Public Authorities Law TITLE 28-B
SCHENECTADY METROPLEX DEVELOPMENT AUTHORITY
Section 2650. Short title.
2651. Statement of legislative findings.
2652. Definitions.
2653. Schenectady metroplex development authority.
2654. Schenectady metroplex service district.
2655. General purposes and powers of the authority.
2655-a. Bylaws of the authority.
2655-b. Public hearings of the authority.
2655-c. Capital plan of the authority.
2655-d. Reports of the authority.
2656. Contracts.
2657. Employees, civil service.
2658. Code of ethics.
2659. Acquisition of land.
2660. Request for state assistance.
2661. Request for municipal assistance.
2662. Private donations.
2663. Monies of the authority.
2664. Return of moneys to the county of Schenectady.
2665. Bonds or notes of the authority.
2666. Bonds; legal investment for fiduciaries.
2667. Tax exemption and tax contract by the state.
2668. Remedies of bondholders.
2669. State, county and municipalities not liable on bonds.
2669-a. Agreement with state.
2669-b. Agreement with county.
2670. Actions against authority.
2671. Limitation of liability; indemnification.
2672. Assistance by state officers, departments, boards and
commissions.
2673. Audit, annual report, county approval of certain
projects.
2674. Separability.
§ 2650. Short title.
This title shall be known and may be cited as
the "Schenectady Metroplex Development Authority Act".
§ 2651. Statement of legislative findings.
It is hereby found,
determined and declared that there is an immediate need to institute a
comprehensive, coordinated program of economic development activities in
the Route 5 and Route 7 corridors of Schenectady county, especially in
the downtown region of the city of Schenectady.
It is further found, determined and declared to be desirable to create
a Schenectady metroplex development authority to provide the state of
New York, and the county of Schenectady, with the capability to
effectively and efficiently develop, renovate and optimize the economic
and social activities of the Route 5 and Route 7 corridors of
Schenectady county.
It is also hereby found, determined and declared that existing
facilities in the Route 5 and Route 7 corridors of Schenectady county,
for conventions, trade exhibitions, public shows, public entertainment,
hotel accommodations, transportation, historic preservation, tourism,
sporting events, social and educational centers, and retail, business,
commercial and government office space, including services for the
operation and maintenance thereof, are inadequate.
It is further found, determined and declared that the construction and
operation of such new facilities to adequately accommodate such
activities would generate new business, create employment opportunities,
provide new sources of tax revenue, and promote effective and orderly
redevelopment in the vicinity of the Route 5 and Route 7 corridors of
Schenectady county, all of which would serve the interests of the state
of New York, and the county of Schenectady.
It is also found, determined and declared that the area in the
vicinity of the Route 5 and Route 7 corridors of Schenectady county is
an area characterized by deteriorated industrial and commercial
structures, uncoordinated and incompatible commercial uses, inadequate
public facilities, and substandard conditions, all of which are
detrimental to the economic and social well-being of residents of the
state of New York and the county of Schenectady, and that the
construction and operation of such new facilities in such area will
serve as a catalyst for redevelopment, and a rejuvenation of civic pride
and accomplishment.
It is further found, determined and declared that the construction and
operation of such new facilities will provide significant economic and
social benefits to the state of New York, the county of Schenectady, and
the entire capital district region, and that, consistent with social,
economic, environmental and other essential considerations of state
policy, locating these new facilities in the Route 5 and Route 7
corridors of Schenectady county is in the public interest, given the
convenience and accessibility of the location, the elimination of
substandard conditions, the nature and economic characteristics of
various other sites considered, and the immediacy of the needs of the
people of the state for the realization of the significant economic and
social benefits to be derived from this development.
It is also found, determined and declared that the development of the
Route 5 and Route 7 corridors of Schenectady county is a matter of
essential state and county concern, and that the establishment and
creation of a Schenectady metroplex development authority is necessary
to provide for the economic prosperity, health, safety and general
welfare of the people of the county of Schenectady and the state of New
York, through the construction, development, location and operation of
these new facilities.
It is further found, determined and declared that is the intent of the
legislature that the Schenectady metroplex development authority shall
carry out its purposes and responsibilities directly and through
agreements with federal, state and local entities and authorities, and
that the Schenectady metroplex development authority shall be created as
a public benefit corporation and that the corporate programs and powers
conferred under this title and the expenditures of public moneys
pursuant thereto, are in furtherance of a valid public interest and
public purpose.
§ 2652. Definitions.
As used or referred to in this title, unless a
different meaning clearly appears from the context:
1. The term "authority" shall mean the public benefit corporation
created by section twenty-six hundred fifty-three of this title.
2. The term "board" shall mean the members of the authority created in
section twenty-six hundred fifty-three of this title.
3. The term "person" shall mean any natural person, partnership,
limited liability company, association, joint venture or corporation,
exclusive of a public corporation.
4. The term "service district" shall mean the Schenectady metroplex
service district created by section twenty-six hundred fifty-four of
this title.
5. The term "bonds" shall mean bonds and notes issued by the authority
pursuant to this title.
6. The term "state" shall mean the state of New York.
7. The term "governor" shall mean the governor of the state of New
York.
8. The term "comptroller" shall mean the comptroller of the state of
New York.
9. The term "director of the budget" shall mean the director of the
budget of the state of New York.
10. The term "municipality" shall mean a county, town, city, or
village.
11. The term "county" shall mean the county of Schenectady.
12. The term "county legislature" shall mean the Schenectady county
legislature.
13. The term "city" shall mean the city of Schenectady.
14. The term "mayor" shall mean the mayor of the city of Schenectady.
15. The term "city council" shall mean the city council of the city of
Schenectady.
16. The term "metroplex facility" shall mean any facility, building,
structure, park or other real property owned, leased, constructed,
created, designed, developed, planned, financed, operated, renovated,
administered, managed and/or maintained by the authority.
17. The term "park district" shall mean any area designated by the
authority, within the service district, to be an historic preservation
district, a special entertainment district, an educational entertainment
district, or a recreational park district.
18. The term "construction" shall mean the acquisition, erection,
building, alteration, improvement, increase, enlargement, extension,
reconstruction, renovation or rehabilitation of any project financed
under the provisions of this title; the inspection and supervision
thereof; and the engineering, architectural, legal, fiscal and economic
investigations and studies, surveys, designs, plans, working drawings,
specifications, procedures and other actions preliminary or incidental
thereto.
19. The term "real property" shall mean lands, waters, rights in lands
or waters, structures, franchises and interests in land, including lands
under water, riparian rights, property rights in air space and/or
subsurface space and any and all other things and rights usually
included within such term and includes also any and all interests in
such property less than full title, such as easements permanent or
temporary, rights-of-way, uses, leases, licenses and all other
incorporeal hereditaments and every estate, interest or right legal or
equitable.
20. The term "personal property" shall mean chattels and other
tangible things of a movable or removable nature.
21. The term "cost" as applied to any project, includes the cost of
construction, the cost of the acquisition of all property, rights in
property, rights-of-way, easements, franchises, and interests, including
real property and other property, both real, personal and mixed,
improved and unimproved, the cost of demolishing, removing or relocating
any buildings or structures on lands so acquired, including the cost of
acquiring any lands to which such buildings or structures may be moved
or relocated, the cost of all machinery, apparatus and equipment,
financing charges, interest prior to, during and after construction to
the extent not paid or provided for from revenues or other sources, the
cost of engineering and architectural surveys, plans and specifications,
the cost of consultant and legal services, the cost of guarantee, bond
insurance or other credit support devices and the cost of other expenses
necessary or incidental to the construction of any such project and the
financing of the construction thereof, including the amount authorized
in the resolution of the authority providing for the issuance of bonds
to be paid into any reserve or other special funds from the proceeds of
such bonds and the financing of the placing of any project in operation,
including reimbursement to any municipality, state agency, the state,
the United States government, or any other person for expenditures that
would be costs of the project hereunder had they been made directly by
the authority.
22. The term "project" shall mean a facility, building, structure,
park or other real property, or any portion thereof, which the
ownership, lease, transfer, design, development, planning, financing,
creation, siting, construction, renovation, administration, operation,
management and/or maintenance is authorized to be undertaken, in whole
or in part, by the authority pursuant to this title.
23. The term "revenues" shall mean all monies, funds, rates, fees,
tolls, rents, charges or other income derived by the authority from its
planning, development, financing, construction, operation, management,
or maintenance functions, or any monies or funds appropriated to the
authority from the state or a municipality, or any monies or funds
obtained from public or private donations to the authority or the tax
revenues payable to the authority pursuant to section twelve hundred
ten-C of the tax law.
