE TO THE PUBLIC SUCH DOCUMENTS
IN AT LEAST THREE WAYS:
A. THE AGENDA AND PUBLIC DOCUMENTS PERTAINING TO THE BOARD OR COMMIT-
TEE MEETINGS SHALL BE AVAILABLE FOR PUBLIC INSPECTION AT AN OFFICE OF
THE AUTHORITY;
B. THE AGENDA AND PUBLIC DOCUMENTS PERTAINING TO THE BOARD OR COMMIT-
TEE MEETINGS SHALL BE MAILED TO MEMBERS OF THE PUBLIC ON A PUBLIC NOTICE
MAILING LIST THE AUTHORITY SHALL KEEP AND MAINTAIN; AND
C. THE AGENDA AND PUBLIC DOCUMENTS PERTAINING TO THE BOARD OR COMMIT-
TEE MEETINGS SHALL BE POSTED ON ITS OFFICIAL INTERNET WEB SITE.
4. UPON A MAJORITY VOTE OF ITS TOTAL MEMBERSHIP, TAKEN IN AN OPEN
MEETING PURSUANT TO A MOTION IDENTIFYING THE GENERAL AREA OR AREAS OF
THE SUBJECT OR SUBJECTS TO BE CONSIDERED, THE BOARD OR A COMMITTEE MAY
CONDUCT AN EXECUTIVE SESSION FOR THE BELOW ENUMERATED PURPOSES ONLY,
PROVIDED, HOWEVER, THAT NO ACTION BY FORMAL VOTE SHALL BE TAKEN TO
APPROPRIATE MONEYS AT AN EXECUTIVE SESSION:
A. MATTERS WHICH WILL IMPERIL THE PUBLIC SAFETY IF DISCLOSED;
B. ANY MATTER WHICH MAY DISCLOSE THE IDENTITY OF A LAW ENFORCEMENT
AGENT OR INFORMER;
C. INFORMATION RELATING TO CURRENT OR FUTURE INVESTIGATION OR PROSE-
CUTION OF A CRIMINAL OFFENSE WHICH WOULD IMPERIL EFFECTIVE LAW ENFORCE-
MENT IF DISCLOSED;
D. DISCUSSIONS REGARDING PROPOSED, PENDING OR CURRENT LITIGATION;
E. COLLECTIVE BARGAINING NEGOTIATIONS;
F. THE MEDICAL, FINANCIAL, CREDIT, OR EMPLOYMENT HISTORY OF A PARTIC-
ULAR PERSON OR CORPORATION, OR MATTERS LEADING TO THE APPOINTMENT,
EMPLOYMENT, PROMOTION, DEMOTION, DISCIPLINE, SUSPENSION, DISMISSAL, OR
REMOVAL OF A PARTICULAR PERSON OR CORPORATION;
G. THE PREPARATION, GRADING, OR ADMINISTRATION OF EXAMINATIONS; AND
H. THE PROPOSED ACQUISITION, SALE, OR LEASE OF REAL PROPERTY OR THE
PROPOSED ACQUISITION OF SECURITIES, OR SALE OR EXCHANGE OF SECURITIES
HELD BY THE AUTHORITY, BUT ONLY WHEN PUBLICITY WOULD SUBSTANTIALLY
AFFECT THE VALUE THEREOF.
ATTENDANCE AT AN EXECUTIVE SESSION SHALL BE PERMITTED TO ANY MEMBER OF
THE BOARD OR COMMITTEE, AS THE CASE MAY BE, AND ANY OTHER PERSON AUTHOR-
IZED BY THE BOARD OR COMMITTEE.
5. MINUTES SHALL BE TAKEN AT ALL OPEN MEETINGS OF THE AUTHORITY WHICH
SHALL CONSIST OF A RECORD OR SUMMARY OF ALL MOTIONS, PROPOSALS, RESOL-
S. 5878 6
UTIONS AND ANY OTHER MATTER FORMALLY VOTED UPON AND THE VOTE THEREON.
MINUTES SHALL BE TAKEN AT EXECUTIVE SESSIONS OF ANY ACTION THAT IS TAKEN
BY FORMAL VOTE WHICH SHALL CONSIST OF A RECORD OR SUMMARY OF THE FINAL
DETERMINATION OF SUCH ACTION, AND THE VOTE THEREON; PROVIDED, HOWEVER,
THAT SUCH SUMMARY NEED NOT INCLUDE ANY MATTER WHICH IS NOT REQUIRED TO
BE MADE PUBLIC BY EITHER NEW YORK'S FREEDOM OF INFORMATION LAW OR NEW
JERSEY'S OPEN PUBLIC RECORDS ACT. MINUTES OF MEETINGS SHALL BE AVAILABLE
TO THE PUBLIC WITHIN TWO WEEKS FROM THE DATE OF SUCH MEETING.
