senate Bill S5137

2021-2022 Legislative Session

Prohibits the formation of a subsidiary of a public authority without prior approval of the legislature

download bill text pdf

Sponsored By

Current Bill Status - In Senate Committee Corporations, Authorities And Commissions Committee

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

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view actions (10)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 05, 2022 referred to corporations, authorities and commissions
returned to senate
died in assembly
May 11, 2021 referred to consumer affairs and protection
delivered to assembly
passed senate
Apr 26, 2021 advanced to third reading
Apr 21, 2021 2nd report cal.
Apr 20, 2021 1st report cal.698
Feb 24, 2021 referred to corporations, authorities and commissions


view votes

Apr 20, 2021 - Corporations, Authorities and Commissions committee Vote

Aye with Reservations
show Corporations, Authorities and Commissions committee vote details

Corporations, Authorities and Commissions Committee Vote: Apr 20, 2021

S5137 (ACTIVE) - Details

See Assembly Version of this Bill:
Current Committee:
Senate Corporations, Authorities And Commissions
Law Section:
Public Authorities Law
Laws Affected:
Amd §2827-a, Pub Auth L
Versions Introduced in Other Legislative Sessions:
2009-2010: S3919, A4298
2011-2012: S4690, A3228
2013-2014: S1443, A1599
2015-2016: S2054, S6591, A4729
2017-2018: S4280, A7049
2019-2020: S3090, A3089

S5137 (ACTIVE) - Summary

Prohibits the formation of a subsidiary of a public authority without prior approval of the legislature.

S5137 (ACTIVE) - Sponsor Memo

S5137 (ACTIVE) - Bill Text download pdf

                     S T A T E   O F   N E W   Y O R K
                        2021-2022 Regular Sessions
                             I N  S E N A T E
                             February 24, 2021
 Introduced  by  Sen. MATTERA -- 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 prohibiting
   the formation of a subsidiary of  a  public  authority  without  prior
   permission of the legislature

   Section 1. Subdivision 1 of section 2827-a of the  public  authorities
 law,  as added by chapter 506 of the laws of 2009, is amended to read as
   1. Notwithstanding any law to the contrary, no state  authority  shall
 hereafter  have  the power to organize any subsidiary corporation unless
 the legislature shall have enacted a law granting such  state  authority
 such  power  for  the organization of a specific corporation[, provided,
 however, that a state authority may organize  a  subsidiary  corporation
 pursuant to the following requirements:
   a. the purpose for which the subsidiary corporation shall be organized
 shall  be  for  a  project or projects which the state authority has the
 power to pursue pursuant to its corporate purposes;
   b. the primary reason for which the subsidiary  corporation  shall  be
 organized  shall  be  to  limit  the  potential  liability impact of the
 subsidiary's project or projects on the authority or  because  state  or
 federal  law  requires  that  the  purpose of a subsidiary be undertaken
 through a specific corporate structure; and
   c. the]. ANY subsidiary corporation shall make the reports  and  other
 disclosures  as are required of state authorities, unless the subsidiary
 corporation's operations and finances are consolidated with those of the
 authority of which it is a subsidiary.
   § 2. This act shall take effect immediately.

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


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