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A00589 Summary:

BILL NOA00589
 
SAME ASSAME AS S04204
 
SPONSORPaulin
 
COSPNSROtis, Sayegh
 
MLTSPNSR
 
Amd Arts 4, 7-B & 7-D, §1 of Chap 154 of 1921
 
Relates to port authority organization, appearance and notice; establishes the port authority transportation advisory committee.
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A00589 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                           589
 
                               2025-2026 Regular Sessions
 
                   IN ASSEMBLY
 
                                       (Prefiled)
 
                                     January 8, 2025
                                       ___________
 
        Introduced by M. of A. PAULIN, OTIS, SAYEGH -- read once and referred to
          the Committee on Corporations, Authorities and Commissions
 
        AN  ACT  to  amend  chapter 154 of the laws of 1921 relating to the port
          authority of New York and New Jersey, in relation  to  port  authority
          organization, appearance and notice
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Subdivision 1, subparagraph 2 of paragraph d of subdivision
     2  3 and subdivisions 5 and 6 of article 4 of section 1 of chapter  154  of
     3  the  laws  of  1921  relating  to the port authority of New York and New
     4  Jersey, as amended by chapter 559 of the laws of 2015,  paragraph  a  of
     5  subdivision 6 as amended by chapter 104 of the laws of 2020, are amended
     6  to read as follows:
     7    1. Commissioners. a. The port authority shall consist of twelve voting
     8  commissioners  and  four  non-voting commissioners as described in para-
     9  graph b of this subdivision.   Of  the  twelve  voting  commissioners[,]
    10  there  shall be six resident voters from the state of New York, at least
    11  four of whom shall be resident voters of the city of New York,  and  six
    12  resident  voters  from  the  state  of New Jersey, at least four of whom
    13  shall be resident voters within the New Jersey portion of the  district,
    14  the  New  York members to be chosen by the state of New York and the New
    15  Jersey members by the state of New Jersey in  the  manner  and  for  the
    16  terms  fixed and determined from time to time by the legislature of each
    17  state respectively, except as herein provided.   The  New  York  members
    18  shall  be  appointed  by  the  governor  of New York with the advice and
    19  consent of the New York state senate.  The New Jersey members  shall  be
    20  appointed  by  the governor of New Jersey with the advice and consent of
    21  the New Jersey  state  senate.  Each  commissioner  may  be  removed  or
    22  suspended  from  office  as  provided by the law of the state from which
    23  [he] such commissioner shall be appointed. Any commissioner appointed to
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD01988-01-5

