LBD11287-10-9
S. 5451 2 A. 8180
nial reports to certain legislative committees on the condition of the
metropolitan transportation authority, in relation to the fiduciary
responsibility of board members, in relation to whistle-blowers on
contract projects of the metropolitan transportation authority, and in
relation to the powers and duties of the metropolitan transportation
authority capital program review board (Part H)
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Legislative findings and declaration of purpose. 1. Mass
transportation services in the metropolitan commuter transportation
district ("MTA district") are essential to meeting the basic mobility
and economic needs of the citizens of the MTA district, the state and
the region. The contributions of such mass transportation services are
also essential to addressing fundamental environmental policy and social
needs of the state's residents.
2. The metropolitan transportation authority must continue to function
as the primary provider of reasonably priced, safe and reliable mass
transportation services in the MTA district.
3. It is of vital importance to the ability of the metropolitan trans-
portation authority to meet the continued need for mobility and for the
economic health of the MTA district that additional dedicated sources of
reliable funding be made promptly available.
4. Such funding is needed to ensure the continuation of reasonable
fares and provide for the continuation of the capital program of the
authority to ensure the ongoing rehabilitation, improvement and expan-
sion of the mass transit system.
5. It is the intent of the governor and legislature to continue to
fund the capital program of the metropolitan transportation authority as
well as other transportation needs of the state including highways and
bridges, non-MTA transit, passenger and freight rail and aviation and
port facilities on a multi-year basis.
6. It is the intent of the governor and the legislature to address the
capital needs of the department of transportation including highways and
bridges, non-MTA transit, passenger and freight rail and aviation and
port facilities at the same time and for the same duration as the next
MTA capital program. The governor and the legislature request that the
department of transportation begin the development of such a program
immediately and provide the legislature with an outline of the objec-
tives of the program and the performance measures that will be used to
determine investment in transportation in the state for the next multi-
year capital program by October 1, 2009.
S 2. This act enacts into law major components of legislation relating
to the metropolitan transportation authority and the metropolitan commu-
ter transportation district. Each component is wholly contained within
a Part identified as Parts A through H. The effective date for each
particular provision contained within such Part is set forth in the last
section of such Part. Any provision in any section contained within a
Part, including the effective date of the Part, which makes reference to
a section "of this act", when used in connection with that particular
component, shall be deemed to mean and refer to the corresponding
section of the Part in which it is found. Section three of this act sets
forth the general effective date of this act.
S. 5451 3 A. 8180
PART A
Section 1. Subdivision 2 of section 503 of the vehicle and traffic law
is amended by adding a new paragraph (b-1) to read as follows:
(B-1) SUPPLEMENTAL LEARNER PERMIT/LICENSE FEE IN THE METROPOLITAN
COMMUTER TRANSPORTATION DISTRICT. (I) UPON PASSAGE OF THE KNOWLEDGE TEST
REQUIRED TO OBTAIN A LEARNER'S PERMIT, AN APPLICANT FOR A DRIVER'S
LICENSE WHO RESIDES IN THE METROPOLITAN COMMUTER TRANSPORTATION DISTRICT
ESTABLISHED BY SECTION ONE THOUSAND TWO HUNDRED SIXTY-TWO OF THE PUBLIC
AUTHORITIES LAW SHALL BE REQUIRED TO PAY A SUPPLEMENTAL FEE OF ONE
DOLLAR FOR EACH SIX MONTHS OR PORTION THEREOF OF THE PERIOD OF VALIDITY
OF A LEARNER'S PERMIT OR LICENSE WHICH IS OR MAY BE ISSUED PURSUANT TO
THE PROVISIONS OF SUBPARAGRAPH (I) OR (II) OF PARAGRAPH (B) OF THIS
SUBDIVISION.
(II) THE COMMISSIONER SHALL DEPOSIT DAILY ALL FUNDS COLLECTED PURSUANT
TO SUBPARAGRAPH (I) OF THIS PARAGRAPH WITH SUCH RESPONSIBLE BANKS, BANK-
ING HOUSES OR TRUST COMPANIES AS MAY BE DESIGNATED BY THE STATE COMP-
TROLLER, TO THE CREDIT OF THE COMPTROLLER. ON OR BEFORE THE TWELFTH DAY
OF EACH MONTH, THE COMMISSIONER SHALL CERTIFY TO THE COMPTROLLER THE
AMOUNT OF ALL REVENUES RECEIVED PURSUANT TO SUBPARAGRAPH (I) OF THIS
PARAGRAPH DURING THE PRIOR MONTH AS A RESULT OF THE SUPPLEMENTAL FEE
IMPOSED, INCLUDING ANY INTEREST AND PENALTIES THEREON. THE REVENUES SO
CERTIFIED SHALL BE DEPOSITED BY THE STATE COMPTROLLER IN THE METROPOL-
ITAN TRANSPORTATION AUTHORITY AID TRUST ACCOUNT OF THE METROPOLITAN
TRANSPORTATION AUTHORITY FINANCIAL ASSISTANCE FUND ESTABLISHED PURSUANT
TO SECTION NINETY-TWO-FF OF THE STATE FINANCE LAW FOR DEPOSIT, SUBJECT
TO APPROPRIATION, IN THE CORPORATE TRANSPORTATION ACCOUNT OF THE METRO-
POLITAN TRANSPORTATION AUTHORITY SPECIAL ASSISTANCE FUND ESTABLISHED BY
SECTION TWELVE HUNDRED SEVENTY-A OF THE PUBLIC AUTHORITIES LAW, TO BE
APPLIED AS PROVIDED IN PARAGRAPH (E) OF SUBDIVISION FOUR OF SUCH
SECTION. ANY MONEY COLLECTED PURSUANT TO THIS SECTION THAT IS DEPOSITED
BY THE COMPTROLLER IN THE METROPOLITAN TRANSPORTATION AUTHORITY AID
TRUST ACCOUNT OF THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL
ASSISTANCE FUND SHALL BE HELD IN SUCH FUND FREE AND CLEAR OF ANY CLAIM
BY ANY PERSON OR ENTITY PAYING AN ADDITIONAL FEE PURSUANT TO THIS
SECTION, INCLUDING, WITHOUT LIMITING THE GENERALITY OF THE FOREGOING,
ANY RIGHT OR CLAIM AGAINST THE METROPOLITAN TRANSPORTATION AUTHORITY,
ANY OF ITS BONDHOLDERS, OR ANY SUBSIDIARY OR AFFILIATE OF THE METROPOL-
ITAN TRANSPORTATION AUTHORITY.
S 2. Subdivision 2 of section 503 of the vehicle and traffic law is
amended by adding a new paragraph (c-3) to read as follows:
(C-3) (I) SUPPLEMENTAL RENEWAL FEE IN THE METROPOLITAN COMMUTER TRANS-
PORTATION DISTRICT. IN ADDITION TO THE FEES REQUIRED TO BE PAID PURSU-
ANT TO PARAGRAPH (C) OF THIS SUBDIVISION, A SUPPLEMENTAL FEE OF ONE
DOLLAR FOR EACH SIX MONTHS OR PORTION THEREOF OF THE VALIDITY OF THE
LICENSE SHALL BE PAID FOR RENEWAL OF A LICENSE OF A PERSON WHO RESIDES
IN THE METROPOLITAN COMMUTER TRANSPORTATION DISTRICT ESTABLISHED BY
SECTION ONE THOUSAND TWO HUNDRED SIXTY-TWO OF THE PUBLIC AUTHORITIES LAW
ISSUED BY THE COMMISSIONER.
(II) THE COMMISSIONER SHALL DEPOSIT DAILY ALL FUNDS COLLECTED PURSUANT
TO THIS PARAGRAPH WITH SUCH RESPONSIBLE BANKS, BANKING HOUSES OR TRUST
COMPANIES AS MAY BE DESIGNATED BY THE STATE COMPTROLLER, TO THE CREDIT
OF THE COMPTROLLER. ON OR BEFORE THE TWELFTH DAY OF EACH MONTH, THE
COMMISSIONER SHALL CERTIFY TO THE COMPTROLLER THE AMOUNT OF ALL REVENUES
RECEIVED PURSUANT TO THIS PARAGRAPH DURING THE PRIOR MONTH AS A RESULT
OF THE SUPPLEMENTAL FEES IMPOSED, INCLUDING ANY INTEREST AND PENALTIES
S. 5451 4 A. 8180
THEREON. THE REVENUES SO CERTIFIED SHALL BE DEPOSITED BY THE STATE COMP-
TROLLER IN THE METROPOLITAN TRANSPORTATION AUTHORITY AID TRUST ACCOUNT
OF THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL ASSISTANCE FUND
ESTABLISHED PURSUANT TO SECTION NINETY-TWO-FF OF THE STATE FINANCE LAW
FOR DEPOSIT, SUBJECT TO APPROPRIATION, IN THE CORPORATE TRANSPORTATION
ACCOUNT OF THE METROPOLITAN TRANSPORTATION AUTHORITY SPECIAL ASSISTANCE
FUND ESTABLISHED BY SECTION TWELVE HUNDRED SEVENTY-A OF THE PUBLIC
AUTHORITIES LAW, TO BE APPLIED AS PROVIDED IN PARAGRAPH (E) OF SUBDIVI-
SION FOUR OF SUCH SECTION. ANY MONEY COLLECTED PURSUANT TO THIS SECTION
THAT IS DEPOSITED BY THE COMPTROLLER IN THE METROPOLITAN TRANSPORTATION
AUTHORITY AID TRUST ACCOUNT OF THE METROPOLITAN TRANSPORTATION AUTHORITY
FINANCIAL ASSISTANCE FUND SHALL BE HELD IN SUCH FUND FREE AND CLEAR OF
ANY CLAIM BY ANY PERSON OR ENTITY PAYING AN ADDITIONAL FEE PURSUANT TO
THIS SECTION, INCLUDING, WITHOUT LIMITING THE GENERALITY OF THE FOREGO-
ING, ANY RIGHT OR CLAIM AGAINST THE METROPOLITAN TRANSPORTATION AUTHORI-
TY, ANY OF ITS BONDHOLDERS, OR ANY SUBSIDIARY OR AFFILIATE OF THE METRO-
POLITAN TRANSPORTATION AUTHORITY.
S 3. This act shall take effect September 1, 2009 and shall apply to
licenses issued and renewals of licenses expiring on and after such
date.
PART B
Section 1. The vehicle and traffic law is amended by adding a new
article 17-C to read as follows:
ARTICLE 17-C
METROPOLITAN COMMUTER TRANSPORTATION DISTRICT
SUPPLEMENTAL REGISTRATION FEE
SECTION 499. DEFINITION.
499-A. METROPOLITAN COMMUTER TRANSPORTATION DISTRICT SUPPLE-
MENTAL REGISTRATION FEE.
499-B. COLLECTION OF SUPPLEMENTAL FEE.
499-C. CALCULATION OF SUPPLEMENTAL REGISTRATION FEE.
499-D. DEPOSIT AND DISPOSITION OF REVENUE FROM SUPPLEMENTAL FEE.
S 499. DEFINITION. FOR THE PURPOSES OF THIS ARTICLE "METROPOLITAN
COMMUTER TRANSPORTATION DISTRICT" SHALL MEAN THE AREA OF THE STATE
INCLUDED IN THE DISTRICT CREATED AND GOVERNED BY SECTION TWELVE HUNDRED
SIXTY-TWO OF THE PUBLIC AUTHORITIES LAW.
S 499-A. METROPOLITAN COMMUTER TRANSPORTATION DISTRICT SUPPLEMENTAL
REGISTRATION FEE. REGISTRANTS RESIDING IN THE METROPOLITAN COMMUTER
TRANSPORTATION DISTRICT SHALL UPON THE REGISTRATION OR RENEWAL OF A
MOTOR VEHICLE BE CHARGED A SUPPLEMENTAL REGISTRATION FEE TO BE PAID TO
THE COMMISSIONER OR HIS OR HER AGENT IN ACCORDANCE WITH THE PROVISIONS
OF THIS ARTICLE.
S 499-B. COLLECTION OF SUPPLEMENTAL FEE. ALL REGISTRANTS OF MOTOR
VEHICLES WHO RESIDE IN THE METROPOLITAN COMMUTER TRANSPORTATION DISTRICT
SHALL PAY TO THE COMMISSIONER OR HIS OR HER AGENT THE SUPPLEMENTAL
REGISTRATION FEE PROVIDED FOR IN THIS ARTICLE UPON REGISTRATION OR
RENEWAL OF MOTOR VEHICLES SUBJECT TO REGISTRATION FEES PURSUANT TO THE
FOLLOWING SECTIONS OF THIS CHAPTER: PARAGRAPH A OF SUBDIVISION SIX OF
SECTION FOUR HUNDRED ONE; SCHEDULES A, B, C, E, F, G, I AND K OF SUBDI-
VISION SEVEN OF SECTION FOUR HUNDRED ONE; PARAGRAPH A OF SUBDIVISION
EIGHT OF SECTION FOUR HUNDRED ONE; PARAGRAPH A OF SUBDIVISION FIVE OF
SECTION FOUR HUNDRED TEN; AND SECTION FOUR HUNDRED ELEVEN-B.
S 499-C. CALCULATION OF SUPPLEMENTAL REGISTRATION FEE. THE SUPPLE-
MENTAL REGISTRATION FEE TO BE CHARGED PURSUANT TO SECTION FOUR HUNDRED
S. 5451 5 A. 8180
NINETY-NINE-B OF THIS ARTICLE, SHALL BE CALCULATED AT A RATE OF TWENTY-
FIVE DOLLARS PER ANNUM FOR EACH YEAR OR PORTION OF A YEAR THAT SUCH
REGISTRATION IS VALID.
S 499-D. DEPOSIT AND DISPOSITION OF REVENUE FROM SUPPLEMENTAL FEE. THE
COMMISSIONER SHALL DEPOSIT DAILY ALL FUNDS DERIVED FROM THE COLLECTION
OF THE SUPPLEMENTAL FEE ESTABLISHED PURSUANT TO THIS ARTICLE WITH SUCH
RESPONSIBLE BANKS, BANKING HOUSES OR TRUST COMPANIES AS MAY BE DESIG-
NATED BY THE STATE COMPTROLLER, TO THE CREDIT OF THE COMPTROLLER. ON OR
BEFORE THE TWELFTH DAY OF EACH MONTH, THE COMMISSIONER SHALL CERTIFY TO
THE COMPTROLLER THE AMOUNT OF ALL REVENUES RECEIVED PURSUANT TO THIS
ARTICLE DURING THE PRIOR MONTH AS A RESULT OF THE SUPPLEMENTAL FEE
IMPOSED, INCLUDING ANY INTEREST AND PENALTIES THEREON. THE REVENUES SO
CERTIFIED SHALL BE DEPOSITED BY THE STATE COMPTROLLER IN THE METROPOL-
ITAN TRANSPORTATION AUTHORITY AID TRUST ACCOUNT OF THE METROPOLITAN
TRANSPORTATION AUTHORITY FINANCIAL ASSISTANCE FUND ESTABLISHED PURSUANT
TO SECTION NINETY-TWO-FF OF THE STATE FINANCE LAW FOR DEPOSIT, SUBJECT
TO APPROPRIATION, IN THE CORPORATE TRANSPORTATION ACCOUNT OF THE METRO-
POLITAN TRANSPORTATION AUTHORITY SPECIAL ASSISTANCE FUND ESTABLISHED BY
SECTION TWELVE HUNDRED SEVENTY-A OF THE PUBLIC AUTHORITIES LAW, TO BE
APPLIED AS PROVIDED IN PARAGRAPH (E) OF SUBDIVISION FOUR OF SUCH
SECTION. ANY MONEY COLLECTED PURSUANT TO THIS SECTION THAT IS DEPOSITED
BY THE COMPTROLLER IN THE METROPOLITAN TRANSPORTATION AUTHORITY AID
TRUST ACCOUNT OF THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL
ASSISTANCE FUND SHALL BE HELD IN SUCH FUND FREE AND CLEAR OF ANY CLAIM
BY ANY PERSON OR ENTITY PAYING AN ADDITIONAL FEE PURSUANT TO THIS
SECTION, INCLUDING, WITHOUT LIMITING THE GENERALITY OF THE FOREGOING,
ANY RIGHT OR CLAIM AGAINST THE METROPOLITAN TRANSPORTATION AUTHORITY,
ANY OF ITS BONDHOLDERS, OR ANY SUBSIDIARY OR AFFILIATE OF THE METROPOL-
ITAN TRANSPORTATION AUTHORITY.
S 2. This act shall take effect September 1, 2009 and shall apply to
registrations issued and renewals of registrations expiring on and after
such date.
PART C
Section 1. The tax law is amended by adding a new article 23 to read
as follows:
ARTICLE 23
METROPOLITAN COMMUTER TRANSPORTATION
MOBILITY TAX
SECTION 800. DEFINITIONS.
801. IMPOSITION OF TAX AND RATE.
802. PASS THROUGH OF TAX PROHIBITED.
803. EXEMPTION OVERRIDE.
804. PAYMENT OF TAX.
805. DEPOSIT AND DISPOSITION OF REVENUE.
806. PROCEDURAL PROVISIONS.
S 800. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE:
(A) METROPOLITAN COMMUTER TRANSPORTATION DISTRICT. THE METROPOLITAN
COMMUTER TRANSPORTATION DISTRICT ("MCTD") MEANS THE AREA OF THE STATE
INCLUDED IN THE DISTRICT CREATED AND GOVERNED BY SECTION TWELVE HUNDRED
SIXTY-TWO OF THE PUBLIC AUTHORITIES LAW.
(B) EMPLOYER. EMPLOYER MEANS AN EMPLOYER REQUIRED BY SECTION SIX
HUNDRED SEVENTY-ONE OF THIS CHAPTER TO DEDUCT AND WITHHOLD TAX FROM
WAGES, THAT HAS A PAYROLL EXPENSE IN EXCESS OF TWO THOUSAND FIVE HUNDRED
DOLLARS IN ANY CALENDAR QUARTER; OTHER THAN
S. 5451 6 A. 8180
(1) ANY AGENCY OR INSTRUMENTALITY OF THE UNITED STATES;
(2) THE UNITED NATIONS; OR
(3) AN INTERSTATE AGENCY OR PUBLIC CORPORATION CREATED PURSUANT TO AN
AGREEMENT OR COMPACT WITH ANOTHER STATE OR THE DOMINION OF CANADA.
(C) PAYROLL EXPENSE. PAYROLL EXPENSE MEANS WAGES AND COMPENSATION AS
DEFINED IN SECTIONS 3121 AND 3231 OF THE INTERNAL REVENUE CODE (WITHOUT
REGARD TO SECTION 3121(A)(1) AND SECTION 3231(E)(2)(A)(I)), PAID TO ALL
COVERED EMPLOYEES.
(D) COVERED EMPLOYEE. COVERED EMPLOYEE MEANS AN EMPLOYEE WHO IS
EMPLOYED WITHIN THE MCTD.
(E) NET EARNINGS FROM SELF-EMPLOYMENT. NET EARNINGS FROM SELF-EMPLOY-
MENT HAS THE SAME MEANING AS IN SECTION 1402 OF THE INTERNAL REVENUE
CODE.
S 801. IMPOSITION OF TAX AND RATE. (A) FOR THE SOLE PURPOSE OF PROVID-
ING AN ADDITIONAL STABLE AND RELIABLE DEDICATED FUNDING SOURCE FOR THE
METROPOLITAN TRANSPORTATION AUTHORITY AND ITS SUBSIDIARIES AND AFFIL-
IATES TO PRESERVE, OPERATE AND IMPROVE ESSENTIAL TRANSIT AND TRANSPORTA-
TION SERVICES IN THE METROPOLITAN COMMUTER TRANSPORTATION DISTRICT, A
TAX IS HEREBY IMPOSED AT A RATE OF THIRTY-FOUR HUNDREDTHS (.34) PERCENT
OF (1) THE PAYROLL EXPENSE OF EVERY EMPLOYER WHO ENGAGES IN BUSINESS
WITHIN THE MCTD AND (2) THE NET EARNINGS FROM SELF-EMPLOYMENT OF INDI-
VIDUALS THAT ARE ATTRIBUTABLE TO THE MCTD IF SUCH EARNINGS ATTRIBUTABLE
TO THE MCTD EXCEED TEN THOUSAND DOLLARS FOR THE TAX YEAR.
(B)(1) AN INDIVIDUAL HAVING NET EARNINGS FROM SELF-EMPLOYMENT FROM
ACTIVITY BOTH WITHIN AND WITHOUT THE METROPOLITAN COMMUTER TRANSPORTA-
TION DISTRICT IS REQUIRED TO ALLOCATE AND APPORTION SUCH NET EARNINGS TO
THE MCTD IN THE MANNER REQUIRED FOR ALLOCATION AND APPORTIONMENT OF
INCOME UNDER ARTICLE TWENTY-TWO OF THIS CHAPTER.
(2) IN THE CASE OF INDIVIDUALS WITH EARNINGS FROM SELF-EMPLOYMENT, THE
NET EARNINGS FROM SELF EMPLOYMENT THRESHOLD IN PARAGRAPH TWO OF
SUBSECTION (A) OF THIS SECTION WILL BE COMPUTED ON AN INDIVIDUAL BASIS
REGARDLESS OF WHETHER THAT INDIVIDUAL FILED A JOINT PERSONAL INCOME TAX
RETURN.
