STATE OF NEW YORK
________________________________________________________________________
2166--A
2011-2012 Regular Sessions
IN ASSEMBLY
January 14, 2011
___________
Introduced by M. of A. MAGNARELLI, ROBERTS, BARCLAY, LIFTON -- read once
and referred to the Committee on Corporations, Authorities and Commis-
sions -- committee discharged, bill amended, ordered reprinted as
amended and recommitted to said committee
AN ACT to amend the public authorities law, in relation to creating the
Syracuse regional airport authority
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Article 8 of the public authorities law is amended by
2 adding a new title 34 to read as follows:
3 TITLE 34
4 SYRACUSE REGIONAL AIRPORT AUTHORITY
5 Section 2799-aaa. Short title.
6 2799-bbb. Statement of legislative findings and purpose.
7 2799-ccc. Definitions.
8 2799-ddd. Syracuse regional airport authority.
9 2799-eee. Advances on behalf of authority, transfer of proper-
10 ty to authority, acquisition of property by city
11 or authority.
12 2799-fff. Transfer of officers and employees.
13 2799-ggg. General powers of the authority.
14 2799-hhh. Special powers of the authority.
15 2799-iii. City approval required.
16 2799-jjj. Bonds of the authority.
17 2799-kkk. Remedies of bondholders.
18 2799-lll. State, county, and city not liable on authority
19 bonds.
20 2799-mmm. Moneys of the authority.
21 2799-nnn. Bonds legal investment for fiduciaries.
22 2799-ooo. Agreement with state.
23 2799-ppp. Agreement with city.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD04147-03-1
A. 2166--A 2
1 2799-qqq. Exemption from taxes, assessments and certain fees.
2 2799-rrr. Actions against authority.
3 2799-sss. Contracts.
4 2799-ttt. Conflicts of interest.
5 2799-uuu. Agreements relating to payment in lieu of taxes.
6 2799-vvv. Audit and annual report.
7 2799-www. Limited liability.
8 2799-xxx. Transfer of applications, proceedings, approvals and
9 permits.
10 2799-xxx-1. Website.
11 2799-yyy. Severability.
12 2799-zzz. Effect of inconsistent provisions.
13 § 2799-aaa. Short title. This title may be cited as the "Syracuse
14 regional airport authority act".
15 § 2799-bbb. Statement of legislative findings and purpose. The legis-
16 lature hereby finds and declares as follows:
17 1. The economic well-being of the state and the general welfare of its
18 people require adequate, safe, secure and efficient aviation and trans-
19 portation facilities at a reasonable cost to the people.
20 2. The strengthening and improvement of aviation facilities and
21 related services for the central part of the state is a matter of vital
22 importance not only to the residents of central New York but to all the
23 state's residents and is therefore a matter of state concern.
24 3. In order to ensure a healthy economy for such area and to promote
25 the general welfare of its residents, it is necessary to expand and
26 improve the existing aviation facilities and services in the central New
27 York region in such a manner as to stimulate and promote increased
28 local, state, national and international air travel and commerce
29 throughout central New York.
30 4. The health, welfare, safety and security of the state's residents
31 and of those passengers using air transportation requires coordinated
32 operation of aviation facilities and services in the central New York
33 region by a public benefit airport authority.
34 5. The purposes of such authority shall be:
35 (a) to stimulate and promote economic development, trade and tourism;
36 (b) to acquire, construct, reconstruct, continue, develop, equip,
37 expand, improve, maintain, finance and operate aviation and other
38 related facilities and services within central New York;
39 (c) to promote safe, secure, efficient and economical air transporta-
40 tion by preserving and enhancing airport capacity;
41 (d) to form an integral part of a safe and effective nationwide system
42 of airports to meet the present and future needs of civil aeronautics
43 and national defense and to assure inclusion of the authority's facili-
44 ties in state, national and international programs for air transporta-
45 tion and for airport or airway capital improvement, all in accordance
46 with the provisions of this title; and
47 (e) to ensure that aviation facilities authorized pursuant to this
48 title shall provide for the protection and enhancement of the natural
49 resources and the quality of the environment of the state and the
50 central New York area.
51 6. Such purposes are in all respects public purposes for the benefit
52 of the people of the state of New York and for which public funds may be
53 expended and both the city of Syracuse and the authority in carrying out
54 their respective powers and duties under this title shall be deemed to
55 be acting in a governmental capacity. The acquisition, construction,
56 reconstruction, development, expansion, improvement, equipping, opera-
A. 2166--A 3
1 tion and maintenance of any project financed or undertaken by the
2 authority or the city shall be deemed to be the performance of an essen-
3 tial governmental function by the authority or the city acting in its
4 governmental capacity, whether such project shall be owned or operated
5 by the authority or by any person or public corporation.
6 7. It is hereby found and declared that it has been and remains the
7 policy of the state of New York to promote equal opportunity in employ-
8 ment for all persons, without discrimination on account of race, creed,
9 color, national origin, sex, sexual preference, age, disability or mari-
10 tal status, to promote equality of economic opportunity for minority
11 group members and women, and business enterprises owned by them, and to
12 eradicate the effects of private and governmental discrimination which
13 has erected and continues to maintain barriers that unreasonably impair
14 access by minority and women-owned business enterprises to state
15 contract opportunities. For the purpose of furthering the state's
16 compelling interest in eradicating the effects of racial and sexual
17 discrimination, therefore, it is necessary and proper that article
18 fifteen-a of the executive law, concerning participation by minority
19 group members and women and business enterprises owned by them, shall
20 apply to the Syracuse regional airport authority.
21 § 2799-ccc. Definitions. As used or referred to in this title, unless
22 a different meaning clearly appears from the context:
23 1. "Airport" shall mean any area of land or water which is used, or
24 intended for use, for the landing and takeoff of aircraft, and any
25 appurtenant areas which are used, or intended for use, for airport
26 buildings or other aviation facilities, airport facility or rights-of-
27 way, together with all airport buildings and facilities located thereon,
28 including any heliport;
29 2. "Airport hazard" shall mean any structure or object of natural
30 growth located on or in the vicinity of an airport, or any use of land
31 near such an airport, which obstructs the airspace required for the
32 flight of aircraft in landing or taking off at such airport or is other-
33 wise hazardous to such landing or taking off of aircraft;
34 3. "Authority" shall mean the corporation created by this title;
35 4. "Aviation facilities" shall mean any airport facility or terminal
36 including but not limited to any facility, property or equipment neces-
37 sary, convenient or desirable for the landing, taking off, accommodation
38 or servicing of aircraft of all types, and shall include such other
39 facilities, equipment, property, structures and appurtenances as may be
40 necessary or convenient in the operation, maintenance, development or
41 improvement of an airport including facilities, equipment, property,
42 structures, and appurtenances, leased by the authority to persons,
43 engaged in air transportation or the production or development of mate-
44 rials, goods or equipment for an airport or air transportation or in
45 providing facilities or equipment for the accommodation, safety, securi-
46 ty or comfort of the traveling public and for purposes related or inci-
47 dental to one or more of the foregoing purposes. It shall include, with-
48 out limitation, runways, aprons, hangars, control towers, ramps,
49 taxiways, navigation aids, warehouses, office and service buildings,
50 structures, parking facilities, concession facilities, restaurants
51 located in the terminal, motels and hotels located in the terminal,
52 retail stores, maintenance facilities, fuel facilities, and facilities
53 for the loading, unloading, holding, interchange or transfer of such
54 passengers, freight, baggage or cargo. It shall also mean any property
55 necessary to remove, mitigate, prevent or limit airport hazards. It
56 shall also mean facilities and equipment providing access to an airport
A. 2166--A 4
1 facility or terminal, including appropriate mass transportation terminal
2 facilities at and within the airport facility or terminal itself. It
3 shall also mean highways, access roads, driveways and approaches in the
4 vicinity of an airport facility or terminal providing improved access to
5 such airport facility or terminal. Notwithstanding any contrary
6 provision of law, general, special or local, it shall also mean railroad
7 projects related or of benefit to an airport facility or terminal
8 consisting of railroad transportation facilities; and any equipment,
9 improvement, structure or facility or any land, and any building, struc-
10 ture, facility or other improvement thereon, or any combination thereof,
11 and all property in connection therewith or incidental thereto, deemed
12 necessary or desirable in the opinion of the authority, whether or not
13 now in existence or under construction, for the undertaking of such
14 railroad projects (exclusive of privately owned, stand alone railroad
15 facilities which do not provide a benefit to the airport).
16 5. "Bonds" shall mean the bonds, notes or other evidences of indebt-
17 edness issued by the authority pursuant to this title and the provisions
18 of this title relating to bonds and bondholders which shall apply with
19 equal force and effect to notes and noteholders, respectively, unless
20 the context otherwise clearly requires.
21 6. "City" shall mean the city of Syracuse.
