STATE OF NEW YORK
________________________________________________________________________
8871
IN ASSEMBLY(Prefiled)
January 4, 2012
___________
Introduced by M. of A. CASTELLI -- read once and referred to the Commit-
tee on Corporations, Authorities and Commissions
AN ACT to amend the public authorities law, in relation to the village
of Mount Kisco parking authority; and to repeal title 16 of article 7
of such law relating thereto
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Title 16 of article 7 of the public authorities law, as
2 added by chapter 276 of the laws of 1971, is REPEALED.
3 § 2. Article 7 of the public authorities law is amended by adding a
4 new title 16 to read as follows:
5 TITLE 16
6 VILLAGE OF MOUNT KISCO PARKING AUTHORITY
7 Section1599-aaa.Short title.
8 1599-bbb.Definitions.
9 1599-ccc.Mount Kisco parking authority.
10 1599-ddd.Purpose and powers of the authority.
11 1599-eee.Civil service status of officers and employees.
12 1599-fff.Conveyance of property by the village to the authori-
13 ty; acquisition of property by the village or by the
14 authority.
15 1599-ggg.Construction contracts.
16 1599-hhh.Moneys of the authority.
17 1599-iii.Bonds of the authority.
18 1599-jjj.Notes of the authority.
19 1599-kkk.Agreements of the village.
20 1599-lll.State and village not liable on bonds.
21 1599-mmm.Bonds legal investments for public officers.
22 1599-nnn.Tax exemptions.
23 1599-ooo.Tax contract by the state.
24 1599-ppp.Remedies of bondholders.
25 1599-qqq.Actions against the authority.
26 1599-rrr.Termination of the authority.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD13495-01-1
A. 8871 2
1 1599-sss.Title not affected if in part unconstitutional or
2 ineffective.
3 1599-ttt.Inconsistent provisions in other acts superseded.
4 § 1599-aaa. Short title. This title may be cited as the "Mount Kisco
5 Parking Authority Act."
6 § 1599-bbb. Definitions. As used or referred to in this title, unless
7 a different meaning clearly appears from the context:
8 (a) The term "authority" shall mean the corporation created by section
9 three of this title;
10 (b) The term "village" shall mean the village of Mount Kisco;
11 (c) The term "bonds" shall mean the bonds authorized in this title;
12 (d) The term "board" shall mean the members of the authority;
13 (e) The term "real property" shall mean lands, structures, franchises,
14 and interest in lands, and any and all things usually included within
15 the said term, and includes not only fees simple absolute but also any
16 and all lesser interests, such as easements, rights of way, uses, leas-
17 es, licenses, and all other incorporeal hereditaments and every estate,
18 interest or right, legal or equitable, including terms of years, and
19 liens thereon by way of judgments, mortgages or otherwise, and also
20 claims for damage to real estate, in the area of the village;
21 (f) The term "project" shall mean any area or place operated or to be
22 operated by the authority for the parking or storing of motor and other
23 vehicles and shall, without limiting the foregoing, include all real and
24 personal property, driveways, roads, approaches, structures, terminals
25 of all kinds, garages, meters, mechanical equipment, and all appurte-
26 nances and facilities either on, above or under the ground which are
27 used or usable in connection with such parking or storing of such vehi-
28 cles in the area of the village;
29 (g) The term "projects" shall mean more than one project.