(C) THE DETERMINATION OF WHETHER A COVERED EMPLOYEE IS EMPLOYED WITHIN
THE MCTD WILL BE MADE BY UTILIZING THE RULES APPLICABLE TO THE JURISDIC-
TION OF EMPLOYMENT FOR PURPOSES OF THE STATEWIDE WAGE REPORTING SYSTEM
UNDER SECTION ONE HUNDRED SEVENTY-ONE-A OF THIS CHAPTER AND SUBSTITUTING
THE MCTD FOR THE STATE IN THAT APPLICATION.
S 802. PASS THROUGH OF TAX PROHIBITED. AN EMPLOYER CANNOT DEDUCT FROM
THE WAGES OR COMPENSATION OF AN EMPLOYEE ANY AMOUNT THAT REPRESENTS ALL
OR ANY PORTION OF THE TAX IMPOSED ON THE EMPLOYER UNDER THIS ARTICLE.
S 803. EXEMPTION OVERRIDE. ANY EXEMPTION FROM TAX SPECIFIED IN ANY
OTHER NEW YORK STATE LAW WILL NOT APPLY TO THE TAX IMPOSED BY THIS ARTI-
CLE.
S 804. PAYMENT OF TAX. (A) EMPLOYERS WITH PAYROLL EXPENSE. THE TAX
IMPOSED ON THE PAYROLL EXPENSE OF EMPLOYERS UNDER SECTION EIGHT HUNDRED
ONE OF THIS ARTICLE FOR EACH CALENDAR QUARTER MUST BE PAID QUARTERLY AT
THE SAME TIME AS THE STATEWIDE WAGE REPORTING SYSTEM REPORT IS REQUIRED
UNDER SECTION ONE HUNDRED SEVENTY-ONE-A OF THIS CHAPTER; PROVIDED HOWEV-
ER, THAT EMPLOYERS SUBJECT TO SECTION NINE OF THIS CHAPTER OTHER THAN
SCHOOL DISTRICTS AS DEFINED IN SECTION THIRTY-SIX HUNDRED NINE-G OF THE
EDUCATION LAW MUST PAY THE TAX ON THE PAYROLL EXPENSE AT THE SAME TIME
AS THE WITHHOLDING TAX REMITTED UNDER THE ELECTRONIC PAYMENT REPORTING
SYSTEM AND THE ELECTRONIC FUNDS TRANSFER SYSTEM AUTHORIZED BY SECTION
NINE OF THIS CHAPTER.
S. 5451 7 A. 8180
(B) INDIVIDUALS WITH NET EARNINGS FROM SELF-EMPLOYMENT. INDIVIDUALS
WITH EARNINGS FROM SELF-EMPLOYMENT MUST MAKE ESTIMATED TAX PAYMENTS OF
THE TAX IMPOSED BY THIS ARTICLE FOR THE TAXABLE YEAR ON THE SAME DATES
SPECIFIED IN SUBSECTION (A) OF THIS SECTION FOR THE QUARTERLY PAYMENTS
OF THE TAX IMPOSED ON THE PAYROLL EXPENSE OF EMPLOYERS. IN ADDITION,
THESE SELF-EMPLOYED INDIVIDUALS MUST FILE A RETURN FOR THE TAXABLE YEAR
BY THE THIRTIETH DAY OF THE FOURTH MONTH FOLLOWING THE CLOSE OF THE
TAXABLE YEAR. PARAGRAPH ONE OF SUBSECTION (D) OF SECTION SIX HUNDRED
EIGHTY-FIVE OF THIS CHAPTER SHALL NOT APPLY TO THE ESTIMATED TAX
PAYMENTS REQUIRED BY THIS SUBSECTION.
S 805. DEPOSIT AND DISPOSITION OF REVENUE. (A) THE TAXES, INTEREST,
AND PENALTIES IMPOSED BY THIS ARTICLE AND COLLECTED OR RECEIVED BY THE
COMMISSIONER SHALL BE DEPOSITED DAILY WITH SUCH RESPONSIBLE BANKS, BANK-
ING HOUSES OR TRUST COMPANIES, AS MAY BE DESIGNATED BY THE COMPTROLLER,
TO THE CREDIT OF THE COMPTROLLER IN TRUST FOR THE METROPOLITAN TRANSPOR-
TATION AUTHORITY. AN ACCOUNT MAY BE ESTABLISHED IN ONE OR MORE OF SUCH
DEPOSITORIES. SUCH DEPOSITS WILL BE KEPT SEPARATE AND APART FROM ALL
OTHER MONEY IN THE POSSESSION OF THE COMPTROLLER. THE COMPTROLLER SHALL
REQUIRE ADEQUATE SECURITY FROM ALL SUCH DEPOSITORIES. OF THE TOTAL
REVENUE COLLECTED OR RECEIVED UNDER THIS ARTICLE, THE COMPTROLLER SHALL
RETAIN SUCH AMOUNT AS THE COMMISSIONER MAY DETERMINE TO BE NECESSARY FOR
REFUNDS UNDER THIS ARTICLE. THE COMMISSIONER IS AUTHORIZED AND DIRECTED
TO DEDUCT FROM THE AMOUNTS IT RECEIVES UNDER THIS ARTICLE, BEFORE DEPOS-
IT INTO THE TRUST ACCOUNTS DESIGNATED BY THE COMPTROLLER, A REASONABLE
AMOUNT NECESSARY TO EFFECTUATE REFUNDS OF APPROPRIATIONS OF THE DEPART-
MENT TO REIMBURSE THE DEPARTMENT FOR THE COSTS INCURRED TO ADMINISTER,
COLLECT AND DISTRIBUTE THE TAXES IMPOSED BY THIS ARTICLE.
(B) ON OR BEFORE THE TWELFTH AND TWENTY-SIXTH DAY OF EACH SUCCEEDING
MONTH, AFTER RESERVING SUCH AMOUNT FOR SUCH REFUNDS AND DEDUCTING SUCH
AMOUNTS FOR SUCH COSTS, AS PROVIDED FOR IN SUBSECTION (A) OF THIS
SECTION, THE COMMISSIONER SHALL CERTIFY TO THE COMPTROLLER THE AMOUNT OF
ALL REVENUES SO RECEIVED DURING THE PRIOR MONTH AS A RESULT OF THE
TAXES, INTEREST AND PENALTIES SO IMPOSED. THE AMOUNT OF REVENUES SO
CERTIFIED SHALL BE PAID OVER BY THE FIFTEENTH AND THE FINAL BUSINESS DAY
OF EACH SUCCEEDING MONTH FROM SUCH ACCOUNT INTO THE MOBILITY TAX TRUST
ACCOUNT OF THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL ASSIST-
ANCE FUND ESTABLISHED PURSUANT TO SECTION NINETY-TWO-FF OF THE STATE
FINANCE LAW, FOR PAYMENT, PURSUANT TO APPROPRIATIONS BY THE LEGISLATURE
TO THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCE FUND ESTABLISHED
PURSUANT TO SECTION TWELVE HUNDRED SEVENTY-H OF THE PUBLIC AUTHORITIES
LAW.
S 806. PROCEDURAL PROVISIONS. ALL PROVISIONS OF ARTICLE TWENTY-TWO OF
THIS CHAPTER WILL APPLY TO THE PROVISIONS OF THIS ARTICLE IN THE SAME
MANNER AND WITH THE SAME FORCE AND EFFECT AS IF THE LANGUAGE OF ARTICLE
TWENTY-TWO OF THIS CHAPTER HAD BEEN INCORPORATED IN FULL INTO THIS ARTI-
CLE AND HAD BEEN SPECIFICALLY ADJUSTED FOR AND EXPRESSLY REFERRED TO THE
TAX IMPOSED BY THIS ARTICLE, EXCEPT TO THE EXTENT THAT ANY PROVISION IS
EITHER INCONSISTENT WITH A PROVISION OF THIS ARTICLE OR IS NOT RELEVANT
TO THIS ARTICLE. NOTWITHSTANDING THE PRECEDING SENTENCE, NO CREDIT
AGAINST TAX IN ARTICLE TWENTY-TWO OF THIS CHAPTER CAN BE USED TO OFFSET
THE TAX DUE UNDER THIS ARTICLE. NOTWITHSTANDING ANY OTHER LAW TO THE
CONTRARY, THE COMMISSIONER MAY REQUIRE THAT ALL FILINGS OF FORMS OR
RETURNS UNDER THIS ARTICLE MUST BE FILED ELECTRONICALLY AND ALL PAYMENTS
OF TAX MUST BE PAID ELECTRONICALLY.
S. 5451 8 A. 8180
S 2. Clause (i) of subparagraph 5 of paragraph (a) of subdivision 9 of
section 208 of the tax law, as amended by chapter 61 of the laws of
1989, is amended to read as follows:
(i) any refund or credit of a tax imposed under this article, ARTICLE
TWENTY-THREE, or article thirty-two of this chapter, for which tax no
exclusion or deduction was allowed in determining the taxpayer's entire
net income under this article, ARTICLE TWENTY-THREE, or [such] article
thirty-two OF THIS CHAPTER for any prior year,
S 3. Paragraph (b) of subdivision 9 of section 208 of the tax law is
amended by adding a new subparagraph 20 to read as follows:
(20) THE AMOUNT OF ANY FEDERAL DEDUCTION FOR TAXES IMPOSED UNDER ARTI-
CLE TWENTY-THREE OF THIS CHAPTER.
S 4. Paragraph 2 of subdivision (a) of section 292 of the tax law, as
added by chapter 1005 of the laws of 1970, is amended to read as
follows:
(2) There shall be subtracted from federal unrelated business taxable
income the amount of any refund or credit for overpayment of a tax
imposed under this article OR ARTICLE TWENTY-THREE OF THIS CHAPTER.
S 5. Subdivision (a) of section 292 of the tax law is amended by
adding a new paragraph 8 to read as follows:
(8) THERE MUST BE ADDED TO FEDERAL UNRELATED BUSINESS TAXABLE INCOME
THE AMOUNT OF ANY FEDERAL DEDUCTION FOR TAXES IMPOSED UNDER ARTICLE
TWENTY-THREE OF THIS CHAPTER.
S 6. Subsection (b) of section 612 of the tax law is amended by adding
a new paragraph 39 to read as follows:
(39) THE AMOUNT OF ANY FEDERAL DEDUCTION FOR TAXES IMPOSED UNDER ARTI-
CLE TWENTY-THREE OF THIS CHAPTER.
S 7. Paragraph 7 of subsection (c) of section 612 of the tax law, as
added by chapter 563 of the laws of 1960, is amended to read as follows:
(7) The amount of any refund or credit for overpayment of income taxes
imposed by this state, or any other taxing jurisdiction, AND ANY TAXES
IMPOSED BY ARTICLE TWENTY-THREE OF THIS CHAPTER, to the extent properly
included in gross income for federal income tax purposes.
S 8. Subsection (c) of section 615 of the tax law is amended by adding
a new paragraph 8 to read as follows:
(8) THE AMOUNT OF ANY FEDERAL DEDUCTION FOR TAXES IMPOSED UNDER ARTI-
CLE TWENTY-THREE OF THIS CHAPTER.
S 9. Subsection 4 of section 618 of the tax law, as amended by section
4 of part HH-1 of chapter 57 of the laws of 2008, is amended to read as
follows:
(4) There shall be added or subtracted (as the case may be) the
modifications described in paragraphs (6), (10), (17), (18), (19), (20),
(21), (22), (23), (24), (25), (26), (27), (29) [and], (38) AND (39) of
subsection (b) and in paragraphs (11), (13), (15), (19), (20), (21),
(22), (23), (24), (25), (26) and (28) of subsection (c) of section six
hundred twelve of this part.
S 10. Subsection (a) of section 686 of the tax law, as amended by
section 10 of part R of chapter 60 of the laws of 2004, is amended to
read as follows:
(a) General.-- The commissioner of taxation and finance, within the
applicable period of limitations, may credit an overpayment of income
tax and interest on such overpayment against any liability in respect of
any tax imposed by this chapter, INCLUDING TAXES IMPOSED UNDER ARTICLE
TWENTY-THREE OF THIS CHAPTER, on the person who made the overpayment,
against any liability in respect of any tax imposed pursuant to the
authority of this chapter or any other law on such person if such tax is
S. 5451 9 A. 8180
administered by the commissioner of taxation and finance and, as
provided in sections one hundred seventy-one-c, one hundred
seventy-one-d, one hundred seventy-one-e, one hundred seventy-one-f and
one hundred seventy-one-l of this chapter, against past-due support, a
past-due legally enforceable debt, a city of New York tax warrant judg-
ment debt, and against the amount of a default in repayment of a guaran-
teed student, state university or city university loan. The balance
shall be refunded by the comptroller out of the proceeds of the tax
retained by him for such general purpose. Any refund under this section
shall be made only upon the filing of a return and upon a certificate of
the commissioner [of taxation and finance] approved by the comptroller.
The comptroller, as a condition precedent to the approval of such a
certificate, may examine into the facts as disclosed by the return of
the person who made the overpayment and other information and data
available in the files of the commissioner [of taxation and finance].
S 11. Subsection (b) of section 1453 of the tax law is amended by
adding a new paragraph 15 to read as follows:
(15) THE AMOUNT OF ANY FEDERAL DEDUCTION FOR TAXES IMPOSED UNDER ARTI-
CLE TWENTY-THREE OF THIS CHAPTER.
S 12. Subsection (d) of section 1453 of the tax law, as amended by
chapter 267 of the laws of 1987, is REPEALED.
S 13. Subsection (d) of section 1453 of the tax law, as amended by
chapter 817 of the laws of 1987, is amended to read as follows:
(d) Entire net income shall not include any refund or credit of a tax
for which no exclusion or deduction was allowed in determining the
taxpayer's entire net income under this article or articles [nine-a,
nine-b or nine-c] NINE-A OR TWENTY-THREE of this chapter for any prior
year.
S 14. Subparagraph (C) of paragraph 1 of subdivision (b) of section
1503 of the tax law, as amended by chapter 55 of the laws of 1982, is
amended to read as follows:
(C) any refund or credit of a tax imposed under this article or
section one hundred eighty-seven, OR ARTICLE TWENTY-THREE of this chap-
ter heretofore in effect to the extent properly included as income for
federal income tax purposes, for which no exclusion or deduction was
allowed in determining the taxpayer's entire net income under this arti-
cle for any prior year;
S 15. Paragraph 2 of subdivision (b) of section 1503 of the tax law is
amended by adding a new subparagraph (V) to read as follows:
(V) THE AMOUNT OF ANY FEDERAL DEDUCTION FOR TAXES IMPOSED UNDER ARTI-
CLE TWENTY-THREE OF THIS CHAPTER.
S 16. Subparagraph 5 of paragraph (a) of subdivision 8 of section
11-602 of the administrative code of the city of New York, as amended by
chapter 241 of the laws of 1989, is amended to read as follows:
(5) any refund or credit of a tax imposed under this chapter, or
imposed by article nine, nine-A, TWENTY-THREE, or thirty-two of the tax
law, for which tax no exclusion or deduction was allowed in determining
the taxpayer's entire net income under this subchapter or subchapter
three of this chapter for any prior year;
S 17. Paragraph (b) of subdivision 8 of section 11-602 of the adminis-
trative code of the city of New York is amended by adding a new subpara-
graph 19 to read as follows:
(19) THE AMOUNT OF ANY FEDERAL DEDUCTION FOR TAXES IMPOSED UNDER ARTI-
CLE TWENTY-THREE OF THE TAX LAW.
S. 5451 10 A. 8180
S 18. Subdivision (b) of section 11-641 of the administrative code of
the city of New York is amended by adding a new paragraph 16 to read as
follows:
(16) THE AMOUNT OF ANY FEDERAL DEDUCTION FOR TAXES IMPOSED UNDER ARTI-
CLE TWENTY-THREE OF THE TAX LAW.
S 19. Subdivision (d) of section 11-641 of the administrative code of
the city of New York, as amended by chapter 525 of the laws of 1988, is
amended to read as follows:
(d) Entire net income shall not include any refund or credit of a tax
for which no exclusion or deduction was allowed in determining the
taxpayer's entire net income under this subchapter or subchapter two of
this chapter, OR IMPOSED BY ARTICLE TWENTY-THREE OF THE TAX LAW for any
prior year.
S 20. Subdivision (b) of section 11-1712 of the administrative code of
the city of New York is amended by adding a new paragraph 35 to read as
follows:
(35) THE AMOUNT OF ANY FEDERAL DEDUCTION FOR TAXES IMPOSED UNDER ARTI-
CLE TWENTY-THREE OF THE TAX LAW.
S 21. Paragraph 7 of subdivision (c) of section 11-1712 of the admin-
istrative code of the city of New York, such section as renumbered by
chapter 639 of the laws of 1986, is amended to read as follows:
(7) The amount of any refund or credit for overpayment of income taxes
imposed by this city, [or] any other taxing jurisdiction, OR ANY TAXES
IMPOSED BY ARTICLE TWENTY-THREE OF THE TAX LAW to the extent properly
included in gross income for federal income tax purposes.
S 22. Subdivision 4 of section 11-1718 of the administrative code of
the city of New York, as amended by section 11 of part HH-1 of chapter
57 of the laws of 2008, is amended to read as follows:
(4) There shall be added or subtracted (as the case may be) the
modifications described in paragraphs six, ten, seventeen, eighteen,
nineteen, twenty, twenty-one, twenty-two, twenty-three, twenty-four,
twenty-five, twenty-six, twenty-seven, twenty-nine [and], thirty-four
AND THIRTY-FIVE of subdivision (b) and in paragraphs eleven, thirteen,
fifteen, nineteen, twenty, twenty-one, twenty-two, twenty-three, twen-
ty-four, twenty-five, twenty-six and twenty-eight of subdivision (c) of
section 11-1712 of this subchapter.
S 23. This act shall take effect immediately; provided however that:
(a) the metropolitan commuter transportation mobility tax enacted
pursuant to section one of this act that is (i) imposed on employers,
shall apply on and after March 1, 2009, provided however, that the tax
shall apply to public school districts within the metropolitan commuter
transportation district (MCTD) on and after September 1, 2009 and (ii)
imposed on individuals with net earnings from self-employment for tax
years beginning on or after January 1, 2009, but the individual's tax
liability for the 2009 tax year will be based only on ten-twelfths of
such net earnings for the 2009 tax year;
(b) the initial payment of such metropolitan commuter transportation
mobility tax enacted pursuant to section one of this act shall be made
with the third quarterly payment due in tax year 2009; provided however,
that the initial payment of such metropolitan commuter transportation
mobility tax shall be made at the same time as the first payment of the
withholding tax required to be paid pursuant to section 9 of the tax law
that is due on or after after October 31, 2009, and such payment by
employers shall include the taxes owed for the entire period beginning
on March 1, 2009 and that such payment by individuals with net earnings
from self-employment shall include the estimated taxes owed for the 2009
S. 5451 11 A. 8180
tax year as limited by paragraph (ii) of subdivision (a) of this
section, provided however, that public school districts within the MCTD
shall include taxes owed for the period beginning September 1, 2009;
(c) no addition to tax under subsection (c) of section 685 of the tax
law shall be imposed with respect to estimated tax payments of the
metropolitan commuter transportation mobility tax required to be filed
prior to the due date of the initial payment of the mobility tax as
specified in subdivision (b) of this section, provided the taxpayer
makes such estimated tax payments by such due date;
(d) the amendments to subsection 4 of section 618 of the tax law made
by section nine of this act shall survive the expiration and reversion
of such subsection as provided in section 8 of chapter 782 of the laws
of 1988, as amended; and
(e) the amendments to subdivision 4 of section 11-1718 of the adminis-
trative code of the city of New York made by section twenty-two of this
act shall survive the expiration and reversion of such subdivision as
provided in section 8 of chapter 782 of the laws of 1988, as amended.
PART D
Section 1. The education law is amended by adding a new section 3609-g
to read as follows:
S 3609-G. MONEYS APPORTIONED TO SCHOOL DISTRICTS FOR REIMBURSEMENT OF
ARTICLE TWENTY-THREE OF THE TAX LAW PAYMENTS COMMENCING IN THE 2009-2010
SCHOOL YEAR. NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY,
SCHOOL DISTRICTS SHALL BE REIMBURSED FOR PAYMENTS MADE PURSUANT TO ARTI-
CLE TWENTY-THREE OF THE TAX LAW PURSUANT TO THIS SECTION.
1. DEFINITION. AS USED IN THIS SECTION THE FOLLOWING TERM SHALL BE
DEFINED AS FOLLOWS: "SCHOOL DISTRICT" SHALL MEAN A PUBLIC SCHOOL
DISTRICT AND SHALL NOT INCLUDE A SPECIAL ACT SCHOOL DISTRICT AS DEFINED
IN SECTION FOUR THOUSAND ONE OF THIS CHAPTER.
2. PRESCRIBED PAYMENTS. ON OR AFTER THE FIRST BUSINESS DAY OF JUNE OF
EACH SCHOOL YEAR, COMMENCING JUNE FIRST, TWO THOUSAND TEN, A SCHOOL
DISTRICT SHALL BE PAID AN AMOUNT EQUAL TO ONE HUNDRED PERCENT OF THE
PAYMENTS MADE BY A SCHOOL DISTRICT ON OR AFTER MAY FIRST OF THE PRIOR
SCHOOL YEAR AND BEFORE MAY FIRST OF THE CURRENT SCHOOL YEAR TO THE
COMMISSIONER OF TAXATION AND FINANCE PURSUANT TO ARTICLE TWENTY-THREE OF
THE TAX LAW. NO PAYMENT MAY BE MADE PURSUANT TO THIS SUBDIVISION UNTIL
SUCH AMOUNT FOR EACH SCHOOL DISTRICT IS CERTIFIED BY THE COMMISSIONER OF
TAXATION AND FINANCE AND TRANSMITTED TO THE COMMISSIONER. SUCH CERTIF-
ICATION SHALL BE MADE ON OR BEFORE MAY THIRTY-FIRST SO AS TO FACILITATE
PAYMENTS TO BE MADE PURSUANT TO THIS SECTION.
