Bill Text: NY S07840 | 2019-2020 | General Assembly | Introduced
Bill Title: Relates to establishing the big apple transit authority and the commuter transportation authority for the purpose of providing such authorities with municipal control over the New York city subway system (Part A); relates to establishing the big apple transit authority within the New York city transit authority (Part B); relates to establishing the big apple transit authority; and to repeal subdivision 5 of section 553-k of the public authorities law relating thereto (Part C); relates to establishing the big apple transit authority (Part D); relates to establishing the commuter transportation authority (Part E).
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2020-02-25 - REFERRED TO TRANSPORTATION [S07840 Detail]
Download: New_York-2019-S07840-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 7840 IN SENATE February 25, 2020 ___________ Introduced by Sen. COMRIE -- read twice and ordered printed, and when printed to be committed to the Committee on Transportation AN ACT to amend the public authorities law and the transportation law, in relation to establishing the big apple transit authority and the commuter transportation authority for the purpose of providing such authorities with municipal control over the New York city subway system; and to repeal certain provisions of the public authorities law relating thereto (Part A); to amend the public authorities law, in relation to establishing the big apple transit authority within the New York city transit authority (Part B); to amend the public authori- ties law, in relation to establishing the big apple transit authority; and to repeal subdivision 5 of section 553-k of the public authorities law relating thereto (Part C); to amend the public authorities law in relation to establishing the big apple transit authority (Part D); and to amend the public authorities law, in relation to establishing the commuter transportation authority (Part E) The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. This act enacts into law major components of legislation 2 which establish the Big Apple Transit Authority and the Commuter Transit 3 Authority. Each component is wholly contained within a Part identified 4 as Parts A through E. The effective date for each particular provision 5 contained within such Part is set forth in the last section of such 6 Part. Any provision in any section contained within a Part, including 7 the effective date of the Part, which makes a reference to a section "of 8 this act", when used in connection with that particular component, shall 9 be deemed to mean and refer to the corresponding section of the Part in 10 which it is found. Section three of this act sets forth the general 11 effective date of this act. 12 PART A 13 Section 1. Section 1261 of the public authorities law, as amended by 14 section 1 of part H of chapter 25 of the laws of 2009, subdivision 18-a EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD15005-02-0S. 7840 2 1 as amended by section 1 of part PP of chapter 58 of the laws of 2017, is 2 amended to read as follows: 3 § 1261. Definitions. As used or referred to in this title, unless a 4 different meaning clearly appears from the context: 5 1. "Authority" shall mean the corporation created by section twelve 6 hundred sixty-three of this title. 7 2. ["Authority facilities" shall mean the authority's railroad, omni-8bus, marine and aviation facilities and operations pursuant to joint9service arrangements.103.] "Budget" shall mean the preliminary, final proposed and adopted 11 final plans of the authority, and each of its agencies. 12 [4.] 3. "Comptroller" shall mean the comptroller of the state of New 13 York. 14 [5.] 4. "Equipment" shall mean rolling stock, omnibuses, vehicles, 15 air, marine or surface craft, motors, boilers, engines, wires, ways, 16 conduits and mechanisms, machinery, tools, implements, materials, 17 supplies, instruments and devices of every nature whatsoever used or 18 useful for transportation purposes or for the generation or transmission 19 of motive power including but not limited to all power houses, and all 20 apparatus and all devices for signalling, communications and ventilation 21 as may be necessary, convenient or desirable for the operation of a 22 transportation facility. 23 [6.] 5. "Federal government" shall mean the United States of America, 24 and any officer, department, board, commission, bureau, division, corpo- 25 ration, agency or instrumentality thereof. 26 [7. "Gap" shall mean the difference between projected revenues and27expenses for any given fiscal year based on the existing fare structure.288. "Gap-closing initiative" shall mean any action to reduce a project-29ed gap.309.] 6. "Governor" shall mean the governor of the state of New York. 31 [10.] 7. "Joint service arrangements" shall mean agreements between or 32 among the authority and any common carrier or freight forwarder, the 33 state, any state agency, the federal government, any other state or 34 agency or instrumentality thereof, any public authority of this or any 35 other state, or any political subdivision or municipality of the state, 36 relating to property, buildings, structures, facilities, services, 37 rates, fares, classifications, divisions, allowances or charges (includ- 38 ing charges between operators of railroad, omnibus, marine and aviation 39 facilities), or rules or regulations pertaining thereto, for or in 40 connection with or incidental to transportation in part in or upon rail- 41 road, omnibus, marine or aviation facilities located within the district 42 and in part in or upon railroad, omnibus, marine or aviation facilities 43 located outside the district. 44 [11.] 8. "Marine and aviation facilities" shall mean equipment and 45 craft for the transportation of passengers, mail and cargo between 46 points within the district or pursuant to joint service arrangements, by 47 marine craft and aircraft of all types including but not limited to 48 hydrofoils, ferries, lighters, tugs, barges, helicopters, amphibians, 49 seaplanes or other contrivances now or hereafter used in navigation or 50 movement on waterways or in the navigation of or flight in airspace. It 51 shall also mean any marine port or airport facility within the transpor- 52 tation district but outside the port of New York district as defined in 53 chapter one hundred fifty-four of the laws of nineteen hundred twenty- 54 one, including but not limited to terminals, docks, piers, bulkheads, 55 ramps or any facility or real property necessary, convenient or desira- 56 ble for the accommodation of passengers and cargo or the docking, sail-S. 7840 3 1 ing, landing, taking off, accommodation or servicing of such marine 2 craft or aircraft. 3 [12.] 9. "Omnibus facilities" shall mean motor vehicles, of the type 4 operated by carriers subject to the jurisdiction of the public service 5 commission, engaged in the transportation of passengers and their 6 baggage, express and mail between points within the district or pursuant 7 to joint service arrangements, and equipment, property, buildings, 8 structures, improvements, loading or unloading areas, parking areas or 9 other facilities, necessary, convenient or desirable for the accommo- 10 dation of such motor vehicles or their passengers, including but not 11 limited to buildings, structures and areas notwithstanding that portions 12 may not be devoted to any omnibus purpose other than the production of 13 revenues available for the costs and expenses of all or any facilities 14 of the authority. 15 [13.] 10. "Railroad facilities" shall mean right of way and related 16 trackage, rails, cars, locomotives, other rolling stock, signal, power, 17 fuel, communication and ventilation systems, power plants, stations, 18 terminals, storage yards, repair and maintenance shops, yards, equipment 19 and parts, offices and other real estate or personalty used or held for 20 or incidental to the operation, rehabilitation or improvement of any 21 railroad operating or to operate between points within the district or 22 pursuant to joint service arrangements, including but not limited to 23 buildings, structures, and areas notwithstanding that portions thereof 24 may not be devoted to any railroad purpose other than the production of 25 revenues available for the costs and expenses of all or any facilities 26 of the authority. 27 [14.] 11. "Real property" shall mean lands, structures, franchises and 28 interests in land, waters, lands under water, riparian rights and air 29 rights and any and all things and rights included within said term and 30 includes not only fees simple absolute but also any and all lesser 31 interests including but not limited to easements, rights of way, uses, 32 leases, licenses and all other incorporeal hereditaments and every 33 estate, interest or right, legal or equitable, including terms for years 34 and liens thereon by way of judgments, mortgages or otherwise. 35 [15.] 12. "State" shall mean the state of New York. 36 [16.] 13. "State agency" shall mean any officer, department, board, 37 commissioner, bureau, division, public benefit corporation, agency or 38 instrumentality of the state. 39 [17.] 14. "Transportation facility" shall mean any transit, railroad, 40 omnibus, marine or aviation facility and any person, firm, partnership, 41 association or, corporation which owns, leases or operates any such 42 facility or any other facility used for service in the transportation of 43 passengers, United States mail or personal property as a common carrier 44 for hire and any portion thereof and the rights, leaseholds or other 45 interest therein together with routes, tracks, extensions, connections, 46 parking lots, garages, warehouses, yards, storage yards, maintenance and 47 repair shops, terminals, stations and other related facilities thereof, 48 the devices, appurtenances, and equipment thereof and power plants and 49 other instrumentalities used or useful therefor or in connection there- 50 with. 51 [18.] 15. "Transportation district" and "district" shall mean the 52 metropolitan commuter transportation district created by section twelve 53 hundred sixty-two of this title. 54 [18-a.] 16. "Transportation purpose" shall mean a purpose that direct- 55 ly supports the missions or purposes of the authority, any of its 56 subsidiaries, New York city transit authority or its subsidiary, includ-S. 7840 4 1 ing the realization of revenues derived from property that is, or is to 2 be used as, a transportation facility. 3 [19.] 17. "New York city transit authority" shall mean the corporation 4 created by section twelve hundred one of this chapter. 5 [20.] 18. "Triborough bridge and tunnel authority" shall mean the 6 corporation created by section five hundred fifty-two of this chapter. 7 [21.] 19. "Inspector general" shall mean the metropolitan transporta- 8 tion authority inspector general. 9 [22. "Revenues." All] 20. "Revenues" shall mean all monies received by 10 the authority or its subsidiaries, or New York city transit authority or 11 its subsidiaries, or Triborough bridge and tunnel authority, as the case 12 may be, from whatever source, derived directly or indirectly from or in 13 connection with the operations of the respective entity. 14 [23. "Transit facility." Transit facility as defined in subdivision15fifteen of section twelve hundred of this article.1624. "Utilization" shall mean public usage of the subway, bus, railroad17and paratransit services, and bridge and tunnel crossings, of the18authority and its affiliates and subsidiaries as reflected in empirical19data.] 20 21. "Big apple transit authority" shall mean the corporation created 21 by section thirteen hundred forty-nine-c of this article. 22 22. "Big apple transit authority and its affiliates" shall mean the 23 big apple transit authority, the New York city transit authority, the 24 Triborough bridge and tunnel authority, and all their respective subsid- 25 iaries. 26 23. "Commuter transportation authority" shall mean the corporation 27 created by section thirteen hundred forty-nine-cccc of this chapter. 28 § 2. Section 1262 of the public authorities law, as amended by chapter 29 669 of the laws of 1986, is amended to read as follows: 30 § 1262. Metropolitan commuter transportation district. There is hereby 31 created and established a commuter transportation district to be known 32 as the metropolitan commuter transportation district which shall embrace 33 the city of New York and the counties of Dutchess, Nassau, Orange, 34 Putnam, Rockland, Suffolk and Westchester, provided, however, that the 35 district shall not include a county that has withdrawn from the district 36 pursuant to section [twelve] thirteen hundred [seventy-nine-b] forty- 37 nine-wwwww of this article. 38 § 3. Paragraph (a-1) of subdivision 1 and subdivision 9 of section 39 1263 of the public authorities law are REPEALED. 40 § 4. Paragraph (b) of subdivision 4 of section 1263 of the public 41 authorities law is REPEALED, and paragraphs (c) and (d) of subdivision 42 4, paragraph (c) as added by chapter 247 of the laws of 1990, and para- 43 graph (d) as added by section 5 of part H of chapter 25 of the laws of 44 2009, are amended to read as follows: 45 [(c)] (b) The chairman shall ensure that at every meeting of the board 46 and at every meeting of each committee the public shall be allotted a 47 period of time, not less than thirty minutes, to speak on any topic on 48 the agenda. 49 [(d)] (c) Notwithstanding paragraph [(c)] (b) of subdivision one of 50 section twenty-eight hundred twenty-four of this chapter or any other 51 provision of law to the contrary, the chairman shall not participate in 52 establishing authority policies regarding the payment of salary, compen- 53 sation and reimbursement to, nor establish rules for the time and 54 attendance of, the chief executive officer. The salary of the chairman, 55 as determined pursuant to subdivision two of this section, shall also be 56 compensation for all services performed as chief executive officer.S. 7840 5 1 § 5. Subdivision 1 of section 1264 of the public authorities law, as 2 amended by section 2 of subpart B of part ZZZ of chapter 59 of the laws 3 of 2019, is amended to read as follows: 4 1. The purposes of the authority shall be the [continuance, further5development and improvement of commuter transportation and other6services related thereto within the metropolitan commuter transportation7district, including but not limited to such transportation by railroad,8omnibus, marine and air, in accordance with the provisions of this9title. It shall be the further purpose of the authority, consistent with10its status as the ex officio board of both the New York city transit11authority and the triborough bridge and tunnel authority, to develop and12implement a unified mass transportation policy for such district in an13efficient and cost-effective manner that includes the use of design-14build contracting on all projects over twenty-five million dollars in15cost except where a waiver is granted by the New York state budget16director pursuant to a request in writing from the metropolitan trans-17portation authority. For purposes of granting a waiver pursuant to this18section, such review shall consider whether the design build contracting19method is appropriate for the project that such waiver is sought for,20and the amount of savings and efficiencies that could be achieved using21such method. The determination for such waiver shall be made in writing22within forty-five days from request or shall be deemed granted] payment 23 of debt interest and principal, and the fulfillment of all terms, coven- 24 ants, and other obligations entered into with the holders of said debt. 25 § 6. Section 1264-a of the public authorities law is REPEALED. 26 § 7. Subdivisions 3, 10 and 11 of section 1265 of the public authori- 27 ties law are REPEALED. 28 § 8. Subdivision 6 of section 1265 of the public authorities law, as 29 amended by chapter 988 of the laws of 1984, is amended to read as 30 follows: 31 6. [(a)] To enter into contracts and leases and to execute all instru- 32 ments necessary or convenient; 33 [(b) With respect to any lease transaction entered into pursuant to34section 168 (f) (8) of the United States internal revenue code or any35successor provisions, the authority shall meet the following standards36and procedures:37(i) notice of intention to negotiate shall be published in at least38one newspaper of general circulation, and a copy thereof shall be mailed39to all parties who have requested notification from the authority to40engage in transactions of this type. Such notice shall describe the41nature of the proposed transaction and the factors subject to negoti-42ation, which shall include, but not be limited to, the price to be paid43to the authority;44(ii) the authority shall negotiate with those respondents whose45response complies with the requirements set forth in the notice;46(iii) the board of the authority shall resolve on the basis of parti-47cularized findings relevant to the factors negotiated that such trans-48action will provide maximum available financial benefits, consistent49with other defined objectives and requirements.50(c) The authority shall provide to the governor, the temporary presi-51dent of the senate, the speaker of the assembly, the minority leader of52the senate and the minority leader of the assembly, notice of each lease53entered into pursuant to paragraph (b) of this subdivision and support-54ing documentation of compliance by the authority with subparagraphs (i),55(ii) and (iii) of paragraph (b) of this subdivision;S. 7840 6 1(d) Paragraphs (b) and (c) of this subdivision shall be of no force2and effect with respect to any lease transaction entered into pursuant3to a commitment approved prior to January first, nineteen hundred eight-4y-five by the board of the authority.] 5 § 9. Section 1265-a of the public authorities law is REPEALED. 6 § 10. Section 1265-b of the public authorities law is REPEALED. 7 § 11. Section 1266 of the public authorities law, as added by chapter 8 324 of the laws of 1965, subdivisions 1, 2, 6 and 8 as amended and 9 subdivisions 3-a and 6-a as added by section 23 of part O and subdivi- 10 sion 17 as added by section 8 of part N of chapter 61 of the laws of 11 2000, subdivision 3 as amended and subdivisions 10, 11 and 12 as added 12 by chapter 314 of the laws of 1981, subdivision 4 as amended by chapter 13 460 of the laws of 2015, subdivision 5 as amended by section 8 of part H 14 of chapter 25 of the laws of 2009, the opening paragraph of subdivision 15 5 as amended by chapter 506 of the laws of 2009, subdivision 9 as added 16 by chapter 717 of the laws of 1967, the opening paragraph of subdivision 17 9 as separately amended by chapters 657 and 789 of the laws of 1973, 18 paragraphs (a), (b), (c) and (d) of subdivision 9 as relettered by chap- 19 ter 789 of the laws of 1973, paragraph (b) as amended by chapter 420 of 20 the laws of 1968, subdivision 13 as added by chapter 530 of the laws of 21 1986, subdivision 14 as amended by chapter 182 of the laws of 2013, 22 subdivision 15 as added by chapter 523 of the laws of 1999, subdivision 23 16 as amended by chapter 25 of the laws of 2000 and subdivision 18 as 24 amended by chapter 607 of the laws of 2003, is amended to read as 25 follows: 26 § 1266. Special powers of the authority. In order to effectuate the 27 purposes of this title: 28 1. [The authority may acquire, by purchase, gift, grant, transfer,29contract or lease, any transportation facility other than a transit30facility or, subject to subdivision two of this section or any transpor-31tation facility constituting a transit facility, wholly or partially32within the metropolitan commuter transportation district, or any part33thereof, or the use thereof, and may enter into any joint service34arrangements as hereinafter provided. Any such acquisition or joint35service arrangement shall be authorized only by resolution of the36authority approved by not less than a majority vote of the whole number37of members of the authority then in office, except that in the event of38a tie vote the chairman shall cast one additional vote.392. The authority may on such terms and conditions as the authority may40determine necessary, convenient or desirable itself plan, design,41acquire, establish, construct, effectuate, operate, maintain, renovate,42improve, extend, rehabilitate or repair (a) any transportation facility43other than a transit project, or (b) upon the request of the New York44city transit authority, and upon such terms and conditions as shall be45agreed to by the authority or any transportation facility constituting a46transit facility (a "transportation assistance project"), or may provide47for such planning, design, acquisition, establishment, construction,48effectuation, operation, maintenance, renovation, improvement, exten-49sion, rehabilitation or repair by contract, lease or other arrangement50on such terms as the authority may deem necessary, convenient or desira-51ble with any person, including but not limited to any common carrier or52freight forwarder, the state, any state agency, the federal government,53any other state or agency or instrumentality thereof, any public author-54ity of this or any other state, the port of New York authority or any55political subdivision or municipality of the state. In connection with56the operation of any transportation facility, the authority may plan,S. 7840 7 1design, acquire, establish, construct, effectuate, operate, maintain,2renovate, improve, extend or repair or may provide by contract, lease or3other arrangement for the planning, design, acquisition, establishment,4construction, effectuation, operation, maintenance, renovation, improve-5ment, extension or repair of any related services and activities it6deems necessary, convenient or desirable, including but not limited to7the transportation and storage of freight and the United States mail,8feeder and connecting transportation, parking areas, transportation9centers, stations and related facilities. Upon the completion of any10such transportation assistance project or any part thereof or the termi-11nation of any contract, lease or other arrangement relating to such12transportation assistance project, the authority shall cause the same to13be transferred, leased or subleased to the New York city transit author-14ity or its designated subsidiary, as appropriate, with or without15consideration.163.] (a) The authority [may] shall ensure that its revenues and any 17 other funds or property actually available to the authority are suffi- 18 cient to maintain the operations of the authority on a self-sustaining 19 basis. The operations of the authority shall be deemed to be on a self- 20 sustaining basis as required by this title when the authority is able to 21 pay or cause to be paid from revenue and any other funds or property 22 actually available to the authority: (i) as the same shall become due, 23 the principal of and interest on the bonds and notes and other obli- 24 gations of the authority; (ii) the cost and expense of keeping the prop- 25 erties and assets of the authority in good condition and repair; (iii) 26 the operating expenses of the authority; and (iv) any additional invest- 27 ment or savings necessary to maintain proper reserves. 28 (b) The term "proper reserves" as used in this title means the funds 29 necessary, taking into consideration projections of future revenues and 30 expenses, to ensure that total funds available for the following month 31 will exceed two hundred fifty percent of the amount necessary to pay or 32 cause to be paid: 33 (i) as the same shall become due, the principal of and interest on the 34 bonds and notes and other obligations of the authority; 35 (ii) the cost and expense of keeping the properties and assets of the 36 authority in good condition and repair; and 37 (iii) the operating expenses of the authority, for that following 38 month. 39 (c) Notwithstanding any contrary provision of law in title eleven-E or 40 title eleven-F of this article, if monthly revenues fall below one 41 hundred twenty-five percent of the amount necessary to maintain the 42 operations of the authority on a self-sustaining basis, the authority 43 shall, in accordance with sections thirteen hundred forty-nine-h and 44 thirteen hundred forty-nine-iiii of this article, establish, levy and 45 collect or cause to be established, levied and collected and, in the 46 case of a joint service arrangement, join with others in the establish- 47 ment, levy and collection of such fares, tolls, rentals, rates, charges 48 and other fees as it may deem necessary, convenient or desirable for the 49 use and operation of any transportation facility and related services 50 operated by the authority or by a subsidiary corporation of the authori- 51 ty or under contract, lease or other arrangement, including joint 52 service arrangements, with the authority, until such time that monthly 53 revenues and any other funds or property actually available to the 54 authority, including its reserves, exceed two hundred percent of the 55 amount necessary to maintain the monthly operations of the authority on 56 a self-sustaining basis for three consecutive months.S. 7840 8 1 (d) Any such fares, tolls, rentals, rates, charges or other fees for 2 the transportation of passengers shall be established and changed only 3 if approved by resolution of the authority adopted by not less than a 4 majority vote of the whole number of members of the authority then in 5 office, with the chairman having one additional vote in the event of a 6 tie vote, and only after a public hearing, provided however, that fares, 7 tolls, rentals, rates, charges or other fees for the transportation of 8 passengers on any transportation facility which are in effect at the 9 time that the then owner of such transportation facility becomes a 10 subsidiary corporation of the authority or at the time that operation of 11 such transportation facility is commenced by the authority or is 12 commenced under contract, lease or other arrangement, including joint 13 service arrangements, with the authority may be continued in effect 14 without such a hearing. [Such fares, tolls, rentals, rates, charges and15other fees shall be established as may in the judgment of the authority16be necessary to maintain the combined operations of the authority and17its subsidiary corporations on a self-sustaining basis. The said oper-18ations shall be deemed to be on a self-sustaining basis as required by19this title, when the authority is able to pay or cause to be paid from20revenue and any other funds or property actually available to the21authority and its subsidiary corporations (a) as the same shall become22due, the principal of and interest on the bonds and notes and other23obligations of the authority and of such subsidiary corporations,24together with the maintenance of proper reserves therefor, (b) the cost25and expense of keeping the properties and assets of the authority and26its subsidiary corporations in good condition and repair, and (c) the27capital and operating expenses of the authority and its subsidiary28corporations.] 29 (e) The authority may contract with the holders of bonds and notes 30 with respect to the exercise of the powers authorized by this section. 31 (f) No acts or activities taken or proposed to be taken by the author- 32 ity or any subsidiary of the authority pursuant to the provisions of 33 this subdivision shall be deemed to be "actions" for the purposes or 34 within the meaning of article eight of the environmental conservation 35 law. 36 [3-a. In furtherance of the authority's mandate to develop and imple-37ment a unified mass transportation policy for the metropolitan commuter38transportation district and the exercise of its powers, including the39power to issue notes, bonds and other obligations secured in whole or in40part by the revenues of the authority and its subsidiaries, and New York41city transit authority and its subsidiaries, the authority shall join42with the New York city transit authority and its subsidiaries in43connection with any change in the establishment, levy and collection of44fares, tolls, rentals, rates, charges and other fees for the transporta-45tion of passengers on any transportation facilities operated by New York46city transit authority and its subsidiaries. Such fares, tolls, rentals,47charges and other fees on transit facilities shall be established in48accordance with the requirements of sections twelve hundred five and49twelve hundred seven-i of this article.504. The authority may establish and, in the case of joint service51arrangements, join with others in the establishment of such schedules52and standards of operations and such other rules and regulations includ-53ing but not limited to rules and regulations governing the conduct and54safety of the public as it may deem necessary, convenient or desirable55for the use and operation of any transportation facility and related56services operated by the authority or under contract, lease or otherS. 7840 9 1arrangement, including joint service arrangements, with the authority.2Such rules and regulations governing the conduct and safety of the3public shall be filed with the department of state in the manner4provided by section one hundred two of the executive law. In the case of5any conflict between any such rule or regulation of the authority6governing the conduct or the safety of the public and any local law,7ordinance, rule or regulation, such rule or regulation of the authority8shall prevail. Violation of any such rule or regulation of the authority9governing the conduct or the safety of the public in or upon any facili-10ty of the authority shall constitute an offense and shall be punishable11by a fine not exceeding fifty dollars or imprisonment for not more than12thirty days or both or may be punishable by the imposition of a civil13penalty by the transit adjudication bureau established pursuant to the14provisions of title nine of this article.155. The authority may acquire, hold, own, lease, establish, construct,16effectuate, operate, maintain, renovate, improve, extend or repair any17transportation facilities through, and cause any one or more of its18powers, duties, functions or activities to be exercised or performed by,19one or more wholly owned subsidiary corporations of the authority, or by20New York city transit authority or any of its subsidiary corporations in21the case of transit facilities and may transfer to or from any such22corporations any moneys, real property or other property for any of the23purposes of this title upon such terms and conditions as shall be agreed24to and subject to such payment or repayment obligations as are required25by law or by any agreement to which any of the affected entities is26subject. The directors or members of each such subsidiary corporation of27the authority corporation shall be the same persons holding the offices28of members of the authority. The chairman of the board of each such29subsidiary shall be the chairman of the authority, serving ex officio30and, provided that there is an executive director of the metropolitan31transportation authority, the executive director of such subsidiary32shall be the executive director of the metropolitan transportation33authority, serving ex officio. Notwithstanding any provision of law to34the contrary, the chairman shall be the chief executive officer of each35such subsidiary and shall be responsible for the discharge of the execu-36tive and administrative functions and powers of each such subsidiary.37The chairman and executive director, if any, shall be empowered to dele-38gate his or her functions and powers to one or more officers or employ-39ees of each such subsidiary designated by him or her. Each such subsid-40iary corporation of the authority and any of its property, functions and41activities shall have all of the privileges, immunities, tax exemptions42and other exemptions of the authority and of the authority's property,43functions and activities. Each such subsidiary corporation shall be44subject to the restrictions and limitations to which the authority may45be subject. Each such subsidiary corporation of the authority shall be46subject to suit in accordance with section twelve hundred seventy-six of47this title. The employees of any such subsidiary corporation, except48those who are also employees of the authority, shall not be deemed49employees of the authority.50If the authority shall determine that one or more of its subsidiary51corporations should be in the form of a public benefit corporation, it52shall create each such public benefit corporation by executing and53filing with the secretary of state a certificate of incorporation, which54may be amended from time to time by filing, which shall set forth the55name of such public benefit subsidiary corporation, its duration, the56location of its principal office, and any or all of the purposes ofS. 7840 10 1acquiring, owning, leasing, establishing, constructing, effectuating,2operating, maintaining, renovating, improving, extending or repairing3one or more facilities of the authority. Each such public benefit4subsidiary corporation shall be a body politic and corporate and shall5have all those powers vested in the authority by the provisions of this6title which the authority shall determine to include in its certificate7of incorporation except the power to contract indebtedness.8Whenever any state, political subdivision, municipality, commission,9agency, officer, department, board, division or person is authorized and10empowered for any of the purposes of this title to co-operate and enter11into agreements with the authority such state, political subdivision,12municipality, commission, agency, officer, department, board, division13or person shall have the same authorization and power for any of such14purposes to co-operate and enter into agreements with a subsidiary15corporation of the authority.166. Each of the] 2. On a monthly basis, or more frequently if required 17 by law or agreement, the authority shall: 18 (a) pay: 19 (i) as the same shall become due, the principal of and interest on the 20 bonds and notes and other obligations of the authority, together with 21 the maintenance of proper reserves therefor; 22 (ii) the cost and expense of keeping the properties and assets of the 23 authority in good condition and repair; and 24 (iii) the operating expenses of the authority; 25 (b) make all other payments and transfers as required by law, includ- 26 ing those required by sections twelve hundred seventy-a, twelve hundred 27 seventy-b, twelve hundred seventy-c, twelve hundred seventy-d, twelve 28 hundred seventy-h, and twelve hundred seventy-i of this title; and 29 (c) transfer all remaining funds, except those required to be held in 30 reserve by law, to the big apple transit authority and the commuter 31 transportation authority as follows: eighty percent of the funds shall 32 be transferred to the big apple transit authority and twenty percent of 33 the funds shall be transferred to the commuter transportation authority. 34 3. The authority [and its subsidiaries, and the New York city transit35authority and its subsidiaries, in its own name or in the name of the36state,] may apply for and receive and accept grants of property, money 37 and services and other assistance offered or made available to it by any 38 person, government or agency, which it may use to meet capital or oper- 39 ating expenses and for any other use within the scope of its powers, and 40 to negotiate for the same upon such terms and conditions as the respec- 41 tive authority may determine to be necessary, convenient or desirable. 42 [6-a.] 4. Subject to the rights of the holders of any outstanding 43 bonds, notes or other obligations of the authority, [New York city tran-44sit authority and Triborough bridge and tunnel authority] the big apple 45 transit authority and its affiliates, and the commuter transportation 46 authority, and to facilitate the efficient financial management of the 47 authority, [its subsidiary corporations, New York city transit authority48and its subsidiary corporations, and Triborough bridge and tunnel49authority] the big apple transit authority and its affiliates, and the 50 commuter transportation authority, (the "affiliated entities"), the 51 authority may[, and may permit and direct any affiliated entity to,] 52 transfer revenues, subsidies and other monies or securities to one or 53 more funds or accounts of another affiliated entity for use by such 54 other affiliated entity, provided at the time of such transfer it is 55 reasonably anticipated that the monies and securities so transferred 56 will be reimbursed, repaid or otherwise provided for by the end of theS. 7840 11 1 next succeeding calendar year if reimbursement or repayment is required 2 by law or by any agreement to which any of the affected affiliated enti- 3 ties is subject. Any revenues of an affiliated entity that are trans- 4 ferred to another affiliated entity, which transfer was not authorized 5 by a provision of law other than this subdivision, shall be considered 6 to be required to be repaid to the affiliated entity which was the 7 source of such revenues by the end of the next succeeding calendar year 8 following such transfer. 9 [7. The authority may lease railroad cars for use in its passenger10service pursuant to the provisions of chapter six hundred thirty-eight11of the laws of nineteen hundred fifty-nine.128. The authority may do all things it deems necessary, convenient or13desirable to manage, control and direct the maintenance and operation of14transportation facilities, equipment or real property operated by or15under contract, lease or other arrangement with the authority and its16subsidiaries, and New York city transit authority and its subsidiaries.17Except as hereinafter specially provided, no municipality or political18subdivision, including but not limited to a county, city, village, town19or school or other district shall have jurisdiction over any facilities20of the authority and its subsidiaries, and New York city transit author-21ity and its subsidiaries, or any of their activities or operations. The22local laws, resolutions, ordinances, rules and regulations of a munici-23pality or political subdivision, heretofore or hereafter adopted,24conflicting with this title or any rule or regulation of the authority25or its subsidiaries, or New York city transit authority or its subsid-26iaries, shall not be applicable to the activities or operations of the27authority and its subsidiaries, and New York city transit authority, or28the facilities of the authority and its subsidiaries, and New York city29transit authority and its subsidiaries, except such facilities that are30devoted to purposes other than transportation or transit purposes. Each31municipality or political subdivision, including but not limited to a32county, city, village, town or district in which any facilities of the33authority or its subsidiaries, or New York city transit authority or its34subsidiaries are located shall provide for such facilities police, fire35and health protection services of the same character and to the same36extent as those provided for residents of such municipality or political37subdivision.38The jurisdiction, supervision, powers and duties of the department of39transportation of the state under the transportation law shall not40extend to the authority in the exercise of any of its powers under this41title. The authority may agree with such department for the execution by42such department of any grade crossing elimination project or any grade43crossing separation reconstruction project along any railroad facility44operated by the authority or by one of its subsidiary corporations or45under contract, lease or other arrangement with the authority. Any such46project shall be executed as provided in article ten of the transporta-47tion law and the railroad law, respectively, and the costs of any such48project shall be borne as provided in such laws, except that the author-49ity's share of such costs shall be borne by the state.509. Upon approval by the commissioner of transportation of the state of51New York of detailed plans and specifications, which approval may be52based upon considerations of relative need and the timing of53construction, the authority is authorized to design, construct, main-54tain, operate, improve and reconstruct a highway bridge crossing Long55Island sound, as follows:S. 7840 12 1(a) Upon (i) the enactment by the state of Connecticut of legislation2having like effect as the provisions of this paragraph and the granting3of the consent of the congress of the United States of America to the4interstate compact thereby created, and (ii) in conformity with recom-5mendations of the New York-Connecticut bi-state bridge study commission,6the authority is authorized, in cooperation with any duly designated7agency or agencies of the state of Connecticut, to design, construct,8maintain, operate, improve and reconstruct a highway bridge crossing9Long Island sound from a point in the vicinity of the city of Bridgeport10in the state of Connecticut to a point in the vicinity of the village of11Port Jefferson in the state of New York, together with approaches to12such bridge; and to contract from time to time with such agency or agen-13cies of the state of Connecticut with respect to all matters affecting14these authorizations, including, without limitation, the sharing of all15capital, operational and maintenance expense (except that the capital16expense of the original construction of such bridge, other than the17expense of acquiring the needed real property, shall be in the ratio of18fifty per-centum for the authority and fifty per-centum for such agency19or agencies of the state of Connecticut), the manner and by whom the20work of design, construction, reconstruction, improvement, maintenance21and operation is to be performed or contracted to others for perform-22ance, the tolls, fees and other charges to be imposed from time to time23for the use of such bridge, and the sharing of revenues derived from the24imposition of such tolls, fees and charges (except that net revenues25remaining after deduction of operational and maintenance expense of such26bridge shall be in the ratio of fifty per-centum for the authority and27fifty per-centum for the state of Connecticut or for such agency or28agencies of the state of Connecticut. Subject to the limitations imposed29upon the authority by the provisions of the said contracts, that portion30of the said bridge and its approaches situate and lying within the31territorial boundaries of the state of New York shall be deemed a32"transportation facility" of the authority for all the purposes of this33title, but tolls, fees and other charges imposed for the use of such34bridge shall not be deemed to have been imposed "for the transportation35of passengers" within the intendment of subdivision three of this36section.37(b) If funds are made available by the authority for the payment of38the cost and expense of the acquisition thereof, the commissioner of39transportation of the state of New York, when requested by the authori-40ty, may acquire in the name of the state such real property lying within41the territorial boundaries of the state as may be determined from time42to time by the authority to be necessary, convenient or desirable to43carry out the authorizations set forth in paragraphs (a) and (b) of this44subdivision, may remove the owner or occupant thereof where necessary45and obtain possession and, when requested by the authority, may dispose46of any real property so acquired, all according to the procedure47provided in section thirty of the highway law. The authority shall have48the right to possess and use for its corporate purposes all such real49property so acquired, all according to the procedure provided in section50thirty of the highway law. The authority shall have the right to possess51and use for its corporate purposes all such real property so acquired.52Claims for the value of the property appropriated and for legal damages53caused by any such appropriation shall be adjusted and determined by the54commissioner of transportation with the approval of the authority or by55the court of claims as provided in section thirty of the highway law.56When a claim has been filed with the court of claims, the claimant shallS. 7840 13 1cause a copy of such claim to be served upon the authority and the2authority shall have the right to be represented and heard before such3court. All awards and judgments arising from such claims shall be paid4out of moneys of the authority.5(c) The authority, acting independently or jointly or in cooperation6with such agency or agencies of the state of Connecticut, may also apply7for and accept, upon condition or otherwise, from the duly authorized8agencies of the federal government, and of the governments of the states9of Connecticut and New York, such underwater and overwater grants of10real property, licenses or permits as shall be necessary, convenient or11desirable to carry out the authorizations set forth in paragraphs (a)12and (b) of this subdivision.13(d) The provisions of chapter four hundred forty-two of the laws of14nineteen hundred sixty-five (and of any agreement entered into in15pursuance thereof) relating to the repayment of a loan made by the state16to the authority for the purchase of the Long Island railroad shall be17inapplicable to (i) the construction of such bridges and their18approaches, (ii) bonds, notes or other obligations of the authority19issued for or in connection with the financing of the cost of design,20construction and reconstruction of such bridges and their approaches, or21the proceeds realized upon such issuance; and (iii) revenues derived22from the investment of such proceeds or of any part thereof, and from23the imposition of tolls, fees or other charges for the use of such24bridges.2510.] 5. Notwithstanding the provisions of any other law, general, 26 special or local, or of any agreement entered into in pursuance thereof, 27 relating to the repayment of any loan or advance made by the state to 28 the authority or to the New York city transit authority, neither the 29 authority nor the New York city transit authority shall be required to 30 repay any such loan or advance heretofore made from or by reason of the 31 issuance of bonds or notes of either of them or from the proceeds real- 32 ized upon such issuance or from any other funds received by either of 33 them from any source whatever in aid or assistance of the project or 34 projects for the financing of which such bonds or notes are issued. 35 [11. No project to be constructed upon real property theretofore used36for a transportation purpose, or on an insubstantial addition to such37property contiguous thereto, which will not change in a material respect38the general character of such prior transportation use, nor any acts or39activities in connection with such project, shall be subject to the40provisions of article eight, nineteen, twenty-four or twenty-five of the41environmental conservation law, or to any local law or ordinance adopted42pursuant to any such article. Nor shall any acts or activities taken or43proposed to be taken by the authority or by any other person or entity,44public or private, in connection with the planning, design, acquisition,45improvement, construction, reconstruction or rehabilitation of a trans-46portation facility, other than a marine or aviation facility, be subject47to the provisions of article eight of the environmental conservation48law, or to any local law or ordinance adopted pursuant to any such arti-49cle if such acts or activities require the preparation of a statement50under or pursuant to any federal law or regulation as to the environ-51mental impact thereof.5212. The authority may, upon suitable notice to and an offer to consult53with an officer designated by the city of New York, occupy the streets54of the city of New York for the purpose of doing any work over or under55the same in connection with the improvement, construction, recon-S. 7840 14 1struction or rehabilitation of a transportation facility without the2consent of or payment to such city.313. The authority and each of its subsidiary corporations shall place4on each transformer and substation which contains polychlorinated biphe-5nyls (PCBs) a symbol so indicating the presence of PCBs. Use of a PCB6mark illustrated in the rules and regulations promulgated pursuant to7the federal Toxic Substances Control Act shall constitute compliance8with the provisions of this subdivision.914. Notwithstanding any other provisions of law or the terms of any10contract, the authority, in consultation with the Long Island Rail Road,11shall establish and implement a no fare program for transportation on12the Long Island Rail Road for police officers employed by the city of13New York, county of Nassau, Nassau county villages and cities, county of14Suffolk, Suffolk county villages and towns, the division of state15police, the port authority of New York and New Jersey, the Metro-North16Commuter Railroad Company, the New York city housing authority and the17New York city transit authority. In establishing such program, which has18as its goal increased protection and improved safety for its commuters,19the authority and the Long Island Rail Road shall, among other things,20consider: (a) requiring police officers who ride without cost to regis-21ter with the Long Island Rail Road as a condition of riding without22cost; (b) requiring such officers to indicate during such registration23process their regular working hours and the Long Island Rail Road trains24that such officers expect to ride; and (c) periodically re-registering25and re-validating such officers. The authority and the Long Island Rail26Road shall also have the power to consider other matters necessary to27carry out the goals and objectives of this section.2815. (a) Notwithstanding any other provisions of law or the terms of29any contract, the authority, in consultation with the New York city30transit authority, the Long Island Rail Road and the Metro-North Commu-31ter Railroad Company, shall establish and implement a no fare program32for transportation on New York city transit authority systems, the Long33Island Rail Road and the Metro-North Commuter Railroad Company for indi-34viduals serving as personal care attendants accompanying an Americans35With Disabilities Act paratransit eligible individual.36(b) In order to be eligible for such no fare program the personal care37attendant must show his or her community based personal care attendant38agency issued identification card.39(c) In order to be considered accompanying an Americans With Disabili-40ties Act paratransit eligible individual the personal care attendant41shall have the same origin and destination as such paratransit eligible42individual.4316. Notwithstanding any other provision of law, the authority and any44of its subsidiary corporations shall establish and implement a half fare45rate program for persons with serious mental illness who are eligible to46receive supplemental security income benefits as defined pursuant to47title sixteen of the federal social security act and section two hundred48nine of the social services law.4917. Notwithstanding any conflicting provisions of general, special or50local law, and pursuant to the authority's 2000-2004 capital program51plans approved by the metropolitan transportation authority capital52program review board, the authority or any of its subsidiaries, the New53York city transit authority or any of its subsidiaries, or Triborough54bridge and tunnel authority, shall provide, from funds identified in55such approved 2000-2004 capital program plans, up to twelve million56dollars for the financing of a bus and heavy duty vehicles emissionS. 7840 15 1research and testing facility and related equipment located in the state2of New York, whether within or outside of the transportation district,3which facility shall be operated by the department of environmental4conservation and shall be available for use on a non-exclusive basis by5the authority and any of its subsidiaries, the New York city transit6authority and any of its subsidiaries, and Triborough bridge and tunnel7authority.818. The authority shall conduct a campaign of public outreach to9inform the public of the provisions pertaining to assault on employees10described in subdivision eleven of section 120.05 of the penal law.] 11 § 12. Section 1266-a of the public authorities law is REPEALED. 12 § 13. Section 1266-b of the public authorities law is REPEALED. 13 § 14. Section 1266-c of the public authorities law is REPEALED. 14 § 15. Section 1266-d of the public authorities law is REPEALED. 15 § 16. Section 1266-e of the public authorities law is REPEALED. 16 § 17. Section 1266-f of the public authorities law is REPEALED. 17 § 18. Section 1266-g of the public authorities law is REPEALED. 18 § 19. Section 1266-h of the public authorities law is REPEALED and a 19 new section 1266-h is added to read as follows: 20 § 1266-h. Transfer of employees. 1. In order to assist the big apple 21 transportation authority and the commuter transportation authority in 22 carrying out their powers and responsibilities, the authority shall 23 develop and complete a personnel reorganization plan to transfer its 24 employees to the big apple transportation authority and the commuter 25 transportation authority to perform any operation or function subject 26 only to a determination that they are substantially similar to any oper- 27 ation or function currently performed. Substantially similar operation 28 or function shall be determined by the authority receiving the employ- 29 ees. 30 2. Such assignment, transfer, sharing, or consolidation pursuant to 31 this section shall occur only if approved by resolution of the boards of 32 the authority, the big apple transportation authority, and the commuter 33 transportation authority, adopted by not less than a majority vote of 34 the whole number of members of the authority then in office, with the 35 chairman having one additional vote in the event of a tie vote. 36 3. Nothing set forth in this section shall be construed to impede, 37 infringe or diminish the rights and benefits that accrue to employees 38 and employers through collective bargaining agreements, or impact or 39 change an employee's membership in a bargaining unit. 40 4. A transferred employee who is a member or beneficiary of any exist- 41 ing pension or retirement system shall continue to have the rights, 42 privileges, obligations and status with respect to such system or 43 systems as if they had continued in their employment with the authority. 44 5. Pursuant to this section, any such assigning, transferring, shar- 45 ing, or consolidating of powers, duties, functions or activities shall 46 not be authorized where it would impair any rights and remedies of any 47 holders of notes, bonds or other obligations issued by the authority, 48 its subsidiaries, or affiliates or their subsidiaries. 49 6. Such transfers shall be subject to section seventy of the civil 50 service law; or, where not subject to civil service, the provisions of 51 such section seventy shall be deemed applicable, except where the 52 context clearly requires otherwise. Any such employee who, at the time 53 of such transfer, has a temporary or provisional appointment shall be 54 transferred subject to the same right of removal, examination or termi- 55 nation as though such transfer had not been made except to the extent 56 such rights are modified by a collective bargaining agreement.S. 7840 16 1 7. A transferred employee shall remain in the same collective bargain- 2 ing unit as was the case prior to his or her transfer; successor employ- 3 ees to the positions held by such transferred employees shall, consist- 4 ent with the provisions of article fourteen of the civil service law, be 5 included in the same unit as their predecessors. Employees, other than 6 managerial or confidential persons (as defined in article fourteen of 7 the civil service law), serving in positions in newly created titles 8 shall be assigned to the appropriate bargaining unit. Nothing contained 9 in this section shall be construed to affect: 10 (a) the rights of employees pursuant to a collective bargaining agree- 11 ment; 12 (b) the representational relationships among employee organizations or 13 the bargaining relationships between the state and an employee organiza- 14 tion; or 15 (c) existing law with respect to an application to the public employ- 16 ment relations board, provided, however, that the merger of such negoti- 17 ating units of employees shall be effected only with the consent of the 18 recognized and certified representatives of such units and of the 19 authority. 20 8. Notwithstanding the provisions of any other law to the contrary, 21 all lawful appointees holding positions which hereinbefore were subject 22 to the civil service law and are transferred to the authority shall 23 continue to hold their positions without further examination or quali- 24 fications. 25 § 20. Section 1266-i of the public authorities law is REPEALED. 26 § 21. Section 1266-j of the public authorities law is REPEALED. 27 § 22. Section 1266-k of the public authorities law is REPEALED. 28 § 23. Section 1267 of the public authorities law is REPEALED. 29 § 24. Section 1267-a of the public authorities law is REPEALED. 30 § 25. Section 1267-b of the public authorities law is REPEALED. 31 § 26. Section 1268 of the public authorities law is REPEALED. 32 § 27. Subdivisions 1-a and 12 of section 1269 of the public authori- 33 ties law are REPEALED. 34 § 28. Subdivisions 1, 3, 4, 6 and 9 of section 1269 of the public 35 authorities law, as amended by section 27 of part O of chapter 61 of the 36 laws of 2000, are amended to read as follows: 37 1. (a) The authority shall only have power [and is hereby authorized38from time to time] to issue its bonds, notes and other obligations in 39 such principal amount as[, in the opinion of the authority, shall be40necessary, convenient or desirable to effectuate any of its powers and41purposes, including to provide sufficient funds for achieving its42purposes, including the acquisition, establishment, construction, effec-43tuation, operation, maintenance, renovation, improvement, extension,44rehabilitation or repair of any transportation facility, the payment of45principal, redemption premium and interest on bonds, notes and other46obligations of the authority, establishment of reserves to secure such47bonds notes and other obligations, the provision of working capital and48all other expenditures of the authority and its subsidiary corporations,49and New York city transit authority and its subsidiary corporations50incident to and necessary or convenient to carry out their purposes and51powers] already authorized by the 2015-2019 capital program. Such 52 bonds, notes or other obligations may be issued for an individual trans- 53 portation facility or issued on a consolidated basis for such groups or 54 classes of facilities and projects as the authority in its discretion 55 deems appropriate and be payable from and secured separately or on a 56 consolidated basis by, among other things, all or any portion of suchS. 7840 17 1 revenues and other monies and assets of the authority [and its subsid-2iary corporations, and New York city transit authority and its subsid-3iary corporations as the authority determines in accordance with the4provisions of section twelve hundred seventy-d of this title]; 5 (b) [The authority shall have power, from time to time, to issue6renewal notes, to issue bonds to refund, redeem or otherwise pay,7including by purchase or tender, notes of the authority and its subsid-8iary corporations, and New York city transit authority and its subsid-9iary corporations and whenever it deems refunding, redemption or payment10expedient, to refund, redeem or otherwise pay, including by purchase or11tender, any bonds of the authority and its subsidiary corporations, New12York city transit authority and its subsidiary corporations and Tribor-13ough bridge and tunnel authority by the issuance of new bonds, whether14the bonds to be refunded, redeemed or otherwise paid have or have not15matured, and to issue bonds partly for such purpose and partly for any16other purpose and to otherwise refund, redeem, acquire by purchase or17tender, or in any other way repay any outstanding notes, bonds or other18obligations of the authority, any of its subsidiary corporations, New19York city transit authority, any of its subsidiary corporations and20Triborough bridge and tunnel authority;21(c)] Every issue of its notes, bonds or other obligations shall be 22 general obligations or special obligations. Every issue of general obli- 23 gations of the authority shall be payable out of any revenues or monies 24 of the authority, subject only to any agreements with the holders of 25 particular notes or bonds pledging any particular receipts or revenues. 26 Every issue of special obligations shall be payable out of any revenues, 27 receipts, monies or other assets of the authority [and its subsidiary28corporations, the New York city transit authority and its subsidiary29corporations and the Triborough bridge and tunnel authority] identified 30 for such purposes in accordance with agreements with the holders of 31 particular notes, bonds or other obligations. [The authority may issue32transportation revenue special obligation bonds, notes or other obli-33gations as provided in section twelve hundred seventy-d of this title]; 34 3. Any resolution or resolutions authorizing any notes, bonds or any 35 issue thereof, or any other obligations of the authority, may contain 36 provisions, which shall be a part of the contract with the holders ther- 37 eof, as to: 38 (a) pledging all or any part of the revenues of the authority [or of39any of its subsidiary corporations or New York city transit authority or40any of its subsidiary corporations or Triborough bridge and tunnel41authority] to secure the payment of the notes or bonds or of any issue 42 thereof, or any other obligations of the authority, subject to such 43 applicable agreements with bondholders, noteholders, or holders of other 44 obligations of the authority, [the New York city transit authority and45its subsidiary corporations, and Triborough bridge and tunnel authority] 46 the big apple transit authority and its affiliates, or the commuter 47 transportation authority as may then exist; 48 (b) [pledging all or any part of the assets of the authority or of any49of its subsidiary corporations or New York city transit authority or any50of its subsidiary corporations or Triborough bridge and tunnel authority51to secure the payment of the notes or bonds or of any issue of notes or52bonds, or any other obligations of the authority, subject to such agree-53ments with noteholders, bondholders, or holders of other obligations of54the authority, the New York city transit authority and its subsidiary55corporations, and Triborough bridge and tunnel authority as may then56exist;S. 7840 18 1(c)] the use and disposition of revenues, including fares, tolls, 2 rentals, rates, charges and other fees, made or received by the authori- 3 ty, any of its subsidiary corporations, [New York city transit authority4or any of its subsidiary corporations, or Triborough bridge and tunnel5authority] the big apple transit authority and its affiliates, and the 6 commuter transportation authority; 7 [(d)] (c) the setting aside of reserves or sinking funds and the regu- 8 lation and disposition thereof; 9 [(e)] (d) limitations on the purpose to which the proceeds of sale of 10 notes, bonds or other obligations of the authority may be applied and 11 pledging such proceeds to secure the payment of the notes or bonds or of 12 any issue thereof or of other obligations; 13 [(f)] (e) limitations on the issuance of additional notes, bonds or 14 other obligations of the authority; the terms upon which additional 15 notes, bonds or other obligations of the authority may be issued and 16 secured; the refunding of outstanding or other notes, bonds or other 17 obligations of the authority; 18 [(g)] (f) the procedure, if any, by which the terms of any contract 19 with noteholders, bondholders, or holders of other obligations of the 20 authority, may be amended or abrogated, the amount of notes, bonds or 21 other obligations of the authority the holders of which must consent 22 thereto, and the manner in which such consent may be given; 23 [(h)] (g) limitations on the amount of monies to be expended by the 24 authority [or any of its subsidiary corporations or New York city trans-25it authority or any of its subsidiary corporations or Triborough bridge26and tunnel authority for operating, administrative or other expenses of27the authority or any of its subsidiary corporations or New York city28transit authority or any of its subsidiary corporations or Triborough29bridge and tunnel authority]; 30 [(i)] (h) vesting in a trustee or trustees such property, rights, 31 powers and duties in trust as the authority may determine, which may 32 include any or all of the rights, powers and duties of the trustee 33 appointed by the bondholders, noteholders or holders of other obli- 34 gations of the authority pursuant to this title, and limiting or abro- 35 gating the right of the bondholders, noteholders or holders of other 36 obligations of the authority to appoint a trustee under this article or 37 limiting the rights, powers and duties of such trustee; 38 [(j)] (i) any other matters, of like or different character, which in 39 any way affect the security or protection of the notes, bonds or other 40 obligations of the authority. 41 4. In addition to the powers herein conferred upon the authority to 42 secure its notes, bonds and other obligations, the authority shall have 43 power in connection with the issuance of notes, bonds and other obli- 44 gations to enter into such agreements as the authority may deem neces- 45 sary, convenient or desirable concerning the use or disposition of the 46 monies or property of [any of] the authority[, its subsidiary corpo-47rations, New York city transit authority, or any of its subsidiary48corporations, or Triborough bridge and tunnel authority], including the 49 mortgaging of any such property and the entrusting, pledging or creation 50 of any other security interest in any such monies or property and the 51 doing of any act (including refraining from doing any act) which the 52 authority would have the right to do in the absence of such agreements. 53 The authority shall have power to enter into amendments of any such 54 agreements within the powers granted to the authority by this title and 55 to perform such agreements. The provisions of any such agreements may beS. 7840 19 1 made a part of the contract with the holders of the notes, bonds and 2 other obligations of the authority. 3 6. Neither the members of the authority, [the New York city transit4authority or the Triborough bridge and tunnel authority] the big apple 5 transit authority or any of its affiliates, or the commuter transporta- 6 tion authority nor any person executing the notes, bonds or other obli- 7 gations shall be liable personally on the notes, bonds or other obli- 8 gations or be subject to any personal liability or accountability by 9 reason of the issuance thereof. 10 9. So long as the authority has outstanding any bonds, notes or other 11 obligations issued pursuant to this section or any bonds, notes or other 12 obligations issued or incurred pursuant to the former section twelve 13 hundred sixty-six-c of this title, none of the authority or any of its 14 subsidiary corporations, New York city transit authority or any of its 15 subsidiary corporations, or Triborough bridge and tunnel authority shall 16 have the authority to file a voluntary petition under chapter nine of 17 the federal bankruptcy code or such corresponding chapter, chapters or 18 sections as may, from time to time, be in effect, and neither any public 19 officer nor any organization, entity or other person shall authorize the 20 authority or any of its subsidiary corporations, New York city transit 21 authority or any of its subsidiary corporations, or Triborough bridge 22 and tunnel authority to be or become a debtor under chapter nine or said 23 corresponding chapter, chapters or sections of the federal bankruptcy 24 code during any such period. 25 § 29. Section 1269-a of the public authorities law is REPEALED. 26 § 30. Section 1269-b of the public authorities law is REPEALED. 27 § 31. Section 1269-c of the public authorities law is REPEALED. 28 § 32. Section 1269-d of the public authorities law is REPEALED. 29 § 33. Section 1269-f of the public authorities law is REPEALED. 30 § 34. Section 1269-g of the public authorities law is REPEALED. 31 § 35. Subdivisions 2 and 3 and paragraphs (a), (d) and (e) of subdivi- 32 sion 4 of section 1270-a of the public authorities law, subdivisions 2 33 and 3 and paragraphs (a) and (d) of subdivision 4 as amended by section 34 29 of part O of chapter 61 of the laws of 2000, and paragraph (e) of 35 subdivision 4 as amended by section 7 of part FF of chapter 58 of the 36 laws of 2019, are amended to read as follows: 37 2. Moneys in the transit account [may be pledged to the Triborough38bridge and tunnel authority to secure bonds and notes and, if so39pledged,]if already pledged prior to January first, two thousand twen- 40 ty-one, shall be paid to the Triborough bridge and tunnel authority in 41 such amounts and at such times as necessary to pay or to reimburse that 42 authority for its payment of debt service and reserve requirements on 43 that portion of special Triborough bridge and tunnel authority bonds and 44 notes issued by that authority pursuant to section five hundred fifty- 45 three-d of this chapter for transit projects undertaken for the New York 46 city transit authority and its subsidiaries. Subject to the provisions 47 of such pledge, any excess monies, or in the event there is no such 48 pledge, any moneys in such account shall, at the direction of the 49 [metropolitan transportation] big apple transit authority, be (a) depos- 50 ited into one or more funds or accounts and used as contemplated by 51 section [twelve hundred seventy-d] thirteen hundred forty-nine-dd of 52 this [title] chapter or (b) used for the payment of operating and capi- 53 tal costs of the New York city transit authority and its subsidiaries 54 and the Staten Island rapid transit operating authority. 55 3. The authority shall transfer in nineteen hundred eighty-seven up to 56 twenty million dollars of the moneys in the commuter railroad account toS. 7840 20 1 the suburban transportation fund in accordance with the terms of an 2 agreement between the authority and the department of transportation 3 with respect thereto, established herein, and pursuant to section eight- 4 y-eight-b of the state finance law. In subsequent years the authority 5 shall transfer twenty million dollars of the moneys in the commuter 6 railroad account to the suburban transportation fund in accordance with 7 the terms of an agreement between the authority and the department of 8 transportation with respect thereto, established herein, and pursuant to 9 section eighty-eight-b of the state finance law. 10 In the event the transfer to the suburban transportation fund provided 11 pursuant to this subdivision results in an operating deficit, as certi- 12 fied by the director of the division of the budget, in consultation with 13 the authority, that portion of the deficit attributable to such transfer 14 shall be appropriated from the general fund to the authority for commu- 15 ter railroad operating purposes, provided, however, that such appropri- 16 ation shall not exceed twenty million dollars. 17 The remaining moneys in the commuter railroad account [may be pledged18to the Triborough bridge and tunnel authority to secure bonds and notes19and, if so pledged] if already pledged prior to January first, two thou- 20 sand twenty-one, shall be paid to the Triborough bridge and tunnel 21 authority in such amounts and at such times as necessary to pay or to 22 reimburse that authority for its payment of debt service and reserve 23 requirements on that portion of special Triborough bridge and tunnel 24 authority bonds and notes issued by that authority pursuant to section 25 five hundred fifty-three-d of this chapter for transportation facilities 26 undertaken for the authority and its subsidiaries. Subject to the 27 provisions of any such pledge, any excess monies, or in the event there 28 is no such pledge, any moneys in such account shall[, at the direction29of the metropolitan transportation authority, be (a) deposited into one30or more funds or accounts and used as contemplated by section twelve31hundred seventy-d of this title or, (b)] be used for payment of operat- 32 ing and capital costs of the Long Island Rail Road company and the 33 Metro-North commuter railroad company. 34 (a) Moneys in the corporate transportation account shall first be used 35 for payments to the metropolitan transportation authority Dutchess, 36 Orange and Rockland fund established by section twelve hundred seventy-b 37 of this title. The remaining moneys in the corporate transportation 38 account [may be pledged by the authority, or pledged to the Triborough39bridge and tunnel authority, to secure bonds, notes or other obligations40of the authority or the Triborough bridge and tunnel authority, as the41case may be, and, if so pledged], if already pledged to the Triborough 42 bridge and tunnel authority prior to January first, two thousand twen- 43 ty-one, shall be paid to the Triborough bridge and tunnel authority in 44 such amounts and at such times as necessary to pay or to reimburse that 45 authority for its payment of debt service and reserve requirements, if 46 any, on that portion of special Triborough bridge and tunnel authority 47 bonds and notes issued by that authority pursuant to section five 48 hundred fifty-three-d of this chapter. Subject to the provisions of any 49 such pledge, or in the event there is no such pledge, any excess moneys 50 in the corporate transportation account [may] shall be [used by the51authority for payment of operating costs of, and capital costs, includ-52ing debt service and reserve requirements, if any, of or for the author-53ity,] transferred to the [New York city transit authority and their54subsidiaries as the authority shall determine] big apple transit author- 55 ity.S. 7840 21 1 (d) (1) In the event the county of Dutchess, the county of Orange or 2 the county of Rockland withdraws from the metropolitan transportation 3 district, the authority shall not transfer from the corporate transpor- 4 tation account to the metropolitan transportation authority Dutchess, 5 Orange and Rockland fund that portion of the moneys that would otherwise 6 be transferred from such account to such fund to the credit of such 7 withdrawing county or counties. 8 (2) For purposes of this subdivision, a county is deemed to have with- 9 drawn if a resolution is adopted and filed by the county legislature of 10 such county providing a public transportation plan pursuant to section 11 [twelve hundred seventy-nine-b] thirteen hundred forty-nine-wwwww of 12 this [title] chapter. 13 (e) Notwithstanding the foregoing provisions of this subdivision, any 14 moneys in the corporate transportation account that are received by the 15 authority: (i) without appropriation pursuant to subdivision one of this 16 section, or (ii) pursuant to the provisions of section ninety-two-ff of 17 the state finance law [may be pledged by the authority, or pledged to18the Triborough bridge and tunnel authority, to secure bonds, notes or19other obligations of the authority or the Triborough bridge and tunnel20authority, as the case may be, and, if so pledged], if already pledged 21 to the Triborough bridge and tunnel authority prior to January first, 22 two thousand twenty-one, shall be paid to the Triborough bridge and 23 tunnel authority in such amounts and at such times as necessary to pay 24 or to reimburse that authority for its payment of debt service and 25 reserve requirements, if any, on that portion of special Triborough 26 bridge and tunnel authority bonds and notes issued by that authority 27 pursuant to section five hundred fifty-three-d of this chapter. Subject 28 to the provisions of any such pledge, or in the event there is no such 29 pledge, any moneys in the corporate transportation account received by 30 the authority: (i) without appropriation pursuant to subdivision one of 31 this section, or (ii) pursuant to the provisions of section ninety-two- 32 ff of the state finance law [may] shall be [used by the authority for33payment of operating costs of, and capital costs, including debt service34and reserve requirements, if any, of or for the authority,] transferred 35 to the [New York city transit authority and their subsidiaries as the36authority shall determine] big apple transit authority. No moneys in the 37 corporate transportation account that are reserved by the authority: (i) 38 without appropriation pursuant to subdivision one of this section; or 39 (ii) pursuant to the provisions of section ninety-two-ff of the state 40 finance law may be used for making any payment to the Dutchess, Orange 41 and Rockland fund created by section twelve hundred seventy-b of this 42 title or considered in calculating the amounts required to be paid into 43 such fund. 44 § 36. Subdivision 3 of section 1270-c of the public authorities law, 45 as amended by section 30 of part O of chapter 61 of the laws of 2000, is 46 amended to read as follows: 47 3. Moneys in the fund may be [(a) pledged by the authority to secure48and be applied to the payment of its bonds, notes or other obligations49specified by the authority and issued to finance (i) transit projects50undertaken for the New York city transit authority and its subsidiaries51and (ii) transportation facilities undertaken for the authority and its52subsidiaries and (b)] used for payment of operating costs, [and capital53costs,] including debt service, reserve requirements, if any, the 54 payment of amounts required under bond and note facilities or agreements 55 related thereto, the payment of federal government loans, security or 56 credit arrangements or other agreements related thereto, and the paymentS. 7840 22 1 of all costs related to such obligations, of or for the authority[, the2New York city transit authority and their subsidiaries as the authority3shall determine]. To the extent moneys in the fund have already been 4 pledged by the authority prior to January first, two thousand twenty-one 5 to secure and pay its bonds, notes or other obligations [as herein6provided], moneys deposited into the fund shall first be deposited into 7 the pledged amounts account to the extent necessary to satisfy the 8 requirements of any debt service or reserve requirements, if any, of the 9 resolution authorizing such bonds, notes or other obligations. After 10 satisfaction of such requirements of the resolution, or if the authority 11 has not so pledged the moneys in the fund, moneys deposited in the fund 12 shall be directly deposited into the operating and capital costs account 13 and, subject to the provisions of any resolutions of the authority not 14 secured by the pledged amounts account, transferred forthwith to or for 15 the benefit of the [New York city transit authority and its subsidiaries16and the Staten Island rapid transit operating authority] big apple tran- 17 sit authority (the "[TA] BAT") and to and for the benefit of the [Long18Island Rail Road company and the Metro-North commuter rail road company] 19 commuter transportation authority (the "[CRR] CTA") as provided in this 20 section. 21 Moneys in the operating and capital costs account which were deposited 22 in the fund pursuant to appropriation from moneys deposited in the dedi- 23 cated mass transportation trust fund for payment to the metropolitan 24 transportation authority dedicated tax fund pursuant to subdivision (d) 25 of section three hundred one-j of the tax law (the "remaining PBT 26 amount") shall be distributed by the authority as follows: an amount 27 equal to the debt service incurred in such calendar year as a result of 28 obligations issued and secured by moneys in the fund, to the extent such 29 debt service is to be paid from money deposited in the fund pursuant to 30 appropriation from moneys deposited in the dedicated mass transportation 31 trust fund for payment to the metropolitan transportation authority 32 dedicated tax fund pursuant to subdivision (d) of section three hundred 33 one-j of the tax law ("PBT debt service"), shall be added to the remain- 34 ing PBT amount. The sum of these figures shall then be allocated as 35 follows: eighty-five per centum of such sum shall be allocated to the 36 [TA] BAT and fifteen per centum of such sum shall be allocated to the 37 [CRR] CTA. The amounts so allocated shall then be reduced respectively 38 by the proportional amount of PBT debt service attributable to the 39 payments for transit projects undertaken for the [TA] BAT and transpor- 40 tation facility projects undertaken for the [CRR] CTA. The remaining 41 amounts shall constitute the respective distributable shares of the 42 remaining PBT amount and shall be distributed to or for the benefit of 43 the [TA] BAT and the [CRR] CTA. 44 Moneys in the operating and capital costs account which were deposited 45 in the fund pursuant to section eighty-eight-a of the state finance law 46 (the "remaining MMTOA amount") shall be distributed by the authority as 47 follows: an amount equal to the debt service incurred in such calendar 48 year as a result of obligations issued and secured by money in the fund, 49 to the extent such debt service is to be paid from money deposited in 50 the fund pursuant to section eighty-eight-a of the state finance law 51 ("MMTOA debt service"), shall be added to the remaining MMTOA amount. 52 The sum of these figures shall then be allocated as follows: there shall 53 be allocated (i) to the [TA] BAT an amount of such sum which bears the 54 same proportion to such sum as the amount appropriated and paid during 55 such calendar year from the metropolitan mass transportation operating 56 assistance account to the authority for the operating expenses of theS. 7840 23 1 [TA] BAT bears to the total amounts so appropriated and paid from such 2 operating assistance account during such calendar year to the [TA] BAT 3 and [CRR] CTA combined and (ii) to the [CRR] CTA an amount of such sum 4 which bears the same proportion to such sum as the amount appropriated 5 and paid during such calendar year from the metropolitan mass transpor- 6 tation operating assistance account to the [CRR] CTA bears to the total 7 amounts so appropriated and paid from such operating assistance account 8 during such calendar year to the [TA] BAT and [CRR] CTA combined. The 9 amounts so allocated shall then be reduced respectively by the propor- 10 tional amount of MMTOA debt service attributable to the payments for 11 transit projects undertaken for the [TA] BAT and transportation facility 12 projects undertaken for the [CRR] CTA. The remaining amounts shall 13 constitute the respective distributable shares of the remaining MMTOA 14 amount and shall be distributed to or for the benefit of the [TA] BAT 15 and the [CRR] CTA. In no event shall the authority utilize any measure 16 or calculation for determining such distributable shares other than the 17 formula prescribed herein nor shall the authority take any action which 18 would result in the use of such money which is different from or incon- 19 sistent with the use prescribed in this section. 20 To the extent that amounts described in the preceding two paragraphs 21 are distributed more frequently than annually, each such distribution 22 shall be made as nearly as may be practicable in accordance with the 23 allocations described above to the [TA] BAT and the [CRR] CTA. Within 24 thirty days after the end of each calendar year, the authority shall 25 certify to the director of the budget, the chairperson of the senate 26 finance committee and the chairperson of the assembly ways and means 27 committee, the amount of money deposited in the fund pursuant to appro- 28 priation from moneys deposited in the dedicated mass transportation 29 trust fund for payment to the metropolitan transportation authority 30 dedicated tax fund pursuant to subdivision (d) of section three hundred 31 one-j of the tax law and section eighty-eight-a of the state finance 32 law, the amounts expended from the pledged amounts account for the bene- 33 fit of the [TA] BAT and the [CRR] CTA, and the amounts of the remaining 34 PBT amount and the remaining MMTOA amount distributed during the prior 35 calendar year to the [TA] BAT and the [CRR] CTA and specifying in each 36 case the appropriation or appropriations which was the source of such 37 amounts. 38 § 37. Section 1270-d of the public authorities law is REPEALED. 39 § 38. Section 1270-g of the public authorities law, as added by 40 section 16 of part H of chapter 25 of the laws of 2009, is amended to 41 read as follows: 42 § 1270-g. Regulation of certain authority expenditures. 1. The author- 43 ity shall implement policies as appropriate to minimize unwarranted 44 expenses and to protect against abuses in connection with (i) the grant- 45 ing of any privileges or benefits having financial value, other than 46 wage payments or expense reimbursements, to members or staff of the 47 authority, or any subsidiary or other authority created by the authori- 48 ty; and (ii) the full-time and part-time assignment and use of automo- 49 biles owned or leased by the authority, or any subsidiary or other 50 authority created by the authority, and the use by authority employees 51 and board members of livery vehicles, as defined in section one hundred 52 twenty-one-e of the vehicle and traffic law. 53 2. The authority's total expenses for its first year, not including 54 payments of interest or principal on bonds and notes and other obli- 55 gations of the authority already outstanding as of January first, two 56 thousand twenty-one, or already authorized by the 2015-2019 capitalS. 