30 § 1599-ccc. Mount Kisco parking authority. A board to be known as
31 "Mount Kisco parking authority" is hereby created. Such board shall be a
32 body corporate, constituting a public benefit corporation, and its
33 existence shall commence upon the appointment of the members as herein
34 provided. It shall consist of a chairman and four other members, who
35 shall be appointed by the mayor with the approval of the board of trus-
36 tees of the village. Of the members first appointed, one shall be
37 appointed for a period of one year, one for a period of two years, one
38 for a period of three years, one for a period of four years, and one for
39 a period of five years. At the expiration of such terms, the terms of
40 office of their successors shall be five years. Each member shall
41 continue to serve until the appointment and qualification of his succes-
42 sor. Vacancies in such board occurring otherwise than by the expiration
43 of term shall be filled for the unexpired term. The members of the board
44 shall choose from their number a vice-chairman. The board of trustees
45 may remove any member of the board for inefficiency, neglect of duty or
46 misconduct in office, giving him a copy of the charges against him and
47 an opportunity of being heard in person, or by counsel, in his defense
48 upon not less than ten days' notice. The members of the board shall be
49 entitled to no compensation for their services but shall be entitled to
50 reimbursement for their actual and necessary expenses incurred in the
51 performance of their official duties. The powers of the authority shall
52 be vested in and exercised by a majority of the members of the board
53 then in office. Such board may delegate to one or more of its members or
54 to its officers, agents and employees such powers and duties as it may
55 deem proper. Such board and its corporate existence shall continue only
56 for a period of five years, and thereafter until all its liabilities
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1 have been met and its bonds have been paid in full or such liabilities
2 or bonds have otherwise been discharged. Upon its ceasing to exist, all
3 its rights and properties shall pass to the village.
4 § 1599-ddd. Purpose and powers of the authority. The purpose of the
5 authority shall be to construct, operate and maintain one or more
6 projects in the village. To carry out said purpose, the authority shall
7 have power:
8 (a) To sue and be sued;
9 (b) To have a seal and alter the same at pleasure;
10 (c) To acquire, hold and dispose of personal property for its corpo-
11 rate purposes, including the power to purchase prospective or tentative
12 awards in connection with the condemnation of real property;
13 (d) To acquire, in the name of the village by purchase or condemna-
14 tion, and use necessary real property. All real property acquired by the
15 authority by condemnation shall be acquired in the manner provided in
16 the condemnation law or in the manner provided by law for the condemna-
17 tion of land by the village, and further provided, that the authority
18 shall give the board of trustees of the village written notice of its
19 intent to acquire any land by condemnation, whereupon said board of
20 trustees, within a period of forty-five days after the giving of such
21 notice, by resolution voted upon affirmatively by at least four members
22 of such board of trustees, may determine that such land shall not be so
23 acquired, in which event the authority shall be without further power to
24 so acquire the same by condemnation;
25 (e) To make by-laws for the management and regulation of its affairs,
26 and, subject to agreements with bondholders, for the regulation of the
27 project;
28 (f) With the consent of the village to use agents, employees and
29 facilities of the village, paying to the village its agreed proportion
30 of the compensation or costs;
31 (g) To appoint officers, agents and employees, to prescribe their
32 qualifications and to fix their compensation; subject, however, to the
33 provisions of the civil service law, as hereinafter provided; to desig-
34 nate officers and employees, appointed or used by the authority, as
35 hereinabove specified, who shall be empowered to issue appearance tick-
36 ets as provided for in article one hundred fifty of the criminal proce-
37 dure law. Persons so designated are hereby authorized to issue and serve
38 such tickets for traffic infractions relating to parking within
39 "project" areas as defined herein, in accordance with law and when
40 authorized by local law of the town of Mount Kisco or the village to
41 issue and serve such tickets for traffic infractions committed anywhere
42 in such town or such village including at parking spaces controlled by
43 parking meters;
44 (h) To appoint an attorney, who may be the village attorney, and to
45 fix his compensation;
46 (i) To make contracts and leases, and to execute all instruments
47 necessary or convenient;
48 (j) To construct such buildings, structures and facilities as may be
49 necessary;
50 (k) To reconstruct, improve, maintain and operate the projects;
51 (l) To accept grants, loans or contributions from the United States,
52 the state of New York, or any agency or instrumentality of either of
53 them, or the village, or an individual, by bequest or otherwise, and to
54 expend the proceeds for any purposes of the authority;
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1 (m) To fix and collect rentals, fees and other charges for the use of
2 the projects or any of them subject to and in accordance with such
3 agreements with bondholders as may be made as hereinafter provided;
4 (n) To construct, operate or maintain in the projects all facilities
5 necessary or convenient in connection therewith; and to contract for the
6 construction, operation or maintenance of any parts thereof or for
7 services to be performed; to rent parts thereof, and grant concessions,
8 all on such terms and conditions as it may determine; provided, however,
9 that neither the authority, the village of Mount Kisco, or any agency of
10 the authority or village, or any other person, firm or corporation
11 shall, within or on any property comprising a part of any project
12 authorized by this title, sell, dispense or otherwise handle any product
13 used in or for the servicing of any motor vehicle using any project or
14 facility authorized by this title.
