A 7281: Establishes the city of Buffalo parking authority; provides for its powers, duties and obligations.

  
  STATE OF NEW YORK ________________________________________________________________________ 7281 2025-2026 Regular Sessions  IN ASSEMBLY March 24, 2025 ___________ Introduced by M. of A. PEOPLES-STOKES -- read once and referred to the Committee on Corporations, Authorities and Commissions AN ACT to amend the public authorities law, in relation to establishing the city of Buffalo parking authority The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Article 7 of the public authorities law is amended by 2 adding a new title 5 to read as follows: 3 TITLE 5 4 CITY OF BUFFALO PARKING AUTHORITY 5 Section 1500-a. Short title. 6 1500-b. Definitions. 7 1500-c. City of Buffalo parking authority. 8 1500-d. Purpose and powers of the authority. 9 1500-e. Conveyance of property by the city to the authority; 10 acquisition of property by the city or by the authori- 11 ty. 12 1500-f. Construction and purchase contracts. 13 1500-g. Contract for employees. 14 1500-h. Moneys of the authority. 15 1500-i. Bonds of the authority. 16 1500-j. Notes of the authority. 17 1500-k. Agreements of New York state. 18 1500-l. State and city not liable on bonds. 19 1500-m. Bonds legal investments for public officers. 20 1500-n. Tax exemptions. 21 1500-o. Tax contract by the state. 22 1500-p. Remedies of bondholders. 23 1500-q. Actions against the authority. 24 1500-r. Defense and indemnification. 25 1500-s. Code of ethics. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD10468-02-5 
 A. 7281 2 1 1500-t. Contracting for municipal services. 2 1500-u. Termination of authority. 3 1500-v. Title not affected if in part unconstitutional or inef- 4 fective. 5 1500-w. Inconsistent provisions in other acts superseded. 6 § 1500-a. Short title. This title shall be known and may be cited as 7 the "city of Buffalo parking authority act". 8 § 1500-b. Definitions. As used or referred to in this title, unless a 9 different meaning clearly appears from the context: 10 1. The term "authority" shall mean the corporation created by section 11 fifteen hundred-c of this title; 12 2. The term "city" shall mean the city of Buffalo; 13 3. The term "bonds" shall mean the bonds authorized in this title; 14 4. The term "board" shall mean the members of the authority; 15 5. The term "real property" shall mean lands, structures, franchises, 16 and interest in lands, and any and all things usually included within 17 the said term, and includes not only fees simple absolute but also any 18 and all lesser interest, such as easements, rights of way, uses, leases, 19 licenses, and all other incorporeal hereditaments and every estate, 20 interest or right, legal or equitable, including terms of years, and 21 liens thereon by way of judgments, mortgages or otherwise, and also 22 claims for damage to real estate, in the area of the city; 23 6. The term "project" shall mean any area or place operated or to be 24 operated by the authority for the parking or storing of motor and other 25 vehicles or any area or place which use is supported by the authority's 26 parking or storing of such vehicles and shall, without limiting the 27 foregoing, include all real and personal property, driveways, roads, 28 approaches, structures, terminals of all kinds, garages, meters, mechan- 29 ical equipment, and all appurtenances and facilities proximate to, on, 30 above or under the ground which are used or usable in connection with 31 such parking or storing of such vehicles in the area of the city or 32 which facilitates increased supply or demand for parking; 33 7. The term "projects" shall mean more than one project or public 34 parking structure. 35 § 1500-c. City of Buffalo parking authority. A board to be known as 36 the "city of Buffalo parking authority" is hereby created. Such board 37 shall be a body corporate and politic, constituting a public benefit 38 corporation, and its existence shall commence upon the appointment of 39 the members as herein provided. It shall consist of a chair and four 40 other members, who shall be appointed by the mayor of the city of 41 Buffalo, with the advice and consent of the city of Buffalo common coun- 42 cil. The members shall serve at the pleasure of the mayor. Of the 43 members first appointed, one shall be appointed for a period of one 44 year, one for a period of two years, one for a period of three years, 45 one for a period of four years, and one for a period of five years. At 46 the expiration of such terms, the terms of office of their successors 47 shall be five years. Each member shall continue to serve until the 48 appointment and qualification of a successor. Vacancies in such board 49 occurring otherwise than by the expiration of term shall be filled for 50 the unexpired term. The members of the board shall choose from their 51 number a vice-chair. The members of the board shall be compensated at 52 the rate of twenty-five hundred dollars per annum each for a full year's 53 service, and the chair of the board shall be compensated at the rate of 54 thirty-five hundred dollars per annum for a full year's service. In 55 addition thereto, members shall be entitled to reimbursement for any 56 actual and necessary expenses incurred in the performance of such 
 A. 7281 3 1 member's official duties. The powers of the authority shall be vested 2 in and exercised by a majority of the members of the board. Such board 3 may delegate to one or more of its members or to its officers, agents 4 and employees such powers and duties as it may deem proper. 5 § 1500-d. Purpose and powers of the authority. The purpose of the 6 authority shall be to construct, operate and maintain one or more city 7 public parking projects in the city. To carry out said purpose, the 8 authority shall have power: 9 1. To sue and be sued; 10 2. To have a seal and alter the same at pleasure; 11 3. To acquire, hold and dispose of personal property for its corporate 12 purposes, including the power to purchase prospective or tentative 13 awards in connection with the condemnation of real property; 14 4. To acquire in the name of the city by purchase or condemnation and 15 use necessary real property. All real property acquired by the authority 16 by condemnation shall be acquired in the manner provided in the eminent 17 domain procedure law or in the manner provided by law for the condemna- 18 tion of land by the city; 19 5. To make by-laws for the management and regulation of its affairs, 20 and, subject to agreements with bondholders, for the regulation of the 21 project; 22 6. With the consent of the city, to use agents, employees and facili- 23 ties of the city, paying to the city its agreed proportion of the 24 compensation or costs; 25 7. To appoint officers, agents and employees, to prescribe their qual- 26 ifications and to fix their compensation; subject, however, to the 27 provisions of the civil service law, as hereinafter provided; 28 8. To appoint an attorney, who may be the corporation counsel of the 29 city, and to fix such attorney's compensation; 30 9. To make contracts and leases, and to execute all instruments neces- 31 sary or convenient; 32 10. To construct such buildings, structures and facilities as may be 33 necessary; 34 11. To reconstruct, improve, maintain and operate the projects; 35 12. To accept grants, loans or contributions from the United States, 36 the state of New York, or any agency or instrumentality of either of 37 them, or the city, or an individual, by bequest or otherwise, and to 38 expend the proceeds for any purposes of the authority; 39 13. To fix and collect rentals, fees and other charges for the use of 40 the projects or any of them subject to and in accordance with such 41 agreements with bondholders as may be made as hereinafter provided; 42 14. To construct, operate or maintain in the projects all facilities 43 necessary or convenient in connection therewith; and to contract for the 44 construction, operation or maintenance of any parts thereof or for 45 services to be performed; to rent parts thereof, and grant concessions, 46 all on such terms and conditions as it may determine; provided however, 47 that neither the authority, the city or any agency of the authority or 48 city, or any other person, firm or corporation shall, within or on any 49 property comprising a part of any project authorized by this title, 50 sell, dispense or otherwise handle any product used in or for the 51 servicing of any motor vehicle using any project or facility authorized 52 by this title, and provided further that the location of sites of the 53 projects shall be subject to the prior approval of the planning board 54 and common council of the city. 
 A. 7281 4 1 15. To do all things necessary, convenient or desirable, including 2 ancillary and incidental activities, to carry out its purposes and for 3 the exercise of the powers granted in this title. 4 § 1500-e. Conveyance of property by the city to the authority; acqui- 5 sition of property by the city or by the authority. 1. The city may, by 6 resolution or resolutions of the common council or by instruments 7 authorized by such resolutions, convey, with or without consideration, 8 and upon appropriate conditions as to outstanding city bonds appertain- 9 ing thereto, to the authority real and personal property owned by the 10 city for use by the authority as a project or projects or a part there- 11 of. In case of real property so conveyed, the title thereto shall remain 12 in the city but the authority shall have the use and occupancy thereof 13 for so long as its corporate existence shall continue. In the case of 14 personal property so conveyed, the title shall pass to the authority. 15 2. The city may acquire in the name of the city by purchase or condem- 16 nation real property in the city for any of the projects or for the 17 widening of existing roads, streets, avenues or highways, or for new 18 roads, streets, avenues or highways within a radius of one mile to any 19 of the projects, or partly for such purposes and partly for other city 20 purposes, by purchase or condemnation in the manner provided by law for 21 the acquisition of real property by the city. For like purposes, the 22 city may close such streets, roads, avenues, or highways as may be 23 necessary or convenient, except as to state highways and arterial ways 24 which may not be closed without the consent of the New York state 25 commissioner of transportation. 26 3. Contracts may be entered into between the city and the authority 27 providing for the property to be conveyed by the city to the authority, 28 the additional property to be acquired by the city and so conveyed, the 29 streets, roads, avenues, and highways to be closed by the city and the 30 amounts, terms and conditions of payment to be made by the authority. 31 Such contracts may also contain covenants by the city as to the road, 32 street, avenue and highway improvements to be made by the city. Any such 33 contracts between the city and the authority may be pledged by the 34 authority to secure its bonds and may not be modified thereafter except 35 as provided by the terms of the pledge. The common council may authorize 36 such contracts between the city and the authority and no other authori- 37 zation on the part of the city for such contracts shall be necessary. 38 Any such contracts may be so authorized and entered into by the city and 39 in such manner as the common council may determine, and the payments 40 required to be made by the city may be made and financed notwithstanding 41 that no provisions therefor shall have first been made in the annual 42 appropriations of the city. All contractual or other obligations of the 43 city incurred in carrying out the provisions of this title shall be 44 included in and provided for by each annual appropriation of the city 45 thereafter made, if and to the extent that they may appropriately be 46 included therein. 47 4. The authority may, subject to the approval of the common council of 48 the city, itself acquire real property for a project in the name of the 49 city at the cost and expense of the authority by gift, purchase, or 50 condemnation pursuant to the eminent domain procedure law or pursuant to 51 the laws relating to the condemnation of land by the city. The authori- 52 ty shall have the use and occupancy of such real property so long as its 53 corporate existence shall continue. 54 5. In case the authority shall have the use and occupancy of any real 55 property which it shall determine is no longer required for a project 56 then, if such property was acquired at the cost and expense of the city, 
 A. 7281 5 1 the authority shall have the power to surrender its use and occupancy 2 thereof to the city, or, if such real property was acquired at the cost 3 and expense of the authority, then the authority shall have the power to 4 sell, lease or otherwise dispose of said real property at public or 5 private sale, and shall retain and have the power to use the proceeds of 6 sale, rentals, or other moneys derived from the disposition thereof for 7 its purposes. 8 § 1500-f. Construction and purchase contracts. The authority shall let 9 contracts for construction in the same manner, so far as practicable, as 10 is provided by law for contracts of the city. Nothing in this section 11 shall be construed to limit the power of the authority to do any 12 construction directly by the officers, agents and employees of the 13 authority. Contracts for the purchase of supplies, material and equip- 14 ment shall be let in the same manner as is provided by law for contracts 15 of the city. 16 § 1500-g. Contract for employees. 1. The authority is hereby author- 17 ized to enter into contracts under which such contractor would provide 18 employees to the authority for the purpose of operation and maintenance 19 of the projects of the authority. The authority shall not begin opera- 20 tion of any project until such a contract shall be in force. Such 21 contract shall provide that all employees engaged in the operation and 22 maintenance of any authority project shall be employees of the contrac- 23 tor and not employees of the authority. Such employees shall receive 24 their total compensation and any employee benefits directly from the 25 contractor for whom they are employed. Except for roles considered to be 26 management or confidential pursuant to article fourteen of the civil 27 service law, including the board of the authority, established by 28 section fifteen hundred-c of this title, the authority shall have no 29 employees other than the employees of the contractor pursuant to any 30 contract authorized by this section. 31 2. Every contract entered into under subdivision one of this section 32 shall require that the wages to be paid to any employees engaged in the 33 operation and maintenance of any authority project shall be not less 34 than wages that are comparable to those paid to employees doing similar 35 work in the city of Buffalo. 36 § 1500-h. Moneys of the authority. All moneys of the authority shall 37 be paid to the treasurer of the city as agent of the authority, who 38 shall not commingle such moneys with any other moneys. Such moneys shall 39 be deposited in a separate bank account or accounts. The money in such 40 accounts shall be paid out by the treasurer on requisition of the chair 41 of the authority or of such person or persons as the authority may 42 authorize to make such requisitions after audit by and upon the warrant 43 of the city comptroller. All deposits of such moneys shall, if required 44 by the treasurer or the authority, be secured by obligations of the 45 United States or the state of New York at a market value equal at all 46 times to the amount of the deposit, and all banks and trust companies 47 are authorized to give such security for such deposits. The treasurer 48 and a legally authorized representative of the treasurer are authorized 49 and empowered from time to time to examine the accounts and books of the 50 authority, including its receipts, disbursements, contracts, leases, 51 sinking funds, investments and any other records and papers relating to 52 its financial standing. The authority shall have power, notwithstanding 53 the provisions of this section, to contract with the holders of any of 54 its bonds as to the custody, collection, securing, investment and 55 payment of any moneys of the authority or any moneys held in trust or 56 otherwise for the payment of bonds or in any way to secure bonds, and to 
 A. 7281 6 1 carry out any such contract notwithstanding that such contract may be 2 inconsistent with the previous provisions of this section. Moneys held 3 in trust or otherwise for the payment of bonds or in any way to secure 4 bonds and deposits of such moneys may be acquired in the same manner as 5 moneys of the authority, and all banks and trust companies are author- 6 ized to give such security for such deposits. The account of the author- 7 ity shall be subject to the supervision of the New York state comp- 8 troller, and such comptroller or legally authorized representatives of 9 the comptroller are hereby authorized and empowered from time to time to 10 examine the accounts and books of the authority, including its receipts, 11 disbursements, contracts, sinking funds, investments and any other 12 matter relating to its financial standing and fiscal affairs. Within 13 ninety days after the end of each fiscal year, an annual financial and 14 management audit of the authority's performance and operations shall be 15 prepared by an independent certified public accountancy firm. Such firm 16 shall be chosen from an approved list of auditors prescribed by the city 17 comptroller, the expense of which shall be treated as an expense of the 18 authority. 19 § 1500-i. Bonds of the authority. 1. The authority shall have the 20 power and is hereby authorized from time to time to issue its negotiable 21 bonds for any purpose mentioned in section fifteen hundred-d of this 22 title, including the acquisition, construction, reconstruction and 23 repair of personal and real property of all kinds deemed by the board to 24 be necessary or desirable to carry out such purpose, as well as to pay 25 such expenses as may be deemed by the board necessary or desirable to 26 the financing thereof and placing the project or projects in operation 27 in the aggregate principal amount of not exceeding seventy-five million 28 dollars outstanding at any one time. The authority shall have power from 29 time to time and whenever it deems refunding expedient, to refund any 30 bonds by the issuance of new bonds, whether the bonds to be refunded 31 have or have not matured and may issue bonds partly to refund bonds then 32 outstanding and partly for any other purpose hereinabove described. The 33 refunding bonds may be exchanged for the bonds to be refunded, with such 34 cash adjustments as may be agreed, or may be sold and the proceeds 35 applied to the purchase or payment of the bonds to be refunded. In 36 computing the total amount of bonds of the authority which may at any 37 time be outstanding the amount of the outstanding bonds to be refunded 38 from the proceeds of the sale of new bonds or by exchange for new bonds 39 shall be excluded. Except as may otherwise be expressly provided by the 40 authority, the bonds of every issue shall be general obligations of the 41 authority payable out of any moneys or revenues of the authority, 42 subject only to any agreements with the holders of particular bonds 43 pledging any particular moneys or revenues. Notwithstanding the fact 44 that the bonds may be payable from a special fund, if they are otherwise 45 of such form and character as to be negotiable instruments under article 46 eight of the uniform commercial code the bonds shall be and are hereby 47 made negotiable instruments within the meaning of and for all the 48 purposes of article eight of the uniform commercial code, subject only 49 to the provisions of the bonds for registration. 50 2. The bonds shall be authorized by resolution of the board and shall 51 bear such date or dates, mature at such time or times, not exceeding 52 thirty years from their respective dates, bear interest at such rate or 53 rates as such resolution may provide, be in such denominations, be in 54 such form, either coupon or registered, carry such registration privi- 55 leges, be executed in such manner, be payable in lawful money of the 56 United States of America at such place or places and be subject to such 
 A. 7281 7 1 terms of redemption, as such resolution or resolutions may provide. The 2 bonds may be sold at public or private sale for such price or prices as 3 the authority shall determine provided, however, that any private sale 4 shall be subject to the approval of the state comptroller, where such 5 sale is not to the comptroller, or the New York state director of the 6 budget, where such sale is to the comptroller. 7 3. Any resolution or resolutions, authorizing any bonds or any issue 8 of bonds may contain provisions, which shall be a part of the contract 9 with the holders of the bonds thereby authorized, as to: 10 (a) pledging all or any part of the revenues of a project or projects 11 to secure the payment of the bonds, subject to such agreements with 12 bondholders as may then exist; 13 (b) the rentals, fees and other charges to be charged, and the amounts 14 to be raised in each year thereby, and the use and disposition of the 15 revenues; 16 (c) the setting aside of reserves or sinking funds, and the regulation 17 and disposition thereof; 18 (d) limitations on the right of the authority to restrict and regulate 19 the use of a project; 20 (e) limitations on the purpose to which the proceeds of sale of any 21 issue of bonds then or thereafter to be issued may be applied and pledg- 22 ing such proceeds to secure the payment of the bonds or of any issue of 23 the bonds; 24 (f) limitations on the issuance of additional bonds; the terms upon 25 which additional bonds may be issued and secured; the refunding of 26 outstanding or other bonds; 27 (g) the procedure, if any, by which the terms of any contract with 28 bondholders may be amended or abrogated, the amount of bonds the holders 29 of which must consent thereof, and the manner in which such consent may 30 be given; 31 (h) limitations on the amount of moneys derived from a project to be 32 expended for operating, administrative or other expenses of the authori- 33 ty; 34 (i) vesting in a trustee or trustees such property, rights, powers and 35 duties in trust as the authority may determine which may include any or 36 all the rights, powers and duties of the trustees appointed by the bond- 37 holders pursuant to section fifteen hundred-p of this title, and limit- 38 ing or abrogating the right of the bondholders to appoint a trustee 39 under such section or limiting the rights, duties and powers of such 40 trustee; 41 (j) any other matters of like or different character, which in any way 42 affect the security or protection of the bonds. 43 4. It is the intention hereof that any pledge of revenues or other 44 moneys made by the authority shall be valid and binding from the time 45 when the pledge is made; that the revenues or other moneys so pledged 46 and thereafter received by the authority shall immediately be subject to 47 the lien of such pledge without any physical delivery thereof or further 48 act; and that the lien of any such pledge shall be valid and binding as 49 against all parties having claims, of any kind in tort, contract or 50 otherwise against the authority irrespective of whether such parties 51 have notice thereof. Neither the resolution nor any other instrument by 52 which a pledge is created need be recorded. 53 5. Neither the members of the authority nor any person executing the 54 bonds shall be liable personally on the bonds or be subject to any 55 personal liability or accountability by reason of the issuance thereof. 
 A. 7281 8 1 6. The authority shall have power out of any funds available therefor 2 to purchase bonds. The authority may hold, cancel or resell such bonds, 3 subject to and in accordance with agreements with bondholders. 4 7. In the discretion of the authority, the bonds may be secured by a 5 trust indenture by and between the authority and a corporate trustee, 6 which may be any trust company or bank having the powers of a trust 7 company in the state of New York. Such trust indenture may contain such 8 provisions for protecting and enforcing the rights and remedies of the 9 bondholders as may be reasonable and proper and not in violation of law, 10 including covenants setting forth the duties of the authority in 11 relation to the construction, maintenance, operation, repair and insur- 12 ance of the project or projects and the custody, safeguarding and appli- 13 cation of all moneys, and may provide that the project or projects shall 14 be constructed and paid for under the supervision and approval of 15 consulting engineers. Notwithstanding the provisions of section fifteen 16 hundred-h of this title, the authority may provide by such trust inden- 17 ture for the payment of the proceeds of the bonds and the revenues of 18 the project or projects to the trustee under such trust indenture or 19 other depository, and for the method of disbursement thereof, with such 20 safeguards and restrictions as it may determine. All expenses incurred 21 in carrying out such trust indenture may be treated as a part of the 22 cost of maintenance, operation, and repairs of the project or projects. 23 If the bonds shall be secured by a trust indenture, the bondholders 24 shall have no authority to appoint a separate trustee to represent them, 25 and the trustee under such trust indenture shall have and possess all of 26 the powers which are conferred by section fifteen hundred-p of this 27 title upon a trustee appointed by bondholders. 28 § 1500-j. Notes of the authority. The authority shall have power from 29 time to time to issue notes and from time to time to issue renewal 30 notes, herein referred to as notes, maturing not later than five years 31 from their respective original dates in an amount not exceeding at any 32 time five million dollars, over and above the amount of bonds authorized 33 by subdivision one of section fifteen hundred-i of this title, for any 34 purpose or purposes for which bonds may be issued, whenever the authori- 35 ty shall determine that payment thereof can be made in full from any 36 moneys or revenues which the authority expects to receive from any 37 source. Such notes may, among other things, be issued to provide funds 38 to pay preliminary costs of surveys, plans or other matters relating to 39 any proposed project. The authority may pledge such moneys or revenues, 40 subject to any other pledge thereof, for the payment of the notes and 41 may in addition secure the notes in the same manner and with the same 42 effect as herein provided for bonds. The notes shall be issued in the 43 same manner as bonds. The authority shall have power to make contracts 44 for the future sale from time to time of the notes, by which the 45 purchasers shall be committed to purchase the notes from time to time on 46 terms and conditions stated in such contracts, and the authority shall 47 have power to pay such consideration as it shall deem proper for such 48 commitments. In case of default on its notes or violation of any of the 49 obligations of the authority to the noteholders, the noteholders shall 50 have all the remedies provided herein for bondholders. 51 § 1500-k. Agreements of New York state. 1. The state of New York does 52 pledge to and agree with the holders of the bonds that the state will 53 not limit or alter the rights hereby vested in the authority to acquire, 54 construct, maintain, reconstruct and operate the project or projects, to 55 establish and collect rentals, fees and other charges and to fulfill the 56 terms of any agreements made with the holders of the bonds, or in any 
 A. 7281 9 1 way impair the rights and remedies of the bondholders, until the bonds, 2 together with interest thereon, with interest on any unpaid installments 3 of interest and all costs and expenses in connection with any action or 4 proceeding by or on behalf of the bondholders, are fully met and 5 discharged. 6 2. The authority is hereby authorized, in its discretion, for and on 7 behalf of itself and the city to covenant and agree with the holders of 8 the bonds, with such exceptions and limitations as it may deem in the 9 public interest, that no public parking areas except those acquired and 10 operated by the authority will be constructed or operated in the city by 11 the city, or by any public benefit or other corporation the members or 12 some of which are elected or are appointed by city officials, until 13 either (a) the bonds, together with interest thereon, interest on any 14 unpaid installments of interest and all costs and expenses in connection 15 with any action or proceeding by or on behalf of the bondholders are 16 fully met and discharged or (b) principal or interest of any of the 17 bonds shall be overdue and unpaid for a period of three years or more, 18 provided that nothing herein contained shall be deemed to impair the 19 right of the city to install and operate parking meters on the public 20 streets of the city. 21 § 1500-l. State and city not liable on bonds. The bonds and other 22 obligations of the authority shall not be a debt of the state of New 23 York or of the city, and neither the state nor the city shall be liable 24 thereon, nor shall they be payable out of any funds other than those of 25 the authority. 26 § 1500-m. Bonds legal investments for public officers. The bonds are 27 hereby made securities in which all public officers and bodies of this 28 state and all municipalities and municipal subdivisions, all insurance 29 companies and associations and other persons carrying on an insurance 30 business, all banks, bankers, trust companies, savings banks and savings 31 associations, including savings and loan associations, building and loan 32 associations, investment companies and other persons carrying on a bank- 33 ing business, and all other persons whatsoever except as hereinafter 34 provided, who are now or may hereafter be authorized to invest in bonds 35 or other obligations of the state, may properly and legally invest funds 36 including capital in their control or belonging to them; provided that, 37 notwithstanding the provisions of any other general or special law to 38 the contrary, such bonds shall not be eligible for the investment of 39 funds, including capital, of trusts, estates or guardianships under the 40 control of individual administrators, guardians, executors, trustees and 41 other individual fiduciaries. The bonds are also hereby made securities 42 which may be deposited with and shall be received by all public officers 43 and bodies of this state and all municipalities and municipal subdivi- 44 sions for any purpose for which the deposit of bonds or other obli- 45 gations of this state is now or may hereafter be authorized. 46 § 1500-n. Tax exemptions. 1. It is hereby determined that the creation 47 of the authority and the carrying out of its corporate purposes is in 48 all respects for the benefit of the people of the city and its environs, 49 and is a public purpose, and the authority shall be regarded as perform- 50 ing a governmental function in the exercise of the powers conferred upon 51 it by this title and shall be required to pay no taxes or assessments 52 upon any of the property acquired by it or under its jurisdiction or 53 control or supervision or upon its activities. 54 2. Any bonds or notes issued pursuant to this title, together with the 55 income therefrom, as well as the property of the authority, shall be 
 A. 7281 10 1 exempt from taxation, except for estate or gift taxes and taxes on 2 transfers. 3 § 1500-o. Tax contract by the state. The state of New York covenants 4 with the purchasers and with all subsequent holders and transferees of 5 bonds or notes issued by the authority pursuant to this title, in 6 consideration of the acceptance of and payment for the bonds or notes, 7 that the bonds and notes of the authority issued pursuant to this title 8 and the income therefrom, and all moneys, funds and revenues pledged to 9 pay or secure the payment of such bonds or notes shall at all times be 10 free from taxation except for estate or gift taxes and taxes on trans- 11 fers. 12 § 1500-p. Remedies of bondholders. 1. In the event that the authority 13 shall default in the payment of principal of or interest on any issue of 14 the bonds after the same shall become due, whether at maturity or upon 15 call for redemption, and such default shall continue for a period of 16 thirty days, or in the event that the authority shall fail or refuse to 17 comply with the provisions of this title, or shall default in any agree- 18 ment made with the holders of any issue of the bonds, the holders of 19 twenty-five per centum in aggregate principal amount of the bonds of 20 such issue then outstanding, by instrument or instruments filed in the 21 office of the clerk of the county of Erie and proved or acknowledged in 22 the same manner as a deed to be recorded, may appoint a trustee to 23 represent the holders of such bonds for the purposes herein provided. 24 2. Such trustee may, and upon written request of the holders of twen- 25 ty-five per centum in principal amount of such bonds then outstanding 26 shall, in such trustee's own name: 27 (a) by action or special proceeding enforce all rights of the bond- 28 holders, including the right to require the authority to collect reven- 29 ues adequate to carry out by any agreement as to, or pledge of, such 30 revenues, and to require the authority to carry out any other agreements 31 with the holders of such bonds and to perform its duties under this 32 title; 33 (b) bring suit upon such bonds; 34 (c) by action or special proceeding, require the authority to account 35 as if it were the trustee of an express trust for the holders of such 36 bonds; 37 (d) by action or special proceeding, enjoin any acts or things which 38 may be unlawful or in violation of the rights of the holders of such 39 bonds; 40 (e) declare all such bonds due and payable, and if all defaults shall 41 be made good then with the consent of the holders of twenty-five per 42 centum of the principal amount of such bonds then outstanding, to annul 43 such declaration and its consequences. 44 3. The supreme court shall have jurisdiction of any suit, action or 45 proceeding by the trustee on behalf of bondholders. The venue of any 46 such suit, action or proceeding shall be laid in the county of Erie. 47 4. Before declaring the principal of all such bonds due and payable, 48 the trustee shall first give thirty days' notice in writing to the 49 authority. 50 5. Any such trustee, whether or not the issue of bonds represented by 51 such trustee has been declared due and payable, shall be entitled as of 52 right to the appointment of a receiver of any part or parts of the 53 project the revenues of which are pledged for the security of the bonds 54 of such issue, and such receiver may enter and take possession of such 55 part or parts of the project and, subject to any pledge or agreement 56 with bondholders, shall take possession of all moneys and other property 
 A. 7281 11 1 derived from or applicable to the acquisition, construction, operation, 2 maintenance and reconstruction of such part or parts of the project and 3 proceed with the acquisition of any necessary real property in 4 connection with the project that the authority has covenanted to 5 construct, and with any construction which the authority is under obli- 6 gation to do and to operate, maintain and reconstruct such part or parts 7 of the project and collect and receive all revenues thereafter arising 8 therefrom subject to any pledge thereof or agreement with bondholders 9 relating thereto and perform the public duties and carry out the agree- 10 ments and obligations of the authority under the direction of the court. 11 In any suit, action or proceeding by the trustee, the fee, counsel fees 12 and expenses of the trustee and of the receiver, if any, shall consti- 13 tute taxable disbursements and all costs and disbursements allowed by 14 the court shall be a first charge on any revenues derived from such 15 project. 16 6. Such trustee shall, in addition to the foregoing, have and possess 17 all of the powers necessary or appropriate for the exercise of any func- 18 tions specifically set forth herein or incident to the general represen- 19 tation of bondholders in the enforcement and protection of their rights. 20 § 1500-q. Actions against the authority. 1. In every action against 21 the authority for damages, for injuries to real or personal property, or 22 for the destruction thereof, or for personal injuries or death, the 23 complaint shall contain an allegation that at least ninety days have 24 elapsed since the demand, claim or claims upon which such action is 25 founded were presented to a member of the authority, or to its secre- 26 tary, or to its chief executive officer and that the authority has 27 neglected or refused to make an adjustment or payment thereof for ninety 28 days after such presentment. 29 2. Except in an action for wrongful death, an action against the 30 authority for damages for injuries to real or personal property, or for 31 the destruction thereof, or for personal injuries, alleged to have been 32 sustained, shall not be commenced more than one year and ninety days 33 after the cause of action therefor shall have accrued, nor unless a 34 notice of claim shall have been served on the authority within the time 35 limit established by, and in compliance with all requirements of section 36 fifty-e of the general municipal law. An action against the authority 37 for wrongful death shall be commenced in accordance with the notice of 38 claim and time limitation provisions of title eleven of article nine of 39 this chapter. 40 § 1500-r. Defense and indemnification. The authority shall not execute 41 any of its powers, except as necessary to commence its corporate exist- 42 ence, until the authority confers upon its members the provisions of 43 section eighteen of the public officers law, pursuant to subdivision two 44 of such section; provided, however, that nothing contained within this 45 section shall be deemed to permit the authority to extend the provisions 46 of section eighteen of the public officers law upon any independent 47 contractor. 48 § 1500-s. Code of ethics. 1. As used in this section, the term 49 "authority employee" shall mean any member, officer or employee of the 50 authority. 51 2. No authority employee shall have any interest, financial or other- 52 wise, direct or indirect, or engage in any business or transaction or 53 professional activity or incur any obligation of any nature, which is in 54 substantial conflict with the proper discharge of such authority employ- 55 ee's duties in the public interest. 
 A. 7281 12 1 3. (a) No authority employee shall accept other employment, which will 2 impair such authority employee's independence of judgment in the exer- 3 cise of such employee's official duties. 4 (b) No authority employee shall accept employment or engage in any 5 business or professional activity which will require the employee to 6 disclose confidential information which such employee has gained by 7 reason of their official position or authority. 8 (c) No authority employee shall disclose confidential information 9 acquired by the employee in the course of such employee's official 10 duties nor use such information to further any personal interests. 11 (d) No authority employee shall use or attempt to use such employee's 12 official position to secure unwarranted privileges or exemptions for 13 personal gain or the personal gain of others. 14 (e) No authority employee shall engage in any transaction as represen- 15 tative or agent of the authority with any business entity in which such 16 employee has a direct or indirect financial interest that might reason- 17 ably tend to conflict with the proper discharge of such employee's offi- 18 cial duties. 19 (f) An authority employee shall not by such employee's conduct give 20 reasonable basis for the impression that any person can improperly 21 influence such employee or unduly enjoy such employee's favor in the 22 performance of their official duties, or that such employee is affected 23 by the kinship, rank, position or influence of any party or person. 24 (g) An authority employee shall abstain from making personal invest- 25 ments in enterprises which such authority employee has reason to believe 26 may be directly involved in decisions to be made by the employee or 27 which will otherwise create substantial conflict between such employee's 28 duty in the public interest and their private interest. 29 (h) An authority employee shall endeavor to pursue a course of conduct 30 which will not raise suspicion among the public that such employee is 31 likely to be engaged in acts that are in violation of public trust. 32 (i) No authority employee who is employed on a full-time basis by any 33 firm, company, or association, is a member of such firm, company or, 34 association, or owns or controls, directly or indirectly, a large 35 portion of stock of such firm, company, or association which sells goods 36 or services shall sell such goods or services to any person, firm, 37 corporation or association which is licensed or whose rates are fixed by 38 the authority in which such employee serves or is employed. 39 (j) If any authority employee shall have any financial interest, 40 direct or indirect, having a value of ten thousand dollars or more in 41 any activity which is subject to the jurisdiction of a regulatory agen- 42 cy, such authority employee shall file with the secretary of state a 43 written statement that such employee has such a financial interest in 44 such activity. Such statement shall be open to public inspection. 45 4. In addition to other applicable law, any authority employee who 46 shall knowingly and intentionally violate any of the provisions of this 47 section may be fined, suspended, or removed from office or employment. 48 § 1500-t. Contracting for municipal services. In addition to any other 49 general or special powers vested in public benefit corporations for the 50 performance of their respective functions, powers or duties on an indi- 51 vidual, cooperative, joint, or contract basis, the authority shall have 52 power to enter into, amend, cancel, and terminate agreements with the 53 city of Buffalo for the provision and reimbursement of services. Any 54 agreement entered into hereunder shall be subject to prior approval of 55 the common council of the city of Buffalo and the authority by a majori- 56 ty vote of the voting strength of its governing body. 
 A. 7281 13 1 § 1500-u. Termination of authority. Whenever all bonds or notes issued 2 by the authority shall have been redeemed or cancelled, and all trans- 3 actions, debt, and such other obligations have been satisfied or other- 4 wise terminated, the agency shall cease to exist and all rights, titles, 5 interest, and assets thereof vested in or possessed by the authority 6 shall thereupon vest in and be possessed by the city of Buffalo. 7 § 1500-v. Title not affected if in part unconstitutional or ineffec- 8 tive. If any section, clause or provision of this title shall be uncon- 9 stitutional or be ineffective in whole or in part, to the extent that it 10 is not unconstitutional or ineffective, it shall be valid and effective 11 and no other section, clause or provision shall on account thereof be 12 deemed invalid or ineffective. 13 § 1500-w. Inconsistent provisions in other acts superseded. Insofar as 14 the provisions of this title are inconsistent with the provisions of any 15 other act, general or special, or of any local law of the city, the 16 provisions of this title shall be controlling. 17 § 2. This act shall take effect on the one hundred eightieth day after 18 it shall have become a law. Effective immediately, the addition, amend- 19 ment and/or repeal of any rule or regulation necessary for the implemen- 20 tation of this act on its effective date are authorized to be made and 21 completed on or before such effective date.