N.Y. State Finance Law § 88-a: Mass transportation operating assistance fund

§ 88-a. Mass transportation operating assistance fund. 1. There is

hereby established in the joint custody of the commissioner of taxation

and finance and the state comptroller a special fund to be known as the

"mass transportation operating assistance fund".

2. Moneys in the mass transportation operating assistance fund shall

be kept separately from and shall not be commingled with any other

moneys in the joint or sole custody of the state comptroller or the

commissioner of taxation and finance.

3. Except for moneys in the account established by subdivision six of

this section, moneys of the fund, following appropriation by the

legislature, shall be allocated upon a certificate of approval of

availability by the director of the budget solely for the transportation

assistance purposes set forth within the specific accounts contained

within the fund established by this section.

4. The mass transportation operating assistance fund shall consist of

three separate and distinct accounts: (a) the "public transportation

systems operating assistance account", (b) the "urban mass transit

operating assistance account", and (c) the "metropolitan mass

transportation operating assistance account". Moneys in each of the

accounts shall be kept separately from and not commingled with any other

moneys in the mass transportation operating assistance fund.

5. (a) The "public transportation systems operating assistance

account" shall consist of revenues required to be deposited therein

pursuant to the provisions of section one hundred eighty-two-a of the

tax law and all other moneys credited or transferred thereto from any

other fund or source pursuant to law.

(b) Moneys in the public transportation systems operating assistance

account shall be paid on a quarterly basis beginning October first,

nineteen hundred eighty-one. However, if there is a demonstrated cash

shortfall in any eligible system, payments to such system may be

accelerated. Such payments shall be made in accordance with a schedule

as specified by appropriation for the payment of operating costs of

public mass transportation systems outside the metropolitan commuter

transportation district as defined by section twelve hundred sixty-two

of the public authorities law, eligible to receive operating assistance

pursuant to section eighteen-b of the transportation law.

(c) Notwithstanding any law to the contrary, the comptroller is hereby

authorized and directed to transfer from the general fund for deposit

into the public transportation system operating assistance account, upon

request of the director of the budget, on or before March 31 of each

year, an amount equal to the following:

(i) For the state fiscal year ending March 31, 2015, two million eight

hundred eight thousand ninety-six dollars;

(ii) In each succeeding state fiscal year, the transfer shall equal

the product of the dollar amount in (i) and one plus the sales tax

growth factor. For the purposes of this subparagraph, the sales tax

growth factor is the percentage, if any, by which the aggregate amount

of sales and compensating use taxes imposed pursuant to the authority of

subpart B of part I of article twenty-nine of the tax law, excluding

such sales and compensating use taxes collected in the twelve counties

that comprise the metropolitan transportation commuter district created

and established pursuant to section twelve hundred sixty-two of the

public authorities law, for the twelve month period ending on December

thirty-first of the immediately preceding calendar year exceeds the

aggregate amount of such sales and compensating use taxes for the twelve

month period ending on December thirty-first, two thousand thirteen. In

no year will the amount of the deposit authorized under this section be

less than the amount made in the prior year.

6. (a) The "urban mass transit operating assistance account" shall

consist of the revenues required to be deposited therein pursuant to the

provisions of article thirty-one-a of the tax law, and all other moneys

credited or transferred thereto from any other fund or source pursuant

to law.

(b) Moneys in the urban mass transit operating assistance account

shall be available only for payment by the comptroller of refunds of,

and of judgments awarded for claims for refund of, taxes paid on or

after October first, nineten hundred eighty-one but before April

thirteenth, nineteen hundred eighty-two pursuant to the provisions of

article thirty-one-A of the tax law, provided that, in the case of a

refund, application for such refund has been made to the comptroller

prior to April first, nineteen hundred eighty-six. Interest at the rate

authorized by section sixteen of the state finance law shall be payable

with such refunds and shall be computed from February first, nineteen

hundred eighty-two or the date on which the tax was paid, whichever is

later.

(c) When the comptroller determines that moneys of the account are

insufficient for the payment of any such refunds or judgments, he shall

certify to the commissioner of finance of the city of New York the

amount of such insufficiency and, from moneys in the special account or

accounts established by and pursuant to sections W46-2.0 and II46-4.0 of

the administrative code of the city of New York, such commissioner of

finance shall, within twelve days of such certification, pay over such

amount to the comptroller for deposit in the urban mass transit

operating assistance account of the mass transportation operating

assistance fund to meet such insufficiency.

7. (a) The "metropolitan mass transportation operating assistance

account" shall consist of that proportion of the revenues derived from

the taxes for the metropolitan transportation district imposed by

section eleven hundred nine of the tax law as specified in such section

and that proportion of the receipts received pursuant to the tax imposed

by article nine-A of such law as specified in section one hundred

seventy-one-a of such law, and that proportion of the receipts received

pursuant to the tax imposed by article nine of such law as specified in

section two hundred five of such law, and the receipts required to be

deposited pursuant to the provisions of section one hundred eighty-two-a

of such law, and all other moneys credited or transferred thereto from

any other fund or source pursuant to law.

(b) Moneys in the metropolitan mass transportation operating

assistance account shall be paid on a quarterly basis beginning October

first, nineteen hundred eight-one. However, if there is a demonstrated

cash shortfall in any eligible system, payments to such system may be

accelerated. Such moneys shall be paid in accordance with schedules as

specified by appropriations for payment of operating costs of public

transportation systems in the metropolitan transportation commuter

district in order to meet the operating expenses of such systems,

provided, however, with respect to the metropolitan transportation

authority, its affiliates and subsidiaries, and notwithstanding any

general or special law to the contrary, other than such a law which

makes specific reference to this section, and subject to the provisions

of section twelve hundred seventy-c of the public authorities law, so

long as the metropolitan transportation authority dedicated tax fund

established by section twelve hundred seventy-c of the public

authorities law shall exist, any such appropriation to the metropolitan

transportation authority, its affiliates or its subsidiaries shall be

deemed to be an appropriation to the metropolitan transportation

authority and the total amount paid pursuant to such appropriation or

appropriations shall be deposited to such metropolitan transportation

authority dedicated tax fund and distributed in accordance with the

provisions of section twelve hundred seventy-c of the public authorities

law. Nothing contained in this subdivision shall be deemed to restrict

the right of the state to amend, repeal, modify or otherwise alter

statutes imposing or relating to the taxes producing revenues for

deposit in the metropolitan mass transportation operating assistance

account or the appropriations relating thereto. The metropolitan

transportation authority shall not include within any resolution,

contract or agreement with holders of the bonds or notes issued under

section twelve hundred sixty-nine of the public authorities law any

provision which provides that a default occurs as a result of the state

exercising its right to amend, repeal, modify or otherwise alter such

taxes or appropriations.

9. Any moneys in the mass transportation operating assistance fund and

in any of the accounts in such fund may, at the discretion of the state

comptroller, be invested in securities and obligations as defined by

section ninety-eight-a of this chapter. Any income earned by the

investment of moneys in any of the accounts in such fund shall be added

to and become a part of, and shall be used for the purposes of such

account.