15 § 1599-eee. Civil service status of officers and employees. Officers
16 and employees of any board, commission or department of the village may
17 be transferred to the authority in accordance with the provisions of the
18 civil service law and shall be eligible for such transfer and appoint-
19 ment without examination to offices and positions under the authority.
20 Officers and employees of the village who are members or beneficiaries
21 of any existing pension or retirement system shall continue to have the
22 rights, privileges, obligations and status with respect to such system
23 or systems as are now prescribed by law, and all such employees who have
24 been appointed to positions in the service of the village under the
25 rules of the municipal civil service commission of the village shall
26 have the same status with respect thereto after transfer to the authori-
27 ty as they had under their original appointments. The appointment and
28 promotion of all employees of the authority shall be made in accordance
29 with the provisions of the civil service law and the rules of the
30 village civil service commission.
31 § 1599-fff. Conveyance of property by the village to the authority;
32 acquisition of property by the village or by the authority. (a) The
33 village may, by resolution or resolutions of the board of trustees or by
34 instruments authorized by such resolutions, convey, with or without
35 consideration, to the authority real and personal property owned by the
36 village for use by the authority as a project or projects or a part
37 thereof. In case of real property so conveyed, the title thereto shall
38 remain in the village but the authority shall have the use and occupancy
39 thereof for so long as its corporate existence shall continue. In the
40 case of personal property so conveyed, the title shall pass to the
41 authority.
42 (b) The village may acquire in the name of the village by purchase or
43 condemnation real property in the village for any of the projects or for
44 the widening of existing roads, streets, avenues or highways, or for new
45 roads, streets, avenues or highways, within a radius of one mile to any
46 of the projects, or partly for such purposes and partly for other
47 village purposes, by purchase or condemnation in the manner provided by
48 law for the acquisition of real property by the village. For like
49 purposes, the village may close such streets, roads, avenues, or high-
50 ways as may be necessary or convenient, except as to state highways and
51 arterial ways which may not be closed without the consent of the state
52 commissioner of transportation.
53 (c) Contracts may be entered into between the village and the authori-
54 ty providing for the property to be conveyed by the village to the
55 authority, the additional property to be acquired by the village and so
56 conveyed, the streets, roads, avenues, and highways to be closed by the
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1 village and the amounts, terms and conditions of payment to be made by
2 the authority. Such contracts may also contain covenants by the village
3 as to the road, street, avenue and highway improvements to be made by
4 the village. Any such contracts between the village and the authority
5 may be pledged by the authority to secure its bonds and may not be modi-
6 fied thereafter except as provided by the terms of the pledge. The board
7 of trustees may authorize such contracts between the village and the
8 authority and no other authorization on the part of the village for such
9 contracts shall be necessary. Any such contracts may be so authorized
10 and entered into by the village and in such manner as the board of trus-
11 tees may determine, and the payments required to be made by the village
12 may be made and financed notwithstanding that no provision therefor
13 shall have first been made in the capital budget of the village. All
14 contractual or other obligations of the village incurred in carrying out
15 the provisions of this title shall be included in and provided for by
16 each capital budget of the village thereafter made, if and to the extent
17 that they may appropriately be included therein.
18 (d) Subject to the provisions of subdivision (d) of section fifteen
19 hundred ninety-nine-ddd of this title, the authority may itself acquire
20 real property for a project in the name of the village at the cost and
21 expense of the authority by purchase or condemnation pursuant to the
22 eminent domain procedure law or pursuant to the laws relating to the
23 condemnation of land by the village. The authority shall have the use
24 and occupancy of such real property so long as its corporate existence
25 shall continue.
