§ 1680-B — Court facilities and combined occupancy structures

§ 1680-b. Court facilities and combined occupancy structures. 1. The\nauthority may enter into a lease, sublease or other agreement with a\nparticipating municipality pursuant to which one or more court\nfacilities or combined occupancy structures are to be designed,\nacquired, constructed, reconstructed, rehabilitated or improved, or a\ncourt facility is to be furnished or equipped, provided that such lease,\nsublease or other agreement has been approved by the chief administrator\nof the courts. The authority shall not enter into any such lease,\nsublease or other agreement unless such lease, sublease or other\nagreement provides that (a) the parties thereto shall comply with such\nstandards and administrative policies relating to court facilities as\nmay be promulgated pursuant to section twenty-eight of article six of\nthe constitution and (b) the court facilities or combined occupancy\nstructures to which such lease, sublease or other agreement related\nshall be constructed, reconstructed, rehabilitated, improved, furnished\nor equipped substantially in accordance with the plans, specifications\nand designs approved by the chief administrator of the courts. Such\nlease, sublease or other agreement may contain such other terms and\nconditions as the authority may require, including, but not limited to,\nprovisions relating to the maintenance and operation of the court\nfacilities, the establishment of reserve funds and the disposition of a\ncourt facility or a combined occupancy structure or the interest of the\nauthority therein prior to or upon the termination or expiration of such\nlease, sublease or other agreement. In connection with court facilities\nand combined occupancy structures, the authority is hereby authorized to\nissue bonds in an aggregate principal amount not to exceed three billion\ndollars; provided, however, that bonds issued or to be issued shall be\nexcluded from such limitation if such bonds are issued to refund bonds\nof the authority issued in connection with court facilities and combined\noccupancy structures and the present value of the aggregate debt service\non the refunding bonds does not exceed the present value of the\naggregate debt service on the bonds refunded thereby. For purposes\nhereof, the present value of the aggregate debt service of the refunding\nbonds and the aggregate debt service of the bonds refunded, shall be\ncalculated by utilizing the true interest cost of the refunding bonds,\nwhich shall be that rate arrived at by doubling the semi-annual interest\nrate (compounded semi-annually) necessary to discount the debt service\npayments on the refunding bonds from the payment dates thereof to the\ndate of issue of the refunding bonds to the purchase price of the\nrefunding bonds, including interest accrued thereon prior to the\nissuance thereof. The maturity of such bonds, other than bonds issued to\nrefund outstanding bonds, shall not exceed the weighted average economic\nlife, as certified by the office of court administration, of the\nfacilities in connection with which the bonds are issued, and in any\ncase not later than the earlier of forty years or the expiration of the\nterm of any lease, sublease or other agreement relating thereto;\nprovided that no note, including renewals thereof, shall mature later\nthan five years after the date of issuance of such note.\n 2. No bonds may be issued by the authority in connection with a court\nfacility or combined occupancy structure unless:\n (a) the chief administrator of the courts has certified that the court\nfacility or facilities in connection with which such bonds are to be\nissued are consistent with the capital plan approved pursuant to section\nsixteen hundred eighty-c of this chapter; and\n (b) the lease, sublease or other agreement with the participating\nmunicipality relating to such court facilities provides that the plans,\nspecifications, designs and cost estimates for the design, construction,\nreconstruction, rehabilitation, improvement, furnishing or equipping of\nthe court facilities in connection with such bonds are to be issued\nsubject to the approval of the chief administrator of the courts\npursuant to paragraph (u) of subdivision one of section two hundred\ntwelve of the judiciary law.