6. THE STATES OF NEW YORK AND NEW JERSEY CONSENT TO SUITS, ACTIONS, OR
PROCEEDINGS AS PROVIDED HEREIN AGAINST THE AUTHORITY AND TO APPEALS
THEREFROM AND REVIEWS THEREOF. ANY AGGRIEVED PERSON IN THE STATE OF NEW
YORK SHALL HAVE STANDING TO ENFORCE THE PROVISIONS OF THIS SECTION
AGAINST THE AUTHORITY BY THE COMMENCEMENT OF AN ACTION IN SUPREME COURT
FOR DECLARATORY JUDGMENT AND INJUNCTIVE RELIEF. IN ANY SUCH ACTION, THE
COURT SHALL HAVE THE POWER, IN ITS DISCRETION, UPON GOOD CAUSE SHOWN, TO
DECLARE ANY ACTION OR PART THEREOF TAKEN IN VIOLATION OF THIS SECTION
VOID IN WHOLE OR IN PART. AN UNINTENTIONAL FAILURE TO FULLY COMPLY WITH
THE NOTICE PROVISIONS REQUIRED BY THIS SECTION SHALL NOT ALONE BE
GROUNDS FOR INVALIDATING ANY ACTION TAKEN AT A MEETING COVERED BY THE
PROVISIONS OF THIS SECTION.
THE PROVISIONS OF THIS SECTION SHALL NOT AFFECT THE VALIDITY OF THE
AUTHORIZATION, ACQUISITION, EXECUTION, OR DISPOSITION OF A BOND ISSUE OR
NOTES. IN ANY PROCEEDING BROUGHT PURSUANT TO THIS SECTION, COSTS AND
REASONABLE ATTORNEY FEES MAY BE AWARDED BY THE COURT, IN ITS DISCRETION,
TO THE SUCCESSFUL PARTY. THE STATUTE OF LIMITATIONS WITH RESPECT TO AN
ACTION TAKEN AT EXECUTIVE SESSION SHALL COMMENCE TO RUN FROM THE DATE
THE MINUTES OF SUCH EXECUTIVE SESSION HAVE BEEN MADE AVAILABLE TO THE
PUBLIC.
S 1-C. 1. AS USED IN THIS SECTION:
A. "ADMINISTRATOR" MEANS THE OFFICER OR EMPLOYEE OF THE AUTHORITY WHO
SHALL BE APPOINTED BY ACT OF THE BOARD OF COMMISSIONERS TO BE RESPONSI-
BLE FOR THE DISPOSITION OF PROPERTY.
B. "AUTHORITY" OR "PORT AUTHORITY" MEANS THE PORT AUTHORITY OF NEW
YORK AND NEW JERSEY.
C. "DISPOSE" OR "DISPOSAL" MEANS TRANSFER OF TITLE OR ANY OTHER INTER-
EST IN PERSONAL OR REAL PROPERTY.
D. "PROPERTY" MEANS PERSONAL PROPERTY, REAL ESTATE, OR BOTH, OR ANY
INTEREST IN SUCH PROPERTY AND SHALL INCLUDE, WITHOUT LIMITATION, ANY
INTEREST IN REAL ESTATE IN WHICH THE AUTHORITY HOLDS THE FEE SIMPLE
INTEREST, TO THE EXTENT THAT SUCH INTEREST MAY BE CONVEYED TO ANOTHER
PERSON FOR ANY PURPOSE.
2. THE AUTHORITY SHALL NOT IN ANY WAY DISPOSE OF ANY PROPERTY OF THE
AUTHORITY UNLESS SUCH PROPERTY HAS BEEN LISTED ON A REPORT PREPARED IN
ACCORDANCE WITH SUBDIVISION FOUR OF THIS SECTION, PROVIDED, HOWEVER,
THAT PERSONAL PROPERTY WITH A FAIR MARKET VALUE OF LESS THAN FIFTEEN
THOUSAND DOLLARS MAY BE SOLD AT AUCTION WITHOUT HAVING BEEN LISTED ON
SUCH A REPORT IF SUCH ITEM OF PERSONAL PROPERTY IS REPORTED IN THE NEXT
REPORT MADE PURSUANT TO SUBDIVISION FOUR OF THIS SECTION.
3. THE AUTHORITY SHALL:
A. MAINTAIN ADEQUATE INVENTORY CONTROLS AND ACCOUNTABILITY SYSTEMS FOR
ALL PROPERTY UNDER ITS CONTROL;
B. CONTINUOUSLY SURVEY SUCH PROPERTY TO DETERMINE WHICH PROPERTY SHALL
BE DISPOSED OF;
C. PRODUCE A WRITTEN REPORT OF SUCH PROPERTY IN ACCORDANCE WITH SUBDI-
VISION FOUR OF THIS SECTION;