7840 24 1 program, shall not exceed one hundred ten million dollars, and in subse- 2 quent years shall not exceed one percent of the total operating 3 expenses, not including capital expenditures or payments of interest or 4 principal on bonds and notes and other obligations, of the big apple 5 transit authority in the previous year. 6 § 39. Subdivision 3 of section 1270-h of the public authorities law, 7 as added by section 16 of part H of chapter 25 of the laws of 2009, is 8 amended to read as follows: 9 3. Moneys in the fund may be [(a) pledged by the authority to secure10and be applied to the payment of the bonds, notes or other obligations11of the authority issued on or after the effective date of this section12to finance capital projects of the authority and its subsidiaries and13the New York city transit authority and any subsidiaries; or (b)] used 14 for payment of [capital] operating costs, including debt service, 15 reserve requirements, if any, the payment of amounts required under bond 16 and note facilities or agreements related thereto, the payment of feder- 17 al government loans, security or credit arrangements or other agreements 18 related thereto, and the payment of all costs related to such obli- 19 gations, of or for the authority, the New York city transit authority 20 and their subsidiaries as the authority shall determine. To the extent 21 moneys in the fund have already been pledged by the authority prior to 22 January first, two thousand twenty-one, to secure and pay the bonds, 23 notes or other obligations of the authority issued to finance capital 24 projects of the authority and its subsidiaries and the New York city 25 transit authority and any subsidiaries as herein provided, monies depos- 26 ited into the fund shall be deposited to the extent necessary to satisfy 27 the requirements of any debt service or reserve requirements, if any, of 28 the resolution authorizing such bonds, notes or other obligations. 29 Subject to the provisions of any such pledge, or in the event there is 30 no such pledge, any excess moneys in this fund [may] shall be [used by31the authority for payment of operating costs of, and capital costs,32including debt service and reserve requirements, if any, of or for the33authority, the New York city transit authority and their subsidiaries as34the authority shall determine. To the extent moneys in the fund have35been pledged by the authority to secure and pay the bonds, notes or36other obligations of the authority issued to finance capital projects of37the authority and its subsidiaries and the New York city transit author-38ity and any subsidiaries as herein provided, monies deposited into the39fund shall be deposited to the extent necessary to satisfy the require-40ments of any debt service or reserve requirements, if any, of the resol-41ution authorizing such bonds, notes or other obligations] transferred to 42 the big apple transit authority. 43 § 40. Subdivisions 2, 3 and 4 of section 1270-i of the public authori- 44 ties law, as added by section 4 of part NNN of chapter 59 of the laws of 45 2018, are amended to read as follows: 46 2. Moneys in the subway action plan account shall be used for the 47 exclusive purpose of funding the operating and capital costs of the 48 [metropolitan transportation authority's] New York city subway action 49 plan. Such funds may be used for infrastructure including construction, 50 reconstruction, reconditioning and preservation of transportation 51 systems, facilities and equipment, acquisition of property, and for 52 operating costs including personal services, non-personal services, 53 fringe benefits, and contractual services. Funds may also be used to pay 54 or to reimburse the authority for its payment of debt service and 55 reserve requirements on that portion of authority bonds and notes issuedS. 7840 25 1 by the authority for capital costs of the [metropolitan transportation2authority's] New York city subway action plan. 3 3. Moneys in the outer borough transportation account shall be used 4 for the exclusive purpose of funding the operating and capital costs of 5 [metropolitan transportation] the big apple transit authority facili- 6 ties, equipment and services in the counties of Bronx, Kings, Queens and 7 Richmond, and any projects improving transportation connections from 8 such counties to New York [County] county. Such funds may be used for 9 infrastructure including construction, reconstruction, reconditioning 10 and preservation of transportation systems, facilities and equipment, 11 acquisition of property, and for operating costs including personal 12 services, non-personal services, fringe benefits, and contractual 13 services. Funds may also be used to fund a toll reduction program for 14 any crossings under the jurisdiction of the [metropolitan transporta-15tion] big apple transit authority [or its subsidiaries or] and its 16 affiliates. Funds may also be used to pay or to reimburse the authority 17 for its payment of debt service and reserve requirements on that portion 18 of authority bonds and notes that have been issued by the authority 19 specifically for the authorized purpose of this account. Notwithstanding 20 any law to the contrary, final approval of the use of any funds paid 21 into the outer borough transportation account shall be [unanimously] 22 approved by [three members of the Metropolitan Transportation Authority23Capital Program Review Board, established pursuant to section twelve24hundred sixty-nine-a of this title so designated pursuant to this subdi-25vision. For purposes of such final approvals the three voting members26are: the member appointed upon recommendation by the temporary president27of the senate; the member appointed upon recommendation of speaker of28the assembly; and the member appointed by the governor] the mayor of New 29 York city. 30 4. Moneys in the general transportation account shall be used for 31 funding the operating and capital costs of the [metropolitan transporta-32tion] big apple transit authority. Such funds may be used for infras- 33 tructure including construction, reconstruction, reconditioning and 34 preservation of transportation systems, facilities and equipment, acqui- 35 sition of property, and for operating costs including personal services, 36 non-personal services, fringe benefits, and contractual services. Funds 37 may also be used to pay or to reimburse the authority for its payment of 38 debt service and reserve requirements on that portion of authority bonds 39 and notes that have been issued by the authority specifically for the 40 purposes of this account. 41 § 41. Section 1271 of the public authorities law, as amended by 42 section 32 of part O of chapter 61 of the laws of 2000, is amended to 43 read as follows: 44 § 1271. Agreement of the state. The state does hereby pledge to and 45 agree with the authority and its subsidiaries, [New York city transit46authority and its subsidiaries, and Triborough bridge and tunnel author-47ity] the big apple transit authority and its affiliates, the commuter 48 transportation authority, and the holders of any notes, bonds or other 49 obligations, including lease obligations, issued or incurred under this 50 title, that the state will not limit or alter the denial of authority 51 under subdivision nine of section twelve hundred sixty-nine of this 52 title, or the rights and powers vested in the authority and its subsid- 53 iaries, New York city transit authority and its subsidiaries, and 54 Triborough bridge and tunnel authority by this title to fulfill the 55 terms of any agreements made by any of them with the holders thereof, or 56 in any way impair the rights and remedies of such holders until suchS. 7840 26 1 notes, bonds or other obligations, including lease obligations, together 2 with the interest thereon, with interest on any unpaid installments of 3 interest, and all costs and expenses for which the authority or its 4 subsidiaries, New York city transit authority and its subsidiaries, and 5 Triborough bridge and tunnel authority is liable in connection with any 6 action or proceeding by or on behalf of such holders, are fully met and 7 discharged. The authority and its subsidiaries, New York city transit 8 authority and its subsidiaries, and Triborough bridge and tunnel author- 9 ity are each authorized to include this pledge and agreement of the 10 state in any agreement with the holders of such notes, bonds or other 11 obligations, including lease obligations. 12 § 42. Section 1276-f of the public authorities law is REPEALED. 13 § 43. Section 1277 of the public authorities law is REPEALED. 14 § 44. Section 1277-a of the public authorities law, as amended by 15 section 33 of part O of chapter 61 of the laws of 2000, is amended to 16 read as follows: 17 § 1277-a. Transfer and receipt of surplus funds. Notwithstanding any 18 provision of this title or any other provision of law, general, special 19 or local, the authority [may from time to time transfer and pay over to20New York city transit authority or triborough bridge and tunnel authori-21ty all or any part of its surplus funds; and] may accept and use any 22 moneys transferred and paid over to it by [New York city transit] the 23 big apple transit authority and its affiliates or [triborough bridge and24tunnel] the commuter transportation authority. 25 § 45. Section 1279 of the public authorities law is REPEALED. 26 § 46. Section 1279-a of the public authorities law is REPEALED. 27 § 47. Section 1279-b of the public authorities law is REPEALED. 28 § 48. Section 1279-c of the public authorities law is REPEALED. 29 § 49. Section 1279-d of the public authorities law is REPEALED. 30 § 50. Section 1279-e of the public authorities law is REPEALED. 31 § 51. Section 1279-f of the public authorities law is REPEALED. 32 § 52. Section 1279-g of the public authorities law is REPEALED. 33 § 53. Section 1279-h of the public authorities law is REPEALED. 34 § 54. Section 1279-l of the public authorities law is REPEALED. 35 § 55. Subdivision 1 of section 17-b of the transportation law, as 36 amended chapter 84 of the laws of 1985, is amended to read as follows: 37 1. Notwithstanding the provisions of [subdivision eight of section38twelve hundred sixty-six and] subdivision seven of section twelve 39 hundred ninety-nine-f of the public authorities law or of subdivision 40 seventeen of section one hundred forty-two of this chapter, every trans- 41 portation authority and every other public transportation operator or 42 carrier receiving mass transportation operating assistance pursuant to 43 section eighteen-b of this [chapter] article either directly from the 44 department [of transportation] or through a county or municipality 45 pursuant to said section, shall prepare and publicize a plan for trans- 46 portation safety, including but not limited to equipment maintenance 47 procedures, personnel safety training programs, accident reporting 48 systems, passenger safety practices and the persons responsible for the 49 implementation of such practices and programs. Every authority and every 50 other public transportation operator or carrier required herein to file 51 such a plan shall review such plan biennially and amend such plan if 52 amendments are necessary. 53 § 56. Subdivision 17 of section 553 of the public authorities law, as 54 amended by section 4 of part O of chapter 61 of the laws of 2000, is 55 amended to read as follows:S. 7840 27 1 17. To do all things necessary or convenient to carry out the powers 2 expressly given in this title and to assist and cooperate with the 3 metropolitan transportation authority to carry out the powers of the 4 metropolitan transportation authority in furtherance of the purposes and 5 powers of the authority as provided in this article, including, without 6 limitation, the transactions described in [sections twelve hundred7sixty-six-c,] section twelve hundred sixty-nine[, and twelve hundred8seventy-d] of this chapter. 9 § 57. Subdivisions 9 and 10 of section 553-e of the public authorities 10 law are REPEALED. 11 § 58. Subdivisions 7 and 11 of section 553-e of the public authorities 12 law, subdivision 7 as added by chapter 314 of the laws of 1981 and 13 subdivision 11 as amended by chapter 929 of the laws of 1986, are 14 amended to read as follows: 15 7. The metropolitan transportation authority, the New York city trans- 16 it authority and the designated subsidiaries of each of them are each 17 hereby authorized (i) to request the authority to undertake any such 18 project; (ii) to acquire in its own name by gift, purchase or condemna- 19 tion, and, additionally, in the case of the metropolitan transportation 20 authority, by appropriation [pursuant to section twelve hundred sixty-21seven-a of this chapter], any real or personal property (or any interest 22 therein), which is needed or useful for or in connection with such 23 project, the provisions of any lease or other agreement with the city to 24 the contrary notwithstanding, and to surrender the use, occupancy, 25 control or possession of or to transfer the same, or of any other such 26 real or personal property (or any interest therein) which it owns, leas- 27 es, operates or controls, to the authority; (iii) to accept a transfer, 28 transfer back, lease or sublease of any such project or part thereof 29 upon its completion; (iv) to undertake any such project itself, or to 30 finance, through loans, leases or otherwise, any other person or entity, 31 public or private, to do so, in each case using funds granted by the 32 authority to pay all or any part of the costs thereof (such undertaking, 33 in the case of the New York city transit authority and its subsidiary, 34 the Manhattan and Bronx surface transit operating authority, being free 35 of any restriction set forth in subparagraph (ii) of paragraph b of 36 subdivision one of section twelve hundred three or in paragraph (c) of 37 subdivision five of section twelve hundred three-a of this chapter); and 38 (v) to make its agents, employees and facilities available to the 39 authority in connection therewith. 40 11. The aggregate principal amount of bonds and notes issued and 41 outstanding at any time to finance projects authorized by paragraphs 42 (m), (n), (o), (p) and (r) of subdivision nine of section five hundred 43 fifty-three of this title shall not exceed one billion one hundred 44 million dollars through December thirty-first, nineteen hundred eighty- 45 six and three billion two hundred million dollars thereafter, provided 46 however that such latter amount shall not exceed two billion two hundred 47 million dollars for all bonds and notes other than those issued pursuant 48 to section five hundred fifty-three-d of this title. This limitation 49 shall not include (i) bonds and notes issued to refund or otherwise 50 repay bonds or notes theretofore issued for such purposes, (ii) bonds 51 issued to fund any reasonably required debt service reserve fund for 52 bonds and notes, and (iii) an amount equal to any original issue 53 discount from the [prinicipal] principal amount of any bonds or notes 54 issued and then outstanding. From the proceeds of the bonds and notes 55 provided for in the first sentence of this subdivision, other than bonds 56 or notes authorized by section five hundred fifty-three-d of this title,S. 7840 28 1 the authority shall not expend more than one billion three hundred twen- 2 ty million dollars for transit projects [as defined in section twelve3hundred sixty-six-c of this chapter] nor more than eight hundred eighty 4 million dollars for transportation facilities as such term is defined in 5 subdivision fourteen of section twelve hundred sixty-one of this chapter 6 other than marine or aviation facilities. For the purposes of this 7 subdivision, facilities under the jurisdiction of the Staten Island 8 rapid transit operating authority shall be considered transit projects. 9 § 59. Subdivision 6 of section 1201 of the public authorities law, as 10 amended by section 11 of part O of chapter 61 of the laws of 2000, is 11 amended to read as follows: 12 6. The authority and its corporate existence shall continue until 13 terminated by law, provided however, that no such law shall take effect 14 so long as the authority or any of its subsidiaries, the metropolitan 15 transportation authority or the Triborough bridge and tunnel authority 16 shall have outstanding any notes or bonds or lease, sublease or other 17 contractual obligations issued or incurred pursuant to section twelve 18 hundred seven-m of this title or issued or incurred in connection with 19 the transfer of its interest in and the lease from the transferee of any 20 property furnished to it pursuant to chapter twelve of the laws of nine- 21 teen hundred seventy-nine or section fifteen of chapter three hundred 22 fourteen of the laws of nineteen hundred eighty-one[, or section twelve23hundred sixty-six-c or twelve hundred seventy-d of this article], unless 24 adequate provision has been made for the payment or satisfaction of such 25 outstanding notes, bonds, lease, sublease or other contractual obli- 26 gations. 27 § 60. Subdivision 11 of section 1204 of the public authorities law, as 28 amended by section 14 of part O of chapter 61 of the laws of 2000, is 29 amended to read as follows: 30 11. To make or enter into contracts, agreements, deeds, leases, 31 conveyances or other instruments necessary or convenient, and to assist 32 and cooperate with the metropolitan transportation authority to carry 33 out the powers of the metropolitan transportation authority in further- 34 ance of the purposes and powers of the authority as provided in this 35 article, including, without limitation, the transactions described in 36 [sections twelve hundred sixty-six-c,] section twelve hundred sixty-nine 37 [and twelve hundred seventy-d] of this article. This power shall include 38 the power to make contracts with other persons operating transit facili- 39 ties for combined fares for the use of such facilities and the transit 40 facilities operated by the authority and for the division of such fares, 41 and the power to make contracts for the transportation of the United 42 States mail or personal property. 43 § 61. Subdivision 10 of section 1207-m of the public authorities law 44 is REPEALED. 45 § 62. Subdivisions 1, 11 and 12 of section 1207-m of the public 46 authorities law, subdivision 1 as added by chapter 314 of the laws of 47 1981, subdivision 11 as amended by section 18 of part O of chapter 61 of 48 the laws of 2000 and subdivision 12 as added by chapter 929 of the laws 49 of 1986, are amended to read as follows: 50 1. [The term "transit project" as used in this section shall have the51meaning given to such term from time to time in section twelve hundred52sixty-six-c of this article.] The provisions of this section shall be 53 controlling and the authority and its subsidiaries shall have the powers 54 provided in this section notwithstanding any contrary provision of this 55 title or of local law or of any lease or other agreement with the city.S. 7840 29 1 11. So long as the authority or any of its subsidiaries, or metropol- 2 itan transportation authority, shall have outstanding any notes, bonds, 3 lease, sublease or other contractual obligations authorized by this 4 section [or section twelve hundred sixty-six-c] or section twelve 5 hundred sixty-nine of this article, or which have been issued or 6 incurred in connection with the transfer of the interest of any of them 7 in and the lease from the transferee of any property furnished pursuant 8 to chapter twelve of the laws of nineteen hundred seventy-nine or 9 section fifteen of chapter three hundred fourteen of the laws of nine- 10 teen hundred eighty-one, neither the authority nor any of its subsid- 11 iaries shall have the authority to file a voluntary petition under chap- 12 ter nine of the federal bankruptcy code, or such corresponding chapter, 13 chapters, or sections as may, from time to time, be in effect, and 14 neither any public officer nor any organization, entity or other person 15 shall authorize the authority or any of its subsidiaries to be or become 16 a debtor under said chapter nine or said corresponding chapter, chapters 17 or sections during any such period. 18 12. A project financed by the authority's issuance of its bonds, notes 19 or other obligations, pursuant to subdivision one-a of section twelve 20 hundred seven-b of this title shall be deemed to constitute a transit 21 project for the purposes of this section and any notes, bonds, lease, 22 sublease or other contractual obligations with respect to such project 23 shall, for purposes of this section, be deemed to have been authorized 24 by this section; provided, however, that such project shall not be 25 deemed to constitute part of any capital program plan [for the purposes26of section twelve hundred sixty-nine-b of this article] nor shall the 27 principal amounts of any bonds or notes, nor the capitalized value of 28 any lease, sublease, or other contractual obligation of the authority, 29 issued or entered into by the authority pursuant to such subdivision 30 one-a, be included in any computation pursuant to subdivision four of 31 this section. 32 § 63. The opening paragraph of subdivision 4 and subdivisions 5 and 11 33 of section 1209 of the public authorities law, the opening paragraph of 34 subdivision 4 as added by chapter 430 of the laws of 1983, subdivision 5 35 as added by chapter 383 of the laws of 1985 and subdivision 11 as added 36 by chapter 929 of the laws of 1986, are amended to read as follows: 37 Notwithstanding the provisions of subdivision two of this section, a 38 contract for the purchase of omnibuses or components of omnibuses in 39 furtherance or implementation of a capital program plan [approved pursu-40ant to section twelve hundred sixty-nine-b of this article] may also be 41 awarded by the authority by negotiation without competitive bidding 42 provided the following standards and procedures are complied with: 43 5. (a) Notwithstanding that funds of the authority may be used there- 44 for, a contract for all or a portion of work involving the alteration, 45 expansion or rehabilitation of a passenger station may be awarded by the 46 authority, by negotiation without competitive bidding, to a private 47 entity or the designee of a private entity where the authority by vote 48 of not less than eleven of its members approves written findings that 49 such award is expected to permit the alteration, expansion or rehabili- 50 tation to be carried out in the most efficient and cost effective 51 manner, that such private entity has agreed to pay at least one million 52 dollars toward the cost of the work, that such payment represents not 53 less than fifty percent of the total cost of the work, and that the 54 authority has complied with the procedures provided in paragraph (b) of 55 this subdivision. Notwithstanding the foregoing, a contract for all or a 56 portion of work involving the alteration, expansion or rehabilitation ofS. 7840 30 1 the passenger station located at the western terminus of the forty-sec- 2 ond street shuttle may be awarded by the authority, by negotiation with- 3 out competitive bidding, to a private entity or the designee of a 4 private entity where the authority by vote of not less than eleven of 5 its members approves written findings that such award is expected to 6 permit the alteration, expansion or rehabilitation to be carried out in 7 the most efficient and cost effective manner, and that the authority has 8 complied with the procedures provided in paragraph (b) of this subdivi- 9 sion. 10 (b) Not less than fifteen days prior to the consideration by the board 11 of the authority of a contract to be let pursuant to this subdivision, a 12 notice shall be published in at least one newspaper of general circu- 13 lation. Such notice shall identify the parties to the proposed contract 14 and summarize its terms and conditions. Such notice shall also invite 15 written public comment concerning the proposed contract, including, to 16 the extent appropriate, the submission of alternatives for the authori- 17 ty's consideration. Such information shall be considered by the board of 18 authority prior to the approval of any contract proposed to be awarded 19 pursuant to this subdivision. 20 [(c) Any contract entered into pursuant to this subdivision shall21comply with the requirements of subdivision thirteen of section twelve22hundred sixty-six-c of this article.] 23 11. The authority shall compile a list of potential sources of 24 supplies, materials or equipment regularly purchased. The authority 25 shall, by resolution, set forth the procedures it has established to 26 identify new sources and to notify such new sources of the opportunity 27 to bid for contracts for the purchase of supplies, materials or equip- 28 ment. Such procedures shall include, but not be limited to: (a) adver- 29 tising in trade journals; (b) cooperation with federal, state and local 30 agencies within its area of operations; and (c) publication in the state 31 register quarterly[; and (d) procedures established pursuant to subdivi-32sion thirteen of section twelve hundred sixty-six-c of this article]. 33 § 64. Subdivision 5 of section 1276-b of the public authorities law, 34 as added by section 17 of part H of chapter 25 of the laws of 2009, is 35 amended to read as follows: 36 5. Strategic operation plan. Financial information required to be 37 submitted by the authority [pursuant to paragraphs d and e of subdivi-38sion one of section twelve hundred sixty-nine-c of this title] shall be 39 presented in a format consistent with the budget and plan, in downloada- 40 ble, searchable format. 41 § 65. Section 553-d of the public authorities law, as amended by 42 section 6 of part O of chapter 61 of the laws of 2000, is amended to 43 read as follows: 44 § 553-d. Special Triborough bridge and tunnel authority special obli- 45 gation bonds and notes. In addition to the powers contained elsewhere in 46 this title with respect to the projects authorized by paragraphs (m), 47 (n), (o), (p) and (r) of subdivision nine of section five hundred 48 fifty-three of this title, and subject to the application of the reven- 49 ues and other monies and assets of the authority [pursuant to section50twelve hundred seventy-d of this chapter], the authority may issue its 51 bonds and notes to finance such projects payable from and secured by all 52 or any part of the moneys received by the authority from the metropol- 53 itan transportation authority special assistance fund established under 54 section twelve hundred seventy-a of this chapter, provided however that 55 such bonds and notes may also be payable from and secured by any other 56 moneys, securities and funds designated by the authority as additionalS. 7840 31 1 security therefor. Debt service on bonds and notes issued by the author- 2 ity pursuant to this section which is paid or reimbursed from moneys 3 received by the authority from the metropolitan transportation authority 4 special assistance fund shall not be deemed to constitute debt service 5 incurred by the authority for purposes of subdivision three of section 6 twelve hundred nineteen-a of this chapter. Such bonds or notes shall be 7 issued in the manner provided in section five hundred sixty-one of this 8 title. 9 § 66. This act shall take effect January 1, 2021. 10 PART B 11 Section 1. Subdivisions 1 and 3 of section 1200 of the public authori- 12 ties law, as added by chapter 200 of the laws of 1953 and such section 13 as renumbered by chapter 914 of the laws of 1957, are amended and two 14 new subdivisions 4-a and 19 are added to read as follows: 15 1. "Authority." The corporation created by section [eighteen] twelve 16 hundred one of this title. 17 3. "Board of estimate." The former board of estimate of the city. 18 4-a. "City council." The city council of New York. 19 19. "Big apple transit authority." The corporation created by section 20 thirteen hundred forty-nine of this article. 21 § 2. Subdivisions 1, 2, 5 and 6 of section 1201 of the public authori- 22 ties law, subdivisions 1 and 5 as amended by chapter 929 of the laws of 23 1986, subdivision 2 as amended by chapter 506 of the laws of 2009, and 24 subdivision 6 as amended by section 11 of part O of chapter 61 of the 25 laws of 2000, are amended to read as follows: 26 1. A board, to be known as "New York City Transit Authority" is hereby 27 created. Such board shall be a body corporate and politic constituting a 28 public benefit corporation. It shall consist of seventeen members, all 29 serving ex officio. Those members shall be the persons who from time to 30 time shall hold the offices of chairman and members of [metropolitan31transportation] the big apple transit authority. 32 2. The chairman of such board shall be the chairman of [metropolitan33transportation] the big apple transit authority, serving ex officio, 34 and, provided that there is an executive director of the [metropolitan35transportation] big apple transit authority, the executive director of 36 the authority shall be the executive director of the [metropolitan37transportation] big apple transit authority, serving ex officio. 38 Notwithstanding any provision of law to the contrary, the chairman shall 39 be the chief executive officer of the authority and shall be responsible 40 for the discharge of the executive and administrative functions and 41 powers of the authority. The chairman and executive director, if any, 42 each shall be empowered to delegate his or her functions and powers to 43 one or more officers or employees designated by him or her. 44 5. A majority of the whole number of members of the authority then in 45 office shall constitute a quorum for the transaction of any business or 46 the exercise of any power of the authority. Except as otherwise speci- 47 fied in this title, for the transaction of any business or the exercise 48 of any power of the authority, the authority shall have the power to act 49 by a majority vote of the members present at any meeting at which a 50 quorum is in attendance. In the event of a tie vote the chairman shall 51 cast one additional vote. For the purposes of the voting and quorum 52 requirements of this subdivision, the voting and quorum requirements set 53 forth in subdivision three of section [twelve hundred sixty-three] thir- 54 teen hundred forty-nine-c of this article and in any by-law of theS. 7840 32 1 [metropolitan transportation] big apple transit authority adopted pursu- 2 ant to the provisions of such subdivision shall be applicable hereto. 3 6. The authority and its corporate existence shall continue until 4 terminated by law, provided however, that no such law shall take effect 5 so long as the authority [or any of its subsidiaries], the big apple 6 transit authority, the metropolitan transportation authority [or], the 7 Triborough bridge and tunnel authority, or any of their respective 8 subsidiaries, shall have outstanding any notes or bonds or lease, 9 sublease or other contractual obligations issued or incurred pursuant to 10 section twelve hundred seven-m of this title or issued or incurred in 11 connection with the transfer of its interest in and the lease from the 12 transferee of any property furnished to it pursuant to chapter twelve of 13 the laws of nineteen hundred seventy-nine or section fifteen of chapter 14 three hundred fourteen of the laws of nineteen hundred eighty-one, or 15 section [twelve hundred sixty-six-c] thirteen hundred forty-nine-j or 16 [twelve hundred seventy-d] thirteen hundred forty-nine-dd of this arti- 17 cle, unless adequate provision has been made for the payment or satis- 18 faction of such outstanding notes, bonds, lease, sublease or other 19 contractual obligations. 20 § 3. Section 1202 of the public authorities law, as added by chapter 21 200 of the laws of 1953, subdivision 1 as amended by section 12 of part 22 O of chapter 61 of the laws of 2000 and such section as renumbered by 23 chapter 914 of the laws of 1957, is amended to read as follows: 24 § 1202. Purposes of the authority. 1. The purposes of the authority 25 shall be the acquisition of the transit facilities operated by the board 26 of transportation of the city, the operation of transit facilities in 27 accordance with the provisions of this title for the convenience and 28 safety of the public on a basis which will enable the operations there- 29 of, exclusive of capital costs, to be self-sustaining, and, in coordi- 30 nation with the [metropolitan transportation] big apple transit authori- 31 ty and the Triborough bridge and tunnel authority, the continuance, 32 further development and improvement of commuter transportation and other 33 services related thereto within the [metropolitan commuter transporta-34tion district] city of New York and the development and implementation 35 of a unified mass transportation policy for such [district] city. 36 2. It is hereby found and declared that such purposes are in all 37 respects for the benefit of the people of the [state] city of New York 38 and the authority shall be regarded as performing a governmental func- 39 tion in carrying out its corporate purpose and in exercising the powers 40 granted by this title. 41 § 4. Subparagraph (ii) of paragraph b of subdivision 1 of section 1203 42 of the public authorities law, as amended by chapter 717 of the laws of 43 1967, is amended to read as follows: 44 (ii) From and after March first, nineteen hundred sixty-eight, the 45 authority shall also have the right to incur capital costs of such 46 nature in its own name to the extent that capital funds are available to 47 it for expenditures of such nature pursuant to the provisions of section 48 twelve hundred nineteen-a of this [chapter] title or of any other 49 provision of law, which capital costs shall not be payable by the city; 50 provided, however, that no project to be financed by the use of such 51 capital funds which is estimated by the authority to involve an expendi- 52 ture in excess of one million dollars shall be commenced unless the 53 mayor and the [board of estimate] city council shall each have been 54 notified in writing by the authority of the intent of the authority to 55 undertake such project and of the nature thereof. No such project shall 56 be commenced if and to the extent that either the mayor or a majority inS. 7840 33 1 voting power of the members of the [board of estimate] city council 2 shall find that it is incompatible with sound planning for the develop- 3 ment or redevelopment of the city, provided such finding, together with 4 the reasons therefor, is set forth in a writing delivered to the author- 5 ity within thirty days of the receipt by the mayor or the [board of6estimate] city council, as the case may be, of the notification of the 7 authority relating to such project. If any such project is not so disap- 8 proved, it may nevertheless not be commenced unless and until the city 9 shall have been given an opportunity to include the same in the capital 10 budget of the city for the first fiscal year of the city commencing not 11 less than six months after receipt of such notification. If and to the 12 extent that such project is included in such capital budget, the author- 13 ity may not thereafter incur capital costs for the same in its own name. 14 If or to the extent such project is not included in such capital budget, 15 the authority may incur capital costs for the same in its own name. The 16 operation of sections twenty, twenty-one and twenty-two of the rapid 17 transit law shall be suspended with respect to any project financed with 18 the capital funds referred to in this subparagraph. 19 § 5. Paragraph (f) of subdivision 3, paragraph (c) of subdivision 5 20 and subdivision 8 of section 1203-a of the public authorities law, para- 21 graph (f) of subdivision 3 as amended by chapter 791 of the laws of 1962 22 and paragraph (c) of subdivision 5 as amended and subdivision 8 as added 23 by chapter 717 of the laws of 1967, are amended to read as follows: 24 (f) to operate omnibus lines on those routes in the city of New York 25 where on February twenty-eighth, nineteen hundred sixty-two, omnibus 26 lines were operated under franchises or temporary certificates of 27 convenience and necessity which have been revoked, terminated, rescinded 28 or condemned, or acquired by any other means, and to extend such routes 29 so as to provide the complete service operated on February twenty- 30 eighth, nineteen hundred sixty-two; and such operation, together with 31 the necessary extensions, shall be deemed to constitute operation over 32 approved routes with the same force and effect as if the said routes had 33 been duly approved by the [board of estimate] city council of the city, 34 as provided by law; and to operate on such other routes as the [board] 35 council may authorize by resolution adopted only after a public hearing 36 held after notice thereof, and of the proposed route, and the proposed 37 resolutions authorizing the same, have been published in full for at 38 least fifteen days, except Sundays and legal holidays, immediately prior 39 thereto in the City Record, and at least twice in two newspapers 40 published in the borough or boroughs affected, to be designated by the 41 board. 42 (c) capital costs not now charged by the transit authority as operat- 43 ing expenses shall be paid by the city; provided, however, that from and 44 after March first, nineteen hundred sixty-eight, the subsidiary corpo- 45 ration shall also have the right to incur capital costs in its own name 46 to the extent that capital funds are available to it pursuant to the 47 provisions of sections twelve hundred nineteen-a and twelve hundred 48 three-b of this [chapter] title or of any other law, which capital costs 49 shall not be payable by the city; and provided, further, that no project 50 to be financed by the use of such capital funds which is estimated by 51 the subsidiary corporation to involve an expenditure in excess of one 52 million dollars shall be commenced unless the mayor and the [board of53estimate] city council shall each have been notified in writing by the 54 subsidiary corporation of the intent of the subsidiary corporation to 55 undertake such project and of the nature thereof. No such project shall 56 be commenced if and to the extent that either the mayor or a majority inS. 7840 34 1 voting power of the members of the [board of estimate] city council 2 shall find that it is incompatible with sound planning for the develop- 3 ment or redevelopment of the city, provided such finding, together with 4 the reasons therefor, is set forth in a writing delivered to the subsid- 5 iary corporation within thirty days of the receipt by the mayor or the 6 [board of estimate] city council, as the case may be, of the notifica- 7 tion of the subsidiary corporation relating to such project. Where the 8 city is required to pay the capital costs of the subsidiary corporation 9 pursuant to such agreement, serial bonds or capital notes may be issued 10 by the city, pursuant to the local finance law, to finance any such 11 costs. The subsidiary corporation shall submit timely requests for the 12 necessary capital funds to the city planning commission and the mayor of 13 the city; 14 8. From and after March first, nineteen hundred sixty-eight, no 15 substantial or general change in the levels of service furnished upon 16 the facilities of the subsidiary corporation shall be instituted except 17 upon not less than thirty days' written notice to the mayor and to the 18 [board of estimate] city council. 19 § 6. Section 1203-b of the public authorities law, as amended by 20 section 13 of part O of chapter 61 of the laws of 2000, is amended to 21 read as follows: 22 § 1203-b. Transfer of funds. The authority and its subsidiary corpo- 23 ration, the Manhattan and Bronx surface transit operating authority, may 24 each transfer to the other from time to time such available funds as 25 they may jointly determine to be necessary or desirable, including funds 26 accepted by the authority pursuant to the provisions of section twelve 27 hundred nineteen-a of this title. Subject to the rights of the holders 28 of any outstanding bonds, notes or other obligations of the authority, 29 the big apple transit authority, the metropolitan transportation author- 30 ity and the Triborough bridge and tunnel authority, and to facilitate 31 the efficient financial management of the authority, [its subsidiary32corporations] the big apple transit authority, the metropolitan trans- 33 portation authority and its subsidiary corporations, and the Triborough 34 bridge and tunnel authority (the "affiliated entities"), the authority 35 may, and shall at the direction of [metropolitan transportation] the big 36 apple transit authority, transfer revenues, subsidies and other monies 37 or securities to one or more funds or accounts of another affiliated 38 entity for use by such other affiliated entity, provided at the time of 39 such transfer it is reasonably anticipated that the monies and securi- 40 ties so transferred will be reimbursed, repaid or otherwise provided for 41 by the end of the next succeeding calendar year if reimbursement or 42 repayment is required by law or by any agreement to which any of the 43 affected affiliated entities is subject. Any revenues of an affiliated 44 entity that are transferred to another affiliated entity, which transfer 45 was not authorized by a provision of law other than this section, shall 46 be considered to be required to be repaid to the affiliated entity which 47 was the source of such revenues by the end of the next succeeding calen- 48 dar year following such transfer. 49 § 7. Subdivisions 11, 15 and 19 of section 1204 of the public authori- 50 ties law, subdivision 11 as amended by section 14 of part O of chapter 51 61 of the laws of 2000, subdivision 15 as amended by chapter 980 of the 52 laws of 1958 and subdivision 19 as added by section 15 of part O of 53 chapter 61 of the laws of 2000, are amended to read as follows: 54 11. To make or enter into contracts, agreements, deeds, leases, 55 conveyances or other instruments necessary or convenient, and to assist 56 and cooperate with the [metropolitan transportation] big apple transitS. 7840 35 1 authority to carry out the powers of the [metropolitan transportation] 2 big apple transit authority in furtherance of the purposes and powers of 3 the authority as provided in this article, including, without limita- 4 tion, the transactions described in sections [twelve hundred5sixty-six-c] thirteen hundred forty-nine-j, [twelve hundred sixty-nine] 6 thirteen hundred forty-nine-u and [twelve hundred seventy-d] thirteen 7 hundred forty-nine-dd of this article. This power shall include the 8 power to make contracts with other persons operating transit facilities 9 for combined fares for the use of such facilities and the transit facil- 10 ities operated by the authority and for the division of such fares, and 11 the power to make contracts for the transportation of the United States 12 mail or personal property. 13 15. To exercise all requisite and necessary authority to manage, 14 control and direct the maintenance and operation of transit facilities 15 transferred to it for the convenience and safety of the public with 16 power, in its discretion, to extend, modify, discontinue, curtail, or 17 change routes or methods of transportation where the convenience and 18 safety of the public would be served thereby or where existing routes or 19 methods are inefficient or uneconomical; provided, however, that (except 20 in cases of emergencies) at least thirty days prior to any proposed 21 modification, discontinuance, curtailment or change of any transit route 22 or method of transportation, the authority shall give notice of its 23 intention to the [board of estimate] city council and shall, upon 24 request of such [board] council within such period, conduct a public 25 hearing thereon. 26 19. To invest any funds, accounts or other monies not required for 27 immediate use or disbursement, at the discretion of the authority, in 28 any of the investments in which the [metropolitan transportation] big 29 apple transit authority is permitted to invest its monies pursuant to 30 subdivision four of section [twelve hundred sixty-five] thirteen hundred 31 forty-nine-e of this article. 32 § 8. Subdivision 4 of section 1205 of the public authorities law, as 33 added by chapter 717 of the laws of 1967, is amended to read as follows: 34 4. From and after March first, nineteen hundred sixty-eight, no 35 substantial or general change in the levels of service furnished upon 36 the rapid transit facilities or the omnibus line facilities of the 37 authority shall be instituted except upon not less than thirty days' 38 written notice to the mayor and to the [board of estimate] city council. 39 § 9. Section 1206-a of the public authorities law, as added by chapter 40 576 of the laws of 1972, is amended to read as follows: 41 § 1206-a. Transit construction fund. In addition to the powers 42 provided elsewhere in this title, and to effectuate the purposes of the 43 transit construction fund act, constituting title [nine-a] nine-A of 44 this article [five of this chapter], the authority or any subsidiary 45 may: (a) acquire and use any transit facility in accordance with the 46 terms and conditions of any sublease or other agreement with the transit 47 construction fund; (b) authorize the use by the transit construction 48 fund, either with or without compensation to the authority, of the 49 agents, employees and facilities of the authority; (c) make and execute 50 contracts, leases, subleases and all other instruments or agreements 51 deemed necessary or convenient including agreements with the [metropol-52itan transportation] big apple transit authority and the transit 53 construction fund; and (d) do any and all other things deemed necessary 54 or convenient.S. 7840 36 1 § 10. Subdivision 1-a of section 1207-b of the public authorities law, 2 as amended by section 16 of part O of chapter 61 of the laws of 2000, is 3 amended to read as follows: 4 1-a. The authority may also issue its bonds, notes or other obli- 5 gations in such principal amounts as shall be necessary to finance the 6 construction, purchase, lease or acquisition of, or an equity interest 7 in, an office building located or to be constructed in the borough of 8 Brooklyn in the city, provided that (i) all or a portion of such build- 9 ing is intended to be occupied by the authority and that the board 10 shall, by resolution, have made findings that the sum of the capitalized 11 value of all payments due from the authority under such bonds, notes or 12 other obligations (not including any amounts attributable to principal 13 repayment) together with any rent payments for the space in such build- 14 ing to be occupied by the authority and of all payments required of the 15 authority under any related agreement does not exceed the capitalized 16 value of those payments which would be made in a conventional commercial 17 lease transaction for comparable space with an unrelated party and (ii) 18 not more than an insubstantial portion of any real property so financed 19 with the proceeds of bonds, notes, or other obligations is utilized by 20 other than the New York city transit authority or its designated subsid- 21 iary. The term "capitalized value" for the purposes of this subdivision 22 shall be computed in the manner set forth in subdivision four of section 23 twelve hundred seven-m of this title. The [metropolitan transportation] 24 big apple transit authority is hereby additionally authorized from time 25 to time to issue bonds for the purposes of refunding, redeeming or 26 otherwise paying, including paying by purchase or tender, bonds issued 27 by the authority for such purposes and to secure such bonds in the 28 manner set forth in section [twelve hundred sixty-nine] thirteen hundred 29 forty-nine-u of this article. 30 § 11. Section 1207-i of the public authorities law, as amended by 31 section 17 of part O of chapter 61 of the laws of 2000, is amended to 32 read as follows: 33 § 1207-i. Rates of fare while bonds, notes and other obligations are 34 outstanding. Notwithstanding the provisions of section twelve hundred 35 five of this title or the provisions of any other law to the contrary, 36 so long as the authority shall have outstanding and unpaid bonds, notes 37 or other obligations issued pursuant to section twelve hundred seven-b 38 of this title, or the big apple transit authority, or the metropolitan 39 transportation authority or the Triborough bridge and tunnel authority 40 shall have outstanding and unpaid bonds, notes or other obligations 41 secured by or payable from, in whole or in part, the revenues, assets or 42 other monies of the authority or its subsidiary corporations, the 43 authority shall have the power at all times to fix or adjust the rate or 44 rates of fare to be charged for the use of any transit facility operated 45 by the authority as may, in the judgment of the board, be necessary to 46 produce sufficient revenues to pay, as the same shall become due, the 47 principal of and interest on such bonds, notes and other obligations of 48 the authority, the big apple transit authority, the metropolitan trans- 49 portation authority and the Triborough bridge and tunnel authority, 50 together with the maintenance of proper reserves therefor, in addition 51 to paying as the same shall become due the expenses of operation of the 52 authority. The authority, the big apple transit authority, the metropol- 53 itan transportation authority and the Triborough bridge and tunnel 54 authority, shall be authorized to contract with the holders of such 55 bonds notes and other obligations with respect to the exercise of the 56 power authorized by this section. In furtherance of the mandate of theS. 7840 37 1 [metropolitan transportation] big apple transit authority to develop and 2 implement a unified mass transportation policy for the [metropolitan3commuter transportation district] city of New York and the exercise of 4 its powers, including the power to issue notes, bonds and other obli- 5 gations secured in whole or in part by the revenues of the authority and 6 its subsidiaries, the big apple transit authority and its subsidiaries, 7 the metropolitan transportation authority and its subsidiaries, and the 8 Triborough bridge and tunnel authority, the authority shall join with 9 the [metropolitan transportation] big apple transit authority in 10 connection with the establishment, levy and collection of fares, tolls, 11 rentals, rates, charges and other fees for the transportation of passen- 12 gers on any transit facilities operated by authority and its subsid- 13 iaries, including any changes thereto. 14 § 12. Subdivision 2 of section 1207-j of the public authorities law, 15 as added by chapter 655 of the laws of 1962, is amended to read as 16 follows: 17 2. The city, by resolution of the [board of estimate] city council or 18 by instruments authorized by such resolution, and the authority shall be 19 authorized to enter into an agreement for the renewal and extension of 20 the existing agreement of lease between the city and the authority for 21 such term of years as shall be agreed upon and in any such renewal and 22 extension agreement the authority may agree to such limitations upon the 23 exercise of the powers conferred upon it by sections twelve hundred 24 seven-a through twelve hundred seven-i, inclusive, as the authority in 25 its discretion shall approve. 26 § 13. Section 1207-m of the public authorities law, as added by chap- 27 ter 314 of the laws of 1981, subdivisions 2 and 8 as amended by chapter 28 988 of the laws of 1984, subparagraph (i) of paragraph (a) of subdivi- 29 sion 4 as amended by chapter 602 of the laws of 1984, paragraph (b) of 30 subdivision 7 as amended by chapter 558 of the laws of 1981, subdivision 31 11 as amended by section 18 of part O of chapter 61 of the laws of 2000 32 and subdivision 12 as added by chapter 929 of the laws of 1986, is 33 amended to read as follows: 34 § 1207-m. Transit projects. 1. The term "transit project" as used in 35 this section shall have the meaning given to such term from time to time 36 in section [twelve hundred sixty-six-c] thirteen hundred forty-nine-j of 37 this article. The provisions of this section shall be controlling and 38 the authority and its subsidiaries shall have the powers provided in 39 this section notwithstanding any contrary provision of this title or of 40 local law or of any lease or other agreement with the city. 41 2. (a) The authority is hereby authorized to request the [metropolitan42transportation] big apple transit authority to undertake any transit 43 project and the authority and its designated subsidiaries are each here- 44 by authorized (i) to enter into agreements with the [metropolitan trans-45portation] big apple transit authority concerning transit projects; (ii) 46 to acquire in its own name by gift, purchase or condemnation any real or 47 personal property (or any interest therein) which is needed or useful 48 for or in connection with such project, and to surrender the use, occu- 49 pancy, control or possession of or to transfer the same, or any other 50 such real or personal property (or any interest therein) which it owns, 51 leases, operates or controls, to the [metropolitan transportation] big 52 apple transit authority or its designee; (iii) to accept a transfer, 53 transfer back, lease or sublease of any such project or part thereof 54 upon its completion; and (iv) to make its agents, employees and facili- 55 ties available to the [metropolitan transportation] big apple transit 56 authority in connection therewith.S. 7840 38 1 (b) The authority and its subsidiary corporation is each hereby 2 authorized to sell or transfer, without regard as to how or from whom 3 acquired, all or part of its interest in any equipment which is deemed 4 to be a mass commuting vehicle under the United States internal revenue 5 code or the regulations thereunder, including, without limitation, any 6 of the same obtained as transit projects or obtained from or financed 7 with money received from the Triborough bridge and tunnel authority, for 8 such consideration and on such terms or conditions as it may deem appro- 9 priate, and to obtain a lease from the transferee on such terms and 10 conditions and for such period as it may deem appropriate pursuant to 11 which it may operate, use, control or possess such mass commuting vehi- 12 cle in furtherance of the statutory purposes of the authority and its 13 subsidiaries, provided (i) such lease contains an option to the authori- 14 ty or its subsidiary corporation to repurchase its interest at the expi- 15 ration of the scheduled lease term for nominal consideration, and (ii) 16 the aggregate of the regularly scheduled rental payments which the 17 authority or its subsidiary corporation is obligated to make pursuant to 18 such lease during each twelve month period of the lease term shall not 19 exceed the aggregate amount receivable, whether by principal or inter- 20 est, by the authority or its subsidiary corporation from its transferee 21 during each such twelve month period. Without limitation of the forego- 22 ing, any lease entered into pursuant hereto may also contain provisions 23 requiring the authority or its subsidiary corporation to indemnify the 24 transferee for any loss resulting from the loss or destruction of any 25 mass commuting vehicle which is the subject of such lease, or any loss 26 arising out of any misrepresentation, act, or omission of the authority 27 or its subsidiary in connection with such lease, and requiring the 28 authority or its subsidiary corporation to undertake to replace, repair 29 or restore any such mass commuting vehicle, but such obligations shall 30 not be deemed regularly scheduled rental payments for purposes of the 31 preceding sentence. Rental payments and other payments or costs incurred 32 by the authority or its subsidiary corporation in discharge of its obli- 33 gations under any lease entered into as hereinabove provided shall not 34 be deemed capital costs for the purposes of section twelve hundred three 35 or twelve hundred three-a of this title, and the considerations received 36 by the authority or its subsidiary corporation in connection with any 37 transactions entered into pursuant to the authorization of this para- 38 graph may be expended free of any restriction set forth in subparagraph 39 (ii) of paragraph (b) of subdivision one of section twelve hundred three 40 or in paragraph (c) of subdivision five of section twelve hundred 41 three-a of this title. 42 (c) Neither the authority nor its subsidiary shall enter into any 43 transaction authorized by paragraph (b) of this subdivision unless the 44 following standards and procedures have been met: 45 (i) notice of intention to negotiate shall be published in at least 46 one newspaper of general circulation, and a copy thereof shall be mailed 47 to all parties who have requested notification from the authority or its 48 subsidiary to engage in transactions of this type. Such notice shall 49 describe the nature of the proposed transaction and the factors subject 50 to negotiation, which shall include, but not be limited to, the price to 51 be paid to the authority or its subsidiary; 52 (ii) the authority or its subsidiary shall negotiate with those 53 respondents whose response complies with the requirements set forth in 54 the notice; 55 (iii) the board of the authority or its subsidiary shall resolve on 56 the basis of particularized findings relevant to the factors negotiatedS. 7840 39 1 that such transaction will provide maximum available financial benefits, 2 consistent with other defined objectives and requirements. 3 (d) The authority and its subsidiary shall provide to the [governor,4the temporary president of the senate, the speaker of the assembly, the5minority leader of the senate and the minority leader of the assembly,] 6 mayor and speaker of the city council notice of each lease entered into 7 pursuant to paragraph (b) of this subdivision and supporting documenta- 8 tion of compliance by the authority and its subsidiary with subpara- 9 graphs (i), (ii) and (iii) of paragraph (c) of this subdivision. 10 (e) Paragraphs (c) and (d) of this subdivision shall be of no force 11 and effect with respect to any lease transaction entered into pursuant 12 to a commitment approved prior to January first, nineteen hundred eight- 13 y-five by the board of the authority or its subsidiary or the board of 14 the metropolitan transportation authority. 15 3. The authority and its designated subsidiaries are hereby author- 16 ized, in connection with any transit project, to pay or agree to pay, in 17 a manner and on terms and conditions satisfactory to the [metropolitan18transportation] big apple transit authority, any portion of the costs to 19 the [metropolitan transportation] big apple transit authority of such 20 transit project and the financing thereof which is not paid to the 21 [metropolitan transportation] big apple transit authority from any 22 federal, state or local aid or assistance or from any other moneys made 23 available or payable to the [metropolitan transportation] big apple 24 transit authority by others for such project. 25 4. (a) Such agreements with the [metropolitan transportation] big 26 apple transit authority may, without limitation, contain provisions 27 obligating the authority or its designated subsidiary to: 28 (i) issue its notes or bonds, or execute and deliver its lease, 29 sublease and other such contractual obligations, in payment for a trans- 30 fer, lease or sublease of a transit project to any of them, provided, 31 however, that in no event shall the aggregate principal amount of all 32 notes and bonds together with the capitalized value of all lease, 33 sublease and other such contractual obligations, exceed the sum of one 34 billion six hundred million dollars, excluding from such limitation (A) 35 the principal amount of any bonds or notes of the authority to the 36 extent the amount thereof is paid, is payable or has been agreed to be 37 paid by the federal government or any agency or instrumentality thereof 38 to the authority or to the holders of such bonds or notes, (B) the prin- 39 cipal amount of any bonds or notes of the authority issued to refund or 40 otherwise repay other obligations issued for such transit projects, (C) 41 the principal amount of any bonds or notes and the capitalized value of 42 any lease, sublease or other such contractual obligation, to the extent 43 such obligations are paid or agreed to be paid, subject to annual appro- 44 priation, under service contracts issued by the state to the metropol- 45 itan transportation authority for the benefit of the authority or its 46 subsidiaries pursuant to the provisions of section sixteen of the trans- 47 portation systems assistance and financing act of 1981, or under any 48 similar contract of the metropolitan transportation authority or the 49 authority with any other governmental entity for the benefit of the 50 authority or its subsidiaries, (D) the principal amount of any bonds or 51 notes of the authority issued to the metropolitan transportation author- 52 ity or to the big apple transit authority in connection with the funding 53 of any debt service reserve fund required by any resolution of the 54 metropolitan transportation authority or of the big apple transit 55 authority pursuant to which special obligation bonds of that authority 56 to fund a transit project were issued, and (E) a principal amount of anyS. 7840 40 1 bonds or notes of the authority equal to the amount of any original 2 issue discount from the principal amount of the special obligation bonds 3 or notes issued by the metropolitan transportation authority or by the 4 big apple transit authority in connection with the financing of a trans- 5 it project by that authority; 6 (ii) give security for the payment of such notes, bonds, lease, 7 sublease or other contractual obligations, including a pledge of all or 8 any part of its revenues or other moneys, which pledge may contain 9 covenants with respect to the charging and fixing of fares, fees and 10 rentals, the use and disposition of such fares, fees, rentals and other 11 charges, and the setting aside of reserves therefrom. 12 (b) Such agreements, and any notes, bonds, lease, sublease or other 13 contractual obligations issued or entered into by the authority or its 14 designated subsidiary pursuant thereto, may, without limitation, also 15 contain provisions as to: 16 (i) limitations with respect to the use and disposition of transit 17 projects and with respect to any other transit facilities; 18 (ii) limitations on the issuance of additional bonds, notes, lease, 19 sublease or other contractual obligations, the terms upon which they may 20 be secured and the funding or refunding thereof; 21 (iii) with respect to bonds or notes, vesting in a trustee or trustees 22 such property rights, powers and duties in trust as it may determine, 23 which rights, powers and duties may include, but shall not be limited 24 to, those set forth in section twelve hundred seven-h of this title; 25 (iv) defining the acts or omissions to act which shall constitute a 26 default and providing rights and remedies in the event of default; 27 (v) any other matters, of like or different character, which in any 28 way affect the security or protection of the [metropolitan transporta-29tion] big apple transit authority or any lessor; and 30 (vi) consenting to the extending or assignment by the [metropolitan31transportation] big apple transit authority or by any lessor to the 32 holders of any of its bonds, notes or lease obligations of all of the 33 benefits and rights of the [metropolitan transportation] big apple tran- 34 sit authority or of such lessor provided by any such agreement or other 35 instrument. 36 (c) The term "revenues" as used in this subdivision shall include all 37 those moneys referred to in section twelve hundred of this [article] 38 title, as well as all operating subsidies provided by any public benefit 39 corporation or by any governmental entity, federal, state or local. 40 (d) The term "capitalized value" as used in this subdivision shall 41 mean the present value of all future payments required under a lease, 42 sublease and other such contractual obligation discounted at a rate of 43 interest determined on the basis of the net interest cost of the last 44 [metropolitan transportation] big apple transit authority's special 45 obligation bonds issued prior to the execution of any such lease, 46 sublease or other contractual obligation or, if no such bonds have been 47 issued, on the basis of the net interest cost of the last bonds issued 48 by the Triborough bridge and tunnel authority, issued in payment for the 49 transfer, lease or sublease of any such transit projects. 50 5. It is the intention hereof that, subject to such agreements with 51 bondholders or noteholders as may then exist, any pledge of revenues or 52 other moneys made by the authority or its subsidiaries shall be valid 53 and binding from the time when the pledge is made; that the revenues or 54 other moneys so pledged and thereafter received by the authority or its 55 subsidiaries shall immediately be subject to the lien of such pledge 56 without any physical delivery thereof or further act, and that the lienS. 7840 41 1 of any such pledge shall be valid and binding as against all parties 2 having claims of any kind in tort, contract or otherwise against the 3 authority or its subsidiaries irrespective of whether such parties have 4 notice thereof. Neither the agreement nor any other instrument by which 5 a pledge is created need be recorded. 6 6. So long as the authority or any of its subsidiaries shall have any 7 outstanding and unpaid obligation in connection with a transit project, 8 the authority and such subsidiaries shall have the power at all times to 9 fix or adjust the rate or rates of fares, fees, rentals or other charges 10 to be charged for the use of their transit facilities as may, together 11 with all other lawfully available moneys, be necessary in their judgment 12 to produce sufficient revenues to pay such obligations as the same 13 become due, in addition to paying as the same shall become due expenses 14 of operation of the transit facilities and satisfying all other obli- 15 gations of the authority and such subsidiaries. No acts or activities 16 taken or proposed to be taken by the authority pursuant to this subdivi- 17 sion shall be deemed to be "actions" for the purposes or within the 18 meaning of article eight of the environmental conservation law. 19 7. (a) In connection with (i) the lease between the city and the 20 authority dated June first, nineteen hundred fifty-three, and (ii) the 21 lease between the city and the Manhattan and Bronx surface transit oper- 22 ating authority dated March twentieth, nineteen hundred sixty-two (such 23 leases, as heretofore supplemented, amended or renewed, and the tenan- 24 cies originally created thereby, being referred to in this section as 25 "the existing leases"), the city, acting either by the mayor alone or by 26 resolution of the [board of estimate] city council, or by instruments 27 authorized by such resolution, and the authority are authorized to enter 28 into agreements for renewal or extension of the existing leases, or for 29 new leases, for such terms of years and upon such other terms and condi- 30 tions as the parties thereto shall agree and the [metropolitan transpor-31tation] big apple transit authority shall approve, provided that under 32 the terms thereof, the rights, privileges and obligations of the parties 33 are not inconsistent with the provisions of, or in derogation of the 34 powers of the authority all as provided in this title [nine of article35five of this chapter], and provided further that such agreements shall 36 in no way impair the rights or powers of the authority or the Manhattan 37 and Bronx surface transit operating authority to fulfill the terms of 38 any contract made by either of them with the holders of any of their 39 then outstanding bonds or notes, and such agreements shall provide that 40 such leases may not be terminated or permitted to expire or be amended 41 in any way inconsistent with the provisions of any agreement, bond, 42 note, lease, sublease or other contractual obligation given or made by 43 either of them in connection with a transit project. Neither the 44 provisions of section one hundred ninety-seven-c of the New York city 45 charter, relating to a uniform land use review procedure, nor the 46 provisions of any other local law of like or similar import shall apply 47 to the renewal or extension of the existing leases or to the making of 48 new leases as herein provided. 49 (b) Notwithstanding the provisions of any other law, general, special 50 or local, or the provisions of the existing leases, if either of the 51 agreements authorized by paragraph (a) [above] of this subdivision is 52 not entered into, but a note, bond, lease, sublease or other contractual 53 obligation for a transit project has been issued or entered into, then 54 (i) no party to an existing lease may terminate the same, serve any 55 notice of termination pursuant thereto, exercise any option to terminate 56 reserved therein or permit the expiration thereof, (ii) the city shallS. 7840 42 1 not in any way limit or disturb any right of the tenant to use, occupy, 2 control and possess any of the properties, facilities or revenues which 3 are the subject of such existing lease, and (iii) the city shall not 4 seek to enforce such existing lease in any way inconsistent with or 5 contrary to the manner in which such existing lease had been adminis- 6 tered prior to the enactment of this section or inconsistent with or 7 contrary to the interests of the [metropolitan transportation] big apple 8 transit authority or any lessor under any agreement, notes, bonds, 9 lease, sublease or other contractual obligations of the authority or any 10 of its subsidiaries issued or entered into in connection with a transit 11 project (and to the extent the provisions of such leases conflict at any 12 time or in any manner with the provisions of any such note, bond, lease, 13 sublease or other contractual obligation, the provisions of such note, 14 bond, lease, sublease or other contractual obligation shall be control- 15 ling and conflicting provisions of the leases with the city shall be 16 disregarded), unless prior thereto the city has satisfied all of such 17 outstanding notes, bonds or other contractual obligations and provided 18 for the termination of all such agreements, leases and subleases, all in 19 accordance with their terms. If and to the extent moneys are paid by 20 the city to the authority or its subsidiaries to satisfy their obli- 21 gations to the [metropolitan transportation] big apple transit authority 22 under such instruments, the authority and such subsidiaries shall remit 23 such moneys to the [metropolitan transportation] big apple transit 24 authority, which shall, in turn, apply the same to the satisfaction and 25 termination of its own notes, bonds and leases issued or entered into in 26 connection with a transit project in accordance with their terms. 27 (c) Upon termination or expiration of a new lease or of a renewed or 28 extended existing lease as permitted in paragraph (a) of this subdivi- 29 sion, or upon satisfaction of the requirements of paragraph (b) of this 30 subdivision, title to any real or personal property (or any interest 31 therein) constituting all or any part of a transit project then vested 32 in the authority or any of its subsidiaries or the [metropolitan trans-33portation] big apple transit authority pursuant to the provisions of 34 this chapter shall be transferred without further consideration or 35 payment to the city. 36 8. The state of New York does hereby pledge to and agree with the 37 authority and its subsidiaries, the big apple transit authority and its 38 subsidiaries, and the metropolitan transportation authority and the 39 holders of bonds or notes or lease, sublease or other contractual obli- 40 gations issued by any of them in connection with a transit project or in 41 connection with the transfer of the interest of any of them in and the 42 lease from the transferee of any property furnished to it pursuant to 43 chapter twelve of the laws of nineteen hundred seventy-nine or section 44 fifteen of chapter three hundred fourteen of the laws of nineteen 45 hundred eighty-one, or in connection with any transaction entered into 46 pursuant to the authorization of paragraph (b) of subdivision two of 47 this section, that the state will not limit or alter the denial of 48 authority under subdivision eleven of this section, or the rights and 49 powers vested in the authority and its subsidiaries by this title to 50 fulfill the terms of any agreement made by any of them with the big 51 apple transit authority or the metropolitan transportation authority or 52 with such holders, or in any way impair their rights and remedies until 53 such agreements, bonds, notes, and obligations, together with the inter- 54 est thereon and all costs and expenses in connection with any action or 55 proceedings by or on behalf of the big apple transit authority or the 56 metropolitan transportation authority or such holders, are fully met andS. 7840 43 1 discharged. The authority and its subsidiaries are each authorized to 2 include this pledge and the agreement of the state in any agreement with 3 the holders of such bonds or notes or lease, sublease or other obli- 4 gations and in any agreement with the big apple transit authority or the 5 metropolitan transportation authority relating to a transit project 6 which may extend the same to the holders of its bonds, notes and lease 7 obligations. 8 9. The provisions of this section and of all agreements undertaken by 9 the authority or any of its subsidiaries in accordance therewith shall 10 in all respects be subject to the rights of the holders of any outstand- 11 ing bonds or notes of the authority and its subsidiaries. 12 10. In connection with the negotiation, award and implementation of 13 contracts of the authority relating to transit projects, the provisions 14 of [paragraphs (a), (b), (c) and (d) of subdivision] subdivisions thir- 15 teen and fourteen of section [twelve hundred sixty-six-c] thirteen 16 hundred forty-nine-j of this article shall apply to the authority as if 17 it were the "authority" referred to therein, and the [officer designated18by the metropolitan transportation authority pursuant to paragraph (e)19of such subdivision] division of minority and women's business develop- 20 ment, established pursuant to article fifteen-A of the executive law, 21 shall perform the duties therein described with respect to such 22 contracts of the authority. 23 11. So long as the authority or any of its subsidiaries, the big apple 24 transit authority, or the metropolitan transportation authority, shall 25 have outstanding any notes, bonds, lease, sublease or other contractual 26 obligations authorized by this section or section [twelve hundred27sixty-six-c] thirteen hundred forty-nine-j or [twelve hundred sixty-28nine] thirteen hundred forty-nine-u of this article, or which have been 29 issued or incurred in connection with the transfer of the interest of 30 any of them in and the lease from the transferee of any property 31 furnished pursuant to chapter twelve of the laws of nineteen hundred 32 seventy-nine or section fifteen of chapter three hundred fourteen of the 33 laws of nineteen hundred eighty-one, neither the authority nor any of 34 its subsidiaries shall have the authority to file a voluntary petition 35 under chapter nine of the federal bankruptcy code, or such corresponding 36 chapter, chapters, or sections as may, from time to time, be in effect, 37 and neither any public officer nor any organization, entity or other 38 person shall authorize the authority or any of its subsidiaries to be or 39 become a debtor under said chapter nine or said corresponding chapter, 40 chapters or sections during any such period. 41 12. A project financed by the authority's issuance of its bonds, notes 42 or other obligations, pursuant to subdivision [one-a] two of section 43 [twelve hundred seven-b] thirteen hundred forty-nine-u of this title 44 shall be deemed to constitute a transit project for the purposes of this 45 section and any notes, bonds, lease, sublease or other contractual obli- 46 gations with respect to such project shall, for purposes of this 47 section, be deemed to have been authorized by this section; provided, 48 however, that such project shall not be deemed to constitute part of any 49 capital program plan for the purposes of section [twelve hundred sixty-50nine-b] thirteen hundred forty-nine-v of this article nor shall the 51 principal amounts of any bonds or notes, nor the capitalized value of 52 any lease, sublease, or other contractual obligation of the authority, 53 issued or entered into by the authority pursuant to [such] subdivision 54 [one-a] two of section thirteen hundred forty-nine-u of this title, be 55 included in any computation pursuant to subdivision four of this 56 section.S. 7840 44 1 § 14. The opening paragraph of subdivision 4, paragraph (c) of subdi- 2 vision 5 and subdivision 11 of section 1209 of the public authorities 3 law, the opening paragraph of subdivision 4 as added by chapter 430 of 4 the laws of 1983, paragraph (c) of subdivision 5 as added by chapter 383 5 of the laws of 1985 and subdivision 11 as added by chapter 929 of the 6 laws of 1986, are amended to read as follows: 7 Notwithstanding the provisions of subdivision two of this section, a 8 contract for the purchase of omnibuses or components of omnibuses in 9 furtherance or implementation of a capital program plan approved pursu- 10 ant to section [twelve hundred sixty-nine-b] thirteen hundred forty- 11 nine-v of this article may also be awarded by the authority by negoti- 12 ation without competitive bidding provided the following standards and 13 procedures are complied with: 14 (c) Any contract entered into pursuant to this subdivision shall 15 comply with the requirements of subdivision thirteen of section [twelve16hundred sixty-six-c] thirteen hundred forty-nine-j of this article. 17 11. The authority shall compile a list of potential sources of 18 supplies, materials or equipment regularly purchased. The authority 19 shall, by resolution, set forth the procedures it has established to 20 identify new sources and to notify such new sources of the opportunity 21 to bid for contracts for the purchase of supplies, materials or equip- 22 ment. Such procedures shall include, but not be limited to: (a) adver- 23 tising in trade journals; (b) cooperation with federal, state and local 24 agencies within its area of operations; (c) publication in the state 25 register quarterly; and (d) procedures established pursuant to subdivi- 26 sion thirteen of section [twelve hundred sixty-six-c] thirteen hundred 27 forty-nine-j of this article. 28 § 15. Subdivision 3 and paragraphs b and i of subdivision 4 of section 29 1209-a of the public authorities law, as amended by chapter 460 of the 30 laws of 2015, are amended to read as follows: 31 3. Jurisdiction. The bureau shall have, with respect to acts or inci- 32 dents in or on the transit facilities of the authority committed by or 33 involving persons who are sixteen years of age or over, or with respect 34 to acts or incidents occurring on omnibuses owned or operated by the 35 [metropolitan transportation] big apple transit authority or a subsid- 36 iary thereof, and with respect to violation of toll collection regu- 37 lations of the [triborough] Triborough bridge and tunnel authority as 38 described in section twenty-nine hundred eighty-five of this chapter, 39 non-exclusive jurisdiction over violations of: (a) the rules which may 40 from time to time be established by the authority under subdivision 41 five-a of section twelve hundred four of this [chapter] title; (b) arti- 42 cle one hundred thirty-nine of the health code of the city of New York, 43 as it may be amended from time to time, relating to public transporta- 44 tion facilities; (c) article four of the noise control code of the city 45 of New York, as it may be amended from time to time, insofar as it 46 pertains to sound reproduction devices; (d) the rules and regulations 47 which may from time to time be established by the [triborough] Tribor- 48 ough bridge and tunnel authority in accordance with the provisions of 49 section twenty-nine hundred eighty-five of this chapter; and (e) rules 50 and regulations which may from time to time be established by the 51 [metropolitan transportation] big apple transit authority or a subsid- 52 iary thereof in accordance with the provisions of section [twelve53hundred sixty-six] thirteen hundred forty-nine-h of this [chapter] arti- 54 cle. Matters within the jurisdiction of the bureau except violations of 55 the rules and regulations of the [triborough] Triborough bridge and 56 tunnel authority shall be known for purposes of this section as transitS. 7840 45 1 infractions. Nothing herein shall be construed to divest jurisdiction 2 from any court now having jurisdiction over any criminal charge or traf- 3 fic infraction relating to any act committed in a transit or toll facil- 4 ity, or to impair the ability of a police officer to conduct a lawful 5 search of a person in a transit facility. The criminal court of the city 6 of New York shall continue to have jurisdiction over any criminal charge 7 or traffic infraction brought for violation of the rules of the authori- 8 ty, the [triborough] Triborough bridge and tunnel authority or the 9 [metropolitan transportation] big apple transit authority or a subsid- 10 iary thereof, as well as jurisdiction relating to any act which may 11 constitute a crime or an offense under any law of the state of New York 12 or any municipality or political subdivision thereof and which may also 13 constitute a violation of such rules. The bureau shall have concurrent 14 jurisdiction with the environmental control board and the administrative 15 tribunal of the department of health over the aforesaid provisions of 16 the health code and noise control code of the city of New York. 17 b. To impose civil penalties not to exceed a total of one hundred 18 fifty dollars for any transit infraction within its jurisdiction, in 19 accordance with a penalty schedule established by the authority or the 20 [metropolitan transportation] big apple transit authority or a subsid- 21 iary thereof, as applicable, except that penalties for violations of the 22 health code of the city of New York shall be in accordance with the 23 penalties established for such violations by the board of health of the 24 city of New York, and penalties for violations of the noise code of the 25 city of New York shall be in accordance with the penalties established 26 for such violations by law, and civil penalties for violations of the 27 rules and regulations of the [triborough] Triborough bridge and tunnel 28 authority shall be in accordance with the penalties established for such 29 violations by section twenty-nine hundred eighty-five of this chapter; 30 i. To accept payment of penalties and to remit same to the authority 31 or the [metropolitan transportation] big apple transit authority or a 32 subsidiary thereof, as applicable; and 33 § 16. Section 1213 of the public authorities law, as amended by chap- 34 ter 838 of the laws of 1983, is amended to read as follows: 35 § 1213. Report. Copies of the annual report required to be made and 36 submitted pursuant to section twenty-eight hundred of this chapter also 37 shall be submitted to the mayor, comptroller and [board of estimate] 38 city council. 39 § 17. Section 1219-a of the public authorities law, as amended by 40 section 19 of part O of chapter 61 of the laws of 2000, is amended to 41 read as follows: 42 § 1219-a. Transfer and receipt of surplus funds. 1. Notwithstanding 43 any provision of this title or any other provision of law, general, 44 special or local, the authority may from time to time transfer and pay 45 over to the metropolitan transportation authority, the big apple transit 46 authority or [triborough] the Triborough bridge and tunnel authority all 47 or any part of its surplus funds; and may accept and use any moneys 48 transferred and paid over to it by the metropolitan transportation 49 authority, the big apple transit authority or [triborough] the Tribor- 50 ough bridge and tunnel authority. 51 2. Notwithstanding the provisions of [the preceding] subdivision one 52 of this section: 53 (a) If the city shall have provided in its capital budget for its 54 fiscal year beginning July first, nineteen hundred sixty-eight the 55 amount of one hundred million dollars, or such lesser amount as shall 56 have been requested by the authority for inclusion in such budget, forS. 7840 46 1 the payment of the capital cost of projects requested by the authority 2 pursuant to section twelve hundred three of this title, then upon the 3 written request of the mayor made within thirty days after the commence- 4 ment of such fiscal year, [triborough] the Triborough bridge and tunnel 5 authority shall transfer to the authority, by lump sum payment or 6 installments at such time or times and in such amounts as the mayor 7 shall elect, all or such part of the surplus funds of [triborough] the 8 Triborough bridge and tunnel authority on hand as of the last day of its 9 last fiscal year ending prior to such request as the mayor shall speci- 10 fy, which funds shall be applied by the authority solely to the payment 11 of its expenses of operation. If the city shall have provided in its 12 capital budget for any of its next four fiscal years, commencing with 13 the fiscal year beginning July first, nineteen hundred sixty-nine, the 14 amount of one hundred million dollars, or such lesser amount as shall 15 have been requested by the authority for inclusion in such budget, for 16 the payment of the capital cost of projects requested by the authority 17 pursuant to section twelve hundred three of this title, then upon the 18 written request of the mayor made within thirty days after the commence- 19 ment of such fiscal year, [triborough] the Triborough bridge and tunnel 20 authority shall transfer to the authority solely for application to the 21 payment of expenses of operation of the authority the operating surplus 22 of [triborough] the Triborough bridge and tunnel authority for its last 23 fiscal year ending prior to such request, which transfer shall also be 24 by lump sum payment or installments at such time or times and in such 25 amounts as the mayor shall elect. Projects shall be eligible for inclu- 26 sion in a computation made hereunder only if included in a capital budg- 27 et on the first day of the fiscal year for which it is adopted. A 28 carry-over project shall not be eligible for inclusion unless it was 29 first included in a capital budget by way of an amendment thereto, in 30 which event it shall be eligible for inclusion in a computation made 31 hereunder with respect to the first fiscal year of the city commencing 32 after the adoption of the amendment. 