        A. 589                              2
 
     1  a term commencing on or after January 1, 2026 shall have  experience  in
     2  one  or  more  of the following areas:   transportation, public adminis-
     3  tration, business management,  finance,  accounting,  law,  engineering,
     4  land  use,  urban  and  regional  planning,  management of large capital
     5  projects, labor relations, or experience in some other area of  activity
     6  central  to  the  mission  of the port authority.  One of the six voting
     7  commissioners chosen by the state of New York shall be appointed on  the
     8  written  recommendation of the mayor of the city of New York. The voting
     9  commissioners shall be appointed for a term of six years and shall serve
    10  no more than two terms. The terms of the voting commissioners  shall  be
    11  staggered so that three of the six voting commissioners appointed by the
    12  state of New York will have their terms expire in alternating three year
    13  shifts  and three of the six voting commissioners appointed by the state
    14  of New Jersey will have their terms expire in  alternating  three  years
    15  shifts.
    16    b. There shall be four non-voting commissioners of the port authority,
    17  as  established in paragraph a of this subdivision. The first non-voting
    18  commissioner shall be a regular mass transit user of the  state  of  New
    19  York  based facilities of the authority and be recommended to the gover-
    20  nor of the state of New York by a rider advocacy group. The second  non-
    21  voting  commissioner  shall be a regular user of the state of New Jersey
    22  based facilities of the authority and shall be recommended to the gover-
    23  nor of the state of New Jersey by a  rider  advocacy  group.  The  third
    24  non-voting  commissioner  shall  be  recommended  to the governor of the
    25  state of New York by the labor organization representing the majority of
    26  authority employees working in the state of New York.  The  fourth  non-
    27  voting commissioner shall be recommended to the governor of the state of
    28  New  Jersey  by  the  labor  organization  representing  the majority of
    29  authority employees working in the state of New Jersey.  The  four  non-
    30  voting commissioners of the port authority shall be appointed for a term
    31  of six years and shall serve no more than two terms.
    32    (2) For the purposes of this subdivision, the terms:
    33    (i)  "immediate  family"  shall  mean:  a  spouse,  parent,  child, or
    34  sibling; and
    35    (ii) "interest" shall mean: (A) if   the business  organization  is  a
    36  partnership,  the board member or the board member's immediate family is
    37  a partner or owner of [ten] five percent or more of the  assets  of  the
    38  partnership,  or  (B) if the business organization is a corporation, the
    39  board member or the board member's immediate family owns or controls ten
    40  percent or more of the stock of the corporation, or serves as a director
    41  or officer of the corporation.
    42    5. Whistleblower access and assistance program. a.  The  chief  ethics
    43  and  compliance  officer shall recommend to the board of commissioners a
    44  whistleblower access and assistance program to be  administered  by  the
    45  inspector general which shall include, but not be limited to:
    46    (1)  establishing  an  email  address  and  toll-free telephone [and],
    47  facsimile, and text messaging lines available to employees;
    48    (2) offering advice regarding employee rights under  applicable  state
    49  and federal laws and advice and options available to all persons; and
    50    (3) offering an opportunity for employees to identify concerns regard-
    51  ing  any  issue  at  the  port  authority.  Any communication between an
    52  employee and the inspector general pursuant to  this  section  shall  be
    53  held strictly confidential by the inspector general, unless the employee
    54  specifically waives in writing the right to confidentiality, except that
    55  such  confidentiality  shall  not  exempt  the  inspector  general  from

        A. 589                              3
 
     1  disclosing such information, where appropriate, to the board of  commis-
     2  sioners and/or any law enforcement authority.
     3    b.  The  port  authority  shall  not fire, discharge, demote, suspend,
     4  threaten, harass, or discriminate against an  employee  because  of  the
     5  employee's  role as a whistleblower, insofar as the actions taken by the
     6  employee are legal.
     7    c. As used in this subdivision:
     8    (1) "Employees" means those persons employed at  the  port  authority,
     9  including  but  not limited to: full-time and part-time employees, those
    10  employees on probation, and temporary employees.
    11    (2) "Whistleblower" means any employee of the port  authority  who  in
    12  good  faith  discloses information concerning acts of corruption, fraud,
    13  wrongdoing, misconduct, malfeasance, or other inappropriate behavior  by
    14  an  employee  or  board member of the port authority, including, but not
    15  limited to, concerning the port authority's investments, travel,  acqui-
    16  sition of real or personal property, the disposition of real or personal
    17  property, or the procurement of goods and services.
    18    d.  The  Whistleblower  Policy and Procedures set forth herein are not
    19  intended to limit, diminish or impair any other rights or remedies  that
    20  an  individual  may have under the law with respect to disclosing poten-
    21  tial wrongdoing free from retaliation or adverse personnel action.
    22    6. Inspector general. a. The inspector general  shall  be  responsible
    23  for  receiving  and  investigating,  where  appropriate,  all complaints
    24  regarding fraud,  waste,  and  abuse  by  commissioners,  officers,  and
    25  employees of the port authority or third-parties doing business with the
    26  port  authority.   The inspector general shall also receive and investi-
    27  gate complaints from any source, or upon  [his  or  her]  the  inspector
    28  general's  own  initiative, concerning allegations of corruption, fraud,
    29  use of excessive force, criminal  activity,  conflicts  of  interest  or
    30  abuse  by any police officer under the jurisdiction of the Port Authori-
    31  ty. The inspector general  shall  also  be  responsible  for  conducting
    32  investigations  upon  the  inspector  general's  own  initiative, as the
    33  inspector general shall deem appropriate.
    34    b. The inspector general shall inform the board of  commissioners  and
    35  the  chief  executive  officer  of allegations received by the inspector
    36  general and the  progress  of  investigations  related  thereto,  unless
    37  special circumstances require confidentiality;
    38    c.  The  inspector general shall determine with respect to allegations
    39  received by the inspector general whether disciplinary action  or  civil
    40  prosecution by the port authority is appropriate, and whether the matter
    41  should  be  referred  to  an appropriate governmental agency for further
    42  action;
    43    d. The inspector general shall  prepare  and  make  available  to  the
    44  public  written  reports of completed investigations, as appropriate and
    45  to the extent permitted by law, subject to redactions to protect a  need
    46  for  confidentiality.  The  release of all or portions of reports may be
    47  deferred to protect the confidentiality of ongoing investigations.
    48    e. The inspector general shall have the power to:
    49    (1) administer oaths or affirmations and examine witnesses under oath;
    50    (2) require the production of any books and papers deemed relevant  or
    51  material to any investigation, examination or review;
    52    (3)  notwithstanding  any  law  to  the  contrary, examine and copy or
    53  remove documents or records of any kind prepared, maintained or held  by
    54  the port authority and its subsidiaries;
    55    (4)  interview  any  officer  or employee of the port authority or its
    56  subsidiaries on any matter related to the performance of such officer or