D. PERFORM THE CARE AND HANDLING OF SUCH PROPERTY; AND
S. 5878 7
E. TRANSFER OR DISPOSE OF SUCH PROPERTY AS PROMPTLY AS POSSIBLE.
4. THE AUTHORITY SHALL PUBLISH, NOT LESS FREQUENTLY THAN QUARTERLY, A
REPORT LISTING ALL PROPERTY OF THE AUTHORITY THAT THE AUTHORITY INTENDS
TO DISPOSE OF. SUCH REPORT SHALL CONSIST OF A LIST OF ALL SUCH PROPERTY
HELD BY THE AUTHORITY AT THE END OF THE PERIOD COVERED BY THE REPORT,
AND ALL SUCH PROPERTY DISPOSED 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 BY THE
AUTHORITY AND THE NAME OF THE PURCHASER FOR ALL SUCH PROPERTY SOLD BY
THE AUTHORITY DURING SUCH PERIOD. LOW VALUE PERSONAL PROPERTY MAY BE
LISTED IN SUITABLE GROUPS OR LOTS. SUCH REPORT SHALL CONTAIN OR BE
ACCOMPANIED BY A LISTING AND DESCRIPTION OF ANY NEGOTIATED DISPOSALS OF
PROPERTY HAVING AN ESTIMATED FAIR MARKET VALUE OF MORE THAN FIFTEEN
THOUSAND DOLLARS, IN THE CASE OF REAL PROPERTY, OR FIVE THOUSAND
DOLLARS, IN THE CASE OF ANY OTHER PROPERTY, OTHER THAN DISPOSALS FOR
WHICH AN EXPLANATORY STATEMENT HAS BEEN TRANSMITTED UNDER THIS SECTION.
THE AUTHORITY SHALL DELIVER COPIES OF SUCH REPORT TO THE GOVERNORS OF
NEW YORK AND NEW JERSEY, THE TEMPORARY PRESIDENT OF THE SENATE AND THE
SPEAKER OF THE ASSEMBLY OF THE NEW YORK STATE LEGISLATURE, THE PRESIDENT
AND MINORITY LEADER OF THE SENATE AND THE SPEAKER AND MINORITY LEADER OF
THE GENERAL ASSEMBLY OF THE NEW JERSEY LEGISLATURE, THE INDEPENDENT
BUDGET OFFICER, AND WHOEVER SHALL HAVE REQUESTED COPIES OF SUCH REPORTS.
5. EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, THE ADMINISTRATOR OF
THE AUTHORITY SHALL HAVE SUPERVISION AND DIRECTION OVER THE DISPOSITION
OF PROPERTY OF SUCH AUTHORITY. SUCH PROPERTY SHALL BE DISPOSED OF TO
SUCH EXTENT, AT SUCH TIME, IN SUCH AREAS, AT SUCH TERMS AND CONDITIONS,
AND IN SUCH MANNER, AS MAY BE PRESCRIBED IN OR PURSUANT TO THIS SECTION.
6. THE AUTHORITY MAY DISPOSE OF PROPERTY FOR NOT LESS THAN THE FAIR
MARKET VALUE OF SUCH PROPERTY BY SALE, EXCHANGE, LEASE, PERMIT, OR
TRANSFER, FOR CASH, CREDIT, OR OTHER PROPERTY, WITH OR WITHOUT WARRANTY,
AND UPON SUCH OTHER TERMS AND CONDITIONS AS THE ADMINISTRATOR 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 NECES-
SARY OR PROPER TO DISPOSE OF SUCH PROPERTY UNDER THE PROVISIONS OF THIS
SECTION. PROVIDED, HOWEVER, THAT NO SALE OF REAL PROPERTY, ANY INTEREST
IN REAL PROPERTY, OR ANY OTHER PROPERTY WHICH BECAUSE OF ITS UNIQUE
NATURE IS NOT SUBJECT TO NORMAL MARKET PRICING SHALL BE MADE UNLESS AN
APPRAISAL OF THE VALUE OF SUCH PROPERTY HAS BEEN MADE AND INCLUDED IN
THE RECORD OF THE TRANSACTION.
7. A DEED, BILL OF SALE, LEASE, OR OTHER INSTRUMENT EXECUTED BY OR ON
BEHALF OF THE AUTHORITY PURPORTING TO TRANSFER TITLE OR ANY OTHER INTER-
EST IN PROPERTY OF THE AUTHORITY UNDER THIS SECTION SHALL BE CONCLUSIVE
EVIDENCE OF COMPLIANCE WITH THE PROVISIONS OF THIS SECTION INSOFAR AS
CONCERNS TITLE OR OTHER INTEREST OF ANY BONA FIDE GRANTEE OR TRANSFEREE
FOR VALUE AND WITHOUT NOTICE OF LACK OF SUCH COMPLIANCE.
8. A. ALL DISPOSALS OR CONTRACTS FOR DISPOSAL OF PROPERTY OF THE
AUTHORITY MADE OR AUTHORIZED BY THE ADMINISTRATOR SHALL BE MADE AFTER
PUBLICLY ADVERTISING FOR BIDS EXCEPT AS PROVIDED IN PARAGRAPH C OF THIS
SUBDIVISION.
B. WHENEVER PUBLIC ADVERTISING FOR BIDS IS REQUIRED UNDER THIS
SUBSECTION: (1) THE ADVERTISEMENT FOR BIDS SHALL BE MADE AT SUCH TIME
PREVIOUS TO THE DISPOSAL OR CONTRACT, THROUGH SUCH METHODS, AND ON SUCH
TERMS AND CONDITIONS AS SHALL PERMIT THAT FULL AND FREE COMPETITION
WHICH IS CONSISTENT WITH THE VALUE AND NATURE OF THE PROPERTY INVOLVED;
(2) ALL BIDS SHALL BE PUBLICLY DISCLOSED AT THE TIME AND PLACE STATED IN
THE ADVERTISEMENT; AND (3) THE AWARD SHALL BE MADE WITH REASONABLE
S. 5878 8
PROMPTNESS BY NOTICE TO THE RESPONSIBLE BIDDER WHOSE BID, CONFORMING TO
THE INVITATION FOR BIDS, WILL BE MOST ADVANTAGEOUS TO THE AUTHORITY,
PRICE AND OTHER FACTORS CONSIDERED; PROVIDED, THAT ALL BIDS MAY BE
REJECTED WHEN IT IS IN THE PUBLIC INTEREST TO DO SO.
