senate Bill S4168

2013-2014 Legislative Session

Creates the Sea Gate water and sewer authority and the Sea Gate police department

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Archive: Last Bill Status - STRICKEN


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Mar 10, 2014 recommit, enacting clause stricken
Jan 08, 2014 referred to corporations, authorities and commissions
Mar 12, 2013 referred to corporations, authorities and commissions

S4168 - Bill Details

Current Committee:
Law Section:
Public Authorities Law
Laws Affected:
Add Art 5 Title 5-A ยงยง1114 - 1114-x, Pub Auth L
Versions Introduced in 2011-2012 Legislative Session:
A5020

S4168 - Bill Texts

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Creates the Sea Gate water and sewer authority and the Sea gate police department.

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BILL NUMBER:S4168

TITLE OF BILL: An act to amend the public authorities law, in
relation to creating the Sea Gate water and sewer authority; and in
relation to creating the Sea Gate police department

PURPOSE OR GENERAL IDEA OF BILL: Requires the creation of the Sea Gate
Water and Sewer Authority. The PBC would collect water and sewer fees
to offset yearly operating expenses and repay bond and loan amounts.
Requires the establishment of the Sea Gate Police Department in the
Sea Gate community of Brooklyn. This new department would perform all
the duties of the existing police department and provide additional
revenue to the PBC to offset yearly operating expenses.

SUMMARY OF SPECIFIC PROVISIONS: Section 1. Article 5 of the public
authorities law is amended by adding a new title to 5-A to read as
follows:

Section 1114. Short Title
1114-a. Definitions.
1114-b. Sea Gate water and sewer district.
1114-c. Sea Gate water and sewer authority.
1114-d. Powers of the Authority.
1114-e. Advances on behalf of the authority; transfer of property to
authority; acquisition of property by Sea Gate community for
authority.
1114-f. Governmental capacity of the authority and municipalities.
1114-g Transfer of Officers and employees.
1114-h. Bonds of authority.
1114-i. Remedies of bondholders.
1114-j. State and Sea Gate community not liable on authority bonds.
1114-k. Moneys of the authority.
1114-1. Bonds legal investments for fiduciaries.
1114-m Agreement of the states.
1114-n. Exemption from taxes, assessments and certain fees.
1114-o. Actions against authority.
1114-p. Contracts.
1114-q. Interest in contracts prohibition.
1114-r. Audit and annual report. 1114-s. Limited liability.
1114-t. Environmental applications, proceedings, approvals and
permits.
1114-u. Sea Gate Community may levy tax within district.
1114-v. Authority and water board to take affirmative action.
1114-w. Separability.
1114-x Effect of inconsistent provisions.

JUSTIFICATION: A public-benefit corporation is a public corporation
chartered by a state designed to perform some public benefit. A public
authority is a type of public-benefit corporation that takes on a more
bureaucratic role, such as the maintenance of public infrastructure,
that often has broad powers to regulate or maintain public property.

The new PBC entity would allow for the creation of a new budget and
the ability to issue bonds and/or a capital budget for the community
projects. Community projects such as the Water System Renovation and


Sewer System Renovation would deem necessary the creation of the
enforcement body to be known as the Sea Gate Police Department.

PRIOR LEGISLATIVE HISTORY: A5020

FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: The new PBC
entity would project estimated costs of five million dollars per year
for operating expenses and an estimated fifty to seventy million
dollar budget over the course of five-to seven years for the Water and
Sewer projects.

EFFECTIVE DATE: This act shall take effect immediately.

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

                                  4168

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                             March 12, 2013
                               ___________

Introduced  by  Sen.  SAVINO -- read twice and ordered printed, and when
  printed to be committed to the Committee on Corporations,  Authorities
  and Commissions

AN  ACT to amend the public authorities law, in relation to creating the
  Sea Gate water and sewer authority; and in relation  to  creating  the
  Sea Gate police department

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

  Section 1. Article 5 of the  public  authorities  law  is  amended  by
adding a new title 5-A to read as follows:
                                TITLE 5-A
                   SEA GATE WATER AND SEWER AUTHORITY
SECTION 1114.   SHORT TITLE.
        1114-A. DEFINITIONS.
        1114-B. SEA GATE WATER AND SEWER DISTRICT.
        1114-C. SEA GATE WATER AND SEWER AUTHORITY.
        1114-D. POWERS OF THE AUTHORITY.
        1114-E. ADVANCES ON BEHALF OF THE AUTHORITY; TRANSFER OF PROPER-
                  TY  TO  AUTHORITY; ACQUISITION OF PROPERTY BY SEA GATE
                  COMMUNITY FOR AUTHORITY.
        1114-F. GOVERNMENTAL  CAPACITY  OF  THE  AUTHORITY  AND  MUNICI-
                  PALITIES.
        1114-G. TRANSFER OF OFFICERS AND EMPLOYEES.
        1114-H. BONDS OF THE AUTHORITY.
        1114-I. REMEDIES OF BONDHOLDERS.
        1114-J. STATE  AND  SEA  GATE  COMMUNITY NOT LIABLE ON AUTHORITY
                  BONDS.
        1114-K. MONEYS OF THE AUTHORITY.
        1114-L. BONDS LEGAL INVESTMENTS FOR FIDUCIARIES.
        1114-M. AGREEMENT OF THE STATE.
        1114-N. EXEMPTION FROM TAXES, ASSESSMENTS AND CERTAIN FEES.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD07985-01-3

S. 4168                             2

        1114-O. ACTIONS AGAINST AUTHORITY.
        1114-P. CONTRACTS.
        1114-Q. INTEREST IN CONTRACTS PROHIBITED.
        1114-R. AUDIT AND ANNUAL REPORT.
        1114-S. LIMITED LIABILITY.
        1114-T. ENVIRONMENTAL  APPLICATIONS,  PROCEEDINGS, APPROVALS AND
                  PERMITS.
        1114-U. SEA GATE COMMUNITY MAY LEVY TAX WITHIN DISTRICT.
        1114-V. AUTHORITY AND WATER BOARD TO TAKE AFFIRMATIVE ACTION.
        1114-W. SEPARABILITY.
        1114-X. EFFECT OF INCONSISTENT PROVISIONS.
  S 1114. SHORT TITLE. THIS TITLE SHALL BE KNOWN AND MAY BE CITED AS THE
"SEA GATE WATER AND SEWER AUTHORITY ACT".
  S 1114-A. DEFINITIONS. AS USED OR REFERRED TO IN THIS TITLE, UNLESS  A
DIFFERENT MEANING CLEARLY APPEARS FROM THE CONTEXT:
  1.  "AUTHORITY"  MEANS THE CORPORATION CREATED BY SECTION ONE THOUSAND
ONE HUNDRED FOURTEEN-C OF THIS TITLE.
  2. "BONDS" MEANS THE BONDS, NOTES OR OTHER EVIDENCES  OF  INDEBTEDNESS
ISSUED  BY  THE  AUTHORITY PURSUANT TO THIS TITLE, AND THE PROVISIONS OF
THIS TITLE RELATING TO BONDS AND  BONDHOLDERS  SHALL  APPLY  WITH  EQUAL
FORCE  AND  EFFECT  TO  NOTES  AND NOTEHOLDERS, RESPECTIVELY, UNLESS THE
CONTEXT OTHERWISE CLEARLY REQUIRES.
  3. "CIVIL SERVICE COMMISSION" MEANS THE STATE  CIVIL  SERVICE  COMMIS-
SION.
  4. "COMPTROLLER" MEANS THE COMPTROLLER OF THE STATE.
  5.  "CONSTRUCTION"  MEANS  THE ACQUISITION, ERECTION, BUILDING, ALTER-
ATION, IMPROVEMENT, INCREASE,  ENLARGEMENT,  EXTENSION,  RECONSTRUCTION,
RENOVATION  OR REHABILITATION OF A WATER, SEWERAGE OR WATER AND SEWERAGE
SYSTEM, AS THE CASE MAY BE; THE INSPECTION AND SUPERVISION THEREOF;  AND
THE  ENGINEERING,  ARCHITECTURAL,  LEGAL,  FISCAL  AND ECONOMIC INVESTI-
GATIONS AND STUDIES, SURVEYS, DESIGNS, PLANS, WORKING DRAWINGS, SPECIFI-
CATIONS, PROCEDURES AND OTHER ACTIONS PRELIMINARY OR INCIDENTAL THERETO.
  6.  "COST"  AS  APPLIED  TO  ANY  PROJECT,  INCLUDES   THE   COST   OF
CONSTRUCTION,  THE  COST  OF  THE ACQUISITION OF ALL PROPERTY, INCLUDING
REAL PROPERTY AND OTHER PROPERTY, BOTH REAL AND  PERSONAL  AND  IMPROVED
AND  UNIMPROVED,  THE  COST  OF  DEMOLISHING, REMOVING OR RELOCATING ANY
BUILDINGS OR STRUCTURES ON LANDS SO  ACQUIRED,  INCLUDING  THE  COST  OF
ACQUIRING  ANY  LANDS TO WHICH SUCH BUILDINGS OR STRUCTURES MAY BE MOVED
OR RELOCATED, THE COST OF ALL SYSTEMS, FACILITIES, MACHINERY,  APPARATUS
AND  EQUIPMENT,  FINANCING  CHARGES, INTEREST PRIOR TO, DURING AND AFTER
CONSTRUCTION TO THE EXTENT NOT PAID OR PROVIDED  FOR  FROM  REVENUES  OR
OTHER  SOURCES, THE COST OF ENGINEERING AND ARCHITECTURAL SURVEYS, PLANS
AND SPECIFICATIONS, THE COST OF CONSULTANT AND LEGAL SERVICES, THE  COST
OF  LEASE  GUARANTEE  OR  BOND  INSURANCE AND THE COST OF OTHER EXPENSES
NECESSARY OR INCIDENTAL TO THE CONSTRUCTION  OF  SUCH  PROJECT  AND  THE
FINANCING  OF  THE CONSTRUCTION THEREOF, INCLUDING THE AMOUNT AUTHORIZED
IN THE RESOLUTION OF THE AUTHORITY PROVIDING FOR THE ISSUANCE  OF  BONDS
TO  BE  PAID INTO ANY RESERVE OR OTHER SPECIAL FUND FROM THE PROCEEDS OF
SUCH BONDS AND THE FINANCING OF THE PLACING OF ANY PROJECT IN OPERATION,
INCLUDING REIMBURSEMENT TO THE SEA GATE COMMUNITY, OR ANY  MUNICIPALITY,
STATE  AGENCY,  THE  STATE,  THE  UNITED STATES GOVERNMENT, OR ANY OTHER
PERSON FOR EXPENDITURES THAT WOULD BE COSTS OF THE PROJECT HEREUNDER HAD
THEY BEEN MADE DIRECTLY BY THE AUTHORITY.
  7. "SEA GATE COMMUNITY" MEANS THAT  AREA  OF  THE  CITY  OF  NEW  YORK
COMMONLY REFERRED TO AS THE COMMUNITY OF SEA GATE.

S. 4168                             3

  8.  "CHIEF EXECUTIVE OFFICER" MEANS THE CHIEF EXECUTIVE OFFICER OF THE
SEA GATE COMMUNITY.
  9.  "DISTRICT"  MEANS THE SEA GATE WATER AND SEWER DISTRICT CREATED BY
SECTION ONE THOUSAND ONE HUNDRED FOURTEEN-B OF THIS TITLE.
  10. "DISTRIBUTION SYSTEM"  MEANS  THE  WATER  FACILITY  OR  FACILITIES
EMPLOYED  TO  DELIVER WATER FROM A TRANSMISSION FACILITY, OR WHERE THERE
IS NO TRANSMISSION FACILITY, FROM A SUPPLY  FACILITY,  TO  THE  ULTIMATE
CONSUMERS OF SUCH WATER.
  11.  "GOVERNING  BODY" MEANS THE MEMBERS OF THE AUTHORITY CONSTITUTING
AND ACTING AS THE GOVERNING BODY OF THE AUTHORITY.
  12. "MUNICIPALITY" MEANS ANY COUNTY, CITY, TOWN, VILLAGE,  IMPROVEMENT
DISTRICT  UNDER  THE TOWN LAW, ANY OTHER SUCH INSTRUMENTALITY, INCLUDING
ANY AGENCY, OR PUBLIC CORPORATION OF THE STATE, OR ANY OF THE  FOREGOING
OR ANY COMBINATION THEREOF.
  13. "PERSON" MEANS ANY NATURAL PERSON, PARTNERSHIP, ASSOCIATION, JOINT
VENTURE OR CORPORATION, EXCLUSIVE OF A PUBLIC CORPORATION.
  14. "PROJECT" MEANS ANY WATER FACILITY, SEWERAGE FACILITY OR WATER AND
SEWERAGE FACILITY.
  15.  "PROPERTIES"  MEANS  THE  WATER,  SEWERAGE AND WATER AND SEWERAGE
SYSTEM OR SYSTEMS OF THE AUTHORITY, WHETHER SITUATED WITHIN  OR  WITHOUT
THE  TERRITORIAL  LIMITS  OF  THE DISTRICT, INCLUDING THE PLANTS, WORKS,
STRUCTURES, INSTRUMENTALITIES OR PART THEREOF AND APPURTENANCES THERETO,
REAL PROPERTY, WATER FACILITIES, SEWERAGE FACILITIES OR ANY OTHER  PROP-
ERTY INCIDENTAL TO AND INCLUDED IN SUCH SYSTEM OR SYSTEMS OR PART THERE-
OF, AND ANY IMPROVEMENTS, EXTENSIONS AND BETTERMENTS.
  16.  "REAL  PROPERTY"  MEANS LANDS, STRUCTURES, FRANCHISES, RIGHTS AND
INTERESTS IN LAND, WATERS, LANDS UNDERWATER,  RIPARIAN  RIGHTS  AND  AIR
RIGHTS  AND  ANY AND ALL THINGS AND RIGHTS INCLUDED WITHIN SAID TERM AND
INCLUDES NOT ONLY FEES SIMPLE ABSOLUTE, BUT  ALSO  ANY  AND  ALL  LESSER
INTERESTS INCLUDING, BUT NOT LIMITED TO, EASEMENTS, RIGHTS-OF-WAY, USES,
LEASES,  LICENSES  AND  ALL  OTHER  INCORPOREAL  HEREDITAMENTS AND EVERY
ESTATE, INTEREST OR RIGHT, LEGAL OR EQUITABLE, INCLUDING TERMS FOR YEARS
AND LIENS THEREON BY WAY OF JUDGMENTS, MORTGAGES OR OTHERWISE.
  17. "REVENUES" MEANS ALL RATES, RENTS,  FEES,  CHARGES,  PAYMENTS  AND
OTHER  INCOME  AND RECEIPTS DERIVED FROM THE OPERATION OF THE PROPERTIES
OF THE AUTHORITY INCLUDING, WITHOUT LIMITING THE GENERALITY OF THE FORE-
GOING, INVESTMENT PROCEEDS AND PROCEEDS OF INSURANCE, CONDEMNATION,  AND
SALE OR OTHER DISPOSITION OF ASSETS, TOGETHER WITH ALL FEDERAL, STATE OR
MUNICIPAL AID.
  18. "SEWAGE" MEANS THE WATER-CARRIED HUMAN OR ANIMAL WASTES FROM RESI-
DENCES,  BUILDINGS,  INDUSTRIAL ESTABLISHMENTS OR OTHER PLACES, TOGETHER
WITH SUCH GROUNDWATER INFILTRATION AND SURFACE WATER AS MAY BE  PRESENT.
THE  ADMIXTURE  WITH  SEWAGE  OF INDUSTRIAL OR OTHER WASTE ALSO SHALL BE
CONSIDERED "SEWAGE" WITHIN THE MEANING OF THIS TITLE.
  19. "SEWERAGE FACILITY" OR "SEWERAGE  FACILITIES"  MEANS  ANY  PLANTS,
STRUCTURES  AND OTHER REAL AND PERSONAL PROPERTY ACQUIRED, REHABILITATED
OR CONSTRUCTED OR PLANNED FOR  THE  PURPOSE  OF  COLLECTING,  CONVEYING,
PUMPING,  TREATING,  NEUTRALIZING,  STORING  AND  DISPOSING  OF  SEWAGE,
INCLUDING BUT NOT LIMITED  TO  MAIN,  TRUNK,  INTERCEPTING,  CONNECTING,
LATERAL,  OUTLET  OR OTHER SEWERS, OUTFALLS, PUMPING STATIONS, TREATMENT
AND DISPOSAL PLANTS, GROUNDWATER RECHARGE BASINS,  BACK-FLOW  PREVENTION
DEVICES,  SLUDGE DEWATERING OR DISPOSAL EQUIPMENT AND FACILITIES, CLARI-
FIERS, FILTERS, PHOSPHORUS REMOVAL EQUIPMENT AND  OTHER  PLANTS,  WORKS,
STRUCTURES,  EQUIPMENT,  VEHICLES,  CONVEYANCES,  CONTRACT RIGHTS, FRAN-
CHISES, APPROACHES, CONNECTIONS, PERMITS, REAL OR PERSONAL  PROPERTY  OR
RIGHTS THEREIN AND APPURTENANCES THERETO NECESSARY OR USEFUL AND CONVEN-