26 (e) In case the authority shall have the use and occupancy of any real
27 property which it shall determine is no longer required for a project
28 then, if such real property was acquired at the cost and expense of the
29 village, the authority shall have power to surrender its use and occu-
30 pancy thereof to the village, or, if such real property was acquired at
31 the cost and expense of the authority, then the authority shall have
32 power to sell, lease or otherwise dispose of said real property at
33 public or private sale, and shall retain and have the power to use the
34 proceeds of sale, rentals, or other moneys derived from the disposition
35 thereof for its purposes.
36 § 1599-ggg. Construction contracts. The authority shall let contracts
37 for construction in the same manner, so far as practicable, as is
38 provided by law, for contracts of the village, except that where the
39 estimated expense of a contract does not exceed twenty-five hundred
40 dollars, such contract may be entered into without public letting.
41 Nothing in this section shall be construed to limit the power of the
42 authority to do any construction directly by the officers, agents and
43 employees of the authority.
44 § 1599-hhh. Moneys of the authority. All moneys of the authority shall
45 be paid to the treasurer of the village as agent of the authority, who
46 shall not commingle such moneys with any other moneys. Such moneys shall
47 be deposited in a separate bank account or accounts. The moneys in such
48 accounts shall be paid out by the treasurer on requisition of the chair-
49 man of the authority or of such person or persons as the authority may
50 authorize to make such requisitions after audit by the treasurer. All
51 deposits of such moneys shall, if required by the treasurer or the
52 authority, be secured by obligations of the United States or of the
53 state of New York of a market value equal at all times to the amount of
54 the deposit, and all banks and trust companies are authorized to give
55 such security for such deposits. The treasurer and his legally author-
56 ized representatives are authorized and empowered from time to time to
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1 examine the accounts and books of the authority, including its receipts,
2 disbursements, contracts, leases, sinking funds, investments and any
3 other records and papers relating to its financial standing. The author-
4 ity shall have power, notwithstanding the provisions of this section, to
5 contract with the holders of any of its bonds as to the custody,
6 collection, securing, investment and payment of any moneys of the
7 authority or any moneys held in trust or otherwise for the payment of
8 bonds or in any way to secure bonds, and to carry out any such contract
9 notwithstanding that such contract may be inconsistent with the previous
10 provisions of this section. Moneys held in trust or otherwise for the
11 payment of bonds or in any way to secure bonds and deposits of such
12 moneys may be acquired in the same manner as moneys of the authority,
13 and all banks and trust companies are authorized to give such security
14 for such deposits. The accounts of the authority shall be subject to the
15 supervision of the state comptroller and he or his legally authorized
16 representatives are hereby authorized and empowered from time to time to
17 examine the accounts and books of the authority, including its receipts,
18 disbursements, contracts, sinking funds, investments and any other
19 matter relating to its financial standing and fiscal affairs. The
20 authority shall render a complete annual account of its proceedings to
21 the board of trustees at its second meeting in September of each and
22 every year.
23 § 1599-iii. Bonds of the authority. (a) The authority shall have the
24 power and is hereby authorized from time to time to issue its negotiable
25 bonds in conformity with applicable provisions of the uniform commercial
26 code for any purpose mentioned in section fifteen hundred ninety-nine-
27 ddd of this title, including the acquisition, construction, recon-
28 struction and repair of personal and real property of all kinds deemed
29 by the board to be necessary or desirable to carry out such purposes, as
30 well as to pay such expenses as may be deemed by the board necessary or
31 desirable to the financing thereof and placing the project or projects
32 in operation in the aggregate principal amount of not exceeding twenty-
33 five per cent of the bonded indebtedness limitation from time to time
34 imposed by section 104.00 of the local finance law upon bonded indebt-
35 edness of the village outstanding at any one time. The authority shall
36 have power from time to time and whenever it deems refunding expedient,
37 to refund any bonds by the issuance of new bonds, whether the bonds to
38 be refunded have or have not matured, and may issue bonds partly to
39 refund bonds then outstanding and partly for any other purpose hereina-
40 bove described. The refunding bonds may be exchanged for the bonds to be
41 refunded, with such cash adjustments as may be agreed, or may be sold
42 and the proceeds applied to the purchase or payment of the bonds to be
43 refunded. In computing the total amount of bonds of the authority which
44 may at any time be outstanding the amount of the outstanding bonds to be
45 refunded from the proceeds of the sale of new bonds or by exchange for
46 new bonds shall be excluded. Except as may otherwise be provided by the
47 authority, the bonds of every issue shall be general obligations of the
48 authority payable out of any moneys or revenues of the authority,
49 subject only to any agreements with the holders of particular bonds
50 pledging any particular moneys or revenues.