        A. 589                              4
 
     1  employee's official duties. To the extent  that  [any  portion  of  this
     2  paragraph  is  inconsistent  with any current contractual obligations of
     3  the port authority, this paragraph shall  not  be  applicable  to  those
     4  obligations  until  the  earliest  expiration  of  those terms under the
     5  contract] the terms and conditions of employment  of  any  employee  are
     6  established by collective negotiations, any interview conducted pursuant
     7  to  this  paragraph must be in accordance with any applicable provisions
     8  of the current, or most  recent,  if  expired,  collective  negotiations
     9  agreement covering the terms and conditions of employment of the employ-
    10  ee;
    11    (5)  monitor the implementation by the port authority of any recommen-
    12  dations made by the inspector general; and
    13    (6) perform any other functions that are necessary or  appropriate  to
    14  fulfill the duties and responsibilities of office.
    15    §  2.  Subdivisions 1 and 3 of article 7-B of section 1 of chapter 154
    16  of the laws of 1921 relating to the port authority of New York  and  New
    17  Jersey, as added by chapter 559 of the laws of 2015, are amended to read
    18  as follows:
    19    1.  Needs  assessment.  The  port authority shall require that a needs
    20  assessment be conducted by an independent entity prior to  any  increase
    21  in  tolls  for  the use of any port authority bridge or tunnel, or fares
    22  for the use of the port authority trans-Hudson corporation rail  system.
    23  The  assessment  shall  be  made  publicly  available  in  a conspicuous
    24  location on the port authority's website and presented by the  independ-
    25  ent  entity to the board of commissioners at a public meeting to be held
    26  at least ninety days prior to any meeting of the board of  commissioners
    27  to  vote  to any increase in the tolls for the use of any port authority
    28  bridge or tunnel, or fares for the use of the port authority  trans-Hud-
    29  son corporation rail system.
    30    3.  Appearance.  a. The port authority, at the request of the Assembly
    31  or Senate of the New York state legislature or the General  Assembly  or
    32  Senate  of the New Jersey state legislature, shall be required to appear
    33  before a committee of  the  requesting  state  legislative  house,  upon
    34  request  by  the  presiding  officer of that state legislative house, to
    35  present testimony on any topic or subject requested by the committee  or
    36  to respond to questions by members of the committee. The Assembly of the
    37  New  York  state  legislature, the Senate of the New York state legisla-
    38  ture, the General Assembly of the New Jersey state legislature, and  the
    39  Senate of the New Jersey state legislature shall each be entitled to two
    40  such requests per calendar year.
    41    b.  Unless  otherwise  agreed to by the presiding officer of the state
    42  legislative house requesting the appearance of the port  authority,  the
    43  port  authority  shall, at a minimum, be represented by a chair or vice-
    44  chair of the board, chief executive officer, the chief  financial  offi-
    45  cer,  and  any staff deemed necessary by such chair or vice-chair of the
    46  board, chief executive officer, or the chief financial officer to  pres-
    47  ent  testimony or respond to questions at any appearance required pursu-
    48  ant to this section. The presiding officer may request the appearance of
    49  any officer or employee of the port  authority.  For  purposes  of  this
    50  section,  as applicable to New York state "presiding officer" shall mean
    51  the speaker of the Assembly of the New York state legislature or  tempo-
    52  rary  president  of  the  Senate  of the New York state legislature. For
    53  purposes of this section, as applicable  to  the  state  of  New  Jersey
    54  "presiding officer" shall mean the president of the senate or the speak-
    55  er of the general assembly of the state of New Jersey.

