NY Rapid Trans L § 81 (2021)
2021 New York Laws RAT - Rapid Transit Article 7 - Connection, Extension and Relocation of Railroads Within the City of New York 81 - Connection With Other Railroads or Transit Facilities.

§  81.  Connection with other railroads or transit facilities.  a. The   commission, from time to  time,  with  the  approval  of  the  board  of   estimate  and the mayor, upon application of any person owning, leasing,   constructing or actually operating or having the right  by  contract  to   thereafter operate a railroad wholly or in part within the limits of the   city,  if  in  the  judgment of such commission, the public interests so   demand, may also fix and determine the route by which  any  such  person   may  connect  with  other  railroads,  or  the stations thereof, or with   ferries or bridges, or may extend any line which he operates or has  the   right  to operate as aforesaid within such city, or upon the application   of a corporation organized  under  the  railroad  law  for  any  of  the   purposes  specified  in  subdivision 1 of section forty of this chapter,   and agreeing to  equip,  maintain  and  operate  or  to  procure  to  be   equipped,  maintained  and  operated, any road of the city in connection   with any existing railroad of a railroad corporation and  any  extension   thereof  wholly  within such city, on the basis of a division of income,   earnings or  profits  as  herein  provided,  the  commission  with  like   approval, if in its judgment the public interests so demand, may fix and   determine  the  route  by  which such person may construct, maintain and   operate such extension, and  with  like  approval,  may  authorize  such   person  to  construct,  maintain and operate any such extension, and may   with like approval authorize any such person to lay an additional  track   on, above, under or contiguous to a portion or the whole of the route of   his  railroad  within  such  city  and  to  acquire  terminal  or  other   facilities necessary for the accommodation of the  traveling  public  on   any street except the place known as Battery Park on which such railroad   shall  be  located.    The  commission,  with  like  approval,  may also   authorize any such person to lay his tracks and operate his railroad  to   any  terminal within such city, and to transport thereover passengers or   freight or both, and to run either passenger trains or freight trains or   mixed trains thereover.  The commission, with like approval,  shall  fix   and  determine  the locations and plans of construction of the railroads   upon such facilities, the times within which they shall be  respectively   constructed,  the  compensation  to be made therefor to the city by such   person, and such other terms, conditions and  requirements  as  to  such   commission  and  board  of  estimate  with the approval of the mayor may   appear just and proper.   Every such  determination,  authorization  and   license shall be made upon the condition that such person, from the time   of  the  commencement  of  the operation of any such railroad under such   determination, authorization or license, shall annually pay to such city   a sum or rental which may be a  part  or  proportion  of  gross  or  net   receipts,  and that 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 determination,   authorization  and  license,  and   that   every   such   determination,   authorization  and  license  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, to the end of the period of renewal, if any, of  the  amount  of   such  annual  payment  at  intervals each of not more than twenty years.   Such determination, authorization or license may provide  that  for  the   whole  or  any  portion  of the life of the grant in lieu of such annual   rental the gross or net receipts derived  from  the  operation  of  such   railroad  owned,  operated  or  to be operated by such person within the   limits of such city, and  from  the  operation  of  such  connecting  or   extending  facilities  may be combined, and that the city may receive as   such compensation at intervals named a specified part or  proportion  of   the  income,  earnings  or  profits  of the railroad, and the facilities    whose receipts are so combined or of those and any other railroads which   may be operated in connection therewith in like manner,  which  part  or   proportion  may  be  deferred to a previous distribution to such person,   which  distribution  may be cumulative. In such case such determination,   authorization or license may apportion  out  of  the  amount  so  to  be   received  by the city and shall specify a portion thereof which shall be   deemed  to  be  the  rental  for  the  use  of  such  facilities.   Such   determination,   authorization   or   license  shall  also  provide  for   determining the amount  of  the  income,  earnings  or  profits  of  the   railroad  within  the  limits  of  the  city and of the facilities whose   receipts are so combined. It may also provide for  readjustment  of  the   proportion  which the city shall receive or of the portion thereof which   shall be deemed to be the rental for  the  use  of  such  facilities  at   specified   intervals.  In  addition,  it  may  prescribe  a  method  of   determining by arbitration or by the court the  amount  which  the  city   shall  receive  as its proportion of such income, earnings or profits or   as such rental upon any such readjustment thereof.  Such  determination,   authorization  or license shall contain a reservation to the city of the   privilege, upon giving a specified notice, to terminate  the  franchise,   right  or authority granted under this section as to all, and, if deemed   advisable, as to any  specified  portion  of  such  facilities,  and  to   purchase  and take the plant and property as defined in the grant at any   time after the expiration of ten years from the date when  operation  of   any  part  of such facilities or of such specified portion thereof shall   actually begin, upon paying an amount for such  plant  and  property  as   property,  excluding  any  value  for the franchise, right or authority,   which amount shall not exceed actual cost as defined  in  the  grant  of   such  plant  and  property plus fifteen per centum thereof.  Such amount   shall decrease under provisions of the grant as the franchise continues,   so that at the end of the full term of the grant or  at  the  end  of  a   period   specified   therein,   no  amount  shall  be  paid  except  for   betterments,  additions,  improvements  and  additional   equipment   as   hereinafter  provided.  The grant shall provide a method of ascertaining   the amount to be paid for such plant and property on termination by  the   city  of  such  franchise,  right  or authority and for the betterments,   additions, improvements and additional equipment at the end of the  full   term  of  the grant. The grant may provide for determining, from time to   time in default of agreement by arbitration or by the court, a valuation   of such plant and property or  any  part  or  portion  thereof  for  any   purpose  under  such grant. Such determination, authorization or license   may also make suitable provision to the end that if the city,  after  so   terminating such franchise, right or authority or at the end of the full   term  of  the  grant  shall  propose  to  give a new franchise, right or   authority in the enjoyment of which such plant and property or any  part   thereof  may  be utilized, the title to and possession of such plant and   property or any part thereof may be transferred directly to the  grantee   of  any  such  new  franchise,  right or authority when such new grantee   shall pay the amount so required. In the case of additional track  added   to  any  elevated  rapid  transit  railroad, however, the determination,   authorization or license may provide that such privilege of the city  to   terminate the franchise, right or authority therefor and to purchase and   take  the plant and property shall not be for railroad transit operation   either by the city or by any other party, and shall be without prejudice   to the rights of such person in the  lines  of  such  existing  elevated   railroad,  and  may  make  adequate provision for the protection of such   rights. The commission, with like approval may authorize the re-location   of any devices and appurtenances of such person in any street  in  which    they exist, any such re-located structure to be held under all the terms   and privileges of the original franchise.b.  