51 (b) The bonds shall be authorized by resolution of the board and shall
52 bear such date or dates, mature at such time or times, not exceeding
53 thirty years from their respective dates, bear interest at such rate or
54 rates, not exceeding six per centum per annum payable annually or semi-
55 annually, be in such denominations, be in such form, either coupon or
56 registered, carry such registration privileges, be executed in such
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1 manner, be payable in lawful money of the United States of America at
2 such place or places and be subject to such terms of redemption, as such
3 resolution or resolutions may provide. The bonds may be sold at public
4 or private sale for such price or prices as the authority shall deter-
5 mine, but which shall not at the time of sale yield more than five per
6 centum per annum.
7 (c) Any resolution or resolutions authorizing any bonds or any issue
8 of bonds may contain provisions, which shall be a part of the contract
9 with the holders of the bonds thereby authorized, as to
10 (1) pledging all or any part of the revenues of a project or projects
11 to secure the payment of the bonds, subject to such agreements with
12 bondholders as may then exist;
13 (2) the rentals, fees and other charges to be charged, and the amounts
14 to be raised in each year thereby, and the use and disposition of the
15 revenues;
16 (3) the setting aside of reserves or sinking funds, and the regulation
17 and disposition thereof;
18 (4) limitations on the right of the authority to restrict and regulate
19 the use of a project;
20 (5) limitations on the purpose to which the proceeds of sale of any
21 issue of bonds then or thereafter to be issued may be applied and pledg-
22 ing such proceeds to secure the payment of the bonds or of any issue of
23 the bonds;
24 (6) limitations on the issuance of additional bonds; the terms upon
25 which additional bonds may be issued and secured; the refunding of
26 outstanding or other bonds;
27 (7) the procedure, if any, by which the terms of any contract with
28 bondholders may be amended or abrogated, the amount of bonds the holders
29 of which must consent thereto, and the manner in which such consent may
30 be given;
31 (8) limitations on the amount of moneys derived from a project to be
32 expended for operating, administrative or other expenses of the authori-
33 ty;
34 (9) vesting in a trustee or trustees such property, rights, powers and
35 duties in trust as the authority may determine which may include any or
36 all the rights, powers and duties of the trustees appointed by the bond-
37 holders pursuant to section fifteen hundred ninety-nine-ppp of this
38 title, and limiting or abrogating the right of the bondholders to
39 appoint a trustee under such section or limiting the rights, duties and
40 powers of such trustee;
41 (10) any other matters, of like or different character, which in any
42 way affect the security or protection of the bonds.
43 (d) It is the intention hereof that any pledge of revenues or other
44 moneys made by the authority shall be valid and binding from the time
45 when the pledge is made; that the revenues or other moneys so pledged
46 and thereafter received by the authority shall immediately be subject to
47 the lien of such pledge without any physical delivery thereof or further
48 act; and that the lien of any such pledge shall be valid and binding as
49 against all parties having claims, of any kind in tort, contract or
50 otherwise against the authority irrespective of whether such parties
51 have notice thereof. Neither the resolution nor any other instrument by
52 which a pledge is created need be recorded.
53 (e) Neither the members of the authority nor any person executing the
54 bonds shall be liable personally on the bonds or be subject to any
55 personal liability or accountability by reason of the issuance thereof.
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1 (f) The authority shall have power out of any funds available therefor
2 to purchase bonds. The authority may hold, cancel or resell such bonds,
3 subject to and in accordance with agreements with bondholders.