S. 4168                             4

IENT  FOR  THE COLLECTION, CONVEYANCE, PUMPING, TREATMENT, NEUTRALIZING,
STORING AND DISPOSING OF SEWAGE.
  20. "STATE" MEANS THE STATE OF NEW YORK.
  21.  "STATE  AGENCY"  MEANS  ANY  STATE OFFICER, PUBLIC BENEFIT CORPO-
RATION, DEPARTMENT, BOARD, COMMISSION,  BUREAU  OR  DIVISION,  OR  OTHER
AGENCY OR INSTRUMENTALITY OF THE STATE.
  22.  "SUPPLY FACILITY" MEANS A WATER FACILITY EMPLOYED TO MAKE GROUND-
WATER OR SURFACE WATER AVAILABLE FOR DELIVERY INTO A TRANSMISSION FACIL-
ITY OR DISTRIBUTION SYSTEM.
  23. "TRANSMISSION FACILITY" MEANS A WATER FACILITY USED TO CARRY WATER
FROM A SUPPLY FACILITY TO A DISTRIBUTION SYSTEM.
  24. "WATER FACILITY" OR "WATER FACILITIES" MEANS  ANY  PLANTS,  STRUC-
TURES  AND  OTHER  REAL AND PERSONAL PROPERTY ACQUIRED, REHABILITATED OR
CONSTRUCTED OR PLANNED FOR THE PURPOSE OF ACCUMULATING, SUPPLYING, TRAN-
SMITTING, TREATING OR DISTRIBUTING WATER, INCLUDING BUT NOT  LIMITED  TO
SURFACE  OR  GROUNDWATER  RESERVOIRS,  BASINS,  DAMS, CANALS, AQUEDUCTS,
STANDPIPES, CONDUITS, PIPELINES, MAINS, PUMPING STATIONS,  PUMPS,  WATER
DISTRIBUTION  SYSTEMS,  COMPENSATING RESERVOIRS, INTAKE STATIONS, WATER-
WORKS OR SOURCES OF WATER  SUPPLY,  WELLS,  PURIFICATION  OR  FILTRATION
PLANTS OR OTHER TREATMENT PLANTS AND WORKS, CONTRACT RIGHTS, FRANCHISES,
APPROACHES,  CONNECTIONS,  PERMITS,  WATER  METERS, RIGHTS OF FLOWAGE OR
DIVERSION AND OTHER PLANTS, STRUCTURES, EQUIPMENT, VEHICLES,  CONVEYANC-
ES, REAL OR PERSONAL PROPERTY OR RIGHTS THEREIN AND APPURTENANCES THERE-
TO  NECESSARY  OR  USEFUL  AND  CONVENIENT FOR THE ACCUMULATION, SUPPLY,
TRANSMISSION, TREATMENT OR DISTRIBUTION OF WATER.
  S 1114-B. SEA GATE WATER AND SEWER DISTRICT. THERE IS  HEREBY  DEFINED
AND  ESTABLISHED  AN  AREA  TO BE KNOWN AS THE "SEA GATE WATER AND SEWER
DISTRICT" WHICH SHALL EMBRACE  ALL  THE  TERRITORY  LOCATED  WITHIN  THE
COMMUNITY OF SEA GATE IN THE CITY OF NEW YORK.
  S 1114-C. SEA GATE WATER AND SEWER AUTHORITY. 1. A PUBLIC CORPORATION,
TO  BE  KNOWN  AS  THE  "SEA  GATE  WATER AND SEWER AUTHORITY" IS HEREBY
CREATED FOR THE PUBLIC PURPOSES AND CHARGED WITH THE DUTIES  AND  HAVING
THE  POWERS PROVIDED IN THIS TITLE. THE AUTHORITY SHALL BE A BODY CORPO-
RATE AND POLITIC CONSTITUTING A PUBLIC BENEFIT CORPORATION, THE  OBJECTS
OF  WHICH  IN  THE  JUDGMENT OF THE LEGISLATURE CANNOT BE ATTAINED UNDER
GENERAL LAWS. IT SHALL CONSIST OF FIVE MEMBERS, WHO SHALL  BE  RESIDENTS
OF  THE  SEA  GATE  COMMUNITY AND BE APPOINTED BY THE GOVERNOR; ONE UPON
RECOMMENDATION OF THE TEMPORARY PRESIDENT OF THE SENATE, ONE UPON RECOM-
MENDATION OF THE SPEAKER OF THE ASSEMBLY, ONE UPON RECOMMENDATION OF THE
MINORITY LEADER OF THE SENATE AND ONE UPON RECOMMENDATION OF THE MINORI-
TY LEADER OF THE ASSEMBLY. NO MORE THAN THREE MEMBERS SHALL  BE  MEMBERS
OF THE SAME POLITICAL PARTY. THE FIRST MEMBERS APPOINTED BY THE GOVERNOR
SHALL  BE  APPOINTED  FOR  THE FOLLOWING TERMS OF OFFICE: ONE FOR A TERM
ENDING ON DECEMBER THIRTY-FIRST OF THE SECOND YEAR FOLLOWING THE YEAR IN
WHICH THIS TITLE SHALL HAVE BECOME LAW, TWO FOR A TERM ENDING ON  DECEM-
BER  THIRTY-FIRST  OF  THE  THIRD  YEAR FOLLOWING THE YEAR IN WHICH THIS
TITLE SHALL HAVE BECOME LAW; AND TWO FOR A TERM ENDING ON DECEMBER THIR-
TY-FIRST OF THE FOURTH YEAR FOLLOWING THE YEAR IN WHICH THIS TITLE SHALL
HAVE BECOME LAW. SUBSEQUENT APPOINTMENTS OF MEMBERS SHALL BE MADE FOR  A
TERM  OF THREE YEARS ENDING IN EACH CASE ON DECEMBER THIRTY-FIRST OF THE
LAST YEAR OF SUCH TERM. ALL MEMBERS SHALL CONTINUE TO HOLD OFFICE  UNTIL
THEIR SUCCESSORS ARE APPOINTED AND QUALIFY. VACANCIES SHALL BE FILLED IN
THE  MANNER  PROVIDED  FOR  ORIGINAL  APPOINTMENT.  VACANCIES, OCCURRING
OTHERWISE THAN BY EXPIRATION OF TERM  OF  OFFICE,  SHALL  BE  FILLED  BY
APPOINTMENT FOR THE UNEXPIRED TERMS.  MEMBERS MAY BE REMOVED FROM OFFICE
FOR  THE  SAME  REASONS AND IN THE SAME MANNER AS MAY BE PROVIDED BY LAW

S. 4168                             5

FOR THE REMOVAL OF OFFICERS OF A COUNTY. THE MEMBERS  OF  THE  AUTHORITY
SHALL  RECEIVE  SUCH  SALARY  AS  SHALL BE DETERMINED BY LOCAL LAW. THEY
SHALL RECEIVE NO REIMBURSEMENT FOR THE ORDINARY  EXPENSES  OF  ATTENDING
MEETINGS,  BUT  MAY  BY  RESOLUTION  BY  THE  AUTHORITY BE ALLOWED THEIR
EXPENSES OF A SPECIAL OR EXTRAORDINARY  NATURE.  A  MEMBER  MAY  RECEIVE
ADDITIONAL  COMPENSATION  IF  APPOINTED AN OFFICER OF THE AUTHORITY. THE
POWERS OF THE AUTHORITY SHALL BE VESTED  IN  AND  BE  EXERCISED  BY  THE
GOVERNING BODY AT A MEETING DULY CALLED AND HELD WHERE A QUORUM OF THREE
MEMBERS  ARE  PRESENT.  NO  ACTION SHALL BE TAKEN EXCEPT PURSUANT TO THE
FAVORABLE VOTE OF AT LEAST THREE MEMBERS. THE GOVERNING BODY  MAY  DELE-
GATE  TO  ONE OR MORE OF ITS MEMBERS, OFFICERS, AGENTS OR EMPLOYEES SUCH
POWERS AND DUTIES AS IT MAY DEEM PROPER.
  2. THE OFFICERS OF THE AUTHORITY SHALL CONSIST OF A CHAIRMAN, A  VICE-
CHAIRMAN  AND  A TREASURER, WHO SHALL BE MEMBERS OF THE AUTHORITY, AND A
SECRETARY, WHO NEED NOT BE A MEMBER  OF  THE  AUTHORITY.  SUCH  OFFICERS
SHALL BE APPOINTED BY THE GOVERNING BODY AND SHALL SERVE IN SUCH CAPACI-
TIES  AT  THE  PLEASURE OF THE GOVERNING BODY. IN ADDITION TO THE SECRE-
TARY, THE GOVERNING BODY MAY APPOINT AND AT PLEASURE REMOVE  SUCH  ADDI-
TIONAL  OFFICERS  AND  EMPLOYEES  AS  IT MAY DETERMINE NECESSARY FOR THE
PERFORMANCE OF THE POWERS AND DUTIES OF  THE  AUTHORITY  WHICH  POSITION
SHALL  BE  IN  THE  EXEMPT CLASS OF CIVIL SERVICE, AND FIX AND DETERMINE
THEIR QUALIFICATIONS, DUTIES AND COMPENSATION, SUBJECT TO THE PROVISIONS
OF THE CIVIL SERVICE LAW. THE GOVERNING BODY MAY ALSO FROM TIME TO  TIME
CONTRACT  FOR EXPERT PROFESSIONAL SERVICES.  THE TREASURER SHALL EXECUTE
A BOND, CONDITIONED UPON THE FAITHFUL PERFORMANCE OF THE DUTIES  OF  HIS
OR  HER OFFICE, THE AMOUNT AND SUFFICIENCY OF WHICH SHALL BE APPROVED BY
THE GOVERNING BODY AND THE PREMIUM THEREFOR SHALL BE PAID BY THE AUTHOR-
ITY.
  3. NOTWITHSTANDING ANY INCONSISTENT PROVISION OF ANY GENERAL,  SPECIAL
OR  LOCAL  LAW,  ORDINANCE, RESOLUTION OR CHARTER, NO OFFICER, MEMBER OR
EMPLOYEE OF THE STATE, ANY MUNICIPALITY, OR ANY  PUBLIC  BENEFIT  CORPO-
RATION,  SHALL  FORFEIT HIS OR HER OFFICE OR EMPLOYMENT BY REASON OF HIS
OR HER ACCEPTANCE OF APPOINTMENT AS A MEMBER, OFFICER, AGENT OR EMPLOYEE
OF THE AUTHORITY, NOR SHALL SERVICE AS SUCH MEMBER,  OFFICER,  AGENT  OR
EMPLOYEE BE DEEMED INCOMPATIBLE OR IN CONFLICT WITH SUCH OFFICE, MEMBER-
SHIP OR EMPLOYMENT.
  4. (A) THE CHIEF EXECUTIVE OFFICER SHALL FILE ON OR BEFORE MARCH THIR-
TY-FIRST  OF  THE YEAR FOLLOWING THE YEAR IN WHICH THIS TITLE SHALL HAVE
BECOME A LAW, IN THE OFFICE OF THE SECRETARY  OF  STATE,  A  CERTIFICATE
SIGNED  BY  SUCH  CHIEF EXECUTIVE OFFICER SETTING FORTH: (1) THE NAME OF
THE AUTHORITY; (2) THE NAMES OF THE MEMBERS APPOINTED  BY  THE  GOVERNOR
AND THEIR TERMS OF OFFICE; AND (3) THE EFFECTIVE DATE OF THIS TITLE. THE
AUTHORITY  SHALL  BE  PERPETUAL IN DURATION, EXCEPT THAT IF SUCH CERTIF-
ICATE IS NOT FILED WITH THE SECRETARY OF STATE ON OR BEFORE MARCH  THIR-
TY-FIRST  OF  THE YEAR FOLLOWING THE YEAR IN WHICH THIS TITLE SHALL HAVE
BECOME A LAW, THEN THE CORPORATE EXISTENCE OF THE AUTHORITY SHALL THERE-
UPON TERMINATE AND IT SHALL THEREUPON BE  DEEMED  TO  BE  AND  SHALL  BE
DISSOLVED.
  (B)  EXCEPT  AS  PROVIDED  IN  PARAGRAPH  (A) OF THIS SUBDIVISION, THE
AUTHORITY AND ITS CORPORATE EXISTENCE SHALL CONTINUE UNTIL TERMINATED BY
LAW, PROVIDED, HOWEVER, THAT NO SUCH LAW SHALL TAKE EFFECT  SO  LONG  AS
THE  AUTHORITY  SHALL HAVE BONDS OR OTHER OBLIGATIONS OUTSTANDING UNLESS
ADEQUATE PROVISION HAS BEEN MADE FOR THE PAYMENT OR SATISFACTION  THERE-
OF.  UPON  TERMINATION  OF  THE  EXISTENCE  OF THE AUTHORITY, ALL OF THE
RIGHTS AND PROPERTIES OF THE AUTHORITY THEN REMAINING SHALL PASS TO  AND
VEST IN THE SEA GATE COMMUNITY.

