S T A T E O F N E W Y O R K
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S. 5029 A. 7179
2013-2014 Regular Sessions
S E N A T E - A S S E M B L Y
May 6, 2013
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IN SENATE -- Introduced by Sens. LAVALLE, BOYLE, FLANAGAN, ZELDIN --
read twice and ordered printed, and when printed to be committed to
the Committee on Corporations, Authorities and Commissions
IN ASSEMBLY -- Introduced by M. of A. SWEENEY -- read once and referred
to the Committee on Corporations, Authorities and Commissions
AN ACT to amend the public authorities law, in relation to the Suffolk
county judicial facilities agency and the H. Lee Dennison building
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 6 of section 2350-b of the public authorities
law, as amended by chapter 762 of the laws of 2005, is amended to read
as follows:
6. "Construct", "Construction" or "Constructed" means the acquisition,
erection, building, alteration, improvement, increase, enlargement,
extension, reconstruction, renovation or rehabilitation of the John P.
Cohalen court complex [and], the new replacement correctional facility
at Yaphank, THE H. LEE DENNISON BUILDING AND THE NORTH COUNTY COMPLEX;
the inspection and supervision thereof; and the engineering, architec-
tural, legal, fiscal and economic investigations and studies, surveys,
designs, plans, working drawings, specifications, procedure and other
actions preliminary or incidental thereto.
S 2. Subdivisions 15 and 17 of section 2350-b of the public authori-
ties law, as amended by chapter 762 of the laws of 2005, are amended and
two new subdivisions 12-a and 13-a are added to read as follows:
12-A. "H. LEE DENNISON BUILDING" MEANS THE H. LEE DENNISON BUILDING OF
THE SUFFOLK COUNTY GOVERNMENT LOCATED IN HAUPPAUGE, NEW YORK.
13-A. "NORTH COUNTY COMPLEX" MEANS ONE OR MORE OF THE BUILDINGS OF THE
GOVERNMENT OF THE COUNTY OF SUFFOLK DESIGNATED BY THE COUNTY LEGISLATURE
IN THE NORTH COUNTY COMPLEX IN HAUPPAUGE, NEW YORK TO BE SOLD, LEASED OR
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10271-01-3
S. 5029 2 A. 7179
ASSIGNED TO THE AGENCY PURSUANT TO SUBDIVISION ONE OF SECTION
TWENTY-THREE HUNDRED FIFTY-F OF THIS TITLE.
15. "Project" means any acquisition, erection, building, alteration,
improvement, increase, enlargement, extension, renovation, rehabili-
tation or relocation of the John P. Cohalen court complex [or], the new
replacement correctional facility at Yaphank, THE H. LEE DENNISON BUILD-
ING AND THE NORTH COUNTY COMPLEX, or any part thereof.
17. "Properties" means the John P. Cohalen court complex [or], the new
replacement correctional facility at Yaphank, THE H. LEE DENNISON BUILD-
ING AND THE NORTH COUNTY COMPLEX, or any part thereof or appurtenances
or any property incidental thereto.
S 3. Subdivision 1 of section 2350-c of the public authorities law, as
amended by chapter 762 of the laws of 2005, is amended to read as
follows:
1. A public corporation, to be known as the "Suffolk county judicial
facilities agency" is hereby created for the public purposes and charged
with the duties and having the powers provided in this title. The agency
shall be a body corporate and politic constituting a public benefit
corporation, the objects of which in the judgment of the legislature
cannot be attained under general laws. The governing body of the agency
shall consist of a body totaling six members, all of whom shall be resi-
dents of the county, one of whom shall be appointed by the presiding
officer of the county legislature, without confirmation by the county
legislature, one of whom shall be appointed by the minority leader of
the county legislature, without confirmation by the county legislature,
two of whom shall be appointed by the county legislature but not subject
to review or veto by the county executive and two of whom shall be
appointed by the county executive but not subject to review or veto by
the county legislature. The terms of the members of the governing body
of the agency serving on the effective date of the chapter of the laws
of two thousand [five] THIRTEEN that [added this sentence] AMENDED THIS
SECTION shall expire on the sixtieth day following such effective date.