4 (g) In the discretion of the authority, the bonds may be secured by a
5 trust indenture by and between the authority and a corporate trustee,
6 which may be any trust company or bank having the powers of a trust
7 company in the state of New York. Such trust indenture may contain such
8 provisions for protecting and enforcing the rights and remedies of the
9 bondholders as may be reasonable and proper and not in violation of law,
10 including covenants setting forth the duties of the authority in
11 relation to the construction, maintenance, operation, repair and insur-
12 ance of the project or projects and the custody, safeguarding and appli-
13 cation of all moneys, and may provide that the project or projects shall
14 be constructed and paid for under the supervision and approval of
15 consulting engineers. Notwithstanding the provisions of section fifteen
16 hundred ninety-nine-hhh of this title the authority may provide by such
17 trust indenture for the payment of the proceeds of the bonds and the
18 revenues of the project or projects to the trustee under such trust
19 indenture or other depository, and for the method of disbursement there-
20 of, with such safeguards and restrictions as it may determine. All
21 expenses incurred in carrying out such trust indenture may be treated as
22 a part of the cost of maintenance, operation, and repairs of the project
23 or projects. If the bonds shall be secured by a trust indenture, the
24 bondholders shall have no authority to appoint a separate trustee to
25 represent them, and the trustee under such trust indenture shall have
26 and possess all of the powers which are conferred by section fifteen
27 hundred ninety-nine-ppp of this title upon a trustee appointed by bond-
28 holders.
29 § 1599-jjj. Notes of the authority. The authority shall have power
30 from time to time to issue its negotiable notes in conformity with
31 applicable provisions of the uniform commercial code and from time to
32 time to issue renewal notes (herein referred to as notes) maturing not
33 later than five years from their respective original dates in an amount
34 not exceeding at any time one hundred thousand dollars, over and above
35 the amount of bonds authorized by section fifteen hundred ninety-nine-
36 iii of this title, for any purpose or purposes for which bonds may be
37 issued, whenever the authority shall determine that payment thereof can
38 be made in full from any moneys or revenues which the authority expects
39 to receive from any source. Such notes may, among other things, be
40 issued to provide funds to pay preliminary costs of surveys, plans or
41 other matters relating to any proposed project. The authority may pledge
42 such moneys or revenues (subject to any other pledge thereof) for the
43 payment of the notes and may in addition secure the notes in the same
44 manner and with the same effect as herein provided for bonds. The notes
45 shall be issued in the same manner as bonds. The authority shall have
46 power to make contracts for the future sale from time to time of the
47 notes, by which the purchasers shall be committed to purchase the notes
48 from time to time on terms and conditions stated in such contracts, and
49 the authority shall have power to pay such consideration as it shall
50 deem proper for such commitments. In case of default on its notes, or
51 violation of any of the obligations of the authority to the noteholders,
52 the noteholders shall have all the remedies provided herein for bond-
53 holders.
54 § 1599-kkk. Agreements of the village. (a) The village of Mount Kisco
55 is authorized to pledge to and agree with the holders of the bonds that
56 the village will not limit or alter the rights hereby vested in the
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1 authority to acquire, construct, maintain, reconstruct and operate the
2 project or projects, to establish and collect rentals, fees and other
3 charges and to fulfill the terms of any agreements made with the holders
4 of the bonds, or in any way impair the rights and remedies of the bond-
5 holders, until the bonds, together with interest thereon, with interest
6 on any unpaid installments of interest and all costs and expenses in
7 connection with any action or proceeding by or on behalf of the bond-
8 holders, are fully met and discharged.
9 (b) The authority is hereby authorized, in its discretion, for and on
10 behalf of itself and the village of Mount Kisco to covenant and agree
11 with the holders of the bonds, with such exceptions and limitations as
12 it may deem in the public interest, that no public parking areas except
13 those acquired and operated by the authority will be constructed or
14 operated in the village by the village, or by any public benefit or
15 other corporation the members or some of which are elected or are
16 appointed by village officials, until either
17 (1) the bonds, together with interest thereon, interest on any unpaid
18 installments of interest and all costs and expenses in connection with
19 any action or proceeding by or on behalf of the bondholders are fully
20 met and discharged or
21 (2) principal or interest of any of the bonds shall be overdue and
22 unpaid for a period of three years or more.