24. The term "United States" shall mean the United States of America
or any department, agency or instrumentality thereof acting on behalf of
the United States of America.
§ 2653. Schenectady metroplex development authority.
1. The
Schenectady metroplex development authority is hereby created. Such
authority shall be a body corporate and politic constituting a public
benefit corporation. The governing body of the authority shall be a
board. The authority shall consist of eleven members who are residents
of Schenectady county, appointed by a majority vote of the county
legislature. Nominations for appointment by the county legislature shall
be submitted as follows: one upon the recommendation of the mayor of the
city of Schenectady, one upon the recommendation of the city council;
one upon the recommendation of the supervisor of the town of Niskayuna,
one upon the recommendation of the supervisor of the town of Glenville,
one upon the joint recommendation of the supervisors of the towns of
Princetown and Duanesburg, one upon the recommendation of the supervisor
of the town of Rotterdam, one upon the recommendation of the minority
leader of the county legislature, two upon the recommendation of the
chairman of the county legislature and two by the joint recommendation
of the county legislature. The members appointed upon the recommendation
of the chair of the county legislature, the minority leader of the
county legislature and the joint recommendation of the county
legislature shall serve for a term of five years each, and the members
appointed by the county legislature upon the recommendation of the city
or town officers shall serve for a term of four years each,
respectively, with each term commencing from the first day of January
next succeeding their appointment. Each member unless removed for good
cause by a two-thirds vote of the county legislature shall hold office
until a successor has been appointed and qualified.
2. No person holding an elected or management/confidential-exempt
position in any county government may be appointed to the authority
except for the Schenectady county commissioner of economic development
and planning. No member of the state legislature may be appointed to the
authority. No person holding, or who has held within the previous four
years, the position of chairperson of a village, town, city or county
political party as defined by article two of the election law shall be
appointed to the authority.
3. A member of the board shall be designated as chairman by a majority
vote of all the members of the county legislature and shall be chairman
of such board until his or her term as member expires. A member of the
board shall also be so designated as vice-chairman of the board until
his or her term as member expires. The chairman shall be the chief
executive officer of the authority and shall be primarily responsible
for the discharge of the administrative functions of the authority. The
chairman may appoint an executive director of the authority, upon advice
and consent of the board, to which such administrative functions may be
delegated. The executive director shall be deemed an employee of the
authority, and as such be an exempt management confidential employee,
who is a public officer and entitled to an annual salary as established
by the authority board.
4. The power of such corporation shall be vested in and exercised by
the board. Such board may delegate to one or more of its members or its
officers, agents and employees such powers and duties as it may deem
proper.
5. Such board and its corporate existence shall continue until its
existence shall be terminated by law. Upon the termination of the
existence of the authority all its rights and properties shall pass to
and be vested in the county of Schenectady.
6. Six members of the board shall constitute a quorum for the
transaction of business. A majority of the members of the board present
at any meeting at which a quorum shall be present, shall be sufficient
to pass any resolution, except as otherwise specified in this title. All
propositions requiring the expenditure of money or affecting contract
rights or property, shall be presented to the board in writing. No
resolution containing such a proposition shall pass unless it receives
approval of at least six board members in office.
7. The board shall hold at least one regular meeting every month. The
chairman, or in his absence the vice-chairman, or any five members, may
call a special meeting by notice as specified by the board. All meetings
of the board shall be subject to article seven of the public officers
law.
8. Members of the board shall be entitled to no compensation for their
services, but shall be entitled to reimbursement for their actual and
necessary expenses incurred in the performance of their official duties.
9. Notwithstanding any inconsistent provision of any general, special
or local law, no officer or employee of the state, or of any
municipality, as defined in the public officers law, the county law or
the town law, shall be deemed to have forfeited or shall forfeit his
public office or any benefits provided under the retirement and social
security law or under any public retirement system maintained by the
state or any of its subdivisions by reason of his acceptance of
membership on or chairmanship or vice-chairmanship of the authority;
provided, however, a member or chairman who holds such other public
office shall receive no additional compensation for services rendered
pursuant to this title, but shall be entitled to reimbursement for
actual and necessary expenses incurred in the performance of such
services.
10. The principal office of the authority shall be located in the
county of Schenectady.
11. The comptroller may conduct periodic audits of the authority and
report the results of such audits to the governor, the chairman of the
senate finance committee, and the chairman of the assembly ways and
means committee.
12. Subject to the provisions of this title, members of the authority
may engage in private employment, or in a profession or business.
§ 2654. Schenectady metroplex service district.
1. The Schenectady
metroplex service district shall include all real property within the
county of Schenectady, from the Albany county/Schenectady county border
to the Montgomery county/Schenectady county border, and within
thirty-five hundred feet of Route 5, except from the intersection of
Route 5/State Street and Brandywine Avenue to the intersection of Route
5/Mohawk Avenue and Route 147/Sacandaga Road, whereupon the Schenectady
metroplex service district shall include all real property within
eighty-seven hundred fifty feet of Route 5. The service district shall
also include all real property within Schenectady county from the town
of Rotterdam/city of Schenectady border to the Schoharie
county/Schenectady county border and within the boundaries and
accompanying right of way of state Route 7; and all real property within
two hundred feet of Chrisler Avenue in the city of Schenectady except as
excluded by subdivision two of this section.
2. Notwithstanding any other provision of law, unless amended pursuant
to local law, the Schenectady metroplex service district shall not
include any parcel of real property upon which a non-multiple dwelling
residence is located in the city of Schenectady and within the
boundaries of the historic GE realty plot district, the Union College
Triangle, the Mont Pleasant neighborhood association, or any defined
neighborhood within the Schenectady united neighborhood associations.
3. The Stockade Historic District shall be included within the
Schenectady Metroplex Service District for the purposes of the design,
development, planning, financing, creation, siting, construction,
renovation, administration, operation, management, and/or maintenance of
facilities, structures or parks as defined in paragraphs (e), (f), (g),
(h), (i), (j), (k) and (l) of subdivision eight of section twenty-six
hundred fifty-five of this title.
4. Any municipality located within the county shall have the power to
increase the boundaries of the Schenectady metroplex service district
within the municipality. To increase the boundaries of the service
district within a municipality, the municipality must conduct a public
hearing and enact by a two-thirds vote a local law defining the
additional boundaries of such district. In the event a municipality
elects to increase the boundaries of the service district, two certified
copies of the local law increasing the service district, together with
two certified maps designating such increased boundaries shall be filed
with the office of the chairman of the Schenectady metroplex development
authority. Within ten days of the filing of such certified copies and
maps with the office of the chairman of the Schenectady metroplex
development authority, such chairman shall file one certified copy of
such local law and one certified copy of such map with the commissioner
of the New York state department of taxation and finance. The territory
and boundaries of the Schenectady metroplex development service district
shall not be required to be contiguous.
§ 2655. General purposes and powers of the authority.
The general
purposes of the authority shall be to design, develop, plan, finance,
create, site, construct, renovate, administer, operate, manage, and
maintain all metroplex facilities and metroplex parks within the service
district defined in section twenty-six hundred fifty-four of this title.
