S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4870
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 3, 2017
                                ___________
 
 Introduced by M. of A. DINOWITZ -- read once and referred to the Commit-
   tee on Corporations, Authorities and Commissions
 
 AN ACT requiring all public authorities owning, leasing, and controlling
   critical  infrastructure to study the potential consequences of priva-
   tization

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Legislative  findings. 1. New York state must have suffi-
 cient numbers of properly  designed  and  maintained  bridges,  tunnels,
 roads, airports, ports, container ports and railroads ("critical infras-
 tructure")  in order to retain its economic competitiveness and grow its
 economy.
   2. Much of the state's existing critical infrastructure is  aging,  is
 experiencing capacity problems, has had maintenance problems, or in some
 other  manner  has  become  a  candidate for re-engineering, rebuilding,
 replacement or supplementation.
   3. The most critical and expensive infrastructure in New York state to
 re-engineer, rebuild or replace is under the  control  or  ownership  of
 public  authorities,  and such critical transportation infrastructure is
 under consideration for sale,  long-term  lease  or  other  transfer  of
 ownership or control to the private business sector ("privatization").
   §  2.  1.  All  public  authorities  shall immediately suspend issuing
 concessions or selling or otherwise transferring, or issuing notices  of
 inquiry ("NOIs") or requests for proposal ("RFPs") for leasing, or sell-
 ing  or  otherwise  transferring  control of any critical transportation
 infrastructure, until each of such public authorities has issued a study
 reporting on the effects of  privatization  of  critical  transportation
 infrastructure,  and  all  public authorities shall forbear from issuing
 concessions or selling or otherwise transferring, or issuing notices  of
 inquiry    ("NOIs")  or  requests for proposals ("RFPs") for leasing, or
 selling or otherwise transferring control of any critical transportation
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD07588-01-7

 A. 4870                             2
 
 infrastructure during the pendency of such studies  (the  "privatization
 report").
   2.  (a) Each public authority shall issue its individual report to the
 assembly  committees  on  corporations,  authorities  and   commissions,
 economic  development,  transportation,  and  ways and means, and to the
 senate committees on commerce, economic development and small  business,
 corporations,  authorities  and  commissions,  and  transportation  (the
 "Committees").
   (b) Each public  authority's  report  shall  evaluate  in  detail  the
 following:
   (i)  the  impact  that  sale  or  transfer  of control of its critical
 infrastructure would have upon the authority's ability to  pay  any  and
 all  debt  it has issued, or succeeded to, that is guaranteed or secured
 by any revenues arising from the authority's critical infrastructure, or
 by the ownership of such critical infrastructure;
   (ii) whether the critical infrastructure involved any existing  priva-
 tization initiatives in the United States are comparable in scope, scale
 and  value  to  the  critical  infrastructure  controlled  by the public
 authority ("comparable projects");
   (iii) the progress to date of any comparable projects and whether  any
 such  projects  have  experienced  cost overruns or delays, or otherwise
 have failed, or succeeded, in meeting the deadlines and costs put  forth
 by the private entity.
   3.  (a)  The privatization report shall be due on or within 14 days of
 December 1, 2017. Within 90 days after the date  each  public  authority
 submits  the  report  provided for in subdivision one of this section to
 the committees, such committees may, severally or  collectively,  submit
 further issues for study and inclusion in such report, which said public
 authorities  shall  study  and include within such report within 60 days
 after receipt of any such submission, at which point said public author-
 ities shall submit the privatization report to the governor, the  tempo-
 rary  president of the senate, the speaker of the assembly, the minority
 leaders of the senate and assembly, the chairperson and ranking minority
 member of the senate corporations, authorities and  commissions  commit-
 tee,  and  the  chairperson  and ranking minority member of the assembly
 corporations, authorities and commissions committee.
   (b) The governor, the temporary president of the senate,  the  speaker
 of  the  assembly,  the minority leaders of the senate and assembly, the
 chairperson and ranking minority  member  of  the  senate  corporations,
 authorities  and  commissions committee, and the chairperson and ranking
 minority member of the assembly corporations,  authorities  and  commis-
 sions  committee  shall  have a period of 90 days within which to submit
 further issues for study and inclusion in such report, which said public
 authorities shall study and include within such report  within  60  days
 after receipt of any such submission.
   (c)  No  public authority shall take any action to privatize any crit-
 ical infrastructure owned by it, leased by it, or  otherwise  controlled
 by  it,  including  but  not  limited  to the actions enumerated in this
 section, until the privatization  report,  including  responses  to  its
 submission  by  the committees, legislators and the executives mentioned
 above shall, have been completed and submitted to said persons.
   § 3. This act shall take effect on the ninetieth day  after  it  shall
 have  become  a  law.  Any  rule  or regulation necessary for the timely
 implementation of this act on its effective date may be  promulgated  on
 or before such date.