Legislation

Search OpenLegislation Statutes
This entry was published on 2021-04-23
The selection dates indicate all change milestones for the entire volume, not just the location being viewed. Specifying a milestone date will retrieve the most recent version of the location before that date.
SECTION 1265
General powers of the authority
Public Authorities (PBA) CHAPTER 43-A, ARTICLE 5, TITLE 11
§ 1265. General powers of the authority. Except as otherwise limited
by this title, the authority shall have power:

1. To sue and be sued;

2. To have a seal and alter the same at pleasure;

3. To borrow money, to issue negotiable notes, bonds or other
obligations and to provide for the rights of the holders thereof, and to
finance or refinance all or any part of the costs to the authority or to
any other person or entity, public or private, of the planning, design,
acquisition, construction, improvement, reconstruction or rehabilitation
of any transportation facility;

3-a. * (a) To borrow money, to issue negotiable notes, bonds or other
obligations and to provide for the rights of the holders thereof, in the
fiscal years of the authority beginning in two thousand twenty through
two thousand twenty-two to offset decreases in revenue, including but
not limited to, lost taxes, fees, charges, fares and tolls, or increases
in operating costs of the authority and its subsidiary corporations, the
New York city transit authority and its subsidiary corporations and the
Triborough bridge and tunnel authority due in whole or in part to the
state disaster emergency caused by the novel coronavirus, COVID-19;
provided, that such notes, bonds or other obligations shall be issued in
accordance with the provisions of section twelve hundred sixty-nine of
this title, except that the last sentence of subdivision two thereof
relating to the approval of the comptroller or the director of the
budget, as applicable, for private sales, and subdivision twelve
thereof, and the provisions of section twelve hundred sixty-nine-b of
this title, shall not be applicable with respect to notes, bonds or
other obligations issued for such purposes. No sale of such notes, bonds
or other obligations of the authority may be sold by the authority,
however, prior to the earlier of (i) seven days following the receipt by
the state comptroller of notice by the authority of such proposed sale
and the terms thereof or (ii) the receipt by the authority of the state
comptroller's comments on such proposed sale and the terms thereof.
Additionally, no sale of such notes, bonds or other obligations of the
authority may be sold by the authority, however, unless such sale and
the terms thereof have been approved in writing by the director of the
budget. The proceeds of the sale of such notes, bonds or other
obligations shall be taken into consideration as "revenue and any other
funds or property actually available to the authority and its subsidiary
corporations" within the meaning of subdivision three of section twelve
hundred sixty-six of this title. The aggregate principal amount of
bonds, notes or other obligations issued pursuant to this subdivision
shall not exceed ten billion dollars.

* NB Repealed April 3, 2023

(b) The authority shall report on any issuances or obligations
incurred related to paragraph (a) of this subdivision. Such report shall
include, but not be limited to, an explanation of each note, bond, or
obligation and their respective values issued by the authority pursuant
to decreases in revenue in whole or in part due to the state disaster
emergency caused by novel coronavirus, COVID-19. The report shall also
provide: (i) details of such decreases in revenue in whole, (ii) details
of such decreases in revenue in part, (iii) details of such increases in
costs, (iv) the methodology used by the authority or metropolitan
transportation authority to calculate such changes, (v) an explanation
for attributing a particular increase in cost or a particular decrease
in revenue, to the state disaster emergency caused by coronavirus,
COVID-19, and (vi) how the authority determined that the particular
note, bond, or obligation issued was its most desired option. Such
report shall be posted on the authority's website and be submitted to
the governor, the temporary president of the senate, the speaker of the
assembly, the mayor and council of the city of New York, the
metropolitan transportation authority board, and the metropolitan
transportation authority capital program review board.

4. To invest any funds, accounts or other monies not required for
immediate use or disbursement, at the discretion of the authority, in
(a) obligations of the state or the United States government, (b)
obligations the principal and interest of which are guaranteed by the
state or the United States government, (c) certificates of deposit of
banks or trust companies in this state, secured, if the authority shall
so require, by obligations of the United States or of the state of New
York of a market value equal at all times to the amount of the deposit,
(d) banker's acceptances with a maturity of ninety days or less which
are eligible for purchase by the Federal Reserve Banks and whose rating
at the time of purchase is in the highest rating category of two
nationally recognized independent rating agencies, provided, however,
that the amount of banker's acceptances of any one bank shall not exceed
two hundred fifty million dollars, (e) obligations of any bank or
corporation created under the laws of either the United States or any
state of the United States maturing within two hundred seventy days,
provided that such obligations receive the highest rating of two
nationally recognized independent rating agencies and, provided further,
that no more than two hundred fifty million dollars may be invested in
such obligations of any one bank or corporation, (f) as to any such
moneys held in reserve and sinking funds, other securities in which the
trustee or trustees of any public retirement system or pension fund has
the power to invest the monies thereof pursuant to article four-a of the
retirement and social security law, each such reserve and sinking fund
being treated as a separate fund for the purposes of article four-a of
the retirement and social security law, (g) notes, bonds, debentures,
mortgages and other evidences of indebtedness, issued or guaranteed at
the time of the investment by the United States Postal Service, the
federal national mortgage association, the federal home loan mortgage
corporation, the student loan marketing association, the federal farm
credit system, or any other United States government sponsored agency,
provided that at the time of the investment such agency or its
obligations are rated and the agency receives, or its obligations
receive, the highest rating of all independent rating agencies that rate
such agency or its obligations, provided, however, that no more than two
hundred fifty million dollars or such greater amount as may be
authorized for investment for the state comptroller by section
ninety-three of the state finance law may be invested in the obligations
of any one agency, (h) general obligation bonds and notes of any state
other than the state, provided that such bonds and notes receive the
highest rating of at least one independent rating agency, and bonds and
notes of any county, town, city, village, fire district or school
district of the state, provided that such bonds and notes receive either
of the two highest ratings of at least two independent rating agencies,
(i) mutual funds registered with the United States securities and
exchange commission whose investments are limited to obligations of the
state described in paragraph (a) of this subdivision, obligations the
principal and interest of which are guaranteed by the state described in
paragraph (b) of this subdivision, and those securities described in
paragraph (h) of this subdivision and that have received the highest
rating of at least one independent rating agency, provided that the
aggregate amount invested at any one time in all such mutual funds shall
not exceed ten million dollars, and, provided further, that the
authority shall not invest such funds, accounts or other monies in any
mutual fund for longer than thirty days, and (j) financial contracts in
a foreign currency entered into for the purpose of minimizing the
foreign currency exchange risk of the purchase price of a contract with
a vendor chosen through competitive process for the acquisition of
capital assets for the benefit of the capital program of the Triborough
bridge and tunnel authority or either the transit or transportation
capital programs;