To carry out such purposes the authority shall have the power:
1. To sue and be sued;
2. To acquire, hold and dispose of real and personal property for its
corporate purposes;
3. To have a seal and alter the same at pleasure;
4. To borrow money and issue bonds for any of its corporate purposes
or its projects, or to refund the same, and to provide for the rights of
the holders thereof;
5. To make, subject to the provisions of section twenty-six hundred
fifty-five-a of this title, by-laws for the management and regulation of
its affairs and, subject to agreements with bondholders, for the design,
development, planning, construction, financing, operation, management,
siting and maintenance of all metroplex facilities and metroplex parks
within the service district;
6. To appoint officers, agents and employees; and to describe their
qualifications and fix their compensation; subject, however, to the
provisions of the civil service law as provided in this title;
7. To make contracts and leases, and to execute all instruments
necessary or convenient;
8. To design, develop, plan, finance, create, site, construct,
renovate, administer, operate, manage and/or maintain such buildings,
parks, structures, and other facilities as may be necessary or
convenient, specifically, but not limited to:
(a) trade exhibition facilities;
(b) public show facilities;
(c) public entertainment facilities and parks;
(d) hotel and overnight accommodation facilities;
(e) transportation and parking facilities;
(f) historic preservation facilities and parks;
(g) tourism facilities and parks;
(h) sporting event facilities and parks;
(i) special entertainment facilities and parks;
(j) educational facilities and parks;
(k) cultural and social facilities and parks;
(l) infrastructure facilities;
(m) industrial and manufacturing facilities and parks; and/or
(n) business, commercial, retail, and/or government office space,
buildings and/or facilities;
9. To collect revenues, dues, costs, assessments, rentals, fees and
other charges for the use of real or personal property and/or facilities
and parks of the authority subject to and in accordance with such
agreements with bondholders as may be provided in this title;
10. To contract for the services of architects, engineers,
consultants, lawyers, financial and other professional advisors,
developers, contractors, vendors, concessioners, tenants, facility
and/or park users, occupants and managers and other professional
consultants and service providers, and to fix their compensation;
11. To declare, designate, establish, design, create, site, construct,
develop, plan, finance, operate, renovate, administer, manage and/or
maintain parks and park districts within the service district so as to
establish parks and/or park districts for historic preservation,
educational entertainment, and/or recreation;
12. Upon the resolution of a municipality, to avoid, and be exempt
from, zoning and/or planning requirements, laws and/or regulations
established, created or enacted by the municipality;
13. To designate the depositories of its money;
14. To establish its fiscal year;
15. To appoint such officers, employees and agents as the authority
may require for the performance of its duties and to fix and determine
their qualifications, duties, and compensation subject to the provisions
of the civil service law and any applicable collective bargaining
agreement, and to retain or employ counsel, auditors, engineers and
private consultants on a contract basis or otherwise for rendering
professional, management or technical services and advice;
16. To receive and consider reports and recommendations from any
advisory councils or boards as may be established by local law,
ordinance, or resolution; and
17. To do all things necessary, convenient or desirable, including
ancillary and incidental activities, to carry out its purposes and for
the exercise of the powers granted in this title.
§ 2655-a. Bylaws of the authority.
1. The board shall draft proposed
bylaws for the organization and procedure of the authority. Such bylaws
shall be consistent with the provisions of this title and all other
state and federal laws, and shall contain a provision that such bylaws
may only be amended after final adoption by a two-thirds vote of all the
voting members of the board. Upon the drafting of such proposed bylaws,
the board shall conduct a public hearing on such proposed bylaws and
solicit public comment on the same. After the public hearing and comment
has been conducted and solicited, the board shall adopt such proposed
bylaws, with any amendments made thereto in response to the public
hearing and comment, and shall thereafter file the adopted proposed
bylaws with the clerk of the county legislature.
2. Within thirty days of the filing of such adopted proposed bylaws
with the clerk of the county legislature, the county legislature may, by
a two-thirds vote of all the members of the county legislature, reject
the proposed bylaws so filed and return them to the authority for
possible amendment and redrafting. If the county legislature does not
reject the proposed bylaws by such two-thirds vote within thirty days of
the filing of the same, then such proposed bylaws so filed shall be
deemed adopted and in full force and effect. If the county legislature
rejects the proposed bylaws by such two-thirds vote, then the authority
shall amend the proposed bylaws as deemed appropriate. Such amended
bylaws shall be filed with the clerk of the county legislature,
whereupon the county legislature may again consider the amended bylaws
as in the same manner as if such bylaws had been originally filed
pursuant to subdivision one of this section.
3. In the absence of bylaws which are deemed adopted and in full force
and effect, the authority shall operate and be governed by the
provisions of this title and the most recently revised edition of
Roberts Rules of Order.
§ 2655-b. Public hearings of the authority.
Prior to the adoption of
any project where the authority would:
1. expend more than five hundred thousand dollars;
2. borrow money or issue bonds pursuant to subdivision four of section
twenty-six hundred fifty-five of this title; or
3. condemn real property pursuant to section twenty-six hundred
fifty-nine of this title;
the board shall schedule and hold a public hearing and solicit public
comment on such project. After the conclusion of the public hearing and
comment, the board shall consider the results of the public hearing and
comments with respect to the adoption of the proposed project. Such
consideration by the board shall include the accommodation of the public
interest with respect to such project, if such accommodation is deemed
in the best interest of the community and the authority's purposes as
expressed in section twenty-six hundred fifty-five of this title, the
proposal and resolution may be amended.
§ 2655-c. Capital plan of the authority.
On or before the first day of
March, the authority shall annually produce, and present at a public
hearing for public comment, a five-year capital projects plan, outlining
the vision of its intended capital projects for the next five years.
With respect to each project proposed in the plan, the authority shall
provide a detailed description of the:
1. overall nature, purpose and extent of the project;
2. proposed amount and sources of capital funding to complete the
project;
3. proposed amount and sources of operating funding necessary to
operate the project;
4. urban and community planning performed or which needs to be
performed;
5. economic development potential of the project;
6. financial feasibility of the project;
7. geographic location and impact of the project;
8. impact of the project on the community's natural resources;
9. tourism, entertainment and arts development potential of the
project;
10. human and physical infrastructure requirements and impact of the
project; and
11. other factors which have been considered for the purpose of
enhancing the viability of the county.
An annual presentation of this five-year capital plan shall further be
made to the county legislature. After the presentation of the first
five-year capital plan, any subsequent plan presented shall describe any
changes from, modifications to, and the current status of, projects
included in the previous plans. In developing and maintaining such plan,
the authority shall, from time to time, enter into contracts with any
and all outside experts it may deem necessary for the plan's successful
production, presentation and development.
§ 2655-d. Reports of the authority.
1. In addition to any other
report required by this title, the authority, through its chairman,
shall annually deliver, in oral and written form, a report to the county
legislature. Such report shall be presented by March fifteenth of each
year to the county legislature's standing committee on economic
development. The report shall describe in detail the projects undertaken
by the authority during the past year, the monies expended by the
authority during the past year, the administrative activities of the
authority during the past year, and the authority's compliance with the
provisions of subdivision three of section twenty-six hundred fifty-six
of this title. At the conclusion of the report, the chairman of the
authority board shall be prepared to answer the questions of the county
legislators with respect to the projects undertaken by the authority
during the past year, the monies expended by the authority during the
past year, and the administrative activities of the authority during the
past year.
2. In addition to any other report required by this title, each board
member appointed upon the recommendation of a municipality other than
the county, shall annually deliver, in oral and written form, a report
to the municipality from which such board member was appointed. In the
case of the city of Schenectady, both members so appointed shall jointly
deliver such report. Such report shall be presented at a meeting as
designated by the municipality's town board or city council. The report
shall describe in detail the projects undertaken by the authority during
the past year, the monies expended by the authority during the past
year, and the administrative activities of the authority during the past
year. At the conclusion of the report, the board member or members shall
be prepared to answer the questions of the supervisor, mayor, town board
and/or city council with respect to the projects undertaken by the
authority during the past year, the monies expended by the authority
during the past year, and the administrative activities of the authority
during the past year, or any other activities of the authority which
have been conducted or which may be proposed for performance with the
municipality.
§ 2656. Contracts.
1. Construction contracts let by the authority
shall be in conformity with the applicable provisions of section one
hundred thirty-five of the state finance law.
2. The authority may, in its discretion, assign contracts for
supervision and coordination to the successful bidder for any
subdivision of work for which the authority receives bids. Any
construction contract awarded by the authority shall contain such other
terms and conditions as the authority may deem desirable. The authority
shall not award any construction contract except to the lowest bidder
who, in its opinion, is qualified to perform the work required and who
is responsible and reliable. The authority may, however, reject any or
all bids or waive any informality in a bid if it believes that the
public interest will be promoted thereby. The authority may reject any
bid, if, in its judgment, the business and technical organization,
plant, resources, financial standing, or experience of the bidder
justifies such rejection in view of the work to be performed.
3. Each contract to which the authority is a party including, but not
limited to, any contract, lease, grant, bond, covenant, or other debt
agreement entered into directly or indirectly by the authority financing
in whole or in part, the construction, demolition, reconstruction,
excavation, rehabilitation, repair, renovation or alteration of a
building or an improvement to property shall require that employers,
contractors and sub-contractors shall comply with the provisions of
section two hundred twenty of the labor law.
4. For the purposes of article fifteen-A of the executive law only,
the authority shall be deemed a state agency as that term is used in
such article, and all contracts for procurement, design, construction,
services and materials shall be deemed state contracts within the
meaning of that term as set forth in such article;
§ 2657. Employees, civil service.