On or before the sixtieth day, six members shall be appointed by the
persons having the authority to make such appointments under this
section. Former members of the governing body of the corporation may be
reappointed in the discretion of the appointing authority. The appoint-
ing authorities shall consult together in making their appointments in
an effort to achieve the goal of having at least one member of the board
with a background in each of the following areas of experience: finance,
operation of correctional facilities, operation of judicial facilities,
construction, and real estate. Each member so appointed shall serve for
a term of three years, provided, however, that the members first
appointed to the six member board by the presiding officer and the
minority leader of the county legislature shall be appointed for an
initial term of two years and the members first appointed to the six
member board by the county legislature shall be appointed for an initial
term of four years. Failure by any party to appoint any member shall
not invalidate the creation or establishment of the agency and shall
result in the creation of a vacancy in the governing body of the agency
which may be filled at any time by such party. The clerk of the county
legislature shall notify the county executive and, after the appointment
of the initial members, the agency, of each appointment setting forth
(a) the name of the agency and (b) the name of the member appointed and
the member's term of office. All such members shall continue to hold
office until their successors are appointed and qualify. Vacancies shall
be filled in the manner provided for original appointment. Vacancies,
S. 5029 3 A. 7179
occurring otherwise than by expiration of term of office, shall be
filled by appointment for the unexpired terms. Members may be removed
from office by their appointing authority for inefficiency, neglect of
duty or misconduct in office; provided, however, that such member shall
be given a copy of the charges against him or her and an opportunity of
being heard in person, or by counsel, in his or her defense upon not
less than ten days notice. Members of the agency shall receive no
compensation for their services, but may be reimbursed for their actual
and necessary expenses incurred in connection with the carrying out of
the purposes of this title.
S 4. Section 2350-e of the public authorities law, as amended by chap-
ter 762 of the laws of 2005, is amended to read as follows:
S 2350-e. Governmental capacity of the agency and the county. The
agency and the county, in carrying out their respective powers and
duties under this title, shall be deemed to be acting in a governmental
capacity and in the performance of an essential governmental function.
The John P. Cohalen court complex when held by the agency and either
leased to the county, used for judicial purposes by the county or the
state or any state agency or the subject of a service agreement between
the agency and the county shall continue to be regarded as being used in
the performance of an essential governmental function. For purposes of
the judiciary law, or any successor thereto or similar law providing for
the payment by the state of aid for the construction and, or, operation
and maintenance of facilities for occupancy by the judiciary of the
state, including personal functions ancillary thereto, the agency shall
be considered a political subdivision of the state and shall be eligible
to receive all state aid for the John P. Cohalen court complex to the
same extent as the county.
The new replacement correctional facility at Yaphank, when held by the
agency and either leased to the county, used for correctional purposes
by the county or the state or any state agency, or the subject of a
service agreement between the agency and the county shall continue to be
regarded as being used in the performance of an essential governmental
function. For purposes of the correction law, or any successor thereto
or similar law providing for the payment by the state of aid for the
construction and, or, operation and maintenance of facilities for
correctional [proposes] PURPOSES, including personnel functions ancil-
lary thereto, the agency shall be considered a political subdivision of
the state and shall be eligible to receive all state aid for the new
replacement correctional facility at Yaphank to the same extent as the
county.
THE H. LEE DENNISON BUILDING AND THE NORTH COUNTY COMPLEX, WHEN HELD
BY THE AGENCY AND EITHER LEASED TO THE COUNTY, USED FOR GOVERNMENTAL
PURPOSES BY THE COUNTY OR THE STATE OR ANY STATE AGENCY, OR THE SUBJECT
OF A SERVICE AGREEMENT BETWEEN THE AGENCY AND THE COUNTY SHALL CONTINUE
TO BE REGARDED AS BEING USED IN THE PERFORMANCE OF AN ESSENTIAL GOVERN-
MENTAL FUNCTION. FOR PURPOSES OF ANY GENERAL OR SPECIAL LAW PROVIDING
FOR THE PAYMENT BY THE STATE OF AID FOR THE CONSTRUCTION AND, OR, OPERA-
TION AND MAINTENANCE OF FACILITIES FOR GOVERNMENTAL PURPOSES, INCLUDING
PERSONNEL FUNCTIONS ANCILLARY THERETO, THE AGENCY SHALL BE CONSIDERED A
POLITICAL SUBDIVISION OF THE STATE AND SHALL BE ELIGIBLE TO RECEIVE ALL
STATE AID FOR THE H. LEE DENNISON BUILDING AND THE NORTH COUNTY COMPLEX
TO THE SAME EXTENT AS THE COUNTY.