        A. 589                              5
 
     1    4.  Subsidiaries  of  the  port authority. a. The port authority shall
     2  provide notice to the governor of each state,  the  majority  leader  of
     3  each  house  of  the legislature of each state, the chair of the finance
     4  committee of New York, the chair of the senate budget and appropriations
     5  committee  of New Jersey, the chair of assembly ways and means committee
     6  of New York, and the chair of the budget committee of New Jersey that it
     7  will be creating a subsidiary no less than 60 days prior to  the  forma-
     8  tion of the subsidiary.
     9    b.  The  creation of a subsidiary corporation shall be approved by the
    10  board of commissioners.
    11    c. [On or before the first day of January, two thousand sixteen,  and]
    12  Within  60 days of the effective date of the chapter of the laws of 2025
    13  that amended this subdivision, and on or before the first day of January
    14  each year annually thereafter, any subsidiary  corporation,  in  cooper-
    15  ation  with the port authority, shall provide to the governor and legis-
    16  lature of each state a report on the subsidiary corporation. Such report
    17  shall include for each subsidiary:
    18    (1) The complete legal name, address and contact  information  of  the
    19  subsidiary;
    20    (2) The structure of the organization of the subsidiary, including the
    21  names and titles of each of its members, directors and officers, as well
    22  as a chart of its organizational structure;
    23    (3)  The complete by-laws and legal organization papers of the subsid-
    24  iary;
    25    (4) A complete report of the purpose, operations, mission and projects
    26  of the subsidiary; and
    27    (5) Any other information the subsidiary corporation  deems  important
    28  to include in such report.
    29    d.  60 days prior to the issuance of any debt by the subsidiary corpo-
    30  ration, or the port authority on behalf of the  subsidiary  corporation,
    31  the  port  authority shall provide notice to the governor of each state,
    32  the majority leader of each house of the legislature of each state,  the
    33  chair  of  the  senate  finance  committee of New York, the chair of the
    34  senate budget and appropriations committee of New Jersey, the  chair  of
    35  the  assembly ways and means committee of New York, and the chair of the
    36  assembly budget committee of New Jersey. For purposes of  this  section,
    37  as applicable to New York state "majority leader" shall mean the speaker
    38  of the assembly of the New York state legislature or temporary president
    39  of  the  senate  of the New York state legislature. For purposes of this
    40  section, as applicable to the state  of  New  Jersey  "majority  leader"
    41  shall  mean  the  president  of the senate or the speaker of the general
    42  assembly of the state of New Jersey.
    43    e. The port authority shall not have the power to organize  a  subsid-
    44  iary  for  the  purpose  of: (i) evading the requirements of an existing
    45  collective bargaining agreement; or (ii) replacing or removing a  certi-
    46  fied employee organization.
    47    §  3.  Subdivisions 3 and 4 of article 7-D of section 1 of chapter 154
    48  of the laws of 1921 relating to the port authority of New York  and  New
    49  Jersey, as added by chapter 559 of the laws of 2015, are amended and two
    50  new subdivisions 5 and 6 are added to read as follows:
    51    3.  Capital plan. a. The port authority shall adopt a [ten-year] five-
    52  year capital plan that is developed using a comprehensive planning proc-
    53  ess and risk-based prioritization that considers asset condition, opera-
    54  tional and revenue impact, threat assessment, customer service, regional
    55  benefit, and regulatory or  statutory  requirements.  The  capital  plan
    56  shall be dependent upon the availability of sufficient funding and other