S. 4168                             6

  5.  IT  IS  HEREBY DETERMINED AND DECLARED, THAT THE AUTHORITY AND THE
CARRYING OUT OF ITS POWERS AND DUTIES ARE IN ALL RESPECTS FOR THE  BENE-
FIT  OF  THE  PEOPLE  OF  THE  SEA  GATE COMMUNITY AND THE STATE FOR THE
IMPROVEMENT OF THEIR  HEALTH,  WELFARE  AND  PROSPERITY  AND  THAT  SUCH
PURPOSES  ARE  PUBLIC  PURPOSES  AND  THAT  THE AUTHORITY IS AND WILL BE
PERFORMING AN ESSENTIAL GOVERNMENTAL FUNCTION IN  THE  EXERCISE  OF  THE
POWERS CONFERRED UPON IT BY THIS TITLE.
  S 1114-D. POWERS OF THE AUTHORITY. THE AUTHORITY SHALL HAVE THE POWER:
  1. TO SUE AND BE SUED;
  2. TO HAVE A SEAL AND ALTER THE SAME AT PLEASURE;
  3. TO BORROW MONEY AND ISSUE BONDS OR OTHER OBLIGATIONS AND TO PROVIDE
FOR THE RIGHTS OF THE HOLDERS THEREOF;
  4. TO ENTER INTO CONTRACTS AND TO EXECUTE ALL INSTRUMENTS NECESSARY OR
CONVENIENT  OR  DESIRABLE FOR THE PURPOSES OF THE AUTHORITY TO CARRY OUT
ANY POWERS EXPRESSLY GIVEN IT IN THIS TITLE;
  5. TO ACQUIRE, BY PURCHASE, GIFT, GRANT, TRANSFER, CONTRACT  OR  LEASE
OR  BY  CONDEMNATION PURSUANT TO THE EMINENT DOMAIN PROCEDURE LAW, LEASE
AS LESSEE, HOLD, AND USE ANY REAL OR PERSONAL PROPERTY OR  ANY  INTEREST
THEREIN, AS THE AUTHORITY MAY DEEM NECESSARY, CONVENIENT OR DESIRABLE TO
CARRY OUT THE PURPOSE OF THIS TITLE; PROVIDED HOWEVER, THAT THE AUTHORI-
TY  MAY  NOT CONDEMN REAL PROPERTY OF A MUNICIPALITY OF THE STATE UNLESS
SUCH MUNICIPALITY SHALL CONSENT THERETO;
  6. TO PURCHASE, IN THE NAME OF THE AUTHORITY, ANY  WATER  FACILITY  OR
SEWERAGE  FACILITY,  AND  ANY  IMPROVEMENTS, EXTENSIONS AND BETTERMENTS,
SITUATED WHOLLY WITHIN THE DISTRICT, PROVIDED, HOWEVER, THAT THE AUTHOR-
ITY SHALL HAVE THE POWER TO PURCHASE ANY SOURCE OF SUPPLY, SUPPLY FACIL-
ITY OR TRANSMISSION FACILITY OR ANY  PART  THEREOF  SITUATED  WHOLLY  OR
PARTLY WITHOUT THE TERRITORIAL LIMITS OF THE DISTRICT, PROVIDED THE SAME
SHALL  BE NECESSARY IN ORDER TO SUPPLY WATER WITHIN THE DISTRICT; AND IN
CONNECTION WITH THE PURCHASE  OF  SUCH  PROPERTIES,  THE  AUTHORITY  MAY
ASSUME  ANY  OBLIGATIONS  OF  THE  OWNER  OF SUCH PROPERTIES AND, TO THE
EXTENT REQUIRED BY THE TERMS OF  ANY  INDENTURES  OR  OTHER  INSTRUMENTS
UNDER  WHICH  SUCH OBLIGATIONS WERE ISSUED, THE AUTHORITY MAY ASSUME AND
AGREE TO PERFORM COVENANTS AND OBSERVE  THE  RESTRICTIONS  CONTAINED  IN
SUCH INSTRUMENTS; AND FURTHERMORE THE OWNER OF ANY PROPERTIES, WHICH THE
AUTHORITY  IS  AUTHORIZED  TO  ACQUIRE,  IS HEREBY AUTHORIZED TO SELL OR
OTHERWISE TRANSFER THE SAME TO THE AUTHORITY,  WHEREUPON  THE  AUTHORITY
SHALL  BECOME  CHARGED  WITH  THE  PERFORMANCE OF ALL PUBLIC DUTIES WITH
RESPECT TO SUCH PROPERTIES WITH WHICH SUCH OWNER WAS  CHARGED  AND  SUCH
OWNER  SHALL  BECOME  DISCHARGED  FROM THE PERFORMANCE THEREOF, AND AS A
MEANS OF SO ACQUIRING FOR SUCH PURPOSE, THE AUTHORITY MAY  PURCHASE  ALL
OF THE STOCK OF ANY EXISTING PRIVATELY OWNED WATER CORPORATION OR COMPA-
NY AND IN THE CASE OF A SALE OR OTHER TRANSFER OF PROPERTIES OF A PUBLIC
UTILITY CORPORATION PURSUANT TO THIS PROVISION, UPON THE PURCHASE OF THE
STOCK OF SUCH CORPORATION OR COMPANY IT SHALL BE LAWFUL TO DISSOLVE SUCH
CORPORATION WITHIN A REASONABLE TIME;
  7.  TO  CONSTRUCT,  IMPROVE, MAINTAIN, DEVELOP, EXPAND OR REHABILITATE
WATER FACILITIES OR SEWERAGE FACILITIES;
  8. TO OPERATE AND MANAGE AND TO CONTRACT FOR THE OPERATION AND MANAGE-
MENT OF PROPERTIES OF THE AUTHORITY;
  9. TO ENTER INTO CONTRACTS, AND CARRY OUT THE TERMS THEREOF,  FOR  THE
WHOLESALE  PROVISION  OF WATER PRODUCED BY SUPPLY FACILITIES CONSTRUCTED
AND OPERATED BY THE  AUTHORITY,  TO  MUNICIPALITIES  AND  PRIVATE  WATER
COMPANIES  AND  TO  CARRY OUT THE TERMS THEREOF, FOR THE TRANSMISSION OF
WATER FROM NEW OR EXISTING SUPPLY FACILITIES;

S. 4168                             7

  10. TO ENTER INTO CONTRACTS WITH MUNICIPALITIES  FOR  THE  COLLECTION,
TREATMENT AND DISPOSAL OF SEWAGE;
  11. TO APPLY TO THE APPROPRIATE AGENCIES AND OFFICIALS OF THE FEDERAL,
STATE  AND  LOCAL GOVERNMENTS FOR SUCH LICENSES, PERMITS OR APPROVALS OF
ITS PLANS OR PROJECTS AS IT MAY DEEM NECESSARY OR  ADVISABLE,  AND  UPON
SUCH  TERMS AND CONDITIONS AS IT MAY DEEM APPROPRIATE, AND TO ACCEPT, IN
ITS DISCRETION, SUCH LICENSES, PERMITS OR APPROVALS AS MAY  BE  TENDERED
TO IT BY SUCH AGENCIES AND OFFICIALS;
  12.  TO  APPOINT  SUCH  OFFICERS AND EMPLOYEES AS ARE REQUIRED FOR THE
PERFORMANCE OF ITS DUTIES, TO FIX AND  DETERMINE  THEIR  QUALIFICATIONS,
DUTIES  AND  COMPENSATION,  AND  TO  RETAIN OR EMPLOY COUNSEL, AUDITORS,
ENGINEERS AND PRIVATE CONSULTANTS ON A CONTRACT BASIS OR  OTHERWISE  FOR
RENDERING PROFESSIONAL OR TECHNICAL SERVICES AND ADVICE;
  13.  TO  MAKE PLANS AND STUDIES NECESSARY, CONVENIENT OR DESIRABLE FOR
THE EFFECTUATION OF THE PURPOSES AND POWERS  OF  THE  AUTHORITY  AND  TO
PREPARE RECOMMENDATIONS IN REGARD THERETO;
  14. TO ENTER UPON SUCH LANDS, WATERS OR PREMISES AS IN THE JUDGMENT OF
THE  AUTHORITY  SHALL  BE  NECESSARY  FOR THE PURPOSE OF MAKING SURVEYS,
SOUNDINGS, BORINGS AND EXAMINATIONS TO ACCOMPLISH ANY PURPOSE AUTHORIZED
BY THIS TITLE, THE AUTHORITY BEING LIABLE ONLY FOR ACTUAL DAMAGE DONE;
  15. TO APPLY FOR AND TO ACCEPT ANY GIFTS OR GRANTS OR LOANS  OF  FUNDS
OR  PROPERTY  OR  FINANCIAL  OR  OTHER  AID IN ANY FORM FROM THE FEDERAL
GOVERNMENT OR ANY AGENCY OR INSTRUMENTALITY THEREOF, OR FROM  THE  STATE
OR  ANY  AGENCY OR INSTRUMENTALITY THEREOF OR FROM ANY OTHER SOURCE, FOR
ANY OR ALL OF THE PURPOSES SPECIFIED  IN  THIS  TITLE,  AND  TO  COMPLY,
SUBJECT  TO  THE PROVISIONS OF THIS TITLE, WITH THE TERMS AND CONDITIONS
THEREOF;
  16. TO SUPPLY AND SELL  WATER  FOR  DOMESTIC,  COMMERCIAL  AND  PUBLIC
PURPOSES  AT  RETAIL  TO INDIVIDUAL CONSUMERS WITHIN THE DISTRICT AND TO
COLLECT, TREAT AND DISCHARGE SEWAGE PRODUCED FOR SUCH PURPOSES  BY  SUCH
GENERATORS;
  17.  TO PURCHASE WATER IN BULK FROM ANY PERSON, PRIVATE CORPORATION OR
MUNICIPALITY WHEN NECESSARY OR CONVENIENT  FOR  THE  OPERATION  OF  SUCH
WATER SYSTEM;
  18.  TO  PRODUCE,  DEVELOP,  DISTRIBUTE  AND  SELL  WATER  OR SEWERAGE
SERVICES WITHIN OR WITHOUT THE TERRITORIAL LIMITS OF THE  DISTRICT;  AND
TO  PURCHASE  WATER FROM ANY MUNICIPAL CORPORATION, TOWN WATER DISTRICT,
PERSON, ASSOCIATION OR CORPORATION; PROVIDED, HOWEVER,  THAT  WATER  AND
SEWERAGE  SERVICES  MAY  BE  SOLD AT RETAIL TO INDIVIDUAL CONSUMERS ONLY
WITHIN THE DISTRICT AND FURTHER PROVIDED THAT IN EXERCISING  THE  POWERS
GRANTED  BY  THIS  TITLE, THE AUTHORITY SHALL NOT SELL WATER OR SEWERAGE
SERVICES IN ANY AREA WHICH IS SERVED  BY  A  WATER  SYSTEM  OR  SEWERAGE
SYSTEM  OWNED  OR  OPERATED  BY  A  MUNICIPALITY  OR SPECIAL IMPROVEMENT
DISTRICT UNLESS THE GOVERNING BODY  OF  SUCH  MUNICIPALITY  OR  DISTRICT
SHALL  ADOPT  A  RESOLUTION  REQUESTING  THE  AUTHORITY TO SELL WATER OR
SEWERAGE SERVICES, AS THE CASE MAY BE, IN SUCH SERVED AREAS;
  19. TO MAKE BY-LAWS FOR THE MANAGEMENT AND REGULATION OF  ITS  AFFAIRS
AND  SUBJECT TO AGREEMENTS WITH BONDHOLDERS, RULES FOR THE SALE OF WATER
OR COLLECTION OF SEWAGE AND THE COLLECTION OF RENTS AND  CHARGES  THERE-
FOR.  A COPY OF SUCH RULES AND BY-LAWS, AND ALL AMENDMENTS THERETO, DULY
CERTIFIED BY THE SECRETARY OF THE AUTHORITY SHALL BE FILED IN THE OFFICE
OF THE SECRETARY OF STATE. IN ADDITION, THE BOARD OF  DIRECTORS  OF  THE
SEA  GATE  COMMUNITY  BY  RESOLUTION  SHALL HAVE POWER TO PRESCRIBE THAT
VIOLATION OF SPECIFIC BY-LAWS OF THE  AUTHORITY,  PUBLISHED  ONCE  IN  A
NEWSPAPER  HAVING A GENERAL CIRCULATION IN THE SEA GATE COMMUNITY, SHALL

