S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   2206
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             January 19, 2023
                                ___________
 
 Introduced  by  Sen.  LIU  --  read  twice and ordered printed, and when
   printed to be committed to the Committee on Corporations,  Authorities
   and Commissions
 
 AN  ACT  to  amend the public authorities law, the executive law and the
   public officers law, in relation to clarifying the application of  the
   accountability standards, open meetings law and freedom of information
   requirements to local development corporations
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraph (a) of subdivision  2  of  section  2800  of  the
 public  authorities  law, as amended by chapter 506 of the laws of 2009,
 is amended to read as follows:
   (a) Every local authority, [continued or created by  this  chapter  or
 any  other  chapter  of  the  laws of the state of New York] PURSUANT TO
 SECTION TWO OF THIS CHAPTER shall submit to the chief executive officer,
 the chief fiscal officer, the chairperson of the legislative body of the
 local government or local governments and the authorities budget office,
 within ninety days after the end of its  fiscal  year,  a  complete  and
 detailed  report or reports setting forth: (1) its operations and accom-
 plishments; (2) its financial reports, including (i) 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, (ii) grants and subsidy programs, (iii)
 operating and financial risks, (iv) current ratings if any, of its bonds
 issued by recognized municipal bond rating agencies and notice of chang-
 es in such ratings, and (v) long-term liabilities, including leases  and
 employee  benefit  plans;  (3)  its  mission  statement and measurements
 including its most recent measurement report;  (4)  a  schedule  of  its
 bonds and notes outstanding at the end of its fiscal year, together with
 a statement of the amounts redeemed and incurred during such fiscal year
 as  part  of a schedule of debt issuance that includes the date of issu-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD05358-01-3
              

 S. 2206                             2
 
 ance, term, amount, interest rate and means of repayment.  Additionally,
 the   debt   schedule   shall  also  include  all  refinancings,  calls,
 refundings, defeasements and interest rate exchange or other such agree-
 ments,  and  for any debt issued during the reporting year, the schedule
 shall also include a detailed list of costs of issuance for  such  debt;
 (5)  a  compensation  schedule  in  addition  to the report described in
 section twenty-eight hundred six of this title that  shall  include,  by
 position,  title  and name of the person holding such position or title,
 the salary, compensation, allowance  and/or  benefits  provided  to  any
 officer,  director  or employee in a decision making or managerial posi-
 tion of such authority whose salary is in excess of one hundred thousand
 dollars; (5-a)  biographical  information,  not  including  confidential
 personal  information,  for all directors and officers and employees for
 whom salary reporting is required under subparagraph five of this  para-
 graph;  (6)  the  projects  undertaken by such authority during the past
 year; (7) a listing and description, in addition to the report  required
 by  paragraph  a  of  subdivision  three of section twenty-eight hundred
 ninety-six of this article of all real property of such authority having
 an estimated fair market value in excess  of  fifteen  thousand  dollars
 that  the  authority  acquires  or  disposes  of during such period. The
 report shall contain the price received or paid by the authority and the
 name of the purchaser or seller for all such property sold or bought  by
 the  authority  during such period; (8) such authority's code of ethics;
 (9) an assessment of the effectiveness of its internal control structure
 and procedures; (10) a copy of the legislation that forms the  statutory
 basis  of  the  authority;  (11)  a description of the authority and its
 board  structure,  including  (i)  names  of  committees  and  committee
 members, (ii) lists of board meetings and attendance, (iii) descriptions
 of  major  authority  units, subsidiaries, (iv) number of employees, and
 (v) organizational chart; (12) its charter, if any, and by-laws; (13)  a
 listing  of  material  changes  in  operations  and  programs during the
 reporting year; (14) at a minimum a four-year financial plan,  including
 (i) a current and projected capital budget, and (ii) an operating budget
 report,  including  an  actual versus estimated budget, with an analysis
 and measurement of financial and operating performance; (15)  its  board
 performance  evaluations  provided, however, that such evaluations shall
 not be subject to disclosure under article six of  the  public  officers
 law; (16) a description of the total amounts of assets, services or both
 assets  and services bought or sold without competitive bidding, includ-
 ing (i) the nature of those assets and services, (ii) the names  of  the
 counterparties,  and (iii) where the contract price for assets purchased
 exceeds fair market value, or where the contract price for  assets  sold
 is less than fair market value, a detailed explanation of the justifica-
 tion  for making the purchase or sale without competitive bidding, and a
 certification by the chief executive officer and chief financial officer
 of the public authority that  they  have  reviewed  the  terms  of  such
 purchase or sale and determined that it complies with applicable law and
 procurement  guidelines;  and (17) a description of any material pending
 litigation in which the authority is involved  as  a  party  during  the
 reporting  year,  except  that  no  provider  of  medical  services need
 disclose information about pending malpractice claims beyond the  exist-
 ence of such claims.
   §  2.  Subdivision 2 of section 2801 of the public authorities law, as
 amended by chapter 506 of the laws  of  2009,  is  amended  to  read  as
 follows:
 S. 2206                             3
 