C. DISPOSALS AND CONTRACTS FOR DISPOSAL MAY BE NEGOTIATED WITHOUT
REGARD TO PARAGRAPHS A AND B OF THIS SUBDIVISION BUT SUBJECT TO OBTAIN-
ING SUCH COMPETITION AS IS FEASIBLE UNDER THE CIRCUMSTANCES, IF:
(1) THE PERSONAL PROPERTY INVOLVED IS OF A NATURE AND QUANTITY WHICH,
IF DISPOSED OF UNDER PARAGRAPHS A AND B OF THIS SUBDIVISION, WOULD
ADVERSELY AFFECT THE STATE OR LOCAL MARKET FOR SUCH GOODS, AND THE ESTI-
MATED FAIR MARKET VALUE OF SUCH PROPERTY AND OTHER SATISFACTORY TERMS OF
DISPOSAL CAN BE OBTAINED BY NEGOTIATION;
(2) THE ESTIMATED FAIR MARKET VALUE OF THE PROPERTY INVOLVED DOES NOT
EXCEED FIFTEEN THOUSAND DOLLARS;
(3) BID PRICES AFTER ADVERTISING THEREFOR ARE NOT REASONABLE, AS TO
EITHER ALL OR SOME PART OF THE PROPERTY, OR HAVE NOT BEEN INDEPENDENTLY
ARRIVED AT IN OPEN COMPETITION;
(4) WITH RESPECT TO REAL PROPERTY ONLY, THE CHARACTER OR CONDITION OF
THE PROPERTY, THE NATURE OF THE INTEREST TO BE CONVEYED OR OTHER UNUSUAL
CIRCUMSTANCES MAKE IT IMPRACTICAL TO ADVERTISE PUBLICLY FOR COMPETITIVE
BIDS, AND THE FAIR MARKET VALUE OF THE PROPERTY AND OTHER SATISFACTORY
TERMS OF DISPOSAL CAN BE OBTAINED BY NEGOTIATION; OR
(5) THE DISPOSAL WILL BE TO THE STATE OF NEW YORK OR NEW JERSEY, ANY
MUNICIPALITY OR POLITICAL SUBDIVISIONS THEREOF, OR TAX-SUPPORTED AGEN-
CIES THEREIN, AND THE ESTIMATED FAIR MARKET VALUE OF THE PROPERTY AND
OTHER SATISFACTORY TERMS OF DISPOSAL ARE OBTAINED BY NEGOTIATION.
D. (1) AN EXPLANATORY STATEMENT SHALL BE PREPARED OF THE CIRCUMSTANCES
OF EACH DISPOSAL BY NEGOTIATION OF: (I) ANY PERSONAL PROPERTY WHICH HAS
AN ESTIMATED FAIR MARKET VALUE IN EXCESS OF FIFTEEN THOUSAND DOLLARS;
(II) 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 (III) THROUGH
(V) OF THIS SUBPARAGRAPH; (III) ANY REAL PROPERTY DISPOSED OF BY LEASE
FOR A TERM OF FIVE YEARS OR LESS, IF THE ESTIMATED FAIR ANNUAL RENT IS
IN EXCESS OF ONE HUNDRED THOUSAND DOLLARS FOR ANY OF SUCH YEARS; (IV)
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 (V) 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.
(2) EACH SUCH STATEMENT SHALL BE TRANSMITTED TO THE PERSONS ENTITLED
TO RECEIVE COPIES OF THE REPORT REQUIRED UNDER THIS SECTION NOT LESS
THAN NINETY DAYS IN ADVANCE OF SUCH DISPOSAL, AND A COPY THEREOF SHALL
BE PRESERVED IN THE FILES OF THE AUTHORITY MAKING SUCH DISPOSAL.
S 1-D. 1. THE AUTHORITY SHALL NOT:
A. ISSUE ANY BOND, NOTE, OR OTHER DEBT OBLIGATION, OR
B. INCLUDE IN ANY COVENANT, BOND DOCUMENT, OR ANY OTHER INSTRUMENT ANY
PROVISION HAVING THE EFFECT OF EXTENDING THE TERM OF ANY BOND, NOTE, OR
OTHER DEBT OBLIGATION OR PERMITTING THE REFUNDING OR REFINANCING OF ANY
DEBT OBLIGATION FOR A TERM LONGER THAN THE TERM OF SUCH DEBT OBLIGATION
IN EFFECT ON THE EFFECTIVE DATE OF THIS SECTION, UNLESS SUCH ISSUANCE,
INCURRENCE, EXTENSION, REFUNDING, OR REFINANCING IS PERMITTED BY SUCH
STATUTORY LIMIT. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, BONDS OR
NOTES MAY NOT BE SOLD IN A PRIVATE SALE BY THE AUTHORITY, UNLESS SUCH
SALE AND THE TERMS AND CONDITIONS THEREOF HAVE BEEN APPROVED IN WRITING
S. 5878 9
BY THE COMPTROLLER OF THE STATE OF NEW YORK AND THE STATE TREASURER OF
NEW JERSEY.