S. 4168                             8

BE PUNISHABLE BY FINE, NOT EXCEEDING FIFTY DOLLARS, OR  BY  IMPRISONMENT
FOR NOT LONGER THAN THIRTY DAYS, OR BOTH SUCH FINE AND IMPRISONMENT;
  20. TO FIX RATES AND COLLECT CHARGES FOR THE USE OF THE FACILITIES OF,
OR  SERVICES  RENDERED BY, OR ANY COMMODITIES FURNISHED BY THE AUTHORITY
SUCH AS TO PROVIDE REVENUES SUFFICIENT AT ALL TIMES TO PAY, AS THE  SAME
SHALL BECOME DUE, THE PRINCIPAL AND INTEREST ON THE BONDS OR OTHER OBLI-
GATIONS  OF  THE  AUTHORITY  TOGETHER  WITH  THE  MAINTENANCE  OF PROPER
RESERVES THEREFOR, IN ADDITION TO PAYING AS THE SAME  SHALL  BECOME  DUE
THE EXPENSE OF OPERATING AND MAINTAINING THE PROPERTIES OF THE AUTHORITY
TOGETHER  WITH  PROPER  RESERVES  FOR MAINTENANCE, CONTINGENCIES AND ALL
OTHER OBLIGATIONS AND INDEBTEDNESS OF THE AUTHORITY;
  21. TO ENTER INTO COOPERATIVE AGREEMENTS WITH OTHER AUTHORITIES, MUNI-
CIPALITIES, COUNTIES, TOWNS, VILLAGES, WATER DISTRICTS,  UTILITY  COMPA-
NIES, INDIVIDUALS, FIRMS OR CORPORATIONS, WITHIN OR WITHOUT THE TERRITO-
RIAL  LIMITS OF THE DISTRICT, FOR THE INTERCONNECTION OF FACILITIES, THE
EXCHANGE OR INTERCHANGE OF SERVICES  AND  COMMODITIES,  AND  WITHIN  THE
TERRITORIAL  LIMITS  OF  THE  DISTRICT  TO ENTER INTO A CONTRACT FOR THE
CONSTRUCTION AND OPERATION AND MAINTENANCE OF A WATER OR SEWERAGE SYSTEM
BY THE AUTHORITY FOR ANY MUNICIPALITY  HAVING  POWER  TO  CONSTRUCT  AND
DEVELOP  A  WATER  OR SEWERAGE SYSTEM, UPON SUCH TERMS AND CONDITIONS AS
SHALL BE DETERMINED TO BE REASONABLE INCLUDING BUT NOT  LIMITED  TO  THE
REIMBURSEMENT OF ALL COSTS OF SUCH CONSTRUCTION, OR FOR ANY OTHER LAWFUL
PURPOSES NECESSARY OR DESIRABLE TO EFFECT THE PURPOSES OF THIS TITLE;
  22.  TO  PROVIDE  FOR  THE DISCONTINUANCE OR DISCONNECTION OF WATER OR
SEWERAGE SERVICE, OR BOTH, AS THE CASE MAY BE, FOR NON-PAYMENT OF  FEES,
RATES,  RENTS  OR  OTHER  CHARGES  THEREFOR  IMPOSED  BY  THE AUTHORITY,
PROVIDED SUCH DISCONTINUANCE OR DISCONNECTION OF ANY WATER  OR  SEWERAGE
SERVICE, OR BOTH, AS THE CASE MAY BE, SHALL NOT BE CARRIED OUT EXCEPT IN
THE  MANNER  AND  UPON  THE NOTICE AS IS REQUIRED OF A WATERWORKS CORPO-
RATION PURSUANT TO SUBDIVISIONS THREE-A, THREE-B AND THREE-C OF  SECTION
EIGHTY-NINE-B AND SECTION ONE HUNDRED SIXTEEN OF THE PUBLIC SERVICE LAW;
AND
  23.  TO  DO ALL THINGS NECESSARY, CONVENIENT OR DESIRABLE TO CARRY OUT
ITS PURPOSES AND FOR THE EXERCISE OF THE POWERS GRANTED IN THIS TITLE.
  S 1114-E. ADVANCES ON BEHALF OF THE AUTHORITY; TRANSFER OF PROPERTY TO
AUTHORITY; ACQUISITION OF PROPERTY BY SEA GATE COMMUNITY FOR  AUTHORITY.
1. IN ADDITION TO ANY POWERS GRANTED TO IT BY LAW, THE SEA GATE COMMUNI-
TY  FROM  TIME  TO TIME MAY APPROPRIATE SUMS OF MONEY TO OR ON BEHALF OF
THE AUTHORITY TO DEFRAY PROJECT COSTS OR ANY OTHER COSTS AND EXPENSES OF
THE AUTHORITY. SUBJECT TO THE RIGHTS OF BONDHOLDERS, THE SEA GATE COMMU-
NITY MAY DETERMINE IF THE MONEYS SO APPROPRIATED  SHALL  BE  SUBJECT  TO
REPAYMENT BY THE AUTHORITY TO THE SEA GATE COMMUNITY AND, IN SUCH EVENT,
THE MANNER AND TIME OR TIMES FOR SUCH REPAYMENT.
  2.  THE  SEA GATE COMMUNITY OR ANY OTHER MUNICIPALITY MAY GIVE, GRANT,
SELL, CONVEY, LOAN, LICENSE THE USE OF OR LEASE  TO  THE  AUTHORITY  ANY
PROPERTY  OR FACILITY WHICH IS USEFUL TO THE AUTHORITY IN ORDER TO CARRY
OUT ITS POWERS UNDER THIS TITLE. ANY SUCH TRANSFER OF PROPERTY SHALL  BE
UPON  SUCH TERMS AND CONDITIONS, SUBJECT TO THE RIGHTS OF THE HOLDERS OF
ANY BONDS, AS THE AUTHORITY AND THE SEA GATE COMMUNITY OR OTHER  MUNICI-
PALITY MAY AGREE.
  3.  THE  SEA  GATE COMMUNITY MAY ACQUIRE BY PURCHASE OR BY EXERCISE OF
THE POWER OF EMINENT DOMAIN REAL PROPERTY IN THE NAME OF  THE  SEA  GATE
COMMUNITY FOR ANY CORPORATE PURPOSE OF THE AUTHORITY.
  4.  NOTWITHSTANDING  THE PROVISIONS OF ANY OTHER LAW, GENERAL, SPECIAL
OR LOCAL TO THE CONTRARY, REAL PROPERTY ACQUIRED BY THE AUTHORITY OR THE

S. 4168                             9

SEA GATE COMMUNITY FROM THE STATE MAY BE USED FOR ANY CORPORATE  PURPOSE
OF THE AUTHORITY.
  S  1114-F.  GOVERNMENTAL CAPACITY OF THE AUTHORITY AND MUNICIPALITIES.
THE AUTHORITY, THE SEA GATE COMMUNITY AND THE OTHER  MUNICIPALITIES,  IN
CARRYING  OUT THEIR RESPECTIVE POWERS AND DUTIES UNDER THIS TITLE, SHALL
BE DEEMED TO BE ACTING IN A GOVERNMENTAL CAPACITY AND IN THE PERFORMANCE
OF AN ESSENTIAL GOVERNMENTAL FUNCTION.
  S 1114-G. TRANSFER OF OFFICERS AND EMPLOYEES. ANY  PUBLIC  OFFICER  OR
EMPLOYEE  IN  THE  PUBLIC  SERVICE WHO IS SELECTED BY THE AUTHORITY MAY,
WITH THE CONSENT OF THE COMMISSION, BOARD, OR CHIEF EXECUTIVE OFFICER OF
THE MUNICIPALITY BY WHICH HE OR SHE HAS BEEN EMPLOYED, BE TRANSFERRED TO
THE AUTHORITY AND SHALL BE ELIGIBLE FOR SUCH  TRANSFER  AND  APPOINTMENT
WITHOUT  EXAMINATION  TO  COMPARABLE  OFFICES,  POSITIONS AND EMPLOYMENT
UNDER THE AUTHORITY. THE SALARY OR COMPENSATION OF ANY SUCH  OFFICER  OR
EMPLOYEE,  AFTER SUCH TRANSFER, SHALL BE PAID BY THE AUTHORITY. ANY SUCH
OFFICERS OR EMPLOYEES SO TRANSFERRED TO THE AUTHORITY PURSUANT  TO  THIS
SECTION,  WHO  ARE  MEMBERS  OF OR BENEFIT UNDER ANY EXISTING PENSION OR
RETIREMENT FUND OR SYSTEM, SHALL CONTINUE TO  HAVE  ALL  RIGHTS,  PRIVI-
LEGES, OBLIGATIONS AND STATUS WITH RESPECT TO SUCH FUND OR SYSTEM AS ARE
NOW  PRESCRIBED BY LAW, BUT DURING THE PERIOD OF THEIR EMPLOYMENT BY THE
AUTHORITY, ALL CONTRIBUTIONS TO SUCH FUNDS OR SYSTEMS TO BE PAID BY  THE
EMPLOYER  ON  ACCOUNT OF SUCH OFFICERS OR EMPLOYEES SHALL BE PAID BY THE
AUTHORITY.  ALL SUCH OFFICERS OR EMPLOYEES SO TRANSFERRED TO THE AUTHOR-
ITY WHO HAVE BEEN APPOINTED TO POSITIONS UNDER THE RULES AND CLASSIFICA-
TIONS OF THE CIVIL SERVICE COMMISSION SHALL HAVE THE  SAME  STATUS  WITH
RESPECT  THERETO AFTER TRANSFER TO THE AUTHORITY AS THEY HAD UNDER THEIR
ORIGINAL APPOINTMENT.
  S 1114-H. BONDS OF THE AUTHORITY. 1.  THE  AUTHORITY  SHALL  HAVE  THE
POWER  AND IS HEREBY AUTHORIZED FROM TIME TO TIME TO ISSUE BONDS IN SUCH
PRINCIPAL AMOUNTS AS IT MAY DETERMINE TO BE NECESSARY TO PAY THE COST OF
ANY PROJECT OR FOR ANY OTHER  CORPORATE  PURPOSE,  INCLUDING  INCIDENTAL
EXPENSES  IN CONNECTION THEREWITH. THE AUTHORITY SHALL HAVE POWER AND IS
HEREBY AUTHORIZED TO ENTER INTO SUCH AGREEMENTS AND PERFORM SUCH ACTS AS
MAY BE REQUIRED UNDER ANY APPLICABLE FEDERAL  LEGISLATION  TO  SECURE  A
FEDERAL GUARANTEE OF ANY BONDS. THE AUTHORITY SHALL HAVE POWER FROM TIME
TO  TIME  TO  REFUND ANY BONDS BY THE ISSUANCE OF NEW BONDS, WHETHER THE
BONDS TO BE REFUNDED HAVE OR HAVE NOT MATURED, AND MAY ISSUE BONDS PART-
LY TO REFUND BONDS THEN OUTSTANDING AND PARTLY FOR ANY  OTHER  CORPORATE
PURPOSE.  BONDS  ISSUED  BY  THE  AUTHORITY  MAY  BE GENERAL OBLIGATIONS
SECURED BY THE FAITH AND CREDIT OF THE AUTHORITY OR MAY BE SPECIAL OBLI-
GATIONS PAYABLE SOLELY OUT OF PARTICULAR REVENUES OR OTHER MONEYS AS MAY
BE DESIGNATED IN THE PROCEEDINGS OF THE AUTHORITY UNDER WHICH THE  BONDS
SHALL  BE  AUTHORIZED  TO BE ISSUED, SUBJECT ONLY TO ANY AGREEMENTS WITH
THE HOLDERS OF OUTSTANDING BONDS PLEDGING ANY PARTICULAR REVENUES, EARN-
INGS, OR MONEYS.
  2. THE AUTHORITY IS AUTHORIZED TO OBTAIN FROM ANY DEPARTMENT OR AGENCY
OF THE UNITED STATES OF AMERICA OR THE  STATE  OR  ANY  NON-GOVERNMENTAL
INSURER OR FINANCIAL INSTITUTION ANY INSURANCE, GUARANTY OR OTHER CREDIT
SUPPORT  DEVICE, TO THE EXTENT NOW OR HEREAFTER AVAILABLE, AS TO, OR FOR
THE PAYMENT OR REPAYMENT OF INTEREST OR PRINCIPAL, OR BOTH, OR ANY  PART
THEREOF,  ON  ANY  BONDS  ISSUED  BY THE AUTHORITY AND TO ENTER INTO ANY
AGREEMENT OR CONTRACT WITH RESPECT TO ANY SUCH  INSURANCE  OR  GUARANTY,
EXCEPT  TO THE EXTENT THAT THE SAME WOULD IN ANY WAY IMPAIR OR INTERFERE
WITH THE ABILITY OF THE AUTHORITY TO PERFORM AND FULFILL  THE  TERMS  OF
ANY AGREEMENT MADE WITH THE HOLDERS OF OUTSTANDING BONDS OF THE AUTHORI-
TY.

S. 4168                            10

  3.  BONDS  SHALL  BE  AUTHORIZED BY RESOLUTION OF THE AUTHORITY, BE IN
SUCH DENOMINATIONS, BEAR SUCH DATE OR DATES AND MATURE AT SUCH  TIME  OR
TIMES AS SUCH RESOLUTION MAY PROVIDE, EXCEPT THAT BONDS AND ANY RENEWALS
THEREOF  SHALL MATURE WITHIN FORTY YEARS FROM THE DATE OF ORIGINAL ISSU-
ANCE  OF  ANY  SUCH  BONDS. OBLIGATIONS WITH A MATURITY OF FIVE YEARS OR
LESS FROM THE DATE OF THEIR  ORIGINAL  ISSUANCE  MAY  BE  DESIGNATED  AS
NOTES. BONDS SHALL BE SUBJECT TO SUCH TERMS OF REDEMPTION, BEAR INTEREST
AT  SUCH RATE OR RATES PER ANNUM PAYABLE AT SUCH TIMES, BE IN SUCH FORM,
CARRY SUCH REGISTRATION PRIVILEGES, BE EXECUTED IN SUCH MANNER, BE PAYA-
BLE IN SUCH MEDIUM OF PAYMENT AT SUCH PLACE OR PLACES, AND BE SUBJECT TO
SUCH TERMS AND CONDITIONS AS SUCH RESOLUTION MAY PROVIDE. BONDS  MAY  BE
SOLD AT PUBLIC OR PRIVATE SALE FOR SUCH PRICE OR PRICES AS THE AUTHORITY
SHALL  DETERMINE,  PROVIDED  THAT  NO BONDS OF THE AUTHORITY, OTHER THAN
OBLIGATIONS DESIGNATED AS NOTES, MAY BE SOLD BY THE AUTHORITY AT PRIVATE
SALE UNLESS SUCH SALE AND THE TERMS THEREOF HAVE BEEN APPROVED IN  WRIT-
ING  BY  THE  COMPTROLLER,  WHERE  SUCH  SALE IS NOT TO BE TO SUCH COMP-
TROLLER, OR BY THE STATE DIRECTOR OF THE BUDGET, WHERE SUCH SALE  IS  TO
BE  TO THE COMPTROLLER. THE AUTHORITY MAY PAY ALL EXPENSES, PREMIUMS AND
COMMISSIONS WHICH IT MAY DEEM NECESSARY OR  ADVANTAGEOUS  IN  CONNECTION
WITH THE ISSUANCE AND SALE OF BONDS.
  4.  ANY  RESOLUTION  OR  RESOLUTIONS AUTHORIZING BONDS OR ANY ISSUE OF
BONDS MAY CONTAIN PROVISIONS WHICH MAY BE A PART OF  THE  CONTRACT  WITH
THE HOLDERS OF THE BONDS THEREBY AUTHORIZED AS TO:
  (A) PLEDGING ALL OR ANY PART OF THE REVENUES OF THE AUTHORITY, TOGETH-
ER  WITH  ANY  OTHER  MONEYS  OR PROPERTY OF THE AUTHORITY TO SECURE THE
PAYMENT OF THE BONDS, INCLUDING BUT NOT LIMITED TO ANY CONTRACTS,  EARN-
INGS OR PROCEEDS OF ANY GRANT TO THE AUTHORITY RECEIVED FROM ANY PRIVATE
OR PUBLIC SOURCE;
  (B)  THE  SETTING  ASIDE OF RESERVES AND THE CREATION OF SINKING FUNDS
AND THE REGULATION AND DISPOSITION THEREOF;
  (C) LIMITATIONS ON THE PURPOSE TO WHICH THE PROCEEDS FROM THE SALE  OF
BONDS MAY BE APPLIED;
  (D) THE RATES, RENTS, FEES AND OTHER CHARGES TO BE FIXED AND COLLECTED
BY  THE  AUTHORITY AND THE AMOUNT TO BE RAISED IN EACH YEAR THEREBY, AND
THE USE AND DISPOSITION OF REVENUES;
  (E) LIMITATIONS ON THE RIGHT OF THE AUTHORITY TO RESTRICT AND REGULATE
THE USE OF THE PROJECT OR PART THEREOF IN CONNECTION  WITH  WHICH  BONDS
ARE ISSUED;
  (F)  LIMITATIONS  ON  THE ISSUANCE OF ADDITIONAL BONDS, THE TERMS UPON
WHICH ADDITIONAL BONDS MAY BE ISSUED AND SECURED AND  THE  REFUNDING  OF
OUTSTANDING OR OTHER BONDS;
  (G)  THE  PROCEDURE,  IF  ANY, BY WHICH THE TERMS OF ANY CONTRACT WITH
BONDHOLDERS MAY BE AMENDED OR ABROGATED, THE AMOUNT OF BONDS THE HOLDERS
OF WHICH MUST CONSENT THERETO, AND THE MANNER IN WHICH SUCH CONSENT  MAY
BE GIVEN;
  (H)  THE  CREATION  OF SPECIAL FUNDS INTO WHICH ANY REVENUES OR MONEYS
MAY BE DEPOSITED;
  (I) THE TERMS AND PROVISIONS OF ANY TRUST, DEED, MORTGAGE OR INDENTURE
SECURING THE BONDS UNDER WHICH THE BONDS MAY BE ISSUED;
  (J) VESTING IN A TRUSTEE OR TRUSTEES SUCH PROPERTIES,  RIGHTS,  POWERS
AND DUTIES IN TRUST AS THE AUTHORITY MAY DETERMINE WHICH MAY INCLUDE ANY
OR  ALL OF THE RIGHTS, POWERS AND DUTIES OF THE TRUSTEE APPOINTED BY THE
BONDHOLDERS PURSUANT TO SECTION ONE THOUSAND ONE HUNDRED  FOURTEEN-I  OF
THIS  TITLE  AND LIMITING OR ABROGATING THE RIGHTS OF THE BONDHOLDERS TO
APPOINT A TRUSTEE UNDER SUCH SECTION OR LIMITING THE RIGHTS, DUTIES  AND
POWERS OF SUCH TRUSTEE;

