N.Y. Rapid Transit Law § 80: Connecting routes and extension of lines

§ 80. Connecting routes and extension of lines. a. The commission,

from time to time, with the approval of the board of estimate and of the

mayor may grant a right or franchise or enter into a contract, upon

application to such commission of any railroad corporation for the

purpose of constructing and operating a tunnel railroad from an

adjoining state under the North or Hudson or Harlem river to a terminus

within the city; or under the North or Hudson river and thence

transversely across and under the surface of the borough of Manhattan

and thence under the East river by the shortest practicable route; such

railroad to be connected with some trunk line railroad whose terminus is

in this or an adjoining state, thereby forming a continuous line for the

carriage of passengers and property.

b. A similar grant may be made, or a similar contract entered into,

upon the application of a railroad corporation, owning or actually

operating a trunk line railroad whose terminus is within the city, or of

a railroad corporation owning or actually operating, or by the

certificate of the commission required to own or actually operate, a

railroad wholly or partly within such city and engaged or intended, and

in such certificate so recited and required, to be, in interstate

commerce in connection with a trunk line railroad and which shall have,

or be required by such certificate to have a terminus in such city, for

the purpose of constructing and operating a railroad from such terminus

by the shortest practicable route to and under or over the East river or

the North or Hudson river, or the Harlem river, to any point in this or

an adjoining state, or to connect such terminus with the railroad or

terminus of any other such railroad or trunk line railroad in this state

or to straighten or improve the grade or alignment of any such railroad

or more directly connect any points thereon.

c. If and when in the judgment of such commission the public interests

so demand, the commission, with like approval, may fix and determine the

route by which any such railroad corporation making such application may

so establish and construct or so extend its lines into or within such

city, and may authorize any such railroad corporation to construct and

operate any such railroad or connecting railroad under any streets, and

also in the case of any such railroad or connecting railroad which is,

or by the terms of such certificate is required to be, operated or used

as a part of an interstate trunk line, to construct and operate the same

over and across any such streets, but not over and lengthwise of any

streets, with all necessary devices and appurtenances and with the right

to emerge to the surface upon private lands at the termini, and to

transport over the same passengers or freight or both and to run over

the same either passenger trains or freight trains or mixed trains.

d. The commission, with like approval, shall fix and determine the

locations and plans of construction of the railroad upon such route, the

times within which portions thereof shall be constructed, the

compensation to be made therefor to the city by the railroad corporation

to which the grant shall be made, or with which the contract shall be

entered into, and such other terms, conditions and requirements as to

the commission may appear just and proper. Every such grant shall be

made and every such contract entered into, however, upon the condition

that the railroad corporation to which the grant shall be made or with

which the contract shall be entered into, from the time of the

commencement of the operation of any such railroad, shall annually pay

to such city a sum or rental. The amount of such sum or rental for a

period of not more than twenty-five years, beginning with such operation

of any such railroad, shall be prescribed by the commission in such

grant or contract. Every such grant or contract shall provide for the

readjustment of the amount of such sum or rental at the expiration of

the period for which it shall be so prescribed and for readjustment from

time to time in the future of the amount of such annual payment at

intervals each of not more than twenty-five years. The grant may also

provide that the city shall have the right after the expiration of a

period fixed in the grant which shall not be more than twenty-five years

from the date on which operation of any portion of such railroad shall

commence to purchase and take the right or franchise so granted and any

tunnel and railroad, thereby authorized, or any portion of such tunnel

and railroad, provided the city shall determine that such tunnel and

railroad or such portion of such tunnel and railroad is necessary or

desirable for use as part of some municipal system of rapid transit to

be owned by the city, upon giving a specified notice and upon payment of

the value of such tunnel and railroad, or portion of tunnel and

railroad, but not including the franchise thereby granted, nor to exceed

the actual cost in money of construction thereof and of property

connected therewith. The grant may provide in default of agreement

thereon for ascertainment and determination by arbitration or by the

court of the amount to be paid by the city therefor. Any certificate

granted by the board of rapid transit railroad commissioners or by the

public service commission before the twenty-sixth day of May, nineteen

hundred nine authorizing the construction and operation of any tunnel

and railroad under the provisions of this section, and any right

theretofore given to the city in or by any such certificate so granted

to purchase and take any tunnel and railroad, or any portion of such

tunnel and railroad shall be deemed to have been authorized, and every

such certificate is hereby ratified and confirmed as to such right given

thereby.