23 § 1599-lll. State and village not liable on bonds. The bonds and other
24 obligations of the authority shall not be a debt of the state of New
25 York or of the village, and neither the state nor the village shall be
26 liable thereon, nor shall they be payable out of any funds other than
27 those of the authority.
28 § 1599-mmm. Bonds legal investments for public officers. The bonds are
29 hereby made securities in which all public officers and bodies of this
30 state and all municipalities and municipal subdivisions, all insurance
31 companies and associations and other persons carrying on an insurance
32 business, all banks, bankers, trust companies, savings banks and savings
33 associations, including savings and loan associations, building and loan
34 associations, investment companies and other persons carrying on a bank-
35 ing business, and all other persons whatsoever except as hereinafter
36 provided, who are now or 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, provided that,
39 notwithstanding the provisions of any other general or special law to
40 the contrary, such bonds shall not be eligible for the investment of
41 funds, including capital, of trusts, estates or guardianships under the
42 control of individual administrators, guardians, executors, trustees and
43 other individual fiduciaries. The bonds are also hereby made securities
44 which may be deposited with and shall be received by all public officers
45 and bodies of this state and municipalities and municipal subdivisions
46 for any purpose for which the deposit of bonds or other obligations of
47 this state is now or may hereafter be authorized.
48 § 1599-nnn. Tax exemptions. Any bonds or notes issued pursuant to this
49 title, together with the income therefrom, as well as the property of
50 the authority, shall be exempt from taxation, except for transfer and
51 estate taxes.
52 § 1599-ooo. Tax contract by the state. The state of New York covenants
53 with the purchasers and with all subsequent holders and transferees of
54 bonds or notes issued by the authority pursuant to this title, in
55 consideration of the acceptance of and payment for the bonds or notes,
56 that the bonds and notes of the authority issued pursuant to this title
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1 and the income therefrom, and all moneys, funds and revenues pledged to
2 pay or secure the payment of such bonds or notes shall at all times be
3 free from taxation except for estate taxes and taxes on transfers by or
4 in contemplation of death.
5 § 1599-ppp. Remedies of bondholders. (a) In the event that the author-
6 ity shall default in the payment of principal of or interest on any
7 issue of the bonds after the same shall become due, whether at maturity
8 or upon call for redemption, and such default shall continue for a peri-
9 od of thirty days, or in the event that the authority shall fail or
10 refuse to comply with the provisions of this title, or shall default in
11 any agreement made with the holders of any issue of the bonds, the hold-
12 ers of twenty-five per centum in aggregate principal amount of the bonds
13 of such issue then outstanding, by instrument or instruments filed in
14 the office of the clerk of the county of Westchester and proved or
15 acknowledged in the same manner as a deed to be recorded, may appoint a
16 trustee to represent the holders of such bonds for the purposes herein
17 provided.
18 (b) Such trustee may, and upon written request of the holders of twen-
19 ty-five per centum in principal amount of such bonds then outstanding
20 shall, in his or its own name
21 (1) by suit, action or special proceedings enforce all rights of the
22 bondholders, including the right to require the authority to collect
23 revenues adequate to carry out by any agreement as to, or pledge of,
24 such revenues, and to require the authority to carry out any other
25 agreements with the holders of such bonds and to perform its duties
26 under this title;
27 (2) bring suit upon such bonds;
28 (3) by action or suit in equity, require the authority to account as
29 if it were the trustee of an express trust for the holders of such
30 bonds;
31 (4) by action or suit in equity, enjoin any acts or things which may
32 be unlawful or in violation of the rights of the holders of such bonds;
33 (5) declare all such bonds due and payable, and if all defaults shall
34 be made good then with the consent of the holders of twenty-five per
35 centum of the principal amount of such bonds then outstanding, to annul
36 such declaration and its consequences.
