§ 2326. Tax exemptions. 1. It is hereby determined that the creation
of the authority and the carrying out of its corporate purposes is in
all respects for the benefit of the people of the city and its environs,
and is a public purpose, and the authority shall be regarded as
performing a governmental function in the exercise of the powers
conferred upon it by this title and shall be required to pay no taxes or
assessments upon any of the property acquired by it or under its
jurisdiction or control or supervision or upon its activities. Provided,
however, if the authority is located within a transportation district
referenced in paragraph (a) of subdivision two of section two hundred
fifty-three of the tax law, it shall not be exempt from the additional
tax on each mortgage of real property situated within the state imposed
by such paragraph.

2. Any bonds or notes issued pursuant to this title, together with the
income therefrom, as well as the property of the authority, shall be
exempt from taxation, except for transfer and estate taxes.

3. Agents of the authority and project operators shall annually file a
statement with the department of taxation and finance, on a form and in
such a manner as is prescribed by the commissioner of taxation and
finance, of the value of all sales and use tax exemptions claimed by
such agents or agents of such agents or project operators, including,
but not limited to, consultants or subcontractors of such agents or
project operators, under the authority granted pursuant to this section.
The penalty for failure to file such statement shall be the removal of
the authority to act as an agent of the authority or as a project
operator.

4. (a) Within thirty days of the date that the authority designates a
project operator or other person to act as agent of the authority for
purposes of providing financial assistance consisting of any sales and
compensating use tax exemption to such person, the agency shall file a
statement with the department of taxation and finance relating thereto,
on a form and in such manner as is prescribed by the commissioner of
taxation and finance, identifying each such agent so named by the
authority, setting forth the taxpayer identification number of each such
agent, giving a brief description of the property and/or services
intended to be exempted from such taxes as a result of such appointment
as agent, indicating the authority's rough estimate of the value of the
property and/or services to which such appointment as agent relates,
indicating the date when such designation as agent became effective and
indicating the date upon which such designation as agent shall cease.

(b) Within thirty days of the date that the authority's designation
described in paragraph (a) of this subdivision has been amended,
terminated, been revoked, or become invalid or ineffective for any
reason, the authority shall file a statement with the department of
taxation and finance relating thereto, on a form and in such manner as
is prescribed by the commissioner of taxation and finance, identifying
each such agent so named by the authority in the original designation
and setting forth the taxpayer identification number and other
identifying information of each such agent, the date as of which the
original designation was amended, terminated, revoked, or became invalid
or ineffective and the reason therefor, together with a copy of the
original designation.