S 1-E. 1. AS USED IN THIS SECTION:
A. "AUTHORITY" OR "PORT AUTHORITY" MEANS THE PORT AUTHORITY OF NEW
YORK AND NEW JERSEY.
B. "CENTRAL PROCUREMENT OFFICER" OR "PROCUREMENT OFFICER" MEANS THE
INDEPENDENT PORT AUTHORITY CENTRAL PROCUREMENT OFFICER APPOINTED IN
ACCORDANCE WITH THIS SECTION.
C. "CONTRACTOR" MEANS ANY BIDDER, OFFEROR, OR PROPOSER FOR A PROCURE-
MENT CONTRACT AND SHALL INCLUDE ANY SUBCONTRACTOR OR OTHER REPRESEN-
TATIVE OR PERSON WITH A FINANCIAL INTEREST ON BEHALF OF SUCH PERSON.
D. "IMPROPER LOBBYING INFLUENCE" MEANS ANY ATTEMPT TO INFLUENCE ANY
DETERMINATION OF AN EMPLOYEE OR REPRESENTATIVE OF THE AUTHORITY, IN
ORDER TO ACHIEVE PREFERENTIAL, UNEQUAL OR FAVORED CONSIDERATION OF A
PROPOSAL SUBMITTED FOR A PROCUREMENT CONTRACT AWARD, BASED ON CONSIDER-
ATIONS OTHER THAN THE MERITS OF THE PROPOSAL.
E. "LOBBYING" MEANS ANY ATTEMPT TO INFLUENCE ANY ACTION BY, OR COMMU-
NICATION DIRECTLY OR SOLICITING OTHERS TO COMMUNICATE WITH, ANY OFFICER,
EMPLOYEE, AGENT, CONSULTANT, OR ANY OTHER PERSON HAVING ANY POWER OR
AUTHORITY RELATED TO THE PROCUREMENT OF GOODS OR SERVICES IN SUPPORT,
CONSTRUCTION, PURCHASE, SALE OR LEASE OF REAL PROPERTY; THE ACQUISITION
OR GRANTING OF ANY OTHER INTEREST IN REAL PROPERTY; OR AUTHORITY FUNC-
TIONS OR OPERATIONS.
F. "PENDENCY OF A PROCUREMENT CONTRACT AWARD" MEANS THE PROCESSING
PERIOD FOR LETTING A PROCUREMENT CONTRACT, COMMENCING WITH THE EARLIEST
PUBLISHED WRITTEN NOTICE, ADVERTISEMENT OR SOLICITATION OF EXPRESSIONS
OF INTEREST OR PROPOSALS, AND ENDING WITH THE AUTHORITY'S FINAL CONTRACT
APPROVAL.
G. "PROCUREMENT CONTRACT" MEANS A WRITTEN CONTRACT LET BY THE AUTHORI-
TY FOR THE ACQUISITION OF GOODS OR SERVICES IN SUPPORT, CONSTRUCTION,
PURCHASE, SALE OR LEASE OF REAL PROPERTY; THE ACQUISITION OR GRANTING OF
OTHER INTEREST IN REAL PROPERTY OR OF AUTHORITY FUNCTIONS OR OPERATIONS.
H. "PROPOSAL" MEANS ANY PROPOSAL, QUOTATION, OFFER OR RESPONSE TO THE
AUTHORITY'S COMPETITIVE SOLICITATION OF SUBMISSIONS RELATING TO AN AWARD
OF A PROCUREMENT CONTRACT OR TO ANY UNSOLICITED PROPOSAL, QUOTATION,
OFFER OR SUBMISSION OF ANY POTENTIAL PROCUREMENT CONTRACT.