22 7. "Construction" shall mean the acquisition, erection, building,
23 alteration, repair, improvement, increase, enlargement, extension,
24 installation, reconstruction, renovation or rehabilitation of a project
25 including any appurtenances thereto which may be necessary or desirable
26 to promote the efficiency or effectiveness of such project; the
27 inspection and supervision thereof; and the engineering, consulting,
28 architectural, legal, fiscal and economic and environmental investi-
29 gations and studies, surveys, designs, plans, working drawings, specifi-
30 cations, procedures and other actions incidental thereto and claims
31 arising therefrom.
32 8. "Cost" as applied to any project, shall include the cost of
33 construction, the cost of the acquisition of all property, both real and
34 personal, improved and unimproved, the cost of demolishing, removing or
35 relocating any buildings or structures on lands so acquired, including
36 the cost of relocating tenants or other occupants of the buildings or
37 structures on such land and the cost of acquiring any lands to which
38 such buildings or structures may be moved or relocated, the cost of all
39 systems, facilities, machinery, apparatus and equipment, financing
40 charges, interest prior to, during and after construction to the extent
41 not paid or provided for from revenues or other sources, the cost of
42 engineering and architectural surveys, plans and specifications, the
43 cost of consultants' and legal services, the cost of lease guarantees,
44 credit enhancement or bond insurance, other expenses necessary or inci-
45 dental to the construction of such project and the financing of the
46 construction thereof, including the amount authorized in the resolution
47 of the authority providing for the issuance of bonds to be paid into any
48 reserve or other special fund from the proceeds of such bonds and the
49 financing of the placing of any project in operation, including
50 reimbursement to any public corporation, the state, the federal govern-
51 ment or any other person for expenditures that would be costs of the
52 project hereunder had they been made directly by the authority.
53 9. "County" shall mean Onondaga county.
54 10. "Equipment" shall mean snow removal vehicles, fire fighting and
55 rescue vehicles, passenger and freight vehicles, aircraft, motors, boil-
56 ers, engines, wires, ways, conduits and mechanisms, machinery, tools,
A. 2166--A 5
1 implements, materials, supplies, instruments and devices of every nature
2 whatsoever used or useful for aviation and transportation purposes or
3 for the generation or transmission of motive power including but not
4 limited to all power houses, and all apparatus and all devices for navi-
5 gation, security, safety, signaling, communications and ventilation as
6 may be necessary, convenient or desirable for the operation of aviation
7 facilities and pollution control facilities.
8 11. "Facility" shall mean, among other things, such properties, struc-
9 tures, appurtenances, utilities, terminals, railroad trackage, ware-
10 houses, elevators and such other works, properties, buildings or allied
11 items necessary or desirable in connection with development, operation,
12 maintenance or improvement of airport and public transportation needs
13 and for the accommodation, safety, security or comfort of the public and
14 of commercial enterprise.
15 12. "Federal government" shall mean the United States of America, and
16 any department, board, commission, bureau, division, corporation, agency
17 or instrumentality thereof.
18 13. "Joint service arrangement" shall mean agreements between or among
19 the authority and any person, the state, the city, any other public
20 corporation, the federal government, any other state or agency or
21 instrumentality thereof, relating to property, buildings, structures,
22 facilities, services, rates, fares, classifications, divisions, allow-
23 ances or charges (including charges between operators of railroad, omni-
24 bus and aviation facilities), or rules or regulations pertaining there-
25 to, for or in connection with or incidental to transportation in part in
26 or upon railroad, omnibus or aviation facilities located within the
27 county and in part in or upon railroad, omnibus or aviation facilities
28 located outside the county.
29 14. "Municipality" shall mean a county, city, town, village or school
30 district.
31 15. "Person" shall mean any natural person, firm, partnership, associ-
32 ation, joint venture or corporation, exclusive of a public corporation.
33 16. "Personal property" shall mean chattels and other tangible things
34 of a movable or removable nature.
35 17. "Pollution control facilities" shall mean any equipment, improve-
36 ment, structure or facility or any land and any building, structure,
37 facility or other improvement thereon, or any combination thereof, and
38 all property deemed necessary therewith, having to do with or the end
39 purpose of which is the control, abatement or prevention of land, sewer,
40 water, air, noise or general environmental pollution deriving from the
41 operation of aviation facilities, including, but not limited to any air
42 pollution control facility, noise abatement or suppression facility
43 (including physical barriers, landscaping and sound proofing for the
44 purpose of diminishing the effect of aircraft noise on any area adjacent
45 to an airport), water management facility, waste water collecting
46 system, waste water treatment works, sewage treatment works, deicing
47 facility, or sewage treatment system or site.
48 18. "Property" shall mean both real and personal property.
49 19. "Project" shall mean any property or improvements located within
50 the state of New York and within or outside or partially within and
51 partially outside Onondaga county, including, but not limited to,
52 machinery, equipment and other facilities deemed necessary or desirable
53 in connection therewith, or incidental thereto, whether or not now in
54 existence or under construction, which shall be necessary or suitable
55 for aviation purposes and airport development and which may include or
56 mean aviation facilities and pollution control facilities; provided,
A. 2166--A 6
1 however, the authority shall not use its funds in respect of any part of
2 a project located wholly or partially outside the county without the
3 prior consent thereto by the governing body of any other county in which
4 a part or parts of the project is, or is to be located. It shall also
5 mean any property necessary to remove, mitigate, prevent or limit
6 airport hazards.
7 20. "Public corporation" shall mean a county, city, town, village,
8 school district or special district, any public benefit corporation,
9 agency or instrumentality of the state or of any municipality, or two or
10 more of any of the foregoing acting jointly.
11 21. "Real property" shall mean lands, structures, franchises and
12 interests in land, airspace, waters, lands under water, riparian rights,
13 air rights, any fixtures, equipment and articles of personal property
14 affixed to or used in connection therewith, and any and all things and
15 rights included within said term and includes not only fees simple abso-
16 lute but also any and all lesser interests including but not limited to
17 easements, rights-of-way, uses, leases, licenses and all other incorpo-
18 real hereditaments and every estate, interest or right, legal or equita-
19 ble, including terms for years and liens thereon by way of judgments,
20 mortgages, or otherwise.
21 22. "Revenues" shall mean all rates, fees, rents, revenues, charges
22 and other income derived by the authority from the operation, leasing,
23 sale or other disposition of a project or projects.
24 23. "State" shall mean the state of New York.
25 § 2799-ddd. Syracuse regional airport authority. 1. There is hereby
26 created the Syracuse regional airport authority. The authority shall be
27 a body corporate and politic constituting a public benefit corporation.
28 The authority shall consist of eleven members who shall be appointed as
29 follows: seven shall be appointed by the mayor of the city of Syracuse,
30 one shall be appointed by the county executive of Onondaga county, one
31 shall be appointed by the town board of the town of Dewitt, one shall be
32 appointed by the board of education of the East Syracuse Minoa Central
33 School District, and one shall be appointed for a period of one year,
34 alternately, by the board of education of the North Syracuse Central
35 School District and the town board of the town of Salina, Cicero or
36 Clay. The member initially appointed by the county executive and two of
37 the members initially appointed by the mayor shall serve for a term
38 ending December thirty-first, two thousand fourteen. Two of the members
39 initially appointed by the mayor shall serve for a term ending December
40 thirty-first, two thousand fifteen. Three members initially appointed by
41 the mayor, the member appointed by the town board of the town of Dewitt,
42 and the member appointed by the board of education of the East Syracuse
43 Minoa Central School District, shall serve for a term ending December
44 thirty-first, two thousand sixteen. The first member appointed by the
45 town board of the town of Salina, Cicero or Clay, or by the board of
46 education of the North Syracuse Central School District, shall be
47 appointed by the town board of the town of Cicero and shall serve for a
48 term ending December thirty-first, two thousand thirteen. Following the
49 expiration of such member's one year term, the subsequently appointed
50 member shall be appointed by the town board of the town of Salina.
51 Following the expiration of such member's one year term, the subsequent-
52 ly appointed member shall be appointed by the town board of the town of
53 Clay. Following the expiration of such member's one year term, the
54 subsequently appointed member shall be appointed by the board of educa-
55 tion of the North Syracuse Central School District. Thereafter, each
56 subsequent member shall be appointed alternately by each town or the
A. 2166--A 7
1 board of education in the same order as the initial appointments. The
2 mayor shall designate one of the eleven members to serve as chairperson
3 of the authority. With the exception of the member appointed by the
4 board of education of the North Syracuse Central School District or by
5 the town board of the town of Salina, Cicero or Clay, who shall serve a
6 one year term, and those initial appointees whose terms are three years
7 or less, each member shall serve a term of four years.
8 2. All members shall continue to hold office until their successors
9 are appointed and qualify. Vacancies shall be filled in the manner
10 provided for original appointment. Vacancies, occurring otherwise than
11 by expiration of term of office, shall be filled for the unexpired
12 terms. Members may be removed from office for the same reasons and in
13 the same manner as may be provided by law for the removal of officers of
14 the city. The members of the authority shall receive no compensation for
15 their services but shall be reimbursed for all their actual and neces-
16 sary expenses incurred in connection with the carrying out of the
17 purposes of this title. The powers of the authority shall be vested in
18 and be exercised by the members of the authority at a meeting duly
19 called and held and a majority of directors shall constitute a quorum.
