NY Canal L § 54 (2021)
2021 New York Laws CAL - Canal Article 6 - Abandonment of Canal Lands 54 - Abandonment and Sale of Hydropower Easements; Agreements With Hydropower Developers.

§  54.  Abandonment  and sale of hydropower easements; agreements with hydropower developers. 1. Notwithstanding  subdivision  two  of  section three  or  section  fifty  of  the  public  lands  law or section fifty, fifty-one or fifty-two  of  this  article,  upon  request  of  a  person licensed  under  Part I of the Federal Power Act (16 USC § 791a-823a) to develop and operate a hydropower project at a site on  the  barge  canal system,  the  corporation  may  adopt  an  order abandoning a hydropower easement in barge canal system lands and waters  which  are  within  the boundaries of such federally licensed project, upon finding the property rights under such easement to be no longer necessary or useful as a part of the barge canal system, as an aid to navigation thereon, or for barge canal  terminal  purposes.  Upon  adoption  of  such order, and with the approval of the governor, the  corporation  may  sell  and  convey  such easement  at  private  sale  to such licensed developer. Such hydropower easements shall be sold for a price to be determined by the  corporation taking into consideration the value of obligations to be assumed by such licensed developer, the value of the rights granted to such developer to use  canal  system  lands,  waters and facilities for hydropower project purposes and any other appropriate factors.   2. Any hydropower easement abandoned, sold and  conveyed  pursuant  to subdivision one of this section shall be limited as follows:  (a)  The  easement  shall  convey  only  those  rights  necessary  and convenient for the development and generation of hydropower pursuant  to the  provisions  of  the  applicable federal hydropower license and only within the boundaries of the hydropower project as licensed.  (b) The easement shall be subservient  to  the  fee  retained  by  the state.  (c) The easement shall not give the owner the right to interfere with, either  by  act  or  omission,  the management and control by the state, through the corporation, of the barge canal system.  (d) The easement shall provide that it shall revert to the state under terms and conditions to be determined by the corporation  in  the  event that  the  site ceases to be used for purposes of hydropower development and generation.   3. The corporation may also enter into agreements with such a licensed developer regarding  the  division  of  maintenance  responsibility  for structures,  facilities  or  other  property which serve both hydropower generation and barge canal system purposes and regarding  other  matters concerning  joint operation at the site. Such agreements may provide for the payment to the corporation of reasonable compensation  for  services rendered  by  the  corporation  which  assist  or  otherwise further the development of hydropower on the barge canal system.  In  addition,  the corporation,  subject to the approval of the director of the budget, may enter into a written agreement with a licensed developer or operator  at any site concerning the sharing of costs for a major capital improvement or  improvements  at such site. Should the contract for such improvement or improvements be  let  and  awarded  by  the  corporation,  the  state comptroller  is  authorized  to receive and accept from the developer or operator, the sum or sums specified in such agreement  and  to  disburse the  same  along  with  state funds appropriated for the purpose of such capital improvement or improvements.   4. Any revenue realized from the sale or lease of hydropower easements shall be deposited into the canal fund.