S 5. Subdivision 1 of section 2350-f of the public authorities law, as
amended by chapter 762 of the laws of 2005, is amended to read as
follows:
S. 5029 4 A. 7179
1. The county is hereby authorized, by a majority vote of the county
legislature, subject to review and veto of the county executive in the
manner set forth in the county charter, to sell, lease or assign to the
agency any or all right, title and interest of the county in and to the
John P. Cohalen court complex [and], the new replacement correctional
facility at Yaphank AND THE H. LEE DENNISON BUILDING AND THE NORTH COUN-
TY COMPLEX, including, without limitation, any land and rights-in-land,
any buildings, structures and improvements now or at any time hereafter
erected or constructed upon such land or rights-in-land, any fixtures
attached thereto, any personal property of any kind and description,
whether the same is a structural or nonstructural component, any alter-
ation, replacements, additions or substitutions for any of the forego-
ing, and any operation and maintenance or functionally similar agree-
ments, by any name known. Any such sale, lease, or assignment may,
notwithstanding the provisions of any other law, general, special or
local, including, without limitations, section two hundred fifteen of
the county law, or the county charter, be upon such terms for such dura-
tion and upon such conditions and for such consideration as may be
agreed upon, without competitive bidding therefor and shall not be
subject to permissive or mandatory referendum. Notwithstanding any
other provision of law, general, special or local, the county may lease
back such properties and, or, enter into a service agreement with the
agency pursuant to which the agency will cause the John P. Cohalen court
complex, or any part thereof, to be made available for occupancy for
judicial purposes and functions [and], the new replacement correctional
facility at Yaphank to be made available for occupancy and use for
correction purposes and functions, AND THE H. LEE DENNISON BUILDING AND
THE NORTH COUNTY COMPLEX TO BE MADE AVAILABLE FOR OCCUPANCY AND USE FOR
GOVERNMENTAL PURPOSES AND FUNCTIONS and for which the county will pay to
the agency a fee, and enter into an agreement with the agency pursuant
to which the county will operate and, or, maintain such court complex
[and], such correctional facility, AND THE H. LEE DENNISON BUILDING AND
THE NORTH COUNTY COMPLEX for the agency, each upon such terms and for
such duration and upon such conditions and for such consideration as may
be agreed upon and without competitive bidding. It is hereby determined
that the powers conferred by this section shall be in addition and
supplemental to any powers contained in any other law and nothing herein
contained shall be construed as limiting a right or power that the coun-
ty now has or may hereafter have pursuant to any other provision of law.
It is hereby determined that the powers conferred by this section are
conferred for a public purpose and any sale, lease, assignment or other
contract or agreement entered into pursuant to the provisions of this
section shall be deemed to be and is herein determined to be for a
public purpose.
S 6. Subdivision 1 of section 2350-g of the public authorities law is
amended by adding a new paragraph (c) to read as follows:
(C) THE AGGREGATE PRINCIPAL AMOUNT OF SUCH BONDS, NOTES OR OTHER OBLI-
GATIONS FOR THE H. LEE DENNISON BUILDING AND THE NORTH COUNTY COMPLEX
SHALL NOT EXCEED SEVENTY MILLION DOLLARS ($70,000,000), EXCLUDING BONDS,
NOTES OR OTHER OBLIGATIONS ISSUED TO REFUND OR REPAY BONDS, NOTES OR
OTHER OBLIGATIONS THERETOFORE ISSUED FOR SUCH PURPOSES; PROVIDED, HOWEV-
ER, THAT UPON ANY SUCH REFUNDING OR REPAYMENT THE TOTAL AGGREGATE PRIN-
CIPAL AMOUNT OF OUTSTANDING BONDS, NOTES AND OTHER OBLIGATIONS MAY BE
GREATER THAN SEVENTY MILLION DOLLARS ($70,000,000), ONLY IF THE PRESENT
VALUE OF THE AGGREGATE DEBT SERVICE OF THE REFUNDING OR REPAYMENT OF
BONDS, NOTES OR OTHER OBLIGATIONS TO BE ISSUED SHALL NOT EXCEED THE
S. 5029 5 A. 7179
PRESENT VALUE OF THE AGGREGATE DEBT SERVICE OF THE BONDS, NOTES, OR
OTHER OBLIGATIONS SO TO BE REFUNDED OR REPAID.