20 No action shall be taken except pursuant to the favorable vote of at
21 least a majority of members. The members of the authority may delegate
22 to one or more of its members, officers, agents or employees such powers
23 and duties as it may deem proper.
24 3. The authority shall have a regional advisory board consisting of
25 eight non-voting members. The membership shall include one member
26 appointed by the county executive of Oneida county, one member each
27 appointed by the chairpersons of the county legislatures of Onondaga,
28 Oswego, Cortland, Cayuga, and Jefferson counties, one member appointed
29 by the chairperson of the board of supervisors of Madison county, and
30 one member appointed by the Common Council of the City of Syracuse.
31 Members will be appointed for two year terms and may be reappointed.
32 4. Appointments to the authority and to the non-voting advisory board
33 shall be geographically diverse and include representatives from busi-
34 ness, finance, and labor.
35 5. Notwithstanding any inconsistent provision of any general, special
36 or local law, ordinance, resolution or charter, no officer, member or
37 employee of the state or of any public corporation shall forfeit his or
38 her office or employment by reason of his or her acceptance of appoint-
39 ment as a member, officer or employee of the authority, nor shall
40 service as such member, officer or employee be deemed incompatible or in
41 conflict with such office, membership or employment.
42 6. All members of the authority will be required to comply with the
43 city of Syracuse code of ethics and to complete all disclosure forms
44 required by said code of ethics.
45 7. The authority shall continue for a term of one year after all its
46 bonds have been fully paid and discharged. Upon termination of the
47 existence of the authority, all of its rights and property shall pass to
48 and be vested in the city.
49 § 2799-eee. Advances on behalf of authority, transfer of property to
50 authority, acquisition of property by city or authority. 1. In addition
51 to any powers granted to it by law, the city or any other public corpo-
52 ration may, from time to time, appropriate by ordinance or resolution
53 sums of money to defray project costs or any other costs and expenses of
54 the authority including operating expenses. Subject to the rights of
55 bondholders, the city or such other public corporation may determine if
56 the moneys so appropriated shall be subject to repayment by the authori-
A. 2166--A 8
1 ty to the city or such other public corporation and, in such event, the
2 manner and time or times for such repayment.
3 2. Notwithstanding any inconsistent provision of any general, special
4 or local law, ordinance, resolution or charter, any public corporation
5 may, by a majority vote of its governing body and the approval of its
6 chief executive officer, give, grant, sell, convey, loan, license the
7 use of or lease to the authority any property or facilities, including
8 aviation facilities and pollution control facilities, which are useful
9 in connection with the exercise by the authority of its powers under
10 this title. Any such gift, grant, sale, conveyance, loan, license or
11 lease shall be upon such terms and conditions, and for such term or
12 terms of years, subject to the rights of the holders of any bonds, as
13 the authority and such public corporation may agree. Any such gift,
14 grant, sale, conveyance, lease, loan or license shall not be subject to
15 referendum, permissive or mandatory. In the event that any public corpo-
16 ration gives, grants, sells, conveys, loans, licenses or leases any
17 aviation facilities, real property, facilities or pollution control
18 facilities to the authority, such public corporation may contract with
19 the authority to lease, borrow, license, operate, maintain, manage and
20 provide services for such real property or facilities upon such terms
21 and conditions and for such term or terms of years, subject to the
22 rights of holders of bonds, as the authority and such public corporation
23 may agree. The authority, in furtherance of any purchase, conveyance or
24 lease of any property or facility from any public corporation, may
25 assume the primary responsibility for the payment of the principal and
26 interest on any bonds or notes issued by such public corporation for
27 such property or facility. For purposes of section 136.00 of the local
28 finance law, any agreement by the authority to assume the primary
29 responsibility for the payment of the principal and interest on any
30 bonds or notes issued by any such public corporation shall, so long as
31 such agreement shall continue to be honored by the authority, cause such
32 bonds or notes to be deemed to have been refunded and any such public
33 corporation may deduct from its gross indebtedness any outstanding
34 indebtedness contracted for such property or facility to be acquired by
35 the authority.
36 3. The city may acquire by purchase, grant, lease, gift or condemna-
37 tion pursuant to the eminent domain procedure law real property in the
38 name of the city for any corporate purpose of the authority.
39 4. Notwithstanding the provisions of any other law, general, special
40 or local, real property acquired by the authority or the city from the
41 state may be used for any corporate purpose of the authority.
42 § 2799-fff. Transfer of officers and employees. 1. In accordance with
43 the provisions of section seventy of the civil service law, any officer
44 or employee of the city, selected by the authority may, with the consent
45 of the mayor, be transferred to the authority and shall be eligible for
46 such transfer and appointment, without further examination, to applica-
47 ble offices, positions and employment under the authority. Any such
48 officers or employees so transferred to the authority pursuant to this
49 section, who are members of or benefit under any existing pension or
50 retirement fund or system, shall continue to have all rights, privi-
51 leges, obligations and status with respect to such fund or system as are
52 now prescribed by law, but during the period of their employment by the
53 authority, all contributions to such funds or systems to be paid by the
54 employer on account of such officers or employees shall be paid by the
55 authority.
A. 2166--A 9
1 2. A transferred employee shall remain in the same collective bargain-
2 ing unit as was the case prior to his or her transfer; successor employ-
3 ees to the positions held by such transferred employees shall, consist-
4 ent with the provisions of article fourteen of the civil service law, be
5 included in the same unit as their predecessors. Employees serving in
6 positions in newly created titles shall be assigned to such same collec-
7 tive bargaining unit if they would have been assigned to such unit were
8 such titles created prior to the establishment of the authority. Nothing
9 contained in this title shall be construed (a) to diminish the rights of
10 employees pursuant to a collective bargaining agreement or (b) to affect
11 existing law with respect to an application to the public employment
12 relations board seeking a designation by the board that certain persons
13 are managerial or confidential.
14 § 2799-ggg. General powers of the authority. Except as otherwise
15 limited by this title, the authority shall have power:
16 1. to sue and be sued;
17 2. to have a seal and alter the same at pleasure;
18 3. to borrow money and issue bonds for any of its corporate purposes
19 or its projects and to provide for the rights of the holders thereof;
20 4. to make and alter by-laws for its organization and management, and,
21 subject to agreements with its bondholders, to make and alter rules and
22 regulations governing the exercise of its powers and the fulfillment of
23 its purposes under this title;
24 5. to acquire by purchase, grant, lease, gift, condemnation pursuant
25 to the provisions of the eminent domain procedure law with the approval
26 of the city, or otherwise and to hold and use property and facilities
27 necessary, convenient or desirable to carry out its corporate purposes,
28 and to sell, convey, mortgage, lease, pledge, exchange or otherwise
29 dispose of any such property and facilities;
30 6. to acquire, construct, reconstruct, lease, expand, improve, main-
31 tain, equip, furnish, operate one or more projects and, if necessary, to
32 pay or finance the cost thereof;
33 7. to apply for and to accept gifts, grants, loans, or contributions
34 of funds or property or financial or other aid in any form from, and
35 enter into contracts or other transactions with, the federal government,
36 the state or any public corporation or any other source, and to use any
37 such gifts, grants, loans or contributions for any of its corporate
38 purposes;
39 8. to grant options to renew any lease with respect to any project or
40 projects and to grant options to buy any project;
41 9. to designate the depositories of its money;
42 10. to establish its fiscal year;
43 11. to enter into contracts, agreements and leases with the federal
44 government, the state, the county, the city, any person or other public
45 corporation and to execute all instruments necessary or convenient to
46 accomplishing its corporate purposes;
47 12. to appoint such officers, employees and agents as the authority
48 may require for the performance of its duties, and to fix and determine
49 their qualifications, duties, and compensation subject to the provisions
50 of the civil service law and any applicable collective bargaining agree-
51 ment, and to retain or employ counsel, auditors, engineers and private
52 consultants on a contract basis or otherwise for rendering professional,
53 management or technical services and advice;
54 13. with the consent of the mayor to use employees, agents, consult-
55 ants and facilities of the city, paying the city its agreed proportion
56 of the compensation or costs;
A. 2166--A 10
1 14. to make plans, surveys, and studies necessary, convenient or
2 desirable to the effectuation of the purposes and powers of the authori-
3 ty and to prepare recommendations in regard thereto;
4 15. to enter upon such lands, waters or premises as in the judgment of
5 the authority may be necessary, convenient or desirable for the purpose
6 of making surveys, soundings, borings and examinations to accomplish any
7 purpose authorized by this title, the authority being liable for actual
8 damage done;
9 16. the authority may covenant and consent that the interest on any of
10 its bonds or notes issued pursuant to this title shall be includible,
11 under the United States Internal Revenue Code of 1986, or any subsequent
12 corresponding internal revenue law of the United States, in gross income
13 of the holders of the bonds or notes to the same extent and in the same
14 manner that the interest on bills, bonds, notes or other obligations of
15 the United States is includible in the gross income of the holders ther-
16 eof under said Internal Revenue Code or any such subsequent law;
17 17. to do all things necessary, convenient or desirable to carry out
18 its purposes and for the exercise of the powers granted in this title;
19 and
20 18. to insure or provide for the insurance of the authority's property
21 or operations as required by law and also against such other risks as
22 the authority may deem advisable.