33 (b) Promptly upon the making of the certification of its operating 34 surplus, if any, for its fiscal year ending December thirty-first, nine- 35 teen hundred seventy-two and for each of its subsequent fiscal years, 36 [triborough] the Triborough bridge and tunnel authority, at the direc- 37 tion of [metropolitan transportation] the big apple transit authority, 38 shall transfer such operating surplus (1) to the [metropolitan transpor-39tation] big apple transit authority for deposit into one or more funds 40 or accounts to be used as contemplated by section [twelve hundred seven-41ty-d] thirteen hundred forty-nine-dd of this article, or (2) to the 42 authority and the [metropolitan transportation] big apple transit 43 authority solely for application to the payment of the expenses of oper- 44 ation. [For purposes of determining the proportional allocation of the45operating surplus as between the authority and the metropolitan trans-46portation authority, the following formula shall apply: (i) twenty-four47million dollars plus fifty percentum of the balance of such operating48surplus shall be allocable to the authority, and (ii) the remainder49shall be allocable to metropolitan transportation authority on behalf of50the commuter railroads operated by it, by its subsidiary corporations or51by others under joint arrangements.] 52 (c) The Triborough bridge and tunnel authority is authorized, at the 53 direction of the [metropolitan transportation] big apple transit author- 54 ity, from time to time to make advances from available funds on account 55 of the operating surplus it anticipates will or may be certified and 56 transferred as provided in this subdivision to (1) the [metropolitanS. 7840 47 1transportation] big apple transit authority for deposit into one or more 2 funds or accounts to be used as contemplated by section [twelve hundred3seventy-d] thirteen hundred forty-nine-dd of this article, or (2) the 4 authority and the [metropolitan transportation] big apple transit 5 authority solely for application to the payment of the expenses of oper- 6 ation. In the event that advances so made in respect of any fiscal year 7 including the year in which the surpluses are being earned exceed the 8 amounts required to be transferred to the authority and [metropolitan9transportation] the big apple transit authority pursuant to the 10 provisions of this subdivision, then the amount of any such excess shall 11 be refunded to [triborough] the Triborough bridge and tunnel authority 12 by the authority or [metropolitan transportation] the big apple transit 13 authority, as the case may be, within thirty days of the making by 14 [triborough] the Triborough bridge and tunnel authority of its certif- 15 ication of operating surplus for such fiscal year. 16 (d) For the purposes of this subdivision, the existence and the amount 17 of surplus funds and operating surplus of [triborough] the Triborough 18 bridge and tunnel authority shall be determined in accordance with the 19 provisions of subdivision twelve of section five hundred fifty-three of 20 this chapter. 21 (e) The Triborough bridge and tunnel authority shall certify to the 22 mayor and to the chairman of [metropolitan transportation] the big apple 23 transit authority within ninety days after the end of its fiscal year 24 ending December thirty-first, nineteen hundred sixty-seven, and within 25 forty-five days after the end of each of its subsequent fiscal years, 26 the amount of its operating surplus for that year and, in the case of 27 the fiscal year ending December thirty-first, nineteen hundred sixty- 28 seven, the amount of all of its surplus funds on hand as of the last day 29 of such fiscal year. 30 (f) No transfer of funds shall be made to the authority pursuant to 31 any provision of this section at any time when there shall have been 32 pending and not acted upon by the mayor for ninety days any request of 33 the authority for permission to expend or contract to expend funds for a 34 project included in a capital budget for transit facility purposes. 35 There shall be excluded from such ninety-day period any time during 36 which the mayor is prevented from acting by order of court or by opera- 37 tion of law. 38 [3. Notwithstanding the preceding subdivisions of this section, for39purposes of determining the proportional allocation of the operating40surplus of the Triborough bridge and tunnel authority between the41authority and the metropolitan transportation authority the following42formula shall be used: An amount equal to the debt service incurred in43such year as a result of the bonds issued to provide facilities pursuant44to paragraphs (m), (n), (o), (p) and (r) of subdivision nine of section45five hundred fifty-three of this chapter shall be added to the operating46surplus of the Triborough bridge and tunnel authority, as certified by47that authority. The sum of these figures shall then be allocated to the48authority and the commuter railroads operated by metropolitan transpor-49tation authority or by its subsidiary corporations, pursuant to the50formula contained in paragraph (b) of subdivision two of this section as51if this amount were the operating surplus of the Triborough bridge and52tunnel authority. The amounts so allocated to the authority and the53commuter railroads operated by metropolitan transportation authority or54by its subsidiary corporations, shall then be reduced respectively by55the proportional amount of the debt service, incurred in such year by56the Triborough bridge and tunnel authority pursuant to paragraphs (m),S. 7840 48 1(n), (o), (p) and (r) of subdivision nine of section five hundred2fifty-three of this chapter, reasonably attributable to the payments for3transit projects undertaken for the authority and its subsidiaries and4transportation facility projects undertaken for the commuter railroads5operated by the metropolitan transportation authority or by its subsid-6iary corporations. The remaining amounts shall constitute the respective7allocation of operating surplus for the authority and the commuter rail-8roads operated by the metropolitan transportation authority or by its9subsidiary corporations.] 10 § 18. This act shall take effect January 1, 2021. 11 PART C 12 Section 1. Section 551 of the public authorities law is amended by 13 adding two new subdivisions 11 and 12 to read as follows: 14 11. The term "big apple transit authority" shall mean the corporation 15 created by title eleven-E of this article. 16 12. The term "city council" shall mean the city council of the city of 17 New York. 18 § 2. Subdivisions 1 and 2 of section 552 of the public authorities 19 law, subdivision 1 as amended by chapter 506 of the laws of 2009 and 20 subdivision 2 as amended by section 1 of part O of chapter 61 of the 21 laws of 2000, are amended to read as follows: 22 1. A board, to be known as "Triborough bridge and tunnel authority" is 23 hereby created. Such board shall be a body corporate and politic consti- 24 tuting a public benefit corporation. It shall consist of seventeen 25 members, all serving ex officio. Those members shall be the persons who 26 from time to time shall hold the offices of chairman and members of 27 [metropolitan transportation] the big apple transit authority. The 28 chairman of such board shall be the chairman of [metropolitan transpor-29tation] the big apple transit authority, serving ex officio, and, 30 provided that there is an executive director of the [metropolitan trans-31portation] big apple transit authority, the executive director of the 32 authority shall be the executive director of the [metropolitan transpor-33tation] big apple transit authority, serving ex officio. Notwithstanding 34 any provision of law to the contrary, the chairman shall be the chief 35 executive officer of the authority and shall be responsible for the 36 discharge of the executive and administrative functions and powers of 37 the authority. The chairman and executive director, if any, each shall 38 be empowered to delegate his or her functions and powers to the execu- 39 tive officer of the Triborough bridge and tunnel authority or to such 40 person as may succeed to the powers and duties of said executive offi- 41 cer. The chairman and other members of the board hereby created, and the 42 executive director, if any, shall not be entitled to compensation for 43 their services hereunder but shall be entitled to reimbursement for 44 their actual and necessary expenses incurred in the performance of their 45 official duties. 46 2. A majority of the whole number of members of the authority then in 47 office shall constitute a quorum for the transaction of any business or 48 the exercise of any power of the authority. Except as otherwise speci- 49 fied in this title for the transaction of any business or the exercise 50 of any power of the authority, the authority shall have the power to act 51 by a majority vote of the members present at any meeting at which a 52 quorum is in attendance and except further, that in the event of a tie 53 vote the chairman shall cast one additional vote. For the purposes of 54 the voting and quorum requirements of this subdivision, the voting andS. 7840 49 1 quorum requirements set forth in [subdivision three of section twelve2hundred sixty-three] subdivision three of section thirteen hundred 3 forty-nine-c of this chapter and in any by-law of the [metropolitan4transportation] big apple transit authority adopted pursuant to the 5 provisions of such subdivision shall be applicable hereto. Such board 6 and its corporate existence shall continue only for a period of five 7 years and thereafter until all its liabilities have been met and its 8 bonds, notes and other obligations have been paid in full or such 9 liabilities or bonds, notes or other obligations have otherwise been 10 discharged, including bonds, notes or other obligations issued by the 11 metropolitan transportation authority that are payable in whole or in 12 part by revenues of the authority. When all liabilities incurred by the 13 authority of every kind and character have been met and all its bonds, 14 notes and other obligations have been paid in full, including bonds, 15 notes or other obligations issued by the metropolitan transportation 16 authority that are payable in whole or in part by revenues of the 17 authority, or such liabilities or bonds, notes or other obligations have 18 otherwise been discharged, all rights and properties of the authority 19 shall pass to and be vested in the city, except those rights and proper- 20 ties held by it relating to the convention center which shall pass to 21 and be vested in the state. The authority shall retain full jurisdiction 22 and control over all its projects, with the right and duty, subject to 23 the limitations of subdivision nine of section five hundred fifty-two-a 24 of this title, to charge tolls and collect revenues therefrom, for the 25 benefit of the holders of any of its bonds, notes or other obligations 26 or other liabilities, even if not issued or incurred in connection with 27 the project. Upon the authority's ceasing to exist all its remaining 28 rights and properties shall pass to the city, except those rights and 29 properties held by it relating to the convention center which shall pass 30 to the state. 31 § 3. Paragraphs (k), (o), (p) and (r) of subdivision 9 and subdivi- 32 sions 4-a, 4-b, 7-a, 12, 13, 14, 17, 20 and 21 of section 553 of the 33 public authorities law, subdivision 4-a as added by chapter 954 of the 34 laws of 1946, subdivision 4-b as amended by section 2, subdivision 12 as 35 amended by section 3, subdivision 17 as amended by section 4 and subdi- 36 vision 21 as added by section 5 of part O of chapter 61 of the laws of 37 2000, subdivision 7-a as amended by section 7 of subpart B of part ZZZ 38 of chapter 59 of the laws of 2019, paragraph (k) of subdivision 9 as 39 added by chapter 806 of the laws of 1955, paragraphs (o) and (p) of 40 subdivision 9 as added by chapter 369 of the laws of 1979, paragraph (r) 41 of subdivision 9 as added by chapter 314 of the laws of 1981, subdivi- 42 sion 13 as amended by chapter 576 of the laws of 1964, subdivision 14 as 43 amended by chapter 874 of the laws of 1939 and subdivision 20 as added 44 by chapter 929 of the laws of 1986, are amended to read as follows: 45 4-a. Whenever any real property is determined by the authority to be 46 unnecessary for its corporate purpose. 47 (a) to surrender such real property to the [board of estimate of the] 48 city council for other public use or purpose of such city, or 49 (b) to sell and convey or lease in behalf of such city any real prop- 50 erty acquired by the city at the expense of the authority. The proceeds 51 of any such sale or lease shall be paid to the authority and applied to 52 its corporate purpose. Any such lease shall run for a term not to exceed 53 ten years, and a renewal thereof for a term not to exceed ten years. 54 4-b. To apply for and receive and accept grants of property, money and 55 services and other assistance offered or made available to it by any 56 person, government or agency whatever, which it may use to meet capitalS. 7840 50 1 or operating expenses and for any other use within the scope of its 2 powers, and to negotiate for the same upon such terms and conditions as 3 the authority may determine to be necessary, convenient or desirable. 4 Subject to the rights of the holders of any outstanding bonds, notes or 5 other obligations of the authority, metropolitan transportation authori- 6 ty, the big apple transit authority and the New York city transit 7 authority, and to facilitate the efficient financial management of the 8 authority, the metropolitan transportation authority, the big apple 9 transit authority, its subsidiary corporations, and the New York city 10 transit authority and its subsidiary corporations (the "affiliated enti- 11 ties"), the authority may, and may permit and direct any affiliated 12 entity to, transfer revenues, subsidies and other monies or securities 13 to one or more funds or accounts of another affiliated entity for use by 14 such other affiliated entity, provided at the time of such transfer it 15 is reasonably anticipated that the monies and securities so transferred 16 will be reimbursed, repaid or otherwise provided for by the end of the 17 next succeeding calendar year if reimbursement or repayment is required 18 by law or by any agreement to which any of the affected affiliated enti- 19 ties is subject. Any revenues of an affiliated entity that are trans- 20 ferred to another affiliated entity, which transfer was not authorized 21 by a provision of law other than this subdivision, shall be considered 22 to be required to be repaid to the affiliated entity which was the 23 source of such revenues by the end of the next succeeding calendar year 24 following such transfer. 25 7-a. Notwithstanding any inconsistent provision of law, the bridge and 26 tunnel officers employed by the authority shall have the power to issue 27 simplified traffic informations for traffic infractions as defined in 28 section one hundred fifty-five of the vehicle and traffic law, committed 29 on the sites owned, operated and maintained by the [triborough] Tribor- 30 ough bridge and tunnel authority, such informations to be administered 31 pursuant to the provisions of chapter two of title [A of chapter forty] 32 nineteen of the administrative code of the city of New York or article 33 two-A of the vehicle and traffic law, as applicable and also shall have 34 the power to issue notices of violation for transit infractions commit- 35 ted in and about any or all of the facilities, equipment or real proper- 36 ty owned, occupied or operated by the [metropolitan transportation] big 37 apple transit authority or its subsidiaries and the New York city trans- 38 it authority and its subsidiaries, as provided and in accordance with 39 section twelve hundred nine-a of this chapter. Nothing set forth in this 40 subdivision shall be construed to impede, infringe or diminish the 41 rights and benefits that accrue to employees and employers through 42 collective bargaining agreements, or impact or change an employee's 43 membership in a bargaining unit. 44 (k) Subject to and in accordance with all contract provisions with 45 respect to any bonds and the rights of the holders of bonds, a vehicular 46 bridge across the East river between the boroughs of the Bronx and 47 Queens, east of the Bronx-Whitestone bridge, together with such inci- 48 dental bridges and other structures, appurtenances, facilities and 49 approaches as shall be necessary or convenient (herein collectively 50 referred to as the "Throgs Neck bridge project"). With the consent of 51 the United States of America, the Throgs Neck bridge project or a 52 portion thereof, if deemed necessary or convenient by the authority, may 53 be constructed upon or pass over any part of the military reservation 54 known as Fort Schuyler and owned by the United States of America. No 55 lands, easements or rights in land shall be acquired by the authorityS. 7840 51 1 for the purposes of this paragraph without the prior consent of the 2 [board of estimate of the] city council. 3 [(o) Subject to section five hundred fifty-three-c of this title, the4acquisition of new diesel self-propelled railroad passenger cars and the5transfer of the same to the metropolitan transportation authority, for a6nominal consideration, for use on commuter railroads owned or controlled7by the metropolitan transportation authority. The authority shall have8no obligation to operate, repair, maintain or reconstruct such cars9subsequent to their acquisition and transfer, nor shall it be liable to10the metropolitan transportation authority by reason of any warranty,11express or implied, in respect of such cars. Manufacturers or other12warranties furnished to the authority in connection with the purchase of13such cars shall be assigned to the metropolitan transportation authority14for enforcement.15(p) Subject to section five hundred fifty-three-c of this title, the16acquisition of land in the name of the authority in the vicinity of Penn17Station in the city of New York and/or the improvement of such land for18the benefit of the Long Island Rail Road for a lay-up yard and other19railroad purposes and the transfer of the said land and any improvements20thereon to the metropolitan transportation authority, parent corporation21of the said railroad, for a nominal consideration. The authority shall22have no obligation to operate, repair, maintain or reconstruct such land23or its improvements subsequent to such transfer.] 24 (r) In its discretion and subject to and in accordance with all 25 contract provisions with respect to any bonds and the rights of the 26 holders of bonds, at the request of the New York city transit authority 27 or the [metropolitan transportation] big apple transit authority, (i) 28 the planning for and the design, acquisition, construction, improvement, 29 reconstruction or rehabilitation, in the name of the authority, of any 30 capital asset, whether in the nature of personal or real property (or 31 any interest therein) which is used or useful for a transit or transpor- 32 tation purpose other than a marine or aviation purpose of the requesting 33 authority or its designated subsidiary (and in the case of such assets 34 then owned, operated by or under lease to the requesting authority or 35 its designated subsidiary, the receipt by the authority of the use, 36 occupancy, control or possession of such assets for the purpose of plan- 37 ning, designing, constructing, improving, reconstructing or rehabilitat- 38 ing the same) and the transfer or transfer back of such asset to the 39 requesting authority, its designated subsidiary or other designee for a 40 nominal consideration upon its acquisition or upon the completion of 41 such improvement, construction, reconstruction or rehabilitation; or, 42 alternatively or in combination with the foregoing, (ii) the making of 43 capital grants to the requesting authority or its designated subsidiary 44 to permit it to undertake and to finance such planning, design, acquisi- 45 tion, improvement, construction, reconstruction or rehabilitation, or, 46 alternatively or in combination with the foregoing, (iii) the financing 47 of all or any part of the costs to the authority or to any other person 48 or entity, public or private, of such planning, design, acquisition, 49 construction, improvement, reconstruction or rehabilitation of any such 50 capital asset through or accompanied by a leasing of the asset by such 51 person or entity to the authority or through or accompanied by a sale by 52 the authority to any such person or entity and leaseback to the authori- 53 ty, in each case for subleasing to the requesting authority, its desig- 54 nated subsidiary or other designee for a nominal rental, except that 55 such leasing or leaseback from such person or entity may be directly to 56 the requesting authority or its designated subsidiary or other designee,S. 7840 52 1 for consideration, with the consent and at the expense of the authority. 2 The foregoing authorization shall extend to and include the continuation 3 of projects enumerated in paragraphs (m)[,]and (n)[, (o) and (p)] of 4 this subdivision without regard to any limitations set forth in section 5 five hundred fifty-three-c of this title. The authority shall have no 6 obligation to operate or, except as may otherwise be provided in any 7 lease to which it may be a party as aforesaid, repair or maintain any 8 capital asset after its acquisition, construction, improvement, recon- 9 struction or rehabilitation and subsequent transfer, lease or sublease, 10 nor shall it be liable to the transferee, lessee or sublessee by reason 11 of any warranty, express or implied, in respect thereof. Warranties 12 furnished in connection with such acquisition, improvement, 13 construction, reconstruction or rehabilitation shall be assignable and 14 assigned as directed by the requesting authority and approved by the 15 authority. 16 12. To charge tolls, fees or rentals for the use of the project, 17 subject to and in accordance with such agreement with bondholders as may 18 be made as hereinafter provided. The toll rates charged for the use of 19 either the Triborough or Whitestone bridge project shall, however, never 20 be less than the toll rates charged for the use of the other, and this 21 clause shall be deemed an obligation to the holders of any and all bonds 22 at any time issued secured by the revenues of said projects. Subject to 23 contracts with bondholders, all tolls and other revenues derived from 24 any project shall be applied to the payment of operating, administration 25 and other necessary expenses of the authority properly chargeable to 26 such project and thereafter to the payment of interest or principal of 27 bonds or for making sinking fund payments for bonds, not otherwise 28 adequately provided for, whether issued in connection with such project 29 or any other project. It is the intention hereof that surplus funds from 30 any project remaining after providing for the payment of all operating, 31 administration and other necessary expenses of the authority and all 32 contract provisions with respect to any bonds, may be used to meet obli- 33 gations incurred for other projects and if not so used or reserved for 34 such use shall, at the discretion of [metropolitan transportation] the 35 big apple transit authority, be transferred to [metropolitan transporta-36tion] the big apple transit authority or the New York city transit 37 authority pursuant to section five hundred sixty-nine-c of this title. 38 Subject to contracts with bondholders, the authority may treat one or 39 more projects as a single enterprise in respect of revenues, expenses, 40 the issuance of bonds, maintenance, operation or other purposes; 41 13. To construct and maintain over, under, along or across the project 42 telephone, telegraph, or electric wires and cables, gas mains, water 43 mains and other mechanical equipment not inconsistent with the appropri- 44 ate use of the project, to contract for such construction and to lease 45 the right to construct and/or use the same on such terms and for such 46 considerations as it shall determine, provided, however, that no lease 47 shall be made except with the approval of the [board of estimate of the] 48 city council, or for a period of more than twenty years from the date 49 when it is made; 50 14. To construct and maintain facilities for the public, not incon- 51 sistent with the use of the project, to contract for such construction, 52 and to lease the right to construct and/or use such facilities on such 53 terms and for such considerations as it shall determine, provided, 54 however, that no lease shall be made for a period of more than five 55 years from the date when it is made except with the approval of the 56 [board of estimate of the] city council;S. 7840 53 1 17. To do all things necessary or convenient to carry out the powers 2 expressly given in this title and to assist and cooperate with the 3 [metropolitan transportation] big apple transit authority to carry out 4 the powers of the [metropolitan transportation] big apple transit 5 authority in furtherance of the purposes and powers of the authority as 6 provided in this article, including, without limitation, the trans- 7 actions described in sections [twelve hundred sixty-six-c] thirteen 8 hundred forty-nine-j, [twelve hundred sixty-nine] thirteen hundred 9 forty-nine-u, and [twelve hundred seventy-d] thirteen hundred forty- 10 nine-dd of this chapter. 11 20. Prior to the adoption after January first, nineteen hundred eight- 12 y-seven by the authority of a general resolution pursuant to which it is 13 authorized to issue any general or special obligation bonds or notes to 14 finance a project pursuant to the authorization contained in paragraph 15 (r) of subdivision nine of this section, not including any series resol- 16 ution or resolutions, and prior to the adoption of any amendment to a 17 general resolution, whenever adopted, pursuant to which it is authorized 18 to issue any general or special obligation bonds or notes for such 19 purpose, not including a series resolution or resolutions, the authority 20 shall submit a copy of such proposed resolution to the [metropolitan21transportation authority capital program review] big apple transit 22 authority's board (hereinafter referred to as the "board"). Within 23 fifteen days of such submission, the board may notify the authority of 24 its unanimous approval of the same by the members entitled to vote ther- 25 eon, or if the resolution is not approved and no individual member of 26 the board who is entitled to vote on such resolution has notified the 27 authority in writing of his disapproval, the resolution shall be deemed 28 to have been approved. Neither the board nor any member thereof shall 29 disapprove a proposed resolution by reason of any covenant requiring the 30 authority to charge and fix tolls, rentals and other charges sufficient 31 to pay its operating expenses and the debt service, including the fund- 32 ing of requisite reserves, on the bonds and notes authorized by such 33 resolution. If the board or any member thereof entitled to vote thereon 34 shall disapprove a proposed resolution, the authority may, at any time, 35 resubmit a reformulated resolution. Within ten days of the submission of 36 such reformulated resolution the board may notify the authority of its 37 unanimous approval of the same by the members entitled to vote thereon, 38 or, if the reformulated resolution is not approved and no individual 39 member of the board who is entitled to vote thereon has notified the 40 authority in writing of his disapproval within such period, the reformu- 41 lated resolution shall have been deemed to have been approved. Any 42 individual member of the board who votes against a resolution or a 43 reformulated resolution or who notifies the authority of his disapproval 44 shall state his reasons therefor. The member appointed on the recommen- 45 dation of the mayor of the city of New York shall participate in the 46 action of the board with respect to any resolution of the authority 47 submitted pursuant to this subdivision. The authority shall not adopt a 48 resolution or any amendment to a resolution disapproved by the board as 49 herein provided. 50 21. To invest any funds, accounts or other monies not required for 51 immediate use or disbursement, at the discretion of the authority, in 52 any of the investments in which the [metropolitan transportation] big 53 apple transit authority is permitted to invest its monies pursuant to 54 subdivision four of section [twelve hundred sixty-five] thirteen hundred 55 forty-nine-e of this chapter.S. 7840 54 1 § 4. The opening paragraph of subdivision 1 and subdivision 2 of 2 section 553-c of the public authorities law, as amended by chapter 273 3 of the laws of 1980, are amended to read as follows: 4 The authority shall have the power to finance all or any part of the 5 costs of railroad and rapid transit costs enumerated in paragraphs [m,6n, o and p] (m) and (n) of subdivision nine of section five hundred 7 fifty-three of this article through the issuance of its negotiable 8 bonds, notes or other obligations in the manner provided in section five 9 hundred sixty-one of this [chapter] title subject only to the following 10 limitations: 11 2. Moneys expended pursuant to subdivision one of this section shall 12 be utilized insofar as practical to: (a) purchase at least one hundred 13 twenty-four new subway cars for the New York city transit authority, and 14 (b) rehabilitate at least two hundred eighty existing subway cars for 15 the New York city transit authority[, (c) acquire at least fifteen new16diesel self-propelled railroad passenger cars for the metropolitan17transportation authority commuter service area and (d) provide a passen-18ger car lay-up yard and other facilities for the Long Island Rail Road19in Manhattan]. The authority shall either apply for or make reasonable 20 effort to secure federal assistance in support of each of the programs 21 herein authorized and to the extent such federal assistance is forthcom- 22 ing and/or other cost savings are realized with respect to any such 23 program shall have the power to expand the size of that or any of the 24 foregoing programs. 25 § 5. Section 553-d of the public authorities law, as amended by 26 section 6 of part O of chapter 61 of the laws of 2000, is amended to 27 read as follows: 28 § 553-d. Special Triborough bridge and tunnel authority special obli- 29 gation bonds and notes. In addition to the powers contained elsewhere in 30 this title with respect to the projects authorized by paragraphs (m), 31 (n)[, (o), (p)] and (r) of subdivision nine of section five hundred 32 fifty-three of this title, and subject to the application of the reven- 33 ues and other monies and assets of the authority pursuant to section 34 [twelve hundred seventy-d] thirteen hundred forty-nine-dd of this chap- 35 ter, the authority may issue its bonds and notes to finance such 36 projects payable from and secured by all or any part of the moneys 37 received by the authority from the metropolitan transportation authority 38 special assistance fund established under section twelve hundred seven- 39 ty-a of this chapter, provided however that such bonds and notes may 40 also be payable from and secured by any other moneys, securities and 41 funds designated by the authority as additional security therefor. Debt 42 service on bonds and notes issued by the authority pursuant to this 43 section which is paid or reimbursed from moneys received by the authori- 44 ty from the metropolitan transportation authority special assistance 45 fund shall not be deemed to constitute debt service incurred by the 46 authority for purposes of subdivision three of section twelve hundred 47 nineteen-a of this chapter. Such bonds or notes shall be issued in the 48 manner provided in section five hundred sixty-one of this title. 49 § 6. Subdivisions 1, 7, 8, 9, 10 and 11 of section 553-e of the public 50 authorities law, as added by chapter 314 of the laws of 1981, subdivi- 51 sion 10 as amended by chapter 558 of the laws of 1981 and subdivision 11 52 as amended by chapter 929 of the laws of 1986, are amended to read as 53 follows: 54 1. (a) In its performance of any project authorized by paragraph (m), 55 (n)[, (o), (p)] or (r) of subdivision nine of section five hundred 56 fifty-three of this title, the authority shall not be deemed the agentS. 7840 55 1 or instrumentality of any other public benefit or municipal corporation 2 notwithstanding the fact that title to any real or personal property (or 3 any interest therein) which is the subject of or is a part of such 4 project is held by, or upon completion of such project is to be trans- 5 ferred to, any such entity, and the provisions of section five hundred 6 fifty-nine of this title shall not be applicable with respect to any 7 such project. In its performance of any such project for the New York 8 city transit authority, however, the provisions of section twelve 9 hundred nine of this chapter shall apply to the authority as if it were 10 the "authority" referred to therein. 11 (b) Neither the provisions of section one hundred ninety-seven-c of 12 the New York city charter, relating to a uniform land use review proce- 13 dure, nor the provisions of any other local law of the city of New York 14 of like or similar tenor or import shall apply (i) to the acquisition of 15 any real property (or any interest therein) for the purposes of any such 16 project by the city or by the New York city transit authority or any of 17 its subsidiaries; (ii) to the subsequent transfer of any real property 18 (or interest therein) so acquired to the authority or its designee for 19 the purposes of such project or to the transfer to the authority or its 20 designee for such purposes of any real property (or interest therein) 21 then owned by the city or by the New York city transit authority or any 22 such subsidiary; nor (iii) to the transfer to the authority or its 23 designee for such purposes of the right of use, occupancy, control or 24 possession of any real property (or interest therein), whether presently 25 owned or hereafter acquired by the city or by the New York city transit 26 authority or any such subsidiary; provided in each such case, however, 27 that if at the time of such proposed acquisition or transfer the real 28 property which is the subject of such acquisition or transfer is not 29 then being utilized for a transit or transportation purpose or is not an 30 insubstantial addition to such property contiguous thereto; (a) the 31 authority proposing to acquire or receive such property shall, unless a 32 submission with respect to such property has previously been made and 33 approved as herein provided, submit to the community board for the 34 community district in which such property is located, data with respect 35 to the proposed use of such property and to the design of any facility 36 proposed to be constructed thereon; (b) such community board shall 37 inform the [board of estimate of the] city council of New York, with 38 copies to the city planning commission of the city of New York and the 39 proposing authority, of its views and recommendations with respect ther- 40 eto within forty-five days of such submission, and if the community 41 board shall fail to so inform the [board of estimate] city council with- 42 in such period it shall be deemed to have recommended the proposal; and 43 (c) the [board of estimate] city council shall, within forty-five days 44 of the recommendation of the community board, approve or disapprove such 45 acquisition or transfer, and if the [board of estimate] city council 46 shall fail to act within such period it shall be deemed to have approved 47 the same. 48 7. The [metropolitan transportation] big apple transit authority, the 49 New York city transit authority and the designated subsidiaries of each 50 of them are each hereby authorized (i) to request the authority to 51 undertake any such project; (ii) to acquire in its own name by gift, 52 purchase or condemnation, and, additionally, in the case of the [metro-53politan transportation] big apple transit authority, by appropriation 54 pursuant to section [twelve hundred sixty-seven-a] thirteen hundred 55 forty-nine-q of this chapter, any real or personal property (or any 56 interest therein), which is needed or useful for or in connection withS. 7840 56 1 such project, the provisions of any lease or other agreement with the 2 city to the contrary notwithstanding, and to surrender the use, occupan- 3 cy, control or possession of or to transfer the same, or of any other 4 such real or personal property (or any interest therein) which it owns, 5 leases, operates or controls, to the authority; (iii) to accept a trans- 6 fer, transfer back, lease or sublease of any such project or part there- 7 of upon its completion; (iv) to undertake any such project itself, or to 8 finance, through loans, leases or otherwise, any other person or entity, 9 public or private, to do so, in each case using funds granted by the 10 authority to pay all or any part of the costs thereof (such undertaking, 11 in the case of the New York city transit authority and its subsidiary, 12 the Manhattan and Bronx surface transit operating authority, being free 13 of any restriction set forth in subparagraph (ii) of paragraph b of 14 subdivision one of section twelve hundred three or in paragraph (c) of 15 subdivision five of section twelve hundred three-a of this chapter); and 16 (v) to make its agents, employees and facilities available to the 17 authority in connection therewith. 18 8. No such project to be constructed upon real property theretofore 19 used for a transit or transportation purpose, or on an insubstantial 20 addition to such property contiguous thereto, which will not change in a 21 material respect the general character of such prior transit or trans- 22 portation use, nor any acts or activities in connection with such 23 project, shall be subject to the provisions of article eight, nineteen, 24 twenty-four or twenty-five of the environmental conservation law, or to 25 any local law or ordinance adopted pursuant to any such article. Nor 26 shall any project or acts or activities in connection therewith taken by 27 any person or entity, public or private, pursuant to paragraph (m), 28 (n)[, (o), (p),] or (r) of subdivision nine of section five hundred 29 fifty-three of this title be subject to the provisions of article eight 30 of the environmental conservation law if such project, acts or activ- 31 ities to be taken in connection therewith require the preparation of a 32 statement under or pursuant to any federal law or regulation as to the 33 environmental impact thereof. 34 9. In connection with the negotiation, award and implementation of 35 contracts of the authority relating to any project hereafter initiated 36 pursuant to paragraphs (m), (n)[, (o), (p)] and (r) of subdivision nine 37 of section five hundred fifty-three of this title, the provisions of 38 [paragraphs (a), (b), (c) and (d) of subdivision] subdivisions thirteen 39 and fourteen of section [twelve hundred sixty-six-c] thirteen hundred 40 forty-nine-j of this chapter shall apply to the authority as if it were 41 the "authority" referred to therein, and the [officer designated by the42metropolitan transportation authority pursuant to paragraph (e) of that43subdivision] division of minority and women's business development, 44 established pursuant to article fifteen-A of the executive law, shall 45 perform the duties therein described with respect to such contracts of 46 the authority. 47 10. The financing of any such project through the issuance of bonds or 48 notes of the authority shall be subject to the provisions of section 49 [twelve hundred sixty-nine-b] thirteen hundred forty-nine-v of this 50 chapter. 51 11. The aggregate principal amount of bonds and notes issued and 52 outstanding at any time to finance projects authorized by paragraphs 53 (m), (n)[, (o), (p)] and (r) of subdivision nine of section five hundred 54 fifty-three of this title shall not exceed one billion one hundred 55 million dollars through December thirty-first, nineteen hundred eighty- 56 six and three billion two hundred million dollars thereafter, providedS. 7840 57 1 however that such latter amount shall not exceed two billion two hundred 2 million dollars for all bonds and notes other than those issued pursuant 3 to section five hundred fifty-three-d of this title. This limitation 4 shall not include (i) bonds and notes issued to refund or otherwise 5 repay bonds or notes theretofore issued for such purposes, (ii) bonds 6 issued to fund any reasonably required debt service reserve fund for 7 bonds and notes, and (iii) an amount equal to any original issue 8 discount from the [prinicipal] principal amount of any bonds or notes 9 issued and then outstanding. From the proceeds of the bonds and notes 10 provided for in the first sentence of this subdivision, other than bonds 11 or notes authorized by section five hundred fifty-three-d of this title, 12 the authority shall not expend more than one billion three hundred twen- 13 ty million dollars for transit projects as defined in section [twelve14hundred sixty-six-c] thirteen hundred forty-nine-j of this chapter nor 15 more than eight hundred eighty million dollars for transportation facil- 16 ities as such term is defined in subdivision [fourteen] nineteen of 17 section [twelve hundred sixty-one] thirteen hundred forty-nine-b of this 18 chapter other than marine or aviation facilities. For the purposes of 19 this subdivision, facilities under the jurisdiction of the Staten Island 20 rapid transit operating authority shall be considered transit projects. 21 § 7. Subdivisions 2, 3, 3-a and 4 of section 553-j of the public 22 authorities law, as added by section 5 of subpart A of part ZZZ of chap- 23 ter 59 of the laws of 2019, are amended to read as follows: 24 2. Monies in the fund shall be applied, subject to agreements with 25 bondholders and applicable federal law, to the payment of operating, 26 administration, and other necessary expenses of the authority, or to the 27 city of New York subject to the memorandum of understanding executed 28 pursuant to subdivision two-a of section seventeen hundred four of the 29 vehicle and traffic law properly allocable to such program, including 30 the planning, designing, constructing, installing or maintaining of the 31 central business district tolling program, including, without limita- 32 tion, the central business district tolling infrastructure, the central 33 business district tolling collection system and the central business 34 district tolling customer service center, and the costs of any [metro-35politan transportation] big apple transit authority capital projects 36 included within the 2020 to 2024 [MTA] big apple transit authority capi- 37 tal program or any successor programs. Monies in the fund may be: (a) 38 pledged by the authority to secure and be applied to the payment of the 39 bonds, notes or other obligations of the authority to finance the costs 40 of the central business district tolling program, including, without 41 limitation, the central business district tolling infrastructure, the 42 central business district tolling collection system and the central 43 business district tolling customer service center, and the costs of any 44 [metropolitan transportation] big apple transit authority capital 45 projects included within the 2020 to 2024 [MTA] big apple transit 46 authority capital program or any successor programs, including debt 47 service, reserve requirements, if any, the payment of amounts required 48 under bond and note facilities or agreements related thereto, the 49 payment of federal government loans, security or credit arrangements or 50 other agreements related thereto; or (b) used by the authority for the 51 payment of such capital costs of the central business district tolling 52 program and the costs of any [metropolitan transportation] big apple 53 transit authority capital projects included within the 2020 to 2024 54 [MTA] big apple transit authority capital program or any successor 55 programs; or (c) transferred to the [metropolitan transportation] big 56 apple transit authority and (1) pledged by the [metropolitan transporta-S. 7840 58 1tion] big apple transit authority to secure and be applied to the 2 payment of the bonds, notes or other obligations of the [metropolitan3transportation] big apple transit authority to finance the costs of any 4 [metropolitan transportation] big apple transit authority capital 5 projects included within the 2020 to 2024 [MTA] big apple transit 6 authority capital program or any successor programs, including debt 7 service, reserve requirements, if any, the payment of amounts required 8 under bond and note facilities or agreements related thereto, the 9 payment of federal government loans, security or credit arrangements or 10 other agreements related thereto, or (2) used by the [metropolitan11transportation] big apple transit authority for the payment of the costs 12 of any [metropolitan transportation] big apple transit authority capital 13 projects included within the 2020 to 2024 [MTA] big apple transit 14 authority capital program or any successor programs. Such revenues shall 15 only supplement and shall not supplant any federal, state, or local 16 funds expended by the authority or the [metropolitan transportation] big 17 apple transit authority, or such authority's or [metropolitan transpor-18tation] big apple transit authority's affiliates or subsidiaries for 19 such respective purposes. Central business district toll revenues may be 20 used as required to obtain, utilize, or maintain federal authorization 21 to collect tolls on federal aid highways. 22 3. Any monies deposited in the fund shall be held in the fund free and 23 clear of any claim by any person arising out of or in connection with 24 article forty-four-C of the vehicle and traffic law and subdivision 25 twelve-a of section five hundred fifty-three of this title. Without 26 limiting the generality of the foregoing, no person paying any amount 27 that is deposited into the fund shall have any right or claim against 28 the authority or the [metropolitan transportation] big apple transit 29 authority, any of their bondholders, any of the authority's or the 30 [metropolitan transportation] big apple transit authority's subsidiaries 31 or affiliates to any monies in or distributed from the fund or in 32 respect of a refund, rebate, credit or reimbursement of monies arising 33 out of or in connection with article forty-four-C of the vehicle and 34 traffic law and subdivision twelve-a of section five hundred fifty-three 35 of this title. 36 3-a. Of the capital project costs paid by this fund[: eighty percent37shall be capital project costs of the New York city transit authority38and its subsidiary, Staten Island Rapid Transit Operating Authority, and39MTA Bus with] priority shall be given to the subway system, new signal- 40 ing, new subway cars, track and car repair, accessibility, buses and bus 41 system improvements and further investments in expanding transit avail- 42 ability to areas in the outer boroughs that have limited mass transit 43 options; ten percent shall be capital project costs of the Long Island 44 Rail Road, including but not limited to, parking facilities, rolling 45 stock, capacity enhancements, accessibility, and expanding transit 46 availability to areas in the Metropolitan Commuter Transportation 47 District that have limited mass transit options; and ten percent shall 48 be capital project costs of the Metro-North Commuter Railroad Company, 49 including but not limited to, parking facilities, rolling stock, capaci- 50 ty enhancements, accessibility, and expanding transit availability to 51 areas in the Metropolitan Commuter Transportation District that have 52 limited mass transit options. 53 4. The authority shall report annually on all receipts and expendi- 54 tures of the fund. The report shall detail operating expenses of the 55 central business district tolling program and all fund expenditures 56 including capital projects. The report shall be readily available to theS. 7840 59 1 public, and shall be posted on the authority's website and be submitted 2 to [the governor, the temporary president of the senate, the speaker of3the assembly,] the mayor and council of the city of New York, and the 4 [metropolitan transportation] big apple transit authority board[, and5the metropolitan transportation authority capital program review board]. 6 § 8. Subdivision 5 of section 553-k of the public authorities law is 7 REPEALED. 8 § 9. Section 555 of the public authorities law, as amended by chapter 9 655 of the laws of 1978, is amended to read as follows: 10 § 555. Selection of site. Notwithstanding any provisions of any other 11 statute, the authority in conjunction with the commissioner of parks of 12 the city or his successor, the commissioner of parks and recreation, and 13 with the approval of the [board of estimate] city council of such city 14 and with the separate approval of the mayor thereof, is hereby author- 15 ized to select sites in the boroughs of the Bronx and Queens of the city 16 for the Whitestone bridge project and parkways connecting therewith, 17 which sites may be in or through existing public parks, and to select 18 sites for new public parks contiguous to such project or contiguous to 19 the roads, streets, parkways or avenues connecting with such project. A 20 site or sites may be selected for any or all of the aforementioned 21 purposes and thereafter the use thereof shall be allocated by the 22 commissioner of parks and recreation as herein provided. The property so 23 selected solely for such project, not already owned by the city, shall 24 be acquired at the sole expense of the authority in the manner provided 25 for under this title. The property so selected solely for new public 26 parks shall be acquired by the city at its sole expense. The cost of the 27 property so selected for such project, combined with any other aforemen- 28 tioned purposes the use of which is to be thereafter determined, shall 29 be divided between the city and the authority as may be determined by a 30 contract or contracts hereby authorized to be entered into between the 31 city and the authority, subject to the approval of the [board of esti-32mate of the] city council. So much of the sites so selected and acquired 33 or such easements or rights of way therein as may be necessary or 34 convenient for the corporate purposes of the authority may be assigned 35 by the commissioner of parks and recreation of the city to the authority 36 for its use so long as its corporate existence shall continue. 37 § 10. Section 557 of the public authorities law, as amended by chapter 38 576 of the laws of 1964, is amended to read as follows: 39 § 557. Grant of land by the city to the authority. The city shall have 40 power and authority by resolution of the [board of estimate of the] city 41 council to assign to the authority, without consideration, any land 42 owned by the city on the seventh day of April, nineteen hundred thirty- 43 three, or thereafter acquired by it, needed or convenient for the 44 project, including lands released or to be released by the state to the 45 city pursuant to chapter three hundred seventy-nine of the laws of nine- 46 teen hundred twenty-nine as amended. 47 § 11. Subdivision 3 of section 557-a of the public authorities law, as 48 added by chapter 874 of the laws of 1939, is amended to read as follows: 49 3. The city may, by resolution of the [board of estimate] city 50 council, or by deed authorized by such a resolution, convey, with or 51 without consideration, to the authority for the project the use and 52 occupancy, for so long as its corporate existence shall continue, of any 53 lands then owned by the city including lands which, by any other law, 54 are inalienable by the city, and such conveyance may reserve to the city 55 such rights as shall not restrict the authority in the construction, 56 reconstruction, operation and maintenance of the project.S. 7840 60 1 § 12. Subdivision 1 of section 561 of the public authorities law, as 2 amended by section 7 of part O of chapter 61 of the laws of 2000, is 3 amended to read as follows: 4 1. The authority shall have the power and is hereby authorized from 5 time to time to issue its negotiable bonds in conformity with applicable 6 provisions of the uniform commercial code for any corporate purpose or 7 power. The authority shall have power from time to time and whenever it 8 deems refunding advantageous or desirable, to refund, redeem or other- 9 wise pay, including by purchase or tender any bonds by the issuance of 10 new bonds, whether the bonds to be refunded have or have not matured, 11 and may issue bonds partly to refund bonds then outstanding and partly 12 for any other corporate purpose or power. The refunding bonds may be 13 exchanged for the bonds to be refunded, with such cash adjustments as 14 may be agreed, or may be sold and the proceeds applied to the purchase 15 or payment of the bonds to be refunded. The authority may issue general 16 or special obligation bonds. Every issue of general obligation bonds 17 shall be payable out of any moneys or revenues of the authority, subject 18 only to any agreements with the holders of particular bonds pledging any 19 particular tolls or revenues. Every issue of special obligation bonds 20 shall be payable out of any revenues, receipts, monies or assets of the 21 authority, the [metropolitan transportation] big apple transit authority 22 and its subsidiary corporations and the New York city transit authority 23 and its subsidiary corporations identified for such purposes in accord- 24 ance with agreements with the holders of particular bonds. 25 § 13. Section 569-c of the public authorities law, as amended by 26 section 9 of part O of chapter 61 of the laws of 2000, is amended to 27 read as follows: 28 § 569-c. Transfer and receipt of surplus funds. Notwithstanding any 29 provision of this title or any other provision of law, general, special 30 or local, the authority shall, at the direction of the [metropolitan31transportation] big apple transit authority, from time to time transfer 32 and pay over all or any part of its surplus funds to (a) [metropolitan33transportation] the big apple transit authority or (b) the New York city 34 transit authority, all in accordance with the provisions of subdivision 35 twelve of section five hundred fifty-three of this title [and the deter-36mination of the proportional allocation of such amounts of surplus funds37so deposited as between the New York city transit authority and the38commuter railroads operated by metropolitan transportation authority39shall be governed by the provisions of section twelve hundred nineteen-a40of this chapter] and the authority may accept and use any moneys trans- 41 ferred and paid over to it by [metropolitan transportation] the big 42 apple transit authority or the New York city transit authority. 43 § 14. This act shall take effect January 1, 2021. 44 PART D 45 Section 1. Article 5 of the public authorities law is amended by 46 adding a new title 11-E to read as follows: 47 TITLE 11-E 48 BIG APPLE TRANSIT AUTHORITY 49 Section 1349-a. Short title. 50 1349-b. Definitions. 51 1349-c. Big apple transit authority. 52 1349-d. Purposes of the authority. 53 1349-e. General powers of the authority. 54 1349-f. Contracts.S. 7840 61 1 1349-g. Big apple transit authority small business mentoring 2 program. 3 1349-h. Special powers of the authority. 4 1349-i. Medical emergency services. 5 1349-j. Transit projects. 6 1349-k. Excess loss fund. 7 1349-l. Authority police force. 8 1349-m. The permanent citizens advisory committee. 9 1349-n. Big apple transit authority pledge to customers. 10 1349-o. Expired fare transfer policy. 11 1349-p. Acquisition and disposition of real property. 12 1349-q. Acquisition and disposition of real property by 13 department of transportation. 14 1349-r. Transit facilities for transit construction fund. 15 1349-s. Co-operation and assistance of other agencies. 16 1349-t. Promotion of qualified transportation fringes. 17 1349-u. Notes, bonds and other obligations of the authority. 18 1349-v. Capital program plans; approvals; effect of disap- 19 proval. 20 1349-w. Submission of strategic operation plan. 21 1349-x. Financial and operational reports. 22 1349-y. Mission statement and measurement report. 23 1349-z. Requirements for certain authority contracts and 24 related subcontracts. 25 1349-aa. Reserve funds and appropriations. 26 1349-bb. Big apple transit authority special assistance fund. 27 1349-cc. Big apple transit authority dedicated tax fund. 28 1349-dd. Consolidated financings. 29 1349-ee. Regulation of certain authority expenditures. 30 1349-ff. Metropolitan transportation authority finance fund. 31 1349-gg. New York city transportation assistance fund. 32 1349-hh. Agreement of the state. 33 1349-ii. Right of state to require redemption of bonds. 34 1349-jj. Remedies of noteholders and bondholders. 35 1349-kk. Notes and bonds as legal investment. 36 1349-ll. Exemption from taxation. 37 1349-mm. Actions against the authority. 38 1349-nn. Annual audit of authority. 39 1349-oo. Authority budget and financial plan. 40 1349-pp. Independent audit of authority. 41 1349-qq. Independent audit by the legislature. 42 1349-rr. Reporting. 43 1349-ss. Transfer and receipt of surplus funds. 44 1349-tt. Title not affected if in part unconstitutional or 45 ineffective. 46 1349-uu. Big apple transit authority inspector general. 47 1349-vv. Management advisory board. 48 1349-ww. The office of legislative and community input. 49 1349-xx. Supplemental revenue reporting program. 50 § 1349-a. Short title. This title may be known and may be cited as the 51 "big apple transit authority act". 52 § 1349-b. Definitions. As used or referred to in this title, unless a 53 different meaning clearly appears from the context: 54 1. "Authority" shall mean the corporation created by section thirteen 55 hundred forty-nine-c of this title.S. 7840 62 1 2. "Authority facilities" shall mean the authority's transit, rail- 2 road, omnibus, marine and aviation facilities and operations pursuant to 3 joint service arrangements. 4 3. "Budget" shall mean the preliminary, final proposed and adopted 5 final plans of the authority, and each of its agencies. 6 4. "Comptroller" shall mean the comptroller of the city of New York. 7 5. "Equipment" shall mean rolling stock, omnibuses, vehicles, air, 8 marine or surface craft, motors, boilers, engines, wires, ways, conduits 9 and mechanisms, machinery, tools, implements, materials, supplies, 10 instruments and devices of every nature whatsoever used or useful for 11 transportation purposes or for the generation or transmission of motive 12 power including but not limited to all power houses, and all apparatus 13 and all devices for signaling, communications and ventilation as may be 14 necessary, convenient or desirable for the operation of a transportation 15 facility. 16 6. "Federal government" shall mean the United States government, and 17 any officer, department, board, commission, bureau, division, corpo- 18 ration, agency or instrumentality thereof. 19 7. "Gap" shall mean the difference between projected revenues and 20 expenses for any given fiscal year based on the existing fare structure. 21 8. "Gap-closing initiative" shall mean any action to reduce a project- 22 ed gap. 23 9. "Governor" shall mean the governor of the state of New York. 24 10. "Joint service arrangements" shall mean agreements between or 25 among the authority and any common carrier or freight forwarder, the 26 state, any state agency, the federal government, any other state or 27 agency or instrumentality thereof, any public authority of this or any 28 other state, or any political subdivision or municipality of the state, 29 relating to property, buildings, structures, facilities, services, 30 rates, fares, classifications, divisions, allowances or charges (includ- 31 ing charges between operators of railroad, omnibus, marine and aviation 32 facilities), or rules or regulations pertaining thereto, for or in 33 connection with or incidental to transportation in part in or upon rail- 34 road, omnibus, marine or aviation facilities located within the district 35 and in part in or upon railroad, omnibus, marine or aviation facilities 36 located outside the district. 37 11. "Marine and aviation facilities" shall mean equipment and craft 38 for the transportation of passengers, mail and cargo between points 39 within the district or pursuant to joint service arrangements, by marine 40 craft and aircraft of all types including but not limited to hydrofoils, 41 ferries, lighters, tugs, barges, helicopters, amphibians, seaplanes or 42 other contrivances now or hereafter used in navigation or movement on 43 waterways or in the navigation of or flight in airspace. It shall also 44 mean any marine port or airport facility within the city but outside the 45 port of New York district as defined in chapter one hundred fifty-four 46 of the laws of nineteen hundred twenty-one, including but not limited to 47 terminals, docks, piers, bulkheads, ramps or any facility or real prop- 48 erty necessary, convenient or desirable for the accommodation of passen- 49 gers and cargo or the docking, sailing, landing, taking off, accommo- 50 dation or servicing of such marine craft or aircraft. 51 12. "Mayor" shall mean the mayor of the city of New York. 52 13. "Metropolitan transportation authority" shall mean the corporation 53 created pursuant to title eleven of this article. 54 14. "Omnibus facilities" shall mean motor vehicles, of the type oper- 55 ated by carriers subject to the jurisdiction of the public service 56 commission, engaged in the transportation of passengers and theirS. 7840 63 1 baggage, express and mail between points within the district or pursuant 2 to joint service arrangements, and equipment, property, buildings, 3 structures, improvements, loading or unloading areas, parking areas or 4 other facilities, necessary, convenient or desirable for the accommo- 5 dation of such motor vehicles or their passengers, including but not 6 limited to buildings, structures and areas notwithstanding that portions 7 may not be devoted to any omnibus purpose other than the production of 8 revenues available for the costs and expenses of all or any facilities 9 of the authority. 10 15. "Railroad facilities" shall mean right of way and related track- 11 age, rails, cars, locomotives, other rolling stock, signal, power, fuel, 12 communication and ventilation systems, power plants, stations, termi- 13 nals, storage yards, repair and maintenance shops, yards, equipment and 14 parts, offices and other real estate or personalty used or held for or 15 incidental to the operation, rehabilitation or improvement of any rail- 16 road operating or to operate between points within the district or 17 pursuant to joint service arrangements, including but not limited to 18 buildings, structures, and areas notwithstanding that portions thereof 19 may not be devoted to any railroad purpose other than the production of 20 revenues available for the costs and expenses of all or any facilities 21 of the authority. 22 16. "Real property" shall mean lands, structures, franchises and 23 interests in land, waters, lands under water, riparian rights and air 24 rights and any and all things and rights included within said term and 25 includes not only fees simple absolute but also any and all lesser 26 interests including but not limited to easements, rights of way, uses, 27 leases, licenses and all other incorporeal hereditaments and every 28 estate, interest or right, legal or equitable, including terms for years 29 and liens thereon by way of judgments, mortgages or otherwise. 30 17. "State" shall mean the state of New York. 31 18. "State agency" shall mean any officer, department, board, commis- 32 sion, bureau, division, public benefit corporation, agency or instrumen- 33 tality of the state. 34 19. "Transportation facility" shall mean any transit, railroad, omni- 35 bus, marine or aviation facility and any person, firm, partnership, 36 association or, corporation which owns, leases or operates any such 37 facility or any other facility used for service in the transportation of 38 passengers, United States mail or personal property as a common carrier 39 for hire and any portion thereof and the rights, leaseholds or other 40 interest therein together with routes, tracks, extensions, connections, 41 parking lots, garages, warehouses, yards, storage yards, maintenance and 42 repair shops, terminals, stations and other related facilities thereof, 43 the devices, appurtenances, and equipment thereof and power plants and 44 other instrumentalities used or useful therefor or in connection there- 45 with. 46 20. "Transportation district" and "district" shall mean the metropol- 47 itan commuter transportation district created by section twelve hundred 48 sixty-two of this article. 49 21. "Transportation purpose" shall mean a purpose that directly 50 supports the missions or purposes of the authority, any of its subsid- 51 iaries, New York city transit authority or its subsidiary, including the 52 realization of revenues derived from property that is, or is to be used 53 as, a transportation facility. 54 22. "New York city transit authority" shall mean the corporation 55 created by section twelve hundred one of this article.S. 7840 64 1 23. "Triborough bridge and tunnel authority" shall mean the corpo- 2 ration created pursuant to title three of article three of this chapter. 3 24. "Inspector general" shall mean the big apple transit authority 4 inspector general. 5 25. "Revenues" shall mean all monies received by the authority or its 6 subsidiaries, or New York city transit authority or its subsidiaries, or 7 Triborough bridge and tunnel authority, as the case may be, from whatev- 8 er source, derived directly or indirectly from or in connection with the 9 operations of the respective entity except for any monies transferred to 10 the metropolitan transportation authority pursuant to section thirteen 11 hundred forty-nine-h of this title that is not returned to the authority 12 pursuant to paragraph (c) of subdivision two of section twelve hundred 13 sixty-six of this chapter. 14 26. "Transit facility" shall have the same meaning as defined in 15 subdivision fifteen of section twelve hundred of this article. 16 27. "Utilization" shall mean public usage of the subway, bus, railroad 17 and paratransit services, and bridge and tunnel crossings, of the 18 authority and its affiliates and subsidiaries as reflected in empirical 19 data. 20 28. "Big apple transit authority and its affiliates" shall mean the 21 big apple transit authority, the New York city transit authority, and 22 the Triborough bridge and tunnel authority, and all their respective 23 subsidiaries. 24 § 1349-c. Big apple transit authority. 1. (a) There is hereby created 25 the "big apple transit authority". The authority shall be a body corpo- 26 rate and politic constituting a public benefit corporation. The authori- 27 ty shall consist of seven voting members, including a chairperson, and 28 two non-voting members. Members shall have experience in one or more of 29 the following areas of expertise: transportation or transit planning; 30 urban planning, including sustainability and resiliency; advocacy for 31 individuals with disabilities; demographics, social trends or the needs 32 of low-income New Yorkers; capital planning or civil engineering; 33 finance; or another area of expertise central to the purpose of the 34 authority. The mayor shall appoint four voting members, including the 35 chairperson, and each member shall be entitled to cast one vote. Each 36 borough president of the city of New York shall appoint one voting 37 member who shall be entitled to cast a half vote. The public advocate of 38 the city of New York shall appoint one voting member who shall be enti- 39 tled to cast a half vote. The two non-voting members shall be appointed 40 by the mayor. The first non-voting member shall be a regular mass trans- 41 it user of the facilities of the authority and be recommended to the 42 mayor of the city of New York by the permanent citizens advisory commit- 43 tee established pursuant to section thirteen hundred forty-nine-m of 44 this title. The second non-voting member shall be recommended to the 45 mayor by the labor organization representing the majority of employees 46 of the authority. The chairperson, at such chairperson's direction, may 47 exclude such non-voting member from attending any portion of a meeting 48 of the authority or of any committee established pursuant to paragraph 49 (b) of subdivision three of this section held for the purpose of 50 discussing negotiations with labor organizations. The chairperson and 51 each of the members shall be appointed for a term of three years. 52 (b) Each member shall be subject to the conflict of interest board 53 established by section twenty-six hundred two of the New York city char- 54 ter as public servants charged with substantial policy discretion.S. 7840 65 1 (c) Vacancies occurring otherwise than by expiration of term shall be 2 filled in the same manner as original appointments for the balance of 3 the unexpired term. 4 2. The chairperson shall be paid a salary in the amount determined by 5 the authority; the other members shall not receive a salary or other 6 compensation. Each member, including the chairperson, shall be entitled 7 to reimbursement for actual and necessary expenses incurred in the 8 performance of such member's official duties. 9 3. (a) Notwithstanding any provision of law to the contrary, the 10 chairperson shall be the chief executive officer of the authority and 11 shall be responsible for the discharge of the executive and administra- 12 tive functions and powers of the authority. The chairperson may appoint 13 an executive director and such other officials and employees as shall in 14 such chairperson's judgment be needed to discharge the executive and 15 administrative functions and powers of the authority. 16 (b) The chairperson shall establish committees to assist such chair- 17 person in the performance of such chairperson's duties and shall appoint 18 members of the authority to such committees. Among such committees, 19 there shall be a committee on operations of the New York city transit 20 authority, the Manhattan and Bronx surface transit operating authority 21 and the Staten Island rapid transit operating authority; a committee on 22 operations of the Triborough bridge and tunnel authority; a committee on 23 finance; a committee on capital program oversight; and a committee on 24 safety. In addition to such appointed members, each of the non-voting 25 members shall serve on the committee on capital program oversight, the 26 committee on finance, the committee on safety, and the committee on 27 operations of the Triborough bridge and tunnel authority. The committee 28 on capital program oversight shall include not less than four members, 29 and shall include the chairpersons of the committee on operations of the 30 New York city transit authority, the Manhattan and Bronx surface transit 31 operating authority and the Staten Island rapid transit operating 32 authority, and the committee on safety. The committee on safety shall 33 convene at least once annually and each committee chairperson, that is a 34 member of the committee on safety, shall report to the committee on 35 safety any and all initiatives, concerns, improvements, or failures 36 involving the safety of customers, employees, and the public at large, 37 in relation to authority facilities and services. The capital program 38 committee shall, with respect to any approved or proposed capital 39 program plans: 40 (i) monitor the current and future availability of funds to be 41 utilized for such plans approved or proposed to be submitted to the 42 mayor as provided in section thirteen hundred forty-nine-v of this 43 title; 44 (ii) monitor the contract awards of the big apple transit authority 45 and the New York city transit authority to ensure that such awards are 46 consistent with: 47 (A) provisions of law authorizing United States content and New York 48 state content; 49 (B) collective bargaining agreements; 50 (C) provisions of law providing for participation by minority and 51 women-owned businesses; 52 (D) New York state labor laws; 53 (E) competitive bidding requirements including those regarding sole 54 source contracts; and 55 (F) any other relevant requirements established by law;S. 7840 66 1 (iii) monitor the award of contracts to determine if such awards are 2 consistent with the manner in which the work was traditionally performed 3 in the past provided, however, that any such determination shall not be 4 admissible as evidence in any arbitration or judicial proceeding; 5 (iv) review the relationship between capital expenditures pursuant to 6 each such capital program plan and current and future operating budget 7 requirements; 8 (v) monitor the progress of capital elements described in each capital 9 program plan approved as provided in section thirteen hundred forty- 10 nine-v of this title; 11 (vi) monitor the expenditures incurred and to be incurred for each 12 such element; and 13 (vii) identify capital elements not progressing on schedule, ascertain 14 responsibility therefor and recommend those actions required or appro- 15 priate to accelerate their implementation. 16 (c) The capital program committee shall issue a quarterly report on 17 its activities and findings, and shall in connection with the prepara- 18 tion of such quarterly report, consult with the city department of 19 transportation, the mayor, and any other group the committee deems rele- 20 vant, including public employee organizations, and, at least annually, 21 with a nationally recognized independent transit engineering firm. Such 22 report shall be made available to the members of the authority, to the 23 mayor, and the directors of the municipal assistance corporation for the 24 city of New York. 25 (d) The chairperson shall ensure that at every meeting of the board 26 and at every meeting of each committee the public shall be allotted a 27 period of time, not less than thirty minutes, to speak on any topic on 28 the agenda. 29 (e) Notwithstanding paragraph (c) of subdivision one of section twen- 30 ty-eight hundred twenty-four of this chapter or any other provision of 31 law to the contrary, the chairperson shall not participate in establish- 32 ing authority policies regarding the payment of salary, compensation and 33 reimbursement to, nor establish rules for the time and attendance of, 34 the chief executive officer. The salary of the chairperson, as deter- 35 mined pursuant to subdivision two of this section, shall also be compen- 36 sation for all services performed as chief executive officer. 37 4. Notwithstanding any inconsistent provisions of this or any other 38 law, general, special or local, no officer or employee of the state, or 39 of any public corporation as defined in the general corporation law, 40 shall be deemed to have forfeited or shall forfeit such officer or 41 employee's office or employment or any benefits provided under the 42 retirement and social security law or under any public retirement system 43 maintained by the state or any of its subdivisions by reason of such 44 officer or employee's acceptance of a position of member or chairperson 45 of the authority; provided, however, a member or chairperson who holds 46 such other public office or employment shall receive no additional 47 compensation for services rendered pursuant to this title, but shall be 48 entitled to reimbursement for such member or chairperson's actual and 49 necessary expenses incurred in the performance of such services. 50 5. The mayor may remove any member for inefficiency, neglect of duty, 51 breach of fiduciary duty or misconduct in office after giving the member 52 a copy of the charges against the member and an opportunity to be heard, 53 in person or by counsel in the member's defense, upon not less than ten 54 days' notice. If any member shall be so removed, the mayor shall file a 55 complete statement of charges made against such member, and his or her 56 findings thereon, together with a complete record of the proceedings.S. 7840 67 1 6. The authority shall continue so long as it shall have bonds or 2 other obligations outstanding and until its existence shall be termi- 3 nated by law. Upon the termination of the existence of the authority, 4 all its rights and properties shall pass to and be vested in the city. 5 7. Whenever the authority causes notices of hearings on proposed 6 changes in services or fares to be posted pursuant to this section or 7 any statute, regulation, or authority policy, or where it voluntarily 8 posts such notices, such notices shall: 9 (a) be written in a clear and coherent manner using words with common 10 and every day meaning; 11 (b) be captioned in large point type bold lettering with a title that 12 fairly and accurately conveys the basic nature of such change or chang- 13 es; 14 (c) where such change involves a proposed change in levels of fare, 15 include in its title the range of amounts of fare changes under consid- 16 eration; 17 (d) contain, to the extent practicable, a concise description of the 18 specific nature of the change or changes, including but not limited to a 19 concise description of those changes that affect the largest number of 20 passengers; 21 (e) where such change involves a change in the nature of a route, 22 contain, to the extent practicable, a clear graphic illustration of such 23 change or changes; and 24 (f) where such change involves a partial or complete station closing, 25 such notice shall be posted at the affected station with a clear graphic 26 illustration depicting the nature of any closing for such station. 27 § 1349-d. Purposes of the authority. 1. The purposes of the authority 28 shall be the continuance, further development and improvement of commu- 29 ter transportation and other services related thereto within the city of 30 New York, including but not limited to such transportation by railroad, 31 omnibus, marine and air, in accordance with the provisions of this 32 title. It shall be the further purpose of the authority, consistent with 33 its status as the ex officio board of both the New York city transit 34 authority and the Triborough bridge and tunnel authority, to develop and 35 implement a unified mass transportation policy for the city in an effi- 36 cient and cost-effective manner that includes the use of design-build 37 contracting on all appropriate projects. 38 2. It is hereby found and declared that such purposes are in all 39 respects for the benefit of the people of the city of New York and the 40 authority shall be regarded as performing an essential governmental 41 function in carrying out its purposes and in exercising the powers 42 granted by this title. 43 § 1349-e. General powers of the authority. Except as otherwise limited 44 by this title, the authority shall have power: 45 1. to sue and be sued; 46 2. to have a seal and alter the same at pleasure; 47 3. to borrow money, to issue negotiable notes, bonds or other obli- 48 gations and to provide for the rights of the holders thereof, and to 49 finance or refinance all or any part of the costs to the authority or to 50 any other person or entity, public or private, of the planning, design, 51 acquisition, construction, improvement, reconstruction or rehabilitation 52 of any transportation facility; 53 4. to invest any funds, accounts or other monies not required for 54 immediate use or disbursement, at the discretion of the authority in: 55 (a) obligations of the state or the United States government;S. 7840 68 1 (b) obligations the principal and interest of which are guaranteed by 2 the state or the United States government; 3 (c) certificates of deposit of banks or trust companies in this state, 4 secured, if the authority shall so require, by obligations of the United 5 States or of the state of New York of a market value equal at all times 6 to the amount of the deposit; 7 (d) banker's acceptances with a maturity of ninety days or less which 8 are eligible for purchase by the Federal Reserve Banks and whose rating 9 at the time of purchase is in the highest rating category of two 10 nationally recognized independent rating agencies, provided, however, 11 that the amount of banker's acceptances of any one bank shall not exceed 12 two hundred fifty million dollars; 13 (e) obligations of any bank or corporation created under the laws of 14 either the United States or any state of the United States maturing 15 within two hundred seventy days, provided that such obligations receive 16 the highest rating of two nationally recognized independent rating agen- 17 cies and, provided further, that no more than two hundred fifty million 18 dollars may be invested in such obligations of any one bank or corpo- 19 ration; 20 (f) as to any such moneys held in reserve and sinking funds, other 21 securities in which the trustee or trustees of any public retirement 22 system or pension fund has the power to invest the monies thereof pursu- 23 ant to article four-A of the retirement and social security law, each 24 such reserve and sinking fund being treated as a separate fund for the 25 purposes of article four-A of the retirement and social security law; 26 (g) notes, bonds, debentures, mortgages and other evidences of indebt- 27 edness, issued or guaranteed at the time of the investment by the United 28 States Postal Service, the federal national mortgage association, the 29 federal home loan mortgage corporation, the student loan marketing asso- 30 ciation, the federal farm credit system, or any other United States 31 government sponsored agency, provided that at the time of the investment 32 such agency or its obligations are rated and the agency receives, or its 33 obligations receive, the highest rating of all independent rating agen- 34 cies that rate such agency or its obligations, provided, however, that 35 no more than two hundred fifty million dollars or such greater amount as 36 may be authorized for investment by the state comptroller pursuant to 37 section ninety-three of the state finance law may be invested in the 38 obligations of any one agency; 39 (h) general obligation bonds and notes of any state other than the 40 state, provided that such bonds and notes receive the highest rating of 41 at least one independent rating agency, and bonds and notes of any coun- 42 ty, town, city, village, fire district or school district of the state, 43 provided that such bonds and notes receive either of the two highest 44 ratings of at least two independent rating agencies; 45 (i) mutual funds registered with the United States securities and 46 exchange commission whose investments are limited to obligations of the 47 state described in paragraph (a) of this subdivision, obligations the 48 principal and interest of which are guaranteed by the state described in 49 paragraph (b) of this subdivision, and those securities described in 50 this paragraph and that have received the highest rating of at least one 51 independent rating agency, provided that the aggregate amount invested 52 at any one time in all such mutual funds shall not exceed ten million 53 dollars, and, provided further, that the authority shall not invest such 54 funds, accounts or other monies in any mutual fund for longer than thir- 55 ty days; andS. 7840 69 1 (j) financial contracts in a foreign currency entered into for the 2 purpose of minimizing the foreign currency exchange risk of the purchase 3 price of a contract with a vendor chosen through competitive process for 4 the acquisition of capital assets for the benefit of the capital program 5 of the Triborough bridge and tunnel authority or the transit capital 6 program; 7 5. to make and alter by-laws for its organization and internal manage- 8 ment, and rules and regulations governing the exercise of its powers and 9 the fulfillment of its purposes under this title; 10 6. to enter into contracts and leases and to execute all instruments 11 necessary or convenient; 12 (a) with respect to any lease transaction entered into pursuant to 13 section 168(f)(8) of the United States Internal Revenue Code or any 14 successor provisions, the authority shall meet the following standards 15 and procedures: 16 (i) notice of intention to negotiate shall be published in at least 17 one newspaper of general circulation, and a copy thereof shall be mailed 18 to all parties who have requested notification from the authority to 19 engage in transactions of this type, and such notice shall describe the 20 nature of the proposed transaction and the factors subject to negoti- 21 ation, which shall include, but not be limited to, the price to be paid 22 to the authority; 23 (ii) the authority shall negotiate with those respondents whose 24 response complies with the requirements set forth in the notice; 25 (iii) the board of the authority shall resolve on the basis of parti- 26 cularized findings relevant to the factors negotiated that such trans- 27 action will provide maximum available financial benefits, consistent 28 with other defined objectives and requirements; 29 (b) the authority shall provide to the mayor, city council, and all 30 borough presidents of the boroughs in which the leased property is situ- 31 ated, notice of each lease entered into pursuant to paragraph (a) of 32 this subdivision and supporting documentation of compliance by the 33 authority with subparagraphs (i), (ii) and (iii) of paragraph (a) of 34 this subdivision; 35 (c) paragraphs (a) and (b) of this subdivision shall be of no force 36 and effect with respect to any lease transaction entered into pursuant 37 to a commitment approved prior the effective date of this section by the 38 board of the metropolitan transportation authority; 39 7. to acquire, hold, and dispose of real or personal property in the 40 exercise of its powers; 41 8. to appoint such officers and employees as it may require for the 42 performance of its duties, and to fix and determine their qualifica- 43 tions, duties, and compensation and to retain or employ counsel, audi- 44 tors, engineers, and private consultants on a contract basis or other- 45 wise for rendering professional or technical services and advice; 46 9. (a) notwithstanding section one hundred thirteen of the retirement 47 and social security law or any other general or special law, the author- 48 ity and any of its subsidiary corporations may continue or provide to 49 its affected officers and employees any retirement, disability, death or 50 other benefits provided or required for railroad personnel pursuant to 51 federal or state law; 52 (b) the authority and any of its public benefit subsidiary corpo- 53 rations may be a "participating employer" in the New York city employ- 54 ees' retirement system with respect to one or more classes of officers 55 and employees of such authority or any such public benefit subsidiary 56 corporation, as may be provided by resolution of such authority or anyS. 7840 70 1 such public benefit subsidiary corporation, as the case may be, or any 2 subsequent amendment thereof, filed with the comptroller and accepted by 3 such comptroller pursuant to section thirty-one of the retirement and 4 social security law. In taking any action pursuant to this paragraph, 5 the authority and any of its public benefit subsidiary corporations 6 shall consider the coverages and benefits continued or provided pursuant 7 to paragraph (a) of this subdivision; 8 10. to make plans, surveys, and studies necessary, convenient or 9 desirable to the effectuation of the purposes and powers of the authori- 10 ty and to prepare recommendations in regard thereto; 11 11. to enter upon such lands, waters or premises as in the judgment of 12 the authority as may be necessary, convenient or desirable for the 13 purpose of making surveys, soundings, borings and examinations to accom- 14 plish any purpose authorized by this title, the authority being liable 15 for actual damage done; 16 12. to conduct investigations and hearings in the furtherance of its 17 general purposes, and in aid thereof have access to any books, records 18 or papers relevant thereto; and if any person whose testimony shall be 19 required for the proper performance of the duties of the authority shall 20 fail or refuse to aid or assist the authority in the conduct of any 21 investigation or hearing, or to produce any relevant books, records or 22 other papers, the authority is authorized to apply for process of 23 subpoena, to issue out of any court of general original jurisdiction 24 whose process can reach such person, upon due cause shown; 25 13. a copy of any report submitted by the authority pursuant to 26 sections twenty-eight hundred, twenty-eight hundred one and twenty-eight 27 hundred two of this chapter shall be forwarded to the mayor and to the 28 speaker of the city council; and 29 14. to do all things necessary, convenient or desirable to carry out 30 its purposes and for the exercise of the powers granted in this title. 