S 7. Paragraphs (a), (e) and (h) of subdivision 4 and subdivision 10
of section 2350-g of the public authorities law, paragraph (a) of subdi-
vision 4 as amended by chapter 762 of the laws of 2005 and paragraphs
(e) and (h) of subdivision 4 and subdivision 10 as added by chapter 200
of the laws of 1999, are amended to read as follows:
(a) Bonds shall be authorized by resolution of the agency, be in such
denominations and bear such date or dates and mature at such time or
times, as such resolution may provide, provided that bonds and renewals
thereof issued for the John P. Cohalen court complex shall mature no
later than December thirty-first, two thousand sixteen; and bonds and
renewals thereof for the new replacement correctional facility at
Yaphank shall mature no later than December thirty-first, two thousand
thirty-five; AND BONDS AND RENEWALS THEREOF FOR THE H. LEE DENNISON
BUILDING AND THE NORTH COUNTY COMPLEX SHALL MATURE NO LATER THAN DECEM-
BER THIRTY-FIRST, TWO THOUSAND THIRTY-THREE.
(e) No private or public bond sale on a negotiated basis shall be
conducted by the agency without prior approval of the state comptroller.
The agency shall annually prepare and approve a bond sale report which
shall include the private [the private] or public bond sale guidelines
as specified in this subdivision, amendments to such guidelines since
the last private or public bond sale report, an explanation of the bond
sale guidelines and amendments, and the results of any sale of bonds
conducted during the fiscal year. Such bond sale report may be a part of
any other annual report that the agency is required to make.
(h) Nothing contained in this subdivision shall[,] be deemed to alter,
affect the validity of, modify the terms of, or impair any contract or
agreement made or entered into in violation of, or without compliance
with, the provisions of this subdivision.
10. The agency, subject to such agreements with bondholders as then
may exist, shall have power out of any moneys available therefor to
purchase bonds of the agency, which shall thereupon be canceled at a
price not exceeding; (a) if the bonds are then redeemable, the redemp-
tion price then applicable plus accrued interest to the next interest
payment date, or (b) if the bonds are not then immediately redeemable
then the redemption price applicable on the first date after such
purchase upon which the bonds become subject to redemption, plus accrued
interest to be THE next interest payment date.
S 8. Section 2350-j of the public authorities law, as added by chapter
200 of the laws of 1999, is amended to read as follows:
S 2350-j. Moneys of the agency. All moneys of the agency from whatever
source derived shall be paid to the treasurer of the agency and shall be
deposited forthwith in a bank or banks in the state designated by the
governing body. The moneys in such accounts shall be paid out on check
of the treasurer upon requisition by the governing body or of such other
person or persons as the governing body may [authorized] AUTHORIZE to
make such requisitions. All deposits of such moneys shall be secured by
obligations of the United States or of the state or of the county or of
any other municipality within the county of a market value equal at all
times to the amount on deposit and all banks and trust companies are
authorized to give such security for such deposits. The agency shall
have power, notwithstanding the provisions of this section, to contract
with the holders of any bonds as to the custody collection, security,
investment payment of any moneys of the agency or any moneys held in
trust or otherwise for the payment of bonds or in any way to secure
S. 5029 6 A. 7179
bonds, and to carry out any such contract notwithstanding that such
contract may be inconsistent with the provisions of this section. Moneys
held in trust or otherwise for the payment of bonds or in any way to
secure bonds and deposits of such moneys may be secured in the same
manner as moneys of the agency and all banks and trust companies are
authorized to give such security for such deposits. Any moneys of the
agency not required for immediate use or disbursement may, at the
discretion of the agency, be invested in those obligations specified
pursuant to the provisions of section ninety-eight-a of the state
finance law. Subject to the provisions of any contract with bondholders
and with the approval of the comptroller, the agency shall prescribe a
system of accounts.