5. To make and alter by-laws for its organization and internal
management, and rules and regulations governing the exercise of its
powers and the fulfillment of its purposes under this title;

6. (a) To enter into contracts and leases and to execute all
instruments necessary or convenient;

(b) With respect to any lease transaction entered into pursuant to
section 168 (f) (8) of the United States internal revenue code or any
successor provisions, the authority shall meet the following standards
and procedures:

(i) notice of intention to negotiate shall be published in at least
one newspaper of general circulation, and a copy thereof shall be mailed
to all parties who have requested notification from the authority to
engage in transactions of this type. Such notice shall describe the
nature of the proposed transaction and the factors subject to
negotiation, which shall include, but not be limited to, the price to be
paid to the authority;

(ii) the authority shall negotiate with those respondents whose
response complies with the requirements set forth in the notice;

(iii) the board of the authority shall resolve on the basis of
particularized findings relevant to the factors negotiated that such
transaction will provide maximum available financial benefits,
consistent with other defined objectives and requirements.

(c) The authority shall provide to the governor, the temporary
president of the senate, the speaker of the assembly, the minority
leader of the senate and the minority leader of the assembly, notice of
each lease entered into pursuant to paragraph (b) of this subdivision
and supporting documentation of compliance by the authority with
subparagraphs (i), (ii) and (iii) of paragraph (b) of this subdivision;

(d) Paragraphs (b) and (c) of this subdivision shall be of no force
and effect with respect to any lease transaction entered into pursuant
to a commitment approved prior to January first, nineteen hundred
eighty-five by the board of the authority.

* 7. To acquire, hold and dispose of real or personal property in the
exercise of its powers, including, the power to dispose of personal
property with a value of five hundred thousand dollars or less by public
auction in accordance with guidelines adopted by the authority pursuant
to title five-A of article nine of this chapter. The board shall adopt
guidelines that shall provide for advertising and such other safeguards
as the authority may deem appropriate in the public interest.

* NB Effective until April 1, 2024

* 7. To acquire, hold and dispose of real or personal property in the
exercise of its powers;

* NB Effective April 1, 2024

8. To appoint such officers and employees as it may require for the
performance of its duties, and 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;

9. (a) Notwithstanding section one hundred thirteen of the retirement
and social security law or any other general or special law, the
authority and any of its subsidiary corporations may continue or provide
to its affected officers and employees any retirement, disability, death
or other benefits provided or required for railroad personnel pursuant
to federal or state law;

(b) The authority and any of its public benefit subsidiary
corporations may be a "participating employer" in the New York state
employees' retirement system with respect to one or more classes of
officers and employees of such authority or any such public benefit
subsidiary corporation, as may be provided by resolution of such
authority or any such public benefit subsidiary corporation, as the case
may be, or any subsequent amendment thereof, filed with the comptroller
and accepted by him pursuant to section thirty-one of the retirement and
social security law. In taking any action pursuant to this paragraph
(b), the authority and any of its public benefit subsidiary corporations
shall consider the coverages and benefits continued or provided pursuant
to paragraph (a) of this subdivision;

10. To make plans, surveys, and studies necessary, convenient or
desirable to the effectuation of the purposes and powers of the
authority and to prepare recommendations in regard thereto;

11. To enter upon such lands, waters or premises as in the judgment of
the authority may be necessary, convenient or desirable for the purpose
of making surveys, soundings, borings and examinations to accomplish any
purpose authorized by this title, the authority being liable for actual
damage done;

12. The authority may conduct investigations and hearings in the
furtherance of its general purposes, and in aid thereof have access to
any books, records or papers relevant thereto; and if any person whose
testimony shall be required for the proper performance of the duties of
the authority shall fail or refuse to aid or assist the authority in the
conduct of any investigation or hearing, or to produce any relevant
books, records or other papers, the authority is authorized to apply for
process of subpoena, to issue out of any court of general original
jurisdiction whose process can reach such person, upon due cause shown;

13. A copy of any report submitted by the authority pursuant to
sections twenty-eight hundred, twenty-eight hundred one and twenty-eight
hundred two of this chapter shall be forwarded to the mayor of the city
of New York and to the chairman of the board of supervisors and to the
county executive, if any, of each county within the district.

14. To do all things necessary, convenient or desirable to carry out
its purposes and for the exercise of the powers granted in this title.