S. 4168                            11

  (K)  DEFINING  THE  ACTS  OR  OMISSIONS  TO ACT WHICH MAY CONSTITUTE A
DEFAULT IN THE OBLIGATIONS AND DUTIES OF THE AUTHORITY TO THE  BONDHOLD-
ERS  AND PROVIDING FOR THE RIGHTS AND REMEDIES OF THE BONDHOLDERS IN THE
EVENT OF SUCH DEFAULT, INCLUDING AS A MATTER OF RIGHT THE APPOINTMENT OF
A  RECEIVER,  PROVIDED, HOWEVER, THAT SUCH RIGHTS AND REMEDIES SHALL NOT
BE INCONSISTENT WITH THE GENERAL LAWS OF THE STATE AND OTHER  PROVISIONS
OF THIS TITLE;
  (L)  LIMITATIONS  ON  THE  POWER OF THE AUTHORITY TO SELL OR OTHERWISE
DISPOSE OF ANY PROJECT OR ANY PART THEREOF;
  (M) LIMITATIONS ON THE AMOUNT OF  REVENUES  AND  OTHER  MONEYS  TO  BE
EXPENDED FOR OPERATING, ADMINISTRATIVE OR OTHER EXPENSES OF THE AUTHORI-
TY;
  (N) THE PAYMENT OF THE PROCEEDS OF BONDS, REVENUES AND OTHER MONEYS TO
A TRUSTEE OR OTHER DEPOSITORY, AND FOR THE METHOD OF DISBURSEMENT THERE-
OF WITH SUCH SAFEGUARDS AND RESTRICTIONS AS THE AUTHORITY MAY DETERMINE;
AND
  (O)  ANY OTHER MATTERS OF LIKE OR DIFFERENT CHARACTER WHICH MAY IN ANY
WAY AFFECT THE SECURITY OR PROTECTION OF THE BONDS  OR  THE  RIGHTS  AND
REMEDIES OF BONDHOLDERS.
  5.  IN  ADDITION  TO THE POWERS HEREIN CONFERRED UPON THE AUTHORITY TO
SECURE ITS BONDS, THE AUTHORITY SHALL HAVE POWER IN CONNECTION WITH  THE
ISSUANCE  OF  BONDS  TO  ENTER INTO SUCH AGREEMENTS AS THE AUTHORITY MAY
DEEM NECESSARY, CONVENIENT OR DESIRABLE CONCERNING THE USE  OR  DISPOSI-
TION OF ITS REVENUES OR OTHER MONEYS OR PROPERTY, INCLUDING THE MORTGAG-
ING OF ANY OF ITS PROPERTIES AND THE ENTRUSTING, PLEDGING OR CREATION OF
ANY  OTHER  SECURITY INTEREST IN ANY SUCH REVENUES, MONEYS OR PROPERTIES
AND THE DOING OF ANY ACT (INCLUDING REFRAINING FROM DOING ANY ACT) WHICH
THE AUTHORITY WOULD HAVE THE RIGHT TO DO IN THE ABSENCE OF  SUCH  AGREE-
MENTS.  THE  AUTHORITY  SHALL HAVE POWER TO ENTER INTO AMENDMENTS OF ANY
SUCH AGREEMENTS WITHIN THE POWERS GRANTED TO THE AUTHORITY BY THIS TITLE
AND TO PERFORM SUCH AGREEMENTS. THE PROVISIONS OF  ANY  SUCH  AGREEMENTS
MAY  BE  MADE  A  PART  OF THE CONTRACT WITH THE HOLDERS OF BONDS OF THE
AUTHORITY.
  6. ANY PROVISION OF  THE  UNIFORM  COMMERCIAL  CODE  TO  THE  CONTRARY
NOTWITHSTANDING,  ANY  PLEDGE OF OR OTHER SECURITY INTEREST IN REVENUES,
MONEYS, ACCOUNTS, CONTRACT RIGHTS, GENERAL INTANGIBLES OR OTHER PERSONAL
PROPERTY MADE OR CREATED BY THE AUTHORITY SHALL BE  VALID,  BINDING  AND
PERFECTED  FROM  THE  TIME  WHEN  SUCH  PLEDGE IS MADE OR OTHER SECURITY
INTEREST ATTACHES WITHOUT ANY PHYSICAL DELIVERY  OF  THE  COLLATERAL  OR
FURTHER  ACT, AND THE LIEN OF ANY SUCH PLEDGE OR OTHER SECURITY INTEREST
SHALL BE VALID, BINDING AND PERFECTED AGAINST ALL PARTIES HAVING  CLAIMS
OF  ANY  KIND IN TORT, CONTRACT OR OTHERWISE AGAINST THE AUTHORITY IRRE-
SPECTIVE OF WHETHER OR NOT SUCH PARTIES HAVE NOTICE THEREOF. NO  INSTRU-
MENT  BY  WHICH  SUCH  A  PLEDGE OR SECURITY INTEREST IS CREATED NOR ANY
FINANCING STATEMENT NEED BE RECORDED OR FILED.
  7. WHETHER OR NOT THE BONDS ARE OF SUCH FORM AND CHARACTER  AS  TO  BE
NEGOTIABLE  INSTRUMENTS  UNDER THE TERMS OF THE UNIFORM COMMERCIAL CODE,
THE BONDS ARE HEREBY MADE NEGOTIABLE INSTRUMENTS WITHIN THE  MEANING  OF
AND FOR ALL THE PURPOSES OF THE UNIFORM COMMERCIAL CODE, SUBJECT ONLY TO
THE PROVISIONS OF THE BONDS FOR REGISTRATION.
  8. NEITHER THE MEMBERS OF THE AUTHORITY NOR ANY PERSON EXECUTING BONDS
SHALL BE LIABLE PERSONALLY THEREON OR BE SUBJECT TO ANY PERSONAL LIABIL-
ITY OR ACCOUNTABILITY BY REASON OF THE ISSUANCE THEREOF.
  9.  THE AUTHORITY, SUBJECT TO SUCH AGREEMENTS WITH BONDHOLDERS AS THEN
MAY EXIST, SHALL HAVE POWER OUT OF  ANY  MONEYS  AVAILABLE  THEREFOR  TO
PURCHASE BONDS OF THE AUTHORITY, WHICH SHALL THEREUPON BE CANCELLED.

S. 4168                            12

  S 1114-I. REMEDIES OF BONDHOLDERS. SUBJECT TO ANY RESOLUTION OR RESOL-
UTIONS  ADOPTED PURSUANT TO PARAGRAPH (J) OF SUBDIVISION FOUR OF SECTION
ONE THOUSAND ONE HUNDRED FOURTEEN-H OF THIS TITLE:
  1.  IN  THE  EVENT  THAT THE AUTHORITY SHALL DEFAULT IN THE PAYMENT OF
PRINCIPAL OR OF INTEREST ON ANY ISSUE OF  BONDS  AFTER  THE  SAME  SHALL
BECOME  DUE,  WHETHER  AT MATURITY OR UPON CALL FOR REDEMPTION, AND SUCH
DEFAULT SHALL CONTINUE FOR A PERIOD OF THIRTY DAYS, OR IN THE EVENT THAT
THE AUTHORITY SHALL FAIL OR REFUSE TO COMPLY WITH THE PROVISIONS OF THIS
TITLE OR SHALL DEFAULT IN ANY AGREEMENT MADE WITH  THE  HOLDERS  OF  ANY
ISSUE  OF BONDS, THE HOLDERS OF TWENTY-FIVE PERCENT IN AGGREGATE PRINCI-
PAL AMOUNT OF THE BONDS OF SUCH ISSUE THEN OUTSTANDING, BY INSTRUMENT OR
INSTRUMENTS FILED IN THE OFFICE OF THE CLERK OF THE SECRETARY  OF  STATE
AND  PROVED OR ACKNOWLEDGED IN THE SAME MANNER AS A DEED TO BE RECORDED,
MAY APPOINT A TRUSTEE TO REPRESENT THE HOLDERS OF  SUCH  BONDS  FOR  THE
PURPOSE HEREIN PROVIDED.
  2.  SUCH TRUSTEE MAY AND, UPON WRITTEN REQUEST OF THE HOLDERS OF TWEN-
TY-FIVE PERCENT IN PRINCIPAL AMOUNT OF SUCH BONDS OUTSTANDING, SHALL  IN
HIS, HER OR ITS OWN NAME:
  (A)  BY ACTION OR PROCEEDING IN ACCORDANCE WITH THE CIVIL PRACTICE LAW
AND RULES, ENFORCE ALL RIGHTS OF THE BONDHOLDERS, INCLUDING THE RIGHT TO
REQUIRE THE AUTHORITY TO COLLECT RENTS, RATES AND  CHARGES  ADEQUATE  TO
CARRY  OUT  ANY  AGREEMENT  AS  TO,  OR PLEDGE OF, SUCH RENTS, RATES AND
CHARGES AND TO REQUIRE THE AUTHORITY TO CARRY OUT ANY  OTHER  AGREEMENTS
WITH THE HOLDERS OF SUCH BONDS TO PERFORM ITS DUTIES UNDER THIS TITLE;
  (B) BRING AN ACTION OR PROCEEDING UPON SUCH BONDS;
  (C) BY ACTION OR PROCEEDING, REQUIRE THE AUTHORITY TO ACCOUNT AS IF IT
WERE THE TRUSTEE OF AN EXPRESS TRUST FOR THE HOLDERS OF SUCH BONDS;
  (D)  BY  ACTION  OR PROCEEDING, ENJOIN ANY ACTS OR THINGS WHICH MAY BE
UNLAWFUL OR IN VIOLATION OF THE RIGHTS OF THE HOLDERS OF SUCH BONDS; AND
  (E) DECLARE ALL SUCH BONDS DUE AND PAYABLE, AND IF ALL DEFAULTS  SHALL
BE  MADE  GOOD,  THEN  WITH  THE  CONSENT  OF THE HOLDERS OF TWENTY-FIVE
PERCENT OF THE PRINCIPAL AMOUNT OF SUCH BONDS  THEN  OUTSTANDING,  ANNUL
SUCH DECLARATION AND ITS CONSEQUENCES.
  3.  SUCH  TRUSTEE  SHALL IN ADDITION TO THE FOREGOING HAVE AND POSSESS
ALL OF THE POWERS NECESSARY OR APPROPRIATE FOR THE EXERCISE OF ANY FUNC-
TIONS SPECIFICALLY SET FORTH HEREIN OR INCIDENT TO THE GENERAL REPRESEN-
TATION OF BONDHOLDERS IN THE ENFORCEMENT AND PROTECTION OF THEIR RIGHTS.
  4. THE SUPREME COURT SHALL HAVE JURISDICTION OF ANY ACTION OR PROCEED-
ING BY THE TRUSTEE ON BEHALF OF SUCH BONDHOLDERS. THE VENUE OF ANY  SUCH
ACTION OR PROCEEDING SHALL BE LAID IN THE COUNTY OF KINGS.
  5.  BEFORE DECLARING THE PRINCIPAL OF BONDS DUE AND PAYABLE, THE TRUS-
TEE SHALL FIRST GIVE THIRTY DAYS NOTICE IN WRITING TO THE AUTHORITY.
  6. ANY SUCH TRUSTEE, WHETHER OR NOT THE ISSUE OF BONDS REPRESENTED  BY
SUCH  TRUSTEE HAS BEEN DECLARED DUE AND PAYABLE, SHALL BE ENTITLED AS OF
RIGHT TO THE APPOINTMENT OF A RECEIVER OF ANY PART OR PARTS OF THE PROP-
ERTIES THE REVENUES OF WHICH ARE PLEDGED FOR THE SECURITY OF  THE  BONDS
OF  SUCH  ISSUE, AND, SUBJECT TO ANY PLEDGE OR AGREEMENT WITH HOLDERS OF
SUCH BONDS, SUCH RECEIVER MAY ENTER AND TAKE POSSESSION OF SUCH PART  OR
PARTS  OF  THE  PROPERTIES  AND  SHALL TAKE POSSESSION OF ALL MONEYS AND
OTHER PROPERTY DERIVED FROM SUCH PART OR PARTS OF  SUCH  PROPERTIES  AND
PROCEED  WITH ANY CONSTRUCTION THEREON OR THE ACQUISITION OF ANY PROPER-
TY, REAL OR PERSONAL, IN CONNECTION THEREWITH  WHICH  THE  AUTHORITY  IS
UNDER  OBLIGATION  TO  DO, AND TO OPERATE, MAINTAIN AND RECONSTRUCT SUCH
PART OR PARTS OF THE PROPERTIES AND COLLECT  AND  RECEIVE  ALL  REVENUES
THEREAFTER  ARISING THEREFROM SUBJECT TO ANY PLEDGE THEREOF OR AGREEMENT
WITH BONDHOLDERS RELATING THERETO AND  PERFORM  THE  PUBLIC  DUTIES  AND