31 § 1349-f. Contracts. 1. (a) Except as otherwise provided in this 32 section, all purchase contracts for supplies, materials or equipment 33 involving an estimated expenditure in excess of one million dollars and 34 all contracts for public work involving an estimated expenditure in 35 excess of one million dollars shall be awarded by the authority to the 36 lowest responsible bidder after obtaining sealed bids in the manner 37 hereinafter set forth. For purposes hereof, contracts for public work 38 shall exclude contracts for personal, engineering and architectural, or 39 professional services. The authority may reject all bids and obtain new 40 bids in the manner provided by this section when it is deemed in the 41 public interest to do so or, in cases where two or more responsible 42 bidders submit identical bids which are the lowest bids, award the 43 contract to any of such bidders or obtain new bids from such bidders. 44 Nothing in this paragraph shall obligate the authority to seek new bids 45 after the rejection of bids or after cancellation of an invitation to 46 bid. Nothing in this section shall prohibit the evaluation of bids on 47 the basis of costs or savings including life cycle costs of the item to 48 be purchased, discounts, and inspection services so long as the invita- 49 tion to bid reasonably sets forth the criteria to be used in evaluating 50 such costs or savings. Life cycle costs may include but shall not be 51 limited to costs or savings associated with installation, energy use, 52 maintenance, operation and salvage or disposal. 53 (b) Section twenty-eight hundred seventy-nine of this chapter shall 54 apply to the authority's acquisition of goods or services of any kind, 55 in the actual or estimated amount of fifteen thousand dollars or more, 56 provided:S. 7840 71 1 (i) that a contract for services in the actual or estimated amount of 2 one million dollars or less shall not require approval by the board of 3 the authority regardless of the length of the period over which the 4 services are rendered, and provided further that a contract for services 5 in the actual or estimated amount of one million dollars or more shall 6 require approval by the board of the authority regardless of the length 7 of the period over which the services are rendered unless such a 8 contract is awarded to the lowest responsible bidder after obtaining 9 sealed bids; and 10 (ii) the board of the authority may by resolution adopt guidelines 11 that authorize the award of contracts to small business concerns, to 12 service disabled veteran owned businesses certified pursuant to article 13 seventeen-B of the executive law, or minority or women-owned business 14 enterprises certified pursuant to article fifteen-A of the executive 15 law, or purchases of goods or technology that are recycled or remanufac- 16 tured, in an amount not to exceed one million dollars without a formal 17 competitive process and without further board approval. The board of the 18 authority shall adopt guidelines which shall be made publicly available 19 for the awarding of such contract without a formal competitive process. 20 2. (a) Advertisement for bids, when required by this section, shall be 21 published at least once in a newspaper of general circulation in the 22 area served by the authority and in the procurement opportunities news- 23 letter published pursuant to article four-C of the economic development 24 law provided that, notwithstanding the provisions of such article, an 25 advertisement shall only be required for a purchase contract for 26 supplies, materials or equipment when required by this section. Publi- 27 cation in a newspaper of general circulation in the area served or in 28 the procurement opportunities newsletter shall not be required if bids 29 for contracts for supplies, materials or equipment are of a type regu- 30 larly purchased by the authority and are to be solicited from a list of 31 potential suppliers, if such list is or has been developed consistent 32 with the provisions of subdivision six of this section. Any such adver- 33 tisement shall contain a statement of: 34 (i) the time and place where bids received pursuant to any notice 35 requesting sealed bids will be publicly opened and read; 36 (ii) the name of the contracting agency; 37 (iii) the contract identification number; 38 (iv) a brief description of the public work, supplies, materials, or 39 equipment sought, the location where work is to be performed, goods are 40 to be delivered or services provided and the contract term; 41 (v) the address where bids or proposals are to be submitted; 42 (vi) the date when bids or proposals are due; 43 (vii) a description of any eligibility or qualification requirement or 44 preference; 45 (viii) a statement as to whether the contract requirements may be 46 fulfilled by a subcontracting, joint venture, or co-production arrange- 47 ment; 48 (ix) any other information deemed useful to potential contractors; and 49 (x) the name, address, and telephone number of the person to be 50 contacted for additional information. At least fifteen business days 51 shall elapse between the first publication of such advertisement or the 52 solicitation of bids, as the case may be, and the date of opening and 53 reading of bids. 54 (b) The authority may designate any officer or employee to open the 55 bids at the time and place bids are to be opened and may designate an 56 officer to award the contract to the lowest responsible bidder. SuchS. 7840 72 1 designee shall make a record of all bids in such form and detail as the 2 authority shall prescribe. All bids received shall be publicly opened 3 and read at the time and place specified in the advertisement or at the 4 time of solicitation, or to which the opening and reading have been 5 adjourned by the authority. All bidders shall be notified of the time 6 and place of any such adjournment. 7 3. Notwithstanding the foregoing, the authority may, by resolution 8 approved by a two-thirds vote, or by a majority vote with respect to 9 contracts proposed to be let pursuant to paragraph (a) of this subdivi- 10 sion, declare that competitive bidding is impractical or inappropriate 11 because of the existence of any of the circumstances hereinafter set 12 forth and thereafter the authority may proceed to award contracts with- 13 out complying with the requirements of subdivision one or two of this 14 section. In each case where the authority declares competitive bidding 15 impractical or inappropriate, it shall state the reason therefor in 16 writing and summarize any negotiations that have been conducted. Except 17 for contracts awarded pursuant to paragraphs (a), (b), (c) and (e) of 18 this subdivision, the authority shall not award any contract pursuant to 19 this subdivision earlier than thirty days from the date on which the 20 authority declares that competitive bidding is impractical or inappro- 21 priate. Competitive bidding may only be declared impractical or inappro- 22 priate where: 23 (a) the existence of an emergency involving danger to life, safety or 24 property requires immediate action and cannot await competitive bidding 25 or the item to be purchased is essential to efficient operation or the 26 adequate provision of service and as a consequence of an unforeseen 27 circumstance such purchase cannot await competitive bidding; 28 (b) the item to be purchased is available only from a single responsi- 29 ble source, provided that if bids have not been solicited for such item 30 pursuant to subdivision one of this section within the preceding twelve 31 months public notice shall first be given pursuant to subdivision four 32 of this section; 33 (c) the authority receives no responsive bids or only a single respon- 34 sive bid in response to an invitation for competitive bids; 35 (d) the authority wishes to experiment with or test a product or tech- 36 nology or new source for such product or technology or evaluate the 37 service or reliability of such product or technology; 38 (e) the item is available through an existing contract between a 39 vendor and: (i) another public authority provided that such other 40 authority utilized a process of competitive bidding or a process of 41 competitive requests for proposals to award such contracts; (ii) Nassau 42 county; (iii) the state of New York; or (iv) the city of New York, 43 provided that in any case when under this paragraph the authority deter- 44 mines that obtaining such item thereby would be in the public interest 45 and sets forth the reasons for such determination. The authority shall 46 accept sole responsibility for any payment due the vendor as a result of 47 the authority's order; 48 (f) the authority determines that it is in the public interest to 49 award contracts pursuant to a process for competitive requests for 50 proposals as hereinafter set forth. For purposes of this section, a 51 process for competitive requests for proposals shall mean a method of 52 soliciting proposals and awarding a contract on the basis of a formal 53 evaluation of the characteristics, such as quality, cost, delivery sche- 54 dule and financing of such proposals against stated selection criteria. 55 Public notice of the requests for proposals shall be given in the same 56 manner as provided in subdivision four of this section and shall includeS. 7840 73 1 the selection criteria. In the event the authority makes a material 2 change in the selection criteria from those previously stated in the 3 notice, it will inform all proposers of such change and permit proposers 4 to modify their proposals; 5 (i) except for a contract with a value of one hundred million dollars 6 or less that is awarded pursuant to this paragraph to the proposer whose 7 proposal is the lowest cost, the authority may award a contract pursuant 8 to this paragraph only after a resolution approved by a two-thirds vote 9 of the board at a public meeting of the authority with such resolution: 10 (A) disclosing the other proposers and the substance of their proposals; 11 (B) summarizing the negotiation process including the opportunities, if 12 any, available to proposers to present and modify their proposals; and 13 (C) setting forth the criteria upon which the selection was made 14 provided however that for purposes of this subparagraph the board may, 15 at its discretion, require such a resolution be approved for contracts 16 with a value of one hundred million dollars or less; 17 (ii) nothing in this paragraph shall require or preclude (A) negoti- 18 ations with any proposers following the receipt of responses to the 19 request for proposals, or (B) the rejection of any or all proposals at 20 any time. Upon the rejection of all proposals, the authority may solicit 21 new proposals or bids in any manner prescribed in this section; 22 (g) the authority issues a competitive request for proposals pursuant 23 to the procedures of paragraph (f) of this subdivision for the purchase 24 or rehabilitation of rail cars and omnibuses. Any such request may 25 include among the stated selection criteria the performance of all or a 26 portion of the contract at sites within the state of New York or the use 27 of goods produced or services provided within the state of New York, 28 provided however that in no event shall the authority award a contract 29 to a manufacturer whose final offer, as expressed in unit cost is more 30 than ten percent higher than the unit cost of any qualified competing 31 final offer, if the sole basis for such award is that the higher priced 32 offer includes a more favorable provision for the performance of the 33 contract within the state of New York or the use of goods produced or 34 services provided within the state of New York, and further provided 35 that the authority's discretion to award a contract to any manufacturer 36 shall not be so limited if a basis for such award, as determined by the 37 authority, is superior financing, delivery schedule, life cycle, reli- 38 ability, or any other factor the authority deems relevant to its oper- 39 ations; 40 (i) except for a contract with a value of one hundred million dollars 41 or less that is awarded pursuant to this paragraph to the proposer whose 42 proposal is the lowest cost, the authority may award a contract pursuant 43 to this paragraph only after a resolution approved by a vote of not less 44 than a two-thirds vote of its members then in office at a public meeting 45 of the authority with such resolution: (A) disclosing the other propo- 46 sers and the substance of their proposals; (B) summarizing the negoti- 47 ation process including the opportunities, if any, available to propo- 48 sers to present and modify their proposals; and (C) setting forth the 49 criteria upon which the selection was made provided however that for 50 purposes of this subparagraph the board may, at its discretion, require 51 such a resolution be approved for contracts with a value of one hundred 52 million dollars or less; 53 (ii) nothing in this paragraph shall require or preclude: (A) negoti- 54 ations with any proposers following the receipt of responses to the 55 request for proposals; or (B) the rejection of any or all proposals atS. 7840 74 1 any time. Upon the rejection of all proposals, the authority may solicit 2 new proposals or bids in any manner prescribed in this section. 3 4. Upon the adoption of a resolution by the authority stating, for 4 reasons of efficiency, economy, compatibility or maintenance reliabil- 5 ity, that there is a need for standardization, the authority may estab- 6 lish procedures whereby particular supplies, materials or equipment are 7 identified on a qualified products list. Such procedures shall provide 8 for products or vendors to be added to or deleted from such list and 9 shall include provisions for public advertisement of the manner in which 10 such lists are compiled. The authority shall review such list no less 11 than twice a year for the purpose of making such modifications. 12 Contracts for particular supplies, materials or equipment identified on 13 a qualified products list may be awarded by the authority to the lowest 14 responsible bidder after obtaining sealed bids in accordance with this 15 section or without competitive sealed bids in instances when the item is 16 available from only a single source, except that the authority may 17 dispense with advertising provided that it mails copies of the invita- 18 tion to bid to all vendors of the particular item on the qualified 19 products list. 20 5. The authority shall compile a list of potential sources of 21 supplies, materials or equipment regularly purchased. The authority 22 shall, by resolution, set forth the procedures it has established to 23 identify new sources and to notify such new sources of the opportunity 24 to bid for contracts for the purchase of supplies, materials or equip- 25 ment. Such procedures shall include, but not be limited to: 26 (a) advertising in trade journals; 27 (b) cooperation with federal, state and local agencies within its area 28 of operations; 29 (c) publication in the state register quarterly; and 30 (d) procedures established pursuant to subdivision thirteen of section 31 thirteen hundred forty-nine-j of this title. 32 6. The provisions of this section shall not supersede any other 33 provisions of law relative to purchases of products or devices manufac- 34 tured or provided by the blind or other severely handicapped persons, to 35 the invitation and acceptance of bids from small or minority business 36 enterprises or to the purchases of supplies, materials or equipment 37 through the office of general services. Except as may otherwise be 38 provided by law or as more restrictively defined in the official policy 39 or bid specifications of the authority, as used in this section the term 40 "small business" means a small business or similar term, under federal 41 regulations applicable to projects of the authority which are federally 42 assisted. 43 7. Notwithstanding any other provisions in this section, the authority 44 shall be allowed to use an electronic bidding system for the purchase of 45 goods, materials, and commodities that may inform bidders whether their 46 bid is the current low bid, and allow bidders to submit new bids before 47 the date and time assigned for the opening of bids. Such procedure shall 48 not constitute disclosure of bids in violation of section twenty-eight 49 hundred seventy-eight of this chapter. 50 8. The provisions of this section shall not apply to any procurement 51 made by any other public entity not otherwise required by law to award 52 contracts for such purchases to the lowest responsible bidder if such 53 purchases are made at the sole cost and expense of such entity. 54 9. (a) Whenever the comptroller pursuant to section twenty-eight 55 hundred seventy-nine-a of this chapter intends to require supervision in 56 the form of prior review and approval of a contract or contract amend-S. 7840 75 1 ment to be awarded by the authority pursuant to this section, then such 2 contract or contract amendment shall be submitted to the comptroller by 3 the authority for approval and shall not be a valid enforceable contract 4 unless it shall first have been approved by the comptroller but only if 5 the comptroller has notified the authority of such determination within 6 thirty days of having received written notice of such contract or 7 contract amendment either in the authority's annual report or any 8 revised report; 9 (b) If the comptroller has timely notified the authority as provided 10 in paragraph (a) of this subdivision that any contract or contract 11 amendment shall be subject to comptroller prior review and approval, and 12 such contract or contract amendment has been submitted to the comp- 13 troller, it shall become valid and enforceable without such approval if 14 the comptroller has not approved or disapproved it within thirty days of 15 submission to the comptroller. 16 10. The award of construction contracts by the authority shall not be 17 subject to the provisions of section one hundred one of the general 18 municipal law. 19 § 1349-g. Big apple transit authority small business mentoring 20 program. 1. As used in this section, unless the context requires other- 21 wise: 22 (a) "Small business" means a business in the construction trades which 23 (i) is independently owned and operated; (ii) has annual revenues not 24 exceeding a fiscal limitation of five million dollars or such lesser 25 amount as established by the authority pursuant to these provisions; and 26 (iii) meets additional criteria as otherwise established by the chair- 27 person in consultation with the members of the big apple transit author- 28 ity small business mentoring program advisory committee. The chair of 29 the committee shall be the chief diversity officer of the authority. The 30 authority shall establish a detailed definition in general and specific 31 to different segments of the construction industry to the extent neces- 32 sary to reflect differing characteristics of such segments based on the 33 criteria used by the United States small business administration for 34 loans to small businesses as set forth in sections 121.301, 121.302, 35 121.303, 121.304, and 121.305, or for awarding government procurements 36 as set forth in sections 121.401, 121.402, 121.403, 121.404, 121.405, 37 121.406, 121.407, 121.408, 121.409, 121.410, 121.411, 121.412, and 38 121.413 of subpart A of part 121 of chapter I of title 13 of the Code of 39 Federal Regulations as amended, and such other criteria as determined by 40 the authority; 41 (b) "Small business mentoring program" means a program established by 42 the authority pursuant to these provisions to provide small businesses 43 accepted into the program with the opportunity: 44 (i) for up to four years, to compete for and, where awarded, to 45 perform certain authority public work contracts to be designated by the 46 authority for inclusion in this program under this subparagraph, with 47 the assistance of an authority-provided mentor, which shall be a firm 48 competitively selected by the authority that has extensive construction 49 management and mentoring experience, with the mentor to provide the 50 small business with advice and assistance in competing for and managing 51 authority public work contracts; and 52 (ii) for a small business mentoring program participant which the 53 authority has determined has successfully completed the program under 54 subparagraph (i) of this paragraph, for up to four additional years, (A) 55 additional opportunities to compete with other designated small busi- 56 nesses in the program for certain public work contracts to be designatedS. 7840 76 1 for inclusion under this subparagraph and, where awarded, to perform 2 such authority public work contracts, with the further assistance of an 3 authority-provided mentor, which shall be a firm competitively selected 4 by the authority that has extensive construction management and mentor- 5 ing experience, with the mentor to provide the small business with 6 advice and technical assistance in competing for and managing authority 7 public work contracts, and (B) authority-provided assistance, as deter- 8 mined by the authority, for such a small business to obtain bonding for 9 public work contracts that are competitively awarded pursuant to 10 provisions of law other than this section. 11 (c) "Small business mentoring program contract" means a non-federally 12 funded authority public work contract designated by the authority, in an 13 estimated amount of not more than one million dollars for contracts 14 under subparagraph (i) of paragraph (b) of this subdivision and three 15 million dollars for contracts under subparagraph (ii) of paragraph (b) 16 of this subdivision, for which bids or proposals are to be invited and 17 accepted only from businesses that are enrolled in the small business 18 mentoring program and have been selected by the authority to compete for 19 the contract. 20 2. (a) The authority may establish a small business mentoring program. 21 In connection therewith, the authority may determine the criteria pursu- 22 ant to which a small business shall be eligible for and selected to 23 participate in the program under subparagraphs (i) and (ii) of paragraph 24 (b) of subdivision one of this section, the number of participants to 25 participate in each of such components of the program, the criteria for 26 the competitive selection of the firms that will provide small busi- 27 nesses with mentoring services, the assignment of a mentor to a specific 28 small business in the small business mentoring program, and the funding 29 for the program. 30 (b) Under the small business mentoring program, the chairperson or the 31 chairperson's designee is authorized, notwithstanding any other 32 provision of law: 33 (i) to designate which eligible public work contracts shall be small 34 business mentoring program contracts under subparagraphs (i) and (ii) of 35 paragraph (b) of subdivision one of this section, respectively; 36 (ii) to establish standards for qualifying small business mentoring 37 program participants to compete for a small business mentoring program 38 contract, provided that no less than three qualified small businesses in 39 the program must submit responsive offers to perform the contract; 40 (iii) to determine when bids or proposals for a small business mentor- 41 ing program contract should be restricted to small business mentoring 42 program participants which, prior to the receipt of bids or proposals, 43 have been qualified by the authority for such competition; 44 (iv) to competitively select, designate and contract with one or more 45 experienced construction management firms that, under the general super- 46 vision of the authority, will provide mentoring services to the small 47 businesses participating in the small business mentoring program, and to 48 assign such mentors one or more designated small businesses participat- 49 ing in the program; 50 (v) for small business mentoring program contracts, except as set 51 forth herein, to waive requirements for the solicitation and award of a 52 public work contract pursuant to sections twelve hundred nine, thirteen 53 hundred forty-nine-f and twenty-eight hundred seventy-nine of this chap- 54 ter and any other provision of law; 55 (vi) to assist only small business mentoring program participants that 56 have been awarded small business mentoring program contracts to obtainS. 7840 77 1 any surety bond or contract of insurance required of them in connection 2 with such contract only notwithstanding any provision of section two 3 thousand five hundred four of the insurance law to the contrary; and 4 (vii) for small businesses that have been accepted into the small 5 business mentoring program under subparagraph (ii) of paragraph (b) of 6 subdivision one of this section, in addition to the benefits of such 7 program and notwithstanding any other provision of law, to provide tech- 8 nical assistance in obtaining bids, payment and performance bonding for 9 authority public work contracts that are not small business mentoring 10 program contracts, for which the small business is otherwise qualified. 11 3. (a) If the total number of qualified small business mentoring 12 program participants that respond to a competition and are considered 13 capable of meeting the specifications and terms of the invitation to 14 compete is less than three, or if the chairperson or the chairperson's 15 designee determines that acceptance of the best offer will result in the 16 payment of an unreasonable price, the authority may reject all offers 17 and withdraw the designation of the contract as a small business mentor- 18 ing program contract. 19 (b) If the authority withdraws the designation of contract as a small 20 business mentoring program contract, the firms, if any, that made offers 21 shall be notified. Invitations to compete containing the same or rewrit- 22 ten specifications and terms shall then be re-issued as a small business 23 mentoring program contract for one or more additional contract period. 24 4. A mentor shall provide services and assistance to a small business 25 as designated by the authority, which may include the following: 26 (a) provide business training in the skills necessary to operate a 27 successful construction business and to compete for and perform a public 28 work contract; 29 (b) provide technical assistance to the small business to assess the 30 outcome if the small business competes for but is not awarded a 31 contract; 32 (c) if the small business mentoring program contract is awarded to the 33 small business, provide guidance, advice and technical assistance to the 34 small business in the performance of the contract; and 35 (d) provide other technical assistance to the small business to facil- 36 itate learning, training and other issues which may arise. 37 5. The authority may delegate to the chairperson or the chairperson's 38 designee, the authority's responsibilities set forth in this title. 39 6. The small business mentoring program contracts authorized by this 40 legislation shall, for the initial year of the program, be in an aggre- 41 gate amount of not less than ten million dollars, and shall not exceed 42 one hundred million dollars, with the maximum amount in future years to 43 be set by the chairperson. 44 § 1349-h. Special powers of the authority. In order to effectuate the 45 purposes of this title: 46 1. The authority may acquire, by purchase, gift, grant, transfer, 47 contract or lease, any transportation facility, wholly or partially 48 within the city, or any part thereof, or the use thereof, and may enter 49 into any joint service arrangements as hereinafter provided. Any such 50 acquisition or joint service arrangement shall be authorized only by 51 resolution of the authority approved by not less than a majority vote. 52 2. The authority may on such terms and conditions as the authority may 53 determine necessary, convenient or desirable itself plan, design, 54 acquire, establish, construct, effectuate, operate, maintain, renovate, 55 improve, extend, rehabilitate or repair any transportation facility, or 56 may provide for such planning, design, acquisition, establishment,S. 7840 78 1 construction, effectuation, operation, maintenance, renovation, improve- 2 ment, extension, rehabilitation or repair by contract, lease or other 3 arrangement on such terms as the authority may deem necessary, conven- 4 ient or desirable with any person, including but not limited to any 5 common carrier or freight forwarder, the state, any state agency, the 6 federal government, any other state or agency or instrumentality there- 7 of, any public authority of this or any other state, the port of New 8 York authority or any political subdivision or municipality of the 9 state. In connection with the operation of any transportation facility, 10 the authority may plan, design, acquire, establish, construct, effectu- 11 ate, operate, maintain, renovate, improve, extend or repair or may 12 provide by contract, lease or other arrangement for the planning, 13 design, acquisition, establishment, construction, effectuation, opera- 14 tion, maintenance, renovation, improvement, extension or repair of any 15 related services and activities it deems necessary, convenient or desir- 16 able, including but not limited to the transportation and storage of 17 freight and the United States mail, feeder and connecting transporta- 18 tion, parking areas, transportation centers, stations and related facil- 19 ities. 20 3. (a) Except as directed in paragraph (c) of this subdivision, the 21 authority shall establish, levy and collect or cause to be established, 22 levied and collected and, in the case of a joint service arrangement, 23 join with others in the establishment, levy and collection of such 24 fares, tolls, rentals, rates, charges and other fees necessary for the 25 use and operation of any transportation facility and related services 26 operated by the authority or by a subsidiary corporation of the authori- 27 ty or under contract, lease or other arrangement, including joint 28 service arrangements, with the authority. Any such fares, tolls, 29 rentals, rates, charges or other fees for the transportation of passen- 30 gers shall be established and changed only if approved by resolution of 31 the authority adopted by not less than a majority vote and only after a 32 public hearing, provided however, that fares, tolls, rentals, rates, 33 charges or other fees for the transportation of passengers on any trans- 34 portation facility which are in effect at the time that the then owner 35 of such transportation facility becomes a subsidiary corporation of the 36 authority or at the time that operation of such transportation facility 37 is commenced by the authority or is commenced under contract, lease or 38 other arrangement, including joint service arrangements, with the 39 authority may be continued in effect without such a hearing. Such fares, 40 tolls, rentals, rates, charges and other fees shall be established as 41 may in the judgment of the authority be necessary to maintain the 42 combined operations of the authority and its subsidiary corporations on 43 a self-sustaining basis and to ensure that the operations of the author- 44 ity are such that, at the end of the fiscal year, the results thereof 45 shall not show a deficit when reported in accordance with generally 46 accepted accounting principles unless such deficit is offset by funds 47 withdrawn from reserves therefor. The said operations shall be deemed to 48 be on a self-sustaining basis as required by this title, when the 49 authority is able to pay or cause to be paid from revenue and any other 50 funds or property actually available to the authority and its subsidiary 51 corporations (i) as the same shall become due, the principal of and 52 interest on the bonds and notes and other obligations of the authority 53 and its subsidiaries, and the metropolitan transportation authority, 54 together with the maintenance of proper reserves therefor, (ii) the cost 55 and expense of keeping the properties and assets of the authority and 56 its subsidiary corporations in good condition and repair, and (iii) theS. 7840 79 1 capital and operating expenses of the authority and its subsidiary 2 corporations. The authority may contract with the holders of bonds and 3 notes with respect to the exercise of the powers authorized by this 4 section. No acts or activities taken or proposed to be taken by the 5 authority or any subsidiary of the authority pursuant to the provisions 6 of this subdivision shall be deemed to be "actions" for the purposes or 7 within the meaning of article eight of the environmental conservation 8 law. 9 (b) All fares, tolls, rentals, rates, charges, and other fees estab- 10 lished, levied, and collected or caused to be established, levied, and 11 collected by the authority and its affiliates, shall first be trans- 12 ferred to the metropolitan transportation authority in order to maintain 13 the metropolitan transportation authority on a self-sustaining basis 14 unless already pledged to secure, and necessary to satisfy the debt 15 service or reserve requirements of, bonds, notes or other obligations of 16 the New York city transit authority or the Triborough bridge and tunnel 17 authority prior to January first, two thousand twenty-one. 18 (c) In the event that the monthly revenues of the metropolitan trans- 19 portation authority fall below one hundred twenty-five percent of the 20 amount necessary to maintain the operations of the metropolitan trans- 21 portation authority on a self-sustaining basis, as defined by section 22 twelve hundred sixty-six of this article, the authority shall, at the 23 direction of the metropolitan transportation authority, establish, levy 24 and collect or cause to be established, levied and collected, in the 25 case of a joint service arrangement, and join with others in the estab- 26 lishment, levy and collection of such fares, tolls, rentals, rates, 27 charges and other fees as the metropolitan transportation authority may 28 deem necessary, convenient or desirable for the use and operation of any 29 transportation facility and related services operated by the authority 30 or by a subsidiary corporation of the authority or under contract, lease 31 or other arrangement, including joint service arrangements, with the 32 authority, until such time that monthly revenues of the metropolitan 33 transportation authority has exceeded, for three consecutive months, two 34 hundred percent of the amount necessary to maintain the monthly oper- 35 ations of the metropolitan transportation authority on a self-sustaining 36 basis. 37 4. In furtherance of the authority's mandate to develop and implement 38 a unified mass transportation policy for the city and the exercise of 39 its powers, including the power to issue notes, bonds and other obli- 40 gations secured in whole or in part by the revenues of the authority and 41 its subsidiaries, and New York city transit authority and its subsid- 42 iaries, the authority shall join with the New York city transit authori- 43 ty and its subsidiaries in connection with any change in the establish- 44 ment, levy and collection of fares, tolls, rentals, rates, charges and 45 other fees for the transportation of passengers on any transportation 46 facilities operated by New York city transit authority and its subsid- 47 iaries. Such fares, tolls, rentals, charges and other fees on transit 48 facilities shall be established in accordance with the requirements of 49 sections twelve hundred five and twelve hundred seven-i of this article. 50 5. The authority may establish and, in the case of joint service 51 arrangements, join with others in the establishment of such schedules 52 and standards of operations and such other rules and regulations includ- 53 ing but not limited to rules and regulations governing the conduct and 54 safety of the public as it may deem necessary, convenient or desirable 55 for the use and operation of any transportation facility and related 56 services operated by the authority or under contract, lease or otherS. 7840 80 1 arrangement, including joint service arrangements, with the authority. 2 In the case of any conflict between any such rule or regulation of the 3 authority governing the conduct or the safety of the public and any 4 local law, ordinance, rule or regulation, such rule or regulation of the 5 authority shall prevail. Violation of any such rule or regulation of 6 the authority governing the conduct or the safety of the public in or 7 upon any facility of the authority shall constitute an offense and shall 8 be punishable by a fine not exceeding fifty dollars or imprisonment for 9 not more than thirty days or both or may be punishable by the imposition 10 of a civil penalty by the transit adjudication bureau established pursu- 11 ant to the provisions of title nine of this article. 12 6. The authority may acquire, hold, own, lease, establish, construct, 13 effectuate, operate, maintain, renovate, improve, extend or repair any 14 transportation facilities through, and cause any one or more of its 15 powers, duties, functions or activities to be exercised or performed by, 16 one or more wholly owned subsidiary corporations of the authority, or by 17 New York city transit authority or any of its subsidiary corporations in 18 the case of transit facilities and may transfer to or from any such 19 corporations any moneys, real property or other property for any of the 20 purposes of this title upon such terms and conditions as shall be agreed 21 to and subject to such payment or repayment obligations as are required 22 by law or by any agreement to which any of the affected entities is 23 subject. The directors or members of each such subsidiary corporation of 24 the authority corporation shall be the same persons holding the offices 25 of members of the authority. The chairperson of the board of each such 26 subsidiary shall be the chairperson of the authority, serving ex officio 27 and, provided that there is an executive director of the big apple tran- 28 sit authority, the executive director of such subsidiary shall be the 29 executive director of the big apple transit authority, serving ex offi- 30 cio. Notwithstanding any provision of law to the contrary, the chair- 31 person shall be the chief executive officer of each such subsidiary and 32 shall be responsible for the discharge of the executive and administra- 33 tive functions and powers of each such subsidiary. The chairperson and 34 executive director, if any, shall be empowered to delegate his or her 35 functions and powers to one or more officers or employees of each such 36 subsidiary designated by him or her. Each such subsidiary corporation of 37 the authority and any of its property, functions and activities shall 38 have all of the privileges, immunities, tax exemptions and other 39 exemptions of the authority and of the authority's property, functions 40 and activities. Each such subsidiary corporation shall be subject to the 41 restrictions and limitations to which the authority may be subject. Each 42 such subsidiary corporation of the authority shall be subject to suit in 43 accordance with section thirteen hundred forty-nine-mm of this title. 44 The employees of any such subsidiary corporation, except those who are 45 also employees of the authority, shall not be deemed employees of the 46 authority. 47 7. If the authority shall determine that one or more of its subsidiary 48 corporations should be in the form of a public benefit corporation, it 49 shall create each such public benefit corporation by executing and 50 filing with the secretary of state a certificate of incorporation, which 51 may be amended from time to time by filing, which shall set forth the 52 name of such public benefit subsidiary corporation, its duration, the 53 location of its principal office, and any or all of the purposes of 54 acquiring, owning, leasing, establishing, constructing, effectuating, 55 operating, maintaining, renovating, improving, extending or repairing 56 one or more facilities of the authority. Each such public benefitS. 7840 81 1 subsidiary corporation shall be a body politic and corporate and shall 2 have all those powers vested in the authority by the provisions of this 3 title which the authority shall determine to include in its certificate 4 of incorporation except the power to contract indebtedness. 5 8. Whenever any state, political subdivision, municipality, commis- 6 sion, agency, officer, department, board, division or person is author- 7 ized and empowered for any of the purposes of this title to co-operate 8 and enter into agreements with the authority such state, political 9 subdivision, municipality, commission, agency, officer, department, 10 board, division or person shall have the same authorization and power 11 for any of such purposes to co-operate and enter into agreements with a 12 subsidiary corporation of the authority. 13 9. Each of the authority and its subsidiaries, and the New York city 14 transit authority and its subsidiaries, in its own name or in the name 15 of the city, may apply for and receive and accept grants of property, 16 money and services and other assistance offered or made available to it 17 by any person, government or agency, which it may use to meet capital or 18 operating expenses and for any other use within the scope of its powers, 19 and to negotiate for the same upon such terms and conditions as the 20 respective authority may determine to be necessary, convenient or desir- 21 able. 22 10. Subject to the rights of the holders of any outstanding bonds, 23 notes or other obligations of the authority, New York city transit 24 authority and Triborough bridge and tunnel authority, and to facilitate 25 the efficient financial management of the authority, its subsidiary 26 corporations, New York city transit authority and its subsidiary corpo- 27 rations, and Triborough bridge and tunnel authority (the "affiliated 28 entities"), the authority may, and may permit and direct any affiliated 29 entity to, transfer revenues, subsidies and other monies or securities 30 to one or more funds or accounts of another affiliated entity for use by 31 such other affiliated entity, provided at the time of such transfer it 32 is reasonably anticipated that the monies and securities so transferred 33 will be reimbursed, repaid or otherwise provided for by the end of the 34 next succeeding calendar year if reimbursement or repayment is required 35 by law or by any agreement to which any of the affected affiliated enti- 36 ties is subject. Any revenues of an affiliated entity that are trans- 37 ferred to another affiliated entity, which transfer was not authorized 38 by a provision of law other than this subdivision, shall be considered 39 to be required to be repaid to the affiliated entity which was the 40 source of such revenues by the end of the next succeeding calendar year 41 following such transfer. 42 11. The authority may lease railroad cars for use in its passenger 43 service pursuant to the provisions of chapter six hundred thirty-eight 44 of the laws of nineteen hundred fifty-nine. 45 12. The authority may do all things it deems necessary, convenient or 46 desirable to manage, control and direct the maintenance and operation of 47 transportation facilities, equipment or real property operated by or 48 under contract, lease or other arrangement with the authority and its 49 subsidiaries, and New York city transit authority and its subsidiaries. 50 Except as hereinafter specially provided, no municipality or political 51 subdivision other than the city of New York, including but not limited 52 to a county, city, village, town or school or other district shall have 53 jurisdiction over any facilities of the authority and its subsidiaries, 54 and New York city transit authority and its subsidiaries, or any of 55 their activities or operations. The local laws, resolutions, ordinances, 56 rules and regulations of a municipality or political subdivision, here-S. 7840 82 1 tofore or hereafter adopted, conflicting with this title or any rule or 2 regulation of the authority or its subsidiaries, or New York city trans- 3 it authority or its subsidiaries, shall not be applicable to the activ- 4 ities or operations of the authority and its subsidiaries, and New York 5 city transit authority, or the facilities of the authority and its 6 subsidiaries, and New York city transit authority and its subsidiaries, 7 except such facilities that are devoted to purposes other than transpor- 8 tation or transit purposes. Each municipality or political subdivision, 9 including but not limited to a county, city, village, town or district 10 in which any facilities of the authority or its subsidiaries, or New 11 York city transit authority or its subsidiaries are located shall 12 provide for such facilities police, fire and health protection services 13 of the same character and to the same extent as those provided for resi- 14 dents of such municipality or political subdivision. 15 13. The jurisdiction, supervision, powers and duties of the department 16 of transportation of the state under the transportation law shall not 17 extend to the authority in the exercise of any of its powers under this 18 title. The authority may agree with such department for the execution by 19 such department of any grade crossing elimination project or any grade 20 crossing separation reconstruction project along any railroad facility 21 operated by the authority or by one of its subsidiary corporations or 22 under contract, lease or other arrangement with the authority. Any such 23 project shall be executed as provided in article ten of the transporta- 24 tion law and the railroad law, respectively, and the costs of any such 25 project shall be borne as provided in such laws, except that the author- 26 ity's share of such costs shall be borne by the state. 27 14. Notwithstanding the provisions of any other law, general, special 28 or local, or of any agreement entered into in pursuance thereof, relat- 29 ing to the repayment of any loan or advance made by the city or the 30 state to the authority or to the New York city transit authority, 31 neither the authority nor the New York city transit authority shall be 32 required to repay any such loan or advance heretofore made from or by 33 reason of the issuance of bonds or notes of either of them or from the 34 proceeds realized upon such issuance or from any other funds received by 35 either of them from any source whatever in aid or assistance of the 36 project or projects for the financing of which such bonds or notes are 37 issued. 38 15. No project to be constructed upon real property theretofore used 39 for a transportation purpose, or on an insubstantial addition to such 40 property contiguous thereto, which will not change in a material respect 41 the general character of such prior transportation use, nor any acts or 42 activities in connection with such project, shall be subject to the 43 provisions of article eight, nineteen, twenty-four, or twenty-five of 44 the environmental conservation law, or to any local law or ordinance 45 adopted pursuant to any such article. Nor shall any acts or activities 46 taken or proposed to be taken by the authority or by any other person or 47 entity, public or private, in connection with the planning, design, 48 acquisition, improvement, construction, reconstruction or rehabilitation 49 of a transportation facility, other than a marine or aviation facility, 50 be subject to the provisions of article eight of the environmental 51 conservation law, or to any local law or ordinance adopted pursuant to 52 any such article if such acts or activities require the preparation of a 53 statement under or pursuant to any federal law or regulation as to the 54 environmental impact thereof. 55 16. The authority may, upon suitable notice to and an offer to consult 56 with an officer designated by the city of New York, occupy the streetsS. 7840 83 1 of the city of New York for the purpose of doing any work over or under 2 the same in connection with the improvement, construction, recon- 3 struction or rehabilitation of a transportation facility without the 4 consent of or payment to such city. 5 17. The authority and each of its subsidiary corporations shall place 6 on each transformer and substation which contains polychlorinated biphe- 7 nyls a symbol so indicating the presence of polychlorinated biphenyls. 8 Use of a polychlorinated biphenyl mark illustrated in the rules and 9 regulations promulgated pursuant to the federal Toxic Substances Control 10 Act shall constitute compliance with the provisions of this subdivision. 11 18. (a) Notwithstanding any other provisions of law or the terms of 12 any contract, the authority shall establish and implement a no fare 13 program for transportation for individuals serving as personal care 14 attendants accompanying an Americans with Disabilities Act paratransit 15 eligible individual. 16 (b) In order to be eligible for such no fare program the personal care 17 attendant must show his or her community based personal care attendant 18 agency issued identification card. 19 (c) In order to be considered accompanying an Americans with Disabili- 20 ties Act paratransit eligible individual the personal care attendant 21 shall have the same origin and destination as such paratransit eligible 22 individual. 23 19. Notwithstanding any other provision of law, the authority and any 24 of its subsidiary corporations shall establish and implement a half fare 25 rate program for persons with serious mental illness who are eligible to 26 receive supplemental security income benefits as defined pursuant to 27 title sixteen of the federal Social Security Act and section two hundred 28 nine of the social services law. 29 20. The authority shall conduct a campaign of public outreach to 30 inform the public of the provisions pertaining to assault on employees 31 as provided by subdivision eleven of section 120.05 of the penal law. 32 § 1349-i. Medical emergency services. The authority is hereby author- 33 ized and directed to prepare and develop a medical emergency services 34 program to be implemented at a time to be specified in such program for 35 the benefit of persons utilizing transportation and other related 36 services of the authority. Such program may include but not be limited 37 to the provision for the following: the training of designated employees 38 in first aid, emergency techniques and procedures, handling and posi- 39 tioning of stricken commuters, and knowledge of procedures and equipment 40 used for respiratory and cardiac emergencies. Such program shall be 41 submitted to the legislature not later than one hundred eighty days 42 after the effective date of this section. 43 § 1349-j. Transit projects. 1. Subject to the provisions of this 44 section, the authority is hereby authorized, upon the request of the New 45 York city transit authority and upon such terms and conditions as shall 46 be agreed to by the authority (a) to plan, design, acquire, construct, 47 reconstruct, rehabilitate and improve facilities, equipment, devices and 48 appurtenances, and property or property rights constituting or to 49 constitute part of, or used or to be used in connection with the opera- 50 tion of any transit facility now or hereafter owned or operated by the 51 New York city transit authority or any of its subsidiaries, each of such 52 activities and programs being referred to in this section as a "transit 53 project"; (b) to finance the costs of a transit project by the issuance 54 of its notes, bonds or lease obligations; and (c) upon the completion of 55 any transit project or part thereof, to cause the same to be trans- 56 ferred, leased or subleased to the New York city transit authority orS. 7840 84 1 its designated subsidiary or other designee, for consideration. The 2 terms "facilities", "equipment", "devices and appurtenances", "property" 3 or "property rights" and "transit facility" shall have the meanings 4 given to such terms in section twelve hundred of this article. The 5 authority shall have no obligation to operate or, except as may other- 6 wise be provided in any lease to which it may be a party as hereinafter 7 provided, repair or maintain any transit project or part thereof subse- 8 quent to its completion nor shall it be liable to the transferee, lessee 9 or sublessee by reason of any warranty, express or implied, in respect 10 thereof. Warranties furnished in connection with such transit project 11 shall be assignable and assigned as directed by the New York city trans- 12 it authority and approved by the authority. 13 2. In connection with any transit project, and in order to effectuate 14 the purposes of this section, the authority shall, subject to the 15 provisions of this section, have all of the powers provided elsewhere in 16 this title, and, in addition, the authority may: 17 (a) issue its notes or bonds to finance all or any part of the costs 18 of a transit project; 19 (b) finance all or any part of the costs to the authority or to any 20 other person or entity, public or private, of such transit project 21 through, or accompanied by, a leasing of such project or any part there- 22 of by such person or entity to the authority or through or accompanied 23 by a sale by the authority to any such person or entity and leaseback to 24 the authority, in each case for subleasing to the New York city transit 25 authority, its designated subsidiary or other designee for consider- 26 ation, except that such leasing or leaseback from such person or entity 27 may be made directly to the New York city transit authority or its 28 designated subsidiary or other designee with the consent of the authori- 29 ty; 30 (c) issue its notes or bonds to defease the lien of, refund or other- 31 wise repay any outstanding notes, bonds or other obligations of the New 32 York city transit authority which in the judgment of the authority would 33 otherwise delay, impede or prevent its financing a transit project; 34 (d) accept the notes, bonds, lease, sublease and other contractual 35 obligations of the New York city transit authority and any of its desig- 36 nated subsidiaries in payment for a transfer, lease or sublease of a 37 transit project; 38 (e) accept from the New York city transit authority or its designated 39 subsidiary or from the city of New York, acting by its mayor alone, a 40 transfer of title to or the use, occupancy, control or possession of any 41 real or personal property (or any interest therein) needed or useful for 42 or in connection with any transit project; 43 (f) obtain security for the payment by the New York city transit 44 authority or its designated subsidiary of its notes, bonds, lease, 45 sublease or other contractual obligations, including a pledge of all or 46 any part of any of their revenues, which pledge may contain covenants 47 with respect to the charging and fixing of fares, fees and rentals, the 48 use and disposition of such fares, fees, rentals and other revenues, and 49 the setting aside of reserves therefrom; 50 (g) with the consent of the New York city transit authority or its 51 designated subsidiary, use, with or without compensation, its agents, 52 employees and facilities; and 53 (h) apply for, accept, enter into contracts for, administer and 54 disburse any federal, state or local aid or assistance, subject to the 55 terms and conditions thereof, which may be available for any transit 56 project.S. 7840 85 1 3. All of the provisions of this title not inconsistent with the 2 provisions of this section shall be applicable with respect to any 3 bonds, notes or lease obligations of the authority issued or entered 4 into to finance any transit project, or to defease the lien of, refund 5 or otherwise repay outstanding bonds, notes or other obligations of the 6 New York city transit authority, subject to the following conditions: 7 (a) such bonds and notes shall be payable as to principal, redemption 8 premium, if any, and interest and such other obligations shall be paya- 9 ble, all in the manner more particularly provided by the authority in 10 the resolution under which the same shall be authorized to be issued; 11 (b) such lease obligations shall be non-recourse obligations limited 12 to the recovery of the leased property by the lessor and as to the 13 payments of sums of money coming due thereunder, to proceedings against 14 the sublessee under any underlying sublease or pursuant to any pledge or 15 assignment given to secure sums payable under such underlying sublease; 16 (c) no bonds or notes of the authority shall be issued for the purpose 17 of defeasing the lien of, refunding or otherwise repaying outstanding 18 bonds, notes or other obligations of the New York city transit authority 19 unless (i) the city of New York shall have entered into an agreement on 20 terms satisfactory to the authority to make periodic payments to the New 21 York city transit authority, and (ii) the New York city transit authori- 22 ty shall have entered into an agreement on terms satisfactory to the 23 authority to make periodic payments to the authority, in each case 24 sufficient to pay, when due, the principal, redemption premium, if any, 25 and interest upon the bonds or notes of the authority issued to effect 26 such defeasance, refunding or repayment; 27 (d) notwithstanding and in addition to any provisions for the redemp- 28 tion of such bonds or notes which may be contained in any contract with 29 the holders thereof, the city of New York may, upon furnishing suffi- 30 cient funds therefor, require the authority to redeem as a whole any 31 issue of such bonds or notes at the time or times and at the place or 32 places and in accordance with the terms upon which such bonds or notes 33 are redeemable; and 34 (e) the city of New York shall not be liable on such bonds or notes, 35 and such bonds or notes shall not be a debt of the city of New York, and 36 shall contain on the face thereof a statement to such effect. 37 4. The authority shall not undertake any transit project unless the 38 New York city transit authority or the subsidiary for whose benefit the 39 transit project is to be undertaken, or both, shall pay or agree to pay, 40 in the form of a bond, note, lease, sublease or other contractual obli- 41 gation, in a manner and on terms and conditions satisfactory to the 42 authority, any portion of the costs to the authority of such transit 43 project and the financing thereof which is not paid to the authority 44 from any federal, state or local aid or assistance or which is not paya- 45 ble from any other moneys made available or payable to the authority by 46 others for such project. 47 5. Neither the provisions of section one hundred ninety-seven-c of the 48 New York city charter, relating to a uniform land use review procedure, 49 nor the provisions of any other local law of the city of New York of 50 like or similar tenor or import shall apply (a) to the acquisition of 51 any real property, or any interest therein, for the purposes of any 52 transit project by the city or by the New York city transit authority or 53 any of its subsidiaries; (b) to the subsequent transfer of any real 54 property (or interest therein) so acquired to the authority or its 55 designee for the purposes of such project or to the transfer to the 56 authority or its designee for such purposes of any real property (orS. 7840 86 1 interest therein) then owned by the city or by the New York city transit 2 authority or any such subsidiary; nor (c) to the transfer to the author- 3 ity or its designee for such purposes of the right of use, occupancy, 4 control or possession of any real property (or interest therein), wheth- 5 er presently owned or hereafter acquired by the city or by the New York 6 city transit authority or any such subsidiary; provided in each such 7 case, however, that if at the time of such proposed acquisition or 8 transfer the real property which is the subject of such acquisition or 9 transfer is not then being utilized for a transit or transportation 10 purpose or is not an insubstantial addition to such property contiguous 11 thereto; (i) the authority proposing to acquire or receive such property 12 shall, unless a submission with respect to such property has previously 13 been made and approved as herein provided, submit to the community board 14 for the community district in which such property is located, data with 15 respect to the proposed use of such property and to the design of any 16 facility proposed to be constructed thereon; (ii) such community board 17 shall inform the council of the city of New York, with copies to the 18 city planning commission of the city of New York and the proposing 19 authority, of its views and recommendations with respect thereto within 20 forty-five days of such submission, and if the community board shall 21 fail to so inform such council within such period it shall be deemed to 22 have recommended the proposal; and (iii) such council shall, within 23 forty-five days of the recommendation of the community board, approve or 24 disapprove such acquisition or transfer, and if such council shall fail 25 to act within such period it shall be deemed to have approved the same. 26 6. In its performance of any transit project, the authority shall not 27 be deemed the agent or instrumentality of the city of New York or the 28 New York city transit authority or any of its subsidiaries notwithstand- 29 ing the fact that title to any real or personal property (or any inter- 30 est therein) which is the subject of or is a part of such project is 31 held by or upon completion of such project is to be transferred to such 32 other entity. In its performance of any transit project, however, the 33 provisions of section twelve hundred nine of this article shall apply to 34 the authority as if it were the authority referred to in such section. 35 7. The authority, in addition to the powers provided elsewhere in this 36 title, shall possess all of the powers, rights and privileges of the New 37 York city transit authority or its designated subsidiary in connection 38 with the undertaking by the authority of any transit project. The 39 authority, upon suitable notice to and an offer to consult with an offi- 40 cer designated by the city of New York, may occupy the streets of the 41 city of New York for the purpose of doing any work over or under the 42 same in connection with any transit project without the consent of or 43 payment to such city. 44 8. After the transfer, transfer back, lease or sublease to the New 45 York city transit authority or its designated subsidiary or other desig- 46 nee of any transit project or part thereof, actions for damages for 47 injuries to real or personal property or for the destruction thereof, or 48 for personal injuries or death, based upon the use, condition or state 49 of such project or part thereof may not be instituted against the 50 authority, which shall have no liability or responsibility to the trans- 51 feree, lessee or sublessee or to third parties therefor. 52 9. Except as the authority shall otherwise agree, title to any transit 53 project or any part thereof or interest therein which shall have been 54 transferred, leased, or subleased to the New York city transit authority 55 or its designated subsidiary, shall remain in such transferee, lessee, 56 or sublessee notwithstanding any provision of title nine of this articleS. 7840 87 1 or of any lease or other agreement entered into under the provisions of 2 such title to the contrary. 3 10. The providing of any transit project shall not relieve the city of 4 New York of its obligations under law and by lease to pay the capital 5 costs of the New York city transit authority or its subsidiaries. 6 11. No transit project to be constructed upon real property to be used 7 for a transit or transportation purpose, or on an insubstantial addition 8 to such property contiguous thereto, which will not change in a material 9 respect the general character of such prior transit or transportation 10 use, nor any acts or activities in connection with such project, shall 11 be subject to the provisions of article eight, nineteen, twenty-four or 12 twenty-five of the environmental conservation law, or to any local law 13 or ordinance adopted pursuant to any such article. Nor shall any trans- 14 it project or any acts or activities in connection therewith taken by 15 any person or entity, public or private, pursuant to this section be 16 subject to the provisions of article eight of the environmental conser- 17 vation law if such project, acts or activities require the preparation 18 of a statement under or pursuant to any federal law or regulation as to 19 the environmental impact thereof. 20 12. The provisions of this section and of all agreements undertaken by 21 the New York city transit authority in accordance therewith shall in all 22 respects be subject to the rights of the holders of any outstanding 23 bonds or notes of such authority. 24 13. (a) All contracts for design, construction, services and materials 25 pursuant to this title of whatever nature and all documents soliciting 26 bids or proposals therefor shall contain or make reference to the 27 following provisions: 28 (i) The contractor will not discriminate against employees or appli- 29 cants for employment because of race, creed, color, national origin, 30 sex, age, disability, or marital status, and will undertake or continue 31 existing programs of affirmative action to ensure that minority group 32 persons and women are afforded equal opportunity without discrimination. 33 Such programs shall include, but not be limited to, recruitment, employ- 34 ment, job assignment, promotion, upgrading, demotion, transfer, layoff, 35 termination, rates of pay or other forms of compensation, and selections 36 for training or retraining, including apprenticeship and on-the-job 37 training. 38 (ii) At the request of the New York city transit authority, the big 39 apple transit authority, and their subsidiaries, the contractor shall 40 request each employment agency, labor union, or authorized represen- 41 tative of workers with which it has a collective bargaining or other 42 agreement or understanding and which is involved in the performance of 43 the contract with the authority to furnish a written statement that such 44 employment agency, labor union or representative shall not discriminate 45 because of race, creed, color, national origin, sex, age, disability or 46 marital status and that such union or representative will cooperate in 47 the implementation of the contractor's obligations under this section. 48 (iii) The contractor will state, in all solicitations or advertise- 49 ments for employees placed by or on behalf of the contractor in the 50 performance of the contract with the authority, that all qualified 51 applicants will be afforded equal employment opportunity without 52 discrimination because of race, creed, color, national origin, sex, age, 53 disability or marital status. 54 (iv) The contractor will include the provisions of subparagraphs (i), 55 (ii), and (iii) of this paragraph in every subcontract or purchase order 56 in such a manner that such provisions will be binding upon each subcon-S. 7840 88 1 tractor or vendor as to its work in connection with the contract with 2 the authority. 3 (b) The authority shall establish procedures and guidelines to ensure 4 that contractors and subcontractors undertake programs of affirmative 5 action and equal employment opportunity as required by this subdivision. 6 Such procedures may require after notice in a bid solicitation, the 7 submission of an affirmative action program prior to the award of any 8 contract, or at any time thereafter, and may require the submission of 9 compliance reports relating to the operation and implementation of any 10 affirmative action program adopted pursuant to this section. The author- 11 ity may take appropriate action including contractual sanctions for 12 non-compliance to effectuate the provisions of this subdivision and 13 shall be responsible for monitoring compliance with this title. 14 14. (a)(i) In the performance of projects pursuant to this title 15 minority and women-owned business enterprises shall be given the oppor- 16 tunity for meaningful participation. The authority provided for in this 17 title shall establish measures and procedures to secure meaningful 18 participation and identify those contracts and items of work for which 19 minority and women-owned business enterprises may best bid to actively 20 and affirmatively promote and assist their participation in the 21 projects, so as to facilitate the award of a fair share of contracts to 22 such enterprises; provided, however, that nothing in this title shall be 23 construed to limit the ability of the authority to assure that qualified 24 minority and women-owned business enterprises may participate in the 25 program. 26 (A) For purposes of this section, minority business enterprise shall 27 mean any business enterprise which is at least fifty-one per centum 28 owned by, or in the case of a publicly owned business, at least fifty- 29 one per centum of the stock of which is owned by citizens or permanent 30 resident aliens who are African-American, Hispanic, Asian or American 31 Indian, Pacific Islander or Alaskan natives and such ownership interest 32 is real, substantial and continuing and have the authority to independ- 33 ently control the day to day business decisions of the entity for at 34 least one year; and women-owned business enterprise shall mean any busi- 35 ness enterprise which is at least fifty-one per centum owned by, or in 36 the case of a publicly owned business, at least fifty-one per centum of 37 the stock of which is owned by citizens or permanent resident aliens who 38 are women, and such ownership interest is real, substantial and continu- 39 ing and have the authority to independently control the day to day busi- 40 ness decisions of the entity for at least one year. 41 (B) The provisions of this paragraph shall not be construed to limit 42 the ability of any minority or women-owned business enterprise to bid on 43 any contract. 44 (ii) In the implementation of this subdivision, the authority shall 45 consider compliance by any contractor with the requirements of any 46 federal, state, or local law concerning minority and women-owned busi- 47 ness enterprises, which may effectuate the requirements of this subdivi- 48 sion. If the authority determines that by virtue of the imposition of 49 the requirements of any such law, in respect to capital project 50 contracts, the provisions thereof duplicate or conflict with such law, 51 the authority may waive the applicability of this subdivision to the 52 extent of such duplication or conflict. 53 (iii) Nothing in this subdivision shall be deemed to require that 54 overall state and federal requirements for participation of minority and 55 women-owned business enterprises in programs authorized under this titleS. 7840 89 1 be applied without regard to local circumstances to all projects or in 2 all communities. 3 (b) In order to implement the requirements and objectives of this 4 subdivision, the authority shall establish procedures to monitor the 5 contractors' compliance with provisions hereof, provide assistance in 6 obtaining competing qualified minority and women-owned business enter- 7 prises to perform contracts proposed to be awarded, and take other 8 appropriate measures to improve the access of minority and women-owned 9 business enterprises to these contracts. 10 15. (a) In connection with the performance of projects pursuant to 11 this section, the authority shall, to the extent practicable and not 12 inconsistent with any federal law, regulation or requirement, promote 13 the meaningful participation of small business and New York state busi- 14 ness enterprises in the provision of goods and services that are 15 produced or manufactured in New York state as part of procurements 16 undertaken by the authority. 17 (b) The authority shall within one hundred eighty days after the 18 effective date of this subdivision develop, and review annually there- 19 after, a plan to effect the purposes of this subdivision. 20 § 1349-k. Excess loss fund. 1. Subject to the provisions of this 21 section, the authority is authorized to issue bonds and notes, in 22 accordance with section thirteen hundred forty-nine-u of this title, in 23 such principal amounts not in excess of the seventy-five million dollar 24 limitation established in subdivision four of this section as, in the 25 opinion of the authority, shall be necessary to provide sufficient funds 26 to meet the capital and reserve requirements of a trust, pooling 27 arrangement or other entity established for the purpose of providing 28 reimbursement and funding to the authority and its subsidiaries, the New 29 York city transit authority and its subsidiaries and Triborough bridge 30 and tunnel authority for excess or extraordinary losses for damages to 31 real or personal property or for the destruction thereof or for personal 32 injuries or death and for certain property damage losses which may be 33 incurred or sustained by any of them in connection with the use and 34 operation of their respective facilities and in the conduct of their 35 respective activities, the trust, pooling arrangement or other entity 36 established in order to provide such benefits to such participants being 37 referred to in this section as the "excess loss fund". Prior to the 38 issuance of any bonds or notes, other than refunding bonds or notes, 39 authorized by this section, the authority shall make a finding that such 40 issue is expected to result, on a present value basis, in a lower effec- 41 tive cost to the participating authorities than funding the requirements 42 of the excess loss fund solely through the payment of premiums and 43 assessments by such participating authorities. 44 2. In order to effectuate the purposes of the excess loss fund, the 45 authority shall, subject to the provisions of this section, have all the 46 powers provided elsewhere in this title and may: 47 (a) accept the notes, bonds and other contractual obligations of the 48 excess loss fund for funds provided to it by the authority; 49 (b) obtain security for the payment by the excess loss fund of its 50 notes, bonds and other contractual obligations issued to the authority, 51 including a pledge of all or any part of the assets and revenues of the 52 excess loss fund, including its receipts and rights to receive premiums, 53 assessments, reimbursements and other payments from the participants in 54 the excess loss fund, which pledge may contain covenants with respect to 55 the charging and fixing by actuarial estimates, where appropriate, ofS. 7840 90 1 premiums, assessments, reimbursements and other payments and the use and 2 disposition thereof; and 3 (c) enter into contracts with the excess loss fund and with the 4 participants therein, on such terms and conditions as the parties may 5 agree, with respect to the payment of premiums, assessments, reimburse- 6 ments and other payments to the excess loss fund and the nature and 7 extent of the benefits to be paid by the excess loss fund to such 8 participants. 9 3. The bonds and notes of the authority authorized by this section 10 shall not constitute general obligations of the authority, but shall be 11 special obligations of the authority payable as to principal, redemption 12 premium, if any, and interest solely from the security, sources of 13 payment and funds obtained from or on behalf of the excess loss fund, 14 all in the manner more particularly provided by the authority in the 15 resolution under which such bonds and notes shall be authorized to be 16 issued. 17 4. The aggregate principal amount of bonds and notes issued for the 18 purposes enumerated in subdivision one of this section shall not exceed 19 seventy-five million dollars, excluding: 20 (a) bonds and notes issued to fund costs of issuance and any reason- 21 ably required debt service reserve fund for such bonds or notes; 22 (b) an amount equal to any original issue discount from the principal 23 amount of any bonds or notes issued; and 24 (c) bonds and notes issued to refund or otherwise repay bonds or notes 25 theretofore issued for such purposes, provided, however, that upon any 26 such refunding or repayment of the total aggregate principal amount of 27 outstanding bonds and notes, including for purpose of such calculation 28 the principal amount of the refunding bonds or notes then to be issued 29 and excluding the principal amount of the bonds or notes so to be 30 refunded or repaid and any amounts excluded under paragraph (a) or (b) 31 of this subdivision, may be greater than seventy-five million dollars, 32 only if the present value of the aggregate debt service of the refunding 33 or repayment bonds or notes to be issued shall not exceed the present 34 value of the aggregate debt service of the bonds or notes so to be 35 refunded or repaid. For purposes of this subparagraph, the present 36 values of the aggregate debt service of the refunding or repayment bonds 37 or notes and of the aggregate debt service of the bonds or notes so to 38 be refunded or repaid, shall be calculated by utilizing the effective 39 interest rate of the refunding or repayment bonds or notes, which shall 40 be that rate arrived at by doubling the semi-annual interest rate, 41 compounded semi-annually, necessary to discount the debt service 42 payments on the refunding or repayment bonds or notes from the payment 43 dates thereof to the date of issue of the refunding or repayment bonds 44 or notes and to the price bid including estimated accrued interest or 45 proceeds received by the authority including estimated accrued interest 46 from the sale thereof. 47 5. The term "excess loss fund" as used in this section shall not 48 include any trust, pooling arrangements or other entity (a) which 49 provides or offers to provide reimbursement or funding for losses or 50 liabilities to any entity other than the authority and its subsidiaries, 51 the New York city transit authority and its subsidiaries and Triborough 52 bridge and tunnel authority, or (b) in which any entity other than the 53 authority and its subsidiaries, the New York city transit authority and 54 its subsidiaries and Triborough bridge and tunnel authority holds an 55 equity interest.S. 7840 91 1 § 1349-l. Authority police force. 1. The authority is hereby author- 2 ized and empowered, to provide and maintain an authority police depart- 3 ment and a uniformed authority police force. Each member of such 4 uniformed police force shall be a "police officer" for the purposes of 5 the criminal procedure law, with all of the powers of such police offi- 6 cers thereunder and subject to the same jurisdictional provisions on the 7 exercise of that power as set forth in such law. The geographical area 8 of employment of such police officers for the purposes of the criminal 9 procedure law shall embrace the city of New York. Such department and 10 force shall have the power, in and about any or all of the facilities 11 owned, occupied and/or operated by the authority and its subsidiary 12 corporations, the New York city transit authority and its subsidiaries, 13 and the Triborough bridge and tunnel authority, as determined in the 14 discretion of the authority, to enforce and prevent violation of all 15 laws and ordinances. Nothing in this section shall confer upon the 16 authority police force or upon their collective negotiations represen- 17 tatives exclusive jurisdiction or claim over the exercise of police 18 power or security work on behalf of the authority and its subsidiary 19 corporations, the New York city transit authority and its subsidiaries, 20 and the Triborough bridge and tunnel authority. Nothing in this section 21 shall limit the authority and its subsidiary corporations, the New York 22 city transit authority and its subsidiaries, and the Triborough bridge 23 and tunnel authority from continuing to rely on local police for police 24 services. 25 2. Initial appointments to such authority police force shall from the 26 incumbent police officers of the metropolitan transportation authority 27 at the time of such appointment. The executive director of the authori- 28 ty, through the chief of police, shall have the power and authority to 29 appoint and employ such number of police officers as he or she deems 30 necessary to act as police officers of the authority and to administer 31 to the officers an oath or affirmation faithfully to perform the duties 32 of their respective positions or offices. Unless, at the time of 33 appointment, the person is a police officer of the metropolitan trans- 34 portation authority, only persons who have never been convicted of a 35 felony and are citizens of the United States shall be appointed police 36 officers on the authority police force. After the initial appointments 37 are made, selection of police officer candidates shall be made pursuant 38 to an examination process to be determined at the discretion of the 39 authority and candidates must receive a certificate attesting to satis- 40 factory completion of an approved municipal police basic training 41 program, as described in section two hundred nine-q of the general 42 municipal law. No person shall be eligible for appointment unless such 43 person is not less than twenty years of age as of the date of appoint- 44 ment nor more than thirty-five years of age as of the date when the 45 applicant takes the written examination, provided, however, that time 46 spent on military duty or on terminal leave, not exceeding a total of 47 six years, shall be subtracted from the age of any applicant who has 48 passed his or her thirty-fifth birthday as provided in subdivision ten-a 49 of section two hundred forty-three of the military law. Upon appoint- 50 ments made by transferring an entire group of police officers into the 51 authority police force, thereby eliminating such other group of police 52 officers, the authority shall recognize any representative previously 53 chosen by the police officers for the purposes of collective negoti- 54 ations consistent with the bargaining units already established and 55 shall also assume and continue to observe any existing labor contracts 56 covering these police officers including such provisions which relate toS. 7840 92 1 the grievance and disciplinary procedures and interest arbitration. 2 Subsequent to the establishment of the consolidated police force the 3 authority and the collective bargaining representatives shall be author- 4 ized to negotiate a merger of the separate bargaining units. 