N.Y. Public Authorities Law § 1134*2: Exemption from taxes, assessments and certain fees

* § 1134. Exemption from taxes, assessments and certain fees. 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 county and the state 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 not be

required to pay any taxes, special ad valorem levies or special

assessments upon any properties owned by it or under its jurisdiction,

control or supervision or upon its activities, or any filing, recording

or transfer fees or taxes in relation to instruments filed, recorded or

transferred by it or on its behalf; provided, however, that any real

property acquired by the authority outside of the county shall be exempt

from real property taxes, ad valorem levies and special assessments only

pursuant to and to the extent provided by an agreement with the

governing body of the municipality in which such real property is

located. Notwithstanding the foregoing, the authority may enter into an

agreement with any municipality in which real property of the authority

is located or is to be located, to pay a sum or sums, annually or

otherwise, or to provide other consideration to such municipality with

respect to such real property.

2. Any bonds issued pursuant to this title, together with the income

therefrom, shall be exempt from taxation. The revenues, moneys and other

properties and activities of the authority, shall be exempt from all

taxes and governmental fees or charges, whether imposed by the state or

any municipality, including real estate taxes, franchise taxes, sales

taxes or other excise taxes. Any real property owned by the authority

outside the county shall be subject to the provisions of subdivision one

of this section. The state hereby covenants with the purchasers and with

all subsequent holders and transferees of bonds issued by the authority

pursuant to this title that the interest thereon shall be exempt from

taxation. The state further covenants with the holder of such bonds that

all revenues, moneys and other property pledged to secure the payment of

such bonds shall at all times be free from taxation, except for real

property taxes on real property owned by the authority outside the

county. For purposes of this subdivision, the phrase "exempt from

taxation" means exempt from direct taxation in conformity with

established judicial interpretation of the tax exempt status of the

obligations of the state and its agencies, entities, authorities and

political subdivisions and thus, the meaning of such phrase is in

conformity with the legislative intent expressed by section twenty-two

of chapter one hundred sixty-six of the laws of nineteen hundred

ninety-one regarding the tax exempt status of obligations of the state

and its agencies.

* NB There are 2 § 1134's