S 9. Subdivisions 1 and 4 of section 2350-m of the public authorities
law, as added by chapter 200 of the laws of 1999, are amended to read as
follows:
1. It is hereby determined that the creation of the agency and the
carrying out of its corporate purpose is in all respects for the benefit
of the people of the state and is a public purpose and the agency shall
be regarded as performing a governmental function in the exercise of the
powers conferred upon it by this title and shall not be required to pay
any fees, taxes, special ad valorem levies or special assessments of any
kind, whether state or local, including, but not limited to fees, taxes,
special ad valorem levies or assessments on real property, franchise
taxes, sales or other taxes, upon or with respect to any properties
owned by it or under its jurisdiction, control or supervision, or upon
the uses thereof, or upon or with respect to its activities or oper-
ations in furtherance of the powers conferred upon it by this title, or
upon or with respect to any fees, rents, charges, revenues or other
income received by the agency, or any filing, recording or transfer fees
or taxes in relation to instruments filed, recorded or transferred by it
or on its behalf. The construction, use, occupation or possession of any
properties owned by the agency, including improvements thereon or there-
to, by the state or any state agency or by the county or any other
person under a lease, lease and sublease or any other agreement shall
not act to abrogate or limit the foregoing exemption, notwithstanding
that the lessee, user, occupant or person in possession shall claim
ownership for federal income tax purposes.
4. The agency may pay, or may enter into agreements with the county or
any municipality to pay, a sum or sums annually or otherwise or to
provide other considerations with respect to [of] the real property
owned by the agency located within the county or such municipality.
S 10. Subdivision 2 of section 2350-o of the public authorities law,
as amended by chapter 762 of the laws of 2005, is amended to read as
follows:
2. Construction contracts let by the agency shall be in conformity
with the applicable provisions of section one hundred thirty-five of the
state finance law, provided, however, that any contract for the
construction, reconstruction, rehabilitation or improvement of buildings
let by the agency shall not be governed by section one hundred thirty-
five of the state finance law if the agency chooses to utilize a project
labor agreement IN ACCORDANCE WITH THE PROVISIONS OF SECTION TWO HUNDRED
TWENTY-TWO OF THE LABOR LAW when the record supporting the decision to
enter into such an agreement establishes that it is justified by the
interests underlying the competitive bidding laws.
S. 5029 7 A. 7179
S 11. Subdivision 5 of section 2350-s of the public authorities law,
as added by chapter 762 of the laws of 2005, is amended to read as
follows:
5. The agency shall provide the secretaries of the [state] SENATE
finance committee and the assembly ways and means committee, with access
to any and all books, records, audits and contracts of the agency.
S 12. Subdivision 2 of section 2350-v of the public authorities law is
amended by adding a new paragraph (h) to read as follows:
(H) NOTHING IN THIS SECTION SHALL BE CONSTRUED AS LIMITING THE
REQUIREMENTS OF THE PUBLIC AUTHORITIES ACCOUNTABILITY ACT OF 2005 AS
ADOPTED BY CHAPTER SEVEN HUNDRED SIXTY-SIX OF THE LAWS OF TWO THOUSAND
FIVE AND THE PUBLIC AUTHORITIES REFORM ACT OF 2009 AS ADOPTED BY CHAPTER
FIVE HUNDRED SIX OF THE LAWS OF TWO THOUSAND NINE.
S 13. Subdivision 1 of section 2350-ff of the public authorities law,
as added by chapter 762 of the laws of 2005, is amended to read as
follows:
1. Every person or organization subject to the provisions of article
one-A of the legislative law as a lobbyist or client (as those terms are
defined in such article) because of acts relating to procurements of the
agency shall, in addition to filing one or more statements of registra-
tion and reports with the New York temporary state commission on lobby-
ing as required by article one-A of the legislative law, file a copy of
each such document required to be filed under said article with the
[authority] AGENCY.
S 14. This act shall take effect immediately.