23 § 2799-hhh. Special powers of the authority. In order to effectuate
24 the purpose of this title:
25 1. The authority may enter into any joint service arrangements as
26 provided in this section.
27 2. The authority may, establish, construct, effectuate, operate,
28 manage, maintain, renovate, improve, extend or repair any aviation
29 facilities or pollution control facilities, or may provide for such
30 establishment, construction, effectuation, operation, management, main-
31 tenance, renovation, improvement, extension or repair by contract,
32 lease, or other arrangement with the federal government, any state or
33 agency or instrumentality thereof, or any person or public corporation.
34 In connection with the operation of any such facilities, the authority
35 may establish, construct, effectuate, operate, manage, maintain, reno-
36 vate, improve, extend or repair or may provide by contract, lease or
37 other arrangement for the establishment, construction, effectuation,
38 operation, management, maintenance, renovation, improvement, extension
39 or repair of any related services and activities.
40 3. The authority may establish, fix, revise, levy and collect or cause
41 to be established, fixed, revised, levied and collected and, in the case
42 of a joint service arrangement, join with others in the establishment,
43 fixing, revision, levy and collection of such fares, rentals, rates,
44 charges, landing and field use fees, concession fees and other fees for
45 the use and operation of any real property, aviation facilities,
46 pollution control facilities, facility and related services operated or
47 managed by the authority or under contract, lease or other arrangement,
48 including joint service arrangements, with the authority. Such fares,
49 rentals, rates, charges, landing and field use fees, concession fees or
50 other fees shall be at least sufficient at all times in the judgment of
51 the authority to establish and maintain the combined operations of the
52 authority on a self-sustaining basis. Such operations shall be deemed to
53 be on a self-sustaining basis as required by this title, when the
54 authority is able to pay or fund or cause to be paid or funded from
55 revenues and any other funds actually available to the authority:
A. 2166--A 11
1 (a) the principal of, premium, if any, and the interest on the
2 outstanding bonds of the authority as the same shall become due and
3 payable and any capital or debt service reserve therefor and, to the
4 extent required by any agreement between the city and the authority, the
5 principal of and interest on any general obligation bonds, notes or
6 other evidence of indebtedness of the city issued for or allocable to
7 any project of the authority as the same shall become due and payable
8 and any reserves therefor;
9 (b) the cost of administering, maintaining, repairing and operating
10 any project of the authority;
11 (c) the cost of constructing capital improvements thereto pursuant to
12 any agreement between the city and the authority;
13 (d) any liabilities incurred for or allocable to any project of the
14 authority including any liabilities of the city assumed by the authority
15 pursuant to any agreement between the city and the authority, as the
16 same become due and payable;
17 (e) any requirements of any agreement including those relating to the
18 establishment of reserves for renewal and replacement and for uncol-
19 lected fares, rentals, rates, charges and fees and covenants respecting
20 rates and debt service and earnings coverage ratios;
21 (f) all other reasonable and necessary expenses of the authority; and
22 (g) the cost of such additional projects as may be now or hereafter
23 authorized by law and agreed to by the authority.
24 4. The authority may establish and, in the case of joint service
25 arrangements, join with others in the establishment of such schedules
26 and standards of operations and such other rules and regulations includ-
27 ing but not limited to rules and regulations governing the conduct,
28 safety and security of the public as it may deem necessary, convenient
29 or desirable for the use, operation and management of any project and
30 related services operated or managed by the authority or under contract,
31 lease or other arrangement, including joint service arrangements, with
32 the authority. Such rules and regulations governing the conduct, safety
33 and security of the public shall be filed with the department of state
34 in the manner provided by section one hundred two of the executive law.
35 In the case of any conflict between any such rule or regulation of the
36 authority governing the conduct, safety and security of the public and
37 any local law, local ordinance, local rule or local regulation, such
38 rule or regulation of the authority shall prevail. Nothing in this
39 section shall be construed to exempt the authority from any state law,
40 rule or regulation.
41 5. The authority may manage, control and direct the maintenance and
42 operation of aviation facilities, equipment or property operated by or
43 under contract, lease or other arrangement with the authority. Except
44 as agreed to pursuant to any agreement between the authority and any
45 public corporation and except as hereinafter specially provided, no
46 municipality except for the city, shall have jurisdiction over any
47 facilities of the authority or any of its activities or operations. The
48 city may provide for such facilities' police and fire protection
49 services.
50 6. The authority may accept unconditional grants of money or property
51 from any municipality the whole or any part of which municipality shall
52 be served or to be served by an aviation facility operated by the
53 authority. Such grants of money or property would be for the purpose of
54 assisting the authority in meeting its capital or operating expenses.
55 The acceptance of any such grant shall not operate to make the authority
56 an agency of the municipality making the grant.
A. 2166--A 12
1 7. In any instance where the city is required by law, with respect to
2 an airport or any aviation facilities, to conduct a public hearing in
3 connection with a contract, lease, joint service arrangement, charge,
4 fare, rental or fee, the authority shall not enter into such contract,
5 lease, joint service arrangement, or establish, fix, revise or levy any
6 charge, fare, rental, landing and field use fee, concession fee or other
7 fee unless and until the authority has held a public hearing at which
8 interested persons have had an opportunity to be heard concerning the
9 same, provided however, if the city has conducted a public hearing in
10 connection with such contract, lease, joint service arrangement, charge,
11 fare, rental or fee, the authority shall not be required to hold a
12 public hearing. Notice of such public hearing shall be published by the
13 authority at least ten days before the date set therefor, in at least
14 one newspaper of general circulation in the county and on the authority
15 website. Such notice shall set forth the date, time and place of such
16 hearing and shall include a brief description of the matters to be
17 considered at such meeting. At all such hearings, any interested persons
18 shall have an opportunity to be heard concerning the matters under
19 consideration. Any decision of the authority on matters considered at
20 such public hearing shall be in writing and be made available in the
21 office of the authority for public inspection during regular office
22 hours and posted on the authority website.
23 § 2799-iii. City approval required. Notwithstanding any inconsistent
24 provision of this title, no project having an aggregate cost exceeding
25 ten million dollars, including but not limited to the acquisition of
26 real property by the authority or the expansion of the authority's
27 aviation facilities, may be undertaken by the authority unless such
28 project is approved by ordinance of the Syracuse common council adopted
29 by a majority vote and approved by the mayor.
30 § 2799-jjj. Bonds of the authority. 1. The authority shall have the
31 power and is hereby authorized from time to time to issue bonds, notes
32 or other obligations to pay the cost of any project or for any other
33 corporate purpose, including the establishment of reserves to secure the
34 bonds, the payment of principal of, premium, if any, and interest on the
35 bonds and the payment of incidental expenses in connection therewith.
36 The aggregate principal amount of such bonds, notes or other obligations
37 shall not exceed two hundred million dollars ($200,000,000), excluding
38 bonds, notes or other obligations issued to refund or otherwise repay
39 bonds, notes or other obligations theretofore issued for such purposes;
40 provided, however, that upon any such refunding or repayment the total
41 aggregate principal amount of outstanding bonds, notes or other obli-
42 gations may be greater than two hundred million dollars ($200,000,000)
43 only if the present value of the aggregate debt service of their funding
44 or repayment bonds, notes or other obligations to be issued shall not
45 exceed the present value of the aggregate debt service of the bonds,
46 notes or other obligations so to be refunded or repaid. For purposes of
47 this section, the present values of the aggregate debt service of the
48 refunding or repayment bonds, notes or other obligations and of the
49 aggregate debt service of the bonds, notes or other obligations so
50 refunded or repaid, shall be calculated by utilizing the effective
51 interest rate of the refunding or repayment bonds, notes or other obli-
52 gations, which shall be that rate arrived at by doubling the semi-annual
53 interest rate (compounded semi-annually) necessary to discount the debt
54 service payments on the refunding or repayment bonds, notes or other
55 obligations from the payment dates thereof to the date of issue of the
56 refunding or repayment bonds, notes or other obligations and to the
A. 2166--A 13
1 price bid including estimated accrued interest or proceeds received by
2 the authority including estimated accrued interest from the sale there-
3 of. The authority shall have power and is hereby authorized to enter
4 into such agreements and perform such acts as may be required under any
5 applicable federal legislation to secure a federal guarantee of any
6 bonds.
7 2. The authority shall have power from time to time to renew bonds or
8 to issue renewal bonds for such purpose, to issue bonds to pay bonds,
9 and, whenever it deems refunding expedient, to refund any bond by the
10 issuance of new bonds, whether the bonds to be refunded have or have not
11 matured, and may issue bonds partly to refund bonds then outstanding and
12 partly for any other corporate purpose of the authority. Bonds (other
13 than notes or other evidence of indebtedness) issued for refunding
14 purposes, which have a final maturity date longer than the maturity of
15 the bonds being refunded, shall be approved by a resolution of the
16 common council adopted by a majority vote and approved by the mayor.