S. 4168                            13

CARRY  OUT  THE  AGREEMENTS  AND  OBLIGATIONS OF THE AUTHORITY UNDER THE
DIRECTION OF THE COURT. IN ANY SUIT, ACTION OR PROCEEDING BY  THE  TRUS-
TEE,  THE  FEES,  COUNSEL  FEES  AND  EXPENSES OF THE TRUSTEE AND OF THE
RECEIVER,  IF  ANY, SHALL CONSTITUTE TAXABLE DISBURSEMENTS AND ALL COSTS
AND DISBURSEMENTS ALLOWED BY THE COURT SHALL BE A FIRST  CHARGE  ON  ANY
REVENUES DERIVED FROM THE PROPERTIES.
  S  1114-J. STATE AND SEA GATE COMMUNITY NOT LIABLE ON AUTHORITY BONDS.
NEITHER THE STATE NOR THE SEA GATE COMMUNITY  SHALL  BE  LIABLE  ON  THE
BONDS  OF THE AUTHORITY AND SUCH BONDS SHALL NOT BE A DEBT OF THE STATE,
OR THE SEA GATE COMMUNITY, AND SUCH BONDS SHALL  CONTAIN,  ON  THE  FACE
THEREOF, A STATEMENT TO SUCH EFFECT.
  S  1114-K.  MONEYS  OF THE AUTHORITY. ALL MONEYS OF THE AUTHORITY FROM
WHATEVER SOURCE DERIVED SHALL BE PAID TO THE TREASURER OF THE  AUTHORITY
AND  SHALL BE DEPOSITED FORTHWITH IN A BANK OR BANKS IN THE STATE DESIG-
NATED BY THE GOVERNING BODY. THE MONEYS IN SUCH ACCOUNTS SHALL  BE  PAID
OUT  ON CHECK OF THE TREASURER UPON REQUISITION BY THE GOVERNING BODY OR
OF SUCH OTHER PERSON OR PERSONS AS THE GOVERNING BODY MAY  AUTHORIZE  TO
MAKE  SUCH REQUISITIONS. ALL DEPOSITS OF SUCH MONEYS SHALL BE SECURED BY
OBLIGATIONS OF THE UNITED STATES OR OF THE STATE  OR  OF  THE  SEA  GATE
COMMUNITY  OF A MARKET VALUE EQUAL AT ALL TIMES TO THE AMOUNT ON DEPOSIT
AND ALL BANKS AND TRUST COMPANIES ARE AUTHORIZED TO GIVE  SUCH  SECURITY
FOR  SUCH DEPOSITS.  THE AUTHORITY SHALL HAVE POWER, NOTWITHSTANDING THE
PROVISIONS OF THIS SECTION, TO CONTRACT WITH THE HOLDERS OF ANY BONDS AS
TO THE CUSTODY, COLLECTION, SECURITY,  INVESTMENT  AND  PAYMENT  OF  ANY
MONEYS OF THE AUTHORITY OR ANY MONEYS HELD IN TRUST OR OTHERWISE FOR THE
PAYMENT  OF  BONDS  OR  IN ANY WAY TO SECURE BONDS, AND TO CARRY OUT ANY
SUCH CONTRACT NOTWITHSTANDING THAT SUCH  CONTRACT  MAY  BE  INCONSISTENT
WITH  THE  PROVISIONS OF THIS SECTION. MONEYS HELD IN TRUST OR OTHERWISE
FOR THE PAYMENT OF BONDS OR IN ANY WAY TO SECURE BONDS AND  DEPOSITS  OF
SUCH MONEYS MAY BE SECURED IN THE SAME MANNER AS MONEYS OF THE AUTHORITY
AND  ALL  BANKS AND TRUST COMPANIES ARE AUTHORIZED TO GIVE SUCH SECURITY
FOR SUCH DEPOSITS. ANY MONEYS OF THE AUTHORITY NOT REQUIRED FOR  IMMEDI-
ATE  USE  OR  DISBURSEMENT  MAY,  AT THE DISCRETION OF THE AUTHORITY, BE
INVESTED IN THOSE OBLIGATIONS SPECIFIED PURSUANT TO  THE  PROVISIONS  OF
SECTION  NINETY-EIGHT-A  OF  THE  STATE  FINANCE  LAW.    SUBJECT TO THE
PROVISIONS OF ANY CONTRACT WITH BONDHOLDERS AND WITH THE APPROVAL OF THE
COMPTROLLER, THE AUTHORITY SHALL PRESCRIBE A SYSTEM OF ACCOUNTS.
  S 1114-L. BONDS LEGAL INVESTMENTS FOR FIDUCIARIES. THE  BONDS  OF  THE
AUTHORITY  ARE  HEREBY MADE SECURITIES IN WHICH ALL PUBLIC OFFICIALS AND
BODIES OF THE STATE AND ALL MUNICIPALITIES, ALL INSURANCE COMPANIES  AND
ASSOCIATIONS  AND  OTHER  PERSONS CARRYING ON AN INSURANCE BUSINESS, ALL
BANKS, BANKERS, TRUST COMPANIES, SAVINGS BANKS AND SAVINGS ASSOCIATIONS,
INCLUDING SAVINGS AND LOAN ASSOCIATIONS, INVESTMENT COMPANIES AND  OTHER
PERSONS  CARRYING  ON A BANKING BUSINESS, AND ADMINISTRATORS, GUARDIANS,
EXECUTORS, TRUSTEES AND OTHER FIDUCIARIES AND ALL OTHER PERSONS  WHATSO-
EVER,  WHO  ARE NOW OR MAY HEREAFTER BE AUTHORIZED TO INVEST IN BONDS OR
OTHER OBLIGATIONS OF THE STATE, MAY PROPERLY AND  LEGALLY  INVEST  FUNDS
INCLUDING  CAPITAL  IN THEIR CONTROL OR BELONGING TO THEM. THE BONDS ARE
ALSO HEREBY MADE SECURITIES WHICH MAY  BE  DEPOSITED  WITH  AND  MAY  BE
RECEIVED BY ALL PUBLIC OFFICERS AND BODIES OF THIS STATE AND ALL MUNICI-
PALITIES  FOR ANY PURPOSES FOR WHICH THE DEPOSIT OF BONDS OR OTHER OBLI-
GATIONS OF THIS STATE IS NOW OR HEREAFTER MAY BE AUTHORIZED.
  S 1114-M. AGREEMENT OF THE STATE. THE STATE DOES HEREBY PLEDGE TO  AND
AGREE  WITH THE HOLDERS OF ANY BONDS ISSUED BY THE AUTHORITY PURSUANT TO
THIS TITLE THAT THE STATE WILL NOT ALTER  OR  LIMIT  THE  RIGHTS  HEREBY
VESTED  IN  THE  AUTHORITY  TO  PURCHASE,  CONSTRUCT, MAINTAIN, OPERATE,

S. 4168                            14

REPAIR, IMPROVE, INCREASE, ENLARGE, EXTEND, RECONSTRUCT, RENOVATE, REHA-
BILITATE OR DISPOSE OF ANY PROJECT, OR ANY PART OR  PARTS  THEREOF,  FOR
WHICH  BONDS  OF  THE AUTHORITY SHALL HAVE BEEN ISSUED, TO ESTABLISH AND
COLLECT  RATES,  RENTS, FEES AND OTHER CHARGES REFERRED TO IN THIS TITLE
AND TO FULFILL THE TERMS OF ANY AGREEMENT MADE WITH OR FOR  THE  BENEFIT
OF  THE  HOLDERS  OF  THE BONDS OR WITH ANY PUBLIC CORPORATION OR PERSON
WITH REFERENCE TO SUCH PROJECT OR PART THEREOF, OR IN ANY WAY IMPAIR THE
RIGHTS AND REMEDIES OF THE BONDHOLDERS, UNTIL THE BONDS,  TOGETHER  WITH
THE  INTEREST  THEREON, INCLUDING INTEREST ON ANY UNPAID INSTALLMENTS OF
INTEREST, AND ALL COSTS AND EXPENSES IN CONNECTION WITH  ANY  ACTION  OR
PROCEEDING  BY  OR  ON  BEHALF  OF  SUCH  HOLDERS,  ARE  FULLY  MET  AND
DISCHARGED. THE AUTHORITY IS  AUTHORIZED  TO  INCLUDE  THIS  PLEDGE  AND
AGREEMENT OF THE STATE IN ANY AGREEMENT WITH BONDHOLDERS.
  S  1114-N.  EXEMPTION FROM TAXES, ASSESSMENTS AND CERTAIN FEES.  1. IT
IS HEREBY DETERMINED THAT THE CREATION OF THE AUTHORITY AND THE CARRYING
OUT OF ITS CORPORATE PURPOSES IS IN ALL RESPECTS FOR THE BENEFIT OF  THE
PEOPLE  OF  THE SEA GATE COMMUNITY AND THE STATE AND IS A PUBLIC PURPOSE
AND THE AUTHORITY SHALL BE REGARDED AS PERFORMING A  GOVERNMENTAL  FUNC-
TION  IN  THE EXERCISE OF THE POWERS CONFERRED UPON IT BY THIS TITLE AND
SHALL NOT BE REQUIRED TO PAY ANY TAXES, SPECIAL  AD  VALOREM  LEVIES  OR
SPECIAL ASSESSMENTS UPON ANY PROPERTY OWNED BY IT OR UNDER ITS JURISDIC-
TION,  CONTROL  OR  SUPERVISION  OR  UPON ITS ACTIVITIES, OR ANY FILING,
RECORDING OR TRANSFER FEES OR TAXES IN RELATION  TO  INSTRUMENTS  FILED,
RECORDED  OR  TRANSFERRED BY IT OR ON ITS BEHALF. THE CONSTRUCTION, USE,
OCCUPATION OR POSSESSION OF ANY PROPERTY OWNED BY THE AUTHORITY  OR  THE
SEA  GATE  COMMUNITY,  INCLUDING  IMPROVEMENTS THEREON, BY ANY PERSON OR
PUBLIC CORPORATION UNDER A LEASE, LEASE AND SUBLEASE OR ANY OTHER AGREE-
MENT SHALL NOT OPERATE TO ABROGATE OR  LIMIT  THE  FOREGOING  EXEMPTION,
NOTWITHSTANDING  THAT THE LESSEE, USER, OCCUPANT OR PERSON IN POSSESSION
SHALL CLAIM OWNERSHIP FOR FEDERAL INCOME TAX PURPOSES.
  2. ANY BONDS ISSUED PURSUANT TO THIS TITLE TOGETHER  WITH  THE  INCOME
THEREFROM  SHALL  BE EXEMPT FROM TAXATION EXCEPT FOR TRANSFER AND ESTATE
TAXES. THE REVENUES, MONEYS AND OTHER PROPERTIES AND ACTIVITIES  OF  THE
AUTHORITY  SHALL  BE EXEMPT FROM TAXES AND GOVERNMENTAL FEES OR CHARGES,
WHETHER IMPOSED BY THE STATE OR ANY MUNICIPALITY, INCLUDING REAL  ESTATE
TAXES, FRANCHISE TAXES, SALES TAXES OR OTHER EXCISE TAXES.
  3.  THE  STATE HEREBY COVENANTS WITH THE PURCHASER AND WITH ALL SUBSE-
QUENT HOLDERS AND TRANSFEREES OF BONDS ISSUED BY THE AUTHORITY  PURSUANT
TO THIS TITLE, IN CONSIDERATION OF THE ACCEPTANCE OF AND PAYMENT FOR THE
BONDS, THAT THE BONDS OF THE AUTHORITY ISSUED PURSUANT TO THIS TITLE AND
THE  INCOME  THEREFROM  SHALL BE EXEMPT FROM TAXATION, AS AFORESTATED IN
SUBDIVISION TWO OF THIS SECTION, AND  THAT  ALL  REVENUES,  MONEYS,  AND
OTHER  PROPERTY PLEDGED TO SECURE THE PAYMENT OF SUCH BONDS SHALL AT ALL
TIMES BE FREE FROM SUCH TAXATION AS AFORESTATED IN SUCH SUBDIVISION.
  S 1114-O. ACTIONS AGAINST AUTHORITY. 1. EXCEPT IN AN ACTION FOR WRONG-
FUL DEATH, NO ACTION OR SPECIAL PROCEEDING SHALL BE PROSECUTED OR  MAIN-
TAINED  AGAINST  THE  AUTHORITY FOR PERSONAL INJURY OR DAMAGE TO REAL OR
PERSONAL PROPERTY ALLEGED TO HAVE BEEN SUSTAINED BY REASON OF THE NEGLI-
GENCE OR WRONGFUL ACT OF THE AUTHORITY OR OF ANY MEMBER, OFFICER,  AGENT
OR  EMPLOYEE  THEREOF, UNLESS (A) A NOTICE OF CLAIM SHALL HAVE BEEN MADE
AND SERVED UPON THE AUTHORITY WITHIN THE TIME LIMIT PRESCRIBED BY AND IN
COMPLIANCE WITH SECTION FIFTY-E OF THE GENERAL  MUNICIPAL  LAW,  (B)  IT
SHALL  APPEAR  BY AND AS AN ALLEGATION IN THE COMPLAINT OR MOVING PAPERS
THAT AT LEAST THIRTY DAYS HAVE ELAPSED SINCE THE SERVICE OF SUCH  NOTICE
AND  THAT  ADJUSTMENT  OR PAYMENT THEREOF HAS BEEN NEGLECTED OR REFUSED,
AND (C) THE ACTION OR SPECIAL PROCEEDING SHALL BE COMMENCED  WITHIN  ONE