5 3. The authority may appoint a chief and one or more deputy chiefs of 6 the authority police department who, in the discretion of the authority, 7 may be selected from the ranks of the authority police force, and assign 8 powers and duties to them and fix their compensation. The chief shall be 9 the head of such department. The deputy chief designated by the chief 10 shall possess all the powers and perform all the duties of the chief 11 during his or she absence or disability. The authority police force 12 shall consist of such divisions, supervisors and officers, including but 13 not limited to police officers, detectives, sergeants, lieutenants and 14 captains as designated by the authority. Notwithstanding any law or 15 provision to the contrary, the members of the uniformed authority police 16 force shall not acquire civil service status or become members of the 17 New York state and local employees' retirement system, except as set in 18 this section. 19 4. The authority may, in its sole discretion, establish within the 20 authority's defined benefit program, a retirement program consistent 21 with the foregoing. If the authority has not so established such program 22 in its defined benefit program within one hundred eighty days after 23 enactment, then the authority shall elect to participate in article 24 fourteen-B of the retirement and social security law. 25 5. If the authority elects to participate in the New York city employ- 26 ees' retirement system, such election to participate shall be made by 27 resolution filed with the comptroller and accepted by him or her pursu- 28 ant to section thirty-one of the retirement and social security law. 29 6. Nothing contained in this section shall be deemed to diminish, 30 suspend or abolish an existing benefit inured to a police officer, 31 transferred from the metropolitan transportation authority police force 32 and subject to the provisions of this section in and to the rights, 33 privileges or status previously earned within a pension or retirement 34 system of which they were a member immediately prior to the enactment of 35 this section; and any such existing right, privilege or status shall 36 survive the effect of any decisions or determinations lawfully made in 37 accordance with the provisions of this section so long as such right, 38 privilege or status is greater in benefit to that which would be imposed 39 or imputed to any subject officer as a result of actions of the authori- 40 ty authorized by this section. 41 § 1349-m. The permanent citizens advisory committee. There is hereby 42 established a permanent citizens advisory committee. The members of the 43 committee shall consist of the New York city transit authority advisory 44 council, as defined in section twelve hundred four-e of this title. 45 § 1349-n. Big apple transit authority pledge to customers. 1. A big 46 apple transit authority pledge to customers shall be created and adopted 47 by the big apple transit authority. A copy of such pledge shall be post- 48 ed on the website of the authority and shall be posted in stations where 49 the authority makes regular postings. The authority shall post the 50 pledge in the language or languages it deems necessary and appropriate. 51 2. The big apple transit authority pledge to customers shall be in the 52 form and manner as prescribed by the authority, include the contact 53 information of the authority, and include, but not be limited to, the 54 following: 55 (a) a description of the authority's commitment to provide safe and 56 reliable services;S. 7840 93 1 (b) a description of the authority's commitment to provide timely and 2 accurate information on its services; 3 (c) a commitment that employees will provide service in a courteous 4 manner; 5 (d) a description of the authority's commitment to maintain clean 6 stations, facilities, subways and buses; 7 (e) a description of the authority's policies when it comes to arrang- 8 ing alternative transportation when service is interrupted; 9 (f) when service is interrupted, a description of the authority's 10 policies when it comes to considering the comfort of inconvenienced 11 customers; 12 (g) when service is interrupted due to weather conditions, a 13 description of the authority's policies on notifying customers; and 14 (h) when service is severely interrupted, a description of the author- 15 ity's policies on service restoration. 16 3. The authority from time to time may update and amend the big apple 17 transit authority pledge to customers as it deems necessary and proper 18 and may adopt rules and regulations for the proper administration of 19 this section. 20 § 1349-o. Expired fare transfer policy. Notwithstanding any other 21 provision of law to the contrary, the authority shall, within ninety 22 days of the effective date of this section, establish an expired fare 23 transfer policy that may be amended from time to time. Such policy shall 24 provide any person who purchases a fare the ability to transfer any 25 remaining balance for two years after such fare is deemed expired. 26 § 1349-p. Acquisition and disposition of real property. 1. In addi- 27 tion to the powers provided in section thirteen hundred forty-nine-h of 28 this title to acquire transportation facilities, equipment and real 29 property, the authority may acquire, by condemnation pursuant to the 30 eminent domain procedure law, any real property within the city of New 31 York it may deem necessary, convenient or desirable to effectuate the 32 purposes of this title, provided however, that any such condemnation 33 proceedings shall be brought only in the supreme court and the compen- 34 sation to be paid shall be ascertained and determined by the court with- 35 out a jury. Notwithstanding the provisions of this subdivision, no real 36 property may be acquired by the authority by condemnation for purposes 37 other than a transportation facility unless the governing body of the 38 city, village or town in which such real property is located shall first 39 consent to such condemnation. 40 2. Nothing contained in this section shall be construed to prevent the 41 authority from bringing any proceedings to remove a cloud on title or 42 such other proceedings as it may, in its discretion, deem proper and 43 necessary or from acquiring any such property by negotiation or 44 purchase. 45 3. Where a person entitled to an award in the proceedings to condemn 46 any real property for any of the purposes of this title remains in 47 possession of such property after the time of the vesting of title in 48 the condemnor, the reasonable value of his or her use and occupancy of 49 such property subsequent to such time as fixed by agreement or by the 50 court in such proceedings or by any court of competent jurisdiction 51 shall be a lien against such award subject only to the liens of record 52 at the time of vesting of title in the condemnor. 53 4. Subject to the provisions of sections thirteen hundred forty-nine-h 54 and thirteen hundred forty-nine-j of this title, title to all property 55 acquired under this title shall vest in the authority or one of itsS. 7840 94 1 subsidiary corporations, or in the New York city transit authority or 2 one of its subsidiary corporations as the authority directs. 3 5. The authority may, whenever it determines that it is in the inter- 4 est of the authority, dispose of any real property or property other 5 than real property, which it determines is not necessary, convenient or 6 desirable for its purposes. 7 6. The authority may, whenever it shall determine that it is in the 8 interest of the authority, rent, lease, or grant easements or other 9 rights in, any land or property of the authority. 10 § 1349-q. Acquisition and disposition of real property by department 11 of transportation. If funds are made available by the authority for the 12 payment of the cost and expense of the acquisition thereof, the commis- 13 sioner of transportation of the state of New York, when requested by the 14 authority, may acquire such real property in the name of the state as 15 may be determined from time to time by the authority as being necessary, 16 convenient or desirable to effectuate the purposes of this title, may 17 remove the owner or occupant thereof where necessary and obtain 18 possession and, when requested by the authority, may dispose of any real 19 property so acquired, all according to the procedure provided in section 20 thirty of the highway law. The authority shall have the right to possess 21 and use for its corporate purposes all such real property so acquired. 22 Claims for the value of the property appropriated and for legal damages 23 caused by any such appropriation shall be adjusted and determined by 24 such commissioner with the approval of the authority or by the court of 25 claims as provided in section thirty of the highway law. When a claim 26 has been filed with the court of claims, the claimant shall cause a copy 27 of such claim to be served upon the authority and the authority shall 28 have the right to be represented and heard before such court. All awards 29 and judgments arising from such claims shall be paid out of moneys of 30 the authority. No real property may be acquired pursuant to the 31 provisions of this section for purposes other than a transportation 32 facility unless the governing body of the city, village or town in which 33 such real property is located shall first consent to such acquisition. 34 § 1349-r. Transit facilities for transit construction fund. 1. As 35 used in this section, unless a different meaning clearly appears from 36 the context: 37 (a) "City" shall mean the city of New York. 38 (b) "Transit construction fund act" shall mean title nine-A of this 39 article. 40 (c) "Transit construction fund" shall mean the corporation created by 41 section twelve hundred twenty-five-c of this article. 42 (d) "Transit facility" shall mean such term as defined from time to 43 time in section twelve hundred twenty-five-b of this article. 44 2. In addition to the powers provided elsewhere in this title, and to 45 effectuate the purposes of the transit construction fund act, the 46 authority may: 47 (a) Plan, design, construct, acquire, extend, reconstruct, rehabili- 48 tate, modernize and otherwise improve transit facilities in accordance 49 with the terms and conditions of any lease or other agreement with the 50 transit construction fund; 51 (b) Occupy the streets of the city of New York in the course of 52 constructing and thereafter owning a transit facility which consists of 53 a rapid transit railroad or portion thereof, provided such construction 54 is carried out in accordance with the terms of a lease or other agree- 55 ment with the transit construction fund entered into pursuant to the 56 provisions of the transit construction fund act;S. 7840 95 1 (c) Make and execute contracts, leases, subleases, and all other 2 instruments or agreements deemed necessary or convenient; 3 (d) Authorize the use by the transit construction fund, either with or 4 without compensation to the authority or any subsidiary of the agents, 5 employees and facilities of the authority or any subsidiary; 6 (e) Undertake planning, design and feasibility studies in accordance 7 with the terms and conditions of any agreement with the transit 8 construction fund or the city; and 9 (f) Do any and all other things deemed necessary or convenient. 10 3. All of the provisions of this title not inconsistent with the 11 provisions of this section shall be applicable with respect to any bonds 12 or notes of the authority issued to finance any purpose authorized under 13 this section or the transit construction fund act, subject to the 14 following conditions and exceptions: 15 (a) Payment of the principal, redemption premium, if any, and interest 16 on such bonds and notes shall be made only from monies payable to the 17 authority from the transit construction fund under a lease or other 18 agreement entered into pursuant to the provisions of the transit 19 construction fund act, and any security given by the authority for the 20 payment of such principal, redemption premium or interest on such bonds 21 and notes shall be limited to the monies so payable from the transit 22 construction fund. The authority shall not grant any security interest 23 in or otherwise encumber any transit facility leased to the transit 24 construction fund. 25 (b) The provisions of section thirteen hundred forty-nine-aa of this 26 title, relating to the creation and establishment of and appropriations 27 and payments to certain debt service reserve funds shall be inapplica- 28 ble; provided that nothing in this section shall be deemed to prohibit 29 the creation and establishment of one or more reserve funds for debt 30 service as authorized by section thirteen hundred forty-nine-u of this 31 title; 32 (c) In addition to the statement required by subdivision nine of 33 section thirteen hundred forty-nine-u of this title, such bonds and 34 notes shall contain on the face thereof a statement to the effect that 35 the city shall not be liable thereon and that the same shall not be a 36 debt of the city. 37 4. Notwithstanding the provisions of any general or special law to the 38 contrary, or of any agreement entered into in pursuance thereof relating 39 to the repayment of any loan or advance made by the state to the author- 40 ity, the authority shall not be required to repay any such loan or 41 advance from or by reason of the issuance: (a) of bonds or notes of the 42 authority issued to finance any purpose authorized under this section or 43 the transit construction fund act, or the proceeds realized upon such 44 issuance; or (b) from any other funds of the authority derived from the 45 transit construction fund or from any other source whatever to effectu- 46 ate the purposes of the transit construction fund act. 47 § 1349-s. Co-operation and assistance of other agencies. 1. To avoid 48 duplication of effort and in the interests of economy, the authority may 49 make use of existing studies, surveys, plans, data and other materials 50 in the possession of any state agency or any municipality or political 51 subdivision of the state. Each such agency, municipality or subdivision 52 is hereby authorized to make the same available to the authority and 53 otherwise to assist it in the performance of its functions. At the 54 request of the authority, each such agency, municipality or subdivision 55 which is engaged in highway or other transportation activities or in 56 land use or development planning, or which is charged with the duty ofS. 7840 96 1 providing or regulating any transportation facility or any other public 2 facility, is further authorized to provide the authority with informa- 3 tion regarding its plans and programs affecting the transportation 4 district so that the authority may have available to it current informa- 5 tion with respect thereto. The officers and personnel of such agencies, 6 municipalities or subdivisions, and of any other government or agency 7 whatever, may serve at the request of the authority upon such advisory 8 committees as the authority shall determine to create and such officers 9 and personnel may serve upon such committees without forfeiture of 10 office or employment and with no loss or diminution in the compensation, 11 status, rights and privileges which they otherwise enjoy. 12 2. The authority shall, at the request of any state agency, munici- 13 pality or political subdivision of the state, engaged in highway or 14 other transportation activities or in land use or development planning, 15 provide said state agency, municipality or political subdivision with 16 all current and relevant information regarding its plans or programs, so 17 as to enable said agency, municipality or subdivision to properly effec- 18 tuate said activities or planning. 19 3. To the extent that the provisions of this title authorize the 20 authority to enter into any agreement or arrangement with, or undertake 21 any other activity requiring the participation of, the New York city 22 transit authority or any of its subsidiary corporations in furtherance 23 of their respective purposes and powers or the Triborough bridge and 24 tunnel authority in furtherance of its purposes and powers, such enti- 25 ties are hereby authorized and empowered to enter into and perform such 26 contract or other arrangement and to undertake such activities. 27 § 1349-t. Promotion of qualified transportation fringes. The authori- 28 ty shall promote the broad use of qualified transportation fringes, 29 under section one hundred thirty-two of the federal internal revenue 30 code, in order to increase the number of participating companies and 31 employees in such programs. The authority may also study and report on 32 ways in which programs may be improved so as to increase public partic- 33 ipation. 34 § 1349-u. Notes, bonds and other obligations of the authority. 1. (a) 35 The authority shall have power and is hereby authorized from time to 36 time to issue its bonds, notes and other obligations in such principal 37 amount as, in the opinion of the authority, shall be necessary, conven- 38 ient or desirable to effectuate any of its powers and purposes, includ- 39 ing to provide sufficient funds for achieving its purposes, including 40 the acquisition, establishment, construction, effectuation, operation, 41 maintenance, renovation, improvement, extension, rehabilitation or 42 repair of any transportation facility, the payment of principal, redemp- 43 tion premium and interest on bonds, notes and other obligations of the 44 authority, establishment of reserves to secure such bonds, notes and 45 other obligations, the provision of working capital and all other 46 expenditures of the authority and its subsidiary corporations, and New 47 York city transit authority and its subsidiary corporations incident to 48 and necessary or convenient to carry out their purposes and powers. Such 49 bonds, notes or other obligations may be issued for an individual trans- 50 portation facility or issued on a consolidated basis for such groups or 51 classes of facilities and projects as the authority in its discretion 52 deems appropriate and be payable from and secured separately or on a 53 consolidated basis by, among other things, all or any portion of such 54 revenues and other monies and assets of the authority and its subsidiary 55 corporations, and New York city transit authority and its subsidiaryS. 7840 97 1 corporations as the authority determines in accordance with the 2 provisions of section thirteen hundred forty-nine-dd of this title; 3 (b) The authority shall have power, from time to time, to issue 4 renewal notes, to issue bonds to refund, redeem or otherwise pay, 5 including by purchase or tender, notes of the authority and its subsid- 6 iary corporations, the metropolitan transportation authority, and the 7 New York city transit authority and its subsidiary corporations and 8 whenever it deems refunding, redemption or payment expedient, to refund, 9 redeem or otherwise pay, including by purchase or tender, any bonds of 10 the authority and its subsidiary corporations, the metropolitan trans- 11 portation authority, the New York city transit authority and its subsid- 12 iary corporations and the Triborough bridge and tunnel authority by the 13 issuance of new bonds, whether the bonds to be refunded, redeemed or 14 otherwise paid have or have not matured, and to issue bonds partly for 15 such purpose and partly for any other purpose and to otherwise refund, 16 redeem, acquire by purchase or tender, or in any other way repay any 17 outstanding notes, bonds or other obligations of the authority, any of 18 its subsidiary corporations, the metropolitan transportation authority, 19 the New York city transit authority, any of its subsidiary corporations 20 and the Triborough bridge and tunnel authority; 21 (c) Every issue of its notes, bonds or other obligations shall be 22 general obligations or special obligations. Every issue of general obli- 23 gations of the authority shall be payable out of any revenues or monies 24 of the authority, subject only to any agreements with the holders of 25 particular notes or bonds pledging any particular receipts or revenues. 26 Every issue of special obligations shall be payable out of any revenues, 27 receipts, monies or other assets of the authority and its subsidiary 28 corporations, the New York city transit authority and its subsidiary 29 corporations and the Triborough bridge and tunnel authority identified 30 for such purposes in accordance with agreements with the holders of 31 particular notes, bonds or other obligations. The authority may issue 32 transportation revenue special obligation bonds, notes or other obli- 33 gations as provided in section thirteen hundred forty-nine-dd of this 34 title; 35 2. The authority may from time to time issue its bonds and notes in 36 such principal amounts as, in the opinion of the authority, shall be 37 necessary to finance the unfunded pension fund liabilities of the 38 authority, its affiliates and subsidiaries, provided, however, that in 39 no event shall the cumulative amounts of bonds and notes issued pursuant 40 to the authority under this subdivision exceed one billion two hundred 41 million dollars or sixty percent of such unfunded pension fund liabil- 42 ities, whichever is less, and provided, further, that no bonds shall be 43 issued under this subdivision for a term longer than twenty years. The 44 authority may not issue bonds or notes in any twelve month period in a 45 cumulative principal amount in excess of forty percent of the total 46 amount permitted to be issued under this subdivision. Prior to the issu- 47 ance of any bonds or notes, the authority shall make a finding that such 48 issue is expected to result, on a present value basis, in a lower effec- 49 tive cost to the authority than funding the unfunded pension fund 50 liability solely through the payment of annual amounts to the pension 51 fund, assuming that the principal component of the unfunded liability 52 will be amortized over the same number of years as the term of the bonds 53 or notes and that the interest payable thereon is the actuarial rate of 54 interest determined by the actuary for the pension fund at the time of 55 the issuance of such bonds or notes. The aggregate principal amount of 56 bonds and notes issued for such purposes may be increased to fund costsS. 7840 98 1 of issuance and reasonably required debt service or other reserve funds. 2 Bonds and notes may be issued to refund or otherwise repay bonds or 3 notes theretofore issued for such purposes; provided, however, that upon 4 any such refunding or repayment, including for purpose of such calcu- 5 lation the principal amount of the refunding bonds or notes then to be 6 issued and excluding the principal amount of the bonds or notes so to be 7 refunded or repaid and also excluding any amounts used to pay costs of 8 issuance and reasonably required debt service or other reserve funds, 9 the present value of the aggregate debt service of the refunding or 10 repayment bonds or notes to be issued shall not exceed the present value 11 of the aggregate debt service of the bonds or notes so to be refunded or 12 repaid. For purposes of the preceding sentence, the present values of 13 the aggregate debt service of the refunding or repayment bonds or notes 14 and of the aggregate debt service of the bonds or notes so to be 15 refunded or repaid shall be calculated by utilizing the effective inter- 16 est rate of the refunding or repayment bonds or notes, which shall be 17 that rate arrived at by doubling the semi-annual interest rate, 18 compounded semi-annually, necessary to discount the debt service 19 payments on the refunding or repayment bonds or notes from the payment 20 dates thereof to the date of issue of the refunding or repayment bonds 21 or notes and to the price bid including estimated accrued interest or 22 proceeds received by the authority including estimated accrued interest 23 from the sale thereof. Debt service on the bonds or notes shall be 24 structured so that the economic benefits thereof shall be relatively 25 uniform for each full year throughout the term of the bonds or notes. 26 Beginning with the date of first issuance of bonds under this section, 27 the authority and its subsidiaries shall make annual payments into the 28 pension fund in amounts at least equal to the current pension contrib- 29 ution liability applicable to such year. The net proceeds of the bonds 30 or notes intended to be invested in non-debt securities may be invested 31 by the recipient pension fund in a fiscally prudent manner in securities 32 consistent with any trust indentures and all applicable state and feder- 33 al law over a reasonable period of time not less than thirty days 34 following the issuance of the bonds or notes. The operating budget 35 savings associated with the issuance of pension obligation bonds pursu- 36 ant to this subdivision shall be dedicated to reducing service elimi- 37 nations projected to occur within that period. 38 3. The notes, bonds and other obligations shall be authorized by 39 resolution approved by not less than a majority vote of the whole number 40 of members of the authority then in office, except that in the event of 41 a tie vote the chairperson shall cast one additional vote. Such notes, 42 bonds and other obligations shall bear such date or dates, and shall 43 mature at such time or times, in the case of any such note or any 44 renewals thereof not exceeding five years from the date of issue of such 45 original note, and in the case of any such bond not exceeding fifty 46 years from the date of issue, as such resolution or resolutions may 47 provide. The notes, bonds and other obligations shall bear interest at 48 such rate or rates, be in such denominations, be in such form, either 49 coupon or registered, carry such registration privileges, be executed in 50 such manner, be payable in such medium of payment, at such place or 51 places and be subject to such terms of redemption as such resolution or 52 resolutions may provide. The notes, bonds and other obligations of the 53 authority may be sold by the authority, at public or private sale, at 54 such price or prices as the authority shall determine. No notes or bonds 55 of the authority may be sold by the authority at private sale, however, 56 unless such sale and the terms thereof have been approved in writing byS. 7840 99 1 (a) the comptroller, where such sale is not to the comptroller, or (b) 2 the director of the office of management and budget, where such sale is 3 to the comptroller. 4 4. Any resolution or resolutions authorizing any notes, bonds or any 5 issue thereof, or any other obligations of the authority, may contain 6 provisions, which shall be a part of the contract with the holders ther- 7 eof, as to: 8 (a) pledging all or any part of the revenues of the authority or of 9 any of its subsidiary corporations or New York city transit authority or 10 any of its subsidiary corporations or Triborough bridge and tunnel 11 authority to secure the payment of the notes or bonds or of any issue 12 thereof, or any other obligations of the authority, subject to such 13 applicable agreements with bondholders, noteholders, or holders of other 14 obligations of the authority, the metropolitan transportation authority, 15 the New York city transit authority and its subsidiary corporations, and 16 Triborough bridge and tunnel authority; 17 (b) pledging all or any part of the assets of the authority or of any 18 of its subsidiary corporations or New York city transit authority or any 19 of its subsidiary corporations or Triborough bridge and tunnel authority 20 to secure the payment of the notes or bonds or of any issue of notes or 21 bonds, or any other obligations of the authority, subject to such agree- 22 ments with noteholders, bondholders, or holders of other obligations of 23 the authority, the New York city transit authority and its subsidiary 24 corporations, and Triborough bridge and tunnel authority; 25 (c) the use and disposition of revenues, including fares, tolls, 26 rentals, rates, charges and other fees, made or received by the authori- 27 ty, any of its subsidiary corporations, New York city transit authority 28 or any of its subsidiary corporations, or Triborough bridge and tunnel 29 authority; 30 (d) the setting aside of reserves or sinking funds and the regulation 31 and disposition thereof; 32 (e) limitations on the purpose to which the proceeds of sale of notes, 33 bonds or other obligations of the authority may be applied and pledging 34 such proceeds to secure the payment of the notes or bonds or of any 35 issue thereof or of other obligations; 36 (f) limitations on the issuance of additional notes, bonds or other 37 obligations of the authority; the terms upon which additional notes, 38 bonds or other obligations of the authority may be issued and secured; 39 the refunding of outstanding or other notes, bonds or other obligations 40 of the authority; 41 (g) the procedure, if any, by which the terms of any contract with 42 noteholders, bondholders, or holders of other obligations of the author- 43 ity, may be amended or abrogated, the amount of notes, bonds or other 44 obligations of the authority the holders of which must consent thereto, 45 and the manner in which such consent may be given; 46 (h) limitations on the amount of monies to be expended by the authori- 47 ty or any of its subsidiary corporations or New York city transit 48 authority or any of its subsidiary corporations or Triborough bridge and 49 tunnel authority for operating, administrative or other expenses of the 50 authority or any of its subsidiary corporations or New York city transit 51 authority or any of its subsidiary corporations or Triborough bridge and 52 tunnel authority; 53 (i) vesting in a trustee or trustees such property, rights, powers and 54 duties in trust as the authority may determine, which may include any or 55 all of the rights, powers and duties of the trustee appointed by the 56 bondholders, noteholders or holders of other obligations of the authori-S. 7840 100 1 ty pursuant to this title, and limiting or abrogating the right of the 2 bondholders, noteholders or holders of other obligations of the authori- 3 ty to appoint a trustee under this article or limiting the rights, 4 powers and duties of such trustee; and 5 (j) any other matters, of like or different character, which in any 6 way affect the security or protection of the notes, bonds or other obli- 7 gations of the authority. 8 5. In addition to the powers conferred by this section upon the 9 authority to secure its notes, bonds and other obligations, the authori- 10 ty shall have power in connection with the issuance of notes, bonds and 11 other obligations to enter into such agreements as the authority may 12 deem necessary, convenient or desirable concerning the use or disposi- 13 tion of the monies or property of the authority, its subsidiary corpo- 14 rations, New York city transit authority, or any of its subsidiary 15 corporations, or Triborough bridge and tunnel authority, including the 16 mortgaging of any such property and the entrusting, pledging or creation 17 of any other security interest in any such monies or property and the 18 doing of any act (including refraining from doing any act) which the 19 authority would have the right to do in the absence of such agreements. 20 The authority shall have power to enter into amendments of any such 21 agreements within the powers granted to the authority by this title and 22 to perform such agreements. The provisions of any such agreements may be 23 made a part of the contract with the holders of the notes, bonds and 24 other obligations of the authority. 25 6. Any pledge, mortgage or security instrument made by the authority 26 shall be valid and binding from the time when the pledge, mortgage or 27 security instrument is made; the monies or property so pledged, mort- 28 gaged and entrusted and thereafter received by the authority, or any of 29 its subsidiary corporations shall immediately be subject to the lien of 30 such pledge, mortgage or security instrument without any physical deliv- 31 ery thereof or further act; and the lien of any such pledge, mortgage or 32 security instrument shall be valid and binding as against all parties 33 having claims of any kind in tort, contract or otherwise against the 34 authority, or any of its subsidiary corporations, irrespective of wheth- 35 er such parties have notice thereof. Neither the resolution nor any 36 mortgage, security instrument or other instrument by which a pledge, 37 mortgage lien or other security is created shall need to be recorded or 38 filed and neither the authority nor, any of its subsidiary corporations 39 shall be required to comply with any of the provisions of the uniform 40 commercial code. 41 7. Neither the members of the authority, the New York city transit 42 authority or the Triborough bridge and tunnel authority nor any person 43 executing the notes, bonds or other obligations shall be liable 44 personally on the notes, bonds or other obligations or be subject to any 45 personal liability or accountability by reason of the issuance thereof. 46 8. The authority, subject to such agreements with the holders of 47 notes, bonds or other obligations as may then exist, shall have power 48 out of any funds available therefor to purchase notes, bonds or other 49 obligations of the authority. The authority may hold, cancel or sell 50 such bonds, notes and other obligations, subject to and in accordance 51 with agreements with such holders. 52 9. Neither the state nor the city of New York shall be liable on 53 notes, bonds or other obligations of the authority and such notes, bonds 54 and other obligations shall not be a debt of the state or the city of 55 New York, and such notes, bonds and other obligations shall contain onS. 7840 101 1 the face thereof, or in an equally prominent place, a statement to such 2 effect. 3 10. So long as the authority has any outstanding bonds, notes or other 4 obligations issued pursuant to this section or any bonds, notes or other 5 obligations issued or incurred pursuant to section thirteen hundred 6 forty-nine-j of this title, none of the authority or any of its subsid- 7 iary corporations, New York city transit authority or any of its subsid- 8 iary corporations, or Triborough bridge and tunnel authority shall have 9 the authority to file a voluntary petition under chapter nine of the 10 federal bankruptcy code or such corresponding chapter, chapters or 11 sections as may, from time to time, be in effect, and neither any public 12 officer nor any organization, entity or other person shall authorize the 13 authority or any of its subsidiary corporations, New York city transit 14 authority or any of its subsidiary corporations, or Triborough bridge 15 and tunnel authority to be or become a debtor under chapter nine of the 16 federal bankruptcy code or said corresponding chapter, chapters or 17 sections during any such period. 18 11. The term "monies" as used in this section shall include, but not 19 be limited to, all operating subsidies provided by (i) any public bene- 20 fit corporation, including without limitation transfers of operating 21 surplus by Triborough bridge and tunnel authority pursuant to section 22 twelve hundred nineteen-a of this article, or (ii) any governmental 23 entity, federal, state or local and shall exclude all funds required to 24 be transferred to the metropolitan transportation authority pursuant to 25 section thirteen hundred forty-nine-h of this title. 26 12. Any resolution or agreement authorizing the issuance of bonds, 27 notes or other obligations pursuant to this section may, in addition, 28 authorize and provide for the issuance of lease obligations of the 29 authority which may be issued for the purposes and on the terms and 30 conditions under which the bonds, notes and other obligations authorized 31 under this section may be issued, and may be secured in the same manner 32 as such bonds, notes and other obligations, and which resolution with 33 respect to such lease obligations, may contain such other provisions 34 applicable to bonds, notes and other obligations not inconsistent with 35 the provisions of this section, as the authority may determine. 36 13. The aggregate principal amount of bonds, notes or other obli- 37 gations issued after the first of January next succeeding the effective 38 date of this title, by the authority, the Triborough bridge and tunnel 39 authority and the New York city transit authority to fund projects 40 contained in capital program plans approved pursuant to section thirteen 41 hundred forty-nine-v of this title for the capital program authorization 42 period shall not exceed fifty-five billion four hundred ninety-seven 43 million dollars. Such aggregate principal amount of bonds, notes or 44 other obligations or the expenditure thereof shall not be subject to any 45 limitation contained in any other provision of law on the principal 46 amount of bonds, notes or other obligations or the expenditure thereof 47 applicable to the authority, the Triborough bridge and tunnel authority 48 or the New York city transit authority. The aggregate limitation estab- 49 lished by this subdivision shall not include: (a) obligations issued to 50 refund, redeem or otherwise repay, including by purchase or tender, 51 obligations theretofore issued either by the issuer of such refunding 52 obligations or by the authority, the New York city transit authority or 53 the Triborough bridge and tunnel authority; (b) obligations issued to 54 fund any debt service or other reserve funds for such obligations; (c) 55 obligations issued or incurred to fund the costs of issuance, the 56 payment of amounts required under bond and note facilities, federal orS. 7840 102 1 other governmental loans, security or credit arrangements or other 2 agreements related thereto and the payment of other financing, original 3 issue premiums and related costs associated with such obligations; (d) 4 an amount equal to any original issue discount from the principal amount 5 of such obligations or to fund capitalized interest; (e) obligations 6 incurred pursuant to section twelve hundred seven-m of this article; (f) 7 obligations incurred to fund the acquisition of certain buses for the 8 New York city transit authority as identified in a capital program plan 9 approved pursuant to chapter fifty-three of the laws of nineteen hundred 10 ninety-two; (g) obligations incurred in connection with the leasing, 11 selling or transferring of equipment; and (h) bond anticipation notes or 12 other obligations payable solely from the proceeds of other bonds, notes 13 or other obligations which would be included in the aggregate principal 14 amount specified in the first sentence of this subdivision, whether or 15 not additionally secured by revenues of the authority, or any of its 16 subsidiary corporations, New York city transit authority, or any of its 17 subsidiary corporations, or Triborough bridge and tunnel authority. 18 § 1349-v. Capital program plans; approvals; effect of disapproval. 1. 19 On or before October first next succeeding the effective date of this 20 section, and every fifth year thereafter, the authority shall submit to 21 the mayor a capital program plan for the ten-year period commencing 22 January first of the following year. 23 2. For the period described in subdivision one of this section, the 24 plan shall contain the capital program for the transit facilities oper- 25 ated by the New York city transit authority and its subsidiaries and for 26 the Staten Island rapid transit operating authority. 27 3. The plan shall set system-wide goals and objectives for capital 28 spending, establish standards for service and operations, and describe 29 each capital element proposed to be initiated in each of the years 30 covered by the plan and explain how each proposed element supports the 31 achievement of the service and operational standards established in the 32 plan. The plan shall also set forth an estimate of the amount of capital 33 funding required each year and the expected sources of such funding. 34 Each plan subsequent to the first such plan and each proposed amendment 35 or modification thereof shall also describe the current status of each 36 capital element included in the previously approved plan, if any. The 37 plan shall be accompanied or supplemented by such supporting materials 38 as the mayor shall require. 39 4. A "capital element", as used in this section, shall mean either a 40 category of expenditure itemized in a plan, as hereinafter provided, for 41 which a specified maximum dollar amount is proposed to be expended, or a 42 particularly described capital project within one or more categories for 43 which no maximum expenditure is proposed, but for which an estimate of 44 expected cost is provided. A capital element shall be deemed to have 45 been initiated for purposes of this section if in connection with such 46 element the authority shall certify that: 47 (a) purchase or construction contracts have been entered into, obli- 48 gating in the aggregate an amount exceeding ten percent of the maximum 49 or estimated cost of the element as set forth in a plan; 50 (b) financing specific to the project has been undertaken; or 51 (c) in a case where such element is limited to design or engineering, 52 a contract therefor has been entered into. 53 5. The plan shall itemize the capital elements included in each 54 section of the plan under the following categories of expenditure: (a) 55 rolling stock and buses; (b) passenger stations; (c) track; (d) line 56 equipment; (e) line structures; (f) signals and communications; (g)S. 7840 103 1 power equipment, emergency power equipment and substations; (h) shops, 2 yards, maintenance facilities, depots and terminals; (i) service vehi- 3 cles; (j) security systems; (k) electrification extensions; and (l) 4 unspecified, miscellaneous and emergency. 5 6. A capital program plan must be approved only by resolution of the 6 authority approved by not less than a majority vote. After approval, the 7 authority must submit the plan to the mayor, who has ninety days to 8 approve the plan. 9 7. A copy of any capital program plan that has been approved by the 10 authority and distributed to the mayor shall be simultaneously provided 11 to the public by the big apple transit authority, via its official or 12 shared internet website. 13 8. If the mayor takes no action within ninety days after receiving the 14 plan, the plan shall be deemed to have been approved. 15 9. If the mayor vetoes the plan, the authority may only override the 16 veto by unanimous vote. 17 10. If the mayor vetoes the plan and the authority does not override 18 the veto, the authority may thereafter reformulate and resubmit such 19 plan at any time. Within thirty days of the submission of such reformu- 20 lated plan, the mayor may notify the authority of its approval, or, if 21 the reformulated plan is not approved and the mayor has not notified the 22 authority of his or her disapproval within such period, the reformulated 23 plan shall be deemed to have been approved. 24 11. No general obligation bonds or notes of the authority, no special 25 obligation bonds or notes of the authority to finance a transit project, 26 as such term is defined in section thirteen hundred forty-nine-j of this 27 title, and no bonds or notes of the Triborough bridge and tunnel author- 28 ity to finance a project pursuant to the authorization contained in 29 paragraph (r) of subdivision nine of section five hundred fifty-three of 30 this chapter shall be issued to finance the costs of a capital element 31 unless such capital element and such source of funding was set forth in 32 a plan approved as provided in this section. 33 12. The disapproval of a capital program plan shall not affect: (a) 34 the right of the authority, of the Triborough bridge and tunnel authori- 35 ty, or of the New York city transit authority, or of the subsidiaries of 36 any of them to initiate and complete any capital element which will be 37 financed otherwise than through the issuance of the bonds or notes the 38 issuance of which is prohibited under subdivision seven of this section; 39 (b) the right of the authority or the Triborough bridge and tunnel 40 authority to issue bonds or notes to finance a capital element which was 41 initiated prior to such disapproval in conformity with a previously 42 approved plan; (c) the right of the New York city transit authority to 43 issue its bonds, notes, lease, sublease or other contractual obligations 44 in payment for a transit project initiated prior to such disapproval in 45 conformity with a previously approved plan; (d) the right of the author- 46 ity or of the Triborough bridge and tunnel authority to issue bonds or 47 notes to refund or otherwise repay any of its outstanding bonds or notes 48 or to fulfill any of their obligations to the holders of any of their 49 outstanding bonds or notes; or (e) the right of the New York city trans- 50 it authority to issue its bonds, notes, lease, sublease or other 51 contractual obligations to refund or otherwise repay any of its 52 outstanding bonds or notes or to fulfill any of its obligations to the 53 holders of any of its outstanding bonds or notes. 54 13. Notwithstanding the provisions of subdivision eight of this 55 section, if a source of funding described in an approved plan shall be 56 unavailable or be available in a lesser amount than that set forth inS. 7840 104 1 such plan, the authority and the Triborough bridge and tunnel authority 2 may issue bonds or notes as necessary to provide the requisite funding 3 for the capital elements included in the plan to the extent that the 4 aggregate amount of such bonds or notes to be issued in substitution for 5 such unavailable amounts shall not exceed the greater of fifty million 6 dollars or twenty percent of the total amount described in such plan for 7 either the substitute funding source or the funding source being substi- 8 tuted for, subject to the limitations set forth in subdivision eleven of 9 section five hundred fifty-three-e of this chapter and paragraph (a) of 10 subdivision four of section twelve hundred seven-m of this article. 11 14. (a) The authority may from time to time submit to the mayor amend- 12 ments or modifications to any ten-year plan theretofore submitted, and 13 shall submit such an amendment or modification (i) if the estimated cost 14 of any capital element for which a specified dollar amount was proposed 15 to be expended exceeds the amount set forth in the approved plan for 16 such element by more than ten percent, (ii) if with respect to a partic- 17 ularly described capital element for which only an estimate of projected 18 cost has been provided in the plan there is a material change in the 19 description of such element from that contained in the approved plan, 20 (iii) if a capital element not previously included in the approved plan 21 is proposed to be undertaken and its cost, together with the cost of 22 other elements included in category (l) of the plan, exceeds by ten 23 percent the amount provided for such category (l) elements, (iv) if the 24 authority shall propose to change by more than one year from the time 25 when any capital element is proposed to be initiated or the effect of 26 such change will be to increase the estimated amount of capital funding 27 required in any year covered by the plan by more than twenty percent, or 28 (v) if the availability of funding sources changes to the degree to 29 which the authority or the Triborough bridge and tunnel authority are 30 precluded from exercising the authorization provided in subdivision nine 31 of this section and the authority wishes to do so. 32 (b) An amendment or modification may only be approved in two ways: (i) 33 an amendment or modification shall only be approved by the mayor and 34 within thirty days of the submission of an amendment or modification the 35 mayor may notify the authority of its approval of the same; or (ii) if 36 the amendment or modification is not approved by the mayor within such 37 thirty day period and the mayor has not notified the authority in writ- 38 ing of his or her disapproval within such period, the amendment or 39 modification shall be deemed to have been approved. 40 15. In formulating its capital program plans, the authority shall give 41 consideration to the physical condition and urgency of need of each of 42 the several transportation and transit systems involved, to the needs of 43 all of the communities and areas serviced by these systems, to the 44 extent to which other capital aid or assistance may be available to each 45 of these systems, and to the safety, comfort and convenience of its 46 passengers. In determining the source or method of funding which the 47 authority is to use to finance the cost of the capital elements included 48 in its capital program plans, the authority shall, insofar as practica- 49 ble, give consideration, among other things, to: (a) the potential 50 impact of each such source or method upon the level of passenger fares; 51 (b) the relative cost of the several funding alternatives; and (c) the 52 relative ability of each source or method to provide funding at times 53 and in amounts estimated to be required by the capital program plan. To 54 the extent funding is proposed to be obtained through the issuance and 55 sale of bonds or notes, the authority shall, insofar as practicable and 56 consistent with the matters set forth in paragraphs (a), (b) and (c) ofS. 7840 105 1 this subdivision, give preference to the use of funds appropriated or to 2 be appropriated to the authority by virtue of service contracts with the 3 director of the office of management and budget entered into pursuant to 4 the provisions of the transportation systems assistance and financing 5 act of nineteen hundred eighty-one for purposes of paying the annual 6 cost of debt service for such bonds or notes. 7 16. On or before the first of October succeeding the effective date of 8 this subdivision, and on or before October first of every fifth year 9 thereafter, the authority shall submit to the mayor a twenty-year capi- 10 tal needs assessment. Such assessment shall begin with the period 11 commencing on the first of January after such submission, and begin each 12 assessment with every fifth year thereafter, and describe capital 13 investments over the succeeding twenty years. Such assessment shall: (a) 14 set forth broad long-term capital investments to be made throughout the 15 district; and (b) establish a non-binding basis to be used by the 16 authority in the planning of strategic investments involving capital 17 elements in its five-year capital plan. Such assessment shall not 18 require approval of the mayor and shall be for informational purposes 19 only. 20 17. For purposes of this section, "broad long-term capital invest- 21 ments" shall include but not be limited to: system rebuilding, enhance- 22 ment, and expansion needs; agency needs broken down by capital element 23 or investment category; and projected future trends and network impli- 24 cations. Such assessment shall be certified by the chairperson of the 25 authority and shall be entered into the permanent record of the minutes 26 of the review board. 27 § 1349-w. Submission of strategic operation plan. 1. On or before the 28 first of July next succeeding the effective date of this section, the 29 authority shall submit to the mayor a strategic operation plan for the 30 bus and subway services of the New York city transit authority and its 31 subsidiaries and for the Staten Island rapid transit operating authority 32 for the five year period commencing January first of the following year. 33 The plan may be amended as required but shall be updated at least annu- 34 ally. The plan shall include, but need not be limited to, the following: 35 (a) Long-range goals and objectives for the operation of services and 36 facilities; 37 (b) Planned service and performance standards for each year of the 38 period covered by the plan; including, in such plan submitted after the 39 first of July next succeeding the effective date of this section: (i) 40 standards for determining frequency of service at peak hours and off- 41 peak hours; (ii) frequency of service at peak and off-peak hours based 42 on the application of such standards to the current period for each 43 subway line, bus route or group of bus routes; and (iii) projected 44 performance for each subway line, bus route or group of bus routes as 45 measured by reliability indicators commonly utilized within the transit 46 industry, including such measures as mean distance between failures for 47 subway cars, planned number of vehicles with air conditioning and 48 projected reliability of such equipment, planned standards for cleanli- 49 ness of the interior and exterior of subway cars, buses, and passenger 50 stations, and other appropriate measures of planned performance influ- 51 encing the quality of services; 52 (c) Level and structure of fares projected for each year of the period 53 covered by the plan; 54 (d) Estimated operating and capital resources anticipated to be avail- 55 able from internal sources as well as from federal, state, regional and 56 local sources;S. 7840 106 1 (e) Estimated operating and capital costs to satisfy planned standards 2 of performance and service; 3 (f) Strategies to improve productivity; control cost growth; integrate 4 and coordinate the delivery of services provided by the authority as 5 well as other public and private transportation providers in the service 6 area; 7 (g) Specific allocation of operating and capital resources by mode and 8 operation, including funds, personnel and equipment; 9 (h) Configuration by mode, operation and route of the services to be 10 provided and the facilities to be operated, identifying major planned 11 changes in services and routes; 12 (i) Identification of the operating and capital costs as compared to 13 the revenues anticipated from system users for the big apple transit 14 authority and its subsidiaries and the New York city transit authority 15 and its subsidiaries; and 16 (j) An analysis of the relationship between specific planned capital 17 elements contained in approved capital program plans and the achievement 18 of planned service and performance standards. Such analysis shall 19 include the relationship of specific planned capital elements to the 20 achievement of such service and performance standards for each subway 21 line, bus route or group of bus routes as appropriate. 22 2. Each annual update of the plan shall include a status report summa- 23 rizing the extent to which planned service and performance standards 24 developed for the previous year were achieved, the causes of any failure 25 to achieve projected standards of service, and corrective measures the 26 authority intends to take to avoid non-achievement of projected stand- 27 ards in the next upcoming year. 28 3. The big apple transit authority shall take into consideration any 29 petitions from local officials for improved services, including how 30 these service improvements relate to the service and performance stand- 31 ards described in subdivision two of this section, and shall consult 32 with appropriate local officials in its preparation and periodic updates 33 to the operation plan. 34 § 1349-x. Financial and operational reports. The authority shall 35 submit to the mayor and speaker of the city council, no later than thir- 36 ty days following the submission of the annual independent audit report 37 pursuant to section twenty-eight hundred two of this chapter, a complete 38 detailed report or reports setting forth, to the extent such matters are 39 not fully addressed in the annual independent audit report, the follow- 40 ing: 41 1. its financial reports, including: 42 (a) audited financials in accordance with all applicable regulations 43 and following generally accepted accounting principles as defined in 44 subdivision ten of section two of the state finance law; 45 (b) grant and subsidy programs; 46 (c) operating and financial risks; 47 (d) current ratings of its bonds issued by recognized municipal bond 48 rating agencies and notice changes in such ratings; and 49 (e) long-term liabilities, including leases and employee benefit 50 plans; and 51 2. an assessment of the effectiveness of its internal control struc- 52 ture and procedures, including: 53 (a) descriptions of the authority and its major units and subsid- 54 iaries; 55 (b) the number of employees, and minority and women employees, for 56 each;S. 7840 107 1 (c) an organizational chart; 2 (d) its charter, if any and by-laws; 3 (e) the extent of participation by minority and women-owned enter- 4 prises in authority contracts and services in accordance with article 5 fifteen-A of the executive law; and 6 (f) a listing of material changes in internal operations and programs 7 during the reporting year. 8 § 1349-y. Mission statement and measurement report. 1. The authority 9 shall submit to the mayor and speaker of the city council, on or before 10 the first of October next succeeding the effective date of this title, a 11 proposed authority mission statement and proposed measurements. The 12 proposed mission statement and proposed measurements shall have the 13 following components: a brief mission statement expressing the purpose 14 and goals of the authority; a description of the stakeholders of the 15 authority and their reasonable expectations from the authority, which 16 stakeholders shall include at a minimum: the residents and taxpayers of 17 the area of the state served by the authority, the persons that use the 18 services provided by the authority, and the employees of the authority 19 and any employee organization; the goals of the authority in response to 20 the needs of each group of stakeholders; and a list of measures by which 21 performance of the authority and the achievement of its goals may be 22 evaluated. 23 2. The authority shall thereafter reexamine its mission statement and 24 measurements on an annual basis and publish on its website self-evalua- 25 tions based on the stated measures. 26 § 1349-z. Requirements for certain authority contracts and related 27 subcontracts. 1. Any contractor or subcontractor subject to the posting 28 requirements of paragraph a of subdivision three-a of section two 29 hundred twenty of the labor law with respect to a public works contract 30 of the authority shall: 31 (a) post information conforming to the provisions of subdivision two 32 of this section in one or more conspicuous places at each major work- 33 place site where persons who perform work on the contract or subcon- 34 tract, including management, are most likely to see such postings; 35 provided that, this requirement may be satisfied by the displaying of 36 such information with other notices that inform persons of rights under 37 federal or state laws or rules, human resource policies, or collective 38 bargaining agreements; 39 (b) post information conforming to the provisions of subdivision two 40 of this section on an internet and intranet website, if any, of that 41 person or business organization; provided that, this requirement may be 42 satisfied by providing on such website a conspicuous hyperlink to the 43 authority website maintained pursuant to subdivision three of this 44 section, which hyperlink shall be labeled "Protections for Reporting 45 Fraud in New York"; 46 (c) distribute information specified in subdivision two of this 47 section to those persons, including employees and managers, who perform 48 work on the contract; provided that, this requirement may be satisfied 49 by distributing such information in an employee handbook or through a 50 specific electronic communication containing the information to a known 51 electronic mail address maintained by the person; and 52 (d) comply with the provisions of this subdivision, and provide to the 53 authority satisfactory evidence of such compliance, within ninety days. 54 2. The disclosures required by subdivision one of this section shall: 55 (a) provide the telephone numbers and addresses to report information 56 of fraud or other illegal activity to the appropriate officers of theS. 7840 108 1 inspector general of the authority and the attorney general of the 2 state; 3 (b) describe in detail conduct prohibited by section one hundred 4 eighty-nine of the state finance law, and the role of that act in 5 preventing and detecting fraud and abuse in work paid for by the author- 6 ity or with funds originating from the authority; 7 (c) notify prospective qui tam plaintiffs on how to file a qui tam 8 action, including the necessity to contact private counsel skilled in 9 filing such actions and of the potential for cash rewards in such 10 actions based on the percentage of the funds recovered by the govern- 11 ment; and 12 (d) describe prohibitions on employer retaliation against persons who 13 file or assist actions under article thirteen of the state finance law, 14 the New York false claims act pursuant to section one hundred ninety-one 15 of the state finance law, or who report illegal conduct that threatens 16 the health or safety of the public pursuant to section seven hundred 17 forty of the labor law. 18 3. No later than forty-five days after the effective date of this 19 section, the authority shall establish and continuously maintain on its 20 public website and its intranet site a page that shall provide the 21 information specified in subdivision two of this section, and that shall 22 also provide sample statements, displays and other materials suitable 23 for insertion in employee handbooks or posting at workplaces or on 24 websites that would satisfy the disclosure requirements of this section. 25 4. On and after the effective date of this section, the authority 26 shall not enter into any contract described in subdivision one of this 27 section that does not incorporate the terms of this section. 28 5. Material compliance by a covered person or business organization 29 that has contracted with the authority under a contract that incorpo- 30 rates the terms of this section shall be a material condition of payment 31 for the provision of goods or services. 32 6. The authority is authorized to adopt such rules and regulations as 33 are necessary to effectuate the purposes of this section. 34 § 1349-aa. Reserve funds and appropriations. The authority may create 35 and establish one or more reserve funds in accordance with agreements 36 with bondholders, noteholders or the holders of other obligations of the 37 authority and may pay into such reserve funds (a) any monies appropri- 38 ated and made available by the state for the purposes of such funds, (b) 39 any proceeds of sales of notes, bonds or other obligations to the extent 40 provided in the resolution of the authority authorizing the issuance 41 thereof, and (c) any other moneys which may be made available to the 42 authority for the purpose of such funds from any other source or sourc- 43 es. In lieu thereof, the authority may provide for the deposit therein 44 of, or substitute for moneys on deposit therein, a liquidity or credit 45 facility, surety bond or other similar agreement. 46 § 1349-bb. Big apple transit authority special assistance fund. 1. The 47 authority shall create and establish a fund to be known as the "big 48 apple transit authority special assistance fund" which shall be kept 49 separate from and shall not be commingled with any other moneys of the 50 authority. The special assistance fund shall consist of two separate 51 accounts: (i) the "transit account"; and (ii) the "corporate transporta- 52 tion account". 53 2. Moneys in the transit account may be pledged to the Triborough 54 bridge and tunnel authority to secure bonds and notes and, if so 55 pledged, shall be paid to the Triborough bridge and tunnel authority in 56 such amounts and at such times as necessary to pay or to reimburse thatS. 7840 109 1 authority for its payment of debt service and reserve requirements on 2 that portion of special Triborough bridge and tunnel authority bonds and 3 notes issued by that authority pursuant to section five hundred fifty- 4 three-d of this chapter for transit projects undertaken for the New York 5 city transit authority and its subsidiaries. Subject to the provisions 6 of such pledge, any excess moneys, or in the event there is no such 7 pledge, any moneys in such account shall, at the direction of the big 8 apple transit authority, be: (a) deposited into one or more funds or 9 accounts and used as contemplated by section thirteen hundred forty- 10 nine-dd of this title; or (b) used for the payment of operating and 11 capital costs of the New York city transit authority and its subsid- 12 iaries and the Staten Island rapid transit operating authority. 13 3. (a) Moneys in the corporate transportation account shall be pledged 14 by the authority, or pledged to the Triborough bridge and tunnel author- 15 ity, to secure bonds, notes or other obligations of the authority or the 16 Triborough bridge and tunnel authority, as the case may be, and, if so 17 pledged to the Triborough bridge and tunnel authority, shall be paid to 18 the Triborough bridge and tunnel authority in such amounts and at such 19 times as necessary to pay or to reimburse that authority for its payment 20 of debt service and reserve requirements, if any, on that portion of 21 special Triborough bridge and tunnel authority bonds and notes issued by 22 that authority pursuant to section five hundred fifty-three-d of this 23 chapter. Subject to the provisions of any such pledge, or in the event 24 there is no such pledge, any excess moneys in the corporate transporta- 25 tion account may be used by the authority for payment of operating costs 26 of, and capital costs, including debt service and reserve requirements, 27 if any, of or for the authority, the New York city transit authority and 28 their subsidiaries as the authority shall determine. 29 § 1349-cc. Big apple transit authority dedicated tax fund. 1. The 30 authority shall establish a fund to be known as the "big apple transit 31 authority dedicated tax fund" which shall be kept separate from and 32 shall not be commingled with any other moneys of the authority. The fund 33 shall consist of a "pledged amounts account" and an "operating and capi- 34 tal costs account" and such other accounts and subaccounts as the 35 authority may determine. 36 2. Moneys in the fund may be: 37 (a) pledged by the authority to secure and be applied to the payment 38 of its bonds, notes or other obligations specified by the authority and 39 issued to finance: (i) transit projects undertaken for the New York city 40 transit authority and its subsidiaries; and (ii) transportation facili- 41 ties undertaken for the authority and its subsidiaries; and 42 (b) used for payment of operating costs, and capital costs, including 43 debt service, reserve requirements, if any, the payment of amounts 44 required under bond and note facilities or agreements related thereto, 45 the payment of federal government loans, security or credit arrangements 46 or other agreements related thereto, and the payment of all costs 47 related to such obligations, of or for the authority, the New York city 48 transit authority and their subsidiaries as the authority shall deter- 49 mine. To the extent moneys in the fund have been pledged by the authori- 50 ty to secure and pay its bonds, notes or other obligations as herein 51 provided, moneys deposited into the fund shall first be deposited into 52 the pledged amounts account to the extent necessary to satisfy the 53 requirements of any debt service or reserve requirements, if any, of the 54 resolution authorizing such bonds, notes or other obligations. After 55 satisfaction of such requirements of the resolution, or if the authority 56 has not so pledged the moneys in the fund, moneys deposited in the fundS. 7840 110 1 shall be directly deposited into the operating and capital costs account 2 and, subject to the provisions of any resolutions of the authority not 3 secured by the pledged amounts account, transferred forthwith to or for 4 the benefit of the New York city transit authority and its subsidiaries 5 and the Staten Island rapid transit operating authority. 6 3. Any moneys deposited in the fund shall be held in the fund free and 7 clear of any claim by any person arising out of or in connection with 8 article thirteen-A of the tax law. Without limiting the generality of 9 the foregoing and without limiting the rights and duties of the commis- 10 sioner of taxation and finance under article thirteen-A of the tax law, 11 or any other person, including the state, a person shall have any right 12 or claim against the authority, any of its bondholders, the authority or 13 the commuter transportation authority to any moneys in or distributed 14 from the fund or in respect of a refund, rebate, credit or reimbursement 15 of taxes paid under article thirteen-A of the tax law. 16 § 1349-dd. Consolidated financings. 1. Notwithstanding any inconsist- 17 ent provisions of this law or any other law, general, special or local, 18 the authority may issue its notes, bonds and other obligations to 19 finance transportation facilities, including transit projects and 20 Triborough bridge and tunnel authority projects, utilizing a consol- 21 idated pledge of all or any portion of the revenues and other moneys and 22 assets of the authority and its subsidiaries, New York city transit 23 authority and its subsidiaries, and the Triborough bridge and tunnel 24 authority, together with those other sources of payment described in 25 this section. In connection therewith, at its discretion, the authority, 26 subject to the rights of the holders of notes, bonds or other obli- 27 gations of the authority, the metropolitan transportation authority, the 28 New York city transit authority or the Triborough bridge and tunnel 29 authority, may: (a) agree with the New York city transit authority or 30 the Triborough bridge and tunnel authority that any such entity shall 31 deposit all or any portion of the revenues, other monies and assets 32 received by it or its subsidiaries into one or more funds or accounts; 33 and (b) deposit or cause to be deposited into one or more funds and 34 accounts: (i) all or any portion of the revenues, other monies and 35 assets received by the authority and its subsidiaries; (ii) all or any 36 portion of the annual operating surplus of the Triborough bridge and 37 tunnel authority as certified pursuant to paragraph (b) of subdivision 38 two of section twelve hundred nineteen-a of this article; (iii) all or 39 any portion of the amounts from the operating and capital costs account 40 of the metropolitan transportation authority dedicated tax fund required 41 to be distributed to New York city transit authority under the 42 provisions of section twelve hundred seventy-c of this title; (iv) all 43 or any portion of the available monies in the transit account of the 44 metropolitan transportation authority special assistance fund estab- 45 lished under the provisions of section twelve hundred seventy-a of this 46 title available for payment of operating and capital costs of New York 47 city transit authority and its subsidiaries and Staten Island rapid 48 transit operating authority as provided in subdivision two of section 49 twelve hundred seventy-a of this title; (v) all or any portion of the 50 available moneys in the corporate transportation account of the metro- 51 politan transportation authority special assistance fund established 52 under the provisions of section twelve hundred seventy-a of this title 53 available for use by the authority for payment of operating costs of, 54 and capital costs, including debt service and reserve requirements, if 55 any, of or for the authority, the New York city transit authority and 56 their subsidiaries as provided in paragraph (a) of subdivision four ofS. 7840 111 1 section twelve hundred seventy-a of this title; and (vi) any other 2 monies of the authority, its subsidiaries, the New York city transit 3 authority and its subsidiaries, and the Triborough bridge and tunnel 4 authority from any source whatsoever. 5 2. Amounts so deposited in such funds or accounts may be: (a) pledged 6 by the authority to secure, and be applied to, the payment of its bonds, 7 notes or other obligations issued to finance transportation facilities 8 undertaken for the authority and its subsidiaries, transportation facil- 9 ities, including transit projects, undertaken for New York city transit 10 authority and its subsidiaries, and Triborough bridge and tunnel author- 11 ity projects undertaken for the Triborough bridge and tunnel authority; 12 and (b) used for payment of operating costs, and capital costs, includ- 13 ing debt service, reserve requirements, if any, the payment of amounts 14 required under bond, note or other financing facilities or agreements, 15 and the payment of all costs related to such obligations, of or for the 16 authority and its subsidiaries, and the New York city transit authority 17 and its subsidiaries as the authority in its full discretion shall 18 determine. To the extent moneys so deposited have been pledged by the 19 authority to secure and pay its bonds, notes or other obligations pursu- 20 ant to this subdivision, such moneys shall first be applied to satisfy 21 the requirements of any debt service or reserve requirements of the 22 resolution or resolutions or other contractual arrangements authorizing 23 such bonds, notes or other obligations. After satisfaction of such 24 requirements of any such resolution, resolutions, or other contractual 25 arrangements or if the authority has not so pledged such moneys, such 26 moneys so deposited, subject to the provisions of any other resolutions 27 or contractual arrangements of the authority and the New York city tran- 28 sit authority and applicable provisions of law, may be transferred to or 29 for the benefit of the authority and its subsidiaries and New York city 30 transit authority and its subsidiaries. Revenues and other monies of the 31 authority and its subsidiaries and New York city transit authority and 32 its subsidiaries, respectively, which are deposited in the funds or 33 accounts authorized by this section, as reduced by any application of 34 such revenues or monies to the payment of debt service, reserve require- 35 ments, if any, and other costs attributable to the funding of the capi- 36 tal costs of such entity, shall be allocated, credited and distributed 37 to such source entity. Any other revenues or monies which are deposited 38 in the funds or accounts authorized by this section which are required 39 by law to be allocated or paid to the authority or its subsidiaries or 40 New York city transit authority or its subsidiaries, shall be allocated 41 or paid to the entity to which it is required to be allocated or paid by 42 law after reduction by an amount equal to the portion thereof applied to 43 the payment of debt service, reserve requirements, if any, and other 44 costs attributable to the funding of the capital costs of such entity. 45 In determining the amount of debt service, reserve requirements, if any, 46 and other costs attributable to the authority and its subsidiaries and 47 the New York city transit authority and its subsidiaries, the authority 48 shall make such calculation based upon the percentage of the proceeds of 49 the bonds, notes and other obligations expended for the capital costs 50 attributable to each such entity. The authority may utilize any interim 51 allocation of such distributions, provided that within ninety days after 52 the end of each calendar year, the authority shall certify that the 53 aggregate amount of moneys transferred to each of the authority and its 54 subsidiaries, and the New York city transit authority and its subsid- 55 iaries in respect of such calendar year, taking into account any intera- 56 gency repayments or reimbursements anticipated to be made in the nextS. 7840 112 1 succeeding calendar year, is not less than the amounts required to be 2 paid or transferred to such entities. 3 3. For the purpose of appropriately aligning and allocating the ulti- 4 mate responsibility for debt service among and between the authority and 5 its subsidiaries, New York city transit authority and its subsidiaries, 6 or the Triborough bridge and tunnel authority, each being an "affiliated 7 group", and except as otherwise authorized or required by law, in 8 connection with the application of revenues, subsidies or other moneys 9 or securities of an affiliated group to pay the debt service attribut- 10 able to bonds, notes or other obligations which provide funding of the 11 capital costs of another affiliated group or to refund or redeem bonds, 12 notes or other obligations, the proceeds of which were used to fund the 13 capital costs of another affiliated group, the affiliated group for 14 whose benefit debt service is paid or obligations refunded or redeemed, 15 shall repay, through payments, adjustments or other form of reconcil- 16 iation, such amounts to the affiliated group that made such payments not 17 later than the end of the next succeeding fiscal year; provided, howev- 18 er, that in connection with any refunding or redemption of bonds, notes 19 or other obligations, such repayment, adjustments or other form of 20 reconciliation shall be completed within the period of the applicable 21 capital program plan. 22 § 1349-ee. Regulation of certain authority expenditures. The authori- 23 ty shall implement policies as appropriate to minimize unwarranted 24 expenses and to protect against abuses in connection with (i) the grant- 25 ing of any privileges or benefits having financial value, other than 26 wage payments or expense reimbursements, to members or staff of the 27 authority, or any subsidiary or other authority created by the authori- 28 ty; and (ii) the full-time and part-time assignment and use of automo- 29 biles owned or leased by the authority, or any subsidiary or other 30 authority created by the authority, and the use by authority employees 31 and board members of livery vehicles, as defined in section one hundred 32 twenty-one-e of the vehicle and traffic law. 33 § 1349-ff. Metropolitan transportation authority finance fund. 1. The 34 authority shall establish a fund to be known as the "metropolitan trans- 35 portation authority finance fund" which shall be kept separate from and 36 shall not be commingled with any other moneys of the authority. 37 2. Moneys in the fund may be: (a) pledged by the authority to secure 38 and be applied to the payment of the bonds, notes or other obligations 39 of the authority issued on or after the effective date of this section 40 to finance capital projects of the authority and its subsidiaries and 41 the New York city transit authority and any subsidiaries; or (b) used 42 for payment of capital costs, including debt service, reserve require- 43 ments, if any, the payment of amounts required under bond and note 44 facilities or agreements related thereto, the payment of federal govern- 45 ment loans, security or credit arrangements or other agreements related 46 thereto, and the payment of all costs related to such obligations, of or 47 for the authority, the New York city transit authority and their subsid- 48 iaries as the authority shall determine. Subject to the provisions of 49 any such pledge, or in the event there is no such pledge, any excess 50 moneys in this fund may be used by the authority for payment of operat- 51 ing costs of, and capital costs, including debt service and reserve 52 requirements, if any, of or for the authority, the New York city transit 53 authority and their subsidiaries as the authority shall determine. To 54 the extent moneys in the fund have been pledged by the authority to 55 secure and pay the bonds, notes or other obligations of the authority 56 issued to finance capital projects of the authority and its subsidiariesS. 7840 113 1 and the New York city transit authority and any subsidiaries as herein 2 provided, moneys deposited into the fund shall be deposited to the 3 extent necessary to satisfy the requirements of any debt service or 4 reserve requirements, if any, of the resolution authorizing such bonds, 5 notes or other obligations. 6 3. Any moneys deposited in the fund shall be held in the fund free and 7 clear of any claim by any person arising out of or in connection with 8 article twenty-three of the tax law. Without limiting the generality of 9 the foregoing and without limiting the rights and duties of the commis- 10 sioner of taxation and finance under article twenty-three of the tax 11 law, a person shall have any right or claim against the authority, any 12 of their bondholders, any of the authority's other subsidiaries or the 13 New York city transit authority or any subsidiary to any moneys in or 14 distributed from the fund or in respect of a refund, rebate, credit or 15 reimbursement of taxes paid under article twenty-three of the tax law. 16 § 1349-gg. New York city transportation assistance fund. 1. The 17 authority shall create and establish a fund to be known as the "New York 18 city transportation assistance fund" which shall be kept separate from 19 and shall not be commingled with any other moneys of the authority. The 20 New York city transportation assistance fund shall consist of three 21 separate accounts: (i) the "subway action plan account"; (ii) the "outer 22 borough transportation account"; and (iii) the "general transportation 23 account". 24 2. Moneys in the subway action plan account shall be used for the 25 exclusive purpose of funding the operating and capital costs of the 26 metropolitan transportation authority's New York city subway action 27 plan. Such funds may be used for infrastructure including construction, 28 reconstruction, reconditioning and preservation of transportation 29 systems, facilities and equipment, acquisition of property, and for 30 operating costs including personal services, non-personal services, 31 fringe benefits, and contractual services. Funds may also be used to pay 32 or to reimburse the authority for its payment of debt service and 33 reserve requirements on that portion of authority bonds and notes issued 34 by the authority for capital costs of the metropolitan transportation 35 authority's New York city subway action plan. 36 3. Moneys in the outer borough transportation account shall be used 37 for the exclusive purpose of funding the operating and capital costs of 38 metropolitan transportation authority facilities, equipment and services 39 in the counties of Bronx, Kings, Queens and Richmond, and any projects 40 improving transportation connections from such counties to New York 41 county. Such funds may be used for infrastructure including 42 construction, reconstruction, reconditioning and preservation of trans- 43 portation systems, facilities and equipment, acquisition of property, 44 and for operating costs including personal services, non-personal 45 services, fringe benefits, and contractual services. Funds may also be 46 used to fund a toll reduction program for any crossings under the juris- 47 diction of the metropolitan transportation authority or its subsidiaries 48 or affiliates. Funds may also be used to pay or to reimburse the author- 49 ity for its payment of debt service and reserve requirements on that 50 portion of authority bonds and notes that have been issued by the 51 authority specifically for the authorized purpose of this account. 52 Notwithstanding any law to the contrary, final approval of the use of 53 any funds paid into the outer borough transportation account shall be 54 approved by the mayor. 55 4. Moneys in the general transportation account shall be used for 56 funding the operating and capital costs of the metropolitan transporta-S. 7840 114 1 tion authority. Such funds may be used for infrastructure including 2 construction, reconstruction, reconditioning and preservation of trans- 3 portation systems, facilities and equipment, acquisition of property, 4 and for operating costs including personal services, non-personal 5 services, fringe benefits, and contractual services. Funds may also be 6 used to pay or to reimburse the authority for its payment of debt 7 service and reserve requirements on that portion of authority bonds and 8 notes that have been issued by the authority specifically for the 9 purposes of this account. 10 5. Any revenues deposited in the subway action plan account, the outer 11 borough transportation account, or the general transportation account 12 pursuant to subdivision one of this section shall be used exclusively 13 for the purposes described, respectively, in subdivisions two, three, 14 and four of this section. Such revenues shall only supplement and shall 15 not supplant any federal, state, or local funds expended by the metro- 16 politan transportation authority, such authority's affiliates or subsid- 17 iaries for such respective purposes. 18 6. Any revenues deposited into the New York city transportation 19 assistance fund pursuant to subdivision one of this section shall not be 20 diverted into the general fund of the state, any other fund maintained 21 for the support of any other governmental purpose, or for any other 22 purpose not authorized by subdivisions two, three and four of this 23 section. 24 7. The authority shall report on the receipt and uses of all funds 25 received by the New York city transportation assistance fund, and in 26 each of its accounts, to the director of the budget, the temporary pres- 27 ident of the senate, and the speaker of the assembly, on an annual basis 28 no later than the first day of February. 29 § 1349-hh. Agreement of the state. The state does hereby pledge to and 30 agree with the authority and its subsidiaries, the New York city transit 31 authority and its subsidiaries, and the Triborough bridge and tunnel 32 authority, and the holders of any notes, bonds or other obligations, 33 including lease obligations, issued or incurred under this title, that 34 the state shall not limit or alter the denial of authority under subdi- 35 vision nine of section thirteen hundred forty-nine-u of this title, or 36 the rights and powers vested in the authority and its subsidiaries, the 37 New York city transit authority and its subsidiaries, and the Triborough 38 bridge and tunnel authority by this title to fulfill the terms of any 39 agreements made by any of them with the holders thereof, or in any way 40 impair the rights and remedies of such holders until such notes, bonds 41 or other obligations, including lease obligations, together with the 42 interest thereon, with interest on any unpaid installments of interest, 43 and all costs and expenses for which the authority or its subsidiaries, 44 the New York city transit authority and its subsidiaries, and the 45 Triborough bridge and tunnel authority is liable in connection with any 46 action or proceeding by or on behalf of such holders, are fully met and 47 discharged. The authority and its subsidiaries, the New York city trans- 48 it authority and its subsidiaries, and the Triborough bridge and tunnel 49 authority are each authorized to include this pledge and agreement of 50 the state in any agreement with the holders of such notes, bonds or 51 other obligations, including lease obligations. 