N.Y. State Finance Law § 88-b: Suburban transportation fund

§ 88-b. Suburban transportation fund. 1. There is hereby established

in the joint custody of the commissioner of taxation and finance and the

comptroller a fund to be known as the "suburban transportation fund".

2. The suburban transportation fund shall consist of moneys from the

commuter railroad account of the metropolitan transportation authority

special assistance fund required to be paid by such authority to the

suburban transportation fund pursuant to subdivision three of section

twelve hundred seventy-a of the public authorities law and any moneys

from the metropolitan transportation authority Dutchess, Orange and

Rockland fund transferred pursuant to subdivision four of section twelve

hundred seventy-a of the public authorities law.

3. Moneys in the suburban transportation fund shall be kept separate

from and shall not be commingled with any other moneys in the custody of

the commissioner of taxation and finance and the comptroller. All

deposits of such money shall, if required by the comptroller, be secured

by obligations of the United States or of the state of market value

equal at all times to the amount of the deposit and all banks and trust

companies are authorized to give such securities for such deposits.

4. Moneys of the fund shall be made available for financing any of the

following types of capital projects within the counties comprising the

metropolitan commuter transportation district, except those counties

comprising the city of New York, but only to the extent that such

projects are on an adopted transportation plan and approved by a

designated transportation coordinating committee, if one exists, or by

the metropolitan planning organization as created pursuant to section

fifteen-a of the transportation law if no designated transportation

coordinating committee exists: capacity and infrastructure improvements

to state, county, town, city, village roads, highways, parkways and

bridges; or state, county, town, city or village mass transportation

projects; provided, however, that in Nassau and Suffolk counties such

moneys shall be available only for capacity improvements to state roads,

highways, parkways and bridges. The amount of state funds historically

appropriated statewide, other than bond funds, for transportation

capital purposes from other sources shall not be reduced because of the

availability of such moneys made available pursuant to this chapter, nor

shall such moneys be used to match federal aid. Prior to the allocation

of state advance funds appropriated pursuant to this section, the

municipality responsible for the project shall certify to the

commissioner of transportation that the amount of funds appropriated for

transportation capital purposes by that municipality shall not be

reduced because of the availability of such state advance funds, and

that such moneys shall not be used to match federal aid.

The designated transportation coordinating committee, if one exists,

or the metropolitan planning organization if no designated

transportation coordinating committee exists, shall notify the

municipalities within its jurisdiction of which projects it has

approved.

5. In the event that any county withdraws from the metropolitan

commuter transportation district, the withdrawing county shall pay to

the state comptroller any amount that is required so that the state is

fully reimbursed for funds advanced in anticipation of reimbursement

from the suburban transportation fund. In the event that any withdrawing

county shall fail to make a payment pursuant to this subdivision, the

state comptroller shall withhold and pay to the capital projects fund an

amount equal to the amount owed from the next general or specific state

aid payment and scheduled to be paid to that county.

6. Moneys in the suburban transportation fund transferred pursuant to

section twelve hundred seventy-a of the public authorities law shall be

made available to the state department of transportation for capital

projects in the counties of Nassau, Suffolk, Westchester, Putnam,

Dutchess, Orange and Rockland on the basis of each county's average pro

rata share of the mortgage recording tax receipts raised in such

counties pursuant to subdivision one of section two hundred sixty-one of

the tax law during the period January first, nineteen hundred

eighty-four through December thirty-first, nineteen hundred eighty-six

as certified by the metropolitan transportation authority. Moneys

transferred to the suburban transportation fund at the request of

Dutchess, Orange or Rockland county pursuant to subdivision three of

section twelve hundred seventy-b of the public authorities law shall be

used by the state department of transportation to increase the

proportionate share of such capital projects in such county. Such

projects shall be financed by means of a state advance to be reimbursed

by the New York state thruway authority, or its successor agency,

through the issuance of its bonds or notes in the manner set forth in

subdivision seven of this section, or by means of a state advance to be

reimbursed directly from the suburban transportation fund.

7. (a) For projects funded by the suburban transportation fund, the

state department of transportation may enter into an agreement with the

New York state thruway authority, or its successor agency, for the

purpose of having the thruway authority, or its successor agency, issue

bonds or notes to pay the capital costs of such project. Such agreement

shall be subject to approval by the director of the division of the

budget.

(b) For projects funded pursuant to this subdivision, the affected

municipality shall enter into an agreement with the department of

transportation for the conveyance of all affected real property

including highways, roads and bridges to the thruway authority, or its

successor agency, for the term of the bonds or notes issued by the

thruway authority, or its successor agency, for such project or for such

lesser period that such bonds or notes are outstanding. During the

period of such conveyance to the thruway authority, or its successor

agency, the department of transportation or the municipality shall agree

to maintain the facility in a state of good repair, the responsibility

for which shall be with the state, or municipality, which had

jurisdiction over said facility prior to such agreement.

(c) Upon the final retirement of all bonds and notes issued by the

thruway authority, or its successor agency, for such purpose, such

property shall automatically revert to the conveying entity.

8. Payments to the thruway authority, or its successor agency,

pursuant to this section shall be subject to appropriation from the

suburban transportation fund. The thruway authority, or its successor

agency, shall utilize such moneys to pay the debt service on such bonds

or notes and to meet administrative costs in connection therewith.