S. 4168                            15

YEAR  AND  NINETY  DAYS  AFTER THE HAPPENING OF THE EVENT UPON WHICH THE
CLAIM IS BASED. AN ACTION AGAINST THE AUTHORITY FOR WRONGFUL DEATH SHALL
BE COMMENCED IN ACCORDANCE WITH THE NOTICE OF CLAIM AND TIME  LIMITATION
PROVISIONS OF TITLE ELEVEN OF ARTICLE NINE OF THIS CHAPTER.
  2.  WHEREVER  A NOTICE OF CLAIM IS SERVED UPON THE AUTHORITY, IT SHALL
HAVE THE RIGHT TO DEMAND AN EXAMINATION OF THE CLAIMANT RELATIVE TO  THE
OCCURRENCE  AND  EXTENT  OF  THE  INJURIES OR DAMAGES FOR WHICH CLAIM IS
MADE, IN ACCORDANCE WITH THE PROVISIONS OF SECTION FIFTY-H OF THE GENER-
AL MUNICIPAL LAW.
  3. THE AUTHORITY MAY REQUIRE ANY PERSON, PRESENTING FOR SETTLEMENT  AN
ACCOUNT  OR  CLAIM  FOR  ANY CAUSE WHATEVER AGAINST THE AUTHORITY, TO BE
SWORN BEFORE A MEMBER, COUNSEL, OFFICER OR  EMPLOYEE  OF  THE  AUTHORITY
DESIGNATED  FOR  SUCH PURPOSE CONCERNING SUCH ACCOUNT OR CLAIM AND, WHEN
SO SWORN, TO ANSWER ORALLY AS TO ANY FACTS RELATIVE TO SUCH  ACCOUNT  OR
CLAIM.  THE AUTHORITY SHALL HAVE POWER TO SETTLE OR ADJUST ALL CLAIMS IN
FAVOR OF OR AGAINST THE AUTHORITY.
  4. THE RATE OF INTEREST TO BE PAID BY THE AUTHORITY UPON ANY  JUDGMENT
FOR WHICH IT IS LIABLE, OTHER THAN A JUDGMENT ON ITS BONDS, SHALL BE THE
RATE  PRESCRIBED BY SECTION THREE-A OF THE GENERAL MUNICIPAL LAW. INTER-
EST ON PAYMENTS OF PRINCIPAL OR INTEREST ON ANY BONDS IN  DEFAULT  SHALL
ACCRUE  AT  THE  RATE OR RATES SET FORTH IN SUCH BONDS FROM THE DUE DATE
THEREOF UNTIL PAID OR OTHERWISE SATISFIED.
  S 1114-P. CONTRACTS. 1. ALL CONTRACTS OR ORDERS FOR WORK, MATERIAL  OR
SUPPLIES PERFORMED OR FURNISHED IN CONNECTION WITH CONSTRUCTION SHALL BE
AWARDED  BY  THE  AUTHORITY PURSUANT TO RESOLUTION OF THE GOVERNING BODY
EXCEPT AS HEREINAFTER PROVIDED. SUCH AWARDS, WHEN APPLICABLE,  SHALL  BE
MADE  IN  COMPLIANCE WITH PARAGRAPH (E) OF SUBDIVISION FOUR AND SUBDIVI-
SION SEVEN OF SECTION ONE HUNDRED TWENTY-W OF THE GENERAL MUNICIPAL LAW.
IN ANY CONSTRUCTION CONTRACT, THE AUTHORITY MAY PROVIDE  A  PROGRAM  FOR
THE  PAYMENT  OF  DAMAGES  FOR  DELAYS  AND INCENTIVE AWARDS IN ORDER TO
ENCOURAGE TIMELY PROJECT  COMPLETION.  AN  ACTION,  SUIT  OR  PROCEEDING
CONTESTING  THE VALIDITY OF A CONTRACT AWARDED PURSUANT TO THIS SECTION,
OR THE VALIDITY OF THE PROCEDURES  RELATING  TO  SUCH  AWARD,  SHALL  BE
GOVERNED  BY  THE  PROVISIONS  OF SUBDIVISION SIX OF SECTION ONE HUNDRED
TWENTY-W OF THE GENERAL MUNICIPAL LAW AND  THE  TERM  "MUNICIPALITY"  AS
USED IN SUCH SUBDIVISION SIX SHALL MEAN THE AUTHORITY.
  2. THE BIDDER WHOSE BID IS ACCEPTED SHALL GIVE SECURITY FOR THE FAITH-
FUL PERFORMANCE OF THE CONTRACT, AND SUCH OTHER SECURITY AS THE AUTHORI-
TY  MAY  REQUIRE,  AND MAY BE REQUIRED TO MAINTAIN ANY CONSTRUCTION DONE
UNDER THE CONTRACT FOR SUCH PERIOD AS SHALL BE STIPULATED,  ALL  IN  THE
MANNER  PRESCRIBED AND REQUIRED BY THE AUTHORITY, AND THE SUFFICIENCY OF
SUCH SECURITY SHALL, IN ADDITION TO THE JUSTIFICATION  AND  ACKNOWLEDGE-
MENT,  BE  APPROVED  BY  THE  AUTHORITY.  ALL BIDS OR PROPOSALS SHALL BE
PUBLICLY OPENED BY THE GOVERNING BODY OR ITS DULY AUTHORIZED  AGENT.  IF
THE  BIDDER  WHOSE  BID  OR PROPOSAL HAS BEEN ACCEPTED AFTER ADVERTISING
SHALL NEGLECT OR REFUSE TO ACCEPT THE CONTRACT WITHIN  FIVE  DAYS  AFTER
WRITTEN  NOTICE  THAT THE CONTRACT HAS BEEN AWARDED TO HIM ON HIS BID OR
PROPOSAL, OR IF HE ACCEPTS BUT DOES NOT EXECUTE THE  CONTRACT  AND  GIVE
PROPER  SECURITY,  THE  AUTHORITY  SHALL  HAVE  THE RIGHT TO DECLARE HIS
DEPOSIT FORFEITED. IN CASE ANY WORK SHALL BE ABANDONED BY  ANY  CONTRAC-
TOR,  THE  AUTHORITY  MAY,  IF IT DETERMINES THAT THE PUBLIC INTEREST IS
THEREBY SERVED, ADOPT ON BEHALF OF THE AUTHORITY ANY OR ALL SUBCONTRACTS
MADE BY SUCH CONTRACTOR FOR SUCH WORK AND ALL SUCH SUBCONTRACTORS  SHALL
BE  BOUND BY SUCH ADOPTION IF MADE. NO BID OR PROPOSAL SHALL BE ACCEPTED
FROM, OR ANY CONTRACT AWARDED TO, ANY PERSON OR CORPORATION  WHO  IS  IN
ARREARS  TO  THE AUTHORITY OR THE SEA GATE COMMUNITY UPON ANY OBLIGATION

S. 4168                            16

OF THE AUTHORITY OR OF THE SEA GATE COMMUNITY. EVERY CONTRACT  INVOLVING
AN  EXPENDITURE OF MORE THAN FIVE THOUSAND DOLLARS WHEN MADE AND ENTERED
INTO AS HEREIN PROVIDED FOR SHALL BE EXECUTED IN DUPLICATE, ONE COPY  OF
WHICH  SHALL  BE  HELD  BY  THE AUTHORITY AND ONE COPY OF WHICH SHALL BE
DELIVERED TO THE CONTRACTOR. THE AUTHORITY MAY  ADOPT,  UTILIZE,  RATIFY
AND  CONFIRM  ANY  REQUEST  FOR  PROPOSALS,  INVITATION FOR SEALED BIDS,
PLANS, SPECIFICATIONS AND NOTICES HERETOFORE OR HEREAFTER  PUBLISHED  BY
THE  SEA  GATE  COMMUNITY  WITH RESPECT TO ANY PROPOSED PROJECT, AND THE
AUTHORITY MAY ADOPT, UTILIZE, ACCEPT AND CONFIRM ANY BIDS  OR  PROPOSALS
SUBMITTED TO THE SEA GATE COMMUNITY AND HERETOFORE OR HEREAFTER RECEIVED
AND  PUBLICLY  OPENED BY THE SEA GATE COMMUNITY.  THE PROVISIONS OF THIS
SECTION SHALL SUPERSEDE  ANY  INCONSISTENT  PROVISIONS  OF  THE  GENERAL
MUNICIPAL  LAW,  ANY OTHER GENERAL, SPECIAL OR LOCAL LAW, OR THE CHARTER
OF THE SEA GATE COMMUNITY.
  S 1114-Q. INTEREST IN CONTRACTS PROHIBITED. IT SHALL BE A  MISDEMEANOR
FOR  ANY  MEMBER OF THE GOVERNING BODY OR ANY OFFICER, AGENT, SERVANT OR
EMPLOYEE OF THE AUTHORITY TO BE IN ANY WAY OR MANNER INTERESTED, DIRECT-
LY OR INDIRECTLY, IN THE FURNISHING  OF  WORK,  MATERIALS,  SUPPLIES  OR
LABOR,  OR  IN ANY CONTRACT THEREFOR WHICH THE AUTHORITY IS EMPOWERED BY
THIS TITLE TO MAKE.
  S 1114-R. AUDIT AND ANNUAL REPORT. IN CONFORMITY WITH  THE  PROVISIONS
OF  SECTION FIVE OF ARTICLE TEN OF THE CONSTITUTION, THE ACCOUNTS OF THE
AUTHORITY SHALL BE SUBJECT TO THE SUPERVISION OF  THE  COMPTROLLER.  THE
AUTHORITY  SHALL  ANNUALLY SUBMIT TO THE GOVERNOR AND COMPTROLLER AND TO
THE STATE LEGISLATURE A DETAILED REPORT PURSUANT TO  THE  PROVISIONS  OF
SECTION  TWO  THOUSAND EIGHT HUNDRED OF THIS CHAPTER, AND A COPY OF SUCH
REPORT SHALL BE FILED WITH THE CHIEF EXECUTIVE  OFFICER.  THE  AUTHORITY
SHALL  COMPLY WITH THE PROVISIONS OF SECTIONS TWO THOUSAND EIGHT HUNDRED
ONE, TWO THOUSAND EIGHT HUNDRED TWO,  AND  TWO  THOUSAND  EIGHT  HUNDRED
THREE OF THIS CHAPTER.
  S  1114-S.  LIMITED  LIABILITY.  NEITHER  THE MEMBERS OF THE GOVERNING
BODY, NOR ANY MUNICIPALITY, OFFICER OR EMPLOYEE ACTING  IN  ITS  BEHALF,
WHILE  ACTING  WITHIN  THE SCOPE OF THEIR AUTHORITY, SHALL BE SUBJECT TO
ANY PERSONAL LIABILITY RESULTING FROM THE CONSTRUCTION,  MAINTENANCE  OR
OPERATION OF ANY OF THE PROPERTIES OF THE AUTHORITY OR FROM CARRYING OUT
ANY OF THE POWERS EXPRESSLY GIVEN IN THIS TITLE; PROVIDED, HOWEVER, THAT
THIS SECTION SHALL NOT BE HELD TO APPLY TO ANY INDEPENDENT CONTRACTOR.
  S  1114-T.  ENVIRONMENTAL  APPLICATIONS,  PROCEEDINGS,  APPROVALS  AND
PERMITS. 1. ANY APPLICATION IN RELATION TO THE PURPOSES  OF  OR  CONTEM-
PLATED  BY  THIS  TITLE  HERETOFORE  FILED, OR ANY PROCEEDING HERETOFORE
COMMENCED, BY THE SEA GATE COMMUNITY WITH THE STATE DEPARTMENT OF  ENVI-
RONMENTAL  CONSERVATION,  THE  DEPARTMENT OF TRANSPORTATION OR ANY OTHER
STATE AGENCY OR INSTRUMENTALITY OR WITH THE UNITED STATES  ENVIRONMENTAL
PROTECTION  AGENCY  OR ANY OTHER FEDERAL AGENCY OR INSTRUMENTALITY SHALL
INURE TO AND FOR THE BENEFIT OF THE AUTHORITY TO THE SAME EXTENT AND  IN
THE SAME MANNER AS IF THE AUTHORITY HAD BEEN A PARTY TO SUCH APPLICATION
OR  PROCEEDING  FROM  ITS INCEPTION, AND THE AUTHORITY SHALL BE DEEMED A
PARTY THERETO, TO THE EXTENT NOT PROHIBITED  BY  ANY  FEDERAL  LAW.  ANY
LICENSE,  APPROVAL, PERMIT OR DECISION HERETOFORE OR HEREAFTER ISSUED OR
GRANTED PURSUANT TO OR AS A RESULT OF ANY SUCH APPLICATION OR PROCEEDING
SHALL INURE TO THE BENEFIT OF AND BE  BINDING  UPON  THE  AUTHORITY  AND
SHALL  BE  ASSIGNED  AND  TRANSFERRED  BY  THE SEA GATE COMMUNITY TO THE
AUTHORITY, UNLESS SUCH ASSIGNMENT AND TRANSFER IS PROHIBITED BY  FEDERAL
LAW.
  2.  ALL  SUCH  APPLICATIONS, PROCEEDINGS, LICENSES, APPROVALS, PERMITS
AND DECISIONS SHALL FURTHER INURE TO AND FOR THE BENEFIT OF AND BE BIND-

S. 4168                            17

ING UPON ANY PERSON LEASING, ACQUIRING, CONSTRUCTING, MAINTAINING, USING
OR OCCUPYING ANY FACILITY FINANCED IN WHOLE OR IN PART BY THE AUTHORITY.
  S  1114-U. SEA GATE COMMUNITY MAY LEVY TAX WITHIN DISTRICT.  SHOULD IT
APPEAR TO THE BOARD OF DIRECTORS OF THE SEA GATE COMMUNITY AT  ANY  TIME
THAT  THE REVENUE OF THE AUTHORITY IS OR WILL BE INSUFFICIENT TO PROVIDE
FOR THE PAYMENT OF ANY BONDS ISSUED UNDER THIS TITLE  AND  TO  REIMBURSE
THE  SEA  GATE COMMUNITY FOR ANY MONEYS THAT IT MAY HAVE ADVANCED TO THE
AUTHORITY, THE BOARD OF DIRECTORS OF THE SEA GATE COMMUNITY SHALL DETER-
MINE THE AMOUNT OF MONEY OF NECESSARY TO BE RAISED FOR SUCH PURPOSE, AND
SHALL LEVY A TAX ON THE TERRITORY OF THE DISTRICT LOCATED WITHIN THE SEA
GATE COMMUNITY AND UPON THE  SEVERAL  PARCELS  OF  REAL  ESTATE  IN  THE
DISTRICT  LOCATED  WITHIN THE SEA GATE COMMUNITY IN AN AMOUNT SUFFICIENT
TO PRODUCE THE AMOUNT NECESSARY TO BE RAISED AS AFORESAID; PROVIDED THAT
SUCH TAX SHALL NOT BE LEVIED TO PAY ANY BONDS OF  THE  AUTHORITY  UNLESS
THE AUTHORITY WITH THE CONSENT OF THE BOARD OF DIRECTORS OF THE SEA GATE
COMMUNITY HAS PLEDGED SUCH TAX PRIOR TO THE ISSUANCE OF SUCH BONDS. SUCH
TAX  SHALL  BE LEVIED AND APPORTIONED UPON SUCH TERRITORY LOCATED WITHIN
THE SEA GATE COMMUNITY AND COLLECTED FROM THE SEVERAL  PARCELS  OF  REAL
ESTATE  IN  THE  DISTRICT  LOCATED WITHIN THE SEA GATE COMMUNITY IN LIKE
MANNER AS OTHER SEA GATE COMMUNITY TAXES. IT IS HEREBY  DETERMINED  THAT
THE  LIABILITY  IMPOSED  UPON  THE  TERRITORY  INCLUDED  IN THE DISTRICT
LOCATED WITHIN THE SEA GATE COMMUNITY IS BASED UPON THE SPECIAL  BENEFIT
TO  SUCH  TERRITORY  ACCRUING  UNDER  THIS  TITLE AND THAT THE TAX TO BE
LEVIED BECAUSE OF SUCH LIABILITY AND IN PROPORTION TO THE TAXABLE  VALUE
OF REAL ESTATE IN SUCH TERRITORY WILL BE IN PROPORTION TO SUCH BENEFITS.
  S  1114-V.  AUTHORITY  AND WATER BOARD TO TAKE AFFIRMATIVE ACTION.  1.
EACH CONTRACTING AGENCY WHICH AWARDS CONTRACTS FOR DESIGN, CONSTRUCTION,
SERVICES OR MATERIALS FOR WATER PROJECTS AUTHORIZED BY THIS TITLE  SHALL
REQUIRE  THAT  SUCH CONTRACTS AND DOCUMENTS SOLICITING BIDS OR PROPOSALS
THEREFOR SHALL CONTAIN OR MAKE REFERENCE TO THE FOLLOWING PROVISIONS:
  (A) THE CONTRACTOR WILL NOT DISCRIMINATE AGAINST EMPLOYEES  OR  APPLI-
CANTS  FOR  EMPLOYMENT  BECAUSE  OF RACE, CREED, COLOR, NATIONAL ORIGIN,
SEX, AGE, DISABILITY, OR MARITAL STATUS, AND WILL UNDERTAKE OR  CONTINUE
PROGRAMS OF AFFIRMATIVE ACTION TO INSURE THAT MINORITY GROUP PERSONS AND
WOMEN  ARE AFFORDED EQUAL EMPLOYMENT OPPORTUNITY WITHOUT DISCRIMINATION.
SUCH ACTION SHALL BE  TAKEN  WITH  REFERENCE,  BUT  NOT  BE  LIMITED  TO
RECRUITMENT, EMPLOYMENT, JOB ASSIGNMENT, PROMOTION, UPGRADING, DEMOTION,
TRANSFER,  LAYOFF,  TERMINATION,  RATES OF PAY OR OTHER FORMS OF COMPEN-
SATION, AND SELECTIONS FOR TRAINING OR RETRAINING, INCLUDING APPRENTICE-
SHIP AND ON-THE-JOB TRAINING.
  (B) AT THE REQUEST OF THE CONTRACTING  AGENCY,  THE  CONTRACTOR  SHALL
REQUEST  EACH  EMPLOYMENT  AGENCY,  LABOR UNION, OR AUTHORIZED REPRESEN-
TATIVE OF WORKERS WITH WHICH HE HAS A  COLLECTIVE  BARGAINING  OR  OTHER
AGREEMENT  OR  UNDERSTANDING,  TO  FURNISH A WRITTEN STATEMENT THAT SUCH
EMPLOYMENT AGENCY, LABOR UNION OR REPRESENTATIVE SHALL NOT  DISCRIMINATE
BECAUSE  OF RACE, CREED, COLOR, NATIONAL ORIGIN, SEX, AGE, DISABILITY OR
MARITAL STATUS AND THAT SUCH UNION OR REPRESENTATIVE WILL  COOPERATE  IN
THE IMPLEMENTATION OF THE CONTRACTOR'S OBLIGATIONS HEREUNDER.
  (C)  THE CONTRACTOR WILL STATE, IN ALL SOLICITATIONS OR ADVERTISEMENTS
FOR EMPLOYEES PLACED BY OR ON BEHALF OF THE CONTRACTOR,  IN  PERFORMANCE
OF  THE  CONTRACT  THAT  ALL QUALIFIED APPLICANTS WILL BE AFFORDED EQUAL
EMPLOYMENT OPPORTUNITY WITHOUT DISCRIMINATION BECAUSE  OF  RACE,  CREED,
COLOR, NATIONAL ORIGIN, SEX, AGE, DISABILITY OR MARITAL STATUS.
  (D)  THE CONTRACTOR WILL INCLUDE THE PROVISIONS OF PARAGRAPHS (A), (B)
AND (C) OF THIS SUBDIVISION IN EVERY SUBCONTRACT OR  PURCHASE  ORDER  IN