1. The appointment and promotion of
all non-exempt/non-management confidential employees of the authority
shall be made in accordance with the civil service law and the rules of
the Schenectady county civil service commission.
2. In accordance with the provisions of section seventy of the civil
service law, any officer or employee of a municipality, school district
or special district in the service area, may, at the request of the
authority, be transferred to the authority and shall be eligible for
such transfer and appointment, without further examination, to
applicable offices, positions and employment under the authority. Any
such officers or employees so transferred to the authority pursuant to
this section, who are members of or benefit under any existing pension
or retirement fund or system, shall continue to have all rights,
privileges, obligations and status with respect to such fund or system
as are now prescribed by law, but during the period of their employment
by the authority, all contributions to such funds or systems to be paid
by the employer on account of such officers or employees shall be paid
by the authority.
3. A transferred employee shall remain in the same collective
bargaining unit as was the case prior to his or her transfer. Successor
employees to the positions held by such transferred employees shall,
consistent with the provisions of article fourteen of the civil service
law, be included in the same unit as their predecessors. Employees
serving in positions in newly created titles shall be assigned to the
same collective bargaining unit as they would have been assigned to such
unit were such titles created prior to the establishment of the
authority. Nothing contained in this title shall be construed (a) to
diminish the rights of employees pursuant to a collective bargaining
agreement or (b) to affect existing law with respect to an application
to the public employment relations board seeking a designation by the
board that certain persons are managerial or confidential.
§ 2658. Code of ethics.
1. As used in this section the term
"authority employee" shall mean any member, officer or employee of the
authority.
2. No authority employee shall have any interest, financial or
otherwise, direct or indirect, or engage in any business or transaction
or professional activity or incur any obligation of any nature, which is
in substantial conflict with the proper discharge of his or her duties
in the public interest.
3. (a) No authority employee shall accept other employment, which will
impair his or her independence of judgment in the exercise of his or her
official duties.
(b) No authority employee shall accept employment or engage in any
business or professional activity which will require the employee to
disclose confidential information which he or she has gained by reason
of his or her official position or authority.
(c) No authority employee shall disclose confidential information
acquired by the employee in the course of his or her official duties nor
use such information to further his or her personal interests.
(d) No authority employee shall use or attempt to use his or her
official position to secure unwarranted privileges or exemptions for him
or herself or others.
(e) No authority employee shall engage in any transaction as
representative or agent of the authority with any business entity in
which he or she has a direct or indirect financial interest that might
reasonably tend to conflict with the proper discharge of his or her
official duties.
(f) An authority employee shall not by his or her conduct give
reasonable basis for the impression that any person can improperly
influence such employee or unduly enjoy his or her favor in the
performance of his or her official duties, or that he or she is affected
by the kinship, rank, position or influence of any party or person.
(g) An authority employee shall abstain from making personal
investments in enterprises which he or she has reason to believe may be
directly involved in decisions to be made by the employee or which will
otherwise create substantial conflict between his or her duty in the
public interest and his or her private interest.
(h) An authority employee shall endeavor to pursue a course of conduct
which will not raise suspicion among the public that he or she is likely
to be engaged in acts that are in violation of his or her trust.
(i) No authority employee employed on a full-time basis nor any firm
or association of which such an employee is a member nor corporation a
substantial portion of the stock of which is owned or controlled
directly or indirectly by such employee, shall sell goods or services to
any person, firm, corporation or association which is licensed or whose
rates are fixed by the authority in which such employee serves or is
employed.
(j) If any authority employee shall have a financial interest, direct
or indirect, having a value of ten thousand dollars or more in any
activity which is subject to the jurisdiction of a regulatory agency, he
or she shall file with the secretary of state a written statement that
he or she has such a financial interest in such activity which statement
shall be open to public inspection.
4. In addition to any penalty contained in any other provision of law
any such authority employee who shall knowingly and intentionally
violate any of the provisions of this section may be fined, suspended or
removed from office or employment.
5. The authority shall ensure that all employees or applicants for
employment are afforded equal employment opportunity without
discrimination.
6. All board members and employees of the authority shall be deemed to
be public officers and shall, notwithstanding any other ethical
requirements established by state or local law, and when not
inconsistent with the provisions of this title, comply with sections
seventy-three, seventy-three-a and seventy-four of the public officers
law. Notwithstanding any other provision of law, the filing of a
Schenectady county financial disclosure statement with the Schenectady
county board of ethics by a board member shall constitute and be deemed
in compliance with the financial disclosure requirements imposed by this
section and section seventy-three-a of the public officers law.
§ 2659. Acquisition of land.
The authority, upon the terms and
conditions approved by resolution of the authority, shall have the power
to acquire real property located within the service district by
purchase, lease or condemnation to accomplish its lawful purposes. It
shall also have the power to sell, lease or otherwise dispose of real
property and shall retain and have the power to use the proceeds of such
sale, rentals or other monies derived from the disposition thereof for
its lawful purposes. A resolution of the authority to condemn real
property shall require a two-thirds majority of the board for approval.
Claims for the value of the real property condemned and for legal
damages caused by any such condemnation shall be adjusted and determined
by the chairman with the approval of the board, or by the supreme court
of Schenectady county as provided in section twenty-six hundred seventy
of this title. When a claim has been filed with the supreme court, the
claimant shall cause a copy of such claim to be served upon the
authority and the authority shall have the right to be represented and
heard before said court. All awards and judgments arising from such
claims shall be paid out of moneys of the authority.
§ 2660. Request for state assistance.
1. Should the chairman of the
authority determine that state assistance is necessary for the authority
to achieve its lawful goals, powers and purposes, the chairman may
annually may make and deliver to the director of the budget, the
chairman of the senate finance committee and the chairman of the
assembly ways and means committee a request for financial support for
the operation of the authority for the forthcoming fiscal year of the
state. The request for financial support shall delineate the total
amount needed by the authority from the state to achieve its lawful
goals, powers and purposes, the source of all funds that the authority
expects to receive from all other sources, and such other information as
the director of the budget, the chairman of the senate finance committee
and the chairman of the assembly ways and means committee shall require.
2. The state may appropriate and provide to the authority an amount of
money it deems necessary to provide the authority to assist it in its
successful operation and achievement of its lawful goals, powers and
purposes.
3. Notwithstanding the provisions of any general or special law to the
contrary, no part of such appropriations shall be available for the
purposes designated until a certificate of approval of availability
shall have been issued by the director of the budget and a copy of such
certificate is filed with the comptroller, the chairman of the senate
finance committee and the chairman of the assembly ways and means
committee. Such certificate may be amended from time to time, subject
to the approval of the director of the budget, and a copy of each such
amendment shall be filed with the comptroller, the chairman of the
senate finance committee and the chairman of the assembly ways and means
committee.
§ 2661. Request for municipal assistance.
1. Notwithstanding the
provisions of any general or special law to the contrary, the county of
Schenectady may transfer to the authority from funds appropriated by the
county legislature for the fiscal year beginning nineteen hundred
ninety-eight, and each fiscal year thereafter, the amount the county
deems necessary to assist the authority in its successful operation and
achievement of its lawful goals, powers and purposes.
2. On or before August fifteenth, nineteen hundred ninety-nine, and on
each August fifteenth thereafter, the chairman of the authority shall
make and deliver to the chairman of the county legislature's ways and
means committee for his approval and for submission to the county
legislature a request for financial support for the operation to the
authority for the forthcoming fiscal year of the county. The request for
financial support shall delineate the total amount needed by the
authority from the county to achieve its lawful goals, powers and
purposes, the source of all funds that the authority expects to receive
from all other sources, and such other information as the chairman of
the county legislature's ways and means committee shall require. The
chairman of the county legislature's ways and means committee may
recommend the request for financial support by the authority for the
annual county budget appropriations to the authority if the chairman of
the county legislature's ways and means committee determines that the
request for financial support will assist the authority to achieve its
lawful goals, powers and purposes for the upcoming year. The chairman of
the county legislature's ways and means committee shall notify the
chairman of the authority not later than October first of each year
whether or not he has recommended to the county legislature the request
for financial support to the authority.
3. The county may appropriate and provide to the authority an amount
of money it deems necessary to provide the authority to assist it in its
successful operation and achievement of its lawful goals, powers and
purposes.