3. (A) MONEYS PAID PURSUANT TO THIS SECTION SHALL BE PAYABLE TO THE
TREASURER OF EACH CITY SCHOOL DISTRICT, AND THE TREASURER OF EACH UNION
FREE SCHOOL DISTRICT AND OF EACH CENTRAL SCHOOL DISTRICT AND OF EACH
OTHER SCHOOL DISTRICT, IF THERE BE A TREASURER, OTHERWISE TO THE COLLEC-
TOR OR OTHER DISBURSING OFFICER OF SUCH DISTRICT, WHO SHALL APPLY FOR
AND RECEIVE THE SAME AS SOON AS PAYABLE.
(B) IN THE CASE OF CITY SCHOOL DISTRICTS OF THE CITIES WITH ONE
HUNDRED TWENTY-FIVE THOUSAND INHABITANTS OR MORE, ANY PAYMENT WHICH
PURSUANT TO THIS SECTION IS REQUIRED TO BE MADE TO THE TREASURER OF THE
CITY SCHOOL DISTRICT, SHALL BE MADE TO THE CITY TREASURER OR CHAMBER-
LAIN.
4. ANY PAYMENT TO A SCHOOL DISTRICT PURSUANT TO THIS SECTION SHALL BE
GENERAL RECEIPTS OF THE DISTRICT AND MAY BE USED FOR ANY LAWFUL PURPOSE
OF THE DISTRICT.
S. 5451 12 A. 8180
5. IT IS THE INTENT OF THE GOVERNOR TO SUBMIT AND THE LEGISLATURE TO
ENACT FOR EACH FISCAL YEAR AFTER THE TWO THOUSAND NINE--TWO THOUSAND TEN
FISCAL YEAR IN AN ANNUAL BUDGET BILL AN APPROPRIATION IN THE AMOUNT TO
BE PAID TO SCHOOL DISTRICTS PURSUANT TO THIS SECTION.
S 2. Paragraph t of subdivision 1 of section 3602 of the education
law, as amended by section 11 of part B of chapter 57 of the laws of
2007, is amended to read as follows:
t. The "approved operating expense" for the apportionments to any
school district hereunder shall mean the amount computed as follows: The
apportionment to any school district for operating expense shall be
based upon the total expenditures from its general fund and from its
capital fund and from its risk retention fund for purposes of employee
benefit claims related to salaries paid from the general fund, and for
any city school districts with a population of more than one hundred
twenty-five thousand inhabitants its expenditures from the special aid
fund of grant moneys for improving pupil performance and categorical aid
for special reading programs as provided in the aid to localities budget
during the applicable year as approved by the commissioner, and in
accordance with the classification of expenditures in use by the commis-
sioner for the reporting by school districts of receipts, expenditures
and other financial data. For the purpose of this paragraph operating
expense shall be defined as total cash expenditures during the applica-
ble year, but shall exclude: (1) any balances and transfers; (2) any
payments for transportation of pupils to and from school during the
regular school year inclusive of capital outlays and debt service there-
for; (2-a) a portion of any payments for transportation of pupils to and
from district operated summer school programs pursuant to subdivision
six of section thirty-six hundred twenty-two-a of this article, inclu-
sive of capital outlays and debt service therefor, equal to the product
of such expenditures multiplied by the quotient of the total apportion-
ment after the proration, if any, required by such subdivision six of
such section divided by the total apportionment prior to such proration;
(3) any payments for capital outlay and debt service for school building
purposes, provided, however, that in the case of a school district which
has entered into a contract with state university pursuant to paragraph
o of subdivision two of section three hundred fifty-five of this chap-
ter, under which the school district makes payments to state university
on account of capital outlay relating to certain children residing in
such school district, such payments shall not be so excluded; (4) any
payments for cafeteria or school lunch programs; (5) any proceeds of
short term borrowings in the general fund and any payments from the
proceeds of the sale of obligations in the capital fund; (6) any cash
receipts which reduce the cost of an item when applied against the
expenditure therefor, except gifts, donations and earned interest and
any refunds made; (7) any payments made to boards of cooperative educa-
tional services for purposes or programs for which an apportionment is
paid pursuant to other sections of this chapter, except that payments
attributable to eligible pupils with disabilities and ineligible pupils
residing in noncomponent districts shall be included in operating
expense; (8) any tuition payments made to other school districts inclu-
sive of payments made to a central high school district by one of its
component school districts; (9) any apportionment or payment received
from the state for experimental or special programs paid under
provisions other than those found in this section and other than any
apportionments or payments received from the state by the city school
district of the city of Yonkers for the purpose of funding an educa-
S. 5451 13 A. 8180
tional improvement program pursuant to a court order and other than any
other state grants in aid identified by the commissioner for general use
as specified by the board of education pursuant to subdivision two of
section seventeen hundred eighteen of this chapter; (10) any funds
received from the federal government except the federal share of medi-
caid subject to the provisions of section thirty-six hundred nine-a of
this part and except Impact Aid funds received pursuant to sections two
and six of Public Law eighty-one-eight hundred seventy-four (PL 81-874)
or any law superseding such law in any such district which received aid
pursuant to both such sections; provided further, however, that there
shall be excluded from such federal funds or other apportionments any
payments from such funds already deducted pursuant to this paragraph;
(11) any payments made for which an apportionment is disallowed pursuant
to regulations of the commissioner; (12) any expenditures made for
accounting, tabulation, or computer equipment, in excess of ten thousand
dollars unless such expenditures shall have been specifically approved
by the commissioner; (13) any rentals received pursuant to the
provisions of section four hundred three-a of this chapter; (14) any
rentals or other annual payments received pursuant to the provisions of
section four hundred three-b of this chapter; (15) any expenditures made
for persons twenty-one years of age or over attending employment prepa-
ration education programs pursuant to subdivision eleven of this
section; (16) any tuition payments made pursuant to a contract under the
provisions of paragraphs e, f, g, h, i and l of subdivision two of
section forty-four hundred one of this chapter or any tuition payments
on behalf of pupils attending a state school under paragraph d of such
subdivision; [and] (17) in any year in which expenditures are made to
the New York state teachers' retirement system or the New York state and
local employees' retirement system for both the prior school year and
the current school year, any expenditures made to such retirement
systems and recorded in the school year prior to the school year in
which such obligations are paid; AND (18) ANY PAYMENTS TO THE COMMIS-
SIONER OF TAXATION AND FINANCE PURSUANT TO ARTICLE TWENTY-THREE OF THE
TAX LAW.
S 2-a. If an appropriation were not to be enacted in any state fiscal
year after 2009-10 to reimburse school districts in accordance with
subdivision 5 of section 3609-g of the education law, the school
districts may suspend payment of their obligations in accordance with
article 23 of the tax law until such time as an appropriation in accord-
ance with subdivision 5 of section 3609-g of the education law is made.
In no case, however, shall the suspension of payment obligation exceed a
period of six months, nor shall the liability be reduced.
S 3. This act shall take effect July 1, 2009.
PART E
Section 1. The tax law is amended by adding a new article 29-A to read
as follows:
ARTICLE 29-A
TAX ON MEDALLION TAXICAB RIDES IN THE METROPOLITAN COMMUTER
TRANSPORTATION DISTRICT
SECTION 1280. DEFINITIONS.
1281. IMPOSITION OF TAX.
1282. PRESUMPTION OF TAXABILITY.
1283. SPECIAL PROVISIONS.
1284. RETURNS.
S. 5451 14 A. 8180
1285. PAYMENT OF TAX.
1286. RECORDS TO BE KEPT.
1287. SECRECY OF RETURNS AND REPORTS.
1288. DEPOSIT AND DISPOSITION OF REVENUE.
1289. COOPERATION BY CITY.
1290. PRACTICE AND PROCEDURE.
S 1280. DEFINITIONS. WHEN USED IN THIS ARTICLE, UNLESS OTHERWISE
EXPRESSLY STATED, THE FOLLOWING WORDS AND TERMS SHALL HAVE THE FOLLOWING
MEANINGS:
(A) "PERSON" MEANS AN INDIVIDUAL, PARTNERSHIP, LIMITED LIABILITY
COMPANY, SOCIETY, ASSOCIATION, JOINT STOCK COMPANY, CORPORATION, ESTATE,
RECEIVER, TRUSTEE, ASSIGNEE, REFEREE OR ANY OTHER PERSON ACTING IN A
FIDUCIARY OR REPRESENTATIVE CAPACITY, WHETHER APPOINTED BY A COURT OR
OTHERWISE, ANY COMBINATION OF INDIVIDUALS, AND ANY OTHER FORM OF UNIN-
CORPORATED ENTERPRISE OWNED OR CONDUCTED BY TWO OR MORE PERSONS.
(B) "MCTD" MEANS THE METROPOLITAN COMMUTER TRANSPORTATION DISTRICT
ESTABLISHED BY SECTION TWELVE HUNDRED SIXTY-TWO OF THE PUBLIC AUTHORI-
TIES LAW.
(C) "CITY" MEANS A CITY OF A MILLION OR MORE LOCATED IN THE MCTD.
(D) "TAXICAB" MEANS A MOTOR VEHICLE CARRYING PASSENGERS FOR HIRE IN
THE CITY, DULY LICENSED BY THE TAXI AND LIMOUSINE COMMISSION OF THE CITY
AND PERMITTED TO ACCEPT HAILS FROM PROSPECTIVE PASSENGERS IN THE STREET.
(E) "TAXICAB RIDE" MEANS A TAXICAB RIDE PROVIDED TO ONE OR MORE
PASSENGERS TO A GIVEN DESTINATION.
(F) "TAXICAB OWNER" MEANS A PERSON OWNING A TAXICAB AND SHALL INCLUDE
A PURCHASER UNDER A RESERVE TITLE CONTRACT, CONDITIONAL SALES AGREEMENT
OR VENDOR'S LIEN AGREEMENT. IN ADDITION, AN OWNER SHALL BE DEEMED TO
INCLUDE ANY LESSEE, LICENSEE OR BAILEE HAVING THE EXCLUSIVE USE OF A
TAXICAB, UNDER A LEASE OR OTHERWISE, FOR A PERIOD OF THIRTY DAYS OR
MORE.
(G) "PASSENGER" MEANS AN INDIVIDUAL SEATED IN A TAXICAB FOR TRAVEL FOR
HIRE TO A GIVEN DESTINATION.
(H) "TAXIMETER" SHALL INCLUDE ANY DEVICE WHICH, WHEN AFFIXED TO A
MOTOR VEHICLE, IS SO CONSTRUCTED AS TO OPERATE AS A FARE INDICATOR AND A
TIME AND DISTANCE REGISTER FOR THE PURPOSE OF AUTOMATICALLY DETERMINING
THE CHARGE FOR WHICH A PASSENGER BECOMES LIABLE.
S 1281. IMPOSITION OF TAX. IN ADDITION TO ANY OTHER TAX IMPOSED BY
THIS CHAPTER OR OTHER LAW, THERE IS HEREBY IMPOSED ON EVERY TAXICAB
OWNER A TAX OF FIFTY CENTS PER TAXICAB RIDE ON EVERY RIDE THAT ORIGI-
NATES IN THE CITY AND TERMINATES ANYWHERE WITHIN THE TERRITORIAL BOUNDA-
RIES OF THE MCTD.
S 1282. PRESUMPTION OF TAXABILITY. FOR THE PURPOSE OF THE PROPER
ADMINISTRATION OF THIS ARTICLE AND TO PREVENT EVASION OF THE TAX IMPOSED
BY THIS ARTICLE, IT SHALL BE PRESUMED THAT EVERY TAXICAB RIDE THAT ORIG-
INATES IN THE CITY IS SUBJECT TO THE TAX IMPOSED BY THIS ARTICLE. THIS
PRESUMPTION SHALL PREVAIL UNTIL THE CONTRARY IS PROVEN, AND THE BURDEN
OF PROVING THE CONTRARY SHALL BE ON THE PERSON LIABLE FOR PAYMENT OF THE
TAX.
S 1283. SPECIAL PROVISIONS. NOTWITHSTANDING ANY PROVISIONS OF THIS
ARTICLE TO THE CONTRARY: (A) IF A TAXICAB OWNER SUBJECT TO THE TAX
IMPOSED BY THIS ARTICLE LEASES, RENTS OR OTHERWISE FURNISHES A TAXICAB
TO AN UNRELATED PERSON WHO USES THE TAXICAB TO PROVIDE TAXICAB RIDES
ORIGINATING IN THE CITY, THEN: (1) THE OWNER IS DEEMED TO PROVIDE SUCH
TAXICAB RIDES DURING THE DAY OR OTHER PERIOD THAT THE UNRELATED PERSON
USES THE TAXICAB TO PROVIDE SUCH RIDES; (2) THE TAX IMPOSED BY THIS
ARTICLE SHALL BE IMPOSED ON SUCH OWNER; AND (3) THE OWNER MUST PAY THE
S. 5451 15 A. 8180
TAX IMPOSED BY THIS ARTICLE ON THE NUMBER OF RIDES SUBJECT TO SUCH TAX
PROVIDED BY SUCH UNRELATED PERSON DURING THE DAY OR OTHER PERIOD.
(B) NOTWITHSTANDING ANY LAW TO THE CONTRARY: (1) ALTHOUGH THE TAX IS
IMPOSED ON THE TAXICAB OWNER, THE TAXICAB OWNER MUST PASS ALONG THE
ECONOMIC INCIDENCE OF THE TAX TO THE PASSENGER BY ADJUSTING THE FARE FOR
THE RIDE, AND THE PASSING ALONG OF SUCH ECONOMIC INCIDENCE MAY NOT BE
CONSTRUED BY ANY COURT OR ADMINISTRATIVE BODY AS IMPOSING THE TAX ON THE
PERSON OR ENTITY THAT PAYS THE FARE FOR A RIDE. A CITY THAT REGULATES
TAXICABS OR TAXICAB FARES MUST ADJUST THE FARES AUTHORIZED TO INCLUDE
THEREIN THE TAX IMPOSED BY THIS ARTICLE, AS THE RATE OF SUCH TAX MAY
FROM TIME TO TIME CHANGE, AND MUST TIMELY REQUIRE THAT ANY TAXIMETER IN
A TAXICAB USED TO PROVIDE RIDES IN THE CITY BE ADJUSTED TO INCLUDE THE
TAX.
(2) A TAXICAB OWNER IN SUCH CITY MUST TIMELY ADJUST THE TAXIMETER IN
ANY OF SUCH PERSON'S TAXICABS SO THAT IT REFLECTS THE TAX IMPOSED BY
THIS ARTICLE AS SUCH RATE MAY FROM TIME TO TIME CHANGE.
(3) NEITHER THE FAILURE OF SUCH CITY TO ADJUST FARES NOR THE FAILURE
OF A TAXICAB OWNER TO ADJUST A TAXIMETER WILL RELIEVE ANY PERSON LIABLE
FOR THE TAX IMPOSED BY THIS ARTICLE FROM THE OBLIGATION TO PAY SUCH TAX
TIMELY, AT THE CORRECT RATE.
(C) FOR PURPOSES OF THIS SECTION, "UNRELATED PERSON" MEANS A PERSON
OTHER THAN A RELATED PERSON AS DEFINED FOR PURPOSES OF SECTION FOURTEEN
OF THIS CHAPTER.
S 1284. RETURNS. EVERY PERSON LIABLE FOR THE TAX IMPOSED BY THIS ARTI-
CLE SHALL FILE A RETURN QUARTERLY WITH THE COMMISSIONER. EACH RETURN
SHALL SHOW THE NUMBER OF RIDES IN THE QUARTER FOR WHICH THE RETURN IS
FILED, TOGETHER WITH SUCH OTHER INFORMATION AS THE COMMISSIONER MAY
REQUIRE. THE RETURNS REQUIRED BY THIS SECTION SHALL BE FILED FOR QUAR-
TERLY PERIODS ENDING ON THE LAST DAY OF MARCH, JUNE, SEPTEMBER, AND
DECEMBER OF EACH YEAR, AND EACH RETURN SHALL BE FILED WITHIN TWENTY DAYS
AFTER THE END OF THE QUARTERLY PERIOD COVERED THEREBY. EVERY SUCH
PERSON SHALL ALSO FILE A RETURN WITH THE COMMISSIONER FOR THE PERIOD OF
NOVEMBER AND DECEMBER TWO THOUSAND NINE, BY JANUARY TWENTIETH, TWO THOU-
SAND TEN, CONTAINING THE INFORMATION DESCRIBED ABOVE. IF THE COMMIS-
SIONER DEEMS IT NECESSARY IN ORDER TO ENSURE THE PAYMENT OF THE TAX
IMPOSED BY THIS ARTICLE, THE COMMISSIONER MAY REQUIRE RETURNS TO BE MADE
FOR SHORTER PERIODS THAN PRESCRIBED BY THE FOREGOING PROVISIONS OF THIS
SECTION, AND UPON SUCH DATES AS THE COMMISSIONER MAY SPECIFY. THE FORM
OF RETURNS SHALL BE PRESCRIBED BY THE COMMISSIONER AND SHALL CONTAIN
SUCH INFORMATION AS THE COMMISSIONER MAY DEEM NECESSARY FOR THE PROPER
ADMINISTRATION OF THIS ARTICLE. THE COMMISSIONER MAY REQUIRE AMENDED
RETURNS TO BE FILED WITHIN TWENTY DAYS AFTER NOTICE AND TO CONTAIN THE
INFORMATION SPECIFIED IN THE NOTICE. THE COMMISSIONER MAY REQUIRE THAT
THE RETURNS BE FILED ELECTRONICALLY.
S 1285. PAYMENT OF TAX. EVERY PERSON REQUIRED TO FILE A RETURN UNDER
THIS ARTICLE SHALL, AT THE TIME OF FILING SUCH RETURN, PAY TO THE
COMMISSIONER THE TOTAL OF ALL TAX IMPOSED BY THIS ARTICLE, ON THE
CORRECT NUMBER OF RIDES SUBJECT TO TAX UNDER THIS ARTICLE. THE AMOUNT SO
PAYABLE TO THE COMMISSIONER FOR THE PERIOD FOR WHICH A RETURN IS
REQUIRED TO BE FILED SHALL BE DUE AND PAYABLE TO THE COMMISSIONER ON THE
DATE LIMITED FOR THE FILING OF THE RETURN FOR SUCH PERIOD, WITHOUT
REGARD TO WHETHER A RETURN IS FILED OR WHETHER THE RETURN WHICH IS FILED
CORRECTLY SHOWS THE CORRECT NUMBER OF RIDES OR THE AMOUNT OF TAX DUE
THEREON. THE COMMISSIONER MAY REQUIRE THAT THE TAX BE PAID ELECTRON-
ICALLY.
S. 5451 16 A. 8180
S 1286. RECORDS TO BE KEPT. EVERY PERSON REQUIRED TO PAY ANY TAX
IMPOSED BY THIS ARTICLE SHALL KEEP RECORDS OF EVERY RIDE ORIGINATING IN
THE CITY AND OF ALL AMOUNTS PAID, CHARGED OR DUE THEREON AND OF THE TAX
PAYABLE THEREON, IN SUCH FORM AS THE COMMISSIONER MAY REQUIRE. EVERY
SUCH PERSON SHALL ALSO KEEP A TRUE AND COMPLETE COPY OF EVERY CONTRACT,
AGREEMENT, OR ARRANGEMENT CONCERNING THE LEASE, RENTAL, OR LICENSE TO
USE A TAXICAB FOR WHICH THE PERSON IS REQUIRED TO REMIT THE TAX ON RIDES
IMPOSED BY THIS ARTICLE ON SUCH PERSON. SUCH RECORDS SHALL BE AVAILABLE
FOR INSPECTION AND EXAMINATION AT ANY TIME UPON DEMAND BY THE COMMIS-
SIONER OR THE COMMISSIONER'S DULY AUTHORIZED AGENT OR EMPLOYEE AND SHALL
BE PRESERVED FOR A PERIOD OF THREE YEARS, EXCEPT THAT THE COMMISSIONER
MAY CONSENT TO THEIR DESTRUCTION WITHIN THAT PERIOD OR MAY REQUIRE THAT
THEY BE KEPT LONGER. SUCH RECORDS MAY BE KEPT WITHIN THE MEANING OF THIS
SECTION WHEN REPRODUCED ON ANY PHOTOGRAPHIC, PHOTOSTATIC, MICROFILM,
MICRO-CARD, MINIATURE PHOTOGRAPHIC OR OTHER PROCESS WHICH ACTUALLY
REPRODUCES THE ORIGINAL RECORD. IF THOSE RECORDS ARE MAINTAINED IN AN
ELECTRONIC FORMAT, THEY MUST BE MADE AVAILABLE AND ACCESSIBLE TO THE
COMMISSIONER IN ELECTRONIC FORMAT.