        A. 589                              6
 
     1  resources to pursue the capital projects proposed for the ten-year peri-
     2  od.  Performance  progress and revisions to reflect changes in programs,
     3  policies and projects and the environment in which  the  port  authority
     4  operates  shall  be  reviewed regularly by a committee designated by the
     5  board of commissioners, and the capital plan shall  be  revised  period-
     6  ically  as  necessary  and  appropriate,  and shall be reviewed with the
     7  board of commissioners annually. The port  authority  shall  publish  an
     8  annual report on the status of the capital program and such report shall
     9  be  made  publicly  available  on the port authority's website. Prior to
    10  adoption of a capital plan, the port authority shall make such  proposed
    11  plan  available for public review and comments on its public website for
    12  at least [two] four weeks prior to approval, and all  comments  received
    13  are  to be distributed to the board of commissioners for review prior to
    14  consideration of the capital plan.
    15    b. The port authority shall also provide that major  capital  projects
    16  are  monitored by independent engineering consultants procured through a
    17  competitive bidding process.  The independent consultants shall  prepare
    18  annual  reports  to  be  provided to the board and made available to the
    19  public. The annual reports prepared  by  independent  consultants  shall
    20  include,  but  not  be  limited  to,  a  comparison of actual and target
    21  performance  measures  including,  but  not  limited   to,   costs   and
    22  construction  schedules,  and a narrative explanation of any discrepancy
    23  thereof. For the purposes of this section, "major capital project" means
    24  an undertaking or program for the acquisition, creation, or  development
    25  of  any  crossing,  transportation facility, or commerce facility or any
    26  part thereof,  with  an  estimated  total  project  cost  in  excess  of
    27  $500,000,000.
    28    c.  No less than 60 days prior to any board adoption of a capital plan
    29  as described in paragraph a of this subdivision, or any  major  revision
    30  of  the  last adopted capital plan, the port authority shall: (1) notify
    31  the assembly and senate of the New York state legislature and the gener-
    32  al assembly and senate of the New Jersey state legislature of its inten-
    33  tion to adopt a capital plan, or any major revision of the last  adopted
    34  capital  plan;  (2)  submit  to  the assembly and senate of the New York
    35  state legislature and the general assembly and senate of the New  Jersey
    36  state  legislature the proposed capital plan, or any proposal constitut-
    37  ing a major revision of the last adopted capital  plan,  for  review  by
    38  each  state legislature; and (3) make the proposed capital plan, includ-
    39  ing any proposal constituting a major revision of the last adopted capi-
    40  tal plan, publicly available on the port authority website.
    41    d. Within 60 days of the notice provided in paragraph c of this subdi-
    42  vision, the port authority shall conduct  a  public  hearing  about  the
    43  capital  plan or any major revision thereof in New York state and in the
    44  state of New Jersey.   The public hearings  shall  be  held  at  a  time
    45  convenient to members of the public.
    46    e.  The port authority shall conduct a status update public hearing in
    47  New York state and in the state of New Jersey at least once  every  year
    48  after  the  adoption  of  the  capital  plan by the port authority. Such
    49  public hearing shall be known as "capital status update hearing" and  at
    50  such  hearing  the  port  authority  shall  provide  in detail a written
    51  description of the status of all capital plan projects and the costs and
    52  the expected costs of those projects. At such public hearing,  the  port
    53  authority  shall  provide a financing plan that identifies the source of
    54  funding for each project. The port authority shall provide  an  analysis
    55  that  compares  actual  and  target performance measures, and a detailed
    56  written explanation of any discrepancy thereof at  the  public  hearing.