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 by the commission with respect to  such  connecting  or   extended   facilities,   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  contract  as   provided  in  this  chapter.  Every 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 person upon  the  receipt  by  such  commission  of  a   written  acceptance  of  such  terms,  conditions and requirements, duly   executed by such person so as to entitle it to be recorded.c. 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  to which such privileges granted hereunder   pertain, and thereupon, and upon fulfillment, by such person so  far  as   it  relates  to  such  facilities,  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. Upon fulfillment by such   person 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 person shall  in  such   cases  possess  in  addition  to  existing  franchises  all  the  powers   conferred  by  this  chapter  upon  corporations  with  respect  to  his   railroads   authorized   to   be  constructed  as  aforesaid.  When  any   facilities, shall be so fixed  and  determined,  and  a  certificate  as   aforesaid  shall  have  been  duly filed, such person may construct them   with all the rights, and with like effect as though they had been a part   of the original route of his railroad then in  actual  operation  or  in   process  of construction.   A franchise, right or authority shall not be   granted under this section to extend any railroad, make any connections,   lay any additional track or acquire any terminal or other facilities for   a longer period than the unexpired term of the original grant, franchise   or contract of the railroad and any renewal thereof  contained  in  such   contract  to  which such facilities are added. Any such franchise, right   or authority granted hereunder shall also be subject to be terminated by   the city in like manner and under the same terms and conditions  and  at   the  same  time  as  may  be  provided  in  such  original grant for the   termination or taking by the city of that grant if provision therefor be   made.d. The certificate  prepared  by  the  commission  as  aforesaid  when   delivered  and  accepted  by such person shall be deemed to constitute a   contract between such city and such person 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  person   according  to  the  terms thereof, but subject to the provisions of this   chapter. The terms of such contract, from time to time with the  consent   of  such  person,  may be modified by the commission. In the case of any   grant under this section for  the  extension  of  any  railroad  or  the   making, laying or acquisition of facilities under the provisions of this   section,  the commission may make provision as a condition of such grant   for the termination by the city of the original grant  or  franchise  or   contract,  for the railroad to which such facilities are to be added and   for the taking over at the same time of the plant and  property  of  the    grantee or holder of such original franchise or contract suitable to and   used  for  the  purpose of such original grant or contract in connection   with the termination of the franchise, right or authority granted  under   this  section,  upon  giving a specified notice and paying an amount for   such plant and property,  as  property,  excluding  any  value  for  the   original  franchise  or  contract,  which amount shall not exceed actual   cost of such plant and property plus fifteen per cent.  thereof.    Such   amount  shall  decrease under the provisions of the grant made hereunder   as the franchise or contract continues, so that at the end of the  grant   or  contract  no amount shall be paid except for equipment as defined in   the grant. The grant shall provide a method of ascertaining  the  amount   to  be  paid  for  such plant and property on termination by the city of   such original franchise or contract or for equipment at the end  of  the   full  term  thereof.  The grant may provide for determining from time to   time in default of agreement by arbitration or by the court a  valuation   of  such  plant  and  property  or  any  part or portion thereof for any   purpose under such grant. The grant in such case may also make  suitable   provision  to  the  end that if the city shall after so terminating such   original grant or franchise or at the  end  of  the  full  term  thereof   propose  to grant a a new franchise, right or authority in the enjoyment   of which such plant and property or any part thereof  may  be  utilized,   the  title  to  and  possession  of  such plant and property or any part   thereof may be transferred directly to  the  grantee  of  any  such  new   franchise.e.  But  the  construction and operation of such facilities are hereby   authorized only upon  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 of the mayor be first obtained, or in case the   consent of such  property  owners  cannot  be  obtained,  the  appellate   division  of  the  supreme  court  in  the  department in which they are   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   the parties interested whether such facilities ought to  be  constructed   or  operated,  and  their  determination, confirmed by the court, may be   taken in lieu of the consent of the property owners.f. Every such certificate granting any franchise, right or  authority,   as  aforesaid,  except  for additional track added to any elevated rapid   transit railroad, shall provide that upon the  expiration  of  a  period   fixed  therein  the  franchise  shall end and that upon such termination   thereof all the rights of property of the grantee in the  streets  shall   cease  and terminate without compensation and shall further provide that   upon such expiration of such franchise, right or authority the plant and   property together  with  the  appurtenances  thereto,  of  the  grantee,   constructed pursuant to such certificate, except betterments, additions,   improvements  and  additional  equipment  as defined in the grant, shall   become the property of the city without further or other compensation to   the grantee; and that  such  betterments,  additions,  improvements  and   additional  equipment  shall  be  and become the property of the city on   paying the grantee the amount ascertained as provided pursuant  to  such   certificate.  The provisions of this section shall apply to any railroad   constructed, constructing or contracted  for  under  the  provisions  of   section  thirty-one  of  this  chapter and to any person constructing or   operating any such railroad.