S T A T E O F N E W Y O R K
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6851
2011-2012 Regular Sessions
I N A S S E M B L Y
April 5, 2011
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Introduced by M. of A. BRENNAN, BING -- read once and referred to the
Committee on Corporations, Authorities and Commissions
AN ACT to amend the executive law, in relation to increasing port secu-
rity; and to amend chapter 154 of the laws of 1921 relating to the
Port Authority of New York and New Jersey, in relation to contracts
with foreign persons, corporations, or entities
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The executive law is amended by adding a new section 718
to read as follows:
S 718. PORT SECURITY ENHANCEMENT PLAN. THE OFFICES OF HOMELAND SECU-
RITY FOR THE STATES OF NEW YORK AND NEW JERSEY, IN COOPERATION WITH THE
WATERFRONT COMMISSION OF NEW YORK HARBOR SHALL, ON OR BEFORE THE
FIFTEENTH DAY OF FEBRUARY, FOLLOWING THE EFFECTIVE DATE OF THIS SECTION,
PREPARE, AND DELIVER TO THE GOVERNORS OF THE STATES OF NEW YORK AND NEW
JERSEY, THE PRESIDENTS PRO TEMPORE OF THE SENATES OF NEW YORK AND NEW
JERSEY AND THE SPEAKERS OF THE ASSEMBLIES OF NEW YORK AND NEW JERSEY, A
COMPREHENSIVE REPORT, WHICH PROVIDES A PLAN OF ACTION AND INCLUDES
RECOMMENDATIONS, FOR THE IMPROVEMENT OF PORT AND WATERWAY SECURITY FOR
THE PORT OF NEW YORK AND NEW JERSEY, AS WELL AS THE PORTS, WATERWAYS AND
COASTLINES OF THE STATES OF NEW YORK AND NEW JERSEY.
SUCH REPORT SHALL INCLUDE:
1. AN EXAMINATION OF THE OVERALL SECURITY ISSUES OF THE PORT OF NEW
YORK AND NEW JERSEY, AND MAKING RECOMMENDATIONS WITH RESPECT TO SUCH
ISSUES, INCLUDING:
A. THE OVERALL PROVISION AND STATUS OF PORT SECURITY;
B. THE DIVISION OF RESPONSIBILITY FOR ALL FACETS OF PORT SECURITY;
C. CURRENT IMPEDIMENTS TO PROVIDING OPTIMAL LEVELS OF SECURITY;
D. POLICE PATROLS OF THE PORT;
E. INTERAGENCY COOPERATION BETWEEN FEDERAL, STATE AND LOCAL AUTHORI-
TIES;
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01827-01-1
A. 6851 2
F. EMPLOYEE, CREW, SHIPPER, TRANSPORTER AND VISITOR BACKGROUND CHECKS;
G. CURRENT AND POTENTIAL TECHNOLOGY ENHANCEMENTS;
H. ECONOMIC CONSIDERATIONS;
I. REAL PROPERTY AND LEASEHOLD ISSUES; AND
J. SUCH OTHER AND FURTHER ITEMS AS THE COMMISSION DEEMS IMPORTANT.
2. SUCH REPORT SHALL ALSO INCLUDE AN EXAMINATION OF THE OVERALL SECU-
RITY ISSUES OF THE PORTS, WATERWAYS AND COASTLINES OF THE STATES OF NEW
YORK AND NEW JERSEY, MAKING RECOMMENDATIONS WITH RESPECT TO SUCH ISSUES.
S 2. Section 1 of chapter 154 of the laws of 1921 relating to the Port
Authority of New York and New Jersey is amended by adding a new article
VI-A to read as follows:
ARTICLE VI-A.
1. LEGISLATIVE FINDINGS AND DETERMINATIONS. THE LEGISLATURE FINDS AND
DETERMINES THAT THE SAFE AND EFFECTIVE OPERATION OF TRANSPORTATION
FACILITIES, INCLUDING PORTS AND TERMINALS, IS AN ESSENTIAL STATE FUNC-
TION AND IS CRITICAL TO BOTH THE NATIONAL AND STATE ECONOMY AND SECURI-
TY.
THE LEGISLATURE FURTHER FINDS AND DETERMINES THAT THE PURCHASE,
CONSTRUCTION, LEASING AND/OR OPERATION OF ANY TERMINAL OR PORT FACILITY,
AND THE OWNERSHIP, HOLDING, LEASING AND/OR OPERATING OF ANY REAL OR
PERSONAL PROPERTY INCUMBENT AND/OR ASSOCIATED THEREWITH, WHEREIN ANY
RIGHTS, POWERS OR DUTIES OF THE PORT AUTHORITY ARE GIVEN, AWARDED,
TRANSFERRED OR ASSIGNED IN THE OWNERSHIP, HOLDING, LEASING AND/OR OPERA-
TION OF ANY SUCH TERMINAL OR PORT FACILITY, OR SUCH REAL OR PERSONAL
PROPERTY, TO ANY FOREIGN PERSON, CORPORATION OR ENTITY, CAN POSE BY ITS
VERY NATURE A SERIOUS AND SUBSTANTIAL PUBLIC SECURITY CONCERN.
THE LEGISLATURE ADDITIONALLY FINDS AND DETERMINES THAT THE PROTECTION
OF THE PUBLIC AND THEIR INTERESTS DEMAND A THOROUGH AND SERIOUS REVIEW
OF ALL SUCH PUBLIC SECURITY ISSUES CONCERNING ANY SUCH CONTRACTS, AGREE-
MENTS AND/OR DELEGATIONS, AND THAT ANY SUCH CONTRACT, AGREEMENT AND/OR
DELEGATION MUST CONTAIN WITHIN THEIR PROVISIONS CERTAIN SECURITY
REQUIREMENTS TO PROTECT AND PROMOTE THE PUBLIC SECURITY OF THE PEOPLE
AND THE GOVERNMENTS OF THE STATES OF NEW YORK AND NEW JERSEY, AND THE
UNITED STATES OF AMERICA.
2. SECURITY AGREEMENTS REQUIRED FOR FOREIGN CONTRACTS. THE PORT
AUTHORITY SHALL NOT HAVE THE AUTHORITY TO PURCHASE, CONSTRUCT, LEASE
AND/OR OPERATE ANY TERMINAL OR PORT FACILITY; OR TO MAKE CHARGES FOR THE
USE THEREOF; OR TO OWN, HOLD, LEASE AND/OR OPERATE REAL OR PERSONAL
PROPERTY, WHEREIN ANY RIGHTS, POWERS OR DUTIES OF THE PORT AUTHORITY ARE
GIVEN, AWARDED, TRANSFERRED OR ASSIGNED IN THE OWNERSHIP, HOLDING, LEAS-
ING AND/OR OPERATION OF ANY SUCH TERMINAL OR PORT FACILITY, OR SUCH REAL
OR PERSONAL PROPERTY, TO ANY FOREIGN BASED PERSON, CORPORATION OR ENTITY
WITHOUT MAINTAINING WITHIN SUCH CONTRACTS A FOREIGN CONTRACT SECURITY
AGREEMENT.
A. FOR PURPOSES OF THIS SECTION, A FOREIGN BASED PERSON, CORPORATION
OR ENTITY SHALL INCLUDE:
(I) ANY NATURAL PERSON WHO IS NOT A CITIZEN OF THE UNITED STATES; OR
(II) ANY CORPORATION OR ENTITY THAT:
(1) IS NOT HEADQUARTERED IN THE UNITED STATES, OR
(2) IS NOT CHARTERED BY A STATE OR FEDERAL GOVERNMENT, OR
(3) HAS NOT LESS THAN 51 PERCENT OF THEIR STOCK OR ASSETS OWNED OR
HELD BY:
(A) A PERSON OR PERSONS WHO ARE NOT CITIZENS OF THE UNITED STATES, OR
(B) A CORPORATION OR ENTITY, OR COLLECTION THEREOF, THAT ARE:
(I) NOT HEADQUARTERED IN THE UNITED STATES, OR
(II) NOT CHARTERED BY A STATE OR FEDERAL GOVERNMENT.
A. 6851 3
B. FOR PURPOSES OF THIS ARTICLE, A FOREIGN CONTRACT SECURITY AGREEMENT
SHALL INCLUDE THE FOLLOWING REQUIREMENTS:
(I) AN AGREEMENT THAT ALL EMPLOYEES OF THE FOREIGN BASED PERSON,
CORPORATION OR ENTITY SHALL, PRIOR TO THEIR EMPLOYMENT OR CONTINUATION
OF EMPLOYMENT, WITH THE FOREIGN BASED PERSON, CORPORATION OR ENTITY, OR
ANY SUBSIDIARY THEREOF, AT ANY TERMINAL OR PORT OWNED, LEASED OR
CONTROLLED BY THE PORT AUTHORITY, PASS A BACKGROUND SECURITY CHECK,
WHICH SHALL BE ADMINISTERED AND DESIGNED BY THE WATERFRONT COMMISSION OF
NEW YORK HARBOR AND THAT ALL COSTS OF DESIGNING AND THE ADMINISTRATION
OF SUCH BACKGROUND SECURITY CHECKS SHALL BE PAID FOR BY THE FOREIGN
BASED PERSON, CORPORATION OR ENTITY; AND
(II) AN AGREEMENT THAT ALL CONSTRUCTION, FIT UP AND/OR MODIFICATIONS
OF THE TERMINAL OR PORT FACILITY, OWNED, LEASED OR CONTROLLED BY THE
PORT AUTHORITY, INCLUDING THE PURCHASE, INSTALLATION AND/OR MAINTENANCE
OF EQUIPMENT FOR USE AT SUCH FACILITY, SHALL BE EXCLUSIVELY PERFORMED BY
A PERSON, CORPORATION OR ENTITY WHICH IS NOT FOREIGN BASED OR
CONTROLLED, AND WHICH HAS BEEN PRE-CLEARED BY THE WATERFRONT COMMISSION
OF NEW YORK HARBOR, AND IN NO EVENT SHALL THE FOREIGN BASED PERSON,
CORPORATION OR ENTITY BE PROVIDED WITH, OR BE GIVEN ACCESS TO, ANY MAPS,
DRAWINGS, DIAGRAMS, BLUEPRINTS OR ANY OTHER SECURE DOCUMENTS CONCERNING
THE BUILDINGS AND GROUNDS OF THE TERMINAL OR PORT FACILITY, ITS EQUIP-
MENT AND/OR OPERATIONAL INFRASTRUCTURE; AND
(III) AN AGREEMENT THAT THE FOREIGN BASED PERSON, CORPORATION OR ENTI-
TY SHALL FUND REGULAR AND NECESSARY PATROLS AND INSPECTIONS OF THE
TERMINAL OR PORT FACILITY, AND ITS EQUIPMENT, CARGO AND OPERATIONS BY
THE PORT AUTHORITY POLICE, THE WATERFRONT COMMISSION POLICE, PERSONNEL
OF THE UNITED STATES COAST GUARD, AND/OR PERSONNEL OF THE UNITED STATES
CUSTOMS, TO THE EXTENT AND NUMBER AS SHALL BE REQUIRED BY REGULATION BY
THE STATE POLICE OF THE STATES OF NEW YORK AND NEW JERSEY, IN COOPER-
ATION AND CONSULTATION WITH THE DEPARTMENTS OF HOMELAND SECURITY OF THE
UNITED STATES, THE STATE OF NEW YORK AND THE STATE OF NEW JERSEY.
3. REPORT ON FOREIGN CONTRACTS. THE PORT AUTHORITY SHALL, WITHIN 30
DAYS OF THE EFFECTIVE DATE OF THIS SUBDIVISION, AND EVERY 180 DAYS THER-
EAFTER, SUBMIT TO THE CHAIR OF THE NEW YORK STATE SENATE STANDING
COMMITTEE ON VETERANS, HOMELAND SECURITY AND MILITARY AFFAIRS, THE CHAIR
OF THE NEW YORK STATE ASSEMBLY STANDING COMMITTEE ON GOVERNMENTAL OPER-
ATIONS, THE CHAIR OF THE NEW JERSEY STATE SENATE STANDING COMMITTEE ON
LAW, PUBLIC SAFETY AND VETERANS AFFAIRS, AND THE CHAIR OF THE NEW JERSEY
STATE ASSEMBLY STANDING COMMITTEE ON HOMELAND SECURITY AND STATE
PREPAREDNESS, A COMPLETE REPORT OF ALL CURRENT AND PROPOSED CONTRACTS,
AGREEMENTS AND DELEGATIONS BETWEEN THE PORT AUTHORITY AND ANY FOREIGN
BASED PERSON, CORPORATION AND ENTITY. SUCH REPORT SHALL INCLUDE A
DETAILED DESCRIPTION OF SUCH CURRENT OR PROPOSED CONTRACT, AGREEMENT OR
DELEGATION, INCLUDING BUT NOT LIMITED TO:
A. THE NAMES AND ADDRESSES OF THE PARTIES TO THE CONTRACT, AGREEMENT
OR DELEGATION;
B. THE AMOUNT THE CONTRACT, AGREEMENT OR DELEGATION IS FOR;
C. THE DURATION OF THE CONTRACT, AGREEMENT OR DELEGATION;
D. THE NATURE OF THE PROPERTY AND/OR SERVICES TO BE RECEIVED AND/OR
PERFORMED PURSUANT TO THE CONTRACT, AGREEMENT OR DELEGATION; AND
E. THE JUSTIFICATION, ON BEHALF OF THE PORT AUTHORITY, IF ANY, AS TO
WHY SUCH CONTRACT, AGREEMENT OR DELEGATION SHOULD BE APPROVED SO AS TO
BE EXECUTED, CONTINUED OR MAINTAINED.
4. TERMINATION OF CONTRACTS. ANY CONTRACT, AGREEMENT OR DELEGATION BY
THE PORT AUTHORITY TO ANY FOREIGN PERSON, CORPORATION OR ENTITY, WHICH
DOES NOT CONTAIN THE SECURITY AGREEMENT ESTABLISHED PURSUANT TO SUBDIVI-
A. 6851 4
SION 2 OF THIS ARTICLE ON OR BEFORE THE FIRST DAY OF JANUARY FOLLOWING
THE EFFECTIVE DATE OF THIS ARTICLE, SHALL BE DEEMED VOID AND CANCELLED,
WITH THE PORT AUTHORITY BEING RESPONSIBLE FOR THE PAYMENT OF DAMAGES, IF
ANY, FOR THE VOIDING AND CANCELLING OF THE SAME.
S 3. This act shall take effect immediately; provided, however, that
section two of this act shall take effect upon the enactment into law by
the state of New Jersey of legislation having an identical effect with
this act, but if the state of New Jersey shall have already enacted such
legislation, this act shall take effect immediately; provided that the
chair of the port authority shall notify the legislative bill drafting
commission upon the occurrence of the enactment of the legislation
provided for in section two of this act in order that the commission may
maintain an accurate and timely effective data base of the official 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.