4. Notwithstanding the provisions of any general or special law to the
contrary, no part of such county appropriations shall be available for
the purposes designated until a certificate of approval of availability
shall have been issued by the chairman of the county legislature's ways
and means committee and a copy of such certificate is filed with the
county director of finance. Such certificate may be amended from time to
time, subject to the approval of the chairman of the county
legislature's ways and means committee, and a copy of each such
amendment shall be filed with the county director of finance.
5. Notwithstanding the provisions of any general or special law to the
contrary, a town, city or village of Schenectady county may transfer to
the authority from funds appropriated by the town, city or village for
the fiscal year beginning nineteen hundred ninety-eight, and each fiscal
year thereafter, the amount the town, city or village deems necessary to
assist the authority in its successful operation and achievement of its
lawful goals, powers and purposes.
6. On or before August fifteenth, nineteen hundred ninety-nine, and on
each August fifteenth thereafter, the chairman of the authority shall
make and deliver to the supervisor or mayor of such town, city or
village for his approval and for submission to the town board, city
council or village board a request for financial support for the
operation of the authority for the forthcoming fiscal year of the town,
city or village. The request for financial support shall delineate the
total amount needed by the authority from the town, city or village to
achieve its lawful goals, powers and purposes, the source of all funds
that the authority expects to receive from all other sources, and such
other information as the supervisor or mayor shall require. The
supervisor or mayor may recommend the request for financial support by
the authority for the annual town, city or village budget appropriations
to the authority if the supervisor or mayor determines that the request
for financial support will assist the authority to achieve its lawful
goals, powers and purposes for the upcoming year. The supervisor or
mayor shall notify the chairman of the authority not later than October
first of each year whether or not he has recommenced to the town board,
city council or village board the request for financial support to the
authority.
7. A town, city or village of Schenectady county may appropriate and
provide to the authority an amount of money it deems necessary to
provide the authority to assist it in its successful operation and
achievement of its lawful goals, powers and purposes.
8. Notwithstanding the provisions of any general or special law to the
contrary, no part of such town, city or village appropriations shall be
available for the purposes designated until a certificate of approval of
availability shall have been issued by the supervisor or mayor of the
town, city or village and a copy of such certificate is filed with the
town, city or village's director of finance. Such certificate may be
amended from time to time, subject to the approval of the supervisor or
mayor, and a copy of each such amendment shall be filed with the town,
city or village's director of finance.
9. The county of Schenectady shall dedicate net collections from sales
and compensating use taxes imposed pursuant to the authority of section
twelve hundred ten-C of the tax law at the rate of one-half of one
percent, during the period beginning September first, nineteen hundred
ninety-eight, and ending August thirty-first, two thousand thirty-three,
or, if the county does not impose taxes pursuant to the authority of
section twelve hundred ten-C of the tax law, the county shall dedicate
net collections from sales and compensating use taxes imposed during
such period at the rate of one-half of one percent pursuant to the
authority of section twelve hundred ten of the tax law, and shall
quarterly deposit such net collections in the Schenectady metroplex
development authority support fund established in accordance with
subdivision (b) of section twelve hundred ten-C of the tax law. On
January first, nineteen hundred ninety-nine, and then quarterly
thereafter, the director of finance of Schenectady county shall transfer
seventy percent of such net collections deposited in the Schenectady
metroplex development authority support fund to the authority for
deposit in the authority's general fund. The authority may use such
portion of such dedicated net collections received for any lawful
purpose or power of the authority. On January first, nineteen hundred
ninety-nine, and then quarterly thereafter, the director of finance of
Schenectady county, after transferring seventy percent of such net
collections to the authority for deposit in the authority's general
fund, shall transfer all remaining monies in the Schenectady metroplex
development authority support fund to the Schenectady county real
property tax abatement and economic development fund.
§ 2662. Private donations.
Notwithstanding the provisions of any
general or special law to the contrary, any person may donate, give,
tender or provide, and the authority may receive, private monies to
assist the authority in its successful operation and achievement of its
lawful goals, powers and purposes.
§ 2663. Monies of the authority.
1. All monies of the authority from
whatever source derived shall be paid to the treasurer of the authority
and shall be deposited forthwith in a bank or banks designated by the
authority. The monies in such accounts shall be paid out or withdrawn on
the order of such person or persons as the authority may authorize to
make such requisitions. All deposits of such monies shall be secured by
obligations of the United States or of the state or of any municipality
of a market value equal at all times to the amount on deposit and all
banks and trust companies are authorized to give such security for such
deposits. To the extent practicable, consistent with the cash
requirements of the authority, all such monies shall be deposited in
interest bearing accounts. The authority shall have power,
notwithstanding the provisions of this section, to contract with the
holders of any bonds as to the custody, collection, security, investment
and payment of any monies of the authority or any monies held in trust
or otherwise for the payment of bonds or any way to secure bonds, and
carry out any such contract notwithstanding that such contract may be
inconsistent with the provisions of this section. Monies held in trust
or otherwise for the payment of bonds or in any way to secure bonds and
deposits of such monies may be secured in the same manner as monies of
the authority and all banks and trust companies are authorized to give
such security for such deposits. Any monies of the authority not
required for immediate use or disbursement may, at the discretion of the
authority, be invested pursuant to section ninety-eight-a of the state
finance law in accordance with guidelines established by the authority's
board and amended from time to time. Subject to the provisions of any
contract with bondholders and with the approval of the state
comptroller, the authority shall prescribe a system of accounts.
2. Tax revenues received by the authority pursuant to section twelve
hundred ten-C of the tax law, shall be applied in the following order of
priority: first pursuant to the authority's contracts with bondholders,
then to pay the authority's operating expense not otherwise provided
for, and then the balance of such taxes not required to meet contractual
or other obligations of the authority shall be deposited in the general
fund of the authority.
§ 2664. Return of moneys to the county of Schenectady.
1. In the
event that the revenues of the authority exceed its current liabilities
by more than fifty percent at the end of its first fiscal year, or by
more than ten percent at the end of its fiscal year of each fiscal year
after its first fiscal year, after a lawful deposit in its reserve fund
of not less than five percent of its revenues, and after a lawful
deposit into its construction and development account in the amount
necessary to provide payment for the anticipated projects of the next
fiscal year, then the authority shall return to the county of
Schenectady seventy-five percent of such surplus amount.
2. In the event that the revenues of the authority do not exceed its
current liabilities by more than fifty percent at the end of its first
fiscal year, or by more than ten percent at the end of its fiscal year
of each fiscal year after its first fiscal year, after a lawful deposit
in its reserve fund of not less than five percent of its revenues and
after a lawful deposit into its construction and development account in
the amount necessary to provide payment for the anticipated projects of
the next fiscal year, or that sufficient funds are not available for the
authority to make a lawful deposit in its reserve fund of not less than
five percent of its revenues, and a lawful deposit into its construction
and development account, then the authority shall not be required to
return any funds to the county of Schenectady for that fiscal year.
3. The authority shall not return any funds to the county of
Schenectady that have been received by the authority from sources other
than the dedicated one-half of one percent of the sales tax.
§ 2665. Bonds or notes of the authority.
1. The authority shall have
the power and is hereby authorized from time to time to issue bonds,
notes or other obligations in conformity with applicable provisions of
the uniform commercial code to pay the cost of any project, the
establishment of reserves to secure the bonds, the payment of principal
of, premium, if any, and interest on the bonds and the payment of
incidental expenses in connection therewith. The aggregate principal
amount of such bonds or notes of the authority shall not exceed
seventy-five million dollars ($75,000,000), excluding bonds or notes
issued to refund or repay bonds or notes therefore issued for such
purposes; provided, however, that upon any such refunding or repayment
the total aggregate principal amount of outstanding bonds or notes may
be greater than seventy-five million dollars ($75,000,000), only if the
present value of the aggregate debt service of the refunding or
repayment of bonds or notes to be issued shall not exceed the present
value of the aggregate debt service of the bonds or notes so to be
refunded or repaid. For the purpose of this section, the present value
of the aggregate debt service of the refunding or repayment bonds or
notes and the aggregate debt service of the bonds or notes refunded or
repaid shall be calculated by utilizing the effective interest rate of
the refunding or repayment of bonds or notes, which shall be that rate
arrived at by doubling the semi-annual interest rate (compounded
semi-annually) necessary to discount the debt service payments on the
refunding or repayment of bonds or notes from payment of dates thereof
to the date of issue of the refunding or repayment of bonds or notes and
to the price bid including estimated accrued interest from the sale
thereof. The authority shall have the power and is hereby authorized to
enter into such agreements and perform such acts as may be required
under any applicable federal legislation to secure a federal guarantee
to any bonds.
