N.Y. Arts and Cultural Affairs Law § 20.07: Creation and purposes of a trust

§ 20.07. Creation and purposes of a trust. 1. A trust shall be created

by a special law as a corporate governmental agency and a public benefit

corporation, constituting a political subdivision of the state. A trust

and its corporate existence shall continue until terminated by law;

provided, however, that no such law shall take effect so long as the

trust shall have bonds, notes or other obligations outstanding unless

adequate provision has been made for the payment thereof. Upon

termination of the existence of a trust, all its rights and properties

not otherwise disposed of shall pass to and be vested in the state. Any

net earnings of a trust, beyond that necessary to retire any

indebtedness of a trust or to implement the purposes set forth in this

article and in any special law, may not inure to the benefit of any

person other than the state, county or the municipality in which the

principal office of the trust is located.

2. A trust shall exercise the powers granted to it by this article and

by special law in cooperation with participating cultural institutions

solely and exclusively in furtherance of the purposes of this article

and such special law. Before entering into any agreement for the

construction of a combined-use facility, a facility for a not-for-profit

cultural organization, or before making a loan to a not-for-profit

cultural organization, the board of trustees shall hold a public hearing

and thereafter shall determine that development of such facility or the

making of such loan is the most feasible means by which such purposes

may be effectuated and that the architectural and design characteristics

of the non-institutional portion are compatible with those of the

institutional portion of such combined-use facility. Notice of such

public hearing shall be published at least once no less than twenty days

prior to such hearing in a newspaper of general circulation in the

municipality or county in which such facility is located. Notice of such

public hearing shall be served by certified mail upon the chairman of

the planning board of any county in which such combined-use facility is

or is designed to be developed, except that in a municipality, such

notice shall be so served upon the chairman of the local community board

in the area in which such facility is or is designed to be developed;

and notice of such public hearing shall be served upon the chairman of

the planning board, or equivalent board, of any county in which a

facility for a not-for-profit cultural organization is, or is designed

to be, developed, or in which, in the case of a loan, a not-for-profit

cultural organization is located.