S 1287. SECRECY OF RETURNS AND REPORTS. (A) EXCEPT IN ACCORDANCE WITH
PROPER JUDICIAL ORDER OR AS OTHERWISE PROVIDED BY LAW, IT SHALL BE
UNLAWFUL FOR THE COMMISSIONER, ANY OFFICER OR EMPLOYEE OF THE DEPART-
MENT, ANY PERSON ENGAGED OR RETAINED BY THE DEPARTMENT ON AN INDEPENDENT
CONTRACT BASIS, OR ANY PERSON WHO IN ANY MANNER MAY ACQUIRE KNOWLEDGE OF
THE CONTENTS OF A RETURN OR REPORT FILED WITH THE COMMISSIONER PURSUANT
TO THIS ARTICLE, TO DIVULGE OR MAKE KNOWN IN ANY MANNER ANY PARTICULARS
SET FORTH OR DISCLOSED IN ANY SUCH RETURN OR REPORT. THE OFFICERS
CHARGED WITH THE CUSTODY OF SUCH RETURNS AND REPORTS SHALL NOT BE
REQUIRED TO PRODUCE ANY OF THEM OR EVIDENCE OF ANYTHING CONTAINED IN
THEM IN ANY ACTION OR PROCEEDING IN ANY COURT, EXCEPT ON BEHALF OF THE
COMMISSIONER IN AN ACTION OR PROCEEDING UNDER THE PROVISIONS OF THIS
CHAPTER OR IN ANY OTHER ACTION OR PROCEEDING INVOLVING THE COLLECTION OF
A TAX DUE UNDER THIS CHAPTER TO WHICH THE STATE OR THE COMMISSIONER IS A
PARTY OR A CLAIMANT, OR ON BEHALF OF ANY PARTY TO ANY ACTION, PROCEEDING
OR HEARING UNDER THE PROVISIONS OF THIS ARTICLE WHEN THE RETURNS,
REPORTS OR FACTS SHOWN THEREBY ARE DIRECTLY INVOLVED IN SUCH ACTION,
PROCEEDING OR HEARING, IN ANY OF WHICH EVENTS THE COURT, OR IN THE CASE
OF A HEARING, THE DIVISION OF TAX APPEALS MAY REQUIRE THE PRODUCTION OF,
AND MAY ADMIT INTO EVIDENCE, SO MUCH OF SAID RETURNS, REPORTS OR OF THE
FACTS SHOWN THEREBY, AS ARE PERTINENT TO THE ACTION, PROCEEDING OR HEAR-
ING AND NO MORE. THE COMMISSIONER OR THE DIVISION OF TAX APPEALS MAY,
NEVERTHELESS, PUBLISH A COPY OR A SUMMARY OF ANY DECISION RENDERED AFTER
A HEARING REQUIRED BY THIS ARTICLE. NOTHING IN THIS SECTION SHALL BE
CONSTRUED TO PROHIBIT THE DELIVERY TO A PERSON WHO HAS FILED A RETURN OR
REPORT OR TO SUCH PERSON'S DULY AUTHORIZED REPRESENTATIVE OF A CERTIFIED
COPY OF ANY RETURN OR REPORT FILED IN CONNECTION WITH SUCH PERSON'S TAX.
NOR SHALL ANYTHING IN THIS SECTION BE CONSTRUED TO PROHIBIT THE PUBLICA-
TION OF STATISTICS SO CLASSIFIED AS TO PREVENT THE IDENTIFICATION OF
PARTICULAR RETURNS OR REPORTS AND THE ITEMS THEREOF, OR THE INSPECTION
BY THE ATTORNEY GENERAL OR OTHER LEGAL REPRESENTATIVES OF THE STATE OF
THE RETURN OR REPORT OF ANY PERSON REQUIRED TO PAY THE TAX WHO SHALL
BRING ACTION TO REVIEW THE TAX BASED THEREON, OR AGAINST WHOM AN ACTION
OR PROCEEDING UNDER THIS CHAPTER HAS BEEN RECOMMENDED BY THE COMMISSION-
ER OR THE ATTORNEY GENERAL OR HAS BEEN INSTITUTED, OR THE INSPECTION OF
THE RETURNS OR REPORTS REQUIRED UNDER THIS ARTICLE BY THE COMPTROLLER OR
DULY DESIGNATED OFFICER OR EMPLOYEE OF THE STATE DEPARTMENT OF AUDIT AND
CONTROL, FOR PURPOSES OF THE AUDIT OF A REFUND OF ANY TAX PAID BY A
S. 5451 17 A. 8180
PERSON REQUIRED TO PAY THE TAX UNDER THIS ARTICLE. PROVIDED, FURTHER,
NOTHING IN THIS SECTION SHALL BE CONSTRUED TO PROHIBIT THE DISCLOSURE,
IN SUCH MANNER AS THE COMMISSIONER DEEMS APPROPRIATE, OF THE NAMES AND
OTHER APPROPRIATE IDENTIFYING INFORMATION OF THOSE PERSONS REQUIRED TO
PAY TAX UNDER THIS ARTICLE.
(B) NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION,
THE COMMISSIONER MAY, IN HIS OR HER DISCRETION, PERMIT THE PROPER OFFI-
CER OF A CITY THAT REGULATES TAXICABS OR THE DULY AUTHORIZED REPRESEN-
TATIVE OF SUCH OFFICER, TO INSPECT ANY RETURN FILED UNDER THIS ARTICLE,
OR MAY FURNISH TO SUCH OFFICER OR SUCH OFFICER'S AUTHORIZED REPRESEN-
TATIVE AN ABSTRACT OF ANY SUCH RETURN OR SUPPLY SUCH PERSON WITH INFOR-
MATION CONCERNING AN ITEM CONTAINED IN ANY SUCH RETURN, OR DISCLOSED BY
ANY INVESTIGATION OF TAX LIABILITY UNDER THIS ARTICLE; BUT SUCH PERMIS-
SION SHALL BE GRANTED OR SUCH INFORMATION FURNISHED ONLY IF SUCH CITY
SHALL HAVE FURNISHED THE COMMISSIONER WITH ALL INFORMATION REQUESTED BY
THE COMMISSIONER PURSUANT TO THIS ARTICLE AND SHALL HAVE PERMITTED THE
COMMISSIONER OR THE COMMISSIONER'S AUTHORIZED REPRESENTATIVE TO MAKE ANY
INSPECTION OF ANY RECORDS OR REPORTS CONCERNING TAXICABS AND THEIR
OWNERS OR OPERATORS FILED WITH OR POSSESSED BY SUCH CITY WHICH THE
COMMISSIONER MAY HAVE REQUESTED FROM SUCH CITY.
(C) NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION,
THE COMMISSIONER, IN HIS OR HER DISCRETION, MAY REQUIRE OR PERMIT ANY OR
ALL PERSONS LIABLE FOR ANY TAX IMPOSED BY THIS ARTICLE, TO MAKE PAYMENT
TO BANKS, BANKING HOUSES OR TRUST COMPANIES DESIGNATED BY THE COMMIS-
SIONER AND TO FILE RETURNS WITH SUCH BANKS, BANKING HOUSES OR TRUST
COMPANIES AS AGENTS OF THE COMMISSIONER, IN LIEU OF PAYING ANY SUCH TAX
DIRECTLY TO THE COMMISSIONER. HOWEVER, THE COMMISSIONER SHALL DESIGNATE
ONLY SUCH BANKS, BANKING HOUSES OR TRUST COMPANIES AS ARE ALREADY DESIG-
NATED BY THE COMPTROLLER AS DEPOSITORIES PURSUANT TO SECTION TWELVE
HUNDRED EIGHTY-EIGHT OF THIS ARTICLE.
(D) NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION,
THE COMMISSIONER MAY PERMIT THE SECRETARY OF THE TREASURY OF THE UNITED
STATES OR SUCH SECRETARY'S DELEGATE, OR THE AUTHORIZED REPRESENTATIVE OF
EITHER SUCH OFFICER, TO INSPECT ANY RETURN FILED UNDER THIS ARTICLE, OR
MAY FURNISH TO SUCH OFFICER OR SUCH OFFICER'S AUTHORIZED REPRESENTATIVE
AN ABSTRACT OF ANY SUCH RETURN OR SUPPLY SUCH PERSON WITH INFORMATION
CONCERNING AN ITEM CONTAINED IN ANY SUCH RETURN, OR DISCLOSED BY ANY
INVESTIGATION OF TAX LIABILITY UNDER THIS ARTICLE, BUT SUCH PERMISSION
SHALL BE GRANTED OR SUCH INFORMATION FURNISHED ONLY IF THE LAWS OF THE
UNITED STATES GRANT SUBSTANTIALLY SIMILAR PRIVILEGES TO THE COMMISSIONER
OR OFFICER OF THIS STATE CHARGED WITH THE ADMINISTRATION OF THE TAX
IMPOSED BY THIS ARTICLE, AND ONLY IF SUCH INFORMATION IS TO BE USED FOR
TAX PURPOSES ONLY; AND PROVIDED FURTHER THE COMMISSIONER MAY FURNISH TO
THE COMMISSIONER OF INTERNAL REVENUE OR SUCH COMMISSIONER'S AUTHORIZED
REPRESENTATIVE SUCH RETURNS FILED UNDER THIS ARTICLE AND OTHER TAX
INFORMATION, AS SUCH COMMISSIONER MAY CONSIDER PROPER, FOR USE IN COURT
ACTIONS OR PROCEEDINGS UNDER THE INTERNAL REVENUE CODE, WHETHER CIVIL OR
CRIMINAL, WHERE A WRITTEN REQUEST THEREFOR HAS BEEN MADE TO THE COMMIS-
SIONER BY THE SECRETARY OF THE TREASURY OF THE UNITED STATES OR SUCH
SECRETARY'S DELEGATE, PROVIDED THE LAWS OF THE UNITED STATES GRANT
SUBSTANTIALLY SIMILAR POWERS TO THE SECRETARY OF THE TREASURY OF THE
UNITED STATES OR HIS OR HER DELEGATE. WHERE THE COMMISSIONER HAS SO
AUTHORIZED USE OF RETURNS AND OTHER INFORMATION IN SUCH ACTIONS OR
PROCEEDINGS, OFFICERS AND EMPLOYEES OF THE DEPARTMENT MAY TESTIFY IN
SUCH ACTIONS OR PROCEEDINGS IN RESPECT TO SUCH RETURNS OR OTHER INFORMA-
TION.
S. 5451 18 A. 8180
(E) RETURNS AND REPORTS FILED UNDER THIS ARTICLE SHALL BE PRESERVED
FOR THREE YEARS AND THEREAFTER UNTIL THE COMMISSIONER ORDERS THEM TO BE
DESTROYED.
(F) (1) ANY OFFICER OR EMPLOYEE OF THE STATE WHO WILLFULLY VIOLATES
THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION SHALL BE DISMISSED
FROM OFFICE AND BE INCAPABLE OF HOLDING ANY PUBLIC OFFICE FOR A PERIOD
OF FIVE YEARS THEREAFTER.
(2) CROSS-REFERENCE: FOR CRIMINAL PENALTIES, SEE ARTICLE THIRTY-SEVEN
OF THIS CHAPTER.
S 1288. DEPOSIT AND DISPOSITION OF REVENUE. NOTWITHSTANDING ANY
PROVISION OF LAW TO THE CONTRARY: (A) ALL TAXES, INTEREST AND PENALTIES
COLLECTED OR RECEIVED BY THE COMMISSIONER PURSUANT TO THIS ARTICLE SHALL
BE DEPOSITED DAILY WITH SUCH RESPONSIBLE BANKS, BANKING HOUSES OR TRUST
COMPANIES, AS MAY BE DESIGNATED BY THE COMPTROLLER, TO THE CREDIT OF THE
COMPTROLLER. SUCH AN ACCOUNT MAY BE ESTABLISHED IN ONE OR MORE OF SUCH
DEPOSITORIES. SUCH DEPOSITS SHALL BE KEPT SEPARATE AND APART FROM ALL
OTHER MONEY IN THE POSSESSION OF THE COMPTROLLER. THE COMPTROLLER SHALL
REQUIRE ADEQUATE SECURITY FROM ALL SUCH DEPOSITORIES. OF THE TOTAL
REVENUE COLLECTED OR RECEIVED UNDER THIS SECTION, THE COMPTROLLER SHALL
RETAIN IN THE COMPTROLLER'S HANDS SUCH AMOUNT AS THE COMMISSIONER MAY
DETERMINE TO BE NECESSARY FOR REFUNDS UNDER THIS ARTICLE. THE COMMIS-
SIONER IS AUTHORIZED AND DIRECTED TO DEDUCT FROM SUCH AMOUNTS COLLECTED
OR RECEIVED UNDER THIS ARTICLE, BEFORE DEPOSIT INTO THE ACCOUNTS SPECI-
FIED BY THE COMPTROLLER, A REASONABLE AMOUNT NECESSARY TO EFFECTUATE
REFUNDS OF APPROPRIATIONS OF THE DEPARTMENT TO REIMBURSE THE DEPARTMENT
FOR THE COSTS TO ADMINISTER, COLLECT AND DISTRIBUTE THE TAXES IMPOSED BY
THIS ARTICLE.
(B) ON OR BEFORE THE TWELFTH DAY FOLLOWING THE END OF EACH MONTH,
AFTER RESERVING SUCH AMOUNT FOR SUCH REFUNDS AND SUCH COSTS, THE COMMIS-
SIONER SHALL CERTIFY TO THE COMPTROLLER THE AMOUNT OF ALL REVENUES SO
RECEIVED PURSUANT TO THIS ARTICLE DURING THE PRIOR MONTH AS A RESULT OF
THE TAXES, INTEREST AND PENALTIES SO IMPOSED.
(C) THE COMPTROLLER SHALL PAY OVER THE AMOUNT OF REVENUES SO CERTIFIED
BY THE COMMISSIONER TO THE METROPOLITAN TRANSPORTATION AUTHORITY AID
TRUST ACCOUNT OF THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL
ASSISTANCE FUND ESTABLISHED BY SECTION NINETY-TWO-FF OF THE STATE
FINANCE LAW FOR DEPOSIT, SUBJECT TO APPROPRIATION, IN THE CORPORATE
TRANSPORTATION ACCOUNT OF THE METROPOLITAN TRANSPORTATION AUTHORITY
SPECIAL ASSISTANCE FUND ESTABLISHED BY SECTION TWELVE HUNDRED SEVENTY-A
OF THE PUBLIC AUTHORITIES LAW TO BE APPLIED AS PROVIDED IN PARAGRAPH (E)
OF SUBDIVISION FOUR OF SUCH SECTION TWELVE HUNDRED SEVENTY-A. ANY MONEY
COLLECTED PURSUANT TO THIS ARTICLE THAT IS DEPOSITED BY THE COMPTROLLER
IN THE METROPOLITAN TRANSPORTATION AUTHORITY AID TRUST ACCOUNT OF THE
METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL ASSISTANCE FUND SHALL BE
HELD IN SUCH FUND FREE AND CLEAR OF ANY CLAIM BY ANY PERSON OR ENTITY
PAYING THE TAX PURSUANT TO THIS ARTICLE, INCLUDING, WITHOUT LIMITING THE
GENERALITY OF THE FOREGOING, ANY RIGHT OR CLAIM AGAINST THE METROPOLITAN
TRANSPORTATION AUTHORITY, ANY OF ITS BONDHOLDERS, OR ANY SUBSIDIARY OR
AFFILIATE OF THE METROPOLITAN TRANSPORTATION AUTHORITY.
S 1289. COOPERATION BY CITY. THE CITY SHALL COOPERATE WITH AND ASSIST
THE COMMISSIONER TO EFFECT THE PURPOSES OF THIS ARTICLE AND THE COMMIS-
SIONER'S RESPONSIBILITIES UNDER THIS ARTICLE. SUCH COOPERATION SHALL
INCLUDE FURNISHING THE NAMES, ADDRESSES AND ALL OTHER INFORMATION
CONCERNING EVERY OWNER, OPERATOR AND DRIVER OF TAXICABS IN THE CITY,
TOGETHER WITH ANY OTHER INFORMATION THE COMMISSIONER REQUESTS, ALL WITH-
OUT COST TO THE COMMISSIONER.
S. 5451 19 A. 8180
S 1290. PRACTICE AND PROCEDURE. THE PROVISIONS OF ARTICLE TWENTY-SEVEN
OF THIS CHAPTER SHALL APPLY WITH RESPECT TO THE ADMINISTRATION OF AND
PROCEDURE WITH RESPECT TO THE TAX IMPOSED BY THIS ARTICLE IN THE SAME
MANNER AND WITH THE SAME FORCE AND EFFECT AS IF THE LANGUAGE OF SUCH
ARTICLE TWENTY-SEVEN HAD BEEN INCORPORATED IN FULL INTO THIS ARTICLE AND
HAD EXPRESSLY REFERRED TO THE TAX UNDER THIS ARTICLE, EXCEPT TO THE
EXTENT THAT ANY SUCH PROVISION IS EITHER INCONSISTENT WITH A PROVISION
OF THIS ARTICLE OR IS NOT RELEVANT TO THIS ARTICLE. CRIMINAL PENALTIES
PROVIDED IN SECTION ONE THOUSAND EIGHT HUNDRED TWENTY OF THIS CHAPTER
SHALL APPLY IN THE SAME MANNER AND WITH THE SAME FORCE AND EFFECT WITH
RESPECT TO THIS ARTICLE.
S 2. Section 1825 of the tax law, as amended by section 2 of part N of
chapter 686 of the laws of 2003, is amended to read as follows:
S 1825. Violation of secrecy provisions of the tax law.--Any person
who violates the provisions of subdivision (b) of section twenty-one,
subdivision one of section two hundred two, subdivision eight of section
two hundred eleven, subdivision (a) of section three hundred fourteen,
subdivision one or two of section four hundred thirty-seven, section
four hundred eighty-seven, subdivision one or two of section five
hundred fourteen, subsection (e) of section six hundred ninety-seven,
subsection (a) of section nine hundred ninety-four, subdivision (a) of
section eleven hundred forty-six, SECTION TWELVE HUNDRED EIGHTY-SEVEN,
subdivision (a) of section fourteen hundred eighteen, subsection (a) of
section fourteen hundred sixty-seven, subdivision (a) of section fifteen
hundred eighteen, subdivision (a) of section fifteen hundred fifty-five
of this chapter, and subdivision (e) of section 11-1797 of the adminis-
trative code of the city of New York shall be guilty of a misdemeanor.
S 3. This act shall take effect November 1, 2009, and shall apply to
taxicab rides commencing on or after such date.
PART F
Section 1. The tax law is amended by adding a new section 1166-a to
read as follows:
S 1166-A. SPECIAL SUPPLEMENTAL TAX ON PASSENGER CAR RENTALS. (A) IN
ADDITION TO THE TAX IMPOSED UNDER SECTION ELEVEN HUNDRED SIXTY OF THIS
ARTICLE AND IN ADDITION TO ANY TAX IMPOSED UNDER ANY OTHER ARTICLE OF
THIS CHAPTER, THERE IS HEREBY IMPOSED AND THERE SHALL BE PAID A TAX AT
THE RATE OF FIVE PERCENT UPON THE RECEIPTS FROM EVERY RENTAL OF A
PASSENGER CAR WHICH IS A RETAIL SALE OF SUCH PASSENGER CAR WITHIN THE
METROPOLITAN COMMUTER TRANSPORTATION DISTRICT AS DEFINED IN SUBDIVISION
(A) OF SECTION EIGHT HUNDRED OF THIS CHAPTER.
(B) EXCEPT TO THE EXTENT THAT A PASSENGER CAR RENTAL DESCRIBED IN
SUBDIVISION (A) OF THIS SECTION HAS ALREADY BEEN OR WILL BE SUBJECT TO
THE TAX IMPOSED UNDER SUCH SUBDIVISION AND EXCEPT AS OTHERWISE EXEMPTED
UNDER THIS ARTICLE, THERE IS HEREBY IMPOSED ON EVERY PERSON AND THERE
SHALL BE PAID A USE TAX FOR THE USE WITHIN THE METROPOLITAN COMMUTER
TRANSPORTATION DISTRICT AS DEFINED IN SUBDIVISION (A) OF SECTION EIGHT
HUNDRED OF THIS CHAPTER; OF ANY PASSENGER CAR RENTED BY THE USER WHICH
IS A PURCHASE AT RETAIL OF SUCH PASSENGER CAR, BUT NOT INCLUDING ANY
LEASE OF A PASSENGER CAR TO WHICH SUBDIVISION (I) OF SECTION ELEVEN
HUNDRED ELEVEN OF THIS CHAPTER APPLIES. FOR PURPOSES OF THIS PARAGRAPH,
THE TAX SHALL BE AT THE RATE OF FIVE PERCENT OF THE CONSIDERATION GIVEN
OR CONTRACTED TO BE GIVEN FOR SUCH PROPERTY, OR FOR THE USE OF SUCH
PROPERTY, INCLUDING ANY CHARGES FOR SHIPPING OR DELIVERY AS DESCRIBED IN
PARAGRAPH THREE OF SUBDIVISION (B) OF SECTION ELEVEN HUNDRED ONE OF THIS
S. 5451 20 A. 8180
CHAPTER, BUT EXCLUDING ANY CREDIT FOR TANGIBLE PERSONAL PROPERTY
ACCEPTED IN PART PAYMENT AND INTENDED FOR RESALE.