   2. Local authorities. For the local authority fiscal year ending on or
 after December thirty-first, two thousand seven and annually thereafter,
 every  local  authority [heretofore or hereafter continued or created by
 this chapter or any other chapter of the laws of the state of New York],
 PURSUANT TO SECTION TWO OF THIS CHAPTER, shall submit to the chief exec-
 utive officer, the chief fiscal officer, the chairperson of the legisla-
 tive  body  of  the  local government or governments and the authorities
 budget office for their information, annually not more than ninety  days
 and not less than sixty days before the commencement of its fiscal year,
 in  the form submitted to its members or trustees, budget information on
 operations and capital construction setting forth the estimated receipts
 and expenditures for the next fiscal year and the current  fiscal  year,
 and  the  actual receipts and expenditures for the last completed fiscal
 year.
   § 3. Subdivision 1 of section 2895 of the public authorities  law,  as
 added by chapter 766 of the laws of 2005, is amended to read as follows:
   1.  "Contracting  officer"  shall  mean  the  officer or employee of a
 public authority OR LOCAL AUTHORITY PURSUANT  TO  SECTION  TWO  OF  THIS
 CHAPTER  who shall be appointed by resolution of the board of the public
 OR LOCAL authority to be responsible for the disposition of property.
   § 4. Section 2896 of the public authorities law, as added  by  chapter
 766  of  the laws of 2005 and subdivision 3 as amended by chapter 506 of
 the laws of 2009, is amended to read as follows:
   § 2896. Duties of public AND LOCAL authorities  with  respect  to  the
 disposal of property. 1. Every PUBLIC AND LOCAL authority, as defined in
 section  two  of  this  chapter, shall adopt by resolution comprehensive
 guidelines which shall (a) detail the public OR LOCAL authority's opera-
 tive policy and instructions regarding the use, awarding, monitoring and
 reporting of contracts for the disposal of property, and (b) designate a
 contracting officer who shall be responsible for  the  public  OR  LOCAL
 authority's  compliance  with, and enforcement of, such guidelines. Such
 guidelines shall be consistent with, and shall  require  the  public  OR
 LOCAL  authority's  contracting  activities to comply with this section,
 the [authorities] AUTHORITY'S enabling legislation and any other  appli-
 cable  law for the disposal of property, except that such guidelines may
 be stricter than the provisions of this section, the authorities  enabl-
 ing legislation and any other applicable law for the disposal of proper-
 ty  if  the  public  OR LOCAL authority determines that additional safe-
 guards  are  necessary  to  assure  the  integrity  of  its  disposition
 activities.  Guidelines  approved by the public OR LOCAL authority shall
 be annually reviewed and approved by the governing body of the public OR
 LOCAL authority. On or before the thirty-first  day  of  March  in  each
 year,  the  public  OR LOCAL authority shall file with the comptroller a
 copy of the guidelines most recently reviewed and approved by the public
 OR LOCAL authority, including the name of the public OR  LOCAL  authori-
 ty's  designated  contracting officer. At the time of filing such guide-
 lines with the comptroller, every public OR LOCAL authority  shall  also
 post  such  guidelines  on  the  public  OR  LOCAL  authority's internet
 website. IF THE LOCAL AUTHORITY DOES NOT MAINTAIN ITS OWN WEBSITE,  THEN
 THE  GUIDELINES  SHALL  BE  POSTED  ON THE WEBSITE OF THE LOCALITY WHICH
 CREATED SUCH AUTHORITY. Guidelines posted on the public OR LOCAL author-
 ity's internet website shall be maintained  on  such  website  at  least
 until  the  procurement  guidelines for the following year are posted on
 such website.
   2. Each public OR LOCAL authority shall:
 S. 2206                             4
 