17 Bonds issued for refunding purposes shall be sold and the proceeds
18 applied to the purchase, redemption or payment of the bonds or notes to
19 be refunded.
20 3. Bonds issued by the authority may be general obligations secured by
21 the faith and credit of the authority or may be special obligations
22 payable solely out of particular revenues or other moneys as may be
23 designated in the proceedings of the authority under which the bonds
24 shall be authorized to be issued, subject as to priority only to any
25 agreements with the holders of outstanding bonds pledging any particular
26 property, revenues or moneys. The authority may also enter into loan
27 agreements, lines of credit and other security agreements and obtain for
28 or on its behalf letters of credit, insurance, guarantees or other cred-
29 it enhancements to the extent now or hereafter available, in each case
30 for securing its bonds or to provide direct payment of any costs which
31 the authority is authorized to pay.
32 4. (a) Bonds shall be authorized by resolution of the authority, be in
33 such denominations and bear such date or dates and mature at such time
34 or times, as such resolution may provide, provided that bonds and
35 renewals thereof shall mature within thirty years from the date of
36 original issuance of any such bonds.
37 (b) Bonds shall be subject to such terms of redemption, bear interest
38 at such rate or rates, be payable at such times, be in such form, either
39 coupon or registered, carry such registration privileges, be executed in
40 such manner, be payable in such medium of payment at such place or plac-
41 es, and be subject to such terms and conditions as such resolution may
42 provide.
43 (c) Notwithstanding any other provision of law, the bonds of the
44 authority issued pursuant to this section shall be sold to the bidder
45 offering the lowest true interest cost, taking into consideration any
46 premium or discount not less than four nor more than fifteen days,
47 Sundays excepted, after a notice of such sale has been published at
48 least once in a newspaper of general circulation in the area served by
49 the authority and on the authority website, which shall state the terms
50 of the sale. The terms of the sale may not change unless notice of such
51 change is published in such newspaper and on the authority website at
52 least one day prior to the date of the sale as set forth in the original
53 notice of sale. Advertisements shall contain a provision to the effect
54 that the authority, in its discretion, may reject any or all bids made
55 in pursuance of such advertisements, and in the event of such rejection,
56 the authority is authorized to negotiate a private or public sale or
A. 2166--A 14
1 re-advertise for bids in the form and manner above described as many
2 times as, in its judgment, may be necessary to effect a satisfactory
3 sale.
4 (d) Notwithstanding the provisions of the preceding paragraph, whenev-
5 er in the judgment of the authority the interests of the authority will
6 be served thereby, the members of the authority, on the written recom-
7 mendation of the chairperson, may authorize the sale of such bonds at
8 private or public sale on a negotiated basis or on either a competitive
9 or negotiated basis. The authority shall set guidelines governing the
10 terms and conditions of any such private or public sales.
11 (e) The private or public bond sale guidelines set by the authority
12 shall include, but not be limited to a requirement that where the inter-
13 ests of the authority will be served by a private or public sale of
14 bonds, the authority shall select underwriters for private or public
15 bond sales conducted pursuant to a request for proposal process under-
16 taken at least once annually and consideration of proposals from quali-
17 fied underwriters taking into account, among other things, qualifica-
18 tions of underwriters as to experience, their ability to structure and
19 sell authority bond issues, anticipated costs to the authority, the
20 prior experience of the authority with the firm, if any, the capitaliza-
21 tion of such firms, participation of qualified minority and women-owned
22 business enterprise firms in such private or public sales of bonds of
23 the authority and the experience and ability of firms under consider-
24 ation to work with minority and women-owned business enterprises so as
25 to promote and assist participation by such enterprises.
26 (f) The authority shall have the power from time to time to amend such
27 private bond sale guidelines in accordance with the provisions of this
28 subdivision.
29 (g) No private or public bond sale on a negotiated basis shall be
30 conducted by the authority without prior approval of the state comp-
31 troller and the city comptroller.
32 (h) The authority shall annually prepare and approve a bond sale
33 report which shall include the private or public bond sale guidelines as
34 specified in this subdivision, amendments to such guidelines since the
35 last private or public bond sale report, an explanation of the bond sale
36 guidelines and amendments, and the results of any sale of bonds
37 conducted during the fiscal year. Such bond sale report may be a part of
38 any other annual report that the authority is required to make.
39 (i) The authority shall annually submit its bond sale report to the
40 state comptroller and copies thereof to the senate finance committee,
41 the assembly ways and means committee and the authority budget office.
42 (j) The authority shall make available to the public copies of its
43 bond sale report upon reasonable request therefore.
44 (k) Nothing contained in this subdivision shall be deemed to alter,
45 affect the validity of, modify the terms of or impair any contract or
46 agreement made or entered into in violation of, or without compliance
47 with, the provisions of this subdivision.
48 5. Any resolution or resolutions authorizing bonds or any issue of
49 bonds may contain provisions which may be a part of the contract with
50 the holders of the bonds thereby authorized as to:
51 (a) pledging all or any part of the revenues, other moneys or property
52 of the authority to secure the payment of the bonds, or any costs of
53 issuance thereof, including but not limited to any contracts, earnings
54 or proceeds of any grant to the authority received from any private or
55 public source subject to such agreements with bondholders as may then
56 exist;
A. 2166--A 15
1 (b) the setting aside of reserves and the creation of sinking funds
2 and the regulation and disposition thereof;
3 (c) limitations on the purpose to which the proceeds from the sale of
4 bonds may be applied;
5 (d) the rates, rents, fees and other charges to be fixed and collected
6 by the authority and the amount to be raised in each year thereby and
7 the use and disposition of revenues;
8 (e) limitations on the right of the authority to restrict and regulate
9 the use of the project or part thereof in connection with which bonds
10 are issued;
11 (f) limitations on the issuance of additional bonds, the terms upon
12 which additional bonds may be issued and secured and the refunding of
13 outstanding or other bonds;
14 (g) the procedure, if any, by which the terms of any contract with
15 bondholders may be amended or abrogated, the amount of bonds the holders
16 of which must consent thereto, and the manner in which such consent may
17 be given;
18 (h) the creation of special funds into which any revenues or moneys
19 may be deposited;
20 (i) the terms and provisions of any trust, mortgage, deed or indenture
21 securing the bonds under which the bonds may be issued;
22 (j) vesting in a trustee or trustees such properties, rights, powers
23 and duties in trust as the authority may determine which may include any
24 or all of the rights, powers and duties of the trustees appointed by the
25 bondholders pursuant to this title and limiting or abrogating the rights
26 of the bondholders to appoint a trustee under such section or limiting
27 the rights, duties and powers of such trustee;
28 (k) defining the acts or omissions to act which may constitute a
29 default in the obligations and duties of the authority to the bondhold-
30 ers and providing for the rights and remedies of the bondholders in the
31 event of such default, including as a matter of right the appointment of
32 a receiver, provided, however, that such rights and remedies shall not
33 be inconsistent with the general laws of the state and other provisions
34 of this title;
35 (l) limitations on the power of the authority to sell or otherwise
36 dispose of any project or any part thereof;
37 (m) limitations on the amount of revenues and other moneys to be
38 expended for operating, administrative or other expenses of the authori-
39 ty;
40 (n) the payment of the proceeds of bonds, revenues and other moneys to
41 a trustee or other depository, and for the method of disbursement there-
42 of with such safeguards and restrictions as the authority may determine;
43 and
44 (o) any other matters of like or different character which in any way
45 affect the security or protection of the bonds or the rights and reme-
46 dies of bondholders.
47 6. In addition to the powers herein conferred upon the authority to
48 secure its bonds, the authority shall have power in connection with the
49 issuance of bonds to adopt resolutions and enter into such trust inden-
50 tures, agreements or other instruments as the authority may deem neces-
51 sary, convenient or desirable concerning the use or disposition of its
52 revenues or other moneys or property, including the mortgaging of any
53 property and the entrusting, pledging or creation of any other security
54 interest in any such revenues, moneys or property and the doing of any
55 act, including refraining from doing any act which the authority would
56 have the right to do in the absence of such resolutions, trust inden-
A. 2166--A 16
1 tures, agreements or other instruments. The authority shall have power
2 to enter into amendments of any such resolutions, trust indentures,
3 agreements or other instruments. The provisions of any such resol-
4 utions, trust indentures, agreements or other instruments may be made a
5 part of the contract with the holders of bonds of the authority.
6 7. Any provision of the uniform commercial code to the contrary
7 notwithstanding, any pledge of or other security interest in revenues,
8 moneys, accounts, contract rights, general intangibles or other personal
9 property made or created by the authority shall be valid, binding and
10 perfected from the time when such pledge is made or other security
11 interest attaches without any physical delivery of the collateral or
12 further act, and the lien of any such pledge or other security interest
13 shall be valid, binding and perfected against all parties having claims
14 of any kind in tort, contract or otherwise against the authority irre-
15 spective of whether or not such parties have notice thereof. No instru-
16 ment by which such a pledge or security interest is created nor any
17 financing statement need be recorded or filed.