S 2. Section 1165 of the tax law, as amended by section 2 of part D of
chapter 85 of the laws of 2002, is amended to read as follows:
S 1165. Administrative provisions. The [tax] TAXES imposed by [section
eleven hundred sixty of] this article shall be administered and
collected in a like manner as and jointly with the taxes imposed by
sections eleven hundred five and eleven hundred ten of article twenty-
eight of this chapter. All of the provisions of such article twenty-
eight (except sections eleven hundred seven, eleven hundred eight,
[eleven hundred nine and] eleven hundred forty-eight, AND, FOR PURPOSES
OF THE TAX IMPOSED BY SECTION ELEVEN HUNDRED SIXTY, SECTION ELEVEN
HUNDRED NINE) relating to or applicable to the administration,
collection and review of the taxes imposed by such sections eleven
hundred five and eleven hundred ten, including, but not limited to, the
provisions relating to definitions, exemptions, returns, personal
liability for the tax, collection of tax from the customer, collection
of tax at the time of registration of a motor vehicle and payment of tax
by a person required to file a return, shall apply to the [tax] TAXES
imposed by this article so far as such provisions can be made applicable
to the [tax] TAXES imposed by this article with such limitations as set
forth in this article and such modifications as may be necessary in
order to adapt such language to the [tax] TAXES so imposed. Such
provisions shall apply with the same force and effect as if the language
of those provisions had been set forth in full in this article except to
the extent that any provision is either inconsistent with a provision of
this article or is not relevant to the [tax] TAXES imposed by this arti-
cle. For purposes of this article, any reference in article twenty-eight
to the tax or taxes imposed by such article shall be deemed to refer to
the [tax] TAXES imposed by this article also unless a different meaning
is clearly required. Provided, further, however, that the provisions of
subdivision seven of section eleven hundred eighteen of this chapter
shall apply to the [tax] TAXES on uses within this state imposed by
[section eleven hundred sixty of] this article only in the event that
the rate of the retail sales or use tax paid, under the conditions
described in such subdivision seven, to any other state or jurisdiction
within any other state exceeds the aggregate rate of the compensating
use tax imposed under section eleven hundred ten of this chapter and any
compensating use tax imposed pursuant to the authority of article twen-
ty-nine of this chapter, and in such event only with respect to the
difference between the rate paid to such other state or jurisdiction
thereof and such aggregate rate. Provided, further, that for purposes of
this article and for articles twenty-eight and twenty-nine of this chap-
ter, the provisions of section eleven hundred seventeen of this chapter
shall not apply to the rental, as such term is defined in this article,
of motor vehicles and that the provisions contained in section eleven
hundred thirty-six of this chapter with respect to filing a part-quar-
terly return monthly and section eleven hundred thirty-seven-A of this
chapter relating to returns and payments of estimated tax shall not
apply to the [tax] TAXES imposed under this article.
S 3. Section 1167 of the tax law, as added by section 3 of part D of
chapter 85 of the laws of 2002, is amended to read as follows:
S 1167. Deposit and disposition of revenue. All taxes, interest and
penalties collected or received by the commissioner under this article
shall be deposited and disposed of pursuant to the provisions of section
one hundred seventy-one-a of this chapter, except that after reserving
S. 5451 21 A. 8180
amounts in accordance with such section one hundred seventy-one-a of
this chapter, the remainder shall be paid by the comptroller to the
credit of the highway and bridge trust fund established by section
eighty-nine-b of the state finance law, PROVIDED, HOWEVER, TAXES, INTER-
EST AND PENALTIES COLLECTED OR RECEIVED PURSUANT TO SECTION ELEVEN
HUNDRED SIXTY-SIX-A OF THIS ARTICLE SHALL BE PAID TO THE CREDIT OF THE
METROPOLITAN TRANSPORTATION AUTHORITY AID TRUST ACCOUNT OF THE METROPOL-
ITAN TRANSPORTATION AUTHORITY FINANCIAL ASSISTANCE FUND ESTABLISHED BY
SECTION NINETY-TWO-FF OF THE STATE FINANCE LAW.
S 4. Paragraph 6 of subsection (a) of section 1801 of the tax law, as
added by section 15 of subpart l of part V-1 of chapter 57 of the laws
of 2009, is amended to read as follows:
(6) fails to collect any tax required to be collected under articles
twelve-A, eighteen, twenty, twenty-two [or], twenty-eight OR
TWENTY-EIGHT-A of this chapter, or pursuant to the authority of article
twenty-nine of this chapter;
S 5. This act shall take effect June 1, 2009 and shall apply to sales
made or uses occurring on and after such date in accordance with the
transitional provisions in section 1106 of the tax law.
PART G
Section 1. The state finance law is amended by adding a new section
92-ff to read as follows:
S 92-FF. METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL ASSISTANCE
FUND. 1. THERE IS HEREBY ESTABLISHED IN THE JOINT CUSTODY OF THE COMMIS-
SIONER OF TAXATION AND FINANCE AND THE STATE COMPTROLLER A SPECIAL FUND
TO BE KNOWN AS THE "METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL
ASSISTANCE FUND".
2. MONEYS IN THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL
ASSISTANCE FUND SHALL BE KEPT SEPARATELY FROM AND SHALL NOT BE COMMIN-
GLED WITH ANY OTHER MONEYS IN THE JOINT OR SOLE CUSTODY OF THE STATE
COMPTROLLER OR THE COMMISSIONER OF TAXATION AND FINANCE.
3. SUCH FUND SHALL CONSIST OF ALL MONEYS COLLECTED THEREFORE OR CRED-
ITED OR TRANSFERRED THERETO FROM ANY OTHER FUND, ACCOUNT OR SOURCE,
INCLUDING, WITHOUT LIMITATION, THE REVENUES DERIVED FROM THE METROPOL-
ITAN COMMUTER TRANSPORTATION MOBILITY TAX IMPOSED BY ARTICLE
TWENTY-THREE OF THE TAX LAW; REVENUES DERIVED FROM THE SPECIAL SUPPLE-
MENTAL TAX ON PASSENGER CAR RENTALS IMPOSED BY SECTION ELEVEN HUNDRED
SIXTY-SIX-A OF THE TAX LAW; REVENUES DERIVED FROM THE TRANSPORTATION
SURCHARGE IMPOSED BY ARTICLE TWENTY-NINE-A OF THE TAX LAW; THE SUPPLE-
MENTAL REGISTRATION FEES IMPOSED BY ARTICLE SEVENTEEN-C OF THE VEHICLE
AND TRAFFIC LAW; AND THE SUPPLEMENTAL METROPOLITAN COMMUTER TRANSPORTA-
TION DISTRICT LICENSE FEES IMPOSED BY SECTION FIVE HUNDRED THREE OF THE
VEHICLE AND TRAFFIC LAW. ANY INTEREST RECEIVED BY THE COMPTROLLER ON
MONEYS ON DEPOSIT IN THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL
ASSISTANCE FUND SHALL BE RETAINED IN AND BECOME A PART OF SUCH FUND.
4. THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL ASSISTANCE FUND
SHALL CONSIST OF TWO SEPARATE AND DISTINCT ACCOUNTS: (A) THE "MOBILITY
TAX TRUST ACCOUNT" AND (B) THE "METROPOLITAN TRANSPORTATION AUTHORITY
AID TRUST ACCOUNT." MONEYS IN EACH OF THE ACCOUNTS SHALL BE KEPT SEPA-
RATELY FROM AND NOT COMMINGLED WITH ANY OTHER MONEYS IN THE METROPOLITAN
TRANSPORTATION AUTHORITY FINANCIAL ASSISTANCE FUND.
5. (A) THE "MOBILITY TAX TRUST ACCOUNT" SHALL CONSIST OF REVENUES
REQUIRED TO BE DEPOSITED THEREIN PURSUANT TO THE PROVISIONS OF ARTICLE
S. 5451 22 A. 8180
TWENTY-THREE OF THE TAX LAW AND ALL OTHER MONEYS CREDITED OR TRANSFERRED
THERETO FROM ANY OTHER FUND OR SOURCE PURSUANT TO LAW.
(B) MONEYS IN THE "MOBILITY TAX TRUST ACCOUNT" SHALL, PURSUANT TO
APPROPRIATION BY THE LEGISLATURE, BE TRANSFERRED ON A MONTHLY BASIS TO
THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCE FUND ESTABLISHED BY
SECTION TWELVE HUNDRED SEVENTY-H OF THE PUBLIC AUTHORITIES LAW AND
UTILIZED IN ACCORDANCE WITH SAID SECTION. IT IS THE INTENT OF THE LEGIS-
LATURE TO ENACT TWO APPROPRIATIONS FROM THE MOBILITY TAX TRUST ACCOUNT
TO THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCE FUND ESTABLISHED BY
SECTION TWELVE HUNDRED SEVENTY-H OF THE PUBLIC AUTHORITIES LAW. ONE SUCH
APPROPRIATION SHALL BE EQUAL TO THE AMOUNTS EXPECTED TO BE AVAILABLE FOR
SUCH PURPOSE PURSUANT TO ARTICLE TWENTY-THREE OF THE TAX LAW OR FROM ANY
OTHER MONIES DESCRIBED IN PARAGRAPH (A) OF THIS SUBDIVISION DURING THE
TWO THOUSAND NINE--TWO THOUSAND TEN FISCAL YEAR AND SHALL BE EFFECTIVE
IN THAT FISCAL YEAR. THE OTHER SUCH APPROPRIATION SHALL BE EQUAL TO THE
AMOUNTS EXPECTED TO BE AVAILABLE FOR SUCH PURPOSE PURSUANT TO ARTICLE
TWENTY-THREE OF THE TAX LAW OR FROM ANY OTHER MONIES DESCRIBED IN PARA-
GRAPH (A) OF THIS SUBDIVISION DURING THE TWO THOUSAND TEN--TWO THOUSAND
ELEVEN FISCAL YEAR AND SHALL, NOTWITHSTANDING THE PROVISIONS OF SECTION
FORTY OF THIS CHAPTER, TAKE EFFECT ON THE FIRST DAY OF THE TWO THOUSAND
TEN--TWO THOUSAND ELEVEN FISCAL YEAR AND LAPSE ON THE LAST DAY OF THAT
FISCAL YEAR. IT IS THE INTENT OF THE GOVERNOR TO SUBMIT AND THE LEGISLA-
TURE TO ENACT FOR EACH FISCAL YEAR AFTER THE TWO THOUSAND NINE--TWO
THOUSAND TEN FISCAL YEAR IN AN ANNUAL BUDGET BILL: (I) AN APPROPRIATION
FOR THE AMOUNT EXPECTED TO BE AVAILABLE IN THE MOBILITY TAX TRUST
ACCOUNT DURING SUCH FISCAL YEAR FOR THE METROPOLITAN TRANSPORTATION
AUTHORITY PURSUANT TO ARTICLE TWENTY-THREE OF THE TAX LAW OR ANY OTHER
MONIES DESCRIBED IN PARAGRAPH (A) OF THIS SUBDIVISION; AND (II) AN
APPROPRIATION FOR THE AMOUNT PROJECTED BY THE DIRECTOR OF THE BUDGET TO
BE DEPOSITED IN THE MOBILITY TAX TRUST ACCOUNT PURSUANT TO ARTICLE TWEN-
TY-THREE OF THE TAX LAW OR FROM ANY OTHER MONIES DESCRIBED IN PARAGRAPH
(A) OF THIS SUBDIVISION FOR THE NEXT SUCCEEDING FISCAL YEAR. SUCH APPRO-
PRIATION FOR PAYMENT OF REVENUES PROJECTED TO BE DEPOSITED IN THE
SUCCEEDING FISCAL YEAR SHALL, NOTWITHSTANDING THE PROVISIONS OF SECTION
FORTY OF THIS CHAPTER, TAKE EFFECT ON THE FIRST DAY OF SUCH SUCCEEDING
FISCAL YEAR AND LAPSE ON THE LAST DAY OF SUCH FISCAL YEAR. IF FOR ANY
FISCAL YEAR COMMENCING ON OR AFTER THE FIRST DAY OF APRIL, TWO THOUSAND
TEN THE GOVERNOR FAILS TO SUBMIT A BUDGET BILL CONTAINING THE FOREGOING,
OR THE LEGISLATURE FAILS TO ENACT A BILL WITH SUCH PROVISIONS, THEN THE
METROPOLITAN TRANSPORTATION AUTHORITY SHALL NOTIFY THE COMPTROLLER, THE
DIRECTOR OF THE BUDGET, THE CHAIRPERSON OF THE SENATE FINANCE COMMITTEE
AND THE CHAIRPERSON OF THE ASSEMBLY WAYS AND MEANS COMMITTEE OF AMOUNTS
REQUIRED TO BE DISBURSED FROM THE APPROPRIATION MADE DURING THE PRECED-
ING FISCAL YEAR FOR PAYMENT IN SUCH FISCAL YEAR. IN NO EVENT SHALL THE
COMPTROLLER MAKE ANY PAYMENTS FROM SUCH APPROPRIATION PRIOR TO MAY FIRST
OF SUCH FISCAL YEAR, AND UNLESS AND UNTIL THE DIRECTOR OF THE BUDGET,
THE CHAIRPERSON OF THE SENATE FINANCE COMMITTEE AND THE CHAIRPERSON OF
THE ASSEMBLY WAYS AND MEANS COMMITTEE HAVE BEEN NOTIFIED OF THE REQUIRED
PAYMENTS AND THE TIMING OF SUCH PAYMENTS TO BE MADE FROM THE MOBILITY
TAX TRUST ACCOUNT TO THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCE
FUND ESTABLISHED BY SECTION TWELVE HUNDRED SEVENTY-H OF THE PUBLIC
AUTHORITIES LAW AT LEAST FORTY-EIGHT HOURS PRIOR TO ANY SUCH PAYMENTS.
UNTIL SUCH TIME AS PAYMENTS PURSUANT TO SUCH APPROPRIATION ARE MADE IN
FULL, REVENUES IN THE MOBILITY TAX TRUST ACCOUNT SHALL NOT BE PAID OVER
TO ANY PERSON OTHER THAN THE METROPOLITAN TRANSPORTATION AUTHORITY.
S. 5451 23 A. 8180
6. (A) THE "METROPOLITAN TRANSPORTATION AUTHORITY AID TRUST ACCOUNT"
SHALL CONSIST OF REVENUES REQUIRED TO BE DEPOSITED THEREIN PURSUANT TO
THE PROVISIONS OF SECTION ELEVEN HUNDRED SIXTY-SIX-A OF THE TAX LAW;
ARTICLE TWENTY-NINE-A OF THE TAX LAW; ARTICLE SEVENTEEN-C OF THE VEHICLE
AND TRAFFIC LAW; AND SECTION FIVE HUNDRED THREE OF THE VEHICLE AND TRAF-
FIC LAW, AND ALL OTHER MONEYS CREDITED OR TRANSFERRED THERETO FROM ANY
OTHER FUND OR SOURCE PURSUANT TO LAW.
(B) MONEYS IN THE METROPOLITAN TRANSPORTATION AUTHORITY AID TRUST
ACCOUNT SHALL, FOLLOWING APPROPRIATION BY THE LEGISLATURE, BE DEPOSITED
QUARTERLY BY THE COMPTROLLER INTO THE CORPORATE TRANSPORTATION ACCOUNT
OF THE METROPOLITAN TRANSPORTATION AUTHORITY SPECIAL ASSISTANCE FUND
ESTABLISHED BY SECTION TWELVE HUNDRED SEVENTY-A OF THE PUBLIC AUTHORI-
TIES LAW, TO BE APPLIED AS PROVIDED IN PARAGRAPH (E) OF SUBDIVISION FOUR
OF SUCH SECTION TWELVE HUNDRED SEVENTY-A OF THE PUBLIC AUTHORITIES LAW.
7. NOTHING CONTAINED IN THIS SECTION SHALL BE DEEMED TO RESTRICT THE
RIGHT OF THE STATE TO AMEND, REPEAL, MODIFY OR OTHERWISE ALTER STATUTES
IMPOSING OR RELATING TO THE TAXES AND FEES PRODUCING REVENUES FOR DEPOS-
IT IN THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCIAL ASSISTANCE
FUND OR THE APPROPRIATIONS RELATING THERETO. THE METROPOLITAN TRANSPOR-
TATION AUTHORITY SHALL NOT INCLUDE WITHIN ANY RESOLUTION, CONTRACT OR
AGREEMENT WITH HOLDERS OF THE BONDS OR NOTES ISSUED UNDER SECTION TWELVE
HUNDRED SIXTY-NINE OF THE PUBLIC AUTHORITIES LAW ANY PROVISION WHICH
PROVIDES THAT A DEFAULT OCCURS AS A RESULT OF THE STATE EXERCISING ITS
RIGHT TO AMEND, REPEAL, MODIFY OR OTHERWISE ALTER SUCH TAXES OR APPRO-
PRIATIONS.
S 2. This act shall take effect immediately.
PART G-1
Section 1. The several amounts specified in this act for aid to local-
ities, or so much thereof as may be sufficient to accomplish the purpose
of providing financial assistance to the metropolitan transportation
authority are hereby appropriated and authorized to be paid as provided
in this section.
METROPOLITAN TRANSPORTATION AUTHORITY SUPPORT PROGRAM
Special Revenue Funds - Other/Aid to
Localities
Metropolitan Transportation Authority
Financial Assistance Fund - 225
Mobility Tax Trust Account
To the metropolitan transportation authority
for deposit in the metropolitan transpor-
tation authority finance fund pursuant to
the provisions of section 92-ff of the
state finance law, as added by the chapter
of the laws of 2009 which added this
section. Moneys appropriated herein may
be made available at such times and upon
such conditions as may be deemed appropri-
ate by the commissioner of transportation
and the director of the budget in accord-
ance with section 92-ff of the state
finance law ............................. $1,482,000,000
S. 5451 24 A. 8180
To the metropolitan transportation authority
for deposit in the metropolitan transpor-
tation authority finance fund pursuant to
the provisions of section 92-ff of the
state finance law, as added by the chapter
of the laws of 2009 which added this
section, for the period April 1, 2010 to
March 31, 2011 and notwithstanding section
40 of the state finance law shall take
effect on April 1, 2010 and shall lapse on
March 31, 2011 .......................... $1,563,000,000
Special Revenue Funds - Other/Aid to
Localities
Metropolitan Transportation Authority
Financial Assistance Fund - 225
Metropolitan Transportation Authority Aid
Trust Account
Notwithstanding any inconsistent provision
of law, the following appropriation is for
payment of assistance provided that
payments from this appropriation shall be
made pursuant to a financial plan approved
by the director of the budget.
To the metropolitan transportation authority
for deposit in the metropolitan transpor-
tation authority corporate transportation
account of the metropolitan transportation
authority special assistance fund pursuant
to section 92-ff of the state finance law
........................................... $161,100,000
General Fund / State Operations
State Purposes Account - 003
Nonpersonal Service
For the payment of the metropolitan commuter
transportation mobility tax pursuant to
Article 23 of the tax law as added by part
C of the chapter of the laws of 2009 which
added this section on behalf of state
employees employed in the Metropolitan
Commuter Transportation District ........... $18,000,000
S 2. No expenditure may be made from any appropriation in this act
until a certificate of approval has been issued by the director of the
budget and a copy of such certificate shall have been filed with the
state comptroller, the chairman of the senate finance committee and the
chairman of the assembly ways and means committee.
S 3. This act shall take effect immediately.
PART H
S. 5451 25 A. 8180
Section 1. Section 1261 of the public authorities law, as added by
chapter 324 of the laws of 1965, subdivision 7 as amended by chapter 415
of the laws of 1966, subdivision 8 as amended by chapter 569 of the laws
of 1973, subdivision 14 as amended by section 20 and subdivisions 19 and
20 as added by section 21 of part O of chapter 61 of the laws of 2000,
subdivisions 16 and 17 as added by chapter 717 of the laws of 1967, and
subdivision 18 as added by chapter 427 of the laws of 1983, is amended
to read as follows:
S 1261. Definitions. As used or referred to in this title, unless a
different meaning clearly appears from the context:
1. "Authority" shall mean the corporation created by section twelve
hundred sixty-three of this title.
2. "Authority facilities" shall mean the authority's railroad, omni-
bus, marine and aviation facilities and operations pursuant to joint
service arrangements.
3. "BUDGET" SHALL MEAN THE PRELIMINARY, FINAL PROPOSED AND ADOPTED
FINAL PLANS OF THE AUTHORITY, AND EACH OF ITS AGENCIES.
[3.] 4. "Comptroller" shall mean the comptroller of the state of New
York.
[4.] 5. "Equipment" shall mean rolling stock, omnibuses, vehicles,
air, marine or surface craft, motors, boilers, engines, wires, ways,
conduits and mechanisms, machinery, tools, implements, materials,
supplies, instruments and devices of every nature whatsoever used or
useful for transportation purposes or for the generation or transmission
of motive power including but not limited to all power houses, and all
apparatus and all devices for signalling, communications and ventilation
as may be necessary, convenient or desirable for the operation of a
transportation facility.
[5.] 6. "Federal government" shall mean the United States of America,
and any officer, department, board, commission, bureau, division, corpo-
ration, agency or instrumentality thereof.
7. "GAP" SHALL MEAN THE DIFFERENCE BETWEEN PROJECTED REVENUES AND
EXPENSES FOR ANY GIVEN FISCAL YEAR BASED ON THE EXISTING FARE STRUCTURE.