2. FOR PURPOSES OF THIS SECTION, "LOBBYING" SHALL NOT INCLUDE:
A. NONPROFIT MAKING AGENCIES FOR THE BLIND, AND QUALIFIED CHARITABLE
NONPROFIT AGENCIES FOR OTHER SEVERELY DISABLED PERSONS;
B. PARTICIPANTS, INCLUDING THOSE APPEARING ON BEHALF OF A CLIENT, IN A
PUBLICLY NOTICED CONFERENCE PURSUANT TO A REQUEST FOR BIDS OR PROPOSALS;
C. PERSONS WHO HAVE BEEN TENTATIVELY AWARDED A CONTRACT OR REPRESENT
PERSONS WHO HAVE BEEN TENTATIVELY AWARDED A CONTRACT AND ARE ENGAGED IN
COMMUNICATIONS WITH THE AUTHORITY SOLELY FOR THE PURPOSE OF NEGOTIATING
THE TERMS OF THE CONTRACT AFTER BEING NOTIFIED OF SUCH AWARD;
D. PERSONS OR THE REPRESENTATIVES OF PERSONS WHO:
(1) ARE A PARTY TO A PROTEST, APPEAL, OR OTHER PROCEEDING (INCLUDING
THE APPARENT SUCCESSFUL BIDDER OR CONTRACTOR AND HIS OR HER REPRESEN-
TATIVE); OR
(2) REQUEST A REVIEW OF A PROCUREMENT DECISION;
E. THE SUBMISSION OF A BID OR PROPOSAL (WHETHER SUBMITTED ORALLY OR IN
WRITING) IN RESPONSE TO A REQUEST FOR BIDS OR PROPOSALS AS LONG AS THAT
PERSON IS AN OFFICIAL CONTACT ON THE PROPOSAL;
F. PROSPECTIVE BIDDERS OR PROPOSERS OR THEIR REPRESENTATIVES SUBMIT-
TING QUESTIONS TO A DESIGNATED AGENCY OR MUNICIPAL CONTACT SET FORTH IN
A REQUEST FOR BIDS OR PROPOSALS; AND
S. 5878 10
G. OFFICERS AND EMPLOYEES OF STATEWIDE ELECTED OFFICIALS INCLUDING
INDIVIDUALS WHO ACT AS PAID OR UNPAID ADVISORS OR CONSULTANTS TO STATE-
WIDE ELECTED OFFICIALS, EXCEPT MEMBERS OF AN ADVISORY COMMISSION, A
BOARD, OR AN AUTHORITY. FOR PURPOSES OF THIS PARAGRAPH, "AUTHORITY"
MEANS A PUBLIC AUTHORITY, A STATE AUTHORITY, OR A PUBLIC BENEFIT CORPO-
RATION CREATED BY OR EXISTING UNDER ANY LAW OF NEW YORK OR NEW JERSEY.
3. THE BOARD OF COMMISSIONERS, BY MAJORITY VOTE, SHALL APPOINT AN
INDEPENDENT CENTRAL PROCUREMENT OFFICER. THE CENTRAL PROCUREMENT OFFICER
SHALL WORK WITHIN THE CENTRAL PROCUREMENT OFFICE AND SHALL HAVE PRIMARY
RESPONSIBILITY FOR THE PREVENTION OF IMPROPER LOBBYING INFLUENCE IN
PROCUREMENT CONTRACTS. THE CENTRAL PROCUREMENT OFFICER IS AUTHORIZED TO
ADOPT OTHER PROCEDURAL CONTROLS OR RULES IN ADDITION TO THOSE ESTAB-
LISHED IN THIS SECTION IN CONSULTATION WITH THE CHAIRMAN OF THE AUTHORI-
TY. THE SALARY, STAFF AND OFFICE SPACE ALLOTTED TO THE CENTRAL PROCURE-
MENT OFFICER SHALL BE ESTABLISHED BY THE BOARD OF COMMISSIONERS, AND
SHALL BE CONSISTENT WITH THE TERMS ESTABLISHED FOR THE INSPECTOR GENERAL
AND INDEPENDENT BUDGET OFFICER. THE CENTRAL PROCUREMENT OFFICER SHALL
SERVE FOR A TERM OF FIVE YEARS.
THE CENTRAL PROCUREMENT OFFICER MAY BE REMOVED FROM OFFICE FOR CAUSE
BY THE BOARD OF COMMISSIONERS, AFTER A PUBLIC HEARING.
4. A. ALL PROPOSALS FOR PROCUREMENT CONTRACTS MUST INCLUDE THE NAME,
ADDRESS, TELEPHONE NUMBER, PLACE OF PRINCIPAL EMPLOYMENT, AND OCCUPATION
OF ALL PERSONS WHO WILL CONTACT THE AUTHORITY ON BEHALF OF THE CONTRAC-
TOR. THESE PERSON SHALL BE AUTHORIZED TO CONTACT THE AUTHORITY ON BEHALF
OF THE CONTRACTOR.
B. THE CENTRAL PROCUREMENT OFFICER SHALL REQUIRE THAT ALL REPRESEN-
TATIVES OF THE AUTHORITY WHO CONTACT CONTRACTORS OR THEIR REPRESEN-
TATIVES WITH REGARD TO A PROPOSAL, OR ARE CONTACTED BY CONTRACTORS OR
THEIR REPRESENTATIVES WITH REGARD TO A PROPOSAL, MUST REPORT SUCH
CONTACT TO THE CENTRAL PROCUREMENT OFFICER, INCLUDING THE NAME, DATE,
TIME, AND CONTENT OF THE CALL.
THE CENTRAL PROCUREMENT OFFICER SHALL CREATE A LISTING OF ALL PERSONS
WHO CONTACT ANY REPRESENTATIVE OF THE AUTHORITY WITH REGARD TO A
PROPOSAL OR PROCUREMENT CONTRACT AND A LISTING OF ALL PERSONS WHO WERE
CONTACTED BY ANY REPRESENTATIVE OF THE AUTHORITY WITH REGARD TO A
PROCUREMENT CONTRACT. SUCH REPORTS MUST INCLUDE THE NAME OF THE PERSON
WHO CONTACTED THE AUTHORITY, THE PERSON WHOM THE CONTACTOR IS REPRESENT-
ING, AND THE DATE AND TIME OF THE CONTACT, INCLUDING A BRIEF DESCRIPTION
OF THE CONTENT OF THE CALL.