37 (c) The supreme court shall have jurisdiction of any suit, action or
38 proceeding by the trustee on behalf of bondholders. The venue of any
39 such suit, action or proceeding shall be laid in the county of Westches-
40 ter.
41 (d) Before declaring the principal of all such bonds due and payable,
42 the trustee shall first give thirty days' notice in writing to the
43 authority.
44 (e) Any such trustee, whether or not the issue of bonds represented by
45 such trustee has been declared due and payable, shall be entitled as of
46 right to the appointment of a receiver of any part or parts of the
47 project the revenues of which are pledged for the security of the bonds
48 of such issue, and such receiver may enter and take possession of such
49 part or parts of the project and, subject to any pledge or agreement
50 with bondholders, shall take possession of all moneys and other property
51 derived from or applicable to the acquisition, construction, operation,
52 maintenance and reconstruction of such part or parts of the project and
53 proceed with the acquisition of any necessary real property in
54 connection with the project that the authority has covenanted to
55 construct, and with any construction which the authority is under obli-
56 gation to do and to operate, maintain and reconstruct such part or parts
A. 8871 11
1 of the project and collect and receive all revenues thereafter arising
2 therefrom subject to any pledge thereof or agreement with bondholders
3 relating thereto and perform the public duties and carry out the agree-
4 ments and obligations of the authority under the direction of the court.
5 In any suit, action or proceeding by the trustee, the fee, counsel fees
6 and expenses of the trustee and of the receiver, if any, shall consti-
7 tute taxable disbursements and all costs and disbursements allowed by
8 the court shall be a first charge on any revenues derived from such
9 project.
10 (f) Such trustee shall, in addition to the foregoing, have and possess
11 all of the powers necessary or appropriate for the exercise of any func-
12 tions specifically set forth herein or incident to the general represen-
13 tation of bondholders in the enforcement and protection of their rights.
14 § 1599-qqq. Actions against the authority. (a) In every action against
15 the authority for damages, for injuries to real or personal property, or
16 for the destruction thereof, or for personal injuries or death, the
17 complaint shall contain an allegation that at least ninety days have
18 elapsed since the demand, claim or claims upon which such action is
19 founded were presented to a member of the authority, or to its secre-
20 tary, or to its chief executive officer and that the authority has
21 neglected or refused to make an adjustment or payment thereof for ninety
22 days after such presentment.
23 (b) Except in an action for wrongful death, an action against the
24 authority for damages for injuries to real or personal property, or for
25 the destruction thereof, or for personal injuries, alleged to have been
26 sustained, shall not be commenced more than one year after the cause of
27 action therefor shall have accrued, nor unless a notice of intention to
28 commence such action and of the time when and place where the damages or
29 personal injuries were incurred or sustained, together with a verified
30 statement showing in detail the property alleged to have been damaged or
31 destroyed and the value thereof, or the personal injuries alleged to
32 have been sustained and by whom, shall have been filed with the secre-
33 tary of the authority in the principal office of the authority within
34 six months after such cause of action shall have accrued. An action
35 against the authority for wrongful death shall be commenced in accord-
36 ance with the notice of claim and time limitation provisions of title
37 eleven of article nine of this chapter.
38 § 1599-rrr. Termination of the authority. Whenever all of the bonds
39 issued by the authority shall have been redeemed or cancelled, the
40 authority shall cease to exist and all rights, titles and interest and
41 all obligations and liabilities thereof vested in or possessed by the
42 authority shall thereupon vest in and be possessed by the village of
43 Mount Kisco.
44 § 1599-sss. Title not affected if in part unconstitutional or ineffec-
45 tive. If any section, clause or provision of this title shall be uncon-
46 stitutional or be ineffective in whole or in part, to the extent that it
47 is not unconstitutional or ineffective, it shall be valid and effective
48 and no other section, clause or provision shall on account thereof be
49 deemed invalid or ineffective.
50 § 1599-ttt. Inconsistent provisions in other acts superseded. Insofar
51 as the provisions of this title are inconsistent with the provisions of
52 any other act, general or special, or of any local law of the village,
53 the provisions of this title shall be controlling.
54 § 3. This act shall take effect immediately.