   a. maintain adequate inventory controls and accountability systems for
 all property under its control;
   b.  periodically  inventory  such property to determine which property
 shall be disposed of;
   c. produce a written report of such property in accordance with subdi-
 vision three of this section;
   d. transfer or dispose of such property as  promptly  as  possible  in
 accordance with section twenty-eight hundred ninety-seven of this title.
   3. a. Each public OR LOCAL authority shall publish, not less frequent-
 ly  than  annually,  a report listing all real property of the public OR
 LOCAL authority.  Such report shall include a list and full  description
 of  all  real  and personal property disposed of during such period. The
 report shall contain the price received by the public OR LOCAL authority
 and the name of the purchaser for all such property sold by  [the]  SUCH
 public OR LOCAL authority during such period.
   b.  The  public  authority  shall deliver copies of such report to the
 comptroller, the director of the budget,  the  commissioner  of  general
 services, the legislature and the authorities budget office.
   C.  THE  LOCAL  AUTHORITY  SHALL  DELIVER COPIES OF SUCH REPORT TO THE
 COMPTROLLER, THE CHIEF EXECUTIVE OFFICER OF THE LOCALITY, AND THE CHAIR-
 PERSON OF THE LEGISLATIVE BODY OF THE LOCAL GOVERNMENT.
   § 5. Section 2897 of the public authorities law, as added  by  chapter
 766  of the laws of 2005, subdivision 3 and paragraphs c and d of subdi-
 vision 6 as amended and subdivision 7 as added by  chapter  506  of  the
 laws of 2009 and paragraph e of subdivision 6 as added by chapter 156 of
 the  laws of 2012, paragraph a as amended and paragraph f of subdivision
 6 as added by section 1 of part F of chapter 58 of the laws of 2020,  is
 amended to read as follows:
   § 2897. Disposal of public OR LOCAL authority property. 1. Supervision
 and  direction.  Except  as  otherwise  provided  in  this  section, the
 contracting officer designated by each public OR LOCAL  authority  shall
 have  supervision and direction over the disposition of property of such
 public OR LOCAL authority.
   2. Custody and control. A. The custody and control of the property  of
 a  public  authority,  pending its disposition, and the disposal of such
 property, shall be performed by the public authority in possession ther-
 eof or by the commissioner of general services when so authorized  under
 this section.
   B. THE CUSTODY AND CONTROL OF THE PROPERTY OF A LOCAL AUTHORITY, PEND-
 ING  ITS  DISPOSITION,  AND  THE  DISPOSAL  OF  SUCH  PROPERTY  SHALL BE
 PERFORMED BY THE LOCAL AUTHORITY IN POSSESSION THEREOF.
   3. Method of disposition.  Subject  to  section  twenty-eight  hundred
 ninety-six  of  this title, any public OR LOCAL authority may dispose of
 property for not less than the fair market value  of  such  property  by
 sale,  exchange,  or transfer, for cash, credit, or other property, with
 or without warranty, and upon such other terms  and  conditions  as  the
 contracting  officer deems proper, and it may execute such documents for
 the transfer of title or other interest in property and take such  other
 action as it deems necessary or proper to dispose of such property under
 the  provisions  of this section. Provided, however, that no disposition
 of real property, or any interest in real property, shall be made unless
 an appraisal of the value of such property has been made by an independ-
 ent appraiser and included  in  the  record  of  the  transaction,  and,
 provided  further,  that  no  disposition  of  any other property, which
 because of its unique nature or the unique circumstances of the proposed
 S. 2206                             5
 
