2023 New York Laws › PBA - Public Authorities › Article 8 - Miscellaneous Authorities › Title 4 - Dormitory Authority › 1680-B - Court Facilities and Combined Occupancy Structures.

§  1680-b.  Court facilities and combined occupancy structures. 1. The
authority may enter into a lease, sublease or  other  agreement  with  a
participating   municipality   pursuant  to  which  one  or  more  court
facilities  or  combined  occupancy  structures  are  to  be   designed,
acquired,  constructed,  reconstructed,  rehabilitated or improved, or a
court facