S T A T E O F N E W Y O R K
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8406
I N A S S E M B L Y
January 15, 2014
___________
Introduced by M. of A. MAGEE -- read once and referred to the Committee
on Corporations, Authorities and Commissions
AN ACT to amend the public authorities law, in relation to the Montgom-
ery, Otsego, Schoharie county solid waste management authority; and
repealing certain provisions of such law relating thereto
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 2 of section 2041-a of the public authorities
law, as amended by chapter 7 of the laws of 2012, is amended and a new
subdivision 2-a is added to read as follows:
2. "Authority" shall mean the public benefit corporation created by
section two thousand forty-one-b of this title, known as the Montgomery,
Otsego, Schoharie solid waste management authority. [If and at such time
that Otsego county terminates its membership in the authority pursuant
to section two thousand forty-one-w of this title, the "authority" shall
be known as the Montgomery-Schoharie solid waste management authority
and Otsego county would no longer be considered one of the "participat-
ing counties" for the purposes of this title.]
2-A. "AUTHORITIES BUDGET OFFICE" SHALL MEAN THE INDEPENDENT ENTITY
WITHIN THE DEPARTMENT OF STATE ESTABLISHED PURSUANT TO SECTION FOUR OF
THIS CHAPTER.
S 2. Subdivision 6 of section 2041-b of the public authorities law is
REPEALED.
S 3. Section 2041-w of the public authorities law, as amended by chap-
ter 7 of the laws of 2012, is amended to read as follows:
S 2041-w. [Withdrawal of Otsego county] DISSOLUTION. 1. Notwithstand-
ing any provision of law to the contrary, [Otsego county is hereby
authorized to terminate its membership in] the Montgomery, Otsego, Scho-
harie county solid waste management authority[; provided, however, that
Otsego county shall fulfill its obligations and responsibilities, and
terminate such membership, as may be required by and consistent with
existing or hereafter-entered superseding agreements between the author-
ity, and the counties of Montgomery, Otsego, and Schoharie, and become
effective upon approval of a resolution by a majority of the duly
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD13283-01-4
A. 8406 2
constituted membership of the Otsego county board of representatives,
filed with the authority and the legislative board clerks of the compo-
nent counties.
2. The authority and the counties of Montgomery, Otsego and Schoharie
shall execute a plan for Otsego county's assumption of its proportional
and equitable share of the authority's assets and liabilities. For
purposes of this section, "proportional and equitable share of the
authority's assets and liabilities" shall be based on the allocation
percentages specified in the "Post Closure Monitoring and Maintenance
Agreement", dated December nineteenth, two thousand nine, entered into
between the Montgomery, Otsego, Schoharie county solid waste management
authority and the three counties. Assets shall include, but not be
limited to, the authority's reserve and operating funds and rights to
the use of any Montgomery, Otsego, Schoharie county solid waste manage-
ment authority operated transfer stations in Otsego county subject to
the conditions held by the respective owners of the properties] SHALL BE
DISSOLVED ON A DATE ESTABLISHED BY RESOLUTION ADOPTED UPON A VOTE OF A
MAJORITY OF THE BOARD OF DIRECTORS OF SAID AUTHORITY. IN ANY SUCH RESOL-
UTION, THE DATE OF DISSOLUTION SHALL NOT OCCUR PRIOR TO THE TERMINATION
OF THE "SERVICE AGREEMENT" DATED AS OF MAY FIRST, NINETEEN EIGHTY-NINE,
AS AMENDED BY AMENDMENT NO. 1 DATED AS OF MAY FIRST, TWO THOUSAND TEN,
BY AND BETWEEN THE COUNTIES OF MONTGOMERY, OTSEGO AND SCHOHARIE AND THE
AUTHORITY, NOR LATER THAN OCTOBER FIRST, TWO THOUSAND FOURTEEN. UPON THE
ADOPTION OF SUCH RESOLUTION, THE BOARD OF DIRECTORS SHALL MAKE PROVISION
FOR THE WINDING DOWN OF THE BUSINESS AND AFFAIRS OF THE AUTHORITY, AND
SHALL DISTRIBUTE THE ASSETS AND LIABILITIES OF THE AUTHORITY TO THE
MEMBER COUNTIES AS OF A TRANSFER DATE OR DATES ESTABLISHED BY THE
AUTHORITY, WHICH SHALL BE ON OR PRIOR TO THE DATE OF DISSOLUTION, ALL IN
ACCORDANCE WITH SUBDIVISIONS TWO AND THREE OF THIS SECTION.
2. IN DISTRIBUTION OF THE ASSETS AND LIABILITIES OF THE AUTHORITY TO
THE MEMBER COUNTIES, THE FOLLOWING TRANSACTIONS SHALL OCCUR:
(A) THE AUTHORITY SHALL CONVEY, AND THE COUNTIES OF MONTGOMERY, OTSEGO
AND SCHOHARIE, RESPECTIVELY, SHALL ACCEPT, ALL OF THE AUTHORITY'S RIGHT
TITLE AND INTEREST IN THE REAL PROPERTY, STRUCTURES AND IMPROVEMENTS
CONSTITUTING THE TRANSFER STATIONS OWNED BY THE AUTHORITY, INCLUDING BUT
NOT LIMITED TO ANY AND ALL PERMITS AND LICENSES ATTENDANT THERETO,
ACCORDING TO THE FOLLOWING DISTRIBUTION, WITHOUT REGARD TO APPRAISED
VALUE AND WITHOUT OTHER CONSIDERATION EXCEPT AS SET FORTH IN THIS
SECTION.
(I) TO THE COUNTY OF MONTGOMERY, THE TRANSFER STATIONS KNOWN AS THE
WESTERN TRANSFER STATION LOCATED AT 4583 ROUTE 5S IN SPRAKERS, N.Y., AND
THE AMSTERDAM TRANSFER STATION LOCATED AT 1247 ROUTE 5S IN AMSTERDAM,
N.Y.;
(II) TO THE COUNTY OF OTSEGO, THE TRANSFER STATIONS KNOWN AS THE
NORTHERN TRANSFER STATION LOCATED AT 5802 STATE HIGHWAY 28 IN COOPERS-
TOWN, N.Y., AND THE ONEONTA TRANSFER STATION LOCATED AT 75 SILAS LANE IN
ONEONTA, N.Y.; AND
(III) TO THE COUNTY OF SCHOHARIE THE TRANSFER STATION KNOWN AS THE
SCHOHARIE TRANSFER STATION LOCATED AT 2805 ROUTE 7 IN COBLESKILL, N.Y.
TOGETHER WITH THE BALANCE OF THE REAL PROPERTY OWNED BY THE AUTHORITY AT
SUCH LOCATION, INCLUDING BUT NOT LIMITED TO THE ADMINISTRATIVE OFFICE
BUILDING OF THE AUTHORITY LOCATED ADJACENT TO SAID TRANSFER STATION.
(B) CONCURRENTLY WITH THE CONVEYANCE OF TITLE TO THE REAL PROPERTY AND
IMPROVEMENTS DESCRIBED IN PARAGRAPH (A) OF THIS SUBDIVISION, THE AUTHOR-
ITY SHALL CONVEY, AND THE COUNTIES OF MONTGOMERY, OTSEGO AND SCHOHARIE,
RESPECTIVELY, SHALL ACCEPT, WITH RESPECT TO EACH SUCH TRANSFER STATION,
A. 8406 3
ALL OF THE AUTHORITY'S RIGHT TITLE AND INTEREST IN THE MOVEABLE FIXTURES
AND EQUIPMENT LOCATED AT, AND ATTENDANT TO, THE OPERATION OF SUCH TRANS-
FER STATIONS. THE INVENTORY OF MOVEABLE FIXTURES AND EQUIPMENT PREPARED
BY THE AUTHORITY AS OF NOVEMBER FOURTH, TWO THOUSAND THIRTEEN AND ON
FILE WITH THE CLERK OF EACH COUNTY, UNLESS OTHERWISE AGREED BY THE COUN-
TIES, SHALL BE THE BASIS FOR SUCH TRANSFERS, SUBJECT TO ORDINARY USE BY
THE AUTHORITY PRIOR TO THE TRANSFER DATE. ON THE WRITTEN REQUEST OF ANY
OF THE COUNTIES, MADE NOT LATER THAN FIFTEEN DAYS AFTER THE FIRST OF THE
CONVEYANCES DESCRIBED IN PARAGRAPH (A) OF THIS SUBDIVISION, THE AUTHORI-
TIES BUDGET OFFICE SHALL DESIGNATE A MEDIATOR AND/OR AN APPRAISER TO
EXAMINE THE DISTRIBUTION OF MOVEABLE FIXTURES AND EQUIPMENT AT EACH OF
THE TRANSFER STATIONS, WHICH MEDIATOR OR APPRAISER SHALL BE AUTHORIZED
TO ORDER A MORE EQUITABLE DISTRIBUTION OF SUCH MOVEABLE FIXTURES AND
EQUIPMENT, TO ENSURE THAT EACH SUCH TRANSFER STATION IS FUNCTIONALLY
CAPABLE OF CONTINUING OPERATIONS AFTER THE AUTHORITY CEASES PROVISION OF
SOLID WASTE SERVICES. ANY SUCH ORDER ISSUED BY SUCH MEDIATOR OR
APPRAISER SHALL BE FINAL AND BINDING ON EACH OF THE COUNTIES.
(C) THE AUTHORITY SHALL CONVEY, AND THE COUNTIES OF MONTGOMERY, OTSEGO
AND SCHOHARIE SHALL ACCEPT, IN COMMON OWNERSHIP, ALL OF THE AUTHORITY'S
RIGHT TITLE AND INTEREST IN THE REAL PROPERTY, STRUCTURES AND IMPROVE-
MENTS CONSTITUTING THE LANDFILLS MORE FULLY DESCRIBED IN THE "POST
CLOSURE MONITORING AND MAINTENANCE AGREEMENT" DATED DECEMBER TENTH, TWO
THOUSAND NINE, ENTERED INTO BETWEEN THE MONTGOMERY, OTSEGO, SCHOHARIE
COUNTY SOLID WASTE MANAGEMENT AUTHORITY AND THE THREE COUNTIES, TOGETHER
WITH ALL MONIES HELD BY THE AUTHORITY IN THE LANDFILL OPERATING ACCOUNT
AND THE AUTHORITY'S INTEREST IN THE POST CLOSURE RESERVE ACCOUNT ESTAB-
LISHED PURSUANT TO SAID AGREEMENT. FROM AND AFTER THE TRANSFER OF TITLE
TO THE LANDFILLS FROM THE AUTHORITY TO THE COUNTIES, THE AUTHORITY SHALL
HAVE NO FUTURE OBLIGATION AND RESPONSIBILITY UNDER SAID POST CLOSURE
MONITORING AND MAINTENANCE AGREEMENT, WHICH RESPONSIBILITIES SHALL BE
ASSUMED BY THE COUNTIES.
(D) CONCURRENTLY WITH THE CONVEYANCE OF TITLE TO THE REAL PROPERTY AND
IMPROVEMENTS DESCRIBED IN PARAGRAPH (C) OF THIS SUBDIVISION, THE AUTHOR-
ITY SHALL CONVEY, AND THE COUNTIES OF MONTGOMERY, OTSEGO AND SCHOHARIE
SHALL ACCEPT IN COMMON OWNERSHIP, WITH RESPECT TO EACH SUCH LANDFILL,
ALL OF THE AUTHORITY'S RIGHT TITLE AND INTEREST IN THE MOVEABLE FIXTURES
AND EQUIPMENT LOCATED AT, AND ATTENDANT TO, THE MONITORING, MAINTENANCE
AND OTHER POST-CLOSURE ACTIVITIES REQUIRED AT SUCH LANDFILLS BY LAW. THE
INVENTORY OF MOVEABLE FIXTURES AND EQUIPMENT REFERRED TO IN PARAGRAPH
(B) OF THIS SUBDIVISION SHALL BE THE BASIS FOR SUCH TRANSFERS, SUBJECT
TO ORDINARY USE BY THE AUTHORITY PRIOR TO THE TRANSFER DATE.
(E) UPON THE COMPLETION OF THE PROPERTY TRANSFERS SET FORTH IN PARA-
GRAPHS (A), (B), (C) AND (D) OF THIS SUBDIVISION, BUT IN ANY EVENT NOT
LATER THAN OCTOBER FIRST, TWO THOUSAND FOURTEEN, ALL OTHER ASSETS OF THE
AUTHORITY, INCLUDING ALL OPERATING AND RESERVE FUNDS, SHALL BE DISTRIB-
UTED TO THE MEMBER COUNTIES IN ACCORDANCE WITH THE ALLOCATION PERCENT-
AGES SPECIFIED IN THE "POST CLOSURE MONITORING AND MAINTENANCE AGREE-
MENT", DATED DECEMBER TENTH, TWO THOUSAND NINE, ENTERED INTO BETWEEN THE
MONTGOMERY, OTSEGO, SCHOHARIE COUNTY SOLID WASTE MANAGEMENT AUTHORITY
AND THE THREE COUNTIES, PROVIDED HOWEVER, THAT THE BOARD OF DIRECTORS OF
THE AUTHORITY SHALL BE AUTHORIZED TO SET ASIDE SUCH FUNDS AS ARE NECES-
SARY AND PROPER TO SETTLE, PAY, AND OTHERWISE RESOLVE ALL OUTSTANDING
ACCOUNTS, CLAIMS, AND OTHER LIABILITIES OF THE AUTHORITY PRIOR TO THE
DATE OF DISSOLUTION, AND ANY REMAINDER SHALL BE DISTRIBUTED TO THE
MEMBER COUNTIES PURSUANT TO THE ALLOCATION ESTABLISHED IN THIS PARA-
GRAPH; AND PROVIDED FURTHER, THAT IN THE EVENT THAT ANY FUNDS SET ASIDE
A. 8406 4
BY THE BOARD OF DIRECTORS TO RESOLVE OUTSTANDING ACCOUNTS, CLAIMS, AND
OTHER LIABILITIES OF THE AUTHORITY ARE INSUFFICIENT FOR SUCH PURPOSE,
THE COUNTIES SHALL BE RESPONSIBLE FOR THE PAYMENT OF ANY LAWFUL OBLI-
GATIONS, ACCOUNTS, CLAIMS AND LIABILITIES OF THE AUTHORITY IN ACCORDANCE
WITH THE ALLOCATION PERCENTAGES SPECIFIED IN THE AFORESAID "POST CLOSURE
MONITORING AND MAINTENANCE AGREEMENT".
(F) NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, ALL
TRANSFERS PROVIDED FOR IN THIS SECTION SHALL BE WITHOUT REGARD TO
APPRAISED VALUE, AND WITHOUT OTHER CONSIDERATION. IT IS HEREBY DETER-
MINED THAT THE TRANSFERS OF PROPERTY PURSUANT TO THIS SECTION ARE FOR
THE BENEFIT OF THE PEOPLE OF THE PARTICIPATING COUNTIES AND THE STATE
AND ARE FOR A PUBLIC PURPOSE. THE DISSOLUTION OF THE AUTHORITY AS
PROVIDED IN THIS SECTION AND THE TRANSFERS OF PROPERTY AUTHORIZED AND
DIRECTED IN THIS SECTION SHALL BE DEEMED TO BE MINISTERIAL ACTS OF AN
OFFICIAL NATURE, INVOLVING NO EXERCISE OF DISCRETION, WITHIN THE MEANING
OF PARAGRAPH (II) OF SUBDIVISION FIVE OF SECTION 8-0105 OF THE ENVIRON-
MENTAL CONSERVATION LAW.
3. UPON DISSOLUTION, THE BOOKS AND RECORDS OF THE AUTHORITY SHALL BE
DELIVERED TO THE CUSTODY OF THE COUNTY OF SCHOHARIE, AND SHALL BE MADE
AVAILABLE, AT REASONABLE TIMES, TO ANY RECEIVER APPOINTED PURSUANT TO
THIS SUBDIVISION AND TO AUTHORIZED REPRESENTATIVES OF THE COUNTIES OF
MONTGOMERY, OTSEGO AND SCHOHARIE ON REQUEST, AND TO OTHER PERSONS IN
ACCORDANCE WITH LAW. THE FINANCES AND ACCOUNTS OF THE AUTHORITY AS OF
THE DATE OF DISSOLUTION SHALL BE THE SUBJECT OF A FINAL AUDIT, WHICH
SHALL BE SUBJECT TO THE REVIEW AND APPROVAL OF THE AUTHORITIES BUDGET
OFFICE, AND ANY ACCOUNTS PAYABLE AND RECEIVABLE, AND ANY CLAIMS, OBLI-
GATIONS OR OTHER LIABILITIES REMAINING UNSETTLED OR UNRESOLVED AT THE
DATE OF DISSOLUTION SHALL BE ASSIGNED TO A RECEIVER TO BE APPOINTED BY
THE AUTHORITIES BUDGET OFFICE. UNLESS OTHERWISE AGREED BY THE COUNTIES
AND THE AUTHORITIES BUDGET OFFICE, SUCH RECEIVER SHALL BE SELECTED FROM
A LIST OF QUALIFIED PERSONS MAINTAINED BY THE OFFICE OF COURT ADMINIS-
TRATION AND THE COMPENSATION AND CONDUCT OF SUCH RECEIVER SHALL BE
GOVERNED BY THE RULES OF THE CHIEF JUDGE. SAID RECEIVER SHALL BE AUTHOR-
IZED TO PAY, COLLECT, SETTLE OR RESOLVE ALL SUCH ACCOUNTS, CLAIMS, OBLI-
GATIONS AND LIABILITIES IN ACCORDANCE WITH LAW, AND TO DEFEND AND MAIN-
TAIN ACTIONS AT LAW WITH RESPECT THERETO IN THE NAME OF THE AUTHORITY.
S 4. This act shall take effect immediately.