        A. 589                              7
 
     1  The capital status update hearings shall be held at a time convenient to
     2  members of the public.
     3    f. At a minimum, individual capital project data for projects that are
     4  committed  for construction shall be included in a capital program dash-
     5  board maintained by the port authority on its website. Any summary views
     6  provided on the website shall include the original budgets at  the  time
     7  of project commitment when scope and budget are defined, project scopes,
     8  and  schedules,  in  addition  to  current  or  amended budgets, project
     9  scopes, and schedules. Data  pertaining  to  individual  projects  shall
    10  include, but not be limited to:
    11    (1)  the capital project identification number delineated by category,
    12  element, and project as used in the capital program;
    13    (2) the capital plan years;
    14    (3) a project description;
    15    (4) the project location where appropriate;
    16    (5) the capital needs code of the  project,  such  as  state  of  good
    17  repair,  normal  replacement,  system  improvement,  system expansion or
    18  other category;
    19    (6) budget information including the original budget at  the  time  of
    20  project  commitment  when  scope and budget are defined, all amendments,
    21  the current budget and planned annual allocations; and
    22    (7) a schedule for project delivery including  original,  amended  and
    23  current start and completion dates as projects develop at each phase.
    24    The  status  of projects shall be provided and state the current phase
    25  of the project, such as planning, design,  construction  or  completion,
    26  and  shall  state  how  far  the  project  has progressed as measured in
    27  percentage by expenditure. The dashboard shall measure progress based on
    28  original budgets at the time of project commitment when scope and budget
    29  are defined. At a minimum, all changes to  planned  budgets  of  greater
    30  than  ten  percent,  significant  project scope or a three month or more
    31  change in schedule shall be provided in narrative form and describe  the
    32  reason for each change or amendment. The dashboard shall include a glos-
    33  sary  or  data  dictionary which contains plain language descriptions of
    34  the data, including individual project data, and any  other  information
    35  provided  on  the dashboard. The authority shall provide a definition of
    36  resiliency in the glossary or data dictionary. The  dashboard  shall  be
    37  updated,  at a minimum, on a quarterly basis, and all data fields avail-
    38  able on the dashboard shall  be  made  available  for  download  on  the
    39  authority's  website  in a single tabular data file in a common, machine
    40  readable format.
    41    g. The data required to be  published  pursuant  to  this  subdivision
    42  shall  be  made in a single tabular data file in a common, machine read-
    43  able format and shall be accessible on the authority's website.
    44    4. [Operating budget] Budget.  The  port  authority  shall  prepare  a
    45  detailed annual operating budget beginning with the fiscal year commenc-
    46  ing  after  the effective date of the chapter of the laws of [2015] 2025
    47  which [added] amended this article. A preliminary annual operating budg-
    48  et shall be made publicly available on the port authority's  website  in
    49  July  of  every fiscal year and a final annual operating budget shall be
    50  made publicly available in February of each fiscal year.
    51    5. Port Authority Transportation Advisory Committee. a. There is here-
    52  by established a port authority transportation advisory committee.   The
    53  purpose of the committee shall be to facilitate coordination between and
    54  among  the  transportation  agencies  and  officials  in each state that
    55  provide service or  conduct  business  within  the  port  district.  The
    56  committee shall consist of 13 members, to be appointed as follows:

        A. 589                              8
 
     1    (1)  one  individual  appointed jointly by the chair and vice-chair of
     2  the Port Authority;
     3    (2)  the  executive director of the New Jersey transit corporation, ex
     4  officio, or the executive director's designee;
     5    (3) the chair of the metropolitan transportation authority,  ex  offi-
     6  cio, or the chair's designee;
     7    (4)  the  commissioner  of the New York city department of transporta-
     8  tion, ex officio, or the commissioner's designee;
     9    (5) the chairperson of the  National  Railroad  Passenger  Corporation
    10  Board of Directors, ex officio, or the chairperson's designee;
    11    (6)  the  commissioner of the New Jersey department of transportation,
    12  ex officio, or the commissioner's designee;
    13    (7) the commissioner of the New York state department  of  transporta-
    14  tion, ex officio, or the commissioner's designee;
    15    (8)  one individual from the New Jersey executive branch, appointed by
    16  the governor of New Jersey;
    17    (9) one individual from the New York state executive branch, appointed
    18  by the governor of New York;
    19    (10) one individual appointed by the president of the New Jersey state
    20  senate;
    21    (11) one individual appointed by the speaker of the New  Jersey  state
    22  general assembly;
    23    (12)  one  individual  appointed by the temporary president of the New
    24  York state senate; and
    25    (13) one individual appointed by the speaker of  the  New  York  state
    26  assembly.
    27    b. The individual appointed jointly by the chair and vice-chair of the
    28  port  authority  shall  serve for a term of three years. The legislative
    29  appointments shall serve for a term of two years each.  The  individuals
    30  appointed from the executive branch of New Jersey and from the executive
    31  branch of New York shall serve at the pleasure of each respective gover-
    32  nor.
    33    c. Vacancies in the membership of the committee shall be filled in the
    34  same  manner  as  the original appointments are made and a member may be
    35  eligible for reappointment. Vacancies occurring other than by expiration
    36  of a term shall be filled for the unexpired term.
    37    d. The members of the committee shall serve without  compensation  but
    38  shall  be reimbursed for reasonable expenses necessarily incurred in the
    39  performance of their duties within the limits of funds  appropriated  or
    40  otherwise made available to the committee for its purposes.
    41    e. The individual appointed jointly by the chair and vice-chair of the
    42  port  authority shall serve as the chair of the committee. The committee
    43  may appoint a secretary who need not be a member of the  committee.  The
    44  committee  shall  meet  quarterly, at a minimum, to discuss the region's
    45  transportation needs and to facilitate coordination  between  and  among
    46  the  transportation  agencies  and  officials in each state and the port
    47  district in furtherance of the region's transportation needs.
    48    f. Each committee member shall share information about  that  member's
    49  agency and the agency's upcoming plans and objectives as relating to the
    50  Port  Authority at each meeting.  Prior to the commencement by an agency
    51  represented on the committee of any major capital project with an  esti-
    52  mated  cost  in  excess of $50 million, the individual representing that
    53  agency shall notify all members of the committee.
    54    6. Minority and women-owned business enterprise programs.  a.  In  the
    55  performance  of  projects  pursuant to this article, minority and women-
    56  owned business enterprises shall be given the opportunity for meaningful

        A. 589                              9
 
     1  participation. The port authority shall establish quantifiable standards
     2  and measures and procedures, in accordance with the findings of  period-
     3  ical  disparity  studies  regarding  the  participation  of minority and
     4  women-owned  business  enterprises  in  port  authority contracts, to be
     5  prepared by an entity independent of the  port  authority  and  selected
     6  through  a  request  for  proposal process, to secure meaningful partic-
     7  ipation and identify those contracts and items of work for which minori-
     8  ty and women-owned business enterprises may best  bid  to  actively  and
     9  affirmatively  promote and assist their participation in projects, so as
    10  to facilitate the award of a fair share  of  contracts  to  such  enter-
    11  prises;  provided,  however,  that  nothing  in  this  article  shall be
    12  construed to limit the ability of the  port  authority  to  assure  that
    13  qualified minority and women-owned  business enterprises may participate
    14  in  the program. For purposes hereof, minority business enterprise shall
    15  mean any business enterprise which is  at  least  fifty-one  per  centum
    16  owned  by,  or in the case of a publicly owned business, at least fifty-
    17  one per centum of the stock or other voting interest is owned  by  citi-
    18  zens  or  permanent resident noncitizens who are Black, Hispanic, Asian,
    19  American Indian, Pacific islander, or Alaskan native, and such ownership
    20  interest is real, substantial and continuing and has  the  authority  to
    21  independently  control  the  day-to-day business decisions of the entity
    22  for at least  one year; and women-owned business enterprise  shall  mean
    23  any business enterprise which is at least fifty-one per centum owned by,
    24  or  in  the  case  of  a publicly owned business, at least fifty-one per
    25  centum of the stock or other voting interests of which is owned by citi-
    26  zens or permanent resident noncitizens who are women, and such ownership
    27  interest is real, substantial and continuing and has  the  authority  to
    28  independently  control  the  day-to-day business decisions of the entity
    29  for at least one year. The provisions of this subdivision shall  not  be
    30  construed  to  limit  the ability of any minority business enterprise to
    31  bid on any contract. The provisions of this  subdivision  shall  not  be
    32  construed  to  require  the  port  authority  to  engage in any unlawful
    33  conduct in securing meaningful participation of minority and women-owned
    34  business enterprises in port authority projects.
    35    b. In order to implement  the  requirements  and  objectives  of  this
    36  subdivision,  the  port  authority shall establish procedures to monitor
    37  compliance with  provisions  hereof,  provide  assistance  in  obtaining
    38  competing  qualified  minority  and  women-owned business enterprises to
    39  perform contracts proposed to be awarded,  and  take  other  appropriate
    40  measures  to  improve  the  access  of minority and women-owned business
    41  enterprises to these contracts.
    42    c. The port authority  shall  publish  the  standards,  measures,  and
    43  procedures  established  pursuant to paragraphs a and b of this subdivi-
    44  sion on its website, including any disparity study conducted pursuant to
    45  this subdivision.
    46    d. The port authority shall prepare an annual report describing activ-
    47  ities undertaken to promote employment of  minority  group  members  and
    48  women  and  promote  and  increase participation by certified businesses
    49  with respect to contracts and subcontracts. It shall include, but not be
    50  limited to, the number and value of contracts awarded  to  minority  and
    51  women-owned  business  enterprises  for  that  reporting  year, goals on
    52  contracts compared to actual  participation of minority and  women-owned
    53  business  enterprises  in  authority contracting and a listing of annual
    54  participation rates, a summary  of  all  waivers  of  the  participation
    55  requirements  allowed  by the authority during the period covered by the
    56  report including a description of the basis of the  waiver  request  and