C. IF ANY PERSON CONTACTS ANY REPRESENTATIVE OF THE AUTHORITY AND HIS
OR HER NAME IS NOT INCLUDED ON THE PROPOSAL AS REQUIRED IN THIS SECTION,
IT SHALL BE CONSIDERED IMPROPER LOBBYING INFLUENCE. THE CENTRAL PROCURE-
MENT OFFICER SHALL REPORT SUCH VIOLATION TO THE INSPECTOR GENERAL IMME-
DIATELY. ADDITIONALLY, NO STATE OFFICER OR EMPLOYEE SHALL ENGAGE IN
LOBBYING OR LOBBYING ACTIVITIES AS PROVIDED FOR IN THIS CHAPTER. SUCH
ACTION SHALL BE IMPROPER LOBBYING INFLUENCE.
D. DURING THE PENDENCY OF THE PROCUREMENT CONTRACT AWARD THERE SHALL
BE NO CONTACT BETWEEN A CONTRACTOR OR HIS OR HER REPRESENTATIVE AND THE
AUTHORITY EXCEPT FOR INFORMATIONAL OR TECHNICAL INFORMATION. GUIDELINES
FOR SUCH PERMITTED CONTACT SHALL BE ESTABLISHED BY THE INSPECTOR GENER-
AL. ALL OTHER CONTACT DURING THIS PERIOD SHALL CONSTITUTE IMPROPER
LOBBYING INFLUENCE. COMMUNICATION WITH THE AUTHORITY BY PERSONS OR
CONTRACTORS WHO HAVE BEEN TENTATIVELY AWARDED A CONTRACT OR REPRESENT
PERSONS WHO HAVE BEEN TENTATIVELY AWARDED A CONTRACT SOLELY FOR THE
PURPOSE OF NEGOTIATING THE TERMS OF THE CONTRACT AFTER BEING NOTIFIED OF
S. 5878 11
SUCH AWARD IS NOT PROHIBITED. SUCH CONTRACT MUST BE PROCESSED IN ACCORD-
ANCE WITH THE PROVISIONS OF THIS SUBDIVISION.
E. THE CENTRAL PROCUREMENT OFFICER UPON BEING NOTIFIED OF OR DISCOVER-
ING ATTEMPTED IMPROPER LOBBYING INFLUENCE SHALL IMMEDIATELY INVESTIGATE
SUCH ALLEGATION AND SHALL GIVE THE CONTRACTOR AN OPPORTUNITY TO BE HEARD
IN RESPONSE TO SUCH ALLEGATION. THE CENTRAL PROCUREMENT OFFICER OR ANY
REPRESENTATIVE OF THE AUTHORITY SHALL REPORT ANY ALLEGATIONS OF IMPROPER
LOBBYING INFLUENCE OR ATTEMPTED IMPROPER LOBBYING INFLUENCE IMMEDIATELY
TO THE INSPECTOR GENERAL AND THE CHAIRMAN OF THE AUTHORITY. IF IMPROPER
LOBBYING INFLUENCE OR ATTEMPTED IMPROPER LOBBYING INFLUENCE IS FOUND TO
HAVE OCCURRED, THEN THE AUTHORITY MAY IMPOSE SUCH SANCTION AS IT SHALL
DEEM APPROPRIATE, INCLUDING BUT NOT LIMITED TO THE ELIMINATION OF THE
PROPOSAL FROM CONSIDERATION. ANY DETERMINATION MADE BY THE AUTHORITY
SHALL BE REPORTED TO THE INSPECTOR GENERAL.
5. ALL RECORDS AND DOCUMENTS REQUIRED TO BE RETAINED BY THE AUTHORITY
IN THIS SECTION SHALL BE AVAILABLE FOR REVIEW BY THE PUBLIC.
6. THE CENTRAL PROCUREMENT OFFICER SHALL SUBMIT AN ANNUAL REPORT TO
THE INSPECTOR GENERAL BY JANUARY FIRST THAT REPORTS ON THE VARIOUS
PROCUREMENT CONTRACTS ENTERED INTO BY THE AUTHORITY, A LIST OF THE VARI-
OUS CONTRACTORS AND THEIR REPRESENTATIVES THAT CONTACTED THE AUTHORITY
WITH REGARD TO PROCUREMENT CONTRACTS, THE INSTANCES OF ANY ATTEMPTED OR
FOUND CASES OF IMPROPER LOBBYING INFLUENCE AND OTHER RELATED MATERIAL
AND INFORMATION THE CENTRAL PROCUREMENT OFFICER FINDS RELEVANT.
7. THE AUTHORITY, PRIOR TO MAKING AN AWARD OF A PROCUREMENT CONTRACT,
SHALL MAKE A DETERMINATION OF RESPONSIBILITY OF THE PROPOSED AWARDEE.
