S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6088
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 26, 2025
                                ___________
 
 Introduced  by M. of A. RA -- read once and referred to the Committee on
   Corporations, Authorities and Commissions
 
 AN ACT to amend the public authorities law, in relation to requiring  an
   independent forensic audit of the metropolitan commuter transportation
   authority;  and providing for the repeal of such provisions upon expi-
   ration thereof

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The  public  authorities  law  is amended by adding a new
 section 1265-c to read as follows:
   § 1265-C. INDEPENDENT FORENSIC AUDIT.  1.  NOTWITHSTANDING  ANY  OTHER
 PROVISION  OF  LAW,  THE AUTHORITY SHALL CONTRACT WITH A CERTIFIED INDE-
 PENDENT PUBLIC ACCOUNTING FIRM FOR  THE  PROVISION  OF  AN  INDEPENDENT,
 COMPREHENSIVE,  FORENSIC  AUDIT  OF  THE  AUTHORITY. SUCH AUDIT SHALL BE
 PERFORMED IN ACCORDANCE  WITH  GENERALLY  ACCEPTED  GOVERNMENT  AUDITING
 STANDARDS.  SUCH  AUDIT  SHALL EXAMINE REDUNDANCIES, INEFFICIENCIES, AND
 THE AUTHORITY'S GOVERNANCE SYSTEM.
   2. THE CERTIFIED INDEPENDENT PUBLIC  ACCOUNTING  FIRM  PROVIDING  SUCH
 AUDIT SERVICES PURSUANT TO THIS SECTION SHALL BE PROHIBITED FROM PROVID-
 ING  AUDIT  SERVICES  IF  THE  LEAD OR COORDINATING AUDIT PARTNER HAVING
 PRIMARY RESPONSIBILITY FOR THE AUDIT, OR THE AUDIT  PARTNER  RESPONSIBLE
 FOR  REVIEWING THE AUDIT, HAS PERFORMED AUDIT SERVICES FOR THE AUTHORITY
 WITHIN ANY OF THE TEN PREVIOUS FISCAL YEARS OF THE AUTHORITY.
   3. THE CERTIFIED INDEPENDENT PUBLIC  ACCOUNTING  FIRM  PROVIDING  SUCH
 AUDIT  SERVICES  PURSUANT  TO  THIS  SECTION  SHALL  BE  PROHIBITED FROM
 PERFORMING ANY NON-AUDIT SERVICES FOR  THE  AUTHORITY  CONTEMPORANEOUSLY
 WITH RESPECT TO SUCH AUDIT SERVICES.
   4.  IT  SHALL  BE  PROHIBITED  FOR  THE  CERTIFIED  INDEPENDENT PUBLIC
 ACCOUNTING FIRM TO PERFORM FOR THE AUTHORITY ANY AUDIT SERVICES IF:
   (A) THE CHIEF EXECUTIVE OFFICER, COMPTROLLER, CHIEF FINANCIAL OFFICER,
 CHIEF ACCOUNTING OFFICER OR ANY OTHER PERSON SERVING  IN  AN  EQUIVALENT
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD05947-02-5
              