 transaction is not readily valued by reference to an active  market  for
 similar property, shall be made without a similar appraisal.
   4.  Sales  by  the  commissioner of general services. When it shall be
 deemed advantageous to the state, any public authority may enter into an
 agreement with the commissioner of general  services  where  under  such
 commissioner  may  dispose  of  property  of such public authority under
 terms and conditions agreed to by the public authority and  the  commis-
 sioner  of  general  services.  In  disposing  of any such property of a
 public authority, the commissioner of general services shall be bound by
 the terms of this title and references to the contracting officer  shall
 be deemed to refer to such commissioner.
   5. Validity of deed, bill of sale, lease, or other instrument. A deed,
 bill of sale, lease, or other instrument executed by or on behalf of any
 public  OR  LOCAL  authority,  purporting to transfer title or any other
 interest in property of a public OR LOCAL  authority  under  this  title
 shall  be  conclusive evidence of compliance with the provisions of this
 title insofar as concerns title or other interest of any bona fide gran-
 tee or transferee who has given valuable consideration for such title or
 other interest and has not received actual  or  constructive  notice  of
 lack of such compliance prior to the closing.
   6. Bids for disposal; advertising; procedure; disposal by negotiation;
 explanatory  statement.    a. All disposals or contracts for disposal of
 property of a public OR  LOCAL  authority  made  or  authorized  by  the
 contracting  officer  shall  be made after publicly advertising for bids
 except as provided in paragraphs c and f of this subdivision.
   b. Whenever public advertising for bids is required under paragraph  a
 of this subdivision:
   (i) the advertisement for bids shall be made at such time prior to the
 disposal or contract, through such methods, and on such terms and condi-
 tions  as  shall  permit  full  and free competition consistent with the
 value and nature of the property;
   (ii) all bids shall be publicly disclosed at the time and place stated
 in the advertisement; and
   (iii) the award shall be made with reasonable promptness by notice  to
 the responsible bidder whose bid, conforming to the invitation for bids,
 will  be most advantageous to the state OR THE LOCALITY, price and other
 factors considered; provided, that all bids may be rejected when  it  is
 in the public interest to do so.
   c.  Disposals and contracts for disposal of property may be negotiated
 or made by public auction without regard to paragraphs a and b  of  this
 subdivision  but  subject  to  obtaining such competition as is feasible
 under the circumstances, if:
   (i) the personal property involved has  qualities  separate  from  the
 utilitarian purpose of such property, such as artistic quality, antiqui-
 ty, historical significance, rarity, or other quality of similar effect,
 that would tend to increase its value, or if the personal property is to
 be sold in such quantity that, if it were disposed of under paragraphs a
 and  b  of  this  subdivision, would adversely affect the state or local
 market for such property, and the estimated fair market  value  of  such
 property  and  other  satisfactory  terms of disposal can be obtained by
 negotiation;
   (ii) the fair market value of the property  does  not  exceed  fifteen
 thousand dollars;
   (iii) bid prices after advertising therefor are not reasonable, either
 as  to  all or some part of the property, or have not been independently
 arrived at in open competition;
 S. 2206                             6
 
   (iv) the disposal will be to the state or any  political  subdivision,
 and  the estimated fair market value of the property and other satisfac-
 tory terms of disposal are obtained by negotiation; or
   (v)  under  those circumstances permitted by subdivision seven of this
 section; or
   (vi) such action is otherwise authorized by law.
   d. (i) An explanatory statement shall be prepared of the circumstances
 of each disposal by negotiation of:
   (A) any personal property which has an estimated fair market value  in
 excess of fifteen thousand dollars;
   (B)  any  real  property  that  has  an estimated fair market value in
 excess of one hundred thousand dollars, except that  any  real  property
 disposed  of  by  lease or exchange shall only be subject to clauses (C)
 and (D) of this subparagraph;
   (C) any real property disposed of by lease, if  the  estimated  annual
 rent  over  the  term  of  the  lease  is  in excess of fifteen thousand
 dollars;
   (D) any real property or real and related personal  property  disposed
 of  by  exchange,  regardless  of value, or any property any part of the
 consideration for which is real property.
   (ii) Each such statement shall be transmitted to the persons  entitled
 to  receive  copies  of  the  report required under section twenty-eight
 hundred ninety-six of this title not less than ninety days in advance of
 such disposal, and a copy thereof shall be preserved in the files of the
 public authority making such disposal.
   e. Disposals and contracts for disposal of real property by the  canal
 corporation  may  be  made by negotiated sale rather than public auction
 provided that all of the following conditions have been satisfied:
   (i) The canal corporation has determined that: such real  property  is
 no  longer necessary or useful to the purposes of the canal corporation;
 disposal of such real property complies with all  applicable  provisions
 of  the  canal  law;  and  disposal of such real property is in the best
 interest of the canal corporation;
   (ii) An appraisal of the fair market value of such property  has  been
 made by an independent appraiser and included in the record of the tran-
 saction;
   (iii)  The  fair  market  value  of such real property is greater than
 fifteen thousand dollars but  not  greater  than  seventy-five  thousand
 dollars;
   (iv)  Such  real  property was improved prior to April first, nineteen
 hundred ninety-two under a municipal permit or a permit issued  pursuant
 to  section  one hundred of the canal law, thereby creating an encroach-
 ment on canal corporation real property;
   (v) The purchaser of such real property is, or will be, the  owner  of
 the  improvement  that  either  fully  or  partially encroaches on canal
 corporation real property; and
   (vi) The consideration paid for such real property will  be  not  less
 than  the fair market value of the real property exclusive of the value,
 fair market or otherwise, of the encroaching improvements.
   f. Notwithstanding anything to the contrary in this section, disposals
 for use of the thruway authority's fiber optic system, or any part ther-
 eof, may be made through agreements based on set  fees  that  shall  not
 require public auction, provided that:
   [i.]  (I)  the  thruway  authority has determined the disposal of such
 property complies with all applicable provisions of this chapter;
 S. 2206                             7
 