8. "GAP-CLOSING INITIATIVE" SHALL MEAN ANY ACTION TO REDUCE A PROJECT-
ED GAP.
[6.] 9. "Governor" shall mean the governor of the state of New York.
[7.] 10. "Joint service arrangements" shall mean agreements between or
among the authority and any common carrier or freight forwarder, the
state, any state agency, the federal government, any other state or
agency or instrumentality thereof, any public authority of this or any
other state, or any political subdivision or municipality of the state,
relating to property, buildings, structures, facilities, services,
rates, fares, classifications, divisions, allowances or charges (includ-
ing charges between operators of railroad, omnibus, marine and aviation
facilities), or rules or regulations pertaining thereto, for or in
connection with or incidental to transportation in part in or upon rail-
road, omnibus, marine or aviation facilities located within the district
and in part in or upon railroad, omnibus, marine or aviation facilities
located outside the district.
[8.] 11. "Marine and aviation facilities" shall mean equipment and
craft for the transportation of passengers, mail and cargo between
points within the district or pursuant to joint service arrangements, by
marine craft and aircraft of all types including but not limited to
hydrofoils, ferries, lighters, tugs, barges, helicopters, amphibians,
seaplanes or other contrivances now or hereafter used in navigation or
movement on waterways or in the navigation of or flight in airspace. It
S. 5451 26 A. 8180
shall also mean any marine port or airport facility within the transpor-
tation district but outside the port of New York district as defined in
chapter one hundred fifty-four of the laws of nineteen hundred twenty-
one, including but not limited to terminals, docks, piers, bulkheads,
ramps or any facility or real property necessary, convenient or desira-
ble for the accommodation of passengers and cargo or the docking, sail-
ing, landing, taking off, accommodation or servicing of such marine
craft or aircraft.
[9.] 12. "Omnibus facilities" shall mean motor vehicles, of the type
operated by carriers subject to the jurisdiction of the public service
commission, engaged in the transportation of passengers and their
baggage, express and mail between points within the district or pursuant
to joint service arrangements, and equipment, property, buildings,
structures, improvements, loading or unloading areas, parking areas or
other facilities, necessary, convenient or desirable for the accommo-
dation of such motor vehicles or their passengers, including but not
limited to buildings, structures and areas notwithstanding that portions
may not be devoted to any omnibus purpose other than the production of
revenues available for the costs and expenses of all or any facilities
of the authority.
[10.] 13. "Railroad facilities" shall mean right of way and related
trackage, rails, cars, locomotives, other rolling stock, signal, power,
fuel, communication and ventilation systems, power plants, stations,
terminals, storage yards, repair and maintenance shops, yards, equipment
and parts, offices and other real estate or personalty used or held for
or incidental to the operation, rehabilitation or improvement of any
railroad operating or to operate between points within the district or
pursuant to joint service arrangements, including but not limited to
buildings, structures, and areas notwithstanding that portions thereof
may not be devoted to any railroad purpose other than the production of
revenues available for the costs and expenses of all or any facilities
of the authority.
[11.] 14. "Real property" shall mean lands, structures, franchises and
interests in land, waters, lands under water, riparian rights and air
rights and any and all things and rights included within said term and
includes not only fees simple absolute but also any and all lesser
interests including but not limited to easements, rights of way, uses,
leases, licenses and all other incorporeal hereditaments and every
estate, interest or right, legal or equitable, including terms for years
and liens thereon by way of judgments, mortgages or otherwise.
[12.] 15. "State" shall mean the state of New York.
[13.] 16. "State agency" shall mean any officer, department, board,
commissioner, bureau, division, public benefit corporation, agency or
instrumentality of the state.
[14.] 17. "Transportation facility" shall mean any transit, railroad,
omnibus, marine or aviation facility and any person, firm, partnership,
association or, corporation which owns, leases or operates any such
facility or any other facility used for service in the transportation of
passengers, United States mail or personal property as a common carrier
for hire and any portion thereof and the rights, leaseholds or other
interest therein together with routes, tracks, extensions, connections,
parking lots, garages, warehouses, yards, storage yards, maintenance and
repair shops, terminals, stations and other related facilities thereof,
the devices, appurtenances, and equipment thereof and power plants and
other instrumentalities used or useful therefor or in connection there-
with.
S. 5451 27 A. 8180
[15.] 18. "Transportation district" and "district" shall mean the
metropolitan commuter transportation district created by section twelve
hundred sixty-two of this title.
[16.] 19. "New York city transit authority" shall mean the corporation
created by section twelve hundred one of this chapter.
[17.] 20. "Triborough bridge and tunnel authority" shall mean the
corporation created by section five hundred fifty-two of this chapter.
[18.] 21. "Inspector general" shall mean the metropolitan transporta-
tion authority inspector general.
[19.] 22. "Revenues." All monies received by the authority or its
subsidiaries, or New York city transit authority or its subsidiaries, or
Triborough bridge and tunnel authority, as the case may be, from whatev-
er source, derived directly or indirectly from or in connection with the
operations of the respective entity.
[20.] 23. "Transit facility." Transit facility as defined in subdivi-
sion fifteen of section twelve hundred of this article.
24. "UTILIZATION" SHALL MEAN PUBLIC USAGE OF THE SUBWAY, BUS, RAILROAD
AND PARATRANSIT SERVICES, AND BRIDGE AND TUNNEL CROSSINGS, OF THE
AUTHORITY AND ITS AFFILIATES AND SUBSIDIARIES AS REFLECTED IN EMPIRICAL
DATA.
S 2. Section 1204-a of the public authorities law, as added by chapter
483 of the laws of 1981, is renumbered section 1204-e.
S 3. Subparagraph 1 of paragraph (a) of subdivision 1 of section 1263
of the public authorities law, as amended by chapter 549 of the laws of
1994, is amended to read as follows:
(1) There is hereby created the "metropolitan transportation authori-
ty." The authority shall be a body corporate and politic constituting a
public benefit corporation. The authority shall consist of a chairman,
sixteen other voting members, and two non-voting and four alternate
non-voting members, as described in subparagraph two of this paragraph
appointed by the governor by and with the advice and consent of the
senate. ANY MEMBER APPOINTED TO A TERM COMMENCING ON OR AFTER JUNE
THIRTIETH, TWO THOUSAND NINE SHALL HAVE EXPERIENCE IN ONE OR MORE OF THE
FOLLOWING AREAS: TRANSPORTATION, PUBLIC ADMINISTRATION, BUSINESS MANAGE-
MENT, FINANCE, ACCOUNTING, LAW, ENGINEERING, LAND USE, URBAN AND
REGIONAL PLANNING, MANAGEMENT OF LARGE CAPITAL PROJECTS, LABOR
RELATIONS, OR HAVE EXPERIENCE IN SOME OTHER AREA OF ACTIVITY CENTRAL TO
THE MISSION OF THE AUTHORITY. Four of the sixteen voting members other
than the chairman shall be appointed on the written recommendation of
the mayor of the city of New York; and each of seven other voting
members other than the chairman shall be appointed after selection from
a written list of three recommendations from the chief executive officer
of the county in which the particular member is required to reside
pursuant to the provisions of this subdivision. Of the members appointed
on recommendation of the chief executive officer of a county, one such
member shall be, at the time of appointment, a resident of the county of
Nassau[;], one a resident of the county of Suffolk[;], one a resident of
the county of Westchester[; and], one a resident of the county of Dutch-
ess, one a resident of the county of Orange, one a resident of the coun-
ty of Putnam and one a resident of the county of Rockland, provided that
the term of any member who is a resident of a county that has withdrawn
from the metropolitan commuter transportation district pursuant to
section twelve hundred seventy-nine-b of this article shall terminate
upon the effective date of such county's withdrawal from such district.
Of the five voting members, other than the chairman, appointed by the
governor without recommendation from any other person, three shall be,
S. 5451 28 A. 8180
at the time of appointment, residents of the city of New York and two
shall be, at the time of appointment, residents of such city or of any
of the aforementioned counties in the metropolitan commuter transporta-
tion district. The chairman and each of the members shall be appointed
for a term of six years, provided however, that the chairman first
appointed shall serve for a term ending June thirtieth, nineteen hundred
eighty-one, [and the] PROVIDED THAT THIRTY DAYS AFTER THE EFFECTIVE DATE
OF THE CHAPTER OF THE LAWS OF TWO THOUSAND NINE WHICH AMENDED THIS
SUBPARAGRAPH, THE TERM OF THE CHAIRMAN SHALL EXPIRE; PROVIDED, FURTHER,
THAT SUCH CHAIRMAN MAY CONTINUE TO DISCHARGE THE DUTIES OF HIS OR HER
OFFICE UNTIL THE POSITION OF CHAIRMAN IS FILLED BY APPOINTMENT BY THE
GOVERNOR UPON THE ADVICE AND CONSENT OF THE SENATE AND THE TERM OF SUCH
NEW CHAIRMAN SHALL TERMINATE JUNE THIRTIETH, TWO THOUSAND FIFTEEN. THE
sixteen other members first appointed shall serve for the following
terms: The members from the counties of Nassau and Westchester shall
each serve for a term ending June thirtieth, nineteen hundred eighty-
five; the members from the county of Suffolk and from the counties of
Dutchess, Orange, Putnam and Rockland shall each serve for a term ending
June thirtieth, nineteen hundred ninety-two; two of the members
appointed on recommendation of the mayor of the city of New York shall
each serve for a term ending June thirtieth, nineteen hundred eighty-
four and, two shall each serve for a term ending June thirtieth, nine-
teen hundred eighty-one; two of the members appointed by the governor
without the recommendation of any other person shall each serve for a
term ending June thirtieth, nineteen hundred eighty-two, two shall each
serve for a term ending June thirtieth, nineteen hundred eighty and one
shall serve for a term ending June thirtieth, nineteen hundred eighty-
five. The two non-voting and four alternate non-voting members shall
serve until January first, two thousand one. The members from the coun-
ties of Dutchess, Orange, Putnam and Rockland shall cast one collective
vote.
S 4. Paragraph (a) of subdivision 1 of section 1263 of the public
authorities law, as amended by chapter 929 of the laws of 1986, is
amended to read as follows:
(a) There is hereby created the "metropolitan transportation authori-
ty." The authority shall be a body corporate and politic constituting a
public benefit corporation. The authority shall consist of a chairman
and sixteen other members appointed by the governor by and with the
advice and consent of the senate. ANY MEMBER APPOINTED TO A TERM
COMMENCING ON OR AFTER JUNE THIRTIETH, TWO THOUSAND NINE SHALL HAVE
EXPERIENCE IN ONE OR MORE OF THE FOLLOWING AREAS OF EXPERTISE: TRANSPOR-
TATION, PUBLIC ADMINISTRATION, BUSINESS MANAGEMENT, FINANCE, ACCOUNTING,
LAW, ENGINEERING, LAND USE, URBAN AND REGIONAL PLANNING, MANAGEMENT OF
LARGE CAPITAL PROJECTS, LABOR RELATIONS, OR HAVE EXPERIENCE IN SOME
OTHER AREA OF ACTIVITY CENTRAL TO THE MISSION OF THE AUTHORITY. Four of
the sixteen members other than the chairman shall be appointed on the
written recommendation of the mayor of the city of New York; and each of
seven other members other than the chairman shall be appointed after
selection from a written list of three recommendations from the chief
executive officer of the county in which the particular member is
required to reside pursuant to the provisions of this subdivision. Of
the members appointed on recommendation of the chief executive officer
of a county, one such member shall be, at the time of appointment, a
resident of the county of Nassau; one a resident of the county of
Suffolk; one a resident of the county of Westchester; and one a resident
of the county of Dutchess, one a resident of the county of Orange, one a
S. 5451 29 A. 8180
resident of the county of Putnam and one a resident of the county of
Rockland, provided that the term of any member who is a resident of a
county that has withdrawn from the metropolitan commuter transportation
district pursuant to section twelve hundred seventy-nine-b of this arti-
cle shall terminate upon the effective date of such county's withdrawal
from such district. Of the five members, other than the chairman,
appointed by the governor without recommendation from any other person,
three shall be, at the time of appointment, residents of the city of New
York and two shall be, at the time of appointment, residents of such
city or of any of the aforementioned counties in the metropolitan commu-
ter transportation district. The chairman and each of the members shall
be appointed for a term of six years, provided however, that the chair-
man first appointed shall serve for a term ending June thirtieth, nine-
teen hundred eighty-one, [and the] PROVIDED THAT THIRTY DAYS AFTER THE
EFFECTIVE DATE OF THE CHAPTER OF THE LAWS OF TWO THOUSAND NINE WHICH
AMENDED THIS PARAGRAPH, THE TERM OF THE CHAIRMAN SHALL EXPIRE; PROVIDED,
FURTHER, THAT SUCH CHAIRMAN MAY CONTINUE TO DISCHARGE THE DUTIES OF HIS
OFFICE UNTIL THE POSITION OF CHAIRMAN IS FILLED BY APPOINTMENT BY THE
GOVERNOR UPON THE ADVICE AND CONSENT OF THE SENATE AND THE TERM OF SUCH
NEW CHAIRMAN SHALL TERMINATE JUNE THIRTIETH, TWO THOUSAND FIFTEEN. THE
sixteen other members first appointed shall serve for the following
terms: The members from the counties of Nassau and Westchester shall
each serve for a term ending June thirtieth, nineteen hundred eighty-
five; the members from the county of Suffolk and from the counties of
Dutchess, Orange, Putnam and Rockland shall each serve for a term ending
June thirtieth, nineteen hundred ninety-two; two of the members
appointed on recommendation of the mayor of the city of New York shall
each serve for a term ending June thirtieth, nineteen hundred eighty-
four and, two shall each serve for a term ending June thirtieth, nine-
teen hundred eighty-one; two of the members appointed by the governor
without the recommendation of any other person shall each serve for a
term ending June thirtieth, nineteen hundred eighty-two, two shall each
serve for a term ending June thirtieth, nineteen hundred eighty and one
shall serve for a term ending June thirtieth, nineteen hundred eighty-
five. The members from the counties of Dutchess, Orange, Putnam and
Rockland shall cast one collective vote.
S 5. Paragraph (a) of subdivision 4 of section 1263 of the public
authorities law, as amended by chapter 766 of the laws of 2005, is
amended, and a new paragraph (d) is added to read as follows:
(a) [On recommendation of the chairman, the authority shall] NOTWITH-
STANDING SUBDIVISION THREE OF SECTION TWENTY-EIGHT HUNDRED TWENTY-FOUR
OF THIS CHAPTER OR ANY OTHER PROVISION OF LAW TO THE CONTRARY, THE
CHAIRMAN SHALL BE THE CHIEF EXECUTIVE OFFICER OF THE AUTHORITY AND SHALL
BE RESPONSIBLE FOR THE DISCHARGE OF THE EXECUTIVE AND ADMINISTRATIVE
FUNCTIONS AND POWERS OF THE AUTHORITY. THE CHAIRMAN MAY appoint an exec-
utive director [who shall be responsible for the] AND SUCH OTHER OFFI-
CIALS AND EMPLOYEES AS SHALL IN HIS OR HER JUDGEMENT BE NEEDED TO
discharge [of] the executive and administrative functions and powers of
the authority[, including the administration and the day-to-day oper-
ations of the authority and who shall not be a member of the authority].
(D) NOTWITHSTANDING PARAGRAPH (C) OF SUBDIVISION ONE OF SECTION TWEN-
TY-EIGHT HUNDRED TWENTY-FOUR OF THIS CHAPTER OR ANY OTHER PROVISION OF
LAW TO THE CONTRARY, THE CHAIRMAN SHALL NOT PARTICIPATE IN ESTABLISHING
AUTHORITY POLICIES REGARDING THE PAYMENT OF SALARY, COMPENSATION AND
REIMBURSEMENT TO, NOR ESTABLISH RULES FOR THE TIME AND ATTENDANCE OF,
THE CHIEF EXECUTIVE OFFICER. THE SALARY OF THE CHAIRMAN, AS DETERMINED
S. 5451 30 A. 8180
PURSUANT TO SUBDIVISION TWO OF THIS SECTION, SHALL ALSO BE COMPENSATION
FOR ALL SERVICES PERFORMED AS CHIEF EXECUTIVE OFFICER.
S 6. Subdivision 2 of section 1201 of the public authorities law, as
amended by chapter 766 of the laws of 2005, is amended to read as
follows:
2. The chairman of such board shall be the chairman of metropolitan
transportation authority, serving ex officio, and, PROVIDED THAT THERE
IS AN EXECUTIVE DIRECTOR OF THE METROPOLITAN TRANSPORTATION AUTHORITY,
the executive director of the authority shall be the executive director
of the metropolitan transportation authority, serving ex officio.
NOTWITHSTANDING SUBDIVISION THREE OF SECTION TWENTY-EIGHT HUNDRED TWEN-
TY-FOUR OF THIS CHAPTER OR ANY OTHER PROVISION OF LAW TO THE CONTRARY,
THE CHAIRMAN SHALL BE THE CHIEF EXECUTIVE OFFICER OF THE AUTHORITY AND
SHALL BE RESPONSIBLE FOR THE DISCHARGE OF THE EXECUTIVE AND ADMINISTRA-
TIVE FUNCTIONS AND POWERS OF THE AUTHORITY. The CHAIRMAN AND executive
director, IF ANY, EACH shall be empowered to delegate his or her [func-
tion] FUNCTIONS and [power to appoint, discipline and remove officers
and employees] POWERS to one or more officers or employees designated by
him or her.
S 7. Subdivision 1 of section 552 of the public authorities law, as
amended by chapter 766 of the laws of 2005, is amended to read as
follows:
1. A board, to be known as "Triborough bridge and tunnel authority" is
hereby created. Such board shall be a body corporate and politic consti-
tuting a public benefit corporation. It shall consist of seventeen
members, all serving ex officio. Those members shall be the persons who
from time to time shall hold the offices of chairman and members of
metropolitan transportation authority. The chairman of such board shall
be the chairman of metropolitan transportation authority, serving ex
officio, and, PROVIDED THAT THERE IS AN EXECUTIVE DIRECTOR OF THE METRO-
POLITAN TRANSPORTATION AUTHORITY, the executive director of the authori-
ty shall be the executive director of the metropolitan transportation
authority, serving ex officio. NOTWITHSTANDING SUBDIVISION THREE OF
SECTION TWENTY-EIGHT HUNDRED TWENTY-FOUR OF THIS CHAPTER OR ANY OTHER
PROVISION OF LAW TO THE CONTRARY, THE CHAIRMAN SHALL BE THE CHIEF EXECU-
TIVE OFFICER OF THE AUTHORITY AND SHALL BE RESPONSIBLE FOR THE DISCHARGE
OF THE EXECUTIVE AND ADMINISTRATIVE FUNCTIONS AND POWERS OF THE AUTHORI-
TY. The CHAIRMAN AND executive director, IF ANY, EACH shall be empowered
to delegate his or her [function] FUNCTIONS and [power to appoint,
discipline and remove officers and employees] POWERS to the executive
officer of the Triborough bridge and tunnel authority or to such person
as may succeed to the powers and duties of said executive officer. The
chairman and other members of the board hereby created, and the execu-
tive director, IF ANY, shall not be entitled to compensation for their
services hereunder but shall be entitled to reimbursement for their
actual and necessary expenses incurred in the performance of their offi-
cial duties.
S 7-a. Subdivision 7 of section 1263 of the public authorities law, as
added by chapter 324 of the laws of 1965, is amended to read as follows:
7. The governor may remove any member for inefficiency, neglect of
duty, BREACH OF FIDUCIARY DUTY or misconduct in office after giving
[him] THE MEMBER a copy of the charges against [him] THE MEMBER and an
opportunity to be heard, in person or by counsel in [his] THE MEMBER'S
defense, upon not less than ten days' notice. If any member shall be so
removed, the governor shall file in the office of the department of
S. 5451 31 A. 8180
state a complete statement of charges made against such member, and his
findings thereon, together with a complete record of the proceedings.
S 8. Subdivision 5 of section 1266 of the public authorities law, as
amended by section 23 of part O of chapter 61 of the laws of 2000, is
amended to read as follows:
5. The authority may acquire, hold, own, lease, establish, construct,
effectuate, operate, maintain, renovate, improve, extend or repair any
transportation facilities through, and cause any one or more of its
powers, duties, functions or activities to be exercised or performed by,
one or more wholly owned subsidiary corporations of the authority, or by
New York city transit authority or any of its subsidiary corporations in
the case of transit facilities and may transfer to or from any such
corporations any moneys, real property or other property for any of the
purposes of this title upon such terms and conditions as shall be agreed
to and subject to such payment or repayment obligations as are required
by law or by any agreement to which any of the affected entities is
subject. The directors or members of each such subsidiary corporation of
the authority corporation shall be the same persons holding the offices
of members of the authority. THE CHAIRMAN OF THE BOARD OF EACH SUCH
SUBSIDIARY SHALL BE THE CHAIRMAN OF THE AUTHORITY, SERVING EX OFFICIO
AND, PROVIDED THAT THERE IS AN EXECUTIVE DIRECTOR OF THE METROPOLITAN
TRANSPORTATION AUTHORITY, THE EXECUTIVE DIRECTOR OF SUCH SUBSIDIARY
SHALL BE THE EXECUTIVE DIRECTOR OF THE METROPOLITAN TRANSPORTATION
AUTHORITY, SERVING EX OFFICIO. NOTWITHSTANDING SUBDIVISION THREE OF
SECTION TWENTY-EIGHT HUNDRED TWENTY-FOUR OF THIS CHAPTER OR ANY OTHER
PROVISION OF LAW TO THE CONTRARY, THE CHAIRMAN SHALL BE THE CHIEF EXECU-
TIVE OFFICER OF EACH SUCH SUBSIDIARY AND SHALL BE RESPONSIBLE FOR THE
DISCHARGE OF THE EXECUTIVE AND ADMINISTRATIVE FUNCTIONS AND POWERS OF
EACH SUCH SUBSIDIARY. THE CHAIRMAN AND EXECUTIVE DIRECTOR, IF ANY,
SHALL BE EMPOWERED TO DELEGATE HIS OR HER FUNCTIONS AND POWERS TO ONE OR
MORE OFFICERS OR EMPLOYEES OF EACH SUCH SUBSIDIARY DESIGNATED BY HIM OR
HER. Each such subsidiary corporation of the authority and any of its
property, functions and activities shall have all of the privileges,
immunities, tax exemptions and other exemptions of the authority and of
the authority's property, functions and activities. Each such subsid-
iary corporation shall be subject to the restrictions and limitations to
which the authority may be subject. Each such subsidiary corporation of
the authority shall be subject to suit in accordance with section twelve
hundred seventy-six of this title. The employees of any such subsidiary
corporation, except those who are also employees of the authority, shall
not be deemed employees of the authority.