2. The authority shall have the power from time to time to renew bonds
or to issue renewal bonds for such purpose, to issue bonds to pay bonds,
and, whenever it deems refunding expedient, to refund any bond by the
issuance of new bonds, whether the bonds to be refunded have or have not
matured, and may issue bonds, partly to refund bonds then outstanding
and partly for any other purpose of the authority. Bonds issued for
refunding purposes shall be sold and the proceeds applied to the
purchase, redemption or payment of the bonds or notes to be refunded.
3. Bonds issued by the authority may be general obligations secured by
the faith and credit of the authority or may be special obligations
payable solely out of particular revenues or other monies as may be
designated in the proceedings of the authority under which the bonds
shall be authorized to be issued, subject as to priority only to any
agreements with the holders of outstanding bonds pledging any particular
property, revenues or monies. The authority may also enter into loan
agreements, lines of credit and other security agreements and obtain for
or on its behalf letters of credit, insurance, guarantees or other
credit enhancements to the extent now or hereafter available, in each
case for securing its bonds or to provide direct payment of any costs
which the authority is authorized to pay.
4. (a) Bonds shall be authorized by resolution of the authority, be in
such denominations and bear such date or dates and mature at such time
or times, as such resolution may provide, provided that bonds and
renewals thereof shall mature within thirty years from the date of
original issuance of any such bonds.
(b) Bonds shall be subject to such terms of redemption, bear interest
at such rate or rates, be payable at such times, be in such form, either
coupon or registered, carry such registration privileges, be executed in
such manner, be payable in such medium of payment at such place or
places, and be subject to such terms and conditions as such resolution
may provide. Notwithstanding any other provision of law, the bonds of
the authority issued pursuant to this section shall be sold to the
bidder offering the lowest true interest cost, taking into consideration
any premium or discount not less than four nor more than fifteen days,
Sunday excepted, after a notice of such sale has been published at least
once in a newspaper of general circulation in the area served by the
authority, which shall state the terms of the sale. The terms of the
sale may not change unless notice of such change is published in such
newspaper at least one day prior to the date of the sale as set forth in
the original notice of sale. Advertisements shall contain a provision to
the effect that the authority, in its discretion, may reject any or all
bids made pursuant to such advertisements, and in the event of such
rejection, the authority is authorized to negotiate a private or public
sale or readvertise for bids in the form and manner above described as
many times as, in its judgment, may be necessary to effect satisfactory
sale.
(c) Notwithstanding the provisions of the preceding paragraph,
whenever in the judgment of the authority the interests of the authority
will be served thereby, the members of the authority, on the written
recommendation of the chairperson may authorize the sale of such bonds
at private or public sale on a negotiated basis or on either a
competitive or negotiated basis. The authority shall set guidelines
governing the terms and conditions of any such private or public sales.
The private or public bond sale guidelines set by the authority shall
include, but not be limited to, a requirement that where the interests
of the authority will be served by a private or public sale of bonds,
the authority shall select underwriters taking into account, among other
things, qualifications of underwriters as to experience, their ability
to structure and sell authority bond issues, anticipated costs to the
authority, the prior experience of the authority with the firm, if any,
the capitalization of such firms, participation of qualified minority
and women-owned business enterprise firms in such private or public
sales of bonds of the authority and the experience and ability of firms
under consideration to work with minority and women-owned business
enterprises so as to promote and assist participation by such
enterprises.
(d) The authority shall have the power from time to time to amend such
private bond sale guidelines in accordance with the provisions of this
subdivision.
(e) No private or public bond sale on a negotiated basis shall be
conducted by the authority without prior approval of the state
comptroller. The authority shall annually prepare and approve a bond
sale report which shall include the private or public bond sale
guidelines as specified in this subdivision, amendments to such
guidelines since the last private or public bond sale report, an
explanation of the bond sale guidelines and amendments, and the results
of any sale of bonds conducted during the fiscal year. Such bond sale
report may be a part of any other annual report that the authority is
required to make.
(f) The authority shall annually submit its bond sale report to the
state comptroller and copies thereof to the senate finance committee and
the assembly ways and means committee.
(g) The authority shall make available to the public copies of its
bond sale report upon reasonable request thereof.
(h) Nothing contained in this subdivision shall be deemed to alter,
affect the validity of, modify the terms of, or impair any contract or
agreement made or entered into in violation of, or without compliance
with, the provisions of this subdivision.
5. Any resolution or resolutions authorizing bonds or any issue of
bonds by the authority may contain provisions which may be a part of the
contract with the holders of the bonds thereby authorized as to:
(a) Pledging all or part of the revenues, together with any other
monies or property of the authority to secure the payment of the bonds,
or any costs of issuance thereof, including but not limited to, any
contracts, earnings or proceeds of any grant to the authority received
from any private or public source subject to such agreements with
bondholders as may then exist;
(b) The setting aside of reserves and the creation of sinking funds
and the regulation and disposition thereof;
(c) Limitations on the purpose to which the proceeds from the sale of
bonds may be applied;
(d) The rates, rents, fees and other charges to be fixed and collected
by the authority and the amount to be raised in each year thereby and
the use and disposition of revenues;
(e) Limitations on the right of the authority to restrict and regulate
the use of the project or part thereof in connection with which bonds
are issued;
(f) Limitations on the issuance of additional bonds, the terms upon
which additional bonds may be issued and secured and the refunding of
outstanding or other bonds;
(g) The procedure, if any, by which the terms of any contract with
bondholders may be amended or abrogated, including the proportion of
bondholders which must consent thereto, and the manner in which such
consent may be given;
(h) The creation of special funds into which any revenues or monies
may be deposited;
(i) The terms and provisions of any trust, mortgage, deed or indenture
securing the bonds under which the bonds may be issued;
(j) Vesting in a trustee or trustees such properties, rights, powers
and duties in trust as the authority may determine which may include any
or all of the rights, powers and duties of the trustees appointed by the
bondholders pursuant to this title or limiting the rights, duties and
powers of such trustee;
(k) Defining the acts or omissions to act which may constitute a
default in the obligations and duties of the authority to the
bondholders and providing for the rights and remedies of the bondholders
in the event of such default, including as a matter of right appointment
of a receiver, provided, however, that such acts or omissions to act
which may constitute a default and such rights and remedies shall not be
inconsistent with the general laws of the state and other provisions of
this title;
(l) Limitations on the power of the authority to sell or otherwise
dispose of any project or any part thereof or other property;
(m) Limitations on the amount of revenues and other monies to be
expended or operating, administrative or other expenses of the
authority;
(n) The payment of the proceeds of bonds, revenues and other monies to
a trustee or other depository, and for the method of disbursement
thereof with such safeguards and restrictions as the authority may
determine; and
(o) Any other matters of like or different character which in any way
affect the security or protection of the bonds or the rights and
remedies of the bondholders.
6. In addition to the powers herein conferred upon the authority to
secure its bonds, the authority shall have the power in connection with
the issuance of bonds to adopt resolutions and enter into such trust
indentures, agreements or other instruments as the authority may deem
necessary, convenient or desirable concerning the use or disposition of
its revenues or other monies or property, including the mortgaging of
any property and the entrusting, pledging or creation of any other
security interest in any such revenues, monies or property and the doing
of any act, including refraining from doing any act which the authority
would have the right to do in the absence of such resolutions, trust
indentures, agreements or other instruments. The authority shall have
power to enter into amendments of any such resolutions, trust
indentures, agreements or other instruments within the powers granted to
the authority by this title and to perform such resolutions, trust
indentures, agreements or other instruments. The provisions of any such
resolutions, trust indentures, agreements or other instruments may be
made a part of the contract with the holders of bonds of the authority.
7. Any provision of the uniform commercial code to the contrary
notwithstanding, any pledge of or other security interest in revenues,
monies, accounts, contract rights, general intangibles or other personal
property made or created by the authority shall be valid, binding and
perfected from the time when such pledge is made or other security
interest attaches without any physical delivery of the collateral or
further act, and the lien of any such pledge or other security interest
shall be valid, binding and perfected against all parties having claims
of any kind in tort, contract or otherwise against the authority
irrespective of whether or not such parties have notice thereof. No
instrument by which such a pledge or security interest is created nor
any financing statement need be recorded or filed.
8. Whether or not the bonds of the authority are of such form and
character as to be negotiable instruments under the terms of the uniform
commercial code, the bonds are hereby made negotiable instruments within
the meaning of and for all the purposes of the uniform commercial code,
subject only to the provisions of the bonds for registration.