18 8. Whether or not the bonds are of such form and character as to be
19 negotiable instruments under the terms of the uniform commercial code,
20 the bonds are hereby made negotiable instruments within the meaning of
21 and for all the purposes of the uniform commercial code, subject only to
22 the provisions of the bonds for registration.
23 9. Neither the members of the authority nor any person executing its
24 bonds shall be liable personally on its bonds or be subject to any
25 personal liability or accountability by reason of the issuance thereof.
26 10. Subject to such agreements with bondholders as may then exist, the
27 authority shall have power out of any funds available therefor to
28 purchase bonds of the authority, which shall thereupon be cancelled, at
29 a price not exceeding (a) if the bonds are then redeemable, the redemp-
30 tion price then applicable plus accrued interest to the next interest
31 payment date, or (b) if the bonds are not then redeemable, the redemp-
32 tion price applicable on the first date after such purchase upon which
33 the bonds become subject to redemption plus accrued interest to the next
34 interest payment date. Bonds so purchased shall thereupon be cancelled.
35 § 2799-kkk. Remedies of bondholders. Subject to any resolution or
36 resolutions adopted pursuant to this title:
37 1. In the event that the authority shall default in the payment of
38 principal or of interest on any issue of bonds after the same shall
39 become due, whether at maturity or upon call for redemption, and such
40 default shall continue for a period of thirty days, or in the event that
41 the authority shall fail or refuse to comply with the provisions of this
42 title or shall default in any agreement made with the holders of any
43 issue of bonds, the holders of twenty-five percent in aggregate princi-
44 pal amount of the bonds of such issue then outstanding, by instrument or
45 instruments filed in the office of the clerk of the county in which the
46 principal office of the authority is located and proved or acknowledged
47 in the same manner as a deed to be recorded, may appoint a trustee to
48 represent the holders of such bonds for the purpose herein provided.
49 2. Such trustee may, and upon written request of the holders of twen-
50 ty-five per centum in principal amount of such bonds outstanding, shall
51 in its own name:
52 (a) by action or proceeding in accordance with the civil practice law
53 and rules, enforce all rights of the bondholders, including the right to
54 require the authority to collect rents, rates, fees and charges adequate
55 to carry out any agreement as to, or pledge of, such rents, rates, fees
56 and charges and to require the authority to carry out any other agree-
A. 2166--A 17
1 ments with the holders of such bonds to perform its duties under this
2 title;
3 (b) bring an action or proceeding upon such bonds;
4 (c) by action or proceeding, require the authority to account as if it
5 were the trustee of an express trust for the holders of such bonds;
6 (d) by action or proceeding, enjoin any acts or things which may be
7 unlawful or in violation of the rights of the holders of such bonds; and
8 (e) declare all such bonds due and payable, and if all defaults shall
9 be made good, then with the consent of the holders of twenty-five per
10 centum of the principal amount of such bonds then outstanding, to annul
11 such declaration and its consequences.
12 3. Such trustee shall in addition to the foregoing have and possess
13 all of the powers necessary or appropriate for the exercise of any func-
14 tions specifically set forth in this title or incident to the general
15 representation of bondholders in the enforcement and protection of their
16 rights.
17 4. The supreme court shall have jurisdiction of any action or proceed-
18 ing by the trustee on behalf of such bondholders. The venue of any such
19 action or proceeding shall be laid in the county.
20 5. Before declaring the principal of bonds due and payable, the trus-
21 tee shall first give thirty days notice in writing to the authority.
22 6. Any such trustee whether or not the issue of bonds represented by
23 such trustee has been declared due and payable, shall be entitled as of
24 right to the appointment of a receiver of any part or parts of the
25 project, the revenues of which are pledged for the security of the bonds
26 of such issue, and such receiver may enter and take possession of such
27 part or parts of the project and, subject to any pledge or agreement
28 with the holders of such bonds, shall take possession of all moneys and
29 other property derived from such part or parts of the project and
30 proceed with any construction thereon or the acquisition of any proper-
31 ty, real or personal, in connection therewith that the authority is
32 under obligation to do, and operate, maintain and reconstruct such part
33 or parts of the project and collect and receive all revenues thereafter
34 arising therefrom subject to any pledge or agreement with bondholders
35 relating thereto and perform the public duties and carry out the agree-
36 ments and obligations of the authority under the direction of the court.
37 In any suit, action or proceeding by the trustee, the fees, counsel fees
38 and expenses of the trustee and of the receiver, if any, shall consti-
39 tute taxable disbursements and all costs and disbursements allowed by
40 the court shall be a first charge on any revenues derived from the
41 project.
42 § 2799-lll. State, county, and city not liable on authority bonds.
43 Neither the state, the county, nor the city shall be liable on the bonds
44 of the authority and such bonds shall not be a debt of the state, the
45 county, or the city, and such bonds shall contain on the face thereof a
46 statement to such effect.
47 § 2799-mmm. Moneys of the authority. All moneys of the authority from
48 whatever source derived shall be paid to the treasurer of the authority
49 and shall be deposited forthwith in a bank or banks designated by the
50 authority. The moneys in such accounts shall be paid out on check of the
51 treasurer upon requisition by such person or persons as the authority
52 may authorize to make such requisitions. All deposits of such moneys
53 shall be secured by obligations of the United States or of the state or
54 of any municipality of a market value equal at all times to the amount
55 on deposit and all banks and trust companies are authorized to give such
56 security for such deposits. To the extent practicable, consistent with
A. 2166--A 18
1 the cash requirements of the authority, all such moneys shall be depos-
2 ited in interest bearing accounts. The authority shall have power,
3 notwithstanding the provisions of this section, to contract with the
4 holders of any bonds as to the custody, collection, security, investment
5 and payment of any moneys of the authority or any moneys held in trust
6 or otherwise for the payment of bonds or in any way to secure bonds, and
7 carry out any such contract notwithstanding that such contract may be
8 inconsistent with the provisions of this section. Moneys held in trust
9 or otherwise for the payment of bonds or in any way to secure bonds and
10 deposits of such moneys may be secured in the same manner as moneys of
11 the authority and all banks and trust companies are authorized to give
12 such security for such deposits. Any moneys of the authority not
13 required for immediate use or disbursement may, at the discretion of the
14 authority, be invested in those obligations specified pursuant to the
15 provisions of section ninety-eight-a of the state finance law. Subject
16 to the provisions of any contract with bondholders and with the approval
17 of the state comptroller, the authority shall prescribe a system of
18 accounts.
19 § 2799-nnn. Bonds legal investment for fiduciaries. The bonds of the
20 authority are hereby made securities in which all public officers and
21 bodies of the state and all municipalities, all insurance companies and
22 associations and other persons carrying on an insurance business, all
23 banks, bankers, trust companies, savings banks and savings associations,
24 including savings and loan associations, building and loan associations,
25 investment companies and other persons carrying on a banking business,
26 and administrators, guardians, executors, trustees and other fiduciaries
27 and all other persons whatsoever, who are now or may hereafter be
28 authorized to invest in bonds or other obligations of the state may
29 properly and legally invest funds including capital in their control or
30 belonging to them. Notwithstanding other provisions of law, the bonds
31 are also hereby made securities which may be deposited with and may be
32 received by all public officers and bodies of the state and all munici-
33 palities for any purposes for which the deposit of bonds or other obli-
34 gations of this state is now or hereafter may be authorized.
35 § 2799-ooo. Agreement with state. The state does hereby pledge to and
36 agree with the holders of any bonds issued by the authority pursuant to
37 this title and with those persons or public corporations who may enter
38 into contracts with the authority pursuant to the provisions of this
39 title that the state will not alter, limit or impair the rights hereby
40 vested in the authority to purchase, construct, own and operate, main-
41 tain, repair, improve, reconstruct, renovate, rehabilitate, enlarge,
42 increase and extend, or dispose of any project, or any part or parts
43 thereof, for which bonds of the authority shall have been issued, to
44 establish and collect rates, rents, fees and other charges referred to
45 in this title, to fulfill the terms of any contracts or agreements made
46 with or for the benefit of the holders of bonds or with any person or
47 public corporation with reference to such project or part thereof, or in
48 any way to impair the rights and remedies of the holders of bonds, until
49 the bonds, together with interest thereon, including interest on any
50 unpaid installments of interest, and all costs and expenses in
51 connection with any action or proceeding by or on behalf of the holders
52 of bonds, are fully met and discharged and such contracts are fully
53 performed on the part of the authority. The authority is authorized to
54 include this pledge and agreement of the state in any agreement with the
55 holders of bonds.