If the authority shall determine that one or more of its subsidiary
corporations should be in the form of a public benefit corporation, it
shall create each such public benefit corporation by executing and
filing with the secretary of state a certificate of incorporation, which
may be amended from time to time by filing, which shall set forth the
name of such public benefit subsidiary corporation, its duration, the
location of its principal office, and any or all of the purposes of
acquiring, owning, leasing, establishing, constructing, effectuating,
operating, maintaining, renovating, improving, extending or repairing
one or more facilities of the authority. Each such public benefit
subsidiary corporation shall be a body politic and corporate and shall
have all those powers vested in the authority by the provisions of this
title which the authority shall determine to include in its certificate
of incorporation except the power to contract indebtedness.
S. 5451 32 A. 8180
Whenever any state, political subdivision, municipality, commission,
agency, officer, department, board, division or person is authorized and
empowered for any of the purposes of this title to co-operate and enter
into agreements with the authority such state, political subdivision,
municipality, commission, agency, officer, department, board, division
or person shall have the same authorization and power for any of such
purposes to co-operate and enter into agreements with a subsidiary
corporation of the authority.
S 9. Intentionally omitted.
S 10. The public authorities law is amended by adding a new section
1266-i to read as follows:
S 1266-I. THE PERMANENT CITIZENS ADVISORY COMMITTEE. THERE IS HEREBY
ESTABLISHED A PERMANENT CITIZENS ADVISORY COMMITTEE. THE MEMBERS OF THE
COMMITTEE SHALL CONSIST OF THE FOLLOWING MEMBERS: THE LONG ISLAND RAIL
ROAD COMMUTER'S COUNCIL, THE METRO-NORTH COMMUTER COUNCIL, AND THE NEW
YORK CITY TRANSIT AUTHORITY ADVISORY COUNCIL, AS DEFINED IN SECTION
TWELVE HUNDRED FOUR-E OF THIS CHAPTER.
S 11. The public authorities law is amended by adding a new section
1268-a to read as follows:
S 1268-A. PROMOTION OF QUALIFIED TRANSPORTATION FRINGES. THE AUTHORI-
TY SHALL PROMOTE THE BROAD USE OF QUALIFIED TRANSPORTATION FRINGES,
UNDER SECTION 132(F) OF THE INTERNAL REVENUE CODE, IN ORDER TO INCREASE
THE NUMBER OF PARTICIPATING COMPANIES AND EMPLOYEES IN SUCH PROGRAMS.
THE AUTHORITY MAY ALSO STUDY AND REPORT ON WAYS IN WHICH PROGRAMS MAY BE
IMPROVED SO AS TO INCREASE PUBLIC PARTICIPATION.
S 11-a. Section 1269-b of the public authorities law is amended by
adding a new subdivision 2-a to read as follows:
2-A. A COPY OF ANY PROPOSED CAPITAL PROGRAM PLAN THAT HAS BEEN
DISTRIBUTED TO ONE OR MORE COMMITTEES OF THE AUTHORITY SHALL BE SIMUL-
TANEOUSLY PROVIDED, FOR INFORMATIONAL PURPOSES, TO THE MEMBERS OF THE
METROPOLITAN TRANSPORTATION AUTHORITY CAPITAL PROGRAM REVIEW BOARD.
PROVISION OF SUCH A PROPOSED CAPITAL PROGRAM PLAN TO THE CAPITAL PROGRAM
REVIEW BOARD PURSUANT TO THIS PROVISION FOR INFORMATIONAL PURPOSES SHALL
NOT CONSTITUTE THE SUBMISSION OF A CAPITAL PROGRAM PLAN FOR CAPITAL
PROGRAM REVIEW BOARD APPROVAL.
S 12. Paragraph (c) of subdivision 1 of section 1269-b of the public
authorities law, as amended by chapter 384 of the laws of 2007, is
amended to read as follows:
(c) on or before October first, two thousand thirteen and every fifth
year thereafter, the authority shall submit to the metropolitan trans-
portation authority capital program review board two capital program
plans for the five-year period commencing January first of the following
year. SUCH PLANS SHALL INCLUDE METHODS TO MAXIMIZE PARTICIPATION BY
MINORITY AND WOMEN-OWNED BUSINESS ENTERPRISES.
S 13. The public authorities law is amended by adding three new
sections 1269-e, 1269-f and 1269-g to read as follows:
S 1269-E. FINANCIAL AND OPERATIONAL REPORTS. THE AUTHORITY SHALL
SUBMIT TO THE GOVERNOR, THE TEMPORARY PRESIDENT OF THE SENATE AND THE
SPEAKER OF THE ASSEMBLY, NO LATER THAN THIRTY DAYS FOLLOWING THE
SUBMISSION OF THE ANNUAL INDEPENDENT AUDIT REPORT PURSUANT TO SECTION
TWENTY-EIGHT HUNDRED TWO OF THIS CHAPTER, A COMPLETE DETAILED REPORT OR
REPORTS SETTING FORTH, TO THE EXTENT SUCH MATTERS ARE NOT FULLY
ADDRESSED IN THE ANNUAL INDEPENDENT AUDIT REPORT, THE FOLLOWING:
1. ITS FINANCIAL REPORTS, INCLUDING:
S. 5451 33 A. 8180
A. AUDITED FINANCIALS IN ACCORDANCE WITH ALL APPLICABLE REGULATIONS
AND FOLLOWING GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AS DEFINED IN
SUBDIVISION TEN OF SECTION TWO OF THE STATE FINANCE LAW;
B. GRANT AND SUBSIDY PROGRAMS;
C. OPERATING AND FINANCIAL RISKS;
D. CURRENT RATINGS OF ITS BONDS ISSUED BY RECOGNIZED MUNICIPAL BOND
RATING AGENCIES AND NOTICE CHANGES IN SUCH RATINGS; AND
E. LONG-TERM LIABILITIES, INCLUDING LEASES AND EMPLOYEE BENEFIT PLANS;
AND
2. AN ASSESSMENT OF THE EFFECTIVENESS OF ITS INTERNAL CONTROL STRUC-
TURE AND PROCEDURES, INCLUDING:
A. DESCRIPTIONS OF THE AUTHORITY AND ITS MAJOR UNITS AND SUBSIDIARIES;
B. THE NUMBER OF EMPLOYEES, AND MINORITY AND WOMEN EMPLOYEES, FOR
EACH;
C. AN ORGANIZATIONAL CHART;
D. ITS CHARTER, IF ANY AND BY-LAWS;
E. THE EXTENT OF PARTICIPATION BY MINORITY AND WOMEN OWNED ENTERPRISES
IN AUTHORITY CONTRACTS AND SERVICES IN ACCORDANCE WITH ARTICLE FIFTEEN-A
OF THE EXECUTIVE LAW; AND
F. A LISTING OF MATERIAL CHANGES IN INTERNAL OPERATIONS AND PROGRAMS
DURING THE REPORTING YEAR.
S 1269-F. MISSION STATEMENT AND MEASUREMENT REPORT. 1. THE AUTHORITY
SHALL SUBMIT TO THE GOVERNOR, THE TEMPORARY PRESIDENT OF THE SENATE AND
THE SPEAKER OF THE ASSEMBLY, ON OR BEFORE OCTOBER THIRTY-FIRST, TWO
THOUSAND NINE, A PROPOSED AUTHORITY MISSION STATEMENT AND PROPOSED MEAS-
UREMENTS. THE PROPOSED MISSION STATEMENT AND PROPOSED MEASUREMENTS SHALL
HAVE THE FOLLOWING COMPONENTS: A BRIEF MISSION STATEMENT EXPRESSING THE
PURPOSE AND GOALS OF THE AUTHORITY; A DESCRIPTION OF THE STAKEHOLDERS OF
THE AUTHORITY AND THEIR REASONABLE EXPECTATIONS FROM THE AUTHORITY,
WHICH STAKEHOLDERS SHALL INCLUDE AT A MINIMUM: THE RESIDENTS AND TAXPAY-
ERS OF THE AREA OF THE STATE SERVED BY THE AUTHORITY, THE PERSONS THAT
USE THE SERVICES PROVIDED BY THE AUTHORITY, AND THE EMPLOYEES OF THE
AUTHORITY AND ANY EMPLOYEE ORGANIZATION; THE GOALS OF THE AUTHORITY IN
RESPONSE TO THE NEEDS OF EACH GROUP OF STAKEHOLDERS; AND A LIST OF MEAS-
URES BY WHICH PERFORMANCE OF THE AUTHORITY AND THE ACHIEVEMENT OF ITS
GOALS MAY BE EVALUATED.
2. THE AUTHORITY SHALL THEREAFTER REEXAMINE ITS MISSION STATEMENT AND
MEASUREMENTS ON AN ANNUAL BASIS, AND PUBLISH ON ITS WEBSITE SELF EVALU-
ATIONS BASED ON THE STATED MEASURES.
S 1269-G. REQUIREMENTS FOR CERTAIN AUTHORITY CONTRACTS AND RELATED
SUBCONTRACTS. 1. ANY CONTRACTOR OR SUBCONTRACTOR SUBJECT TO THE POSTING
REQUIREMENTS OF PARAGRAPH A OF SUBDIVISION THREE-A OF SECTION TWO
HUNDRED TWENTY OF THE LABOR LAW WITH RESPECT TO A PUBLIC WORKS CONTRACT
OF THE AUTHORITY SHALL:
(A) POST INFORMATION CONFORMING TO THE PROVISIONS OF SUBDIVISION TWO
OF THIS SECTION IN ONE OR MORE CONSPICUOUS PLACES AT EACH MAJOR WORK-
PLACE SITE WHERE PERSONS WHO PERFORM WORK ON THE CONTRACT OR SUBCON-
TRACT, INCLUDING MANAGEMENT, ARE MOST LIKELY TO SEE SUCH POSTINGS;
PROVIDED THAT, THIS REQUIREMENT MAY BE SATISFIED BY THE DISPLAYING OF
SUCH INFORMATION WITH OTHER NOTICES THAT INFORM PERSONS OF RIGHTS UNDER
FEDERAL OR STATE LAWS OR RULES, HUMAN RESOURCE POLICIES, OR COLLECTIVE
BARGAINING AGREEMENTS;
(B) POST INFORMATION CONFORMING TO THE PROVISIONS OF SUBDIVISION TWO
OF THIS SECTION ON AN INTERNET AND INTRANET WEBSITE, IF ANY, OF THAT
PERSON OR BUSINESS ORGANIZATION; PROVIDED THAT, THIS REQUIREMENT MAY BE
SATISFIED BY PROVIDING ON SUCH WEBSITE A CONSPICUOUS HYPERLINK TO THE
S. 5451 34 A. 8180
AUTHORITY WEBSITE MAINTAINED PURSUANT TO SUBDIVISION THREE OF THIS
SECTION, WHICH HYPERLINK SHALL BE LABELED "PROTECTIONS FOR REPORTING
FRAUD IN NEW YORK";
(C) DISTRIBUTE INFORMATION SPECIFIED IN SUBDIVISION TWO OF THIS
SECTION TO THOSE PERSONS, INCLUDING EMPLOYEES AND MANAGERS, WHO PERFORM
WORK ON THE CONTRACT; PROVIDED THAT, THIS REQUIREMENT MAY BE SATISFIED
BY DISTRIBUTING SUCH INFORMATION IN AN EMPLOYEE HANDBOOK OR THROUGH A
SPECIFIC ELECTRONIC COMMUNICATION CONTAINING THE INFORMATION TO A KNOWN
ELECTRONIC MAIL ADDRESS MAINTAINED BY THE PERSON; AND
(D) COMPLY WITH THE PROVISIONS OF THIS SUBDIVISION, AND PROVIDE TO THE
AUTHORITY SATISFACTORY EVIDENCE OF SUCH COMPLIANCE, WITHIN NINETY DAYS.
2. THE DISCLOSURES REQUIRED BY SUBDIVISION ONE OF THIS SECTION SHALL:
(A) PROVIDE THE TELEPHONE NUMBERS AND ADDRESSES TO REPORT INFORMATION
OF FRAUD OR OTHER ILLEGAL ACTIVITY TO THE APPROPRIATE OFFICERS OF THE
INSPECTOR GENERAL OF THE AUTHORITY AND THE ATTORNEY-GENERAL OF THE
STATE;
(B) DESCRIBE IN DETAIL CONDUCT PROHIBITED BY SECTION ONE HUNDRED
EIGHTY-NINE OF THE STATE FINANCE LAW, AND THE ROLE OF THAT ACT IN
PREVENTING AND DETECTING FRAUD AND ABUSE IN WORK PAID FOR BY THE AUTHOR-
ITY OR WITH FUNDS ORIGINATING FROM THE AUTHORITY;
(C) NOTIFY PROSPECTIVE QUI TAM PLAINTIFFS ON HOW TO FILE A QUI TAM
ACTION, INCLUDING THE NECESSITY TO CONTACT PRIVATE COUNSEL SKILLED IN
FILING SUCH ACTIONS AND OF THE POTENTIAL FOR CASH REWARDS IN SUCH
ACTIONS BASED ON THE PERCENTAGE OF THE FUNDS RECOVERED BY THE GOVERN-
MENT; AND
(D) DESCRIBE PROHIBITIONS ON EMPLOYER RETALIATION AGAINST PERSONS WHO
FILE OR ASSIST ACTIONS UNDER ARTICLE THIRTEEN OF THE STATE FINANCE LAW
(THE NEW YORK FALSE CLAIMS ACT) PURSUANT TO SECTION ONE HUNDRED NINETY-
ONE OF THE STATE FINANCE LAW, OR WHO REPORT ILLEGAL CONDUCT THAT THREAT-
ENS THE HEALTH OR SAFETY OF THE PUBLIC PURSUANT TO SECTION SEVEN HUNDRED
FORTY OF THE LABOR LAW.
3. NO LATER THAN FORTY-FIVE DAYS AFTER THE EFFECTIVE DATE OF THIS
SECTION, THE AUTHORITY SHALL ESTABLISH AND CONTINUOUSLY MAINTAIN ON ITS
PUBLIC WEBSITE AND ITS INTRANET SITE A PAGE THAT SHALL PROVIDE THE
INFORMATION SPECIFIED IN SUBDIVISION TWO OF THIS SECTION, AND THAT SHALL
ALSO PROVIDE SAMPLE STATEMENTS, DISPLAYS AND OTHER MATERIALS SUITABLE
FOR INSERTION IN EMPLOYEE HANDBOOKS OR POSTING AT WORKPLACES OR ON
WEBSITES THAT WOULD SATISFY THE DISCLOSURE REQUIREMENTS OF THIS SECTION.
4. ON AND AFTER THE EFFECTIVE DATE OF THIS SECTION, THE AUTHORITY
SHALL NOT ENTER INTO ANY CONTRACT DESCRIBED IN SUBDIVISION ONE OF THIS
SECTION THAT DOES NOT INCORPORATE THE TERMS OF THIS SECTION.
5. MATERIAL COMPLIANCE BY A COVERED PERSON OR BUSINESS ORGANIZATION
THAT HAS CONTRACTED WITH THE AUTHORITY UNDER A CONTRACT THAT INCORPO-
RATES THE TERMS OF THIS SECTION SHALL BE A MATERIAL CONDITION OF PAYMENT
FOR THE PROVISION OF GOODS OR SERVICES.
6. THE AUTHORITY IS AUTHORIZED TO ADOPT SUCH RULES AND REGULATIONS AS
ARE NECESSARY TO EFFECT THE PURPOSES OF THIS SECTION.
S 14. Subdivision 1 of section 1270-a of the public authorities law,
as amended by section 29 of part O of chapter 61 of the laws of 2000, is
amended to read as follows:
1. The authority shall create and establish a fund to be known as the
"metropolitan transportation authority special assistance fund" which
shall be kept separate from and shall not be commingled with any other
moneys of the authority. The special assistance fund shall consist of
three separate accounts: (i) the "transit account", (ii) the "commuter
railroad account" and (iii) the "corporate transportation account".
S. 5451 35 A. 8180
The authority shall make deposits in the transit account and the
commuter railroad account of the moneys received by it pursuant to the
provisions of subdivision one of section two hundred sixty-one of the
tax law in accordance with the provisions thereof, and shall make depos-
its in the corporate transportation account of the moneys received by it
pursuant to the provisions of subdivision two of section two hundred
sixty-one OF THE TAX LAW AND SECTION NINETY-TWO-FF of [such] THE STATE
FINANCE law.
S 15. Subdivision 4 of section 1270-a of the public authorities law is
amended by adding a new paragraph (e) to read as follows:
(E) NOTWITHSTANDING THE FOREGOING PROVISIONS OF THIS SUBDIVISION, ANY
MONEYS IN THE CORPORATE TRANSPORTATION ACCOUNT THAT ARE RECEIVED BY THE
AUTHORITY PURSUANT TO THE PROVISIONS OF SECTION NINETY-TWO-FF OF THE
STATE FINANCE LAW MAY BE PLEDGED BY THE AUTHORITY, OR PLEDGED TO THE
TRIBOROUGH BRIDGE AND TUNNEL AUTHORITY, TO SECURE BONDS, NOTES OR OTHER
OBLIGATIONS OF THE AUTHORITY OR THE TRIBOROUGH BRIDGE AND TUNNEL AUTHOR-
ITY, AS THE CASE MAY BE, AND, IF SO PLEDGED TO THE TRIBOROUGH BRIDGE AND
TUNNEL AUTHORITY, SHALL BE PAID TO THE TRIBOROUGH BRIDGE AND TUNNEL
AUTHORITY IN SUCH AMOUNTS AND AT SUCH TIMES AS NECESSARY TO PAY OR TO
REIMBURSE THAT AUTHORITY FOR ITS PAYMENT OF DEBT SERVICE AND RESERVE
REQUIREMENTS, IF ANY, ON THAT PORTION OF SPECIAL TRIBOROUGH BRIDGE AND
TUNNEL AUTHORITY BONDS AND NOTES ISSUED BY THAT AUTHORITY PURSUANT TO
SECTION FIVE HUNDRED FIFTY-THREE-D OF THIS CHAPTER. SUBJECT TO THE
PROVISIONS OF ANY SUCH PLEDGE, OR IN THE EVENT THERE IS NO SUCH PLEDGE,
ANY MONEYS IN THE CORPORATE TRANSPORTATION ACCOUNT RECEIVED BY THE
AUTHORITY PURSUANT TO THE PROVISIONS OF SECTION NINETY-TWO-FF OF THE
STATE FINANCE LAW MAY BE USED BY THE AUTHORITY FOR PAYMENT OF OPERATING
COSTS OF, AND CAPITAL COSTS, INCLUDING DEBT SERVICE AND RESERVE REQUIRE-
MENTS, IF ANY, OF OR FOR THE AUTHORITY, THE NEW YORK CITY TRANSIT
AUTHORITY AND THEIR SUBSIDIARIES AS THE AUTHORITY SHALL DETERMINE. NO
MONEYS IN THE CORPORATE TRANSPORTATION ACCOUNT THAT ARE RESERVED BY THE
AUTHORITY PURSUANT TO THE PROVISIONS OF SECTION NINETY-TWO-FF OF THE
STATE FINANCE LAW MAY BE USED FOR MAKING ANY PAYMENT TO THE DUTCHESS,
ORANGE AND ROCKLAND FUND CREATED BY SECTION TWELVE HUNDRED SEVENTY-B OF
THIS TITLE OR CONSIDERED IN CALCULATING THE AMOUNTS REQUIRED TO BE PAID
INTO SUCH FUND.