9. Neither the members nor the officers of the authority nor any
person executing its bonds shall be liable personally on its bonds or be
subject to any personal liability or accountability by reason of the
issuance thereof.
10. Subject to such agreements with bondholders as may then exist, the
authority shall have power out of any funds available therefor to
purchase bonds of the authority, in lieu of redemption, at a price not
exceeding, if the bonds are then redeemable, the redemption price then
applicable plus accrued interest to the next interest payment date, or,
if the bonds are not then redeemable, the redemption price applicable on
the first date after such purchase upon which the bonds become subject
to redemption plus accrued interest to the next interest payment date.
Bonds so purchased shall thereupon be canceled.
11. The authority shall have power and is hereby authorized to issue
negotiable bond anticipation notes in conformity with applicable
provisions of the uniform commercial code and in accordance with section
21.00 of the local finance law, as amended from time to time.
§ 2666. Bonds; legal investment for fiduciaries.
The bonds of the
authority are hereby made securities in which all public officers and
bodies of the state and all municipalities, all insurance companies and
associations and other persons carrying on an insurance business, all
banks, bankers, trust companies, savings banks and saving associations,
including savings and loan associations, building and loan associations,
investment companies and other persons carrying on a banking business,
and administrators, guardians, executors, trustees and other fiduciaries
and all other persons whatsoever, who are now or may hereafter be
authorized to invest in bonds or other obligations of the state may
properly and legally invest funds including capital in their control or
belonging to them. The bonds are also hereby made securities which may
be deposited with and may be received by all public officers and bodies
of the state and all municipalities for any purposes for which the
deposit of bonds or other obligations of this state is now or hereafter
may be authorized.
§ 2667. Tax exemption and tax contract by the state.
1. It is hereby
determined that the creation of the authority and the carrying out of
its corporate purposes is in all respects for the benefit of the people
of the state of New York and is a public purpose. Accordingly, the
authority shall be regarded as performing an essential governmental
function in the exercise of the powers conferred upon it by this title.
The property of the authority, its income and operations shall be exempt
from taxation, assessments, special assessments and special ad valorem
levies; the authority shall not be required to pay any fees, taxes,
special ad valorem levies or assessments of any kind, whether state or
local, including but not limited to fees, taxes, special ad valorem
levies or assessments on real property, franchise taxes, sales taxes or
other taxes, upon or with respect to any property owned by it or under
its jurisdiction, control or supervision, or upon the uses thereof, or
upon or with respect to its activities or operations in furtherance of
the powers conferred upon it by this title, or upon or with respect to
any fares, tolls, rentals, rates, charges, fees, revenues or other
income received by the authority.
2. Bonds issued pursuant to this title together with the income
therefrom shall at all times be exempt from taxation.
3. The state hereby covenants with the purchasers and with all
subsequent holders and transferees of bonds issued by the authority
pursuant to this title, in consideration of the acceptance of and
payment for the bonds, that the bonds of the authority issued pursuant
to this title and the income therefrom and all revenues, monies, and
other property pledged to pay or to secure the payment of such bonds
shall at all times be free from taxation.
4. The authority may pay, or may enter into agreements with the county
or any municipality to pay, a sum or sums annually or otherwise or to
provide other considerations with respect to the real property owned by
the authority located within the county or such municipality.
5. Notwithstanding subdivision four of this section, any project
authorized by paragraphs (d), (m) and (n) of subdivision eight of
section twenty-six hundred fifty-five of this title except government
office space, building or facilities shall be exempt from real property
taxation, calculated not to exceed the following: ten years of full
exemption followed by one year of exemption from eighty percent of such
taxation, followed by one year of exemption from sixty percent of such
taxation, followed by one year of exemption from forty percent of such
taxation, followed by one year of exemption from twenty percent of such
taxation.
§ 2668. Remedies of bondholders.
Subject to any resolution or
resolutions adopted pursuant to this title:
1. In the event that the authority shall default in the payment of
principal of or interest on any issue of bonds after the same shall
become due, whether at maturity or upon call for redemption, and such
default shall continue for a period of thirty days, or in the event that
the authority shall fail or refuse to comply with the provisions of this
title or shall default in any agreement made with the holders of any
issue of bonds, the holders of twenty-five percent in aggregate
principal amount of the bonds of such issue then outstanding, by
instrument or instruments filed in the office of the clerk of the county
in which the principal office of the authority is located and proved or
acknowledged in the same manner as a deed to be recorded, may appoint a
trustee to represent the holders of such bonds for the purpose herein
provided.
2. Such trustee may, and upon written request of the holders of
twenty-five per centum in principal amount of such bonds outstanding
shall, in its own name:
(a) By action or proceeding in accordance with the civil practice law
and rules, enforce all rights of the bondholders, including the right to
require the authority to collect rents, rates, fees and charges adequate
to carry out any agreement as to, or pledge of, such rents, rates, fees
and charges and to require the authority to carry out any other
agreements with the holders of such bonds to perform its duties under
this title;
(b) Bring an action or proceeding upon such bonds;
(c) By action or proceeding, require the authority to account as if it
were the trustee of an express trust for the holders of such bonds;
(d) By action or proceeding, enjoin any acts or things which may be
unlawful or in violation of the rights of the holders of such bonds; and
(e) Declare all such bonds due and payable, and if all defaults shall
be made good, then with the consent of the holders of the twenty-five
per centum of the principal amount of such bonds then outstanding, to
annul such declaration and its consequences.
3. Such trustee shall in addition to the foregoing have and possess
all of the powers necessary or appropriate for the exercise of any
functions specifically set forth herein or incident to the general
representation of bondholders in the enforcement and protection of their
rights.
4. The supreme court shall have jurisdiction of any action or
proceeding by the trustee on behalf of such bondholders. The venue of
any such action or proceeding shall be laid in the county.
5. Before declaring the principal of bonds due and payable, the
trustee shall first give thirty days notice in writing to the authority.
6. Any such trustee, whether or not the issue of bonds represented by
such trustee has been declared due and payable, shall be entitled as of
right to the appointment of any receiver of any part or parts of the
project, the revenues of which are pledged for the security of the bonds
of such issue, and such receiver may enter and take possession of such
part or parts of the project and, subject to any pledge or agreement
with the holders of such bonds, shall take possession of all monies and
other property derived from such part or parts of the project and
proceed with any construction thereon or the acquisition of any
property, real or personal, in connection therewith that the authority
is under obligation to do, and to operate, maintain and reconstruct such
part or parts of the project and collect and receive all revenues
thereafter arising therefrom subject to any pledge or agreement with
bondholders relating thereto and perform the public duties and carry out
the agreements and obligations of the authority under the direction of
the court. In any suit, action or proceeding by the trustee, the fees,
counsel fees and expenses of the trustee and of the receiver, if any,
shall constitute taxable disbursements and all costs and disbursements
allowed by the court shall be a first charge on any revenues derived
from the properties.
§ 2669. State, county and municipalities not liable on bonds.
Neither
the state, the county nor any municipality therein shall be liable on
the bonds or notes of the authority and such bonds or notes shall not be
a debt of the state, the county or of any municipality therein and such
bonds and notes shall contain on the face thereof a statement to such
effect.
§ 2669-a. Agreement with state.
The state does hereby pledge to and
agree with the holders of any bonds issued by the authority pursuant to
this title and secured by a pledge, and with those persons or public
authorities who may enter into contracts with the authority pursuant to
the provisions of this title that the state will not alter, limit or
impair the rights hereby vested in the authority to purchase, construct,
own and operate, maintain, repair, improve, reconstruct, renovate,
rehabilitate, enlarge, increase and extend, or dispose of any project,
or any part or parts thereof for which bonds of the authority shall have
been issued, to establish and collect rates, rents, fees and other
charges referred to in this title, to fulfill the terms of any contracts
or agreements made with or for the benefit of the holders of bonds or
with any person or public authority with reference to such project or
part thereof, or in any way to impair the rights and remedies of the
holders of bonds, until the bonds, together with interest thereon,
including interest on any unpaid installments of interest, and all costs
and expenses in connection with any action or proceeding by or on behalf
of the holders of bonds, are fully met and discharged and such contracts
are fully performed on the part of the authority. The authority is
authorized to include this pledge and agreement of the state in any
agreement with the holders of bonds. Nothing contained in this title
shall be deemed to restrict the right of the state to amend, modify,
repeal or otherwise alter statutes imposing or relating to taxes or fees
or appropriations relating thereto. The authority shall not include in
any resolution, contract or agreement with the holders of its bonds, or
such persons or public authorities who may enter into contracts with the
authority, any provision stating that, as a result of the state
exercising its right to amend, repeal, modify or otherwise alter any
such tax, fee or appropriation a default will occur. Nothing in this
title shall be deemed to obligate the state to make additional payments
or impose any taxes to satisfy the debt service obligations of the
authority.