   [ii.] (II) the thruway authority has determined that disposal of  such
 property is in the best interest of the thruway authority;
   [iii.] (III) the set fees established by the thruway authority for use
 of  the  fiber optic system, or part thereof, shall be based on an inde-
 pendent appraisal of the fair market value of the property; and
   [iv.] (IV) any public authority, state agency, municipality,  not-for-
 profit  hospital  organized under section forty-three hundred one of the
 insurance law,  public  library,  or  institution  of  higher  education
 located  in New York state shall be required only to pay the actual cost
 of providing for use of the fiber optic system, but  not  exceeding  the
 fair  market  value  determined  pursuant  to subparagraph (iii) of this
 paragraph. For purposes of  this  paragraph,  "public  authority"  shall
 refer  to entities defined in section two of the public authorities law.
 For purposes of this paragraph, "institution of higher education"  shall
 refer  to  entities  as defined in subdivisions two and three of section
 six hundred one of the education law.
   Disposals of the fiber optic system,  or  any  part  thereof,  through
 agreements  based  on  set fees shall not require the explanatory state-
 ments required by this section. Any disposal of property,  contract  for
 disposal  of property or agreement made pursuant to this paragraph shall
 not be deemed valid and enforceable unless  it  shall  first  have  been
 approved by both the comptroller and the attorney general.
   7.  Disposal  of property for less than fair market value. a. No asset
 owned, leased or otherwise in the control of a public OR LOCAL authority
 may be sold, leased, or otherwise  alienated  for  less  than  its  fair
 market value except if:
   (i)  the  transferee  is  a government or other public entity, and the
 terms and conditions of the transfer require that the ownership and  use
 of the asset will remain with the government or any other public entity;
   (ii)  the  purpose  of  the transfer is within the purpose, mission or
 governing statute of the public OR LOCAL authority; or
   (iii) in the event a public OR LOCAL authority seeks  to  transfer  an
 asset  for  less than its fair market value to other than a governmental
 entity, which disposal would not  be  consistent  with  the  authority's
 mission,  purpose  or  governing  statutes, such authority shall provide
 written notification thereof to the governor, the speaker of the  assem-
 bly, and the temporary president of the senate, and such proposed trans-
 fer  shall  be  subject  to  denial  by the governor, the senate, or the
 assembly.   Denial by the governor shall  take  the  form  of  a  signed
 certification by the governor. Denial by either house of the legislature
 shall take the form of a resolution by such house. The governor and each
 house of the legislature shall take any such action within sixty days of
 receiving  notification  of  such proposed transfer during the months of
 January through June, provided that if the legislature receives  notifi-
 cation  of  a proposed transfer during the months of July through Decem-
 ber, the legislature may take any such action within sixty days of Janu-
 ary first of the following year. If no such resolution or  certification
 is  performed  within  sixty  days  of such notification of the proposed
 transfer to the governor, senate, and assembly, the public authority may
 effectuate such transfer. Provided, however,  that  with  respect  to  a
 below  market  transfer  by  a  local  authority  that is not within the
 purpose, mission or governing statute of the  local  authority,  if  the
 governing  statute  provides  for  the  approval of such transfer by the
 executive and legislative branches of the political subdivision in which
 such local authority resides, and the transfer is of  property  obtained
 S. 2206                             8
 