THE AUTHORITY SHALL ENSURE THAT EACH PROPOSAL FOR PROCUREMENT CONTRACTS
REQUIRES CONTRACTORS TO DISCLOSE FINDINGS OF NON-RESPONSIBILITY MADE
WITHIN THE PREVIOUS FIVE YEARS BY ANY AUTHORITY WHERE SUCH PRIOR FINDING
OF NON-RESPONSIBILITY WAS DUE TO INTENTIONAL PROVISION OF FALSE OR
INCOMPLETE INFORMATION TO AN AUTHORITY. IN MAKING A DETERMINATION OF
RESPONSIBILITY, THE AUTHORITY SHALL TAKE INTO ACCOUNT ANY SUCH PRIOR
FINDING AND SHALL NOT AWARD A CONTRACT TO SUCH CONTRACTOR. THE FAILURE
OF THE CONTRACTOR TO TIMELY DISCLOSE ACCURATE AND COMPLETE INFORMATION
OR TO OTHERWISE COOPERATE WITH THE AUTHORITY SHALL BE CONSIDERED BY THE
AUTHORITY IN ITS DETERMINATION OF THE RESPONSIBILITY OF SUCH CONTRACTOR.
8. EVERY PROCUREMENT CONTRACT SHALL CONTAIN A CERTIFICATION BY THE
AWARDEE THAT ALL INFORMATION PROVIDED TO THE AUTHORITY IS COMPLETE,
TRUE, AND ACCURATE AND SHALL CONTAIN A PROVISION AUTHORIZING THE AUTHOR-
ITY TO TERMINATE SUCH PROCUREMENT CONTRACT IN THE EVENT SUCH CERTIF-
ICATION IS FOUND TO BE INTENTIONALLY FALSE OR INTENTIONALLY INCOMPLETE.
9. ANY MEMBER, OFFICER, EMPLOYEE, OR REPRESENTATIVE OF THE AUTHORITY
WHO FAILS TO COMPLY WITH THIS SECTION SHALL BE SUBJECT TO APPROPRIATE
DISCIPLINARY ACTION BY THE AUTHORITY AND WHEN APPROPRIATE, DISCIPLINARY
ACTION SHALL BE TAKEN BY THE INSPECTOR GENERAL.
10. ANY PERSON OR ORGANIZATION THAT, WITH RESPECT TO ANY PROCUREMENT
OR WITH RESPECT TO PROPOSALS SUBMITTED TO THE AUTHORITY, ENGAGES IN
LOBBYING AND ANY PERSON OR ORGANIZATION THAT RETAINS, EMPLOYS, OR DESIG-
NATES ANY PERSON OR ORGANIZATION TO CARRY ON LOBBYING ACTIVITIES ON
BEHALF OF SUCH PERSON OR ORGANIZATION SHALL BE SUBJECT TO THE LOBBYING
REGISTRATION LAWS OF NEW YORK AND NEW JERSEY.
11. EVERY PERSON OR ORGANIZATION SUBJECT TO THE PROVISIONS OF NEW YORK
AND NEW JERSEY'S LOBBYING LAWS OR THIS SECTION AS A LOBBYIST OR CLIENT
BECAUSE OF ACTS RELATING TO PROCUREMENTS OR PROPOSALS TO THE AUTHORITY
SHALL FILE A COPY OF EACH DOCUMENT REQUIRED TO BE FILED UNDER THIS
SECTION WITH THE AUTHORITY.
S. 5878 12
12. THE CENTRAL PROCUREMENT OFFICE SHALL RECEIVE AND FILE DOCUMENTS
REQUIRED TO BE FILED UNDER THIS SECTION. THE AUTHORITY SHALL CATALOGUE
SUCH FILINGS BY THE NAME OF THE LOBBYIST, THE NAME OF THE CLIENT, AND BY
THE CONTRACT WHOM THE LOBBYIST HAS ATTEMPTED TO INFLUENCE ACTION ON
BEHALF OF THE CLIENT. THE AUTHORITY SHALL MAKE INFORMATION FURNISHED BY
LOBBYISTS AND CLIENTS AVAILABLE TO THE PUBLIC FOR INSPECTION AND COPYING
IN ELECTRONIC AND PAPER FORMATS. ACCESS TO SUCH INFORMATION SHALL ALSO
BE MADE AVAILABLE FOR REMOTE COMPUTER USERS THROUGH THE INTERNET
NETWORK.
13. NO CLIENT SHALL RETAIN OR EMPLOY ANY LOBBYIST FOR COMPENSATION,
THE RATE OR AMOUNT OF WHICH COMPENSATION IN WHOLE OR PART IS CONTINGENT
OR DEPENDENT UPON THE ACCEPTANCE OF OR DECISION REGARDING ANY PROPOSAL
OR PROCUREMENT CONTRACT BY THE AUTHORITY. THE METHODOLOGY BY WHICH
COMPENSATION IS DETERMINED MUST BE INCLUDED IN THE REPORTS REQUIRED.
S 6. This act shall take effect upon the enactment into law by the
state of New Jersey of legislation having an identical effect with this
act, but if the state of New Jersey shall have already enacted such
legislation, this act shall take effect immediately; provided that the
board of commissioners of the port authority of New York and New Jersey
shall notify the legislative bill drafting commission upon the occur-
rence of the enactment of the legislation provided for in sections two,
three, four and five of this act in order that the commission may main-
tain an accurate and timely effective data base of the official text of
the laws of the state of New York in furtherance of effectuating the
provisions of section 44 of the legislative law and section 70-b of the
public officers law.