§ 2669-b. Agreement with county.
1. The county is authorized to pledge
to and agree with the holders of any bonds issued by the authority
pursuant to this title and secured by such a pledge, and with those
persons or public authorities who may enter into contracts with the
authority pursuant to the provisions of this title that the county will
not alter, limit or impair the rights hereby vested in the authority to
purchase, construct, own and operate, maintain, repair, improve,
reconstruct, renovate, rehabilitate, enlarge, increase and extend, or
dispose of any project, or any part or parts thereof, for which bonds of
the authority shall have been issued, to establish, collect and adjust
rates, rents, fees and other charges referred to in this title, to
fulfill the terms of any agreements made with the holders of the bonds
or with any public authority or person with reference to such project or
part thereof, or in any way impair the rights and remedies of the
holders of bonds, until the bonds, together with interest thereon,
including interest on any unpaid installments of interest, and all costs
and expenses in connection with any action or proceeding by or on behalf
of the holders of bonds, are fully met and discharged and such contracts
are fully performed on the part of the authority.
2. (a) Nothing contained in this title shall be deemed to restrict the
right of the county to repeal the sales and compensating use taxes
imposed pursuant to the authority of section twelve hundred ten-C of the
tax law, provided such county imposes sales and compensating use taxes
pursuant to the authority of section twelve hundred ten of the tax law
at a rate not less than one-half of one percent, or, if the county does
not impose such taxes pursuant to the authority of section twelve
hundred ten-C of the tax law, to reduce the rate of such taxes imposed
pursuant to the authority of such section twelve hundred ten of the tax
law to a rate not less than one-half of one percent, or to amend, modify
or otherwise alter such taxes or appropriations relating thereto or to
amend, modify, repeal or otherwise alter other taxes or fees or
appropriations relating thereto.
(b) The authority shall not include in any resolution, contract or
agreement with the holders of its bonds, or such persons or public
authorities who may enter into contracts with the authority, any
provision stating that, as a result of the county exercising its right
to reduce, as described in paragraph (a) of this subdivision, the rate
of, amend, modify or otherwise alter such sales and compensating use
taxes or related appropriations, or its right to amend, repeal, modify
or otherwise alter any such other tax, fee or appropriation a default
will occur.
3. Nothing in this title shall be deemed to obligate the county to
make additional payments or impose any taxes to satisfy the debt service
obligations of the authority.
§ 2670. Actions against authority.
1. Except in an action for wrongful
death, no action or special proceeding shall be prosecuted or maintained
against the authority, its members, officers or employees for personal
injury or damage to real or personal property alleged to have been
sustained by reason of the negligence, tort or wrongful act of the
authority or of any member, officer, agent or employee thereof, unless
(a) notice of claim shall have been made and served upon the authority
within the time limit set by and in compliance with section fifty-e of
the general municipal law, (b) it shall appear by and as an allegation
in the complaint or moving papers that at least thirty days have elapsed
since the service of such notice and that adjustment or payment thereof
has been neglected or refused, (c) the action or special proceeding
shall be commenced within one year and ninety days after the happening
of the event upon which the claim is based, and (d) an action, against
the authority for wrongful death shall be commenced in accordance with
the notice of claim and time limitation provisions of title eleven of
article nine of this chapter.
2. Whenever a notice of claim is served upon the authority, it shall
have the right to demand an examination of the claimant relative to the
occurrence and extent of the injuries or damages for which claim is
made, in accordance with the provisions of section fifty-h of the
general municipal law.
3. The authority may require any person presenting for settlement an
account or claim for any cause whatsoever against the authority to be
sworn before a member, counsel or an attorney, officer or employee of
the authority designated for such purpose, concerning such account or
claim and, when so sworn, to answer orally as to any facts relative to
such account or claim. The authority shall have power to settle or
adjust all claims in favor of or against the authority.
4. Any action or proceeding to which the authority or the people of
the state may be parties, in which any question arises as to the
validity of this title, shall be preferred over all other civil causes
of action or cases, except election causes of action or cases, in all
courts of the state and shall be heard and determined in preference to
all other civil business pending therein except election causes,
irrespective of position on the calendar. The same performance shall be
granted upon application of the authority or its counsel in any action
or proceeding questioning the validity of this title in which the
authority may be allowed to intervene. The venue of any such action or
proceeding shall be laid in the supreme court of the county.
5. The rate of interest to be paid by the authority upon any judgment
for which it is liable, other than a judgment on its bonds, shall be the
rate prescribed by section five thousand four of the civil practice law
and rules. Interest on payments of principal or interest on any bonds in
default shall accrue at the rate borne by such bonds from the due date
thereof until paid or otherwise satisfied.
6. All actions or proceedings against the authority of whatever nature
shall be brought in the supreme court of Schenectady county.
§ 2671. Limitation of liability; indemnification.
1. Neither the
members of the authority nor any person acting in its behalf, while
acting within the scope of their authority, shall be subject to any
personal liability resulting from carrying out any of the powers
expressly given in or authorized by this title.
2. The board shall elect the provisions of section eighteen of the
public officers law to apply to the members, officers, employees and
agents of the authority in connection with any and all claims, demands,
suits, actions or proceedings which may be made or brought against any
of them arising out of any determinations made or actions taken or
failed to be taken in compliance with any obligations under or pursuant
to the terms of this title.
§ 2672. Assistance by state officers, departments, boards and commissions.
The department of audit and control, department of law,
and all other state officers, agencies, departments, boards, divisions
offices, and commissions may render such services to the authority
within their respective functions as may be requested by the authority.
Notwithstanding the provisions of any other law to the contrary, the
commissioner of the office of general services is authorized to enter
into a contract, from time to time, on behalf of and in the name of the
state of New York, upon terms and conditions which are fair and
equitable, for the conveyance of unappropriated state lands and lands
under water which the authority shall certify to be necessary or
desirable for the corporate purposes of the authority.
§ 2673. Audit, annual report, county approval of certain projects.
1.
The accounts of the authority shall be subject to the supervision of the
state comptroller and an annual audit shall be performed by an
independent certified public accountant. The authority shall annually
submit to the county legislature, governor, state comptroller,
chairperson of the senate finance committee, and chairperson of the
assembly ways and means committee a detailed report pursuant to the
provisions of section twenty-eight hundred of this chapter, and a copy
of such report shall be filed with the clerk of the county legislature.
2. The authority shall not undertake any project unless it shall have
first been approved by a majority vote of the county legislature. The
provisions of this subdivision shall not apply, and no approval of the
county legislature shall be necessary, when: (a) the direct expenditure
of funds used to complete such project is not anticipated to exceed ten
million dollars in funds derived from the authority's share of the
dedicated net collections described in subdivision nine of section
twenty-six hundred sixty-one of this title, and the interest on
one-third or less of bonds or notes that shall be issued for such
project pursuant to this title shall be includable, under the United
States Internal Revenue Code of 1986, as amended, or any subsequent
corresponding internal revenue law of the United States, in gross income
of the holders of the bonds or notes to the same extent and in the same
manner that the interest on bills, bonds, notes or other obligations of
the United States is includable in the gross income of the holders
thereof under the code or any of the subsequent laws; or (b)
notwithstanding the provisions of paragraph (a) of this subdivision, no
bonding is necessary; or (c) notwithstanding the provisions of paragraph
(a) of this subdivision, solely where the action of the authority is
site acquisition, site preparation or infrastructure development.
§ 2674. Separability.
If any provision of any section of this title
or the application thereof to any person or circumstance shall be
adjudged invalid by a court of competent jurisdiction, such order or
judgment shall be confined in its operation to the controversy in which
it was rendered, and shall not affect or invalidate the remainder of any
provision of any section of this title or the application of any part
thereof to any other person or circumstance and to this end the
provisions of each section of this title are hereby declared to be
severable.
Insofar as the provisions of this title are inconsistent with the
provisions of any other law, general, special or local, the provisions
of this title shall be controlling.