\n 3. Notwithstanding the provisions of any general, special or local\nlaw, charter or ordinance to the contrary, a participating municipality\nmay sell, convey, lease, exchange or otherwise make available to the\nauthority, for nominal consideration, the title to or an interest in\nreal property for the purpose of providing court facilities or combined\noccupancy structures and may enter into any lease, sublease or other\nagreement with the authority in connection with court facilities or\ncombined occupancy structures without public auction or bidding or\nrestriction as to the term of such lease, sublease or other agreement,\nprovided that such sale, conveyance, lease, exchange, or other\ndisposition to the authority or lease, sublease or other agreement with\nthe authority is authorized by the board of county supervisors or the\ncounty legislature of a participating municipality which is a county, or\nthe common council of a participating municipality which is a city other\nthan the city of New York or, if the participating municipality is the\ncity of New York, the board of estimate of the city of New York.\n 4. In the event that a participating municipality fails to pay to the\nauthority when due all or part of the rentals and other payments payable\npursuant to any lease, sublease or agreement with the authority, the\nchairman or another officer of the authority shall certify at the times\nprovided in this subdivision the amount of rentals and other payments\nthen due from such participating municipality and unpaid. The state\ncomptroller, upon receipt of such certificate, shall deduct the amount\nof such rentals and other payments as remains unpaid to the authority\nfirst from the aid payable to such participating municipality from the\ncourt facilities incentive aid fund established by section ninety-four\nof the state finance law and, then, from the next succeeding payments of\nstate aid apportioned to such participating municipality, as revenue\nsharing, per capita aid, and any other aid pursuant to section\nfifty-four of the state finance law and, then, from the next succeeding\npayments of state aid for any local governmental administrative costs\nthat are reimbursable to the participating municipality pursuant to\nstate law and, then, from the next succeeding payments of state aid from\nmoneys appropriated pursuant to section six hundred eight of the public\nhealth law and pursuant to section ten-c of the highway law; provided,\nhowever, that the right of the authority to the payment of any amount\ndeducted by the state comptroller pursuant to this section from per\ncapita aid apportioned to the city of New York shall be subject and\nsubordinate to the rights of the city university construction fund\npursuant to section sixty-two hundred seventy-nine of the education law,\nthe New York city housing development corporation pursuant to section\nsix hundred fifty-six of the private housing finance law, the trustees\nof the police pension fund pursuant to paragraph e of subdivision seven\nof section fifty-four of the state finance law, and the municipal\nassistance corporation for the city of New York pursuant to section\nthree thousand thirty-six-a of this chapter and subdivision one of\nsection ninety-two-e of the state finance law. In order to insure that\nthe amount of rentals and other payments due and unpaid by a\nparticipating municipality are paid, the authority on or within thirty\ndays prior to January twenty-fifth, April twenty-fifth, July\ntwenty-fifth and October twenty-fifth of each year shall certify to the\nstate comptroller the amount of rentals and other payments then due and\nunpaid by each participating municipality pursuant to any lease,\nsublease or other agreement. The amount required to be deducted by the\nstate comptroller pursuant to this subdivision shall be deducted from\nsuch aid, whether or not the state aid from which such deduction is to\nbe made is then payable to the participating municipality, and thereupon\npaid to the authority. The amount of state aid payable to such\nparticipating municipality shall be reduced by the amount deducted by\nthe state comptroller notwithstanding the amount appropriated and\napportioned by the state to such participating municipality, and the\nstate shall not be obligated to make and the participating municipality\nshall not be entitled to receive any additional apportionment or payment\nof such state aid. Nothing shall be construed to create an obligation\nupon the state to appropriate moneys, to preclude the state from\nreducing the amount of moneys appropriated or level of assistance\nprovided, or to preclude the state from altering or modifying the manner\nin which it provides for or provides assistance.\n 5. On and after the effective date of this subdivision, when bonds are\nissued by the authority pursuant to this section, the authority and the\nparticipating municipality shall agree in any lease, sublease or other\nagreement to finance the acquisition, construction, reconstruction or\nrehabilitation of a court facility or combined occupancy structure that,\nso long as such bonds remain outstanding, the participating municipality\nshall retain title to such court facility or combined occupancy\nstructure free of all liens and encumbrances except as shall be\nexpressly permitted by such lease, sublease or other agreement.\n