        A. 589                             10

     1  the  rationale  for  granting any such waiver and any instances in which
     2  the contract  agency  has  deemed  a  contractor  to  have  committed  a
     3  violation pursuant to section three hundred sixteen of the executive law
     4  of  the  state  of  New  York, any efforts to create a database or other
     5  information storage and retrieval system containing information relevant
     6  to contracting with minority and  women-owned  business  enterprises,  a
     7  summary  of: (i) all determinations of violations of this statute or the
     8  authority's minority and  women-owned  business  enterprise  procurement
     9  policies  by  a  contractor made during the period covered by the annual
    10  report; and (ii)  the  penalties  or  sanctions,  if  any,  assessed  in
    11  connection with such determinations and the rationale for such penalties
    12  or  sanctions,  and  the total dollar value of expenditures on certified
    13  minority and women-owned business contracts and   subcontracts for  that
    14  reporting  year,  to evaluate the effectiveness of the activities under-
    15  taken by the Port Authority to promote increased participation by certi-
    16  fied minority or women-owned businesses with respect to  port  authority
    17  contracts and subcontracts.
    18    e. The Port Authority shall submit the annual report to the Governors,
    19  and  Legislatures  of  New  York  and  New Jersey. Such reports shall be
    20  submitted no later than  May  fifteenth  of  every  year  and  shall  be
    21  published  on  the Port Authority's website within five business days of
    22  this date.
    23    f. The annual report shall describe any efforts to  create a  database
    24  or other information storage and retrieval system containing information
    25  relevant  to  contracting  with minority and women-owned business enter-
    26  prises.
    27    § 4. Severability clause. If any clause, sentence, paragraph, subdivi-
    28  sion, section or part of this act shall be  adjudged  by  any  court  of
    29  competent  jurisdiction to be invalid, such judgment  shall  not affect,
    30  impair, or invalidate the remainder thereof, but shall  be  confined  in
    31  its  operation  to the clause, sentence, paragraph, subdivision, section
    32  or part thereof directly involved in the controversy in which such judg-
    33  ment shall have been rendered. It is hereby declared to be the intent of
    34  the legislature that this act would  have  been  enacted  even  if  such
    35  invalid provisions had not been included herein.
    36    §  5.  This  act  shall take effect upon the enactment into law by the
    37  state of New Jersey of legislation having an identical effect with  this
    38  act,  but  if  the  state  of New Jersey shall have already enacted such
    39  legislation this act shall take effect immediately. The chair  or  vice-
    40  chair  of the port authority as recommended by the governor of the state
    41  of New York shall notify the legislative bill drafting  commission  upon
    42  the  occurrence  of  the  enactment  of  the legislation provided for in
    43  sections one, two and three of this act in order that the commission may
    44  maintain an accurate and timely effective data base of the official text
    45  of the laws of the state of New York in furtherance of effectuating  the
    46  provisions  of section 44 of the legislative law and section 70-b of the
    47  public officers law.
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