e. A certificate shall be prepared by the commission attested by its

seal and the signature of its presiding officer, setting forth in detail

the action taken and grant made or contract entered into by the

commission with respect to such railroad and the terms, conditions and

requirements aforesaid, including provisions as to such annual payments

and the future readjustments thereof. A like certificate shall be

prepared in like manner upon every modification of the terms of the

grant or contract as provided in this chapter. Each such certificate

shall prescribe the terms and conditions of the readjustments of such

annual payments and may provide for the determination of such amount

upon such readjustments by arbitration or by the supreme court. Such

certificate shall be delivered to such railroad corporation upon the

receipt by such commission of a written acceptance of the terms,

conditions and requirements of the grant or contract, duly executed by

such railroad corporation, so as to entitle it to be recorded.

f. Such certificate shall be filed in the office of the secretary of

state, and a duly certified copy thereof shall be filed in the office of

the clerk of each county in which such railroad is situated, and

thereupon, and upon fulfillment by such railroad corporation, so far as

it relates to such railroad, of such of the requirements and conditions

as are necessary to be fulfilled in such cases, under section seventeen

of article three of the constitution, and upon fulfillment by such

railroad corporation of such other terms, conditions and requirements

enumerated in such certificate, as the commission may require to be

fulfilled as a condition precedent to commencing such work, such

railroad corporation shall in such cases possess in addition to its

already existing franchises all the powers conferred by this chapter

upon corporations with respect to its railroads authorized to be

constructed as aforesaid. When any routes, rights or franchises, shall

be so fixed and determined, and a certificate as aforesaid shall have

been duly filed, such railroad corporation may construct the same with

all the rights and with like effect as though the same had been a part

of the original route of its railroad then in actual operation, or as

may be provided in such certificate, but in every case subject to all

the provisions and conditions of such certificate. Every certificate

prepared by the commission or any of its predecessors as aforesaid when

delivered to and accepted by such railroad corporation, shall be deemed

to constitute a contract between such city and such railroad

corporation, according to the terms of such certificate. Such contract

shall be enforceable by the commission acting in the name of and in

behalf of such city or by such corporation according to the terms

thereof, but subject to the provisions of this chapter. The terms of

such contract, from time to time, with like approval and with the

consent of such corporation, may be modified by the commission.

g. But the construction and operation of such railroad is authorized

only upon the condition that the consent of the owners of one-half in

value of the property bounded on, and the consent also of the board of

estimate and the mayor be first obtained, provided that such board of

estimate and mayor, upon the presentation to them of any such grant or

contract, without requiring the execution of any other agreements than

those herein provided for, shall either approve or disapprove the same.

Every such approval shall be and be deemed to be, free of all

limitations except those contained in this chapter or the constitution.

In case the consent of such property owners can not be obtained, the

appellate division of the supreme court in the department in which such

railroad is proposed to be constructed, upon application, in the same

manner and on the same notice specified in section twenty-one of this

chapter, may appoint three commissioners, who shall determine after a

hearing of all parties interested, whether such railroad ought to be

constructed or operated, and their determination, confirmed by the

court, may be taken in lieu of the consent of such property owners.

h. No grant or contract shall be made hereunder affecting in any way

the liabilities and obligations of the grantee or contracting railroad

corporation with reference to taxation for state or local purposes. The

state shall not be liable for injuries to persons or property in

connection with any railroad or other construction which may be

authorized under the provisions of this chapter, nor shall the state be

liable for any damages in any event for any act or omission of the

commission.