A. 2166--A 19
1 § 2799-ppp. Agreement with city. The city is authorized to pledge to
2 and agree with the holders of any bonds issued by the authority pursuant
3 to this title and with those persons or public corporations who may
4 enter into contracts with the authority pursuant to the provisions of
5 this title that the city will not alter, limit or impair the rights
6 hereby vested in the authority to purchase, construct, own and operate,
7 maintain, repair, improve, reconstruct, renovate, rehabilitate, enlarge,
8 increase and extend, or dispose of any project, or any part or parts
9 thereof, for which bonds of the authority shall have been issued, to
10 establish and collect rates, rents, fees and other charges referred to
11 in this title, to fulfill the terms of any agreements made with the
12 holders of the bonds or with any public corporation or person with
13 reference to such project or part thereof, or in any way impair the
14 rights and remedies of the holders of bonds, until the bonds, together
15 with interest thereon, including interest on any unpaid installments of
16 interest, and all costs and expenses in connection with any action or
17 proceeding by or on behalf of the holders of bonds, are fully met and
18 discharged and such contracts are fully performed on the part of the
19 authority.
20 § 2799-qqq. Exemption from taxes, assessments and certain fees. 1. The
21 authority, notwithstanding the provisions of the real property tax law,
22 any other general, special, or local law, or ordinance, rule or regu-
23 lation to the contrary, with respect to the airport, aviation facili-
24 ties, pollution control facilities, any real property, and any facility
25 shall be exempt from taxation and shall not be required to pay any fees,
26 taxes, special ad valorem levies or special assessments, whether state
27 or local, including but not limited to fees, taxes, special ad valorem
28 levies or assessments on real property, franchise taxes, sales taxes or
29 other excise taxes, upon the airport, aviation facilities, pollution
30 control facilities, any facility or any property owned or leased by it
31 or under its jurisdiction, control or supervision, or upon the uses
32 thereof, or upon its activities in the operation and maintenance of its
33 facilities or any fares, tolls, rentals, rates, charges, fees, revenues
34 or other income received by the authority. Notwithstanding the previous
35 sentence; (1) the authority shall be required to pay (a) only those
36 special ad valorem levies or assessments payable by the city immediately
37 prior to the effective date of this act and (b) scheduled payments in
38 lieu of taxes payable by the city to school districts and to towns
39 pursuant to PILOT agreements in effect immediately prior to the effec-
40 tive date of this act; and (2) tax parcels not owned by the city and not
41 tax exempt prior to the effective date of this act shall not become tax
42 exempt upon the effective date of this act. Tax parcels acquired by the
43 authority subsequent to the effective date of this act shall be exempt
44 from taxes, assessments, special ad valorem levies, and special assess-
45 ments fees as provided herein, subject to the obligation to make
46 payments in lieu of taxes to the extent provided in subdivision three of
47 section twenty-seven hundred ninety-nine-uuu of this title. The authori-
48 ty, notwithstanding the provisions of any general, special, or local
49 law, or ordinance, resolution, rule, or regulation to the contrary, with
50 respect to the airport, aviation facilities, pollution control facili-
51 ties, real property, and other facilities used for public aviation
52 purposes or for airport development or to support or in connection with
53 the airport, aviation facilities, pollution control facilities, real
54 property or other facilities, shall at all times be exempt from any
55 filing, mortgage recording or transfer fees or taxes in relation to
56 instruments filed, recorded or transferred by them or on their behalf.
A. 2166--A 20
1 The construction, use, occupation or possession of any property owned by
2 the authority, including improvements thereon, by any person or public
3 corporation under a lease, lease and sublease or any other agreement
4 shall not operate to abrogate or limit the foregoing exemption, notwith-
5 standing that the lessee, user, occupant or person in possession shall
6 claim ownership for federal income tax purposes.
7 2. Any bonds issued pursuant to this title together with the income
8 therefrom as well as the property of the authority shall at all times be
9 exempt from taxes, except for transfer and estate taxes. The state here-
10 by covenants with the purchasers and with all subsequent holders and
11 transferees of bonds issued by the authority pursuant to this title, in
12 consideration of the acceptance of and payment for the bonds, that the
13 bonds of the authority issued pursuant to this title and the income
14 therefrom and all revenues, moneys, and other property pledged to secure
15 the payment of such bonds shall at all times be free from taxation,
16 except for transfer and estate taxes.
17 § 2799-rrr. Actions against authority. 1. Except in an action for
18 wrongful death, no action or special proceeding shall be prosecuted or
19 maintained against the authority, its members, officers, or employees
20 for personal injury or damage to real or personal property alleged to
21 have been sustained by reason of the negligence, tort or wrongful act of
22 the authority or of any member, officer, agent or employee thereof,
23 unless (a) a notice of claim shall have been made and served upon the
24 authority within the time limit set by and in compliance with section
25 fifty-e of the general municipal law, (b) it shall appear by and as an
26 allegation in the complaint or moving papers that at least thirty days
27 have elapsed since the service of such notice and that adjustment or
28 payment thereof has been neglected or refused, (c) the action or special
29 proceeding shall be commenced within one year and ninety days after the
30 happening of the event upon which the claim is based, and (d) an action
31 against the authority for wrongful death shall be commenced in accord-
32 ance with the notice of claim and time limitation provisions of title
33 eleven of article nine of this chapter.
34 2. No action or special proceeding, for any cause whatever, except as
35 hereinafter provided, relating to airport property, facilities or oper-
36 ations or involving the rights or interests of the airport or the
37 airport authority shall be prosecuted or maintained against the airport
38 authority unless it shall appear by and as an allegation in the
39 complaint or necessary moving papers that a written verified claim upon
40 which action or special proceeding is founded was served on the airport
41 authority, in the same manner as a summons under the CPLR, within three
42 (3) months after the accrual of such claim. The provisions of this
43 section shall not apply to an action or special proceeding founded upon
44 tort which shall be governed by the provisions of section fifty-e of the
45 general municipal law, or to the extent disallowed under federal law,
46 regulations, or by agreement with the federal government.
47 3. Whenever a notice of claim is served upon the authority, it shall
48 have the right to demand an examination of the claimant relative to the
49 occurrence and extent of the injuries or damages for which claim is
50 made, in accordance with the provisions of section fifty-h of the gener-
51 al municipal law.
52 4. The authority may require any person presenting for settlement an
53 account or claim for any cause whatever against the authority to be
54 sworn before a member, counsel or an attorney, officer or employee of
55 the authority designated for such purpose, concerning such account or
56 claim and, when so sworn, to answer orally as to any facts relative to
A. 2166--A 21
1 such account or claim. The authority shall have power to settle or
2 adjust all claims in favor of or against the authority.
3 5. Any action or proceeding to which the authority or the people of
4 the state may be parties, in which any question arises as to the validi-
5 ty of this title, shall be preferred over all other civil causes of
6 action or cases, except election causes of action or cases, in all
7 courts of the state and shall be heard and determined in preference to
8 all other civil business pending therein except election causes, irre-
9 spective of position on the calendar. The same preference shall be
10 granted upon application of the authority or its counsel in any action
11 or proceeding questioning the validity of this title in which the
12 authority may be allowed to intervene. The venue of any such action or
13 proceeding shall be laid in the supreme court of Onondaga county.
14 6. The rate of interest to be paid by the authority upon any judgment
15 for which it is liable, other than a judgment on its bonds, shall be the
16 rate prescribed by section five thousand four of the civil practice law
17 and rules. Interest on payments of principal or interest on any bonds in
18 default shall accrue at the rate borne by such bonds from the due date
19 thereof until paid or otherwise satisfied.
20 § 2799-sss. Contracts. All contracts for construction shall be let by
21 the authority in conformity with the applicable provisions of section
22 one hundred thirty-five of the state finance law and shall be let in
23 accordance with the provisions of state law pertaining to prevailing
24 wages, labor standards and working hours. The authority may, in its
25 discretion, assign contracts for supervision and coordination to the
26 successful bidder for any subdivision of work for which the authority
27 receives bids. The authority shall not award any construction contract
28 except to the lowest bidder who, in its opinion, is qualified to perform
29 the work required and who is responsible and reliable. The authority
30 may, however, reject any or all bids or waive any informality in a bid
31 if it believes that the public interest will be promoted thereby. The
32 authority may reject any bid if, in its judgment, the business and tech-
33 nical organization, plant, resources, financial standing, or experience
34 of the bidder justifies such rejection in view of the work to be
35 performed.
36 § 2799-ttt. Conflicts of interest. Eligibility for appointment as a
37 director, officer or employee of the authority shall be subject to the
38 provisions of section twenty-eight hundred twenty-five of this chapter.
39 In addition to the requirements of such section:
40 1. It shall be a misdemeanor for any member, officer or employee of
41 the authority to be in any way or manner interested, directly or indi-
42 rectly, in the furnishing of work, materials, supplies or labor, or in
43 any contract therefore which the authority is empowered by this title to
44 make.
45 2. If any director, officer or employee of the authority shall have an
46 interest, either direct or indirect, in any contract to which the
47 authority is or is to be a party, such interest shall be disclosed to
48 the authority in writing and shall be set forth in the minutes of the
49 authority. The director, officer or employee having such interest shall
50 not participate in any action by the authority with respect to such
51 contract.
52 3. No director, officer or employee of the authority shall be deemed
53 to have such an interest solely by reason of the ownership of two
54 percent or less of the securities of a corporation which is or is to be
55 a party to a contract with the authority, including without limitation
56 the holding company of any banking institution in which the funds of the
A. 2166--A 22
1 authority are, or are to be deposited, or which is or is to be acting as
2 trustee or paying agent under any bond or note resolution, trust inden-
3 ture or similar instrument to which the authority is a party.