 A. 6088                             2
 
 POSITION  IN  THE  AUTHORITY  WAS AN EMPLOYEE, CONSULTANT OR INDEPENDENT
 CONTRACTOR OF SUCH CERTIFIED INDEPENDENT PUBLIC ACCOUNTING  FIRM  AND/OR
 PARTICIPATED  IN ANY CAPACITY IN THE AUDIT OF THE AUTHORITY AT ANY TIME;
 OR
   (B) THE CHIEF EXECUTIVE OFFICER, COMPTROLLER, CHIEF FINANCIAL OFFICER,
 CHIEF  ACCOUNTING  OFFICER  OR ANY OTHER PERSON SERVING IN AN EQUIVALENT
 POSITION WITH SUCH CERTIFIED  INDEPENDENT  PUBLIC  ACCOUNTING  FIRM  WAS
 EMPLOYED  AS  AN EXECUTIVE LEVEL EMPLOYEE OR AN EQUIVALENT POSITION WITH
 THE AUTHORITY AT ANY TIME.
   5. THE CERTIFIED INDEPENDENT  PUBLIC  ACCOUNTING  FIRM  CONTRACTED  TO
 PERFORM  THE INDEPENDENT, COMPREHENSIVE, FORENSIC AUDIT OF THE AUTHORITY
 PURSUANT TO THIS SECTION SHALL, WITHIN TWO YEARS FROM THE EFFECTIVE DATE
 OF THIS SECTION, REPORT ITS FINDINGS, CONCLUSIONS AND RECOMMENDATIONS TO
 THE GOVERNOR, THE STATE COMPTROLLER,  THE  TEMPORARY  PRESIDENT  OF  THE
 SENATE,  THE  SPEAKER  OF  THE  ASSEMBLY, THE CHAIR AND RANKING MINORITY
 MEMBER OF THE SENATE FINANCE COMMITTEE, THE CHAIR AND  RANKING  MINORITY
 MEMBER  OF THE ASSEMBLY WAYS AND MEANS COMMITTEE, THE CHAIRS AND RANKING
 MINORITY MEMBERS OF THE SENATE AND  ASSEMBLY  CORPORATIONS,  AUTHORITIES
 AND  COMMISSIONS COMMITTEES, AND THE CHAIRS AND RANKING MINORITY MEMBERS
 OF THE SENATE AND ASSEMBLY TRANSPORTATION COMMITTEES. SUCH REPORT  SHALL
 INCLUDE,  BUT  NOT  BE  LIMITED  TO,  THE  CERTIFIED  INDEPENDENT PUBLIC
 ACCOUNTING FIRM'S ANALYSIS OF REDUNDANCIES AND INEFFICIENCIES WITHIN THE
 AUTHORITY, SUGGESTIONS TO REDUCE SUCH REDUNDANCIES  AND  INEFFICIENCIES,
 AND  RECOMMENDATIONS  FOR  ALTERNATIVE  GOVERNANCE STRUCTURES WITHIN THE
 AUTHORITY. SUCH REPORT SHALL BE MADE PUBLIC AND POSTED ON  THE  AUTHORI-
 TY'S WEBSITE.
   6.  THE  CERTIFIED INDEPENDENT PUBLIC ACCOUNTING FIRM SHALL DEVELOP NO
 MORE THAN SIX GOVERNANCE ACTION PLAN PROPOSALS  FOR  ALTERNATIVE  GOVER-
 NANCE  SYSTEMS  WHICH  SHALL BE ADOPTED BY THE AUTHORITY. SUCH PROPOSALS
 SHALL BE DEVELOPED CONGRUENTLY WITH, AND INCLUDED  IN,  THE  INDEPENDENT
 FORENSIC  AUDIT  REPORT.  SUCH  PROPOSALS  SHALL INCLUDE SUGGESTIONS AND
 RECOMMENDATIONS FOR THE IMPLEMENTATION OF  ALTERNATE  GOVERNANCE  STRUC-
 TURES  BASED  UPON  THE  RECOMMENDATIONS AND SUGGESTIONS INCLUDED WITHIN
 SUCH REPORT REQUIRED PURSUANT  TO  SUBDIVISION  FIVE  OF  THIS  SECTION,
 INCLUDING, BUT NOT LIMITED TO, COMPREHENSIVE COST SAVINGS AND EFFICIENCY
 IMPROVEMENT  MEASURES.  THE CERTIFIED INDEPENDENT PUBLIC ACCOUNTING FIRM
 SHALL DEVELOP THE GOVERNANCE ACTION PLAN PROPOSALS CONGRUENTLY WITH  THE
 PUBLICATION OF THE COMPREHENSIVE FORENSIC AUDIT REPORT, AND THE AUTHORI-
 TY  SHALL  ADOPT AND IMPLEMENT ONE OR MORE OF THE GOVERNANCE ACTION PLAN
 PROPOSALS DEVELOPED BY THE CERTIFIED INDEPENDENT PUBLIC ACCOUNTING  FIRM
 WITHIN ONE YEAR OF THE PUBLICATION OF THE FORENSIC AUDIT REPORT.
   §  2.  This  act shall take effect immediately and shall expire and be
 deemed repealed two years after such date.