52 § 1349-ii. Right of state to require redemption of bonds. Notwith- 53 standing, and in addition to any provisions for the redemption of bonds 54 which may be contained in any contract with the holders of the bonds, 55 the state may, upon furnishing sufficient funds therefor, require the 56 authority to redeem, prior to maturity, as a whole, any issue of bondsS. 7840 115 1 on any interest payment date not less than twenty years after the date 2 of the bonds of such issue at one hundred five per centum of their face 3 value and accrued interest or at such lower redemption price as may be 4 provided in the bonds in case of the redemption thereof as a whole on 5 the redemption date. Notice of such redemption shall be published in at 6 least two newspapers publishing and circulating respectively in the 7 cities of Albany and New York at least twice, the first publication to 8 be at least thirty days before the date of redemption. 9 § 1349-jj. Remedies of noteholders and bondholders. 1. In the event 10 that the authority shall default in the payment of principal of or 11 interest on any issue of notes or bonds after the same shall become due, 12 whether at maturity or upon call for redemption, and such default shall 13 continue for a period of thirty days, or in the event that the authority 14 shall fail or refuse to comply with the provisions of this title or 15 shall default in any agreement made with the holders of any issue of 16 notes or bonds, the holders of twenty-five per centum in aggregate prin- 17 cipal amount of the notes or bonds of such issue then outstanding, by 18 instrument or instruments filed in the office of the clerk of any county 19 in which the authority operates and has an office and proved or acknowl- 20 edged in the same manner as a deed to be recorded, may appoint a trustee 21 to represent the holders of such notes or bonds for the purposes 22 provided by this section. 23 2. Such trustee may, and upon written request of the holders of twen- 24 ty-five per centum in principal amount of such notes or bonds then 25 outstanding, shall, in his or her own name: 26 (a) by suit, action or proceeding in accordance with the civil prac- 27 tice law and rules, enforce all rights of the noteholders or bondhold- 28 ers, including the right to require the authority to collect fares, 29 tolls, rentals, rates, charges and other fees adequate to carry out any 30 agreement as to, or pledge of, such fares, tolls, rentals, rates, charg- 31 es and other fees and to require the authority to carry out any other 32 agreements with the holders of such notes or bonds and to perform its 33 duties under this title; 34 (b) bring suit upon such notes or bonds; 35 (c) by action or suit, require the authority to account as if it were 36 the trustee of an express trust for the holders of such notes or bonds; 37 (d) by action or suit, enjoin any acts or things which may be unlawful 38 or in violation of the rights of the holders of such notes or bonds; and 39 (e) declare all such notes or bonds due and payable, and if all 40 defaults shall be made good, then, with the consent of the holders of 41 twenty-five per centum of the principal amount of such notes or bonds 42 then outstanding, to annul such declaration and its consequences. 43 3. Such trustee shall in addition to the foregoing have and possess 44 all of the powers necessary or appropriate for the exercise of any func- 45 tions specifically set forth herein or incident to the general represen- 46 tation of bondholders or noteholders in the enforcement and protection 47 of their rights. 48 4. The supreme court shall have jurisdiction of any suit, action or 49 proceeding by the trustee on behalf of such noteholders or bondholders. 50 The venue of any such suit, action or proceeding shall be laid in the 51 county in which the instrument or instruments are filed in accordance 52 with subdivision one of this section. 53 5. Before declaring the principal of notes or bonds due and payable, 54 the trustee shall first give thirty days' notice, in writing, to the 55 mayor, the authority, the comptroller and the public advocate.S. 7840 116 1 § 1349-kk. Notes and bonds as legal investment. The notes and bonds of 2 the authority are hereby made securities in which all public officers 3 and bodies of the state and all municipalities and political subdivi- 4 sions, all insurance companies and associations and all other persons 5 carrying on an insurance business, all banks, bankers, trust companies, 6 savings banks and savings associations, including savings and loan asso- 7 ciations, building and loan associations, investment companies and other 8 persons carrying on a banking business, all administrators, guardians, 9 executors, trustees and other fiduciaries, and all other persons whatso- 10 ever who are now or who may hereinafter be authorized to invest in bonds 11 or other obligations of the state, may properly and legally invest 12 funds, including capital, in their control or belonging to them. 13 Notwithstanding any other provisions of law, the bonds of the authority 14 are also hereby made securities which may be deposited with and shall be 15 received by all public officers and bodies of this state and all munici- 16 palities and political subdivisions for any purpose for which the depos- 17 it of bonds or other obligations of the state is now or may hereinafter 18 be authorized. 19 § 1349-ll. Exemption from taxation. It is hereby found, determined and 20 declared that the creation of the authority and the carrying out of its 21 purposes is, in all respects, for the benefit of the people of the city 22 of New York and for the improvement of their health, welfare and pros- 23 perity and is a public purpose, and that the authority shall be perform- 24 ing an essential governmental function in the exercise of the powers 25 conferred upon it by this title. Without limiting the generality of the 26 following provisions of this section, property owned by the authority, 27 property leased by the authority and used for transportation purposes, 28 and property used for transportation purposes by or for the benefit of 29 the authority exclusively pursuant to the provisions of a joint service 30 arrangement or of a joint facilities agreement or trackage rights agree- 31 ment shall all be exempt from taxation and special ad valorem levies. 32 The authority shall be required to pay no fees, taxes or assessments, 33 whether state or local, including but not limited to fees, taxes or 34 assessments on real estate, franchise taxes, sales taxes or other excise 35 taxes, upon any of its property, or upon the use thereof, or upon its 36 activities in the operation and maintenance of its facilities or on any 37 fares, tolls, rentals, rates, charges or other fees, revenues or other 38 income received by the authority and the bonds of the authority and the 39 income therefrom shall at all times be exempt from taxation, except for 40 gift and estate taxes and taxes on transfers. This section shall consti- 41 tute a covenant and agreement with the holders of all bonds issued by 42 the authority. The terms "taxation" and "special ad valorem levy" shall 43 have the same meanings as defined in section one hundred two of the real 44 property tax law and the term "transportation purposes" shall have the 45 same meaning as used in titles two-A and two-B of article four of such 46 law. 47 § 1349-mm. Actions against the authority. 1. As a condition to the 48 consent of the state to suits against the authority, in every action 49 against the authority for damages, for injuries to real or personal 50 property or for the destruction thereof, or for personal injuries or 51 death, the complaint shall contain an allegation that at least thirty 52 days have elapsed since the demand, claim or claims upon which such 53 action is founded were presented to a member of the authority or other 54 officer designated for such purpose and that the authority has neglected 55 or refused to make an adjustment or payment thereof.S. 7840 117 1 2. An action against the authority founded on tort, except an action 2 for wrongful death, shall not be commenced more than fifteen months 3 after the cause of action therefor shall have accrued, nor unless a 4 notice of claim shall have been served on the authority within the time 5 limited by and in compliance with all the requirements of section 6 fifty-e of the general municipal law. An action against the authority 7 for wrongful death shall be commenced in accordance with the notice of 8 claim and time limitation provisions of title eleven of article nine of 9 this chapter. 10 3. The authority shall be liable, and shall assume the liability to 11 the extent that it shall save harmless any duly appointed officer or 12 employee of the authority, for the negligence of such officer or employ- 13 ee, in the operation of a vehicle or other facility of transportation 14 owned or otherwise under the jurisdiction and control of the authority 15 in the discharge of a duty imposed upon such officer or employee at the 16 time of the accident, injury or damages complained of, while otherwise 17 acting in the performance of his or her duties and within the scope of 18 his or her employment. 19 4. The authority may require any person, presenting for settlement an 20 account or claim for any cause whatever against the authority, to be 21 sworn before a member, counsel or an attorney, officer or employee of 22 the authority designated for such purpose, concerning such account or 23 claim and when so sworn to answer orally as to any facts relative to 24 such account or claim. The authority shall have power to settle or 25 adjust all claims in favor of or against the authority. 26 5. The rate of interest to be paid by the authority upon any judgment 27 for which it is liable shall not exceed four per centum per annum. 28 6. The provisions of this section which relate to the requirement for 29 service of a notice of claim shall not apply to a subsidiary corporation 30 of the authority. In all other respects, each subsidiary corporation of 31 the authority shall be subject to the provisions of this section as if 32 such subsidiary corporation were separately named herein, provided, 33 however, that a subsidiary corporation of the authority which is a stock 34 corporation shall not be subject to the provisions of this section 35 except with respect to those causes of action arising on and after the 36 first day of the twelfth calendar month following that calendar month in 37 which such stock corporation becomes a subsidiary corporation of the 38 authority. 39 § 1349-nn. Annual audit of authority. The comptroller shall conduct an 40 annual audit of the books and records of the authority and its subsid- 41 iary corporations. Such audit shall include a complete and thorough 42 examination of such authority's receipts, disbursements, revenues and 43 expenses during the prior fiscal year in accordance with the categories 44 or classifications established by such authority for its own operating 45 and capital outlay purposes; assets and liabilities at the end of its 46 last fiscal year including the status of reserve, depreciation, special 47 or other funds and including the receipts and payments of these funds; 48 schedule of bonds and notes outstanding at the end of its fiscal year 49 and their redemption dates, together with a statement of the amounts 50 redeemed and incurred during such fiscal year; operations, debt service 51 and capital construction during the prior fiscal year. 52 The comptroller, upon completion of such audit, shall within sixty 53 days thereafter, report to the mayor and city council of his or her 54 findings, conclusions and recommendations thereof. 55 § 1349-oo. Authority budget and financial plan. 1. In addition to the 56 requirements of section twenty-eight hundred two of this chapter, eachS. 7840 118 1 authority budget and plan shall be posted on its website and shall: (a) 2 present information relating to the authority and each of its agencies 3 in a clear and consistent manner and format; (b) be prepared in accord- 4 ance with generally accepted accounting principles, except as otherwise 5 consented to by the comptroller upon a showing of good cause; (c) be 6 based on reasonable assumptions and methods of estimation; (d) include 7 estimates of projected operating revenues and expenses; (e) identify any 8 planned transaction that would shift resources, from any source, from 9 one fiscal year to another, and the amount of any reserves; and (f) 10 contain a summary in plain English of the principal information in the 11 budget and conclusions to be drawn from it. 12 2. The authority shall prepare and make available for public 13 inspection on its website information that details the sources of data 14 and the assumptions and methods of estimation used to calculate all 15 operating and capital budget projections, consistent with generally 16 accepted budgetary practices. 17 3. The authority shall establish, at least annually, the quarterly 18 revenue and expense targets for the authority, and for each subsidiary 19 or other authority created by the authority itself and for which it 20 reports financial data. 21 4. The authority shall prepare and make available for public 22 inspection on its website: (a) within sixty days of the release of the 23 adopted budget and any updates to the budget, except updates released 24 within ninety days of the close of the fiscal year, monthly projections 25 for the current fiscal year of all revenues and expenses, staffing for 26 the authority and each of its agencies, and utilization for each of the 27 authority's agencies that operate transportation systems, including 28 bridges and tunnels; (b) within sixty days after the close of each quar- 29 ter, a comparison of actual revenues and expenses, actual staffing and 30 actual utilization to planned or projected levels for each of the 31 authority's agencies that operate transportation systems, including 32 bridges and tunnels, with an explanation of each material variance and 33 its budgetary impact; and (c) within ninety days after the close of each 34 quarter, the status of each gap-closing initiative with a projected 35 value greater than one million dollars in any given fiscal year; the 36 status of capital projects by capital element, including but not limited 37 to commitments, expenditures and completions; and an explanation of 38 material variances from the plan, cost overruns and delays. 39 5. Financial information required to be submitted by the authority 40 pursuant to paragraphs d and e of subdivision one of section thirteen 41 hundred forty-nine-x of this title shall be presented in a format 42 consistent with the budget and plan, in downloadable, searchable format. 43 § 1349-pp. Independent audit of authority. The independent auditor 44 retained by the authority shall not provide to the authority, contempo- 45 raneously with the audit, unless it shall have previously received writ- 46 ten approval by the audit committee, any non-audit service, including: 47 1. routine bookkeeping or other services; 48 2. financial information systems design and implementation; 49 3. appraisal or valuation services, fairness opinions, or contribu- 50 tion-in-kind reports; 51 4. actuarial services; 52 5. outsourcing services; 53 6. authority management functions or human resources; 54 7. broker or dealer, investment advisor or investment banking 55 services; and 56 8. legal services and expert services unrelated to the audit.S. 7840 119 1 § 1349-qq. Independent audit by the legislature. After the submission 2 of the annual independent audit report to the legislature pursuant to 3 section twenty-eight hundred two of this chapter, and after review of 4 such report, the temporary president of the senate and the speaker of 5 the assembly may commission an auditing firm, every two years, to 6 conduct an independent audit of the authority, including its subsid- 7 iaries. The temporary president of the senate and the speaker of the 8 assembly shall set the scope of such audit and determine the terms of 9 the request for proposal for such audit. Such audit shall be performed 10 for the second year after the effective date of this section. The 11 authority shall fully cooperate with and assist in such an audit. 12 § 1349-rr. Reporting. The authority shall post on its website on or 13 before the first of May, the law firms retained by the authority which 14 in the past year received payment for services in such year. 15 § 1349-ss. Transfer and receipt of surplus funds. Notwithstanding any 16 provision of this title or any other provision of law, general, special 17 or local, the authority may from time to time transfer and pay over to 18 New York city transit authority or Triborough bridge and tunnel authori- 19 ty all or any part of its surplus funds; and may accept and use any 20 moneys transferred and paid over to it by New York city transit authori- 21 ty or Triborough bridge and tunnel authority. 22 § 1349-tt. Title not affected if in part unconstitutional or ineffec- 23 tive. If any provision of any section of this title or the application 24 thereof to any person or circumstance shall be adjudged invalid by a 25 court of competent jurisdiction, such order or judgment shall be 26 confined in its operation to the controversy in which it was rendered, 27 and shall not affect or invalidate the remainder of any provision of any 28 section of this title or the application of any part thereof to any 29 other person or circumstance and to this end the provisions of each 30 section of this title are hereby declared to be severable. 31 § 1349-uu. Big apple transit authority inspector general. 1. There is 32 hereby created in the big apple transit authority an office of big apple 33 transit authority inspector general. The inspector general shall be 34 appointed by the mayor with the advice and consent of the city council. 35 The inspector general shall, prior to his or her appointment, have had 36 at least ten years experience in the management of transportation 37 services, in auditing and investigation of governmental operations, or 38 in services related to management and productivity improvement. The term 39 of office of the inspector general shall be five years from the effec- 40 tive date of appointment, and he or she shall serve at the pleasure of 41 the mayor. The salary of the inspector general shall be determined by 42 the authority board. 43 2. The inspector general shall annually submit to the board of the big 44 apple transit authority a budget request for the operation of the 45 office. If the board disapproves any portion of such request and the 46 commissioner determines such disapproval to be unreasonable, such 47 commissioner shall withhold from payments due such authority, the amount 48 so determined to be unreasonable and transfer such amount to the office 49 of the big apple transit authority inspector general. 50 3. The inspector general shall have full and unrestricted access to 51 all records, information, data, reports, plans, projections, matters, 52 contracts, memoranda, correspondence and any other materials of the big 53 apple transit authority and its affiliates, or any other agency that may 54 come under the control of the authority, or within their custody or 55 control.S. 7840 120 1 4. The inspector general, notwithstanding the provisions of this 2 title, title nine of this article and title three of article three of 3 this chapter, shall have the following functions, powers and duties: 4 (a) to receive and investigate complaints from any source or upon his 5 or her own initiative concerning alleged abuses, frauds and service 6 deficiencies, including deficiencies in the maintenance and operation of 7 facilities, relating to the authority and its affiliates; 8 (b) to initiate such reviews as he or she may deem appropriate of the 9 operations of the authority and its affiliate subsidiaries, in order to 10 identify areas in which performance might be improved and available 11 funds used more effectively; 12 (c) to recommend remedial actions to be taken by the authority and its 13 affiliates, to overcome or correct operating or maintenance deficiencies 14 and inefficiencies that he or she determines to exist; 15 (d) to make available to appropriate law enforcement officials infor- 16 mation and evidence that relate to criminal acts that he or she may 17 obtain in carrying out his or her duties; 18 (e) to subpoena witnesses, administer oaths or affirmations, take 19 testimony and compel the production of such books, papers, records and 20 documents as he or she may deem to be relevant to any inquiry or inves- 21 tigation undertaken pursuant to this section and to delegate such powers 22 to a duly authorized deputy inspector general; 23 (f) to monitor the implementation by the authority and its subsid- 24 iaries, the Triborough bridge and tunnel authority and the New York city 25 transit authority and its subsidiaries of recommendations made by the 26 inspector general or other audit agencies; and 27 (g) to do all things necessary to carry out the functions, powers and 28 duties set forth in this section. 29 5. The inspector general shall cooperate, consult and coordinate with 30 the state public transportation safety board with regard to any activity 31 concerning the operations of the big apple transit authority. With 32 respect to any accident on the facilities of the big apple transit 33 authority, the primary responsibility for investigation shall be that of 34 the board which shall share its findings with the big apple transit 35 authority inspector general. 36 6. The inspector general shall make annual public reports on his or 37 her findings and recommendations. Such a report shall be filed in the 38 office of the mayor and with the city council on or before the first day 39 of February for the preceding year. The big apple transit authority and 40 its applicable constituent agencies shall prepare a response to the 41 annual report and to any and all other final reports made by the inspec- 42 tor general within thirty days of receipt, which time may be extended by 43 the inspector general in his or her discretion, indicating whether such 44 authority intends to implement the recommendations in such reports, and, 45 if not, an explanation of why not. In addition, the big apple transit 46 authority and its applicable constituent agencies shall give quarterly 47 reports to the inspector general outlining the status of each of the 48 recommendations made by the inspector general in his or her final 49 reports. Copies of all such reports shall be sent to the mayor and the 50 speaker of the city council. 51 7. To effectuate the purposes of this section, the inspector general 52 may request from any department, board, bureau, commission, office or 53 other agency of the state, or of any of its political subdivisions, such 54 cooperation, assistance, services and data as shall enable him or her to 55 carry out his or her functions, powers and duties hereunder, and such 56 departments, boards, bureaus, commissions, offices or other agencies ofS. 7840 121 1 the state are authorized and directed to provide such cooperation, 2 assistance, services and data. 3 § 1349-vv. Management advisory board. 1. There is hereby created in 4 the office of the big apple transit authority inspector general a 5 management advisory board, consisting of thirteen members appointed by 6 the mayor, of whom two shall be appointed upon nomination by the city 7 council. All members shall serve for a term of three years. One of the 8 members appointed to the management advisory board directly by the mayor 9 shall be designated by the mayor to serve as its chairman. 10 2. All members of the management advisory board shall be residents of 11 the city and shall be persons with substantial experience in the manage- 12 ment of private enterprises, in the delivery of public services, or in 13 labor or labor-management relations. 14 3. The management advisory board shall assist the big apple transit 15 authority inspector general in identifying ways to improve services, 16 reduce costs and increase the efficiency of the authority and its 17 subsidiaries, the Triborough bridge and tunnel authority or the New York 18 city transit authority and its subsidiaries. 19 4. No later than April first, two thousand twenty-one, succeeding the 20 effective date of this section, and annually thereafter, the management 21 advisory board shall submit to the mayor and the city council a report 22 on its activities during the previous year. 23 5. The office of the big apple transit authority inspector general 24 shall provide the management advisory board with such staff support as 25 may be required for the performance of its duties. 26 6. Members of the management advisory board shall serve without 27 compensation, but shall be reimbursed for expenses reasonably incurred 28 in the performance of their duties. 29 § 1349-ww. The office of legislative and community input. 1. The 30 chairperson of the authority shall establish the office of legislative 31 and community input for the purpose of communicating information to, and 32 receiving comments, concerns and recommendations from, members of the 33 city council, and members of the permanent citizens advisory committee 34 to the authority, as defined in section thirteen hundred forty-nine-m of 35 this title, on the following: 36 (a) the operations of the rapid transit and omnibus facilities of the 37 authority, including but not limited to: 38 (i) the quality of service provided on any rapid transit, and omnibus 39 line or route; 40 (ii) the frequency of operating service on the authority's mass trans- 41 it facilities; 42 (iii) the maintenance and condition of the authority's mass transit 43 facilities, including but not limited to, rapid transit and buses, fare 44 collection systems and sound systems; and 45 (iv) proposed service changes, including any reductions or expansion 46 of services, as it relates to the authority's mass transit facilities; 47 and 48 (b) any proposed, submitted and/or approved capital program plan, its 49 components, elements and projects, and associated expenditures. Any such 50 comments, concerns and recommendations relating to the capital program 51 plan, its components, elements and projects, and associated expenditures 52 shall be taken into consideration in the development of the current and 53 each successive capital program plan and/or any amendment to such plan. 54 2. The office shall establish a process to ensure timely notification 55 of the receipt of, and response to, comments, concerns, and recommenda-S. 7840 122 1 tions by members of the legislature or members of the permanent citizens 2 advisory committee to the authority. 3 3. The chair and office shall prepare a report containing the follow- 4 ing information: 5 (a) a compilation of the comments, concerns, and recommendations 6 received by the office; 7 (b) how these comments, concerns or recommendations were or will be 8 addressed, such as the authority's response by the incorporation or 9 initiation of system and operational adjustments, improvements or expan- 10 sions if applicable; and 11 (c) how these comments, concerns or recommendations were or will be 12 addressed, such as the authority's response by changing or amending the 13 capital plan, as well as providing status updates on the progress of 14 such plan. 15 4. Such report shall, on a biannual basis commencing September first, 16 two thousand twenty, succeeding the effective date of this section, be 17 submitted to the mayor, the speaker of the city council and be posted on 18 the authority's website and also be made readily available to the 19 public. 20 § 1349-xx. Supplemental revenue reporting program. 1. On or before the 21 first of January next succeeding the effective date of this section, the 22 authority shall develop a supplemental revenue reporting program. Such 23 program shall provide a detailed accounting of the amount spent from 24 supplemental revenues on actions, measures or projects undertaken to 25 reduce major incidents that have been found to cause delays to the New 26 York city subway system, including but not limited to: track incidents; 27 signal failure; persons on the track; police and medical activity; 28 structural and electrical problems; and broken traincar equipment. The 29 information described in this subdivision, including the spending 30 details and the associated category of major incident, shall be updated 31 quarterly and be prominently posted together on the authority's website. 32 2. For purposes of this section, "supplemental revenues" shall include 33 any funds appropriated by the state or the city of New York to support 34 the NYC subway action plan approved by the board of the authority. 35 § 2. This act shall take effect January 1, 2021. 36 PART E 37 Section 1. Article 5 of the public authorities law is amended by 38 adding a new title 11-F to read as follows: 39 TITLE 11-F 40 COMMUTER TRANSPORTATION AUTHORITY 41 Section 1349-aaaa. Short title. 42 1349-bbbb. Definitions. 43 1349-cccc. Commuter transportation authority. 44 1349-dddd. Purposes of the authority. 45 1349-eeee. State of emergency; boarding of a commuter transpor- 46 tation by domestic companion animals. 47 1349-ffff. General powers of the authority. 48 1349-gggg. Contracts. 49 1349-hhhh. Commuter transportation authority small business 50 mentoring program. 51 1349-iiii. Special powers of the authority. 52 1349-jjjj. Medical emergency services.S. 7840 123 1 1349-kkkk. Medical emergency services plan; implementation on 2 Long Island Rail Road. 3 1349-llll. Long Island Rail Road commuter council. 4 1349-mmmm. Metro-North rail commuter council. 5 1349-nnnn. Medical emergency services plan; implementation on 6 Metro-North Commuter Railroad Company. 7 1349-oooo. Excess loss fund. 8 1349-pppp. Authority police force. 9 1349-qqqq. The permanent citizens advisory committee. 10 1349-rrrr. Commuter transportation authority pledge to custom- 11 ers. 12 1349-ssss. Expired fare transfer policy. 13 1349-tttt. Acquisition and disposition of real property. 14 1349-uuuu. Acquisition and disposition of real property by 15 department of transportation. 16 1349-vvvv. Cooperation and assistance of other agencies. 17 1349-wwww. Promotion of qualified transportation fringes. 18 1349-xxxx. Notes, bonds and other obligations of the authority. 19 1349-yyyy. Capital program plans; approvals; effect of disap- 20 proval. 21 1349-zzzz. Submission of strategic operation plan. 22 1349-aaaaa. Financial and operational reports. 23 1349-bbbbb. Mission statement and measurement report. 24 1349-ccccc. Requirements for certain authority contracts and 25 related subcontracts. 26 1349-ddddd. Reserve funds and appropriations. 27 1349-eeeee. Consolidated financings. 28 1349-fffff. Regulation of certain authority expenditures. 29 1349-ggggg. Agreement of the state. 30 1349-hhhhh. Right of state to require redemption of bonds. 31 1349-iiiii. Remedies of noteholders and bondholders. 32 1349-jjjjj. Notes and bonds as legal investment. 33 1349-kkkkk. Exemption from taxation. 34 1349-lllll. Actions against the authority. 35 1349-mmmmm. Annual audit of the authority. 36 1349-nnnnn. Authority budget and financial plan. 37 1349-ooooo. Independent audit of the authority. 38 1349-ppppp. Independent audit by the legislature. 39 1349-qqqqq. Reporting. 40 1349-rrrrr. Station operation and maintenance. 41 1349-sssss. Transfer and receipt of surplus funds. 42 1349-ttttt. Title not affected if in part unconstitutional or 43 ineffective. 44 1349-uuuuu. Commuter transportation authority inspector general. 45 1349-vvvvv. Management advisory board. 46 1349-wwwww. Transition-election to withdraw from the metropol- 47 itan commuter transportation district. 48 1349-xxxxx. The office of legislative and community input. 49 1349-yyyyy. Debarment. 50 1349-zzzzz. Right to share employees. 51 § 1349-aaaa. Short title. This title may be known and may be cited as 52 the "Metropolitan Commuter Authority Act". 53 § 1349-bbbb. Definitions. As used or referred to in this title, unless 54 a different meaning clearly appears from the context: 55 1. "Authority" shall mean the corporation created by section thirteen 56 hundred forty-nine-cccc of this title.S. 7840 124 1 2. "Authority facilities" shall mean the authority's railroad, omni- 2 bus, marine and aviation facilities and operations pursuant to joint 3 service arrangements. 4 3. "Budget" shall mean the preliminary, final proposed and adopted 5 final plans of the authority, and each of its agencies. 6 4. "Comptroller" shall mean the comptroller of the state of New York. 7 5. "Equipment" shall mean rolling stock, omnibuses, vehicles, air, 8 marine or surface craft, motors, boilers, engines, wires, ways, conduits 9 and mechanisms, machinery, tools, implements, materials, supplies, 10 instruments and devices of every nature whatsoever used or useful for 11 transportation purposes or for the generation or transmission of motive 12 power including but not limited to all power houses, and all apparatus 13 and all devices for signaling, communications and ventilation as may be 14 necessary, convenient or desirable for the operation of a transportation 15 facility. 16 6. "Federal government" shall mean the United States of America, and 17 any officer, department, board, commission, bureau, division, corpo- 18 ration, agency or instrumentality thereof. 19 7. "Gap" shall mean the difference between projected revenues and 20 expenses for any given fiscal year based on the existing fare structure. 21 8. "Gap-closing initiative" shall mean any action to reduce a project- 22 ed gap. 23 9. "Joint service arrangements" shall mean agreements between or among 24 the authority and any common carrier or freight forwarder, the state, 25 any state agency, the federal government, any other state or agency or 26 instrumentality thereof, any public authority of this or any other 27 state, or any political subdivision or municipality of the state, relat- 28 ing to property, buildings, structures, facilities, services, rates, 29 fares, classifications, divisions, allowances or charges, including 30 charges between operators of railroad, omnibus, marine and aviation 31 facilities, or rules or regulations pertaining thereto, for or in 32 connection with or incidental to transportation in part in or upon rail- 33 road, omnibus, marine or aviation facilities located within the district 34 and in part in or upon railroad, omnibus, marine or aviation facilities 35 located outside the district. 36 10. "Marine and aviation facilities" shall mean equipment and craft 37 for the transportation of passengers, mail and cargo between points 38 within the district or pursuant to joint service arrangements, by marine 39 craft and aircraft of all types including but not limited to hydrofoils, 40 ferries, lighters, tugs, barges, helicopters, amphibians, seaplanes or 41 other contrivances now or hereafter used in navigation or movement on 42 waterways or in the navigation of or flight in airspace. It shall also 43 mean any marine port or airport facility within the transportation 44 district but outside the port of New York district as defined in chapter 45 one hundred fifty-four of the laws of nineteen hundred twenty-one, 46 including but not limited to terminals, docks, piers, bulkheads, ramps 47 or any facility or real property necessary, convenient or desirable for 48 the accommodation of passengers and cargo or the docking, sailing, land- 49 ing, taking off, accommodation or servicing of such marine craft or 50 aircraft. 51 11. "Omnibus facilities" shall mean motor vehicles, of the type oper- 52 ated by carriers subject to the jurisdiction of the public service 53 commission, engaged in the transportation of passengers and their 54 baggage, express and mail between points within the district or pursuant 55 to joint service arrangements, and equipment, property, buildings, 56 structures, improvements, loading or unloading areas, parking areas orS. 7840 125 1 other facilities, necessary, convenient or desirable for the accommo- 2 dation of such motor vehicles or their passengers, including but not 3 limited to buildings, structures and areas notwithstanding that portions 4 shall not be devoted to any omnibus purpose other than the production of 5 revenues available for the costs and expenses of all or any facilities 6 of the authority. 7 12. "Railroad facilities" shall mean right of way and related track- 8 age, rails, cars, locomotives, other rolling stock, signal, power, fuel, 9 communication and ventilation systems, power plants, stations, termi- 10 nals, storage yards, repair and maintenance shops, yards, equipment and 11 parts, offices and other real estate or personal property used or held 12 for or incidental to the operation, rehabilitation or improvement of any 13 railroad operating or to operate between points within the district or 14 pursuant to joint service arrangements, including but not limited to 15 buildings, structures, and areas notwithstanding that portions thereof 16 shall not be devoted to any railroad purpose other than the production 17 of revenues available for the costs and expenses of all or any facili- 18 ties of the authority. 19 13. "Real property" shall mean lands, structures, franchises and 20 interests in land, waters, lands under water, riparian rights and air 21 rights and any and all things and rights included within said term and 22 includes not only fees simple absolute but also any and all lesser 23 interests including but not limited to easements, rights of way, uses, 24 leases, licenses and all other incorporeal hereditaments and every 25 estate, interest or right, legal or equitable, including terms for years 26 and liens thereon by way of judgments, mortgages or otherwise. 27 14. "State" shall mean the state of New York. 28 15. "State agency" shall mean any officer, department, board, commis- 29 sion, bureau, division, public benefit corporation, agency or instrumen- 30 tality of the state. 31 16. "Transportation facility" shall mean any transit, railroad, omni- 32 bus, marine or aviation facility and any person, firm, partnership, 33 association or, corporation which owns, leases or operates any such 34 facility or any other facility used for service in the transportation of 35 passengers, United States mail or personal property as a common carrier 36 for hire and any portion thereof and the rights, leaseholds or other 37 interest therein together with routes, tracks, extensions, connections, 38 parking lots, garages, warehouses, yards, storage yards, maintenance and 39 repair shops, terminals, stations and other related facilities thereof, 40 the devices, appurtenances, and equipment thereof and power plants and 41 other instrumentalities used or useful therefor or in connection there- 42 with. 43 17. "Transportation district" and "district" shall mean the metropol- 44 itan commuter transportation district created by section twelve hundred 45 sixty-two of this article. 46 18. "Transportation purpose" shall mean a purpose that directly 47 supports the missions or purposes of the authority, any of its subsid- 48 iaries, including the realization of revenues derived from property that 49 is, or is to be used as, a transportation facility. 50 19. "New York city transit authority" shall mean the corporation 51 created by section twelve hundred one of this article. 52 20. "Triborough bridge and tunnel authority" shall mean the corpo- 53 ration created by section five hundred fifty-two of this chapter. 54 21. "Inspector general" shall mean the commuter transportation author- 55 ity inspector general.S. 7840 126 1 22. "Revenues" shall mean all monies received by the authority or its 2 subsidiaries from whatever source, derived directly or indirectly from 3 or in connection with the operations of the respective entity except for 4 any monies transferred to the metropolitan transportation authority 5 pursuant to section thirteen hundred forty-nine-h of this title that is 6 not returned to the authority pursuant to paragraph (c) of subdivision 7 two of section twelve hundred sixty-six of this chapter. 8 23. "Transit facility" shall mean rapid transit railroad, omnibus line 9 or any other facility or any railroad used for local service in the 10 transportation of passengers as common carriers for hire or in the 11 transportation of the United States mail or personal property, and any 12 portion thereof and the rights, leaseholds or other interests therein, 13 together with the devices and appurtenances, facilities and equipment 14 thereof and power plants and other instrumentalities used or useful 15 therefor or in connection therewith. 16 24. "Utilization" shall mean public usage of buses and railroads as 17 reflected in empirical data. 18 § 1349-cccc. Commuter transportation authority. 1. (a) (i) There is 19 hereby created the "commuter transportation authority". The authority 20 shall be a body corporate and politic constituting a public benefit 21 corporation. The authority shall consist of a chairperson, seven other 22 voting members, and four non-voting members, as described in subpara- 23 graph (ii) of this paragraph, appointed by the governor and with the 24 advice and consent of the senate. Any member appointed shall have expe- 25 rience in one or more of the following areas of expertise: transporta- 26 tion, public administration, business management, finance, accounting, 27 law, engineering, land use, urban and regional planning, management of 28 large capital projects, labor relations, or have experience in some 29 other area of activity central to the mission of the authority. Each 30 voting member other than the chairperson shall be appointed after 31 selection from a written list of three recommendations from the chief 32 executive officer of the county in which such member is required to 33 reside pursuant to the provisions of this subdivision. Of the members 34 appointed on recommendation of the chief executive officer of a county, 35 one such member shall be, at the time of appointment: a resident of the 36 county of Nassau; one a resident of the county of Suffolk; one a resi- 37 dent of the county of Westchester; one a resident of the county of 38 Dutchess; one a resident of the county of Orange; one a resident of the 39 county of Putnam; and one a resident of the county of Rockland. The term 40 of any member who is a resident of a county that has withdrawn from the 41 metropolitan commuter transportation district pursuant to section twelve 42 hundred seventy-nine-b of this article shall terminate upon the effec- 43 tive date of such county's withdrawal from such district. The chair- 44 person and each of the members shall be appointed for a term of six 45 years. The members from the counties of Dutchess, Orange, Putnam and 46 Rockland shall cast one collective vote. 47 (ii) There shall be four non-voting members, as referred to in subpar- 48 agraph (i) of this paragraph. The first non-voting member shall be a 49 regular user of the facilities of the authority and be recommended to 50 the governor by the Metro-North commuter council. The second non-voting 51 member shall be a regular mass transit user of the facilities of the 52 authority and be recommended to the governor by the Long Island Rail 53 Road commuter council. The third non-voting member shall be recommended 54 to the governor by the labor organization representing the majority of 55 employees of the Long Island Rail Road. The fourth non-voting member 56 shall be recommended to the governor by the labor organization repres-S. 7840 127 1 enting the majority of employees of the Metro-North Commuter Railroad 2 Company. The chairperson of the authority, at their direction, may 3 exclude such non-voting member from attending any portion of a meeting 4 of the authority or of any committee established pursuant to paragraph 5 (b) of subdivision four of this section held for the purpose of discuss- 6 ing negotiations with labor organizations. 7 (b) Vacancies occurring otherwise than by expiration of term shall be 8 filled in the same manner as original appointments for the balance of 9 the unexpired term. 10 2. The chairperson and the first vice chairperson shall be paid a 11 salary in the amount determined by the authority; the other members 12 shall not receive a salary or other compensation. Each member, includ- 13 ing the chairperson and the first vice chairperson, shall be entitled to 14 reimbursement for actual and necessary expenses incurred in the perform- 15 ance of his or her official duties. 16 3. (a) A majority of the whole number of members of the authority then 17 in office shall constitute a quorum for the transaction of any business 18 or the exercise of any power of the authority. Except as otherwise spec- 19 ified in this title, for the transaction of any business or the exercise 20 of any power of the authority, the authority shall have power to act by 21 a majority vote of the members present at any meeting at which a quorum 22 is in attendance and except further, that in the event of a tie vote the 23 chairperson shall cast one additional vote. 24 (b) For purposes of determining the presence of a quorum, and for 25 purposes of participation on any committee or subcommittee, those 26 members who collectively cast a single vote pursuant to the provisions 27 of paragraph (a) of subdivision one of this section shall be considered 28 to be a single member, and the presence of such member shall be deter- 29 mined as provided in this subdivision. Except as otherwise provided in a 30 by-law adopted as hereinafter provided, such single member constituting 31 those members entitled to a collective vote shall be deemed present as a 32 single member for purposes of a quorum if one or more of the members 33 then in office entitled to cast such collective vote is present, and 34 such collective vote shall be cast in accordance with the majority 35 agreement of the members entitled to a collective vote who are present 36 or in the event a single member entitled to a collective vote is present 37 it shall be cast by that member. To evidence the existence of such 38 majority agreement among the members entitled to a collective vote, each 39 such member shall be polled as to his or her vote and such poll shall be 40 recorded in the minutes. In the event a majority vote is not achieved by 41 the members entitled to a collective vote who are present, then the vote 42 shall not be cast. Nothing herein shall limit the right of an individual 43 member to participate in board meetings or in other activities of the 44 authority when the other members then in office entitled to collectively 45 cast a vote are not present. At any meeting of the authority at which 46 there is a quorum including all the members then in office entitled to 47 cast a collective vote, the authority may adopt a by-law or by-laws 48 regulating the casting of such collective vote, provided all members 49 then in office entitled to cast a collective vote affirmatively approve 50 such by-law or by-laws. Any action taken by the authority in accordance 51 with any such by-law or by-laws adopted pursuant to the provisions of 52 this paragraph shall take effect in the same manner as any other action 53 of the authority. Any such by-law or by-laws shall not provide for the 54 casting of any fractional vote. Nor shall such a by-law or by-laws 55 provide for the amendment, repeal or adoption in the future of such aS. 7840 128 1 by-law or by-laws in a manner other than that set forth in this para- 2 graph. 3 (c) No provision of paragraph (b) of this subdivision relating to the 4 adoption of certain by-laws by the authority shall affect the manner in 5 which by-laws of the authority are adopted concerning any subject other 6 than the voting and presence for quorum purposes of the members from the 7 counties of Dutchess, Putnam, Orange and Rockland. 8 4. (a) Notwithstanding any provision of law to the contrary, the 9 chairperson shall be the chief executive officer of the authority and 10 shall be responsible for the discharge of the executive and administra- 11 tive functions and powers of the authority. The chairperson may appoint 12 an executive director and such other officials and employees as shall in 13 his or her judgment be needed to discharge the executive and administra- 14 tive functions and powers of the authority. 15 (b) The chairperson shall establish committees to assist in the 16 performance of their duties and shall appoint members of the authority 17 to such committees. Among such committees, there shall be: (i) a commit- 18 tee on operations of the Long Island Rail Road and the metropolitan 19 suburban bus authority; (ii) a committee on operations of the Metro- 20 North commuter railroad; (iii) a committee on finance; (iv) a committee 21 on capital program oversight; and (v) a committee on safety. The commit- 22 tee on capital program oversight shall include not less than four 23 members, and shall include the chairpersons of the committee on oper- 24 ations of the Long Island Rail Road and the metropolitan suburban bus 25 authority, the committee on operations of the Metro-North commuter rail- 26 road, and the committee on safety. The committee on safety shall convene 27 at least once annually and each committee chairperson, that is a member 28 of the committee on safety, shall report to the committee on safety any 29 and all initiatives, concerns, improvements, or failures involving the 30 safety of: (i) customers; (ii) employees; and (iii) the public at large, 31 in relation to authority facilities and services. The capital program 32 committee shall, with respect to any approved or proposed capital 33 program plans: (i) monitor the current and future availability of funds 34 to be utilized for such plans; (ii) monitor the contract awards of the 35 commuter transportation authority to ensure that such awards are 36 consistent with: (A) provisions of law authorizing United States content 37 and New York state content; (B) collective bargaining agreements; (C) 38 provisions of law providing for participation by minority and women- 39 owned businesses; (D) New York state labor laws; (E) competitive bidding 40 requirements including those regarding sole source contracts; and (F) 41 any other relevant requirements established by law; (iii) monitor the 42 award of contracts to determine if such awards are consistent with the 43 manner in which the work was traditionally performed in the past 44 provided, however, that any such determination shall not be admissible 45 as evidence in any arbitration or judicial proceeding; (iv) review the 46 relationship between capital expenditures pursuant to each such capital 47 program plan and current and future operating budget requirements; (v) 48 monitor the progress of capital elements described in each capital 49 program plan; (vi) monitor the expenditures incurred and to be incurred 50 for each such element; and (vii) identify capital elements not progress- 51 ing on schedule, ascertain responsibility therefor and recommend those 52 actions required or appropriate to accelerate their implementation. The 53 capital program committee shall issue a quarterly report on its activ- 54 ities and findings, and shall in connection with the preparation of such 55 quarterly report, consult with the division of the budget, the depart- 56 ment of transportation, the governor, and any other group the committeeS. 7840 129 1 deems relevant, including public employee organizations, and, at least 2 annually, with a nationally recognized independent transit engineering 3 firm. Such report shall be made available to the members of the authori- 4 ty, to the governor, and the directors of the municipal assistance 5 corporation for the city of New York. 6 (c) The chairperson shall ensure that at every meeting of the board 7 and at every meeting of each committee the public shall be allotted a 8 period of time, not less than thirty minutes, to speak on any topic on 9 the agenda. 10 (d) Notwithstanding paragraph (c) of subdivision one of section twen- 11 ty-eight hundred twenty-four of this chapter or any other provision of 12 law to the contrary, the chairperson shall not participate in establish- 13 ing authority policies regarding the payment of salary, compensation and 14 reimbursement to, nor establish rules for the time and attendance of, 15 the chief executive officer. The salary of the chairperson, as deter- 16 mined pursuant to subdivision two of this section, shall also be compen- 17 sation for all services performed as chief executive officer. 18 5. The authority shall be a "state agency" for the purposes of 19 sections seventy-three and seventy-four of the public officers law. 20 6. Notwithstanding any inconsistent provisions of this or any other 21 law, general, special or local, no officer or employee of the state, or 22 of any public corporation, shall be deemed to have forfeited or shall 23 forfeit his or her office or employment or any benefits provided under 24 the retirement and social security law or under any public retirement 25 system maintained by the state by reason of their acceptance of member- 26 ship on or chairpersonship of the authority; provided, however, a member 27 or chairperson who holds such other public office or employment shall 28 receive no additional compensation for services rendered pursuant to 29 this title, but shall be entitled to reimbursement for their actual and 30 necessary expenses incurred in the performance of such services. 31 7. The governor may remove any member for inefficiency, neglect of 32 duty, breach of fiduciary duty or misconduct in office after giving the 33 member a copy of the charges against the member and an opportunity to be 34 heard, in person or by counsel in the member's defense, upon not less 35 than ten days' notice. If any member shall be so removed, the governor 36 shall file in the office of the department of state a complete statement 37 of charges made against such member, and his or her findings thereon, 38 together with a complete record of the proceedings. 39 8. The authority shall continue so long as it shall have bonds or 40 other obligations outstanding and until its existence shall be termi- 41 nated by law. Upon the termination of the existence of the authority, 42 all its rights and properties shall pass to and be vested in the state. 43 9. Whenever the authority causes notices of hearings on proposed 44 changes in services or fares to be posted pursuant to this section or 45 any statute, regulation, or authority policy, or where it voluntarily 46 posts such notices, such notices shall: (a) be written in a clear and 47 coherent manner using words with common and every day meaning; (b) be 48 captioned in large point type bold lettering with a title that fairly 49 and accurately conveys the basic nature of such change or changes; (c) 50 where such change involves a proposed change in levels of fare, include 51 in its title the range of amounts of fare changes under consideration; 52 (d) contain, to the extent practicable, a concise description of the 53 specific nature of the change or changes, including but not limited to a 54 concise description of those changes that affect the largest number of 55 passengers; (e) where such change involves a change in the nature of a 56 route, contain, to the extent practicable, a clear graphic illustrationS. 7840 130 1 of such change or changes; and (f) where such change involves a partial 2 or complete station closing, such notice shall be posted at the affected 3 station with a clear graphic illustration depicting the nature of any 4 closing for such station. 5 § 1349-dddd. Purposes of the authority. 1. The purposes of the author- 6 ity shall be the continuance, further development and improvement of 7 commuter transportation and other services related thereto within the 8 metropolitan commuter transportation district, except within the city of 9 New York, including but not limited to such transportation by railroad, 10 omnibus, marine and air, in accordance with the provisions of this 11 title, in an efficient and cost-effective manner that includes the use 12 of design-build contracting on all appropriate projects. 13 2. It is hereby found and declared that such purposes are in all 14 respects for the benefit of the people of the state of New York and the 15 authority shall be regarded as performing an essential governmental 16 function in carrying out its purposes and in exercising the powers 17 granted by this title. 18 § 1349-eeee. State of emergency; boarding of a commuter transportation 19 by domestic companion animals. 1. For the purposes of this section: 20 (a) "Commuter transportation" means commuter transportation, and other 21 related services and facilities, operated by the authority or any of its 22 subsidiaries, including but not limited to such transportation by rail- 23 road, omnibus, marine and air, in accordance with this title. 24 (b) "Domestic companion animal" means a companion animal or pet as 25 defined in section three hundred fifty of the agriculture and markets 26 law and shall also mean any other domesticated animal normally main- 27 tained in or near the household of the owner or person who cares for 28 such other domesticated animal. "Domestic companion animal" shall not 29 include a "farm animal", as defined in section three hundred fifty of 30 the agriculture and markets law. 31 2. (a) In the event that a state of emergency has been declared and an 32 evacuation of any region of the state is in progress, the owner of a 33 domestic companion animal shall be permitted to board any commuter 34 transportation with such domestic companion animal so long as that 35 animal is under the owner's control by use of a leash or tether, or is 36 properly confined in an appropriate container or by other suitable 37 means, provided that such boarding is authorized by and consistent with 38 the provisions of state disaster emergency plans or local state of emer- 39 gency plans pertaining to the needs of animals and individuals with an 40 animal under their care. The provisions of this section shall only apply 41 to the owners of domestic companion animals who are evacuating from a 42 region of the state affected by an emergency or disaster, or a local 43 state of emergency, as defined in section twenty-four of the executive 44 law. 45 (b) A domestic companion animal may be refused permission to board any 46 commuter transportation, even if the animal is under the owner's control 47 or properly confined in accordance with this subdivision if there is 48 reasonable cause to believe that, due to attendant circumstances, 49 permitting the animal to board would pose a health or safety hazard. 50 3. All passengers with service animals shall be given priority seating 51 on all means of transportation regulated by this title in accordance 52 with the federal "Americans with Disabilities Act of 1990", 42 U.S.C. 53 s.12101 et seq. For the purposes of this section, "service animal" shall 54 have the same meaning as set forth in the federal "Americans with Disa- 55 bilities Act of 1990", 42 U.S.C. s.12101 et seq. and any regulations 56 under such act.S. 7840 131 1 4. All passengers on any commuter transportation shall be provided 2 seating before a domestic companion animal may be placed in a seat. 3 5. The authority is authorized and directed to promulgate and enforce 4 such rules and regulations as shall be necessary for the implementation 5 of this section. 6 § 1349-ffff. General powers of the authority. Except as otherwise 7 limited by this title, the authority shall have power: 8 1. To sue and be sued; 9 2. To have a seal and alter the same at pleasure; 10 3. To borrow money, to issue negotiable notes, bonds or other obli- 11 gations and to provide for the rights of the holders thereof, and to 12 finance or refinance all or any part of the costs to the authority or to 13 any other person or entity, public or private, of the planning, design, 14 acquisition, construction, improvement, reconstruction or rehabilitation 15 of any transportation facility; 16 4. To invest any funds, accounts or other monies not required for 17 immediate use or disbursement, at the discretion of the authority, in: 18 (a) obligations of the state or the United States government; 19 (b) obligations the principal and interest of which are guaranteed by 20 the state or the United States government; 21 (c) certificates of deposit of banks or trust companies in this state, 22 secured, if the authority shall so require, by obligations of the United 23 States or of the state of New York of a market value equal at all times 24 to the amount of the deposit; 25 (d) banker's acceptances with a maturity of ninety days or less which 26 are eligible for purchase by the Federal Reserve Banks and whose rating 27 at the time of purchase is in the highest rating category of two 28 nationally recognized independent rating agencies, provided, however, 29 that the amount of banker's acceptances of any one bank shall not exceed 30 two hundred fifty million dollars; 31 (e) obligations of any bank or corporation created under the laws of 32 either the United States or any state of the United States maturing 33 within two hundred seventy days, provided that such obligations receive 34 the highest rating of two nationally recognized independent rating agen- 35 cies and, provided further, that no more than two hundred fifty million 36 dollars may be invested in such obligations of any one bank or corpo- 37 ration; 38 (f) as to any such moneys held in reserve and sinking funds, other 39 securities in which the trustee or trustees of any public retirement 40 system or pension fund has the power to invest the monies thereof pursu- 41 ant to article four-A of the retirement and social security law, each 42 such reserve and sinking fund being treated as a separate fund for the 43 purposes of article four-A of the retirement and social security law; 44 (g) notes, bonds, debentures, mortgages and other evidences of indebt- 45 edness, issued or guaranteed at the time of the investment by the United 46 States Postal Service, the federal national mortgage association, the 47 federal home loan mortgage corporation, the student loan marketing asso- 48 ciation, the federal farm credit system, or any other United States 49 government sponsored agency, provided that at the time of the investment 50 such agency or its obligations are rated and the agency receives, or its 51 obligations receive, the highest rating of all independent rating agen- 52 cies that rate such agency or its obligations, provided, however, that 53 no more than two hundred fifty million dollars or such greater amount as 54 may be authorized for investment by the state comptroller by section 55 ninety-eight of the state finance law may be invested in the obligations 56 of any one agency;S. 7840 132 1 (h) general obligation bonds and notes of any state other than the 2 state, provided that such bonds and notes receive the highest rating of 3 at least one independent rating agency, and bonds and notes of any coun- 4 ty, town, city, village, fire district or school district of the state, 5 provided that such bonds and notes receive either of the two highest 6 ratings of at least two independent rating agencies; 7 (i) mutual funds registered with the United States securities and 8 exchange commission whose investments are limited to obligations of the 9 state described in paragraph (a) of this subdivision, obligations the 10 principal and interest of which are guaranteed by the state described in 11 paragraph (b) of this subdivision, and those securities described in 12 paragraph (h) of this subdivision and that have received the highest 13 rating of at least one independent rating agency, provided that the 14 aggregate amount invested at any one time in all such mutual funds shall 15 not exceed ten million dollars, and, provided further, that the authori- 16 ty shall not invest such funds, accounts or other monies in any mutual 17 fund for longer than thirty days; and 18 (j) financial contracts in a foreign currency entered into for the 19 purpose of minimizing the foreign currency exchange risk of the purchase 20 price of a contract with a vendor chosen through competitive process for 21 the acquisition of capital assets for the benefit of the transportation 22 capital program; 23 5. To make and alter by-laws for its organization and internal manage- 24 ment, and rules and regulations governing the exercise of its powers and 25 the fulfillment of its purposes under this title; 26 6. (a) To enter into contracts and leases and to execute all instru- 27 ments necessary or convenient; 28 (b) With respect to any lease transaction entered into pursuant to 29 section 168(f)(8) of the United States internal revenue code or any 30 successor provisions, the authority shall meet the following standards 31 and procedures: 32 (i) notice of intention to negotiate shall be published in at least 33 one newspaper of general circulation, and a copy thereof shall be mailed 34 to all parties who have requested notification from the authority to 35 engage in transactions of this type. Such notice shall describe the 36 nature of the proposed transaction and the factors subject to negoti- 37 ation, which shall include, but not be limited to, the price to be paid 38 to the authority; 39 (ii) the authority shall negotiate with those respondents whose 40 response complies with the requirements set forth in the notice; and 41 (iii) the board of the authority shall resolve on the basis of parti- 42 cularized findings relevant to the factors negotiated that such trans- 43 action will provide maximum available financial benefits, consistent 44 with other defined objectives and requirements; 45 (c) The authority shall provide to the governor, the temporary presi- 46 dent of the senate, the speaker of the assembly, the minority leader of 47 the senate and the minority leader of the assembly notice of each lease 48 entered into pursuant to paragraph (b) of this subdivision and support- 49 ing documentation of compliance by the authority with subparagraphs (i), 50 (ii) and (iii) of paragraph (b) of this subdivision; 51 7. To acquire, hold and dispose of real or personal property in the 52 exercise of its powers; 53 8. To appoint such officers and employees as it may require for the 54 performance of its duties, and to fix and determine their qualifica- 55 tions, duties, and compensation and to retain or employ counsel, audi-S. 7840 133 1 tors, engineers and private consultants on a contract basis or otherwise 2 for rendering professional or technical services and advice; 3 9. (a) Notwithstanding section one hundred thirteen of the retirement 4 and social security law or any other general or special law, the author- 5 ity and any of its subsidiary corporations may continue or provide to 6 its affected officers and employees any retirement, disability, death or 7 other benefits provided or required for railroad personnel pursuant to 8 federal or state law; 9 (b) The authority and any of its public benefit subsidiary corpo- 10 rations may be a participating employer in the New York state employees' 11 retirement system with respect to one or more classes of officers and 12 employees of such authority or any such public benefit subsidiary corpo- 13 ration, as may be provided by resolution of such authority or any such 14 public benefit subsidiary corporation, as the case may be, or any subse- 15 quent amendment thereof, filed with the comptroller and accepted by him 16 or her pursuant to section thirty-one of the retirement and social secu- 17 rity law. In taking any action pursuant to this paragraph, the authority 18 and any of its public benefit subsidiary corporations shall consider the 19 coverages and benefits continued or provided pursuant to paragraph (a) 20 of this subdivision; 21 10. To make plans, surveys, and studies necessary, convenient or 22 desirable to the effectuation of the purposes and powers of the authori- 23 ty and to prepare recommendations in regard thereto; 24 11. To enter upon such lands, waters or premises as in the judgment of 25 the authority may be necessary, convenient or desirable for the purpose 26 of making surveys, soundings, borings and examinations to accomplish any 27 purpose authorized by this title. The authority shall be liable for 28 actual damage done due to the entering upon such lands, waters or prem- 29 ises and any activities taken thereon; 30 12. The authority may conduct investigations and hearings in the 31 furtherance of its general purposes, and in aid thereof have access to 32 any books, records or papers relevant thereto. If any person whose 33 testimony shall be required for the proper performance of the duties of 34 the authority shall fail or refuse to aid or assist the authority in the 35 conduct of any investigation or hearing, or to produce any relevant 36 books, records or other papers, the authority is authorized to apply for 37 process of subpoena, to issue out of any court of general original 38 jurisdiction whose process can reach such person, upon due cause shown; 39 13. A copy of any report submitted by the authority pursuant to 40 sections twenty-eight hundred, twenty-eight hundred one and twenty-eight 41 hundred two of this chapter shall be forwarded to the mayor of the city 42 of New York and to the chairperson of the board of supervisors and to 43 the county executive, if any, of each county within the district; and 44 14. To do all things necessary, convenient or desirable to carry out 45 its purposes and for the exercise of the powers granted in this title. 46 § 1349-gggg. Contracts. 1. The provisions of this section shall not 47 apply to: 48 (a) the award of any contract of the authority if the bid documents 49 for such contract so provide and such bid documents are issued within 50 sixty days of the effective date of this section; or 51 (b) for a period of one hundred eighty days after the effective date 52 of this section, the award of any contract for which an invitation to 53 bid, solicitation, request for proposal, or any similar document has 54 been issued by the authority prior to the effective date of this 55 section.S. 7840 134 1 2. (a) Except as otherwise provided in this section, all purchase 2 contracts for supplies, materials or equipment involving an estimated 3 expenditure in excess of one million dollars and all contracts for 4 public work involving an estimated expenditure in excess of one million 5 dollars shall be awarded by the authority to the lowest responsible 6 bidder after obtaining sealed bids in the manner hereinafter set forth. 7 For purposes hereof, contracts for public work shall exclude contracts 8 for personal, engineering and architectural, or professional services. 9 The authority may reject all bids and obtain new bids in the manner 10 provided by this section when it is deemed in the public interest to do 11 so or, in cases where two or more responsible bidders submit identical 12 bids which are the lowest bids, award the contract to any of such 13 bidders or obtain new bids from such bidders. Nothing in this paragraph 14 shall obligate the authority to seek new bids after the rejection of 15 bids or after cancellation of an invitation to bid. Nothing in this 16 section shall prohibit the evaluation of bids on the basis of costs or 17 savings including life cycle costs of the item to be purchased, 18 discounts, and inspection services so long as the invitation to bid 19 reasonably sets forth the criteria to be used in evaluating such costs 20 or savings. Life cycle costs may include but shall not be limited to 21 costs or savings associated with installation, energy use, maintenance, 22 operation and salvage or disposal. 23 (b) Section twenty-eight hundred seventy-nine of this chapter shall 24 apply to the authority's acquisition of goods or services of any kind, 25 in the actual or estimated amount of fifteen thousand dollars or more, 26 provided: (i) that a contract for services in the actual or estimated 27 amount of one million dollars or less shall not require approval by the 28 board of the authority regardless of the length of the period over which 29 the services are rendered, and provided further that a contract for 30 services in the actual or estimated amount of one million dollars or 31 more shall require approval by the board of the authority regardless of 32 the length of the period over which the services are rendered unless 33 such a contract is awarded to the lowest responsible bidder after 34 obtaining sealed bids; and (ii) the board of the authority may by resol- 35 ution adopt guidelines that authorize the award of contracts to small 36 business concerns, to service disabled veteran owned businesses certi- 37 fied pursuant to article seventeen-B of the executive law, or minority 38 or women-owned business enterprises certified pursuant to article 39 fifteen-A of the executive law, or purchases of goods or technology that 40 are recycled or remanufactured, in an amount not to exceed one million 41 dollars without a formal competitive process and without further board 42 approval. The board of the authority shall adopt guidelines which shall 43 be made publicly available for the awarding of such contract without a 44 formal competitive process. 45 (c)(i) Notwithstanding the provisions of paragraph (a) of this subdi- 46 vision, the authority shall establish guidelines governing the quali- 47 fications of bidders entering into contracts for its project to bring 48 the Long Island Rail Road into Grand Central Terminal, referred to as 49 the "East Side Access Project" for the purposes of this section. The 50 bidding may be restricted to those who have qualified prior to the 51 receipt of bids according to standards fixed by the authority; provided, 52 however, that the award of contracts shall, to the extent not inconsist- 53 ent with this paragraph, be in accordance with paragraph (a) of this 54 subdivision. 55 (ii) In determining whether a prospective bidder qualifies for the 56 inclusion on a list of prequalified bidders for the East Side AccessS. 7840 135 1 Project, the authority shall consider: (A) the experience and past 2 performance of the prospective bidder; (B) the prospective bidder's 3 ability to undertake work, including but not limited to whether it 4 participates in state approved apprenticeship programs and whether it 5 utilizes employees who are represented by labor organizations; (C) the 6 financial capability and responsibility of the prospective bidder; and 7 (D) the records of the prospective bidder in complying with existing 8 labor standards. The authority may also consider such other factors as 9 it deems appropriate. 10 3. (a) Advertisement for bids, when required by this section, shall be 11 published at least once in a newspaper of general circulation in the 12 area served by the authority and in the procurement opportunities news- 13 letter published pursuant to article four-C of the economic development 14 law provided that, notwithstanding the provisions of article four-C of 15 the economic development law, an advertisement shall only be required 16 for a purchase contract for supplies, materials or equipment when 17 required by this section. Publication in a newspaper of general circu- 18 lation in the area served or in the procurement opportunities newsletter 19 shall not be required if bids for contracts for supplies, materials or 20 equipment are of a type regularly purchased by the authority and are to 21 be solicited from a list of potential suppliers, if such list is or has 22 been developed consistent with the provisions of subdivision six of this 23 section. Any such advertisement shall contain a statement of: (i) the 24 time and place where bids received pursuant to any notice requesting 25 sealed bids will be publicly opened and read; (ii) the name of the 26 contracting agency; (iii) the contract identification number; (iv) a 27 brief description of the public work, supplies, materials, or equipment 28 sought, the location where work is to be performed, goods are to be 29 delivered or services provided and the contract term; (v) the address 30 where bids or proposals are to be submitted; (vi) the date when bids or 31 proposals are due; (vii) a description of any eligibility or qualifica- 32 tion requirement or preference; (viii) a statement as to whether the 33 contract requirements may be fulfilled by a subcontracting, joint 34 venture, or co-production arrangement; (ix) any other information deemed 35 useful to potential contractors; and (x) the name, address, and tele- 36 phone number of the person to be contacted for additional information. 37 At least fifteen business days shall elapse between the first publica- 38 tion of such advertisement or the solicitation of bids, as the case may 39 be, and the date of opening and reading of bids. 40 (b) The authority may designate any officer or employee to open the 41 bids at the time and place bids are to be opened and may designate an 42 officer to award the contract to the lowest responsible bidder. Such 43 designee shall make a record of all bids in such form and detail as the 44 authority shall prescribe. All bids received shall be publicly opened 45 and read at the time and place specified in the advertisement or at the 46 time of solicitation, or to which the opening and reading have been 47 adjourned by the authority. All bidders shall be notified of the time 48 and place of any such adjournment. 49 4. Notwithstanding the foregoing, the authority may, by resolution 50 approved by a two-thirds vote of its members then in office, or by a 51 majority vote of its members with respect to contracts proposed to be 52 let pursuant to paragraph (a) of this subdivision declare that compet- 53 itive bidding is impractical or inappropriate because of the existence 54 of any of the circumstances hereinafter set forth and thereafter the 55 authority may proceed to award contracts without complying with the 56 requirements of subdivision two or three of this section. In each caseS. 7840 136 1 where the authority declares competitive bidding impractical or inappro- 2 priate, it shall state the reason therefor in writing and summarize any 3 negotiations that have been conducted. Except for contracts awarded 4 pursuant to paragraphs (a), (b), (c) and (e) of this subdivision, the 5 authority shall not award any contract pursuant to this subdivision 6 earlier than thirty days from the date on which the authority declares 7 that competitive bidding is impractical or inappropriate. Competitive 8 bidding may only be declared impractical or inappropriate where: 9 (a) the existence of an emergency involving danger to life, safety or 10 property requires immediate action and cannot await competitive bidding 11 or the item to be purchased is essential to efficient operation or the 12 adequate provision of service and as a consequence of an unforeseen 13 circumstance such purchase cannot await competitive bidding; 14 (b) the item to be purchased is available only from a single responsi- 15 ble source, provided that if bids have not been solicited for such item 16 pursuant to subdivision two of this section within the preceding twelve 17 months, public notice shall first be given pursuant to subdivision three 18 of this section; 19 (c) the authority receives no responsive bids or only a single respon- 20 sive bid in response to an invitation for competitive bids; 21 (d) the authority wishes to experiment with or test a product or tech- 22 nology or new source for such product or technology or evaluate the 23 service or reliability of such product or technology; 24 (e) the item is available through an existing contract between a 25 vendor and: (i) another public authority provided that such other 26 authority utilized a process of competitive bidding or a process of 27 competitive requests for proposals to award such contracts; (ii) Nassau 28 county; (iii) the state of New York; or (iv) the city of New York, 29 provided that in any case when under this paragraph the authority deter- 30 mines that obtaining such item thereby would be in the public interest 31 and sets forth the reasons for such determination. The authority shall 32 accept sole responsibility for any payment due the vendor as a result of 33 the authority's order; or 34 (f) the authority determines that it is in the public interest to 35 award contracts pursuant to a process for competitive requests for 36 proposals as hereinafter set forth. For purposes of this section, a 37 process for competitive requests for proposals shall mean a method of 38 soliciting proposals and awarding a contract on the basis of a formal 39 evaluation of the characteristics, such as quality, cost, delivery sche- 40 dule and financing of such proposals against stated selection criteria. 41 Public notice of the requests for proposals shall be given in the same 42 manner as provided in subdivision three of this section and shall 43 include the selection criteria. In the event the authority makes a mate- 44 rial change in the selection criteria from those previously stated in 45 the notice, it will inform all proposers of such change and permit 46 proposers to modify their proposals; 47 (i) The authority may award a contract pursuant to this paragraph only 48 after a resolution approved by a two-thirds vote of its members then in 49 office at a public meeting of the authority with such resolution: (A) 50 disclosing the other proposers and the substance of their proposals; (B) 51 summarizing the negotiation process including the opportunities, if any, 52 available to proposers to present and modify their proposals; and (C) 53 setting forth the criteria upon which the selection was made. 54 (ii) Nothing in this paragraph shall require or preclude: (A) negoti- 55 ations with any proposers following the receipt of responses to the 56 request for proposals; or (B) the rejection of any or all proposals atS. 7840 137 1 any time. Upon the rejection of all proposals, the authority may solicit 2 new proposals or bids in any manner prescribed in this section. 3 (g) The authority issues a competitive request for proposals pursuant 4 to the procedures of paragraph (f) of this subdivision for the purchase 5 or rehabilitation of rail cars and omnibuses. Any such request may 6 include among the stated selection criteria the performance of all or a 7 portion of the contract at sites within the state of New York or the use 8 of goods produced or services provided within the state of New York, 9 provided however that in no event shall the authority award a contract 10 to a manufacturer whose final offer, as expressed in unit cost is more 11 than ten percent higher than the unit cost of any qualified competing 12 final offer, if the sole basis for such award is that the higher priced 13 offer includes more favorable provision for the performance of the 14 contract within the state of New York or the use of goods produced or 15 services provided within the state of New York, and further provided 16 that the authority's discretion to award a contract to any manufacturer 17 shall not be so limited if a basis for such award, as determined by the 18 authority, is superior financing, delivery schedule, life cycle, reli- 19 ability, or any other factor the authority deems relevant to its oper- 20 ations; 21 (i) The authority may award a contract pursuant to this paragraph only 22 after a resolution approved by a vote of not less than a two-thirds vote 23 of its members then in office at a public meeting of the authority with 24 such resolution; (A) disclosing the other proposers and the substance of 25 their proposals; (B) summarizing the negotiation process including the 26 opportunities, if any, available to proposers to present and modify 27 their proposals; and (C) setting forth the criteria upon which the 28 selection was made. 29 (ii) Nothing in this paragraph shall require or preclude: (A) negoti- 30 ations with any proposers following the receipt of responses to the 31 request for proposals; or (B) the rejection of any or all proposals at 32 any time. Upon the rejection of all proposals, the authority may solicit 33 new proposals or bids in any manner prescribed in this section. 34 5. Upon the adoption of a resolution by the authority stating, for 35 reasons of efficiency, economy, compatibility or maintenance reliabil- 36 ity, that there is a need for standardization, the authority may estab- 37 lish procedures whereby particular supplies, materials or equipment are 38 identified on a qualified products list. Such procedures shall provide 39 for products or vendors to be added to or deleted from such list and 40 shall include provisions for public advertisement of the manner in which 41 such lists are compiled. The authority shall review such list no less 42 than twice a year for the purpose of making such modifications. 43 Contracts for particular supplies, materials or equipment identified on 44 a qualified products list may be awarded by the authority to the lowest 45 responsible bidder after obtaining sealed bids in accordance with this 46 section or without competitive sealed bids in instances when the item is 47 available from only a single source, except that the authority may 48 dispense with advertising provided that it mails copies of the invita- 49 tion to bid to all vendors of the particular item on the qualified 50 products list. 51 6. The authority shall compile a list of potential sources of 52 supplies, materials or equipment regularly purchased. The authority 53 shall, by resolution, set forth the procedures it has established to 54 identify new sources and to notify such new sources of the opportunity 55 to bid for contracts for the purchase of supplies, materials or equip- 56 ment. Such procedures shall include, but not be limited to: (a) adver-S. 7840 138 1 tising in trade journals; (b) cooperation with federal, state and local 2 agencies within its area of operations; (c) publication in the state 3 register quarterly; and (d) procedures established pursuant to subdivi- 4 sion thirteen of section thirteen hundred forty-nine-j of this article. 