 by  the  authority  from  that political subdivision, then such approval
 shall be sufficient to permit the transfer.
   b.  In the event a below fair market value asset transfer is proposed,
 the following information must be provided to the  authority  board  and
 the public:
   (i) a full description of the asset;
   (ii)  an appraisal of the fair market value of the asset and any other
 information establishing the fair market value sought by the board;
   (iii) a description of the purpose of the transfer, and  a  reasonable
 statement  of the kind and amount of the benefit to the public resulting
 from the transfer, including  but  not  limited  to  the  kind,  number,
 location,  wages or salaries of jobs created or preserved as required by
 the transfer, the benefits, if any, to  the  communities  in  which  the
 asset is situated as are required by the transfer;
   (iv)  a  statement  of  the  value to be received compared to the fair
 market value;
   (v) the names of any private parties participating  in  the  transfer,
 and  if  different  than  the statement required by subparagraph (iv) of
 this paragraph, a statement of the value to the private party; and
   (vi) the names of other private parties who have  made  an  offer  for
 such  asset,  the value offered, and the purpose for which the asset was
 sought to be used.
   c. Before approving the disposal of any property for  less  than  fair
 market  value,  the board of an authority shall consider the information
 described in paragraph b of this subdivision and make a written determi-
 nation that there is no reasonable alternative to  the  proposed  below-
 market transfer that would achieve the same purpose of such transfer.
   §  6.  Section 51 of the executive law, as added by chapter 766 of the
 laws of 2005, is amended to read as follows:
   § 51. Jurisdiction. This article shall,  subject  to  the  limitations
 contained herein, confer upon the office of the state inspector general,
 jurisdiction over all covered agencies. For the purposes of this article
 "covered  agency"  shall  include all executive branch agencies, depart-
 ments, divisions, officers, boards and  commissions,  public  AND  LOCAL
 authorities,  AS  DEFINED  IN  SECTION TWO OF THE PUBLIC AUTHORITIES LAW
 (other than multi-state or multi-national authorities), and public bene-
 fit corporations, the heads of which are appointed by the  governor  and
 which  do  not  have their own inspector general by statute.  Wherever a
 covered agency is a board, commission,  a  public  authority  or  public
 benefit corporation, the head of the agency is the chairperson thereof.
   §  7. Subdivision 3 of section 86 of the public officers law, as added
 by chapter 933 of the laws of 1977, is amended to read as follows:
   3. "Agency" means any state or municipal  department,  board,  bureau,
 division,  commission,  committee, public OR LOCAL authority (AS DEFINED
 IN SECTION TWO OF THE PUBLIC AUTHORITIES LAW), public corporation, coun-
 cil, office or other governmental entity performing  a  governmental  or
 proprietary  function  for  the  state or any one or more municipalities
 thereof, except the judiciary or the state legislature.
   § 8. Subdivision 2 of section 102  of  the  public  officers  law,  as
 amended  by  chapter  115  of  the  laws  of 2022, is amended to read as
 follows:
   2. "Public body" means any entity, for which a quorum is  required  in
 order  to  conduct  public  business  and  which consists of two or more
 members, performing a governmental function for  the  state  or  for  an
 agency  or department thereof, or for a public corporation as defined in
 section sixty-six of the general construction law, OR A LOCAL  AUTHORITY
 S. 2206                             9
 
 AS DEFINED BY SECTION TWO OF THE PUBLIC AUTHORITIES LAW, or committee or
 subcommittee or other similar body consisting of members of such  public
 body,  or an entity created or appointed to perform a necessary function
 in  the  decision-making process for which a quorum is required in order
 to conduct public business and which consists of two or more members.  A
 necessary  function in the decision-making process shall not include the
 provision of recommendations or guidance which is  purely  advisory  and
 which  does not require further action by the state or agency or depart-
 ment thereof or public corporation as defined in  section  sixty-six  of
 the general construction law.
   § 9. This act shall take effect on the one hundred twentieth day after
 it  shall have become a law. Effective immediately, the addition, amend-
 ment and/or repeal of any rule or regulation necessary for the implemen-
 tation of this act on its effective date are authorized to be  made  and
 completed on or before such effective date.