4 4. Nothing in this section shall be deemed or construed to limit the
5 right of any director, officer or employee of the authority to acquire
6 an interest in the securities of the authority.
7 § 2799-uuu. Agreements relating to payment in lieu of taxes. 1. In
8 order to assure that municipalities may not suffer undue loss payments
9 in lieu of taxes, the city has entered into payment in lieu of tax
10 agreements with the East Syracuse Minoa central school district, the
11 town of Dewitt, the town of Salina, the town of Cicero and the North
12 Syracuse central school district. The authority is obligated to continue
13 to make any PILOT payments as set forth in these PILOT agreements.
14 2. Subject to any agreement with bondholders, the authority may, but
15 is not required to, increase the amount of the payments in lieu of taxes
16 to any such municipality in respect of any real property which is owned
17 or leased by the authority, is located in such municipality, and is used
18 for the airport, aviation facilities, pollution control facilities, and
19 other facilities used for public aviation purposes or for airport devel-
20 opment or to support or in connection with the airport, aviation facili-
21 ties or pollution control facilities. For the purposes of this section,
22 such public aviation purposes shall include without limitation air
23 terminal facilities, aviation facilities, parking facilities, fuel
24 facilities, maintenance facilities, and facilities for the loading,
25 unloading, holding, interchange or transfer of passengers, freight,
26 baggage or cargo.
27 3. (a) In the event that any real property acquired by the authority
28 subsequent to the effective date of this act is used or is to be used by
29 the authority, or a lessee thereof, for purposes other than the airport,
30 aviation facilities, pollution control facilities, and other facilities
31 used for public aviation purposes or for airport development or to
32 support or in connection with the airport, aviation facilities, or
33 pollution control facilities, the authority, or a lessee thereof, as the
34 case may be, shall enter into agreements with any municipality of the
35 state to pay annual sums in lieu of taxes in respect of such real prop-
36 erty located in such municipality. For the purposes of this section,
37 such purposes other than the airport, aviation facilities, pollution
38 control facilities, and other facilities used for public aviation
39 purposes or for airport development or to support or in connection with
40 the airport, aviation facilities, or pollution control facilities, shall
41 include without limitation hotels, motels, restaurants, retail stores
42 and concessions that are not located within any air terminal building,
43 office buildings to the extent not used by the authority or any other
44 public corporation for its own corporate purposes, and such other build-
45 ings and improvements as determined by the authority to be not exclu-
46 sively for the airport, aviation facilities, pollution control facili-
47 ties, and other facilities used for aviation purposes or for airport
48 development or to support or in connection with the airport, aviation
49 facilities, or pollution control facilities.
50 (b) The authority shall determine: (i) the amount of such annual
51 payments in lieu of taxes, (ii) whether the use of such property is for
52 purposes other than public aviation purposes and (iii) the extent to
53 which such property is used for purposes other than public aviation
54 purposes.
55 § 2799-vvv. Audit and annual report. In conformity with the provisions
56 of section five of article ten of the constitution, the accounts of the
A. 2166--A 23
1 authority shall be subject to the supervision of the state comptroller
2 and an annual audit shall be performed by an independent certified
3 accountant. In addition to the reporting requirements of article nine of
4 this chapter, the authority shall annually submit to the governor and
5 the state comptroller and to the chairperson of the senate finance
6 committee and the chairperson of the assembly ways and means committee a
7 detailed report pursuant to the provisions of section two thousand eight
8 hundred of title one of article nine of this chapter, and a copy of such
9 report shall be filed with the clerk of the Syracuse common council and
10 the mayor.
11 § 2799-www. Limited liability. Neither members, officers or employees
12 of the authority, nor any municipality, or an officer or employee there-
13 of acting on behalf of the authority, while acting within the scope of
14 their authority, shall be subject to any personal liability resulting
15 from the construction, maintenance or operation of any of the properties
16 of the authority or from carrying out any of the powers expressly given
17 in this title unless the conduct is finally determined by a court of
18 competent jurisdiction to constitute intentional wrong doing or reck-
19 lessness provided, however, that this section shall not be held to apply
20 to any independent contractor.
21 § 2799-xxx. Transfer of applications, proceedings, approvals and
22 permits. 1. Any application, review or process in relation to or in
23 furtherance of the purposes of or contemplated by this title heretofore
24 filed or undertaken, or any proceeding heretofore commenced or any
25 determination, finding or award made, by the city or by the city with
26 the federal government, the state department of environmental conserva-
27 tion, the state department of transportation or any other public corpo-
28 ration shall inure to and for the benefit of the authority to the same
29 extent and in the same manner as if the authority had been a party to
30 such application, review, process or proceeding from its inception, and
31 the authority shall be deemed a party thereto, to the extent not prohib-
32 ited by any federal law. Any license, approval, permit, determination,
33 finding, award or decision heretofore or hereafter issued or granted
34 pursuant to or as a result of any such application, review, process or
35 proceeding shall inure to the benefit of and be binding upon the author-
36 ity and shall be assigned and transferred by the city to the authority
37 unless such assignment and transfer is prohibited by federal law.
38 2. All such applications, proceedings, licenses, approvals, permits,
39 determinations, findings, awards and decisions shall further inure to
40 and for the benefit of and be binding upon any person leasing, acquir-
41 ing, financing, constructing, maintaining, operating, using or occupying
42 any facility financed in whole or in part by the authority.
43 § 2799-xxx-1. Website. The authority shall make accessible to the
44 public, via its official or shared internet website, documentation
45 pertaining to its mission, current activities, most recent annual finan-
46 cial reports, current year budget and its most recent independent audit
47 report unless such information is covered by subdivision two of section
48 eighty-seven of the public officers law.
49 § 2799-yyy. Severability. If any clause, sentence, paragraph, section,
50 or part of this title shall be adjudged by any court of competent juris-
51 diction to be invalid, such judgment shall not affect, impair or invali-
52 date the remainder thereof, but shall be confined in its operation to
53 the clause, sentence, paragraph, section, or part thereof involved in
54 the controversy in which such judgment shall have been rendered.
55 § 2799-zzz. Effect of inconsistent provisions. Insofar as the
56 provisions of this title are inconsistent with the provisions of the
A. 2166--A 24
1 city charter or any local law, local charter, local ordinance or local
2 resolution of the county or any other municipality, the provisions of
3 this title shall be controlling. Insofar as the provisions of this
4 title are inconsistent with any state law, rule or regulation the state
5 law, rule or regulation will prevail. Nothing contained in this section
6 shall be held to supplement or otherwise expand the powers or duties of
7 the authority otherwise set forth in this title nor abridge the powers
8 or duties of any state agency or department. Except as specifically
9 provided for in this title, in the performance of any of its functions,
10 powers and duties, the authority shall be subject to all applicable
11 general or special laws of the state, the city charter, and any local
12 law, ordinance or resolution of the city.
13 § 2. Paragraph (b) of subdivision 11 of section 310 of the executive
14 law, as amended by chapter 506 of the laws of 2009, is amended to read
15 as follows:
16 (b) a "state authority," as defined in subdivision one of section two
17 of the public authorities law, and the following:
18 Albany County Airport Authority;
19 Albany Port District Commission;
20 Alfred, Almond, Hornellsville Sewer Authority;
21 Battery Park City Authority;
22 Cayuga County Water and Sewer Authority;
23 (Nelson A. Rockefeller) Empire State Plaza Performing Arts
24 Center Corporation;
25 Industrial Exhibit Authority;
26 Livingston County Water and Sewer Authority;
27 Long Island Power Authority;
28 Long Island Rail Road;
29 Long Island Market Authority;
30 Manhattan and Bronx Surface Transit Operating Authority;
31 Metro-North Commuter Railroad;
32 Metropolitan Suburban Bus Authority;
33 Metropolitan Transportation Authority;
34 Natural Heritage Trust;
35 New York City Transit Authority;
36 New York Convention Center Operating Corporation;
37 New York State Bridge Authority;
38 New York State Olympic Regional Development Authority;
39 New York State Thruway Authority;
40 Niagara Falls Public Water Authority;
41 Niagara Falls Water Board;
42 Port of Oswego Authority;
43 Power Authority of the State of New York;
44 Roosevelt Island Operating Corporation;
45 Schenectady Metroplex Development Authority;
46 State Insurance Fund;
47 Staten Island Rapid Transit Operating Authority;
48 State University Construction Fund;
49 Syracuse Regional Airport Authority;
50 Triborough Bridge and Tunnel Authority.
51 Upper Mohawk valley regional water board.
52 Upper Mohawk valley regional water finance authority.
53 Upper Mohawk valley memorial auditorium authority.
54 Urban Development Corporation and its subsidiary corporations.
55 § 3. This act shall take effect immediately; provided, however, that
56 the amendments to paragraph (b) of subdivision 11 of section 310 of the
A. 2166--A 25
1 executive law made by section two of this act shall not affect the expi-
2 ration of such section and shall be deemed to expire therewith.