S. 4168                            18

SUCH A MANNER THAT SUCH PROVISIONS WILL BE BINDING UPON EACH SUBCONTRAC-
TOR OR VENDOR AS TO ITS WORKING CONNECTION WITH A CONTRACT.
  2.  EACH  CONTRACTING AGENCY SHALL ESTABLISH PROCEDURES AND GUIDELINES
TO ENSURE THAT CONTRACTORS  AND  SUBCONTRACTORS  UNDERTAKE  PROGRAMS  OF
AFFIRMATIVE  ACTION  AS  REQUIRED  BY  THIS SECTION. SUCH PROCEDURES MAY
REQUIRE, AFTER NOTICE IN A BID SOLICITATION, THE SUBMISSION OF AN AFFIR-
MATIVE ACTION PROGRAM PRIOR TO THE AWARD OF ANY CONTRACT, OR AT ANY TIME
THEREAFTER, AND MAY REQUIRE THE SUBMISSION OF COMPLIANCE REPORTS  RELAT-
ING  TO  THE  OPERATION  AND  IMPLEMENTATION  OF  ANY AFFIRMATIVE ACTION
PROGRAM ADOPTED HEREUNDER.  SUCH  PROCEDURES  AND  GUIDELINES  SHALL  BE
CONSISTENT  WITH  THE  GUIDELINES  PROMULGATED  BY THE OFFICE OF FEDERAL
CONTRACT COMPLIANCE PROGRAMS OF THE UNITED STATES  DEPARTMENT  OF  LABOR
PURSUANT  TO  PRESIDENTIAL  EXECUTIVE  ORDER ELEVEN THOUSAND TWO HUNDRED
FORTY-SIX, AS AMENDED, AND ANY STATE STATUTORY  OR  REGULATORY  REQUIRE-
MENTS. A CONTRACTING AGENCY SHALL, IN THE PROMULGATION OF PROCEDURES AND
GUIDELINES  PURSUANT  TO THIS SECTION, COOPERATE WITH ANY FEDERAL, STATE
OR LOCAL AGENCY ESTABLISHED FOR THE PURPOSE OF IMPLEMENTING  AFFIRMATIVE
ACTION COMPLIANCE PROGRAMS.
  3.  ANY  CONTRACTING  AGENCY  EMPOWERED TO AWARD CONTRACTS FOR DESIGN,
CONSTRUCTION, SERVICES OR MATERIALS SHALL SEEK MEANINGFUL  PARTICIPATION
IN  THE  PERFORMANCE  OF  CONTRACTS BY MINORITY BUSINESS ENTERPRISES AND
SHALL ESTABLISH MEASURES AND PROCEDURES TO IDENTIFY THOSE CONTRACTS  AND
ITEMS  OF  WORK  FOR WHICH MINORITY BUSINESS ENTERPRISES MAY BEST BID TO
ACTIVELY AND AFFIRMATIVELY PROMOTE AND ASSIST THEIR PARTICIPATION SO  AS
TO  FACILITATE  THE  AWARD  OF  A FAIR SHARE OF CONTRACTS TO SUCH ENTER-
PRISES. FOR PURPOSES HEREOF, "MINORITY BUSINESS ENTERPRISE"  SHALL  MEAN
ANY BUSINESS ENTERPRISE WHICH IS AT LEAST FIFTY-ONE PER CENTUM OWNED BY,
OR  IN  THE  CASE  OF  A PUBLICLY OWNED BUSINESS, AT LEAST FIFTY-ONE PER
CENTUM OF THE STOCK OF WHICH IS OWNED BY CITIZENS OR PERMANENT  RESIDENT
ALIENS  WHO  ARE  BLACK,  HISPANIC, ASIAN, AMERICAN INDIAN OR WOMEN, AND
SUCH  OWNERSHIP  INTEREST  IS  REAL,  SUBSTANTIAL  AND  CONTINUING.  THE
PROVISIONS OF THIS SUBDIVISION SHALL NOT BE CONSTRUED TO LIMIT THE ABIL-
ITY OF ANY MINORITY BUSINESS ENTERPRISE TO BID ON ANY CONTRACT.
  4.  IN  THE  IMPLEMENTATION  OF  SUBDIVISIONS  TWO  AND  THREE OF THIS
SECTION,  THE  CONTRACTING  AGENCY  SHALL  CONSIDER  COMPLIANCE  BY  ANY
CONTRACTOR  WITH  THE  REQUIREMENTS  OF  ANY FEDERAL, STATE OR LOCAL LAW
CONCERNING MINORITY BUSINESS ENTERPRISES OR  EQUAL  EMPLOYMENT  OPPORTU-
NITY,  WHICH  MAY  EFFECTUATE  THE  REQUIREMENTS OF THIS SECTION. IF THE
CONTRACTING AGENCY DETERMINES THAT BY VIRTUE OF THE  IMPOSITION  OF  THE
REQUIREMENTS  OF  ANY SUCH LAW, IN RESPECT TO CONTRACTS AFFECTED BY THIS
SECTION, THAT THE PROVISIONS THEREOF DUPLICATE  OR  CONFLICT  WITH  SUCH
LAW,  THE  CONTRACTING  AGENCY  SHALL  WAIVE  THE  APPLICABILITY OF THIS
SECTION TO THE EXTENT OF SUCH DUPLICATION OR CONFLICT.
  5. IN ORDER TO IMPLEMENT  THE  REQUIREMENTS  AND  OBJECTIVES  OF  THIS
SECTION,  CONTRACTING  AGENCIES  SHALL BE RESPONSIBLE FOR MONITORING THE
CONTRACTORS'  COMPLIANCE  WITH  THE  PROVISIONS  HEREOF,  FOR   ADVISING
CONTRACTORS ON THE AVAILABILITY OF COMPETING QUALIFIED MINORITY BUSINESS
ENTERPRISES  TO  PERFORM CONTRACTS PROPOSED TO BE AWARDED AND FOR MAKING
RECOMMENDATIONS TO CONTRACTORS TO IMPROVE THE ACCESS OF  MINORITY  BUSI-
NESS ENTERPRISES TO SUCH CONTRACTS.
  S  1114-W.  SEPARABILITY.  IF ANY SECTION, CLAUSE OR PROVISION IN THIS
TITLE SHALL BE HELD BY A COMPETENT COURT TO BE UNCONSTITUTIONAL OR INEF-
FECTIVE IN WHOLE OR IN PART, TO THE EXTENT THAT IT  IS  NOT  UNCONSTITU-
TIONAL  OR  INEFFECTIVE,  IT  SHALL BE VALID AND EFFECTIVE, AND NO OTHER
SECTION, CLAUSE OR PROVISION SHALL ON ACCOUNT THEREOF BE DEEMED  INVALID
OR INEFFECTIVE.

S. 4168                            19

  S 1114-X. EFFECT OF INCONSISTENT PROVISIONS. INSOFAR AS THE PROVISIONS
OF  THIS  TITLE  ARE  INCONSISTENT WITH THE PROVISIONS OF ANY OTHER ACT,
GENERAL OR SPECIAL, OR OF ANY CHARTER, LOCAL LAW,  ORDINANCE  OR  RESOL-
UTION  OF  THE SEA GATE COMMUNITY, OR OTHER MUNICIPALITY, THE PROVISIONS
OF  THIS  TITLE  SHALL BE CONTROLLING. NOTHING CONTAINED IN THIS SECTION
SHALL BE HELD TO SUPPLEMENT OR OTHERWISE EXPAND THE POWERS OR DUTIES  OF
THE AUTHORITY OTHERWISE SET FORTH IN THIS TITLE.
  S  2.  Creation  of  Sea Gate police department.   Notwithstanding the
provisions of any law, general or special, the board of directors of the
Sea Gate community in the city of New York, upon the adoption of  propo-
sitions  therefor,  may determine to create a police department for such
community to be known as the Sea Gate  police  department.  Such  police
department  shall  have a chief of police, to be appointed by such board
of directors.
  S 3. Transfer of functions, powers and duties. All functions,  powers,
duties  and  obligations  of  the  former Sea Gate police department are
hereby transferred to Sea Gate police  department  created  pursuant  to
section two of this act.
  S  4.  Transfer  of  employees.  Upon transfer of the functions of the
former Sea Gate police department to  the  Sea  Gate  police  department
created  pursuant  to  section two of this act, provisions shall be made
for the transfer to such police department of those  employees  of  such
former  police department who were engaged in carrying out the functions
transferred by this act.
  S 5. Transfer of records. All books, papers and property of the former
Sea Gate police department are to be delivered to the police  department
created  pursuant to section two of this act at such place and time, and
in such manner as such police department shall require.
  S 6. Continuity of authority. For the purpose  of  succession  to  all
functions,  powers, duties and obligations of the former Sea Gate police
department transferred to and assumed by the police  department  created
pursuant  to  section  two  of  this  act,  such police department shall
continue the operation thereof as if performed by  such  former  depart-
ment.
  S  7.  Completion of unfinished business. Any business or other matter
undertaken or  commenced  by  the  former  Sea  Gate  police  department
pertaining  to or connected with the functions, powers, duties and obli-
gations transferred and assigned to the police department created pursu-
ant to section two of this act and pending on the effective date of this
act shall be conducted and completed by the police department created by
section two of this act in the same manner and under the same terms  and
conditions  and  with  the  same effect as if conducted and completed by
such former police department.
  S 8. Continuation of rules and regulations.  All  rules,  regulations,
acts, orders, determinations and decisions of the former Sea Gate police
department  in  force at the time of such transfer and assumption, shall
continue in force and effect as rules, regulations, acts, orders, deter-
minations and decisions of the police  department  created  pursuant  to
section two of this act until duly modified or abrogated.
  S 9. Terms occurring in laws, contracts and other documents.  Whenever
the  former  Sea  Gate police department is referred to or designated in
any law, contract or document pertaining to the functions, powers, obli-
gations and duties transferred and assigned pursuant to this  act,  such
reference  or designation shall be deemed to refer to the police depart-
ment created pursuant to section two of this act.

S. 4168                            20

  S 10. Existing rights and remedies preserved.  No  existing  right  or
remedy of any character shall be lost, impaired or affected by reason of
any transfer or assignment pursuant to this act.
  S  11. Pending actions or proceedings. No action or proceeding pending
upon the effective date of this act relating to  the  functions,  powers
and  duties  of the former Sea Gate police department transferred to the
police department created pursuant to section two of this  act,  brought
by  or  against  such former police department, shall be affected by any
provision of this act, but the same may be prosecuted or defended in the
name of the police department created pursuant to section  two  of  this
act.  In all such actions and proceedings, the police department created
by section two of this act, upon application  to  the  court,  shall  be
substituted as a party.
  S  12.  Transfer  of  appropriations  heretofore  made. Subject to the
approval of the director of the division of the  budget,  all  appropri-
ations  and  reappropriations  heretofore  made  to  the former Sea Gate
police department for the purposes and functions transferred pursuant to
this act to the police department created pursuant  to  section  two  of
this  act, to the extent of remaining unexpended or unencumbered balance
thereof, whether allocated or  unallocated,  and  whether  obligated  or
unobligated,  are  hereby  transferred to and made available for use and
expenditure by the police department created pursuant to section two  of
this  act  for  the  same  purposes for which originally appropriated or
reappropriated and shall be payable on vouchers certified or approved by
the executive director on audit and warrant of the comptroller. Payments
for liabilities for expenses of personal services, maintenance and oper-
ation heretofore incurred by and for  liabilities  incurred  and  to  be
incurred in completing the affairs of the former Sea Gate police depart-
ment  with  respect  to  the powers, duties and functions transferred in
this act, shall also be made on vouchers or certificates approved by the
executive director on audit and warrant of the comptroller.
  S 13. Transfer of assets and liabilities. All assets  and  liabilities
of  the  former Sea Gate police department are hereby transferred to and
assumed by the police department created by section two of this act.
  S 14. The police department created by section  two  of  this  act  is
hereby  directed  to  immediately  take any and all actions necessary to
enable it to assume all powers, duties and functions of the  former  Sea
Gate police department within 90 days of the effective date of this act.
  S  15. Severability clause. If any clause, sentence, paragraph, subdi-
vision, section or part of this act shall be adjudged by  any  court  of
competent  jurisdiction  to  be invalid, such judgment shall not affect,
impair, or invalidate the remainder thereof, but shall  be  confined  in
its  operation  to the clause, sentence, paragraph, subdivision, section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the legislature that this act would  have  been  enacted  even  if  such
invalid provisions had not been included herein.
  S 16. This act shall take effect immediately.

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