S 16. The public authorities law is amended by adding two new
sections 1270-g and 1270-h to read as follows:
S 1270-G. REGULATION OF CERTAIN AUTHORITY EXPENDITURES. THE AUTHORITY
SHALL IMPLEMENT POLICIES AS APPROPRIATE TO MINIMIZE UNWARRANTED EXPENSES
AND TO PROTECT AGAINST ABUSES IN CONNECTION WITH (I) THE GRANTING OF ANY
PRIVILEGES OR BENEFITS HAVING FINANCIAL VALUE, OTHER THAN WAGE PAYMENTS
OR EXPENSE REIMBURSEMENTS, TO MEMBERS OR STAFF OF THE AUTHORITY, OR ANY
SUBSIDIARY OR OTHER AUTHORITY CREATED BY THE AUTHORITY; AND (II) THE
FULL-TIME AND PART-TIME ASSIGNMENT AND USE OF AUTOMOBILES OWNED OR
LEASED BY THE AUTHORITY, OR ANY SUBSIDIARY OR OTHER AUTHORITY CREATED BY
THE AUTHORITY, AND THE USE BY AUTHORITY EMPLOYEES AND BOARD MEMBERS OF
LIVERY VEHICLES, AS DEFINED IN SECTION ONE HUNDRED TWENTY-ONE-E OF THE
VEHICLE AND TRAFFIC LAW.
S 1270-H. METROPOLITAN TRANSPORTATION AUTHORITY FINANCE FUND. 1. THE
AUTHORITY SHALL ESTABLISH A FUND TO BE KNOWN AS THE "METROPOLITAN TRANS-
PORTATION AUTHORITY FINANCE FUND" WHICH SHALL BE KEPT SEPARATE FROM AND
SHALL NOT BE COMMINGLED WITH ANY OTHER MONEYS OF THE AUTHORITY.
2. THE COMPTROLLER SHALL DEPOSIT MONTHLY, PURSUANT TO APPROPRIATION,
INTO THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCE FUND THE MONEYS
DEPOSITED IN THE MOBILITY TAX TRUST ACCOUNT OF THE METROPOLITAN TRANS-
S. 5451 36 A. 8180
PORTATION AUTHORITY FINANCIAL ASSISTANCE FUND PURSUANT TO ARTICLE TWEN-
TY-THREE OF THE TAX LAW, AND ANY OTHER PROVISION OF LAW DIRECTING OR
PERMITTING THE DEPOSIT OF MONEYS IN SUCH FUND.
3. MONEYS IN THE FUND MAY BE (A) PLEDGED BY THE AUTHORITY TO SECURE
AND BE APPLIED TO THE PAYMENT OF THE BONDS, NOTES OR OTHER OBLIGATIONS
OF THE AUTHORITY ISSUED ON OR AFTER THE EFFECTIVE DATE OF THIS SECTION
TO FINANCE CAPITAL PROJECTS OF THE AUTHORITY AND ITS SUBSIDIARIES AND
THE NEW YORK CITY TRANSIT AUTHORITY AND ANY SUBSIDIARIES; OR (B) USED
FOR PAYMENT OF CAPITAL COSTS, INCLUDING DEBT SERVICE, RESERVE REQUIRE-
MENTS, IF ANY, THE PAYMENT OF AMOUNTS REQUIRED UNDER BOND AND NOTE
FACILITIES OR AGREEMENTS RELATED THERETO, THE PAYMENT OF FEDERAL GOVERN-
MENT LOANS, SECURITY OR CREDIT ARRANGEMENTS OR OTHER AGREEMENTS RELATED
THERETO, AND THE PAYMENT OF ALL COSTS RELATED TO SUCH OBLIGATIONS, OF OR
FOR THE AUTHORITY, THE NEW YORK CITY TRANSIT AUTHORITY AND THEIR SUBSID-
IARIES AS THE AUTHORITY SHALL DETERMINE. SUBJECT TO THE PROVISIONS OF
ANY SUCH PLEDGE, OR IN THE EVENT THERE IS NO SUCH PLEDGE, ANY EXCESS
MONEYS IN THIS FUND MAY BE USED BY THE AUTHORITY FOR PAYMENT OF OPERAT-
ING COSTS OF, AND CAPITAL COSTS, INCLUDING DEBT SERVICE AND RESERVE
REQUIREMENTS, IF ANY, OF OR FOR THE AUTHORITY, THE NEW YORK CITY TRANSIT
AUTHORITY AND THEIR SUBSIDIARIES AS THE AUTHORITY SHALL DETERMINE. TO
THE EXTENT MONEYS IN THE FUND HAVE BEEN PLEDGED BY THE AUTHORITY TO
SECURE AND PAY THE BONDS, NOTES OR OTHER OBLIGATIONS OF THE AUTHORITY
ISSUED TO FINANCE CAPITAL PROJECTS OF THE AUTHORITY AND ITS SUBSIDIARIES
AND THE NEW YORK CITY TRANSIT AUTHORITY AND ANY SUBSIDIARIES AS HEREIN
PROVIDED, MONIES DEPOSITED INTO THE FUND SHALL BE DEPOSITED TO THE
EXTENT NECESSARY TO SATISFY THE REQUIREMENTS OF ANY DEBT SERVICE OR
RESERVE REQUIREMENTS, IF ANY, OF THE RESOLUTION AUTHORIZING SUCH BONDS,
NOTES OR OTHER OBLIGATIONS.
4. ANY MONIES DEPOSITED IN THE FUND SHALL BE HELD IN THE FUND FREE AND
CLEAR OF ANY CLAIM BY ANY PERSON ARISING OUT OF OR IN CONNECTION WITH
ARTICLE TWENTY-THREE OF THE TAX LAW. WITHOUT LIMITING THE GENERALITY OF
THE FOREGOING AND WITHOUT LIMITING THE RIGHTS AND DUTIES OF THE COMMIS-
SIONER OF TAXATION AND FINANCE UNDER ARTICLE TWENTY-THREE OF THE TAX
LAW, NO ENTITY PAYING A MOBILITY TAX UNDER ARTICLE TWENTY-THREE OF THE
TAX LAW SHALL HAVE ANY RIGHT OR CLAIM AGAINST THE AUTHORITY, ANY OF
THEIR BONDHOLDERS, ANY OF THE AUTHORITY'S OTHER SUBSIDIARIES OR THE NEW
YORK CITY TRANSIT AUTHORITY OR ANY SUBSIDIARY TO ANY MONEYS IN OR
DISTRIBUTED FROM THE FUND OR IN RESPECT OF A REFUND, REBATE, CREDIT OR
REIMBURSEMENT OF TAXES PAID UNDER ARTICLE TWENTY-THREE OF THE TAX LAW.
S 17. The public authorities law is amended by adding three new
sections 1276-b, 1276-c and 1276-d to read as follows:
S 1276-B. AUTHORITY BUDGET AND FINANCIAL PLAN. 1. IN ADDITION TO THE
REQUIREMENTS OF SECTION TWENTY-EIGHT HUNDRED TWO OF THIS CHAPTER, EACH
AUTHORITY BUDGET AND PLAN SHALL BE POSTED ON ITS WEBSITE AND SHALL: (A)
PRESENT INFORMATION RELATING TO THE AUTHORITY AND EACH OF ITS AGENCIES
IN A CLEAR AND CONSISTENT MANNER AND FORMAT; (B) BE PREPARED IN ACCORD-
ANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES, EXCEPT AS OTHERWISE
CONSENTED TO BY THE COMPTROLLER UPON GOOD CAUSE SHOWN; (C) BE BASED ON
REASONABLE ASSUMPTIONS AND METHODS OF ESTIMATION; (D) INCLUDE ESTIMATES
OF PROJECTED OPERATING REVENUES AND EXPENSES; (E) IDENTIFY ANY PLANNED
TRANSACTION THAT WOULD SHIFT RESOURCES, FROM ANY SOURCE, FROM ONE FISCAL
YEAR TO ANOTHER, AND THE AMOUNT OF ANY RESERVES; AND (F) CONTAIN A
SUMMARY IN PLAIN ENGLISH OF THE PRINCIPAL INFORMATION IN THE BUDGET AND
CONCLUSIONS TO BE DRAWN FROM IT.
2. SUPPORTING DOCUMENTATION. THE AUTHORITY SHALL PREPARE AND MAKE
AVAILABLE FOR PUBLIC INSPECTION ON ITS WEBSITE INFORMATION THAT DETAILS
S. 5451 37 A. 8180
THE SOURCES OF DATA AND THE ASSUMPTIONS AND METHODS OF ESTIMATION USED
TO CALCULATE ALL OPERATING AND CAPITAL BUDGET PROJECTIONS, CONSISTENT
WITH GENERALLY ACCEPTED BUDGETARY PRACTICES.
3. THE AUTHORITY SHALL ESTABLISH AT LEAST ANNUALLY THE QUARTERLY
REVENUE AND EXPENSE TARGETS FOR THE AUTHORITY, AND FOR EACH SUBSIDIARY
OR OTHER AUTHORITY CREATED BY THE AUTHORITY ITSELF AND FOR WHICH IT
REPORTS FINANCIAL DATA.
4. MONITORING THE BUDGET AND FINANCIAL PLAN. THE AUTHORITY SHALL
PREPARE AND MAKE AVAILABLE FOR PUBLIC INSPECTION ON ITS WEBSITE: (A)
WITHIN SIXTY DAYS OF THE RELEASE OF THE ADOPTED BUDGET AND ANY UPDATES
TO THE BUDGET (EXCEPT UPDATES RELEASED WITHIN NINETY DAYS OF THE CLOSE
OF THE FISCAL YEAR), MONTHLY PROJECTIONS FOR THE CURRENT FISCAL YEAR OF
ALL REVENUES AND EXPENSES, STAFFING FOR THE AUTHORITY AND EACH OF ITS
AGENCIES, AND UTILIZATION FOR EACH OF THE AUTHORITY'S AGENCIES THAT
OPERATE TRANSPORTATION SYSTEMS, INCLUDING BRIDGES AND TUNNELS; (B) WITH-
IN SIXTY DAYS AFTER THE CLOSE OF EACH QUARTER, A COMPARISON OF ACTUAL
REVENUES AND EXPENSES, ACTUAL STAFFING AND ACTUAL UTILIZATION TO PLANNED
OR PROJECTED LEVELS FOR EACH OF THE AUTHORITY'S AGENCIES THAT OPERATE
TRANSPORTATION SYSTEMS, INCLUDING BRIDGES AND TUNNELS, WITH AN EXPLANA-
TION OF EACH MATERIAL VARIANCE AND ITS BUDGETARY IMPACT; AND (C) WITHIN
NINETY DAYS AFTER THE CLOSE OF EACH QUARTER, THE STATUS OF EACH
GAP-CLOSING INITIATIVE WITH A PROJECTED VALUE GREATER THAN ONE MILLION
DOLLARS IN ANY GIVEN FISCAL YEAR; THE STATUS OF CAPITAL PROJECTS BY
CAPITAL ELEMENT, INCLUDING BUT NOT LIMITED TO COMMITMENTS, EXPENDITURES
AND COMPLETIONS; AND AN EXPLANATION OF MATERIAL VARIANCES FROM THE PLAN,
COST OVERRUNS AND DELAYS.
5. STRATEGIC OPERATION PLAN. FINANCIAL INFORMATION REQUIRED TO BE
SUBMITTED BY THE AUTHORITY PURSUANT TO PARAGRAPHS D AND E OF SUBDIVISION
ONE OF SECTION TWELVE HUNDRED SIXTY-NINE-C OF THIS TITLE SHALL BE
PRESENTED IN A FORMAT CONSISTENT WITH THE BUDGET AND PLAN, IN DOWNLOADA-
BLE, SEARCHABLE FORMAT.
S 1276-C. INDEPENDENT AUDIT OF AUTHORITY. THE INDEPENDENT AUDITOR
RETAINED BY THE AUTHORITY SHALL NOT PROVIDE TO THE AUTHORITY, CONTEMPO-
RANEOUSLY WITH THE AUDIT UNLESS IT SHALL HAVE PREVIOUSLY RECEIVED WRIT-
TEN APPROVAL BY THE AUDIT COMMITTEE ANY NON-AUDIT SERVICE, INCLUDING:
1. ROUTINE BOOKKEEPING OR OTHER SERVICES;
2. FINANCIAL INFORMATION SYSTEMS DESIGN AND IMPLEMENTATION;
3. APPRAISAL OR VALUATION SERVICES, FAIRNESS OPINIONS, OR CONTRIBU-
TION-IN-KIND REPORTS;
4. ACTUARIAL SERVICES;
5. OUTSOURCING SERVICES;
6. AUTHORITY MANAGEMENT FUNCTIONS OR HUMAN RESOURCES;
7. BROKER OR DEALER, INVESTMENT ADVISOR OR INVESTMENT BANKING
SERVICES;
8. LEGAL SERVICES AND EXPERT SERVICES UNRELATED TO THE AUDIT.
S 1276-D. INDEPENDENT AUDIT BY THE LEGISLATURE. AFTER THE SUBMISSION
OF THE ANNUAL INDEPENDENT AUDIT REPORT TO THE LEGISLATURE PURSUANT TO
SECTION TWO THOUSAND EIGHT HUNDRED TWO OF THIS CHAPTER, AND AFTER REVIEW
OF SUCH REPORT, THE TEMPORARY PRESIDENT OF THE SENATE AND THE SPEAKER OF
THE ASSEMBLY MAY COMMISSION AN AUDITING FIRM, EVERY TWO YEARS, AFTER THE
YEAR TWO THOUSAND NINE, TO CONDUCT AN INDEPENDENT AUDIT OF THE AUTHORI-
TY, INCLUDING ITS SUBSIDIARIES. THE TEMPORARY PRESIDENT OF THE SENATE
AND THE SPEAKER OF THE ASSEMBLY SHALL SET THE SCOPE OF SUCH AUDIT, AND
DETERMINE THE TERMS OF THE REQUEST FOR PROPOSAL FOR SUCH AUDIT. SUCH
AUDIT SHALL BE PERFORMED FOR THE YEAR TWO THOUSAND NINE. THE AUTHORITY
SHALL FULLY COOPERATE WITH AND ASSIST IN SUCH AN AUDIT.
S. 5451 38 A. 8180
S 18. The public authorities law is amended by adding a new section
1279-c to read as follows:
S 1279-C. THE OFFICE OF LEGISLATIVE AND COMMUNITY INPUT. 1. THE
CHAIRPERSON OF THE AUTHORITY SHALL ESTABLISH THE OFFICE OF LEGISLATIVE
AND COMMUNITY INPUT FOR THE PURPOSE OF COMMUNICATING INFORMATION TO, AND
RECEIVING COMMENTS, CONCERNS AND RECOMMENDATIONS FROM, MEMBERS OF THE
LEGISLATURE, AND MEMBERS OF THE PERMANENT CITIZENS ADVISORY COMMITTEE TO
THE AUTHORITY, AS DEFINED IN SECTION TWELVE HUNDRED SIXTY-SIX-I OF THIS
CHAPTER, ON THE FOLLOWING:
(A) THE OPERATIONS OF THE RAPID TRANSIT, OMNIBUS AND COMMUTER RAIL
LINE FACILITIES OF THE AUTHORITY INCLUDING, BUT NOT LIMITED TO:
(I) THE QUALITY OF SERVICE PROVIDED ON ANY RAPID TRANSIT, OMNIBUS, AND
COMMUTER RAIL LINE OR ROUTE;
(II) THE FREQUENCY OF OPERATING SERVICE ON THE AUTHORITY'S MASS TRANS-
IT FACILITIES;
(III) THE MAINTENANCE AND CONDITION OF THE AUTHORITY'S MASS TRANSIT
FACILITIES INCLUDING, BUT NOT LIMITED TO, RAPID TRANSIT AND COMMUTER
RAIL STATIONS, RAILCARS, BUSES, RAIL LINES, FARE COLLECTION SYSTEMS AND
SOUND SYSTEMS; AND
(IV) PROPOSED SERVICE CHANGES, INCLUDING ANY REDUCTIONS OR EXPANSION
OF SERVICES, AS IT RELATES TO THE AUTHORITY'S MASS TRANSIT FACILITIES;
AND
(B) ANY PROPOSED, SUBMITTED AND/OR APPROVED CAPITAL PROGRAM PLAN, ITS
COMPONENTS, ELEMENTS AND PROJECTS, AND ASSOCIATED EXPENDITURES. ANY SUCH
COMMENTS, CONCERNS AND RECOMMENDATIONS RELATING TO THE CAPITAL PROGRAM
PLAN, ITS COMPONENTS, ELEMENTS AND PROJECTS, AND ASSOCIATED EXPENDITURES
SHALL BE TAKEN INTO CONSIDERATION IN THE DEVELOPMENT OF THE CURRENT AND
EACH SUCCESSIVE CAPITAL PROGRAM PLAN AND/OR ANY AMENDMENT TO SUCH PLAN.
2. THE OFFICE SHALL ESTABLISH A PROCESS TO ENSURE TIMELY NOTIFICATION
OF THE RECEIPT OF, AND RESPONSE TO, COMMENTS, CONCERNS, AND RECOMMENDA-
TIONS BY MEMBERS OF THE LEGISLATURE OR MEMBERS OF THE PERMANENT CITIZENS
ADVISORY COMMITTEE TO THE AUTHORITY.
3. THE CHAIR AND OFFICE SHALL PREPARE A REPORT CONTAINING THE FOLLOW-
ING INFORMATION:
(A) A COMPILATION OF THE COMMENTS, CONCERNS, AND RECOMMENDATIONS
RECEIVED BY THE OFFICE;
(B) HOW THESE COMMENTS, CONCERNS OR RECOMMENDATIONS WERE OR WILL BE
ADDRESSED, SUCH AS THE AUTHORITY'S RESPONSE BY THE INCORPORATION OR
INITIATION OF SYSTEM AND OPERATIONAL ADJUSTMENTS, IMPROVEMENTS OR EXPAN-
SIONS IF APPLICABLE; AND
(C) HOW THESE COMMENTS, CONCERNS OR RECOMMENDATIONS WERE OR WILL BE
ADDRESSED, SUCH AS THE AUTHORITY'S RESPONSE BY CHANGING OR AMENDING THE
CAPITAL PLAN, AS WELL AS PROVIDING STATUS UPDATES ON THE PROGRESS OF
SUCH PLAN.
4. SUCH REPORT SHALL ON A BIANNUAL BASIS, COMMENCING SEPTEMBER FIRST,
TWO THOUSAND NINE, BE SUBMITTED TO THE GOVERNOR, THE TEMPORARY PRESIDENT
OF THE SENATE AND THE SPEAKER OF THE ASSEMBLY, BE POSTED ON THE AUTHORI-
TY'S WEBSITE AND ALSO BE MADE READILY AVAILABLE TO THE PUBLIC.
S 19. The public authorities law is amended by adding a new section
1276-e to read as follows:
S 1276-E. REPORTING. THE AUTHORITY SHALL POST ON ITS WEBSITE ON OR
BEFORE THE FIRST OF MAY, THE LAW FIRMS RETAINED BY THE AUTHORITY WHICH
IN THE PAST YEAR RECEIVED PAYMENT FOR SERVICES IN SUCH YEAR.
S 20. Section 1266-c of the public authorities law is amended by
adding a new subdivision 15 to read as follows:
S. 5451 39 A. 8180
15. (A) IN CONNECTION WITH THE PERFORMANCE OF PROJECTS PURSUANT TO
THIS SECTION, THE AUTHORITY SHALL, TO THE EXTENT PRACTICABLE AND NOT
INCONSISTENT WITH ANY FEDERAL LAW, REGULATION OR REQUIREMENT, PROMOTE
THE MEANINGFUL PARTICIPATION OF SMALL BUSINESS AND NEW YORK STATE BUSI-
NESS ENTERPRISES IN THE PROVISION OF GOODS AND SERVICES THAT ARE
PRODUCED OR MANUFACTURED IN NEW YORK STATE AS PART OF PROCUREMENTS
UNDERTAKEN BY THE AUTHORITY.
(B) THE AUTHORITY SHALL WITHIN ONE HUNDRED EIGHTY DAYS AFTER THE
EFFECTIVE DATE OF THIS SUBDIVISION DEVELOP, AND REVIEW ANNUALLY THERE-
AFTER, A PLAN TO EFFECT THE PURPOSES OF THIS SUBDIVISION.
S 21. This act shall take effect immediately; provided, however, that:
(a) the amendments to subparagraph (1) of paragraph (a) of subdivision 1
of section 1263 of the public authorities law made by section three of
this act shall be subject to the expiration and reversion of such para-
graph pursuant to section 3 of chapter 549 of the laws of 1994, as
amended, when upon such date the provisions of section four of this act
shall take effect;
(b) the amendments to subdivision 4 of section 1263 of the public
authorities law made by section five of this act, subdivision 2 of
section 1201 of the public authorities law made by section six of this
act, subdivision 1 of section 552 of the public authorities law made by
section seven of this act, and subdivision 5 of section 1266 of the
public authorities law made by section eight of this act, shall take
effect upon the date of the appointment by the governor with the advice
and consent of the senate of a chair to the new term of office created
pursuant to section three of this act. The governor's office of appoint-
ments shall notify the legislative bill drafting commission upon the
appointment of a chairman to the new term provided for in section three
of this act in order that the legislative bill drafting commission may
maintain an accurate and timely effective database of the original text
of the laws of the state of New York in furtherance of effectuating the
provisions of section 44 of the legislative law and section 70-b of the
public officers law; and
(c) paragraph c of subdivision 1 of section 1269-b of the public
authorities law as amended by section twelve of this act shall not
affect the expiration of such paragraph and shall be deemed to expire
therewith.
S 3. Severability clause. If any clause, sentence, paragraph, subdivi-
sion, section or part of this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment shall not affect,
impair, or invalidate the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph, subdivision, section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the legislature that this act would have been enacted even if such
invalid provisions had not been included herein.
S 4. This act shall take effect immediately provided, however, that
the applicable effective date of Parts A through H of this act shall be
as specifically set forth in the last section of such Parts.