5 7. The provisions of this section shall not supersede any other 6 provisions of law relative to purchases of products or devices manufac- 7 tured or provided by the blind or other severely handicapped persons, to 8 the invitation and acceptance of bids from small or minority business 9 enterprises or to the purchases of supplies, materials or equipment 10 through the office of general services. Except as may otherwise be 11 provided by law or as more restrictively defined in the official policy 12 or bid specifications of the authority, the term "small business" means 13 a small business or similar term, under federal regulations applicable 14 to projects of the authority which are federally assisted. 15 8. Notwithstanding any other provisions in this section, the authority 16 shall be allowed to use an electronic bidding system for the purchase of 17 goods, materials, and commodities that may inform bidders whether their 18 bid is the current low bid and allow bidders to submit new bids before 19 the date and time assigned for the opening of bids. Such procedure shall 20 not constitute disclosure of bids in violation of section twenty-eight 21 hundred seventy-eight of this chapter. 22 9. The provisions of this section shall not apply to any procurement 23 made by any other public entity not otherwise required by law to award 24 contracts for such purchases to the lowest responsible bidder if such 25 purchases are made at the sole cost and expense of such entity. 26 10. (a) Whenever the comptroller pursuant to section twenty-eight 27 hundred seventy-nine-a of this chapter intends to require supervision in 28 the form of prior review and approval of a contract or contract amend- 29 ment to be awarded by the authority pursuant to this section, then such 30 contract or contract amendment shall be submitted to the comptroller by 31 the authority for approval and shall not be a valid enforceable contract 32 unless it shall first have been approved by the comptroller but only if 33 the comptroller has notified the authority of such determination within 34 thirty days of having received written notice of such contract or 35 contract amendment either in the authority's annual report or any 36 revised report. 37 (b) If the comptroller has timely notified the authority as provided 38 in paragraph (a) of this subdivision that any contract or contract 39 amendment shall be subject to comptroller prior review and approval, and 40 such contract or contract amendment has been submitted to the comp- 41 troller, it shall become valid and enforceable without such approval if 42 the comptroller has not approved or disapproved it within thirty days of 43 submission to the comptroller. 44 11. The award of construction contracts by the authority shall not be 45 subject to the provisions of section one hundred one of the general 46 municipal law. 47 § 1349-hhhh. Commuter transportation authority small business mentor- 48 ing program. 1. As used in this section, unless the context requires 49 otherwise: 50 (a) "authority" means commuter transportation authority and its 51 subsidiaries; 52 (b) "chairperson" means the chairperson of the authority and its 53 subsidiaries and affiliates; 54 (c) "small business" means a business in the construction trades 55 which: (i) is independently owned and operated; (ii) has annual revenues 56 not exceeding a fiscal limitation of five million dollars or such lesserS. 7840 139 1 amount as established by the authority pursuant to these provisions; and 2 (iii) meets additional criteria as otherwise established by the chair- 3 person in consultation with the members of the commuter transportation 4 small business mentoring program advisory committee. The chair of the 5 committee shall be the chief diversity officer of the authority. The 6 authority shall establish a detailed definition in general and specific 7 to different segments of the construction industry to the extent neces- 8 sary to reflect differing characteristics of such segments based on the 9 criteria used by the United States small business administration for 10 loans to small businesses as set forth in Sections 121.301 through 11 121.305, or for awarding government procurements as set forth in 12 Sections 121.401 through 121.413, of Subpart A of Part 121 of Chapter I 13 of Title 13 of the Code of Federal Regulations as amended, and such 14 other criteria as determined by the authority; 15 (d) "small business mentoring program" is a program established by the 16 authority pursuant to these provisions to provide small businesses 17 accepted into the program with the opportunity: 18 (i) for up to four years, to compete for and, where awarded, to 19 perform certain authority public work contracts to be designated by the 20 authority for inclusion in this program under this subparagraph, with 21 the assistance of an authority-provided mentor, which shall be a firm 22 competitively selected by the authority that has extensive construction 23 management and mentoring experience, with the mentor to provide the 24 small business with advice and assistance in competing for and managing 25 authority public work contracts; and 26 (ii) for a small business mentoring program participant which the 27 authority has determined has successfully completed the program under 28 subparagraph (i) of this paragraph, for up to four additional years: (A) 29 additional opportunities to compete with other designated small busi- 30 nesses in the program for certain public work contracts to be designated 31 for inclusion under this subparagraph and, where awarded, to perform 32 such authority public work contracts, with the further assistance of an 33 authority-provided mentor, which shall be a firm competitively selected 34 by the authority that has extensive construction management and mentor- 35 ing experience, with the mentor to provide the small business with 36 advice and technical assistance in competing for and managing authority 37 public work contracts; and (B) authority-provided assistance, as deter- 38 mined by the authority, for such a small business to obtain bonding for 39 public work contracts that are competitively awarded pursuant to 40 provisions of law other than this section; 41 (e) "small business mentoring program contract" means a non-federally 42 funded authority public work contract designated by the authority, in an 43 estimated amount of not more than one million dollars for contracts 44 under subparagraph (i) of paragraph (d) of this subdivision and three 45 million dollars for contracts under subparagraph (ii) of paragraph (d) 46 of this subdivision, for which bids or proposals are to be invited and 47 accepted only from businesses that are enrolled in the small business 48 mentoring program and have been selected by the authority to compete for 49 the contract. 50 2. (a) Pursuant to these provisions, the authority may establish a 51 small business mentoring program. In connection therewith, the authority 52 may determine the criteria pursuant to which a small business shall be 53 eligible for and selected to participate in the program under subpara- 54 graphs (i) and (ii) of paragraph (d) of subdivision one of this section, 55 the number of participants to participate in each such components of the 56 program, the criteria for the competitive selection of the firms thatS. 7840 140 1 will provide small businesses with mentoring services, the assignment of 2 a mentor to a specific small business in the small business mentoring 3 program, and the funding for the program. 4 (b) Under the small business mentoring program, the chairperson or the 5 chairperson's designee is authorized, notwithstanding any other 6 provision of law: 7 (i) to designate which eligible public work contracts shall be small 8 business mentoring program contracts under subparagraphs (i) and (ii) of 9 paragraph (d) of subdivision one of this section, respectively; 10 (ii) to establish standards for qualifying small business mentoring 11 program participants to compete for a small business mentoring program 12 contract, provided that no less than three qualified small businesses in 13 the program submit responsive offers to perform the contract; 14 (iii) to determine when bids or proposals for a small business mentor- 15 ing program contract should be restricted to small business mentoring 16 program participants which, prior to the receipt of bids or proposals, 17 have been qualified by the authority for such competition; 18 (iv) to competitively select, designate and contract with one or more 19 experienced construction management firms that, under the general super- 20 vision of the authority, will provide mentoring services to the small 21 businesses participating in the small business mentoring program, and to 22 assign such mentors one or more designated small businesses participat- 23 ing in the program; 24 (v) for small business mentoring program contracts, except as set 25 forth herein, to waive requirements for the solicitation and award of a 26 public work contract pursuant to sections thirteen hundred forty-nine- 27 gggg and twenty-eight hundred seventy-nine of this chapter and any other 28 provision of law; 29 (vi) to assist only small business mentoring program participants that 30 have been awarded small business mentoring program contracts to obtain 31 any surety bond or contract of insurance required of them in connection 32 with such contract only notwithstanding any provision of section two 33 thousand five hundred four of the insurance law to the contrary; and 34 (vii) for small businesses that have been accepted into the small 35 business mentoring program under subparagraph (ii) of paragraph (d) of 36 subdivision one of this section, in addition to the benefits of such 37 program and notwithstanding any other provision of law, to provide tech- 38 nical assistance in obtaining bids, payment and performance bonding for 39 authority public work contracts that are not small business mentoring 40 program contracts, for which the small business is otherwise qualified. 41 3. (a) If the total number of qualified small business mentoring 42 program participants that respond to a competition and are considered 43 capable of meeting the specifications and terms of the invitation to 44 compete is less than three, or if the chairperson or the chairperson's 45 designee determines that acceptance of the best offer will result in the 46 payment of an unreasonable price, the authority may reject all offers 47 and withdraw the designation of the contract as a small business mentor- 48 ing program contract. 49 (b) If the authority withdraws the designation of contract as a small 50 business mentoring program contract, the firms, if any, that made offers 51 shall be notified. Invitations to compete containing the same or rewrit- 52 ten specifications and terms shall then be re-issued as a small business 53 mentoring program contract for one or more additional contract period. 54 4. A mentor shall provide services and assistance to a small business 55 as designated by the authority, which may include the following:S. 7840 141 1 (a) provide business training in the skills necessary to operate a 2 successful construction business and to compete for and perform a public 3 work contract; 4 (b) provide technical assistance to the small business to assess the 5 outcome if the small business competes for but is not awarded a 6 contract; 7 (c) if the small business mentoring program contract is awarded to the 8 small business, provide guidance, advice and technical assistance to the 9 small business in the performance of the contract; and 10 (d) provide other technical assistance to the small business to facil- 11 itate learning, training and other issues which may arise. 12 5. The authority may delegate to the chairperson or the chairperson's 13 designee the authority's responsibilities set forth herein. 14 6. The small business mentoring program contracts authorized by this 15 legislation shall, for the initial year of the program, be in an aggre- 16 gate amount of not less than ten million dollars, and shall not exceed 17 one hundred million dollars, with the maximum amount in future years to 18 be set by the chairperson. 19 § 1349-iiii. Special powers of the authority. In order to effectuate 20 the purposes of this title: 21 1. The authority may acquire, by purchase, gift, grant, transfer, 22 contract or lease, any transportation facility other than a transit 23 facility wholly or partially within the metropolitan commuter transpor- 24 tation district, or any part thereof, or the use thereof, and may enter 25 into any joint service arrangements as hereinafter provided. Any such 26 acquisition or joint service arrangement shall be authorized only by 27 resolution of the authority approved by not less than a majority vote of 28 the whole number of members of the authority then in office, except that 29 in the event of a tie vote the chairperson shall cast one additional 30 vote. 31 2. The authority may on such terms and conditions as the authority may 32 determine necessary, convenient or desirable itself plan, design, 33 acquire, establish, construct, effectuate, operate, maintain, renovate, 34 improve, extend, rehabilitate or repair any transportation facility 35 other than a transit project, or may provide for such planning, design, 36 acquisition, establishment, construction, effectuation, operation, main- 37 tenance, renovation, improvement, extension, rehabilitation or repair by 38 contract, lease or other arrangement on such terms as the authority may 39 deem necessary, convenient or desirable with any person, including but 40 not limited to any common carrier or freight forwarder, the state, any 41 state agency, the federal government, any other state or agency or 42 instrumentality thereof, any public authority of this or any other 43 state, the port of New York authority or any political subdivision or 44 municipality of the state. In connection with the operation of any 45 transportation facility, the authority may plan, design, acquire, estab- 46 lish, construct, effectuate, operate, maintain, renovate, improve, 47 extend or repair or may provide by contract, lease or other arrangement 48 for the planning, design, acquisition, establishment, construction, 49 effectuation, operation, maintenance, renovation, improvement, extension 50 or repair of any related services and activities it deems necessary, 51 convenient or desirable, including but not limited to the transportation 52 and storage of freight and the United States mail, feeder and connecting 53 transportation, parking areas, transportation centers, stations and 54 related facilities. 55 3. (a) Except as directed in paragraph (c) of this subdivision, the 56 authority may establish, levy and collect or cause to be established,S. 7840 142 1 levied and collected and, in the case of a joint service arrangement, 2 join with others in the establishment, levy and collection of such 3 fares, tolls, rentals, rates, charges and other fees as it may deem 4 necessary, convenient or desirable for the use and operation of any 5 transportation facility and related services operated by the authority 6 or by a subsidiary corporation of the authority or under contract, lease 7 or other arrangement, including joint service arrangements, with the 8 authority. Any such fares, tolls, rentals, rates, charges or other fees 9 for the transportation of passengers shall be established and changed 10 only if approved by resolution of the authority adopted by not less than 11 a majority vote of the whole number of members of the authority then in 12 office, with the chairperson having one additional vote in the event of 13 a tie vote, and only after a public hearing, provided however, that 14 fares, tolls, rentals, rates, charges or other fees for the transporta- 15 tion of passengers on any transportation facility which are in effect at 16 the time that the then owner of such transportation facility becomes a 17 subsidiary corporation of the authority or at the time that operation of 18 such transportation facility is commenced by the authority or is 19 commenced under contract, lease or other arrangement, including joint 20 service arrangements, with the authority may be continued in effect 21 without such a hearing. Such fares, tolls, rentals, rates, charges and 22 other fees shall be established as may in the judgment of the authority 23 be necessary to maintain the combined operations of the authority and 24 its subsidiary corporations on a self-sustaining basis. The said oper- 25 ations shall be deemed to be on a self-sustaining basis as required by 26 this title, when the authority is able to pay or cause to be paid from 27 revenue and any other funds or property actually available to the 28 authority and its subsidiary corporations: (i) as the same shall become 29 due, the principal of and interest on the bonds and notes and other 30 obligations of the authority and its subsidiaries and the metropolitan 31 transportation authority, together with the maintenance of proper 32 reserves therefor; (ii) the cost and expense of keeping the properties 33 and assets of the authority and its subsidiary corporations in good 34 condition and repair; and (iii) the capital and operating expenses of 35 the authority and its subsidiary corporations. The authority may 36 contract with the holders of bonds and notes with respect to the exer- 37 cise of the powers authorized by this section. No acts or activities 38 taken or proposed to be taken by the authority or any subsidiary of the 39 authority pursuant to the provisions of this subdivision shall be deemed 40 to be "actions" for the purposes or within the meaning of article eight 41 of the environmental conservation law. 42 (b) All fares, tolls, rentals, rates, charges, and other fees estab- 43 lished, levied, and collected or caused to be established, levied, and 44 collected, shall first be transferred to the metropolitan transportation 45 authority in order to maintain the metropolitan transportation authority 46 on a self-sustaining basis unless already pledged to secure, and neces- 47 sary to satisfy the debt service or reserve requirements of, bonds, 48 notes or other obligations of the authority prior to January first, two 49 thousand twenty-one. 50 (c) In the event that the monthly revenues of the metropolitan trans- 51 portation authority fall below one hundred twenty-five percent of the 52 amount necessary to maintain the operations of the metropolitan trans- 53 portation authority on a self-sustaining basis, as defined by section 54 twelve hundred sixty-six of this article, the authority shall, at the 55 direction of the metropolitan transportation authority, establish, levy 56 and collect or cause to be established, levied and collected, in theS. 7840 143 1 case of a joint service arrangement, and join with others in the estab- 2 lishment, levy and collection of such fares, tolls, rentals, rates, 3 charges and other fees as the metropolitan transportation authority may 4 deem necessary, convenient or desirable for the use and operation of any 5 transportation facility and related services operated by the authority 6 or by a subsidiary corporation of the authority or under contract, lease 7 or other arrangement, including joint service arrangements, with the 8 authority, until such time that monthly revenues of the metropolitan 9 transportation authority has exceeded, for three consecutive months, two 10 hundred percent of the amount necessary to maintain the operations of 11 the metropolitan transportation authority on a self-sustaining basis. 12 4. The authority may establish and, in the case of joint service 13 arrangements, join with others in the establishment of such schedules 14 and standards of operations and such other rules and regulations includ- 15 ing but not limited to rules and regulations governing the conduct and 16 safety of the public as it may deem necessary, convenient or desirable 17 for the use and operation of any transportation facility and related 18 services operated by the authority or under contract, lease or other 19 arrangement, including joint service arrangements, with the authority. 20 Such rules and regulations governing the conduct and safety of the 21 public shall be filed with the department of state in the manner 22 provided by section one hundred two of the executive law. In the case of 23 any conflict between any such rule or regulation of the authority 24 governing the conduct or the safety of the public and any local law, 25 ordinance, rule or regulation, such rule or regulation of the authority 26 shall prevail. Violation of any such rule or regulation of the authority 27 governing the conduct or the safety of the public in or upon any facili- 28 ty of the authority shall constitute an offense and shall be punishable 29 by a fine not exceeding fifty dollars or imprisonment for not more than 30 thirty days or both or may be punishable by the imposition of a civil 31 penalty by the transit adjudication bureau established pursuant to the 32 provisions of title nine of this article. 33 5. (a) The authority may acquire, hold, own, lease, establish, 34 construct, effectuate, operate, maintain, renovate, improve, extend or 35 repair any transportation facilities through, and cause any one or more 36 of its powers, duties, functions or activities to be exercised or 37 performed by, one or more wholly owned subsidiary corporations of the 38 authority, and may transfer to or from any such corporations any moneys, 39 real property or other property for any of the purposes of this title 40 upon such terms and conditions as shall be agreed to and subject to such 41 payment or repayment obligations as are required by law or by any agree- 42 ment to which any of the affected entities is subject. The directors or 43 members of each such subsidiary corporation of the authority corporation 44 shall be the same persons holding the offices of members of the authori- 45 ty. The chairperson of the board of each such subsidiary shall be the 46 chairperson of the authority, serving ex officio and, provided that 47 there is an executive director of the commuter transportation authority, 48 the executive director of such subsidiary shall be the executive direc- 49 tor of the commuter transportation authority, serving ex officio. 50 Notwithstanding any provision of law to the contrary, the chairperson 51 shall be the chief executive officer of each such subsidiary and shall 52 be responsible for the discharge of the executive and administrative 53 functions and powers of each such subsidiary. The chairperson and execu- 54 tive director, if any, shall be empowered to delegate his or her func- 55 tions and powers to one or more officers or employees of each such 56 subsidiary designated by him or her. Each such subsidiary corporation ofS. 7840 144 1 the authority and any of its property, functions and activities shall 2 have all of the privileges, immunities, tax exemptions and other 3 exemptions of the authority and of the authority's property, functions 4 and activities. Each such subsidiary corporation shall be subject to the 5 restrictions and limitations to which the authority may be subject. Each 6 such subsidiary corporation of the authority shall be subject to suit in 7 accordance with section thirteen hundred forty-nine-lllll of this title. 8 The employees of any such subsidiary corporation, except those who are 9 also employees of the authority, shall not be deemed employees of the 10 authority. 11 (b) If the authority shall determine that one or more of its subsid- 12 iary corporations should be in the form of a public benefit corporation, 13 it shall create each such public benefit corporation by executing and 14 filing with the secretary of state a certificate of incorporation, which 15 may be amended from time to time by filing, which shall set forth the 16 name of such public benefit subsidiary corporation, its duration, the 17 location of its principal office, and any or all of the purposes of 18 acquiring, owning, leasing, establishing, constructing, effectuating, 19 operating, maintaining, renovating, improving, extending or repairing 20 one or more facilities of the authority. Each such public benefit 21 subsidiary corporation shall be a body politic and corporate and shall 22 have all those powers vested in the authority by the provisions of this 23 title which the authority shall determine to include in its certificate 24 of incorporation except the power to contract indebtedness. 25 (c) Whenever any state, political subdivision, municipality, commis- 26 sion, agency, officer, department, board, division or person is author- 27 ized and empowered for any of the purposes of this title to co-operate 28 and enter into agreements with the authority such state, political 29 subdivision, municipality, commission, agency, officer, department, 30 board, division or person shall have the same authorization and power 31 for any of such purposes to co-operate and enter into agreements with a 32 subsidiary corporation of the authority. 33 6. Each of the authority and its subsidiaries, in its own name or in 34 the name of the state, may apply for and receive and accept grants of 35 property, money and services and other assistance offered or made avail- 36 able to it by any person, government or agency, which it may use to meet 37 capital or operating expenses and for any other use within the scope of 38 its powers, and to negotiate for the same upon such terms and conditions 39 as the respective authority may determine to be necessary, convenient or 40 desirable. 41 7. The authority may lease railroad cars for use in its passenger 42 service pursuant to the provisions of chapter six hundred thirty-eight 43 of the laws of nineteen hundred fifty-nine. 44 8. (a) The authority may do all things it deems necessary, convenient 45 or desirable to manage, control and direct the maintenance and operation 46 of transportation facilities, equipment or real property operated by or 47 under contract, lease or other arrangement with the authority and its 48 subsidiaries. Except as hereinafter specially provided, no municipality 49 or political subdivision, including but not limited to a county, city, 50 village, town or school or other district shall have jurisdiction over 51 any facilities of the authority and its subsidiaries, or any of their 52 activities or operations. The local laws, resolutions, ordinances, rules 53 and regulations of a municipality or political subdivision, heretofore 54 or hereafter adopted, conflicting with this title or any rule or regu- 55 lation of the authority or its subsidiaries, shall not be applicable to 56 the activities or operations of the authority and its subsidiaries, orS. 7840 145 1 the facilities of the authority and its subsidiaries, except such facil- 2 ities that are devoted to purposes other than transportation or transit 3 purposes. Each municipality or political subdivision, including but not 4 limited to a county, city, village, town or district in which any facil- 5 ities of the authority or its subsidiaries are located shall provide for 6 such facilities police, fire and health protection services of the same 7 character and to the same extent as those provided for residents of such 8 municipality or political subdivision. 9 (b) The jurisdiction, supervision, powers and duties of the department 10 of transportation of the state under the transportation law shall not 11 extend to the authority in the exercise of any of its powers under this 12 title. The authority may agree with such department for the execution by 13 such department of any grade crossing elimination project or any grade 14 crossing separation reconstruction project along any railroad facility 15 operated by the authority or by one of its subsidiary corporations or 16 under contract, lease or other arrangement with the authority. Any such 17 project shall be executed as provided in article ten of the transporta- 18 tion law and the railroad law, and the costs of any such project shall 19 be borne as provided in such laws, except that the authority's share of 20 such costs shall be borne by the state. 21 9. Upon approval by the commissioner of transportation of the state of 22 New York of detailed plans and specifications, which approval may be 23 based upon considerations of relative need and the timing of 24 construction, the authority is authorized to design, construct, main- 25 tain, operate, improve and reconstruct a highway bridge crossing Long 26 Island sound, as follows: 27 (a) Upon: (i) the enactment by the state of Connecticut of legislation 28 having like effect as the provisions of this paragraph and the granting 29 of the consent of the congress of the United States of America to the 30 interstate compact thereby created; and (ii) in conformity with recom- 31 mendations of the New York-Connecticut bi-state bridge study commission, 32 the authority is authorized, in cooperation with any duly designated 33 agency or agencies of the state of Connecticut, to design, construct, 34 maintain, operate, improve and reconstruct a highway bridge crossing 35 Long Island sound from a point in the vicinity of the city of Bridgeport 36 in the state of Connecticut to a point in the vicinity of the village of 37 Port Jefferson in the state of New York, together with approaches to 38 such bridge; and to contract from time to time with such agency or agen- 39 cies of the state of Connecticut with respect to all matters affecting 40 these authorizations, including, without limitation, the sharing of all 41 capital, operational and maintenance expense, except that the capital 42 expense of the original construction of such bridge, other than the 43 expense of acquiring the needed real property, shall be in the ratio of 44 fifty per centum for the authority and fifty per centum for such agency 45 or agencies of the state of Connecticut, the manner and by whom the work 46 of design, construction, reconstruction, improvement, maintenance and 47 operation is to be performed or contracted to others for performance, 48 the tolls, fees and other charges to be imposed from time to time for 49 the use of such bridge, and the sharing of revenues derived from the 50 imposition of such tolls, fees and charges, except that net revenues 51 remaining after deduction of operational and maintenance expense of such 52 bridge shall be in the ratio of fifty per centum for the authority and 53 fifty per centum for the state of Connecticut or for such agency or 54 agencies of the state of Connecticut. Subject to the limitations imposed 55 upon the authority by the provisions of the said contracts, that portion 56 of the said bridge and its approaches situate and lying within theS. 7840 146 1 territorial boundaries of the state of New York shall be deemed a 2 "transportation facility" of the authority for all the purposes of this 3 title, but tolls, fees and other charges imposed for the use of such 4 bridge shall not be deemed to have been imposed "for the transportation 5 of passengers" within the intendment of subdivision three of this 6 section. 7 (b) If funds are made available by the authority for the payment of 8 the cost and expense of the acquisition thereof, the commissioner of 9 transportation of the state of New York, when requested by the authori- 10 ty, may acquire in the name of the state such real property lying within 11 the territorial boundaries of the state as may be determined from time 12 to time by the authority to be necessary, convenient or desirable to 13 carry out the authorizations set forth in paragraph (a) of this subdivi- 14 sion and this paragraph, may remove the owner or occupant thereof where 15 necessary and obtain possession and, when requested by the authority, 16 may dispose of any real property so acquired, all according to the 17 procedures provided in section thirty of the highway law. The authority 18 shall have the right to possess and use for its corporate purposes all 19 such real property so acquired, all according to the procedures provided 20 in section thirty of the highway law. The authority shall have the right 21 to possess and use for its corporate purposes all such real property so 22 acquired. Claims for the value of the property appropriated and for 23 legal damages caused by any such appropriation shall be adjusted and 24 determined by the commissioner of transportation with the approval of 25 the authority or by the court of claims as provided in section thirty of 26 the highway law. When a claim has been filed with the court of claims, 27 the claimant shall cause a copy of such claim to be served upon the 28 authority and the authority shall have the right to be represented and 29 heard before such court. All awards and judgments arising from such 30 claims shall be paid out of moneys of the authority. 31 (c) The authority, acting independently or jointly or in cooperation 32 with such agency or agencies of the state of Connecticut, may also apply 33 for and accept, upon condition or otherwise, from the duly authorized 34 agencies of the federal government, and of the governments of the states 35 of Connecticut and New York, such underwater and overwater grants of 36 real property, licenses or permits as shall be necessary, convenient or 37 desirable to carry out the authorizations set forth in paragraphs (a) 38 and (b) of this subdivision. 39 (d) The provisions of chapter four hundred forty-two of the laws of 40 nineteen hundred sixty-five, and of any agreement entered into in 41 pursuance thereof, relating to the repayment of a loan made by the state 42 to the authority for the purchase of the Long Island Rail Road shall be 43 inapplicable to: (i) the construction of such bridges and their 44 approaches; (ii) bonds, notes or other obligations of the authority 45 issued for or in connection with the financing of the cost of design, 46 construction and reconstruction of such bridges and their approaches, or 47 the proceeds realized upon such issuance; and (iii) revenues derived 48 from the investment of such proceeds or of any part thereof, and from 49 the imposition of tolls, fees or other charges for the use of such 50 bridges. 51 10. Notwithstanding the provisions of any other law, general, special 52 or local, or of any agreement entered into in pursuance thereof, relat- 53 ing to the repayment of any loan or advance made by the state to the 54 authority, the authority shall not be required to repay any such loan or 55 advance heretofore made from or by reason of the issuance of bonds or 56 notes or from the proceeds realized upon such issuance or from any otherS. 7840 147 1 funds received from any source whatever in aid or assistance of the 2 project or projects for the financing of which such bonds or notes are 3 issued. 4 11. No project to be constructed upon real property theretofore used 5 for a transportation purpose, or on an insubstantial addition to such 6 property contiguous thereto, which will not change in a material respect 7 the general character of such prior transportation use, nor any acts or 8 activities in connection with such project, shall be subject to the 9 provisions of article eight, nineteen, twenty-four or twenty-five of the 10 environmental conservation law, or to any local law or ordinance adopted 11 pursuant to any such article. Nor shall any acts or activities taken or 12 proposed to be taken by the authority or by any other person or entity, 13 public or private, in connection with the planning, design, acquisition, 14 improvement, construction, reconstruction or rehabilitation of a trans- 15 portation facility, other than a marine or aviation facility, be subject 16 to the provisions of article eight of the environmental conservation 17 law, or to any local law or ordinance adopted pursuant to any such arti- 18 cle if such acts or activities require the preparation of a statement 19 under or pursuant to any federal law or regulation as to the environ- 20 mental impact thereof. 21 12. The authority and each of its subsidiary corporations shall place 22 on each transformer and substation which contains polychlorinated biphe- 23 nyls (PCBs) a symbol so indicating the presence of PCBs. Use of a PCB 24 mark illustrated in the rules and regulations promulgated pursuant to 25 the federal Toxic Substances Control Act shall constitute compliance 26 with the provisions of this subdivision. 27 13. Notwithstanding any other provisions of law or the terms of any 28 contract, the authority, in consultation with the Long Island Rail Road, 29 shall establish and implement a no fare program for transportation on 30 the Long Island Rail Road for police officers employed by the city of 31 New York, county of Nassau, Nassau county villages and cities, county of 32 Suffolk, Suffolk county villages and towns, the division of state 33 police, the port authority of New York and New Jersey, the Metro-North 34 Commuter Railroad Company, the New York city housing authority and the 35 New York city transit authority. In establishing such program, which has 36 as its goal increased protection and improved safety for its commuters, 37 the authority and the Long Island Rail Road shall, among other things, 38 consider: (a) requiring police officers who ride without cost to regis- 39 ter with the Long Island Rail Road as a condition of riding without 40 cost; (b) requiring such officers to indicate during such registration 41 process their regular working hours and the Long Island Rail Road trains 42 that such officers expect to ride; and (c) periodically re-registering 43 and re-validating such officers. The authority and the Long Island Rail 44 Road shall also have the power to consider other matters necessary to 45 carry out the goals and objectives of this section. 46 14. (a) Notwithstanding any other provisions of law or the terms of 47 any contract, the authority, in consultation with the Long Island Rail 48 Road and the Metro-North Commuter Railroad Company, shall establish and 49 implement a no fare program for transportation on the Long Island Rail 50 Road and the Metro-North Commuter Railroad Company for individuals serv- 51 ing as personal care attendants accompanying an Americans with Disabili- 52 ties Act paratransit eligible individual. 53 (b) In order to be eligible for such no fare program the personal care 54 attendant shall show his or her community based personal care attendant 55 agency issued identification card.S. 7840 148 1 (c) In order to be considered accompanying an Americans with Disabili- 2 ties Act paratransit eligible individual the personal care attendant 3 shall have the same origin and destination as such paratransit eligible 4 individual. 5 15. Notwithstanding any other provision of law, the authority and any 6 of its subsidiary corporations shall establish and implement a half fare 7 rate program for persons with serious mental illness who are eligible to 8 receive supplemental security income benefits as defined pursuant to 9 title sixteen of the federal social security act and section two hundred 10 nine of the social services law. 11 16. The authority shall conduct a campaign of public outreach to 12 inform the public of the provisions pertaining to assault on employees 13 described in subdivision eleven of section 120.05 of the penal law. 14 § 1349-jjjj. Medical emergency services. The authority is hereby 15 authorized and directed to prepare and develop a medical emergency 16 services program to be implemented at a time to be specified in such 17 program for the benefit of persons utilizing transportation and other 18 related services of the authority. Such program may include but not be 19 limited to provisions for the following: 20 1. the training of designated employees in first aid; 21 2. emergency techniques and procedures; 22 3. handling and positioning of stricken commuters; and 23 4. knowledge of procedures and equipment used for respiratory and 24 cardiac emergencies. 25 Such program shall be submitted to the legislature not later than one 26 hundred eighty days after the effective date of this section. 27 § 1349-kkkk. Medical emergency services plan; implementation on Long 28 Island Rail Road. 1. (a) The authority in consultation with the Long 29 Island Rail Road is hereby authorized and directed to implement a 30 comprehensive medical emergency services program, including an emergency 31 response protocol, not later than the first of September next succeeding 32 the effective date of this section, for the benefit of persons utilizing 33 transportation and other related services of the Long Island Rail Road. 34 Such program shall include but not be limited to provisions for the 35 following: 36 (i) the training of designated employees in first aid; 37 (ii) emergency techniques and procedures; 38 (iii) handling and positioning of stricken commuters; 39 (iv) knowledge of procedures and equipment used for respiratory and 40 cardiac emergencies and an emergency response protocol for all employ- 41 ees. 42 (b) Such program and plan shall be submitted to the temporary presi- 43 dent of the senate, the speaker of the assembly and the governor on or 44 before the first of September next succeeding the effective date of this 45 section and shall be updated as necessary. The authority will issue an 46 annual report on or before April first of each year, which will include 47 current updates, descriptions of medical emergencies, responses and 48 outcomes since the most recent report, information regarding training of 49 personnel, analysis of the current plan and any recommendations for 50 improving the program. 51 2. Notwithstanding any inconsistent provision of any general, special 52 or local law, a designated employee employed upon facilities of the Long 53 Island Rail Road who has been trained in first aid, emergency techniques 54 and procedures, handling and positioning of stricken commuters, and the 55 applicable procedures and equipment used for respiratory and cardiac 56 emergencies who voluntarily and without the expectation of monetaryS. 7840 149 1 compensation renders any of the foregoing treatment in an emergency to a 2 commuter upon facilities of the Long Island Rail Road who is uncon- 3 scious, ill or injured shall not be liable for damages for injuries 4 alleged to have been sustained by such commuter or for damages for the 5 death of such commuter alleged to have occurred by reason of an act or 6 omission in the rendering of such treatment in an emergency unless it is 7 established that such injuries were or such death was caused by gross 8 negligence on the part of such designated employee. 9 § 1349-llll. Long Island Rail Road commuter council. 1. There is 10 hereby created the Long Island Rail Road commuter council, to study, 11 investigate, monitor and make recommendations with respect to the main- 12 tenance and operation of the Long Island Rail Road. Such council shall 13 study and investigate all aspects of the day to day operations of such 14 railroad, monitor its performance and recommend changes to improve the 15 efficiency of the operation thereof. 16 2. Such council shall consist of twelve members who shall be commuters 17 who regularly use the transportation services of such railroad, and who 18 shall be residents of Nassau, Suffolk, Queens or Brooklyn county. 19 Members shall be appointed by the governor upon the recommendation of 20 the county executive of each such county, provided, however, that such 21 members shall be chosen from a list of ten names submitted by each such 22 county executive and provided further however that no more than six 23 members of such council shall be residents of either such county. 24 Provided, however, that one member shall be appointed on the recommenda- 25 tion of the borough president of Queens and one member shall be 26 appointed on the recommendation of the borough president of Brooklyn. 27 Vacancies occurring in the membership of the council shall be filled in 28 the same manner as original appointments, provided, however, that such 29 vacancy shall be filled from a list of three names submitted by each 30 such county executive. 31 3. The members of the council shall receive no compensation for their 32 services but shall be reimbursed for their expenses actually and neces- 33 sarily incurred in the performance of their duties hereunder. 34 4. The council may request and shall receive from any department, 35 division, board, bureau, commission, agency, public authority of the 36 state or any political subdivision thereof such assistance and data as 37 will enable it properly to carry out its activities hereunder and effec- 38 tuate the purposes set forth herein. 39 § 1349-mmmm. Metro-North rail commuter council. 1. There is hereby 40 created the Metro-North rail commuter council to study, investigate, 41 monitor and make recommendations with respect to the maintenance and 42 operation of those portions of, if any, the Hudson, Harlem, New Haven, 43 Pascack Valley and Port Jervis commuter railroad lines remaining within 44 the metropolitan commuter transportation district. Such council shall 45 study and investigate all aspects of the day to day operation of such 46 railroad lines, monitor their performance and recommend changes to 47 improve the efficiency of the operation thereof. 48 2. Such council shall consist of eleven members and shall be commuters 49 who regularly use the transportation services of such railroad lines. At 50 least five of such members shall be residents of the county of Westches- 51 ter. Of the other six members, at least one of such members shall be a 52 resident of each of the counties of Rockland, Putnam, Dutchess, Orange 53 and Bronx, provided that such county has not withdrawn from the metro- 54 politan commuter transportation district pursuant to section thirteen 55 hundred forty-nine-wwwww of this article; provided further, should only 56 the county of Putnam remain in the metropolitan commuter transportationS. 7840 150 1 district then membership on such council shall consist of seven members, 2 five of whom reside in the county of Westchester and two of whom reside 3 in the county of Putnam. Members shall be appointed by the governor. In 4 making such appointments the governor shall consult with and solicit 5 recommendations from local officials and to the extent possible appoint 6 members who represent the ridership of the several commuter railroad 7 lines. Vacancies occurring in the membership of the council shall be 8 filled in the same manner as original appointments. 9 3. The members of the council shall receive no compensation for their 10 services but shall be reimbursed for their expenses actually and neces- 11 sarily incurred by them in the performance of their duties hereunder 12 from funds appropriated to the commissioner of transportation. 13 4. The council may request and shall receive from any department, 14 division, board, bureau, commission, agency, public authority of the 15 state or any political subdivision thereof such assistance and data as 16 it requests and will enable it to properly carry out its activities for 17 the purposes set forth herein. 18 § 1349-nnnn. Medical emergency services plan; implementation on 19 Metro-North Commuter Railroad Company. 1. The authority is hereby 20 authorized and directed to implement a medical emergency services 21 program for the benefit of persons utilizing transportation and other 22 related services of the Metro-North Commuter Railroad Company. Such 23 program shall include but not be limited to provisions for the follow- 24 ing: 25 (a) the training of conductors, trainmen and other designated employ- 26 ees in first aid; 27 (b) emergency techniques and procedures; 28 (c) handling and positioning of stricken commuters; and 29 (d) knowledge of procedures and equipment used for respiratory and 30 cardiac emergencies. 31 2. Notwithstanding any inconsistent provision of any general, special 32 or local law, a designated employee employed upon facilities of the 33 Metro-North Commuter Railroad Company who has successfully completed a 34 course in first aid, including instruction and training in cardiopulmo- 35 nary resuscitation and who voluntarily and without expectation of mone- 36 tary compensation renders first aid, emergency treatment or cardiopulmo- 37 nary resuscitation at the scene of an accident or other emergency, in 38 the course of his or her duties as an employee of the Metro-North Commu- 39 ter Railroad Company to a person who is unconscious, ill or injured, 40 shall not be liable for damages and injuries alleged to have been 41 sustained by such person or for damages for death of such person alleged 42 to have occurred by reason of an act or omission in the rendering of 43 such first aid, emergency treatment or cardiopulmonary resuscitation 44 unless it is established that such injuries were or such death was 45 caused by gross negligence on the part of such designated employee. 46 § 1349-oooo. Excess loss fund. 1. Subject to the provisions of this 47 section, the authority is authorized to issue bonds and notes, in 48 accordance with section thirteen hundred forty-nine-xxxx of this title, 49 in such principal amounts not in excess of the seventy-five million 50 dollar limitation established in subdivision four of this section as, in 51 the opinion of the authority, shall be necessary to provide sufficient 52 funds to meet the capital and reserve requirements of a trust, pooling 53 arrangement or other entity established for the purpose of providing 54 reimbursement and funding to the authority and its subsidiaries for 55 excess or extraordinary losses for damages to real or personal property 56 or for the destruction thereof or for personal injuries or death and forS. 7840 151 1 certain property damage losses which may be incurred or sustained by any 2 of them in connection with the use and operation of their respective 3 facilities and in the conduct of their respective activities, the trust, 4 pooling arrangement or other entity established in order to provide such 5 benefits to such participants being referred to in this section as the 6 "excess loss fund". Prior to the issuance of any bonds or notes, other 7 than refunding bonds or notes, authorized by this section, the authority 8 shall make a finding that such issue is expected to result, on a present 9 value basis, in a lower effective cost to the participating authorities 10 than funding the requirements of the excess loss fund solely through the 11 payment of premiums and assessments by such participating authorities. 12 2. In order to effectuate the purposes of the excess loss fund, the 13 authority shall, subject to the provisions of this section, have all the 14 powers provided elsewhere in this title and may: 15 (a) accept the notes, bonds and other contractual obligations of the 16 excess loss fund for funds provided to it by the authority; 17 (b) obtain security for the payment by the excess loss fund of its 18 notes, bonds and other contractual obligations issued to the authority, 19 including a pledge of all or any part of the assets and revenues of the 20 excess loss fund, including its receipts and rights to receive premiums, 21 assessments, reimbursements and other payments from the participants in 22 the excess loss fund, which pledge may contain covenants with respect to 23 the charging and fixing by actuarial estimates, where appropriate, of 24 premiums, assessments, reimbursements and other payments and the use and 25 disposition thereof; and 26 (c) enter into contracts with the excess loss fund and with the 27 participants therein, on such terms and conditions as the parties may 28 agree, with respect to the payment of premiums, assessments, reimburse- 29 ments and other payments to the excess loss fund and the nature and 30 extent of the benefits to be paid by the excess loss fund to such 31 participants. 32 3. The bonds and notes of the authority authorized by this section 33 shall not constitute general obligations of the authority, but shall be 34 special obligations of the authority payable as to principal, redemption 35 premium, if any, and interest solely from the security, sources of 36 payment and funds obtained from or on behalf of the excess loss fund, 37 all in the manner more particularly provided by the authority in the 38 resolution under which such bonds and notes shall be authorized to be 39 issued. 40 4. The aggregate principal amount of bonds and notes issued for the 41 purposes enumerated in subdivision one of this section shall not exceed 42 seventy-five million dollars, excluding: (a) bonds and notes issued to 43 fund costs of issuance and any reasonably required debt service reserve 44 fund for such bonds or notes; (b) an amount equal to any original issue 45 discount from the principal amount of any bonds or notes issued; and (c) 46 bonds and notes issued to refund or otherwise repay bonds or notes ther- 47 etofore issued for such purposes, provided, however, that upon any such 48 refunding or repayment of the total aggregate principal amount of 49 outstanding bonds and notes, including for purpose of such calculation 50 the principal amount of the refunding bonds or notes then to be issued 51 and excluding the principal amount of the bonds or notes so to be 52 refunded or repaid and any amounts excluded under paragraph (a) or (b) 53 of this subdivision, may be greater than seventy-five million dollars, 54 only if the present value of the aggregate debt service of the refunding 55 or repayment bonds or notes to be issued shall not exceed the present 56 value of the aggregate debt service of the bonds or notes so to beS. 7840 152 1 refunded or repaid. For purposes of paragraph (c) of this subdivision, 2 the present values of the aggregate debt service of the refunding or 3 repayment bonds or notes and of the aggregate debt service of the bonds 4 or notes so to be refunded or repaid, shall be calculated by utilizing 5 the effective interest rate of the refunding or repayment bonds or 6 notes, which shall be that rate arrived at by doubling the semi-annual 7 interest rate, compounded semi-annually, necessary to discount the debt 8 service payments on the refunding or repayment bonds or notes from the 9 payment dates thereof to the date of issue of the refunding or repayment 10 bonds or notes and to the price bid including estimated accrued interest 11 or proceeds received by the authority including estimated accrued inter- 12 est from the sale thereof. 13 5. The term "excess loss fund" as used in this section shall not 14 include any trust, pooling arrangements or other entity: (a) which 15 provides or offers to provide reimbursement or funding for losses or 16 liabilities to any entity other than the authority and its subsidiaries; 17 or (b) in which any entity other than the authority and its subsidiaries 18 holds an equity interest. 19 § 1349-pppp. Authority police force. 1. The authority is hereby 20 authorized and empowered, to provide and maintain an authority police 21 department and a uniformed authority police force. Each member of such 22 uniformed police force shall be a "police officer" for the purposes of 23 the criminal procedure law, with all of the powers of such police offi- 24 cers thereunder and subject to the same jurisdictional provisions on the 25 exercise of that power as set forth in such law. The geographical area 26 of employment of such police officers for the purposes of the criminal 27 procedure law shall embrace the metropolitan commuter transportation 28 district as defined in section twelve hundred sixty-two of this article. 29 Such department and force shall have the power, in and about any or all 30 of the facilities owned, occupied and/or operated by the authority and 31 its subsidiary corporations, as determined in the discretion of the 32 authority, to enforce and prevent violation of all laws and ordinances. 33 Nothing herein shall confer upon the authority police force or upon 34 their collective negotiations representatives exclusive jurisdiction or 35 claim over the exercise of police power or security work on behalf of 36 the authority and its subsidiary corporations. Nothing herein shall 37 limit the authority and its subsidiary corporations from continuing to 38 rely on local police for police services. However, traditional police 39 functions previously performed by the Long Island Rail Road Company 40 and/or the Metro-North Commuter Railroad Company police force shall 41 continue to be performed by the authority police forces. 42 2. Initial appointments to such authority police force shall be all 43 incumbent police officers from the Long Island Rail Road Company and/or 44 the Metro-North Commuter Railroad Company at the time of such appoint- 45 ment. The executive director of the authority, through the chief of 46 police, shall have the power and authority to appoint and employ such 47 number of police officers as he or she deems necessary to act as police 48 officers of the authority and to administer to the officers an oath or 49 affirmation faithfully to perform the duties of their respective posi- 50 tions or offices. Unless, at the time of appointment, the person is a 51 police officer of the Long Island Rail Road Company or the Metro-North 52 Commuter Railroad Company, only persons who have never been convicted of 53 a felony and are citizens of the United States shall be appointed police 54 officers on the authority police force. After the initial appointments 55 are made, selection of police officer candidates shall be made pursuant 56 to an examination process to be determined at the discretion of theS. 7840 153 1 authority and candidates shall receive a certificate attesting to satis- 2 factory completion of an approved municipal police basic training 3 program, as described in section two hundred nine-q of the general 4 municipal law. No person shall be eligible for appointment unless such 5 person is not less than twenty years of age as of the date of appoint- 6 ment nor more than thirty-five years of age as of the date when the 7 applicant takes the written examination, provided, however, that time 8 spent on military duty or on terminal leave, not exceeding a total of 9 six years, shall be subtracted from the age of any applicant who has 10 passed his or her thirty-fifth birthday as provided in subdivision ten-a 11 of section two hundred forty-three of the military law. Upon appoint- 12 ments made by transferring an entire group of police officers into the 13 authority police force, thereby eliminating such other group of police 14 officers, the authority shall recognize any representative previously 15 chosen by the police officers for the purposes of collective negoti- 16 ations consistent with the bargaining units already established and 17 shall also assume and continue to observe any existing labor contracts 18 covering these police officers including such provisions which relate to 19 the grievance and disciplinary procedures and interest arbitration. 20 Subsequent to the establishment of the consolidated police force the 21 authority and the collective bargaining representatives shall be author- 22 ized to negotiate a merger of the separate bargaining units. 23 3. The authority may appoint a chief and one or more deputy chiefs of 24 the authority police department who, in the discretion of the authority, 25 may be selected from the ranks of the authority police force, and assign 26 powers and duties to them and fix their compensation. The chief shall be 27 the head of such department. The deputy chief designated by the chief 28 shall possess all the powers and perform all the duties of the chief 29 during his or her absence or disability. The authority police force 30 shall consist of such divisions, supervisors and officers, including but 31 not limited to police officers, detectives, sergeants, lieutenants and 32 captains as designated by the authority. Notwithstanding any law or 33 provision to the contrary, the members of the uniformed authority police 34 force shall not acquire civil service status or become members of the 35 New York state and local employees' retirement system, except as set 36 forth in this section. 37 4. The authority shall provide for a twenty year retirement plan under 38 the same terms and conditions as provided by section three hundred 39 eighty-nine of the retirement and social security law as enacted by 40 chapter six hundred twenty-eight of the laws of nineteen hundred nine- 41 ty-one; except that: 42 (a) any benefit provided pursuant to such plan shall be subject to an 43 offset, as defined in this paragraph, for any tier II benefit payable 44 pursuant to the federal Railroad Retirement Act to or in the respect of 45 a member. The offset provided for by this paragraph shall be the amount 46 of the tier II benefit which would be payable to or in respect to such 47 member pursuant to the federal Railroad Retirement Act multiplied by a 48 fraction, the numerator of which is the member's years of credited 49 service covered by the federal Railroad Retirement Act rendered to, or 50 credited by, the authority or any subsidiary corporation of the authori- 51 ty, and the denominator of which is the member's total years of service 52 covered by the federal Railroad Retirement Act; 53 (b) references to the Long Island Rail Road shall be to the authority; 54 (c) the transfer of funds described in subdivision f of section three 55 hundred eighty-nine of the retirement and social security law as enacted 56 by chapter six hundred twenty-eight of the laws of nineteen hundredS. 7840 154 1 ninety-one shall include the Metro-North Commuter Railroad Company 2 Defined Contribution Pension Plan for Agreement Employees; 3 (d) the provisions of subdivision g of section three hundred eighty- 4 nine of the retirement and social security law as enacted by chapter six 5 hundred twenty-eight of the laws of nineteen hundred ninety-one to the 6 extent of requiring contributions for past service liability shall not 7 be applicable; and 8 (e) when a police officer transferred from the Long Island Rail Road 9 Company police force to the authority police force reaches age sixty-two 10 the authority will offset the amount payable under this plan by the 11 amount of tier II benefit payable from the Railroad Retirement Board for 12 a service age annuity or disability payable at the participants age 13 sixty-two. 14 5. The authority may, in its sole discretion, establish within the 15 authority's defined benefit program, a retirement program consistent 16 with the foregoing. If the authority has not so established such program 17 in its defined benefit program within one hundred eighty days after 18 enactment, then the authority shall elect to participate in article 19 fourteen-B of the retirement and social security law. 20 6. If the authority elects to participate in the New York state and 21 local employees' retirement system, such election to participate shall 22 be made by resolution filed with the comptroller and accepted by him or 23 her pursuant to section thirty-one of the retirement and social security 24 law. 25 7. Nothing herein contained shall be deemed to diminish, suspend or 26 abolish an existing benefit inured to a police officer, transferred from 27 the Long Island Rail Road Company and/or Metro-North Commuter Railroad 28 Company police force and subject to the provisions of this section in 29 and to the rights, privileges or status previously earned within a 30 pension or retirement system of which they were a member immediately 31 prior to the enactment of this section; and any such existing right, 32 privilege or status shall survive the effect of any decisions or deter- 33 minations lawfully made in accordance with the provisions hereof so long 34 as such right, privilege or status is greater in benefit to that which 35 would be imposed or imputed to any subject officer as a result of 36 actions of the authority authorized herein. 37 § 1349-qqqq. The permanent citizens advisory committee. There is 38 hereby established a permanent citizens advisory committee. The members 39 of the committee shall consist of the following members: the Long Island 40 Rail Road commuter council and the Metro-North commuter council. 41 § 1349-rrrr. Commuter transportation authority pledge to customers. 1. 42 A commuter transportation authority pledge to customers shall be created 43 and adopted by the commuter transportation authority. A copy of such 44 pledge shall be posted on the website of the authority and shall be 45 posted in stations where the authority makes regular postings. The 46 authority shall post the pledge in the language or languages it deems 47 necessary and appropriate. 48 2. The commuter transportation authority pledge to customers shall be 49 in the form and manner as prescribed by the authority, include the 50 contact information of the authority, and include, but not be limited 51 to, the following: 52 (a) a description of the authority's commitment to provide safe and 53 reliable services; 54 (b) a description of the authority's commitment to provide timely and 55 accurate information on its services;S. 7840 155 1 (c) a commitment that employees will provide service in a courteous 2 manner; 3 (d) a description of the authority's commitment to maintain clean 4 stations, facilities, and buses; 5 (e) a description of the authority's policies when it comes to arrang- 6 ing alternative transportation when service is interrupted; 7 (f) when service is interrupted, a description of the authority's 8 policies when it comes to considering the comfort of inconvenienced 9 customers; 10 (g) when service is interrupted due to weather conditions, a 11 description of the authority's policies on notifying customers; 12 (h) when service is severely interrupted, a description of the author- 13 ity's policies on service restoration. 14 3. The authority from time to time may, update and amend the commuter 15 transportation authority pledge to customers as it deems necessary and 16 proper and may adopt rules and regulations for the proper administration 17 of this section. 18 § 1349-ssss. Expired fare transfer policy. Notwithstanding any other 19 provision of law to the contrary, the authority shall, within ninety 20 days of the effective date of this section, establish an expired fare 21 transfer policy that may be amended from time to time. Such policy shall 22 provide any person who purchases a fare the ability to transfer any 23 remaining balance for two years after such fare is deemed expired. 24 § 1349-tttt. Acquisition and disposition of real property. 1. In 25 addition to the powers provided in section thirteen hundred forty-nine- 26 iiii of this title to acquire transportation facilities, equipment and 27 real property, the authority may acquire, by condemnation pursuant to 28 the condemnation law, any real property it may deem necessary, conven- 29 ient or desirable to effectuate the purposes of this title, provided 30 however, that any such condemnation proceedings shall be brought only in 31 the supreme court and the compensation to be paid shall be ascertained 32 and determined by the court without a jury. Notwithstanding the forego- 33 ing provisions of this subdivision, no real property may be acquired by 34 the authority by condemnation for purposes other than a transportation 35 facility unless the governing body of the city, village or town in which 36 such real property is located shall first consent to such condemnation. 37 2. Nothing herein contained shall be construed to prevent the authori- 38 ty from bringing any proceedings to remove a cloud on title or such 39 other proceedings as it may, in its discretion, deem proper and neces- 40 sary or from acquiring any such property by negotiation or purchase. 41 3. Where a person entitled to an award in the proceedings to condemn 42 any real property for any of the purposes of this title remains in 43 possession of such property after the time of the vesting of title in 44 the condemnor, the reasonable value of his or her use and occupancy of 45 such property subsequent to such time as fixed by agreement or by the 46 court in such proceedings or by any court of competent jurisdiction 47 shall be a lien against such award subject only to the liens of record 48 at the time of vesting of title in the condemnor. 49 4. Subject to the provisions of sections thirteen hundred forty-nine- 50 iiii of this title, title to all property acquired under this title 51 shall vest in the authority or one of its subsidiary corporations as the 52 authority directs. 53 5. The authority may, whenever it determines that it is in the inter- 54 est of the authority, dispose of any real property or property other 55 than real property, which it determines is not necessary, convenient or 56 desirable for its purposes.S. 7840 156 1 6. The authority may, whenever it shall determine that it is in the 2 interest of the authority, rent, lease, or grant easements or other 3 rights in, any land or property of the authority. 4 § 1349-uuuu. Acquisition and disposition of real property by depart- 5 ment of transportation. If funds are made available by the authority for 6 the payment of the cost and expense of the acquisition thereof, the 7 commissioner of transportation of the state of New York, when requested 8 by the authority, may acquire such real property in the name of the 9 state as may be determined from time to time by the authority as being 10 necessary, convenient or desirable to effectuate the purposes of this 11 title, may remove the owner or occupant thereof where necessary and 12 obtain possession and, when requested by the authority, may dispose of 13 any real property so acquired, all according to the procedures provided 14 in section thirty of the highway law. The authority shall have the right 15 to possess and use for its corporate purposes all such real property so 16 acquired. Claims for the value of the property appropriated and for 17 legal damages caused by any such appropriation shall be adjusted and 18 determined by such commissioner with the approval of the authority or by 19 the court of claims as provided in section thirty of the highway law. 20 When a claim has been filed with the court of claims, the claimant shall 21 cause a copy of such claim to be served upon the authority and the 22 authority shall have the right to be represented and heard before such 23 court. All awards and judgments arising from such claims shall be paid 24 out of moneys of the authority. No real property may be acquired pursu- 25 ant to the provisions of this section for purposes other than a trans- 26 portation facility unless the governing body of the city, village or 27 town in which such real property is located shall first consent to such 28 acquisition. The provisions of this section shall not be applicable to 29 the acquisition or disposition of real property required for the 30 construction of the two highway bridges crossing Long Island sound 31 referred to in section thirteen hundred forty-nine-iiii of this title. 32 The authority shall be empowered to lease for such other purposes as the 33 authority may determine any part or parts of Republic airport not needed 34 for transportation purposes. 35 § 1349-vvvv. Cooperation and assistance of other agencies. 1. To 36 avoid duplication of effort and in the interests of economy, the author- 37 ity may make use of existing studies, surveys, plans, data and other 38 materials in the possession of any state agency or any municipality or 39 political subdivision of the state. Each such agency, municipality or 40 subdivision is hereby authorized to make the same available to the 41 authority and otherwise to assist it in the performance of its func- 42 tions. At the request of the authority, each such agency, municipality 43 or subdivision which is engaged in highway or other transportation 44 activities or in land use or development planning, or which is charged 45 with the duty of providing or regulating any transportation facility or 46 any other public facility, is further authorized to provide the authori- 47 ty with information regarding its plans and programs affecting the 48 transportation district so that the authority may have available to it 49 current information with respect thereto. The officers and personnel of 50 such agencies, municipalities or subdivisions, and of any other govern- 51 ment or agency whatever, may serve at the request of the authority upon 52 such advisory committees as the authority shall determine to create and 53 such officers and personnel may serve upon such committees without 54 forfeiture of office or employment and with no loss or diminution in the 55 compensation, status, rights and privileges which they otherwise enjoy.S. 7840 157 1 2. The authority shall, at the request of any state agency, munici- 2 pality or political subdivision of the state, engaged in highway or 3 other transportation activities or in land use or development planning, 4 provide said state agency, municipality or political subdivision with 5 all current and relevant information regarding its plans or programs, so 6 as to enable said agency, municipality or subdivision to properly effec- 7 tuate said activities or planning. 8 3. To the extent that the provisions of this title authorize the 9 authority to enter into any agreement or arrangement with, or undertake 10 any other activity requiring the participation of, the Big Apple Trans- 11 it, the New York city transit authority or any of their subsidiary 12 corporations in furtherance of their respective purposes and powers or 13 the Triborough bridge and tunnel authority in furtherance of its 14 purposes and powers, such entities are hereby authorized and empowered 15 to enter into and perform such contract or other arrangement and to 16 undertake such activities. 17 § 1349-wwww. Promotion of qualified transportation fringes. The 18 authority shall promote the broad use of qualified transportation fring- 19 es, under section 132(f) of the internal revenue code, in order to 20 increase the number of participating companies and employees in such 21 programs. The authority may also study and report on ways in which 22 programs may be improved so as to increase public participation. 23 § 1349-xxxx. Notes, bonds and other obligations of the authority. 1. 24 (a) The authority shall have power and is hereby authorized from time to 25 time to issue its bonds, notes and other obligations in such principal 26 amount as, in the opinion of the authority, shall be necessary, conven- 27 ient or desirable to effectuate any of its powers and purposes, includ- 28 ing to provide sufficient funds for achieving its purposes, including 29 the acquisition, establishment, construction, effectuation, operation, 30 maintenance, renovation, improvement, extension, rehabilitation or 31 repair of any transportation facility, the payment of principal, redemp- 32 tion premium and interest on bonds, notes and other obligations of the 33 authority, establishment of reserves to secure such bonds, notes and 34 other obligations, the provision of working capital and all other 35 expenditures of the authority and its subsidiary corporations incident 36 to and necessary or convenient to carry out their purposes and powers. 37 Such bonds, notes or other obligations may be issued for an individual 38 transportation facility or issued on a consolidated basis for such 39 groups or classes of facilities and projects as the authority in its 40 discretion deems appropriate and be payable from and secured separately 41 or on a consolidated basis by, among other things, all or any portion of 42 such revenues and other monies and assets of the authority and its 43 subsidiary corporations as the authority determines in accordance with 44 the provisions of section thirteen hundred forty-nine-ddddd of this 45 title; 46 (b) The authority shall have power, from time to time, to issue 47 renewal notes, to issue bonds to refund, redeem or otherwise pay, 48 including by purchase or tender, notes of the authority and its subsid- 49 iary corporations and whenever it deems refunding, redemption or payment 50 expedient, to refund, redeem or otherwise pay, including by purchase or 51 tender, any bonds of the authority and its subsidiary corporations, by 52 the issuance of new bonds, whether the bonds to be refunded, redeemed or 53 otherwise paid have or have not matured, and to issue bonds partly for 54 such purpose and partly for any other purpose and to otherwise refund, 55 redeem, acquire by purchase or tender, or in any other way repay anyS. 7840 158 1 outstanding notes, bonds or other obligations of the authority, and any 2 of its subsidiary corporations; 3 (c) Every issue of its notes, bonds or other obligations shall be 4 general obligations or special obligations. Every issue of general obli- 5 gations of the authority shall be payable out of any revenues or monies 6 of the authority, subject only to any agreements with the holders of 7 particular notes or bonds pledging any particular receipts or revenues. 8 Every issue of special obligations shall be payable out of any revenues, 9 receipts, monies or other assets of the authority and its subsidiary 10 corporations, identified for such purposes in accordance with agreements 11 with the holders of particular notes, bonds or other obligations. The 12 authority may issue transportation revenue special obligation bonds, 13 notes or other obligations as provided in section thirteen hundred 14 forty-nine-eeeee of this title; 15 2. The authority may from time to time issue its bonds and notes in 16 such principal amounts as, in the opinion of the authority, shall be 17 necessary to finance the unfunded pension fund liabilities of the 18 authority, its affiliates and subsidiaries, provided, however, that in 19 no event shall the cumulative amounts of bonds and notes issued pursuant 20 to the authority of this subdivision exceed one billion two hundred 21 million dollars or sixty percent of such unfunded pension fund liabil- 22 ities, whichever is less, and provided, further, that no bonds shall be 23 issued under this subdivision for a term longer than twenty years. The 24 authority shall not issue bonds or notes in any twelve-month period in a 25 cumulative principal amount in excess of forty percent of the total 26 amount permitted to be issued under this subdivision. Prior to the issu- 27 ance of any bonds or notes, the authority shall make a finding that such 28 issue is expected to result, on a present value basis, in a lower effec- 29 tive cost to the authority than funding the unfunded pension fund 30 liability solely through the payment of annual amounts to the pension 31 fund, assuming that the principal component of the unfunded liability 32 will be amortized over the same number of years as the term of the bonds 33 or notes and that the interest payable thereon is the actuarial rate of 34 interest determined by the actuary for the pension fund at the time of 35 the issuance of such bonds or notes. The aggregate principal amount of 36 bonds and notes issued for such purposes may be increased to fund costs 37 of issuance and may reasonably require debt service of other reserve 38 funds. Bonds and notes may be issued to refund or otherwise repay bonds 39 or notes theretofore issued for such purposes; provided, however, that 40 upon any such refunding or repayment, including for the purpose of such 41 calculation the principal amount of the refunding bonds or notes then to 42 be issued and excluding the principal amount of the bonds or notes so to 43 be refunded or repaid and also excluding any amounts used to pay costs 44 of issuance and reasonably required debt service or other reserve funds, 45 the present value of the aggregate debt service of the refunding or 46 repayment bonds or notes to be issued shall not exceed the present value 47 of the aggregate debt service of the bonds or notes so to be refunded or 48 repaid. For purposes of the preceding sentence, the present values of 49 the aggregate debt service of the refunding or repayment bonds or notes 50 and of the aggregate debt service of the bonds or notes so to be 51 refunded or repaid shall be calculated by utilizing the effective inter- 52 est rate of the refunding or repayment bonds or notes, which shall be 53 that rate arrived at by doubling the semi-annual interest rate, 54 compounded semi-annually, necessary to discount the debt service 55 payments on the refunding or repayment bonds or notes from the payment 56 dates thereof to the date of issue of the refunding or repayment bondsS. 7840 159 1 or notes and to the price bid including estimated accrued interest or 2 proceeds received by the authority including estimated accrued interest 3 from the sale thereof. Debt service on the bonds or notes shall be 4 structured so that the economic benefits thereof shall be relatively 5 uniform for each full year throughout the term of the bonds or notes. 6 Beginning with the date of first issuance of bonds under this section, 7 the authority and its subsidiaries shall make annual payments into the 8 pension fund in amounts at least equal to the current pension contrib- 9 ution liability applicable to such year. The net proceeds of the bonds 10 or notes intended to be invested in non-debt securities may be invested 11 by the recipient pension fund in a fiscally prudent manner in securities 12 consistent with any trust indentures and all applicable state and feder- 13 al law over a reasonable period of time not less than thirty days 14 following the issuance of the bonds or notes. The operating budget 15 savings associated with the issuance of pension obligation bonds pursu- 16 ant to this subdivision shall be dedicated to reducing service elimi- 17 nations projected to occur within that period. 18 3. The notes, bonds and other obligations shall be authorized by 19 resolution approved by not less than a majority vote of the whole number 20 of members of the authority then in office, except that in the event of 21 a tie vote the chairperson shall cast one additional vote. Such notes, 22 bonds and other obligations shall bear such date or dates, and shall 23 mature at such time or times, in the case of any such note or any 24 renewals thereof not exceeding five years from the date of issue of such 25 original note, and in the case of any such bond not exceeding fifty 26 years from the date of issue, as such resolution or resolutions may 27 provide. The notes, bonds and other obligations shall bear interest at 28 such rate or rates, be in such denominations, be in such form, either 29 coupon or registered, carry such registration privileges, be executed in 30 such manner, be payable in such medium of payment, at such place or 31 places and be subject to such terms of redemption as such resolution or 32 resolutions may provide. The notes, bonds and other obligations of the 33 authority may be sold by the authority, at public or private sale, at 34 such price or prices as the authority shall determine. No notes or bonds 35 of the authority may be sold by the authority at private sale, however, 36 unless such sale and the terms thereof have been approved in writing by 37 (a) the comptroller, where such sale is not to the comptroller, or (b) 38 the director of the budget, where such sale is to the comptroller. 39 4. Any resolution or resolutions authorizing any notes, bonds or any 40 issue thereof, or any other obligations of the authority, may contain 41 provisions, which shall be a part of the contract with the holders ther- 42 eof, as to: 43 (a) pledging all or any part of the revenues of the authority or of 44 any of its subsidiary corporations to secure the payment of the notes or 45 bonds or of any issue thereof, or any other obligations of the authori- 46 ty, subject to such applicable agreements with bondholders, noteholders, 47 or holders of other obligations of the authority and the metropolitan 48 transportation authority, as may then exist; 49 (b) pledging all or any part of the assets of the authority or of any 50 of its subsidiary corporations to secure the payment of the notes or 51 bonds or of any issue of notes or bonds, or any other obligations of the 52 authority, subject to such agreements with noteholders, bondholders, or 53 holders of other obligations of the authority as may then exist; 54 (c) the use and disposition of revenues, including fares, tolls, 55 rentals, rates, charges and other fees, made or received by the authori- 56 ty, or any of its subsidiary corporations;S. 7840 160 1 (d) the setting aside of reserves or sinking funds and the regulation 2 and disposition thereof; 3 (e) limitations on the purpose to which the proceeds of sale of notes, 4 bonds or other obligations of the authority may be applied and pledging 5 such proceeds to secure the payment of the notes or bonds or of any 6 issue thereof or of other obligations; 7 (f) limitations on the issuance of additional notes, bonds or other 8 obligations of the authority; the terms upon which additional notes, 9 bonds or other obligations of the authority may be issued and secured; 10 the refunding of outstanding or other notes, bonds or other obligations 11 of the authority; 12 (g) the procedure, if any, by which the terms of any contract with 13 noteholders, bondholders, or holders of other obligations of the author- 14 ity, may be amended or abrogated, the amount of notes, bonds or other 15 obligations of the authority the holders of which shall consent thereto, 16 and the manner in which such consent may be given; 17 (h) limitations on the amount of monies to be expended by the authori- 18 ty or any of its subsidiary corporations for operating, administrative 19 or other expenses of the authority or any of its subsidiary corpo- 20 rations; 21 (i) vesting in a trustee or trustees such property, rights, powers and 22 duties in trust as the authority may determine, which may include any or 23 all of the rights, powers and duties of the trustee appointed by the 24 bondholders, noteholders or holders of other obligations of the authori- 25 ty pursuant to this title, and limiting or abrogating the right of the 26 bondholders, noteholders or holders of other obligations of the authori- 27 ty to appoint a trustee under this article or limiting the rights, 28 powers and duties of such trustee; 29 (j) any other matters, of like or different character, which in any 30 way affect the security or protection of the notes, bonds or other obli- 31 gations of the authority. 32 5. In addition to the powers herein conferred upon the authority to 33 secure its notes, bonds and other obligations, the authority shall have 34 power in connection with the issuance of notes, bonds and other obli- 35 gations to enter into such agreements as the authority may deem neces- 36 sary, convenient or desirable concerning the use or disposition of the 37 monies or property of any of the authority, its subsidiary corporations, 38 including the mortgaging of any such property and the entrusting, pledg- 39 ing or creation of any other security interest in any such monies or 40 property and the doing of any act, including refraining from doing any 41 act, which the authority would have the right to do in the absence of 42 such agreements. The authority shall have power to enter into amendments 43 of any such agreements within the powers granted to the authority by 44 this title and to perform such agreements. The provisions of any such 45 agreements may be made a part of the contract with the holders of the 46 notes, bonds and other obligations of the authority. 47 6. It is the intention hereof that any pledge, mortgage or security 48 instrument made by the authority shall be valid and binding from the 49 time when the pledge, mortgage or security instrument is made; that the 50 monies or property so pledged, mortgaged and entrusted and thereafter 51 received by the authority, or any of its subsidiary corporations shall 52 immediately be subject to the lien of such pledge, mortgage or security 53 instrument without any physical delivery thereof or further act; and 54 that the lien of any such pledge, mortgage or security instrument shall 55 be valid and binding as against all parties having claims of any kind in 56 tort, contract or otherwise against the authority, or any of its subsid-S. 7840 161 1 iary corporations, irrespective of whether such parties have notice 2 thereof. Neither the resolution nor any mortgage, security instrument 3 or other instrument by which a pledge, mortgage lien or other security 4 is created need be recorded or filed and neither the authority nor, any 5 of its subsidiary corporations shall be required to comply with any of 6 the provisions of the uniform commercial code. 7 7. Neither the members of the authority nor any person executing the 8 notes, bonds or other obligations shall be liable personally on the 9 notes, bonds or other obligations or be subject to any personal liabil- 10 ity or accountability by reason of the issuance thereof. 11 8. The authority, subject to such agreements with the holders of 12 notes, bonds or other obligations as may then exist, shall have power 13 out of any funds available therefor to purchase notes, bonds or other 14 obligations of the authority. The authority may hold, cancel or sell 15 such bonds, notes and other obligations, subject to and in accordance 16 with agreements with such holders. 17 9. Neither the state nor the city of New York shall be liable on 18 notes, bonds or other obligations of the authority and such notes, bonds 19 and other obligations shall not be a debt of the state or the city of 20 New York, and such notes, bonds and other obligations shall contain on 21 the face thereof, or in an equally prominent place, a statement to such 22 effect. 23 10. So long as the authority has any outstanding bonds, notes or other 24 obligations issued pursuant to this section, none of the authority or 25 any of its subsidiary corporations shall have the authority to file a 26 voluntary petition under chapter nine of the federal bankruptcy code or 27 such corresponding chapter, chapters or sections as may, from time to 28 time, be in effect, and neither any public officer nor any organization, 29 entity or other person shall authorize the authority or any of its 30 subsidiary corporations to be or become a debtor under chapter nine or 31 said corresponding chapter, chapters or sections during any such period. 32 11. The term "monies" as used in this section shall include, but not 33 be limited to, all operating subsidies provided by: (i) any public bene- 34 fit corporation; or (ii) any governmental entity, federal, state or 35 local and shall exclude all funds required to be transferred to the 36 metropolitan transportation authority pursuant to section thirteen 37 hundred forty-nine-iiii of this title. 38 12. Any resolution or agreement authorizing the issuance of bonds, 39 notes or other obligations pursuant to this section may, in addition, 40 authorize and provide for the issuance of lease obligations of the 41 authority which may be issued for the purposes and on the terms and 42 conditions under which the bonds, notes and other obligations authorized 43 under this section may be issued, and may be secured in the same manner 44 as such bonds, notes and other obligations, and which resolution with 45 respect to such lease obligations, may contain such other provisions 46 applicable to bonds, notes and other obligations not inconsistent with 47 the provisions of this section, as the authority may determine. 48 13. The aggregate principal amount of bonds, notes or other obli- 49 gations issued after the effective date of this title by the authority 50 to fund projects contained in capital program plans approved pursuant to 51 section thirteen hundred forty-nine-yyyy of this title for the new capi- 52 tal program period shall not exceed the new capital program debt limit. 53 Such aggregate principal amount of bonds, notes or other obligations or 54 the expenditure thereof shall not be subject to any limitation contained 55 in any other provision of law on the principal amount of bonds, notes or 56 other obligations or the expenditure thereof applicable to the authori-S. 7840 162 1 ty. The aggregate limitation established by this subdivision shall not 2 include: 3 (a) obligations issued to refund, redeem or otherwise repay, including 4 by purchase or tender, obligations theretofore issued either by the 5 issuer of such refunding obligations or by the authority; 6 (b) obligations issued to fund any debt service or other reserve funds 7 for such obligations; 8 (c) obligations issued or incurred to fund the costs of issuance, the 9 payment of amounts required under bond and note facilities, federal or 10 other governmental loans, security or credit arrangements or other 11 agreements related thereto and the payment of other financing, original 12 issue premiums and related costs associated with such obligations; 13 (d) an amount equal to any original issue discount from the principal 14 amount of such obligations or to fund capitalized interest; 15 (e) obligations incurred in connection with the leasing, selling or 16 transferring of equipment; and 17 (f) bond anticipation notes or other obligations payable solely from 18 the proceeds of other bonds, notes or other obligations which would be 19 included in the aggregate principal amount specified in the opening 20 paragraph of this subdivision, whether or not additionally secured by 21 revenues of the authority, or any of its subsidiary corporations. 22 § 1349-yyyy. Capital program plans; approvals; effect of disapproval. 23 1. (a) On or before the first of October next succeeding the effective 24 date of this section and every fifth year thereafter, the authority 25 shall submit to the governor a capital program plan for the ten-year 26 period commencing January first of the following year. 27 (b) Each such plan shall contain the capital program for the railroad 28 facilities, not including the Staten Island rapid transit operating 29 authority, under the jurisdiction of the authority. 30 (c) The plan shall set system-wide goals and objectives for capital 31 spending, establish standards for service and operations, and describe 32 each capital element proposed to be initiated in each of the years 33 covered by the plan and explain how each proposed element supports the 34 achievement of the service and operational standards established in the 35 plan. The plan shall also set forth an estimate of the amount of capital 36 funding required each year and the expected sources of such funding. 37 Each plan subsequent to the first such plan and each proposed amendment 38 or modification thereof shall also describe the current status of each 39 capital element included in the previously approved plan, if any. The 40 plan shall be accompanied or supplemented by such supporting materials 41 as the governor shall require. 42 (d) A capital element shall mean either a category of expenditure 43 itemized in a plan, as hereinafter provided, for which a specified maxi- 44 mum dollar amount is proposed to be expended, or a particularly 45 described capital project within one or more categories for which no 46 maximum expenditure is proposed, but for which an estimate of expected 47 cost is provided. A capital element shall be deemed to have been initi- 48 ated for purposes of this section if in connection with such element the 49 authority shall certify that: (i) purchase or construction contracts 50 have been entered into, obligating in the aggregate an amount exceeding 51 ten percent of the maximum or estimated cost of the element as set forth 52 in a plan; (ii) financing specific to the project has been undertaken; 53 or (iii) in a case where such element is limited to design or engineer- 54 ing, a contract therefor has been entered into. 55 2. The plan shall itemize the capital elements included in each 56 section of the plan under the following categories of expenditure: (a)S. 7840 163 1 rolling stock and buses; (b) passenger stations; (c) track; (d) line 2 equipment; (e) line structures; (f) signals and communications; (g) 3 power equipment, emergency power equipment and substations; (h) shops, 4 yards, maintenance facilities, depots and terminals; (i) service vehi- 5 cles; (j) security systems; (k) electrification extensions; and (l) 6 unspecified, miscellaneous and emergency. 7 3. A capital program plan shall be approved only by resolution of the 8 authority approved by not less than a majority vote of the whole number 9 of members of the authority then in office, except that in the event of 10 a tie vote the chairperson shall cast one additional vote. After 11 approval, the authority shall submit the plan to the governor, who has 12 ninety days to approve the plan. 13 4. A copy of any capital program plan that has been approved by the 14 authority and distributed to the governor shall be simultaneously 15 provided to the public by the metropolitan commuter authority, via its 16 official or shared internet website. 17 5. If the governor takes no action within ninety days after receiving 18 the plan, the plan shall be deemed to have been approved. 19 6. If the governor vetoes the plan, the authority may only override 20 the veto by unanimous vote. 21 7. If the governor vetoes the plan and the authority does not override 22 the veto, the authority may thereafter reformulate and resubmit such 23 plan at any time. Within thirty days of the submission of such reformu- 24 lated plan, the governor shall notify the authority of its approval, or, 25 if the reformulated plan is not approved and the governor has not noti- 26 fied the authority of his or her disapproval within such period, the 27 reformulated plan shall be deemed to have been approved. 28 8. No general obligation bonds or notes of the authority, no special 29 obligation bonds or notes of the authority to finance a transit project 30 shall be issued to finance the costs of a capital element unless such 31 capital element and such source of funding was set forth in a plan 32 approved as provided in this section. 33 9. The disapproval of a capital program plan shall not affect: (a) the 34 right of the authority or of its subsidiaries to initiate and complete 35 any capital element which will be financed otherwise than through the 36 issuance of the bonds or notes the issuance of which is prohibited under 37 subdivision four of this section; (b) the right of the authority to 38 issue bonds or notes to finance a capital element which was initiated 39 prior to such disapproval in conformity with a previously approved plan; 40 or (c) the right of the authority to issue bonds or notes to refund or 41 otherwise repay any of its outstanding bonds or notes or to fulfill any 42 of their obligations to the holders of any of their outstanding bonds or 43 notes. 44 10. Notwithstanding the provisions of subdivision eight of this 45 section, if a source of funding described in an approved plan shall be 46 unavailable or be available in a lesser amount than that set forth in 47 such plan, the authority may issue bonds or notes as necessary to 48 provide the requisite funding for the capital elements included in the 49 plan to the extent that the aggregate amount of such bonds or notes to 50 be issued in substitution for such unavailable amounts shall not exceed 51 the greater of fifty million dollars or twenty percent of the total 52 amount described in such plan for either the substitute funding source 53 or the funding source being substituted for. 54 11. (a) The authority may from time to time submit to the governor 55 amendments or modifications to any ten-year plan theretofore submitted, 56 and shall submit such an amendment or modification: (i) if the estimatedS. 7840 164 1 cost of any capital element for which a specified dollar amount was 2 proposed to be expended exceeds the amount set forth in the approved 3 plan for such element by more than ten percent; (ii) if with respect to 4 a particularly described capital element for which only an estimate of 5 projected cost has been provided in the plan there is a material change 6 in the description of such element from that contained in the approved 7 plan; (iii) if a capital element not previously included in the approved 8 plan is proposed to be undertaken and its cost, together with the cost 9 of other elements included in category (l) of the plan, exceeds by ten 10 percent the amount provided for such category (l) elements; (iv) if the 11 authority shall propose to change by more than one year the time when 12 any capital element is proposed to be initiated or the effect of such 13 change will be to increase the estimated amount of capital funding 14 required in any year covered by the plan by more than twenty percent; or 15 (v) if the availability of funding sources changes to the degree to 16 which the authority is precluded from exercising the authorization 17 provided in subdivision six of this section and the authority wishes to 18 do so. 19 (b) An amendment or modification may only be approved in two ways: (i) 20 an amendment or modification shall only be approved by the governor and 21 within thirty days of the submission of an amendment or modification the 22 governor shall notify the authority of its approval of the same; or (ii) 23 if the amendment or modification is not approved by the governor within 24 such thirty day period and the governor has not notified the authority 25 in writing of his or her disapproval within such period, the amendment 26 or modification shall be deemed to have been approved. 27 12. In formulating its capital program plans, the authority shall give 28 consideration to the physical condition and urgency of need of each of 29 the several transportation and transit systems involved, to the needs of 30 all of the communities and areas serviced by these systems, to the 31 extent to which other capital aid or assistance may be available to each 32 of these systems, and to the safety, comfort and convenience of its 33 passengers. In determining the source or method of funding which the 34 authority is to use to finance the cost of the capital elements included 35 in its capital program plans, the authority shall, insofar as practica- 36 ble, give consideration, among other things, to: (a) the potential 37 impact of each such source or method upon the level of passenger fares; 38 (b) the relative cost of the several funding alternatives; and (c) the 39 relative ability of each source or method to provide funding at times 40 and in amounts estimated to be required by the capital program plan. To 41 the extent funding is proposed to be obtained through the issuance and 42 sale of bonds or notes, the authority shall, insofar as practicable and 43 consistent with the matters set forth in paragraphs (a), (b) and (c) of 44 this subdivision, give preference to the use of funds appropriated or to 45 be appropriated to the authority by virtue of service contracts with the 46 director of the budget entered into pursuant to the provisions of the 47 transportation systems assistance and financing act of 1981 for purposes 48 of paying the annual cost of debt service for such bonds or notes. 49 13. On or before the fourth first of October succeeding the effective 50 date of this subdivision, and on or before October first of every fifth 51 year thereafter, the authority shall submit to the governor a twenty- 52 year capital needs assessment. Such assessment shall begin with the 53 period commencing on the second first of January after such submission, 54 and begin each assessment with every fifth year thereafter, and describe 55 capital investments over the succeeding twenty years. Such assessment 56 shall: (a) set forth broad long-term capital investments to be madeS. 7840 165 1 throughout the district; and (b) establish a non-binding basis to be 2 used by the authority in the planning of strategic investments involving 3 capital elements in its five-year capital plans. Such assessment shall 4 not require the approval of the governor and shall be for informational 5 purposes only. For purposes of this section, "broad long-term capital 6 investments" shall include but not be limited to: system rebuilding, 7 enhancement, and expansion needs; agency needs broken down by capital 8 element or investment category; and projected future trends and network 9 implications. Such assessment shall be certified by the chairperson of 10 the authority and shall be entered into the permanent record of the 11 minutes of the review board. 12 § 1349-zzzz. Submission of strategic operation plan. 1. On or before 13 the first of July next succeeding the effective date of this section, 14 the authority shall submit to the governor a strategic operation plan 15 for the commuter railroad services under the jurisdiction of the author- 16 ity for the five-year period commencing January first of the following 17 year. The plan may be amended as required but shall be updated at least 18 annually. The plan shall include, but need not be limited to, the 19 following: 20 (a) Long-range goals and objectives for the operation of services and 21 facilities; 22 (b) Planned service and performance standards for each year of the 23 period covered by the plan; including, in such plan submitted after the 24 first of July next succeeding the effective date of this section: (i) 25 standards for determining frequency of service at peak hours and off- 26 peak hours; (ii) frequency of service at peak and off-peak hours based 27 on the application of such standards to the current period for bus route 28 or group of bus routes, and commuter rail lines, divisions or branches 29 as appropriate; (iii) projected performance for each bus route or group 30 of bus routes, and commuter rail lines, divisions or branches as appro- 31 priate as measured by reliability indicators commonly utilized within 32 the transit industry, including such measures as planned number of vehi- 33 cles with air conditioning and projected reliability of such equipment, 34 planned standards for cleanliness of the interior and exterior of commu- 35 ter rail cars, buses, and passenger stations, and other appropriate 36 measures of planned performance influencing the quality of services; 37 (c) Level and structure of fares projected for each year of the period 38 covered by the plan; 39 (d) Estimated operating and capital resources anticipated to be avail- 40 able from internal sources as well as from federal, state, regional and 41 local sources; 42 (e) Estimated operating and capital costs to satisfy planned standards 43 of performance and service; 44 (f) Strategies to improve productivity; control cost growth; integrate 45 and coordinate the delivery of services provided by the authority as 46 well as other public and private transportation providers in the service 47 area; 48 (g) Specific allocation of operating and capital resources by mode and 49 operation, including funds, personnel, and equipment; 50 (h) Configuration by mode, operation and route of the services to be 51 provided and the facilities to be operated, identifying major planned 52 changes in services and routes; and 53 (i) Identification of the operating and capital costs as compared to 54 the revenues anticipated from system users for the commuter transporta- 55 tion authority.S. 7840 166 1 An analysis of the relationship between specific planned capital 2 elements contained in approved capital program plans and the achievement 3 of planned service and performance standards. Such analysis shall 4 include the relationship of specific planned capital elements to the 5 achievement of such service and performance standards for each bus route 6 or group of bus routes, or commuter rail lines, divisions or branches as 7 appropriate. 8 2. Each annual update of the plan shall include a status report summa- 9 rizing the extent to which planned service and performance standards 10 developed for the previous year were achieved, the causes of any failure 11 to achieve projected standards of service, and corrective measures the 12 authority intends to take to avoid non-achievement of projected stand- 13 ards in the next upcoming year. 14 3. The commuter transportation authority shall take into consideration 15 any petitions from local officials for improved services, including how 16 these service improvements relate to the service and performance stand- 17 ards described in this section, and shall consult with appropriate local 18 officials in its preparation and periodic updates to the operation plan. 19 § 1349-aaaaa. Financial and operational reports. The authority shall 20 submit to the governor, the temporary president of the senate and the 21 speaker of the assembly, no later than thirty days following the 22 submission of the annual independent audit report pursuant to section 23 twenty-eight hundred two of this chapter, a complete detailed report or 24 reports setting forth, to the extent such matters are not fully 25 addressed in the annual independent audit report, the following: 26 1. its financial reports, including, but not limited to: 27 (a) audited financials in accordance with all applicable regulations 28 and following generally accepted accounting principles as defined in 29 subdivision ten of section two of the state finance law; 30 (b) grant and subsidy programs; 31 (c) operating and financial risks; 32 (d) current ratings of its bonds issued by recognized municipal bond 33 rating agencies and notice changes in such ratings; and 34 (e) long-term liabilities, including leases and employee benefit 35 plans; and 36 2. an assessment of the effectiveness of its internal control struc- 37 ture and procedures, including, but not limited to: 38 (a) descriptions of the authority and its major units and subsid- 39 iaries; 40 (b) the number of employees, and minority and women employees, for 41 each; 42 (c) an organizational chart; 43 (d) its charter, if any and by-laws; 44 (e) the extent of participation by minority and women-owned enter- 45 prises in authority contracts and services in accordance with article 46 fifteen-A of the executive law; and 47 (f) a listing of material changes in internal operations and programs 48 during the reporting year. 49 § 1349-bbbbb. Mission statement and measurement report. 1. The 50 authority shall submit to the governor, the temporary president of the 51 senate and the speaker of the assembly, on or before the thirty-first of 52 October next succeeding the effective date of this section, a proposed 53 authority mission statement and proposed measurements. The proposed 54 mission statement and proposed measurements shall have the following 55 components: (a) a brief mission statement expressing the purpose and 56 goals of the authority; (b) a description of the stakeholders of theS. 7840 167 1 authority and their reasonable expectations from the authority, which 2 stakeholders shall include at a minimum: (i) the residents and taxpayers 3 of the area of the state served by the authority; (ii) the persons that 4 use the services provided by the authority; and (iii) the employees of 5 the authority and any employee organization; (c) the goals of the 6 authority in response to the needs of each group of stakeholders; and 7 (d) a list of measures by which performance of the authority and the 8 achievement of its goals may be evaluated. 9 2. The authority shall thereafter reexamine its mission statement and 10 measurements on an annual basis, and publish on its website self evalu- 11 ations based on the stated measures. 12 § 1349-ccccc. Requirements for certain authority contracts and related 13 subcontracts. 1. Any contractor or subcontractor subject to the posting 14 requirements of paragraph a of subdivision three-a of section two 15 hundred twenty of the labor law with respect to a public works contract 16 of the authority shall: 17 (a) post information conforming to the provisions of subdivision two 18 of this section in one or more conspicuous places at each major work- 19 place site where persons who perform work on the contract or subcon- 20 tract, including management, are most likely to see such postings; 21 provided that, this requirement may be satisfied by the displaying of 22 such information with other notices that inform persons of rights under 23 federal or state laws or rules, human resource policies, or collective 24 bargaining agreements; 25 (b) post information conforming to the provisions of subdivision two 26 of this section on an internet and intranet website, if any, of that 27 person or business organization; provided that, this requirement may be 28 satisfied by providing on such website a conspicuous hyperlink to the 29 authority website maintained pursuant to subdivision three of this 30 section, which hyperlink shall be labeled "Protections for Reporting 31 Fraud in New York"; 32 (c) distribute information specified in subdivision two of this 33 section to those persons, including employees and managers, who perform 34 work on the contract; provided that, this requirement may be satisfied 35 by distributing such information in an employee handbook or through a 36 specific electronic communication containing the information to a known 37 electronic mail address maintained by the person; and 38 (d) comply with the provisions of this subdivision, and provide to the 39 authority satisfactory evidence of such compliance, within ninety days. 40 2. The disclosures required by subdivision one of this section shall: 41 (a) provide the telephone numbers and addresses to report information 42 of fraud or other illegal activity to the appropriate officers of the 43 inspector general of the authority and the attorney general of the 44 state; 45 (b) describe in detail conduct prohibited by section one hundred 46 eighty-nine of the state finance law, and the role of that act in 47 preventing and detecting fraud and abuse in work paid for by the author- 48 ity or with funds originating from the authority; 49 (c) notify prospective qui tam plaintiffs on how to file a qui tam 50 action, including the necessity to contact private counsel skilled in 51 filing such actions and of the potential for cash rewards in such 52 actions based on the percentage of the funds recovered by the govern- 53 ment; and 54 (d) describe prohibitions on employer retaliation against persons who 55 file or assist actions under article thirteen of the state finance law, 56 the New York false claims act, pursuant to section one hundred ninety-S. 7840 168 1 one of the state finance law, or who report illegal conduct that threat- 2 ens the health or safety of the public pursuant to section seven hundred 3 forty of the labor law. 4 3. No later than forty-five days after the effective date of this 5 section, the authority shall establish and continuously maintain on its 6 public website and its intranet site a page that shall provide the 7 information specified in subdivision two of this section, and that shall 8 also provide sample statements, displays and other materials suitable 9 for insertion in employee handbooks or posting at workplaces or on 10 websites that would satisfy the disclosure requirements of this section. 11 4. The authority shall not enter into any contract described in subdi- 12 vision one of this section that does not incorporate the terms of this 13 section. 14 5. Material compliance by a covered person or business organization 15 that has contracted with the authority under a contract that incorpo- 16 rates the terms of this section shall be a material condition of payment 17 for the provision of goods or services. 18 6. The authority is authorized to adopt such rules and regulations as 19 are necessary to effect the purposes of this section. 20 § 1349-ddddd. Reserve funds and appropriations. The authority may 21 create and establish one or more reserve funds in accordance with agree- 22 ments with bondholders, noteholders or the holders of other obligations 23 of the authority and may pay into such reserve funds: (a) any monies 24 appropriated and made available by the state for the purposes of such 25 funds; (b) any proceeds of sale of notes, bonds or other obligations to 26 the extent provided in the resolution of the authority authorizing the 27 issuance thereof; and (c) any other monies which may be made available 28 to the authority for the purpose of such funds from any other source or 29 sources. In lieu thereof, the authority may provide for the deposit 30 therein of, or substitute for monies on deposit therein, a liquidity or 31 credit facility, surety bond or other similar agreement. 32 § 1349-eeeee. Consolidated financings. 1. Notwithstanding any incon- 33 sistent provisions of this or any other law, general, special or local, 34 the authority may issue its notes, bonds and other obligations to 35 finance transportation facilities utilizing a consolidated pledge of all 36 or any portion of the revenues and other monies and assets of the 37 authority and its subsidiaries, together with those other sources of 38 payment described in this section. In connection therewith, at its 39 discretion, the authority, subject to the rights of the holders of 40 notes, bonds or other obligations of the authority, and the metropolitan 41 transportation authority, may deposit or cause to be deposited into one 42 or more funds and accounts: (a) all or any portion of the revenues, 43 other monies and assets received by the authority and its subsidiaries; 44 (b) all or any portion of the amounts from the operating and capital 45 costs account of the metropolitan transportation authority dedicated tax 46 fund required to be distributed to the authority under the provisions of 47 section twelve hundred seventy-c of this article; (c) all or any portion 48 of the available monies in the commuter railroad account of the metro- 49 politan transportation authority special assistance fund established 50 under the provisions of section twelve hundred seventy-a of this article 51 available for payment of operating and capital costs of the Long Island 52 Rail Road company and the Metro-North Commuter Railroad Company as 53 provided in subdivision three of section twelve hundred seventy-a of 54 this article; and (d) any other monies of the authority and its subsid- 55 iaries from any source whatsoever.S. 7840 169 1 2. Amounts so deposited in such funds or accounts may be: (a) pledged 2 by the authority to secure, and be applied to, the payment of its bonds, 3 notes or other obligations issued to finance transportation facilities 4 undertaken for the authority and its subsidiaries; and (b) used for 5 payment of operating costs, and capital costs, including debt service, 6 reserve requirements, if any, the payment of amounts required under 7 bonds, notes or other financing facilities or agreements, and the 8 payment of all costs related to such obligations, of or for the authori- 9 ty and its subsidiaries as the authority in its full discretion shall 10 determine. To the extent moneys so deposited have been pledged by the 11 authority to secure and pay its bonds, notes or other obligations as 12 herein provided, such moneys shall first be applied to satisfy the 13 requirements of any debt service or reserve requirements of the resol- 14 ution or resolutions or other contractual arrangements authorizing such 15 bonds, notes or other obligations. After satisfaction of such require- 16 ments of any such resolution, resolutions, or other contractual arrange- 17 ments or if the authority has not so pledged such moneys, such moneys so 18 deposited, subject to the provisions of any other resolutions or 19 contractual arrangements of the authority applicable provisions of law, 20 may be transferred to or for the benefit of the authority and its 21 subsidiaries. Revenues and other monies of the authority and its subsid- 22 iaries which are deposited in the funds or accounts authorized by this 23 section, as reduced by any application of such revenues or monies to the 24 payment of debt service, reserve requirements, if any, and other costs 25 attributable to the funding of the capital costs of such entity, shall 26 be allocated, credited and distributed to such source entity. Any other 27 revenues or monies which are deposited in the funds or accounts author- 28 ized by this section which are required by law to be allocated or paid 29 to the authority or its subsidiaries shall be allocated or paid to the 30 entity to which it is required to be allocated or paid by law after 31 reduction by an amount equal to the portion thereof applied to the 32 payment of debt service, reserve requirements, if any, and other costs 33 attributable to the funding of the capital costs of such entity. In 34 determining the amount of debt service, reserve requirements, if any, 35 and other costs attributable to the authority and its subsidiaries the 36 authority shall make such calculation based upon the percentage of the 37 proceeds of the bonds, notes and other obligations expended for the 38 capital costs attributable to each such entity. The authority may 39 utilize any interim allocation of such distributions, provided that 40 within ninety days after the end of each calendar year, the authority 41 shall certify to the director of the budget, the chairperson of the 42 senate finance committee and the chairperson of the assembly ways and 43 means committee, that the aggregate amount of monies transferred to each 44 of the authority and its subsidiaries in respect of such calendar year, 45 taking into account any interagency repayments or reimbursements antic- 46 ipated to be made in the next succeeding calendar year, is not less than 47 the amounts required to be paid or transferred to such entities. 48 § 1349-fffff. Regulation of certain authority expenditures. The 49 authority shall implement policies as appropriate to minimize unwar- 50 ranted expenses and to protect against abuses in connection with: (a) 51 the granting of any privileges or benefits having financial value, other 52 than wage payments or expense reimbursements, to members or staff of the 53 authority, or any subsidiary or other authority created by the authori- 54 ty; and (b) the full-time and part-time assignment and use of automo- 55 biles owned or leased by the authority, or any subsidiary or other 56 authority created by the authority, and the use by authority employeesS. 7840 170 1 and board members of livery vehicles, as defined in section one hundred 2 twenty-one-e of the vehicle and traffic law. 3 § 1349-ggggg. Agreement of the state. The state does hereby pledge to 4 and agree with the authority and its subsidiaries, and the holders of 5 any notes, bonds or other obligations, including lease obligations, 6 issued or incurred under this title, that the state will not limit or 7 alter the denial of authority under subdivision nine of section thirteen 8 hundred forty-nine-xxxx of this title, or the rights and powers vested 9 in the authority and its subsidiaries, by this title to fulfill the 10 terms of any agreements made by any of them with the holders thereof, or 11 in any way impair the rights and remedies of such holders until such 12 notes, bonds or other obligations, including lease obligations, together 13 with the interest thereon, with interest on any unpaid installments of 14 interest, and all costs and expenses for which the authority or its 15 subsidiaries is liable in connection with any action or proceeding by or 16 on behalf of such holders, are fully met and discharged. The authority 17 and its subsidiaries are each authorized to include this pledge and 18 agreement of the state in any agreement with the holders of such notes, 19 bonds or other obligations, including lease obligations. 20 § 1349-hhhhh. Right of state to require redemption of bonds. Notwith- 21 standing and in addition to any provisions for the redemption of bonds 22 which may be contained in any contract with the holders of the bonds, 23 the state may, upon furnishing sufficient funds therefor, require the 24 authority to redeem, prior to maturity, as a whole, any issue of bonds 25 on any interest payment date not less than twenty years after the date 26 of the bonds of such issue at one hundred five per centum of their face 27 value and accrued interest or at such lower redemption price as may be 28 provided in the bonds in case of the redemption thereof as a whole on 29 the redemption date. Notice of such redemption shall be published in at 30 least two newspapers publishing and circulating respectively in the 31 cities of Albany and New York at least twice, the first publication to 32 be at least thirty days before the date of redemption. 33 § 1349-iiiii. Remedies of noteholders and bondholders. 1. In the 34 event that the authority shall default in the payment of principal of or 35 interest on any issue of notes or bonds after the same shall become due, 36 whether at maturity or upon call for redemption, and such default shall 37 continue for a period of thirty days, or in the event that the authority 38 shall fail or refuse to comply with the provisions of this title or 39 shall default in any agreement made with the holders of any issue of 40 notes or bonds, the holders of twenty-five per centum in aggregate prin- 41 cipal amount of the notes or bonds of such issue then outstanding, by 42 instrument or instruments filed in the office of the clerk of any county 43 in which the authority operates and has an office and proved or acknowl- 44 edged in the same manner as a deed to be recorded, may appoint a trustee 45 to represent the holders of such notes or bonds for the purposes herein 46 provided. 47 2. Such trustee may, and upon written request of the holders of twen- 48 ty-five per centum in principal amount of such notes or bonds then 49 outstanding shall, in his or her own name: 50 (a) by suit, action or proceeding in accordance with the civil prac- 51 tice law and rules, enforce all rights of the noteholders or bondhold- 52 ers, including the right to require the authority to collect fares, 53 tolls, rentals, rates, charges and other fees adequate to carry out any 54 agreement as to, or pledge of, such fares, tolls, rentals, rates, charg- 55 es and other fees and to require the authority to carry out any otherS. 7840 171 1 agreements with the holders of such notes or bonds and to perform its 2 duties under this title; 3 (b) bring suit upon such notes or bonds; 4 (c) by action or suit, require the authority to account as if it were 5 the trustee of an express trust for the holders of such notes or bonds; 6 (d) by action or suit, enjoin any acts or things which may be unlawful 7 or in violation of the rights of the holders of such notes or bonds; 8 and/or 9 (e) declare all such notes or bonds due and payable, and if all 10 defaults shall be made good, then, with the consent of the holders of 11 twenty-five per centum of the principal amount of such notes or bonds 12 then outstanding, to annul such declaration and its consequences. 13 3. Such trustee shall in addition to the foregoing have and possess 14 all of the powers necessary or appropriate for the exercise of any func- 15 tions specifically set forth herein or incident to the general represen- 16 tation of bondholders or noteholders in the enforcement and protection 17 of their rights. 18 4. The supreme court shall have jurisdiction of any suit, action or 19 proceeding by the trustee on behalf of such noteholders or bondholders. 20 The venue of any such suit, action or proceeding shall be laid in the 21 county in which the instrument or instruments are filed in accordance 22 with subdivision one of this section. 23 5. Before declaring the principal of notes or bonds due and payable, 24 the trustee shall first give thirty days' notice in writing to the 25 governor, to the authority, to the comptroller and to the attorney 26 general of the state. 27 § 1349-jjjjj. Notes and bonds as legal investment. The notes and bonds 28 of the authority are hereby made securities in which all public officers 29 and bodies of the state and all municipalities and political subdivi- 30 sions, all insurance companies and associations and other persons carry- 31 ing on an insurance business, all banks, bankers, trust companies, 32 savings banks and savings associations, including savings and loan asso- 33 ciations, building and loan associations, investment companies and other 34 persons carrying on a banking business, all administrators, guardians, 35 executors, trustees and other fiduciaries, and all other persons whatso- 36 ever who are now or who may hereafter be authorized to invest in bonds 37 or other obligations of the state, may properly and legally invest funds 38 including capital in their control or belonging to them. Notwithstand- 39 ing any other provisions of law, the bonds of the authority are also 40 hereby made securities which may be deposited with and shall be received 41 by all public officers and bodies of this state and all municipalities 42 and political subdivisions for any purpose for which the deposit of 43 bonds or other obligations of the state is now or may hereafter be 44 authorized. 45 § 1349-kkkkk. Exemption from taxation. It is hereby found, determined 46 and declared that the creation of the authority and the carrying out of 47 its purposes is in all respects for the benefit of the people of the 48 state of New York and for the improvement of their health, welfare and 49 prosperity and is a public purpose, and that the authority will be 50 performing an essential governmental function in the exercise of the 51 powers conferred upon it by this title. Without limiting the generality 52 of the following provisions of this section, property owned by the 53 authority, property leased by the authority and used for transportation 54 purposes, and property used for transportation purposes by or for the 55 benefit of the authority exclusively pursuant to the provisions of a 56 joint service arrangement or of a joint facilities agreement or trackageS. 7840 172 1 rights agreement shall all be exempt from taxation and special ad valo- 2 rem levies. The authority shall be required to pay no fees, taxes or 3 assessments, whether state or local, including but not limited to fees, 4 taxes or assessments on real estate, franchise taxes, sales taxes or 5 other excise taxes, upon any of its property, or upon the use thereof, 6 or upon its activities in the operation and maintenance of its facili- 7 ties or on any fares, tolls, rentals, rates, charges or other fees, 8 revenues or other income received by the authority and the bonds of the 9 authority and the income therefrom shall at all times be exempt from 10 taxation, except for gift and estate taxes and taxes on transfers. This 11 section shall constitute a covenant and agreement with the holders of 12 all bonds issued by the authority. The terms "taxation" and "special ad 13 valorem levy" shall have the same meanings as defined in section one 14 hundred two of the real property tax law and the term "transportation 15 purposes" shall have the same meaning as used in titles two-A and two-B 16 of article four of such law. 17 § 1349-lllll. Actions against the authority. 1. As a condition to the 18 consent of the state to such suits against the authority, in every 19 action against the authority for damages, for injuries to real or 20 personal property or for the destruction thereof, or for personal inju- 21 ries or death, the complaint shall contain an allegation that at least 22 thirty days have elapsed since the demand, claim or claims upon which 23 such action is founded were presented to a member of the authority or 24 other officer designated for such purpose and that the authority has 25 neglected or refused to make an adjustment or payment thereof. 26 2. An action against the authority founded on tort, except an action 27 for wrongful death, shall not be commenced more than one year and ninety 28 days after the cause of action therefor shall have accrued, nor unless a 29 notice of claim shall have been served on the authority within the time 30 limited by and in compliance with all the requirements of section 31 fifty-e of the general municipal law. An action against the authority 32 for wrongful death shall be commenced in accordance with the notice of 33 claim and time limitation provisions of title eleven of article nine of 34 this chapter. 35 3. The authority shall be liable, and shall assume the liability to 36 the extent that it shall save harmless any duly appointed officer or 37 employee of the authority, for the negligence of such officer or employ- 38 ee, in the operation of a vehicle or other facility of transportation 39 owned or otherwise under the jurisdiction and control of the authority 40 in the discharge of a duty imposed upon such officer or employee at the 41 time of the accident, injury or damages complained of, while otherwise 42 acting in the performance of his or her duties and within the scope of 43 his employment. 44 4. The authority may require any person, presenting for settlement an 45 account or claim for any cause whatever against the authority, to be 46 sworn before a member, counsel or an attorney, officer or employee of 47 the authority designated for such purpose, concerning such account or 48 claim and when so sworn to answer orally as to any facts relative to 49 such account or claim. The authority shall have power to settle or 50 adjust all claims in favor of or against the authority. 51 5. The rate of interest to be paid by the authority upon any judgment 52 for which it is liable shall not exceed four per centum per annum. 53 6. The provisions of this section which relate to the requirement for 54 service of a notice of claim shall not apply to a subsidiary corporation 55 of the authority. In all other respects, each subsidiary corporation of 56 the authority shall be subject to the provisions of this section as ifS. 7840 173 1 such subsidiary corporation were separately named herein, provided, 2 however, that a subsidiary corporation of the authority which is a stock 3 corporation shall not be subject to the provisions of this section 4 except with respect to those causes of action arising on and after the 5 first day of the twelfth calendar month following that calendar month in 6 which such stock corporation becomes a subsidiary corporation of the 7 authority. 8 § 1349-mmmmm. Annual audit of the authority. 1. The comptroller shall 9 conduct an annual audit of the books and records of the authority and 10 its subsidiary corporations. Such audit shall include a complete and 11 thorough examination of such authority's receipts, disbursements, reven- 12 ues and expenses during the prior fiscal year in accordance with the 13 categories or classifications established by such authority for its own 14 operating and capital outlay purposes; assets and liabilities at the end 15 of its last fiscal year including the status of reserve, depreciation, 16 special or other funds and including the receipts and payments of these 17 funds; schedule of bonds and notes outstanding at the end of its fiscal 18 year and their redemption dates, together with a statement of the 19 amounts redeemed and incurred during such fiscal year; operations, debt 20 service and capital construction during the prior fiscal year. 21 2. The comptroller, upon completion of such audit, shall within sixty 22 days thereafter, report to the governor and the legislature his or her 23 findings, conclusions and recommendations thereof. 24 § 1349-nnnnn. Authority budget and financial plan. 1. In addition to 25 the requirements of section twenty-eight hundred two of this chapter, 26 each authority budget and plan shall be posted on its website and shall: 27 (a) present information relating to the authority and each of its agen- 28 cies in a clear and consistent manner and format; (b) be prepared in 29 accordance with generally accepted accounting principles, except as 30 otherwise consented to by the comptroller upon good cause shown; (c) be 31 based on reasonable assumptions and methods of estimation; (d) include 32 estimates of projected operating revenues and expenses; (e) identify any 33 planned transaction that would shift resources, from any source, from 34 one fiscal year to another, and the amount of any reserves; and (f) 35 contain a summary in plain English of the principal information in the 36 budget and conclusions to be drawn from it. 37 2. The authority shall prepare and make available for public 38 inspection on its website information that details the sources of data 39 and the assumptions and methods of estimation used to calculate all 40 operating and capital budget projections, consistent with generally 41 accepted budgetary practices. 42 3. The authority shall establish at least annually the quarterly 43 revenue and expense targets for the authority, and for each subsidiary 44 or other authority created by the authority itself and for which it 45 reports financial data. 46 4. The authority shall prepare and make available for public 47 inspection on its website: (a) within sixty days of the release of the 48 adopted budget and any updates to the budget, except updates released 49 within ninety days of the close of the fiscal year, monthly projections 50 for the current fiscal year of all revenues and expenses, staffing for 51 the authority and each of its agencies, and utilization for each of the 52 authority's agencies that operate transportation systems, including 53 bridges and tunnels; (b) within sixty days after the close of each quar- 54 ter, a comparison of actual revenues and expenses, actual staffing and 55 actual utilization to planned or projected levels for each of the 56 authority's agencies that operate transportation systems, includingS. 7840 174 1 bridges and tunnels, with an explanation of each material variance and 2 its budgetary impact; and (c) within ninety days after the close of each 3 quarter, the status of each gap-closing initiative with a projected 4 value greater than one million dollars in any given fiscal year; the 5 status of capital projects by capital element, including but not limited 6 to commitments, expenditures and completions; and an explanation of 7 material variances from the plan, cost overruns and delays. 8 5. Financial information required to be submitted by the authority 9 pursuant to paragraphs (d) and (e) of subdivision one of section thir- 10 teen hundred forty-nine-aaaaa of this title shall be presented in a 11 format consistent with the budget and plan, in downloadable, searchable 12 format. 13 § 1349-ooooo. Independent audit of the authority. The independent 14 auditor retained by the authority shall not provide to the authority, 15 contemporaneously with the audit unless it shall have previously 16 received written approval by the audit committee any non-audit service, 17 including: 18 1. routine bookkeeping or other services; 19 2. financial information systems design and implementation; 20 3. appraisal or valuation services, fairness opinions, or contribu- 21 tion-in-kind reports; 22 4. actuarial services; 23 5. outsourcing services; 24 6. authority management functions or human resources; 25 7. broker or dealer, investment advisor or investment banking 26 services; 27 8. legal services and expert services unrelated to the audit. 28 § 1349-ppppp. Independent audit by the legislature. After the 29 submission of the annual independent audit report to the legislature 30 pursuant to section twenty-eight hundred two of this chapter, and after 31 review of such report, the temporary president of the senate and the 32 speaker of the assembly may commission an auditing firm, every two 33 years, to conduct an independent audit of the authority, including its 34 subsidiaries. The temporary president of the senate and the speaker of 35 the assembly shall set the scope of such audit, and determine the terms 36 of the request for proposal for such audit. Such audit shall be 37 performed for the second year after the effective date of this section. 38 The authority shall fully cooperate with and assist in such an audit. 39 § 1349-qqqqq. Reporting. The authority shall post on its website on or 40 before the first of May, the law firms retained by the authority which 41 in the past year received payment for services in such year. 42 § 1349-rrrrr. Station operation and maintenance. 1. (a) The operation, 43 maintenance and use of passenger stations shall be public purposes of 44 the city of New York and the counties within the district. The total 45 cost to the authority and each of its subsidiary corporations of opera- 46 tion, maintenance and use of each passenger station within the district 47 serviced by one or more railroad facilities of the authority or of such 48 subsidiary corporation, including the buildings, appurtenances, plat- 49 forms, lands and approaches incidental or adjacent thereto, shall be 50 borne by the city of New York if such station is located in such city 51 or, if not located in such city, by such county within the district in 52 which such station is located. On or before June first of each year, the 53 authority shall, in accordance with the method specified herein, deter- 54 mine and certify to the city of New York and to each county within the 55 district the respective allocation of costs related to the operation, 56 maintenance and use of passenger stations within such city and each suchS. 7840 175 1 other county, for the twelve-month period ending the preceding March 2 thirty-first. 3 (i) The total payment amount to be billed by the authority for the 4 operation, maintenance and use of each passenger station within the city 5 of New York and the counties of Nassau, Suffolk, Westchester, Dutchess, 6 Putnam, Orange, and Rockland shall be calculated by summing the total 7 amount listed in the base amount table plus an adjustment to such base 8 year amount equal to the base amount times the increase or decrease in 9 the Consumer Price Index for Wage Earners and Clerical Workers for the 10 New York, Northeastern-New Jersey Standard Metropolitan Statistical Area 11 for the twelve-month period being billed. 12 BASE AMOUNT TABLE 13 County Base Amount 14 Nassau $19,200,000 15 Suffolk $11,834,091 16 Westchester $13,269,310 17 Dutchess $1,581,880 18 Putnam $618,619 19 Orange $327,247 20 Rockland $34,791 21 City of New York $61,435,330 22 (ii) For each year thereafter, such total payment for each such county 23 shall be the same amount as the total payment during the immediately 24 prior year, plus an adjustment equal to the prior year amount times the 25 increase or decrease in the Consumer Price Index for Wage Earners and 26 Clerical Workers for the New York, Northeastern-New Jersey Standard 27 Metropolitan Statistical Area for the twelve-month period being billed. 28 (b) On or before the following September first, of each year, such 29 city and each such county shall pay to the authority such cost or amount 30 so certified to it on or before the preceding June first. Such city and 31 each such county shall have power to finance such costs to it by the 32 issuance of budget notes pursuant to section 29.00 of the local finance 33 law. Each year, the authority, the city of New York and the counties of 34 Nassau, Suffolk, Westchester, Dutchess, Putnam, Orange, and Rockland 35 may, after having reached an agreement, recommend to the legislature 36 modifications to the amounts set forth in this section based upon chang- 37 es made to commuter services including but not limited to changes in the 38 number of passenger stations within such counties or the level of commu- 39 ter rail service provided to any such passenger stations. Failure 40 between the authority and between the counties to reach agreement will 41 be referred to the state comptroller for mediation. If the mediation is 42 unsuccessful, each party and the state comptroller may submit a recom- 43 mendation to the governor and the legislature for legislative action. 44 (c) In the event that a city or county shall fail to make payment to 45 the authority for station maintenance as required pursuant to this 46 section, or any part thereof, the chief executive officer of the author- 47 ity or such other person as the chairperson shall designate shall certi- 48 fy to the state comptroller the amount due and owing the authority at 49 the end of the state fiscal year and the state comptroller shall with- 50 hold an equivalent amount from the next succeeding state aid allocated 51 to such county or city from the motor fuel tax and the motor vehicle 52 registration fee distributed pursuant to former section one hundredS. 7840 176 1 twelve of the highway law, or amounts distributed pursuant to section 2 ten-c of the highway law, or per capita local assistance pursuant to 3 section fifty-four of the state finance law subject to the following 4 limitations: (i) prior to withholding amounts due the authority from 5 such county or city, the comptroller shall pay in full any amount due 6 the state of New York municipal bond bank agency, on account of any such 7 county's or city's obligation to such agency; the city university 8 construction fund pursuant to the provisions of the city university 9 construction fund act; the New York city housing development corpo- 10 ration, pursuant to the provisions of the New York city housing develop- 11 ment corporation act, article twelve of the private housing finance law; 12 and (ii) the transit construction fund pursuant to the provisions of 13 title nine-A of this article. The comptroller shall give the director of 14 the budget notification of any such payment. Such amount or amounts so 15 withheld by the comptroller shall be paid to the authority and the 16 authority shall use such amount for the repayment of the state advances 17 hereby authorized. When such amount or amounts are received by the 18 authority, it shall credit such amounts against any amounts due and 19 owing by the city or county on whose account such amount was withheld 20 and paid. 21 2. A public hearing or hearings shall be held at least thirty days 22 prior to the closure of any transportation facility due to construction, 23 improvement, reconstruction or rehabilitation where such facility will 24 be out-of-service for ninety days or longer. Public hearings required by 25 this subdivision shall be held at one or more locations conveniently 26 accessible to the persons who would be affected by such closure. 27 § 1349-sssss. Transfer and receipt of surplus funds. Notwithstanding 28 any provision of this title or any other provision of law, general, 29 special or local, the authority may from time to time transfer and pay 30 over to the New York city transit authority or the Triborough bridge and 31 tunnel authority all or any part of its surplus funds and may accept and 32 use any monies transferred and paid over to it by the New York city 33 transit authority or the Triborough bridge and tunnel authority. 34 § 1349-ttttt. Title not affected if in part unconstitutional or inef- 35 fective. If any provision of any section of this title or the applica- 36 tion thereof to any person or circumstance shall be adjudged invalid by 37 a court of competent jurisdiction, such order or judgment shall be 38 confined in its operation to the controversy in which it was rendered, 39 and shall not affect or invalidate the remainder of any provision of any 40 section of this title or the application of any part thereof to any 41 other person or circumstance and to this end the provisions of each 42 section of this title are hereby declared to be severable. 43 § 1349-uuuuu. Commuter transportation authority inspector general. 1. 44 There is hereby created in the commuter transportation authority an 45 office of commuter transportation authority inspector general. The 46 inspector general shall be appointed by the governor with the advice and 47 consent of the senate. The inspector general shall, prior to his or her 48 appointment, have had at least ten years experience in the management of 49 transportation services, in auditing and investigation of governmental 50 operations, or in services related to management and productivity 51 improvement. The term of office of the inspector general shall be five 52 years from the effective date of appointment, and he or she shall serve 53 at the pleasure of the governor. The salary of the inspector general 54 shall be determined by the authority board. 55 2. The inspector general shall annually submit to the board of the 56 commuter transportation authority a budget request for the operation ofS. 7840 177 1 the office. If the board disapproves any portion of such request and the 2 commissioner of transportation determines such disapproval to be unrea- 3 sonable, such commissioner shall withhold from payments due such author- 4 ity, the amount so determined to be unreasonable and transfer such 5 amount to the office of the commuter transportation authority inspector 6 general. 7 3. The inspector general shall have full and unrestricted access to 8 all records, information, data, reports, plans, projections, matters, 9 contracts, memoranda, correspondence and any other materials of the 10 authority and its subsidiaries, the Long Island Rail Road, Metro-North 11 Railroad, and metropolitan suburban bus authority, or any other agency 12 that may come under the control of the authority, or within their custo- 13 dy or control. 14 4. The inspector general, notwithstanding the provisions of title nine 15 of this article and this title, and of title three of article three of 16 this chapter, shall have the following functions, powers and duties: 17 (a) to receive and investigate complaints from any source or upon his 18 or her own initiative concerning alleged abuses, frauds and service 19 deficiencies, including deficiencies in the maintenance and operation of 20 facilities, relating to the authority and its subsidiaries; 21 (b) to initiate such reviews as he or she may deem appropriate of the 22 operations of the authority and its subsidiaries, in order to identify 23 areas in which performance might be improved and available funds used 24 more effectively; 25 (c) to recommend remedial actions to be taken by the authority and its 26 subsidiaries, to overcome or correct operating or maintenance deficien- 27 cies and inefficiencies that he or she determines to exist; 28 (d) to make available to appropriate law enforcement officials infor- 29 mation and evidence which relate to criminal acts that he or she may 30 obtain in carrying out his or her duties; 31 (e) to subpoena witnesses, administer oaths or affirmations, take 32 testimony and compel the production of such books, papers, records and 33 documents as he or she may deem to be relevant to any inquiry or inves- 34 tigation undertaken pursuant to this section and to delegate such powers 35 to a duly authorized deputy inspector general; 36 (f) to monitor the implementation by the authority and its subsid- 37 iaries of recommendations made by the inspector general or other audit 38 agencies; and 39 (g) to do all things necessary to carry out the functions, powers and 40 duties set forth in this section. 41 5. The inspector general shall cooperate, consult and coordinate with 42 the state public transportation safety board with regard to any activity 43 concerning the operations of the commuter transportation authority. With 44 respect to any accident on the facilities of the commuter transportation 45 authority, the primary responsibility for investigation shall be that of 46 the board which shall share its findings with the commuter transporta- 47 tion authority inspector general. 48 6. The inspector general shall make annual public reports on his or 49 her findings and recommendations. Such a report shall be filed in the 50 office of the governor and with the legislature on or before the first 51 of February for the preceding year. The commuter transportation authori- 52 ty and its applicable constituent agencies shall prepare a response to 53 the annual report and to any and all other final reports made by the 54 inspector general within thirty days of receipt, which time may be 55 extended by the inspector general in his or her discretion, indicating 56 whether such authority intends to implement the recommendations in suchS. 7840 178 1 reports, and, if not, why not. In addition, the commuter transportation 2 authority and its applicable constituent agencies shall give quarterly 3 reports to the inspector general outlining the status of each of the 4 recommendations made by the inspector general in his or her final 5 reports. Copies of all of these reports shall be sent to the governor, 6 the temporary president of the senate, the speaker of the assembly, the 7 chairperson of the senate transportation committee, the chairperson of 8 the senate finance committee, the chairperson of the assembly corpo- 9 rations, authorities and commissions committee and the chairperson of 10 the assembly ways and means committee. 11 7. To effectuate the purposes of this section, the inspector general 12 may request from any department, board, bureau, commission, office or 13 other agency of the state, or any of its political subdivisions, such 14 cooperation, assistance, services and data as will enable him or her to 15 carry out his or her functions, powers and duties hereunder, and they 16 are authorized and directed to provide said cooperation, assistance, 17 services and data. 18 § 1349-vvvvv. Management advisory board. 1. There is hereby created in 19 the office of the commuter transportation authority inspector general a 20 management advisory board, consisting of thirteen members appointed by 21 the governor, of whom two shall be appointed upon nomination by the 22 temporary president of the senate, two upon nomination by the speaker of 23 the assembly, one upon nomination by the minority leader of the senate 24 and one upon nomination by the minority leader of the assembly. All 25 members shall serve for a term of three years, except that, of the two 26 members first appointed upon nomination by the temporary president of 27 the senate, one shall serve for a term of two years and one shall serve 28 for a term of one year; of the two members first appointed upon nomi- 29 nation by the speaker of the assembly, one shall serve for a term of two 30 years and one shall serve for a term of one year; and, of two of the 31 members first appointed by the governor without nomination by any other 32 person, two shall each serve for a term of two years and two shall each 33 serve for a term of one year. One of the members appointed to the 34 management advisory board directly by the governor shall be designated 35 by the governor to serve as its chairperson. 36 2. All members of the management advisory board shall be residents of 37 the metropolitan transportation district, and shall be persons with 38 substantial experience in the management of private enterprise, in the 39 delivery of public services, or in labor or labor-management relations. 40 3. The management advisory board shall assist the commuter transporta- 41 tion authority inspector general in identifying ways to improve 42 services, reduce costs and increase the efficiency of the authority and 43 its subsidiaries. 44 4. No later than the first of April next succeeding the effective date 45 of this section, and annually thereafter, the management advisory board 46 shall submit to the governor and the legislature a report on its activ- 47 ities during the previous year. 48 5. The office of the commuter transportation authority inspector 49 general shall provide the management advisory board with such staff 50 support as may be required for the performance of its duties. 51 6. Members of the management advisory board shall serve without 52 compensation, but shall be reimbursed for expenses reasonably incurred 53 in the performance of their duties. 54 § 1349-wwwww. Transition-election to withdraw from the metropolitan 55 commuter transportation district. 1. The counties of Dutchess, Orange 56 and Rockland shall have an option to withdraw from the metropolitanS. 7840 179 1 commuter transportation district and have such withdrawal take effect on 2 either: (a) The first of January next succeeding the effective date of 3 this section. If any such county plans to withdraw from the district on 4 the first of January next succeeding the effective date of this section, 5 it shall: (i) no later than seventy-five days after the effective date 6 of this section, furnish the commissioner of transportation, and chair- 7 person of the authority and the other counties which have an option to 8 withdraw, a resolution adopted by the county legislature providing 9 notice of intent to withdraw; (ii) on or before the first of October 10 next succeeding the effective date of this section, furnish to the 11 commissioner of transportation, the chairperson of the authority and 12 other counties which have an option to withdraw, a resolution adopted by 13 the county legislature providing for a public transportation plan. For 14 the purposes of this section, a "public transportation plan" shall mean 15 a plan that maintains adequate and continuous public transportation 16 services from the withdrawing county to the city of New York or any 17 terminus previously served, provides a reasonable level of rail passen- 18 ger service, provides a schedule for implementing such service, protects 19 the public investment in the rail transportation system and any other 20 criteria deemed necessary by the commissioner of transportation. Prior 21 to withdrawal pursuant to this paragraph or paragraph (b) of this subdi- 22 vision, a county shall receive approval of its public transportation 23 plan pursuant to paragraph (c) of this subdivision; and (iii) on or 24 before the first of December next succeeding the effective date of this 25 section, furnish the commissioner of transportation, a copy of an agree- 26 ment with the authority or an operator of rail passenger service for the 27 provision of rail passenger service to and from such county and the city 28 of New York or any terminus previously served. 29 If a county planning to withdraw on the first of January next succeed- 30 ing the effective date of this section is unable to withdraw because it 31 could not meet the requirements of this paragraph, it may elect to with- 32 draw pursuant to paragraph (b) of this subdivision. 33 (b) The second or third first of January succeeding the effective date 34 of this section. If any such county plans to withdraw on either the 35 second or third first of January next succeeding the effective date of 36 this section, it shall: (i) no later than ninety days after the first of 37 January of the year immediately preceding the year in which such county 38 plans to withdraw from the district, furnish the commissioner of trans- 39 portation, the chairperson of the authority and the other counties which 40 have an option to withdraw, a resolution adopted by the county legisla- 41 ture providing notice of intent to withdraw from the district; (ii) no 42 later than one hundred twenty days after the first of January of the 43 year immediately preceding the year in which such county plans to with- 44 draw from the district furnish to the commissioner of transportation, 45 the chairperson of the authority and the counties which have an option 46 to withdraw a resolution adopted by the county legislature providing a 47 public transportation plan as described in this section; and (iii) on or 48 before October first of the year immediately preceding the year in which 49 such county plans to withdraw from the district, furnish to the commis- 50 sioner a copy of an agreement with the authority or an operator of rail 51 passenger service for the provision of rail passenger service to and 52 from such county and the city of New York or any terminus previously 53 served. 54 (c) No later than thirty days after receipt of the public transporta- 55 tion plan the commissioner of transportation shall, in writing, either 56 approve such plan as conforming with the requirements heretoforeS. 7840 180 1 described or disapprove such plan as failing to meet such requirements 2 and the reasons therefor. Disapproval of a plan shall not prohibit a 3 county from resubmitting a public transportation plan and such resubmit- 4 ted plan shall be approved or disapproved no later than fifteen days 5 after receipt by the commissioner of transportation. The public trans- 6 portation plan shall be subject to any state or federal public hearing 7 requirements which the authority would be subject to if the authority 8 made the changes proposed by such plan. 9 (d) Any such county which plans to withdraw from the district shall 10 meet the requirements of this section prior to the effective date of 11 withdrawal, and no withdrawal for the purposes of this section shall 12 take effect unless such county furnishes the resolutions and agreement 13 prior to the effective date of withdrawal. 14 2. The authority and any subsidiary corporation of the authority shall 15 enter into an agreement or agreements with a county that plans to with- 16 draw from the district to transfer and assign to such county all author- 17 ity and subsidiary railroad facilities and operations, rights and obli- 18 gations, and contract rights and obligations, including operating 19 contract rights and obligations, which are owned, operated, maintained 20 or used directly or by contract or which are otherwise involved in the 21 provision of railroad services to such counties. Such agreement shall 22 provide, in the event a facility, operation, right or obligation is 23 necessary and material to the provision of rail passenger service in the 24 district or is not assignable under applicable bond covenants or 25 contracts or the parties agree that it should not be assigned, that the 26 authority or subsidiary thereof shall continue to hold and be responsi- 27 ble for such facility, operation, right or obligation and that such 28 county shall reimburse to the authority that portion of the cost to the 29 authority or subsidiary of its retention of such facility, operation, 30 right or obligation that is allocable to such county. If the parties 31 agree that the authority or subsidiary thereof shall operate the rail- 32 road facilities in a county after the effective date of such county's 33 withdrawal, the agreement also shall provide for the terms and condi- 34 tions of the operation of such service. 35 3. Within forty-five days of the effective date of this section, the 36 authority and any subsidiary corporation of the authority shall provide 37 to the counties of Dutchess, Orange and Rockland a written statement, 38 including cost estimates and the useful life, if any, of all of its 39 facilities, operations, rights and obligations relating to the provision 40 of rail service in such counties. 41 4. The authority and any subsidiary corporation of the authority is 42 authorized to enter into an agreement or agreements with a county that 43 plans to withdraw from the district, pursuant to which the authority or 44 subsidiary thereof will provide technical assistance to such county 45 prior to, during and after the withdrawal, with respect to the transfer 46 of ownership, operation, maintenance and use of railroad facilities 47 within such county. Such agreement may provide that the county reimburse 48 the authority or its subsidiary for the cost to the authority and its 49 subsidiary for the provision of such technical assistance. 50 5. The authority shall have no obligation to undertake or continue any 51 project or part thereof in a current or future capital program plan 52 which pertains to railroad facilities within or services to a county 53 that withdraws from the district on or after such date of withdrawal nor 54 shall the authority enter into any contract for a project or part there- 55 of which would increase liabilities pursuant to subdivision six of this 56 section in a county after such county notifies the authority of itsS. 7840 181 1 intent to withdraw as provided in subdivision one of this section, 2 provided, however, that if the authority has executed a contract for the 3 effectuation of a project or part thereof in a capital program plan in 4 such county, it shall be assigned to such county in accordance with 5 subdivision two of this section, unless the parties agree that it shall 6 not be assigned and that the authority or its subsidiary shall continue 7 to be responsible therefor, in which event the county shall reimburse 8 the authority or its subsidiary in accordance with the provisions of 9 subdivision two of this section. 10 6. Any county which withdraws from the district shall reimburse to the 11 authority or its subsidiary, within the time period agreed to by the 12 parties, any capital expenditures heretofore undertaken by the authori- 13 ty, the metropolitan transportation authority or its subsidiary for 14 railroad facilities only within such county which were financed by 15 commuter railroad revenue bonds issued by the metropolitan transporta- 16 tion authority pursuant to section twelve hundred sixty-nine of this 17 article or by the authority pursuant to section thirteen hundred forty- 18 nine-xxxx of this title and are assigned to such county in accordance 19 with the provisions of subdivision two of this section. 20 7. The obligations of a county that withdraws from the district to 21 reimburse the authority and any subsidiary corporation of the authority 22 for the costs of operation, maintenance and use of passenger stations 23 pursuant to section thirteen hundred forty-nine-rrrrr of this title, 24 shall continue for any such costs incurred up to the effective date of 25 the county's withdrawal from the district and for costs incurred there- 26 after that result from acts preceding such withdrawal, and the applica- 27 bility of the payment provisions and procedures of such section thirteen 28 hundred forty-nine-rrrrr to such county shall continue thereafter with 29 respect to the aforesaid costs. 30 8. In the event of a county's failure to make payment of any monies 31 determined by the authority to be owed and due it or any subsidiary 32 corporation of the authority pursuant to the terms of any agreement 33 entered into pursuant to this section, the authority is authorized to 34 recover such payments in the same manner as in section thirteen hundred 35 forty-nine-rrrrr of this title and the state comptroller shall withhold 36 and pay monies to the authority in accordance with the procedures set 37 forth in that section. 38 9. The term of office of any resident of a county that withdraws from 39 the district under this section, as a member of the board of the author- 40 ity, the Metro-North rail commuter council or the management advisory 41 board, which is based upon residence in such county, shall terminate 42 upon the county's withdrawal and the office shall be deemed vacant and 43 filled in the manner provided by law. 44 10. The provisions of this section and all agreements undertaken in 45 accordance herewith shall be subject to the rights of the holders of any 46 outstanding bonds or notes issued by the authority. 47 § 1349-xxxxx. The office of legislative and community input. 1. The 48 chairperson of the authority shall establish the office of legislative 49 and community input for the purpose of communicating information to, and 50 receiving comments, concerns and recommendations from, members of the 51 legislature, and members of the permanent citizens advisory committee to 52 the authority, as defined in section thirteen hundred forty-nine-qqqq of 53 this chapter, on the following: 54 (a) the operations of the rapid transit, omnibus and commuter rail 55 line facilities of the authority including, but not limited to:S. 7840 182 1 (i) the quality of service provided on any rapid transit, omnibus, and 2 commuter rail line or route; 3 (ii) the frequency of operating service on the authority's mass trans- 4 it facilities; 5 (iii) the maintenance and condition of the authority's mass transit 6 facilities including, but not limited to, rapid transit and commuter 7 rail stations, railcars, buses, rail lines, fare collection systems and 8 sound systems; and 9 (iv) proposed service changes, including any reductions or expansion 10 of services, as it relates to the authority's mass transit facilities; 11 and 12 (b) any proposed, submitted and/or approved capital program plan, its 13 components, elements and projects, and associated expenditures. Any such 14 comments, concerns and recommendations relating to the capital program 15 plan, its components, elements and projects, and associated expenditures 16 shall be taken into consideration in the development of the current and 17 each successive capital program plan and/or any amendment to such plan. 18 2. The office shall establish a process to ensure timely notification 19 of the receipt of, and response to, comments, concerns, and recommenda- 20 tions by members of the legislature or members of the permanent citizens 21 advisory committee to the authority. 22 3. The chair and office shall prepare a report containing the follow- 23 ing information: 24 (a) a compilation of the comments, concerns, and recommendations 25 received by the office; 26 (b) how these comments, concerns or recommendations were or will be 27 addressed, such as the authority's response by the incorporation or 28 initiation of system and operational adjustments, improvements or expan- 29 sions if applicable; and 30 (c) how these comments, concerns or recommendations were or will be 31 addressed, such as the authority's response by changing or amending the 32 capital plan, as well as providing status updates on the progress of 33 such plan. 34 4. Such report shall on a biannual basis, commencing the first of 35 September next succeeding the effective date of this section, be submit- 36 ted to the governor, the temporary president of the senate and the 37 speaker of the assembly, be posted on the authority's website and also 38 be made readily available to the public. 39 § 1349-yyyyy. Debarment. The authority shall establish, pursuant to 40 regulation, a debarment process for contractors of the authority that 41 prohibits such contractors from bidding on future contracts, after a 42 debarment determination by such authority, for a period of five years 43 from such determination. Such regulations shall ensure notice and an 44 opportunity to be heard before such debarment determination and provide 45 as a defense acts such as force majeure. Such regulations shall only 46 provide for a debarment in situations involving a contractor's failure 47 to substantially complete the work within the time frame set forth in 48 the contract, or in any subsequent change order, by more than ten 49 percent of the contract term; or where a contractor's disputed work 50 exceeds ten percent or more of the total contract cost where claimed 51 costs are deemed to be invalid pursuant by the contractual dispute 52 resolution process. 53 § 1349-zzzzz. Right to share employees. 1. It is hereby found and 54 declared to be necessary and proper to authorize the authority, its 55 subsidiaries, affiliates, and subsidiaries of affiliates, powers to 56 effectuate and ensure such entities continued financial viability, whichS. 7840 183 1 is at issue given sizable operating deficits and significant capital 2 needs. Allowing wholesale internal management reforms will create 3 savings, combat entrenched bureaucracies, create streamlined, uniform, 4 and efficient services, ensure public accountability and reestablish 5 public trust. In order to facilitate these necessary goals it is both 6 reasonable and a legitimate public purpose to provide systematic author- 7 ity for the sharing of employees within and between the respective enti- 8 ties. 9 2. Notwithstanding any provision of law to the contrary, the authori- 10 ty, its subsidiaries, affiliates, and subsidiaries of affiliates shall 11 each have the right to share employees within and between such entities 12 and to assign such employees to perform any operation or function 13 subject only to a determination that they are substantially similar to 14 any operation or function currently performed. Substantially similar 15 operation or function shall be determined exclusively by the authority. 16 3. Nothing set forth in this subdivision shall be construed to impede, 17 infringe or diminish the rights and benefits that accrue to employees 18 and employers through collective bargaining agreements, or impact or 19 change an employee's membership in a bargaining unit. 20 § 2. This act shall take effect January 1, 2021. 21 § 2. Severability clause. If any clause, sentence, paragraph, subdivi- 22 sion, section or part of this act shall be adjudged by any court of 23 competent jurisdiction to be invalid, such judgment shall not affect, 24 impair, or invalidate the remainder thereof, but shall be confined in 25 its operation to the clause, sentence, paragraph, subdivision, section 26 or part thereof directly involved in the controversy in which such judg- 27 ment shall have been rendered. It is hereby declared to be the intent of 28 the legislature that this act would have been enacted even if such 29 invalid provisions had not been included herein. 30 § 3. This act shall take effect immediately provided, however, that 31 the applicable effective date of Parts A through E of this act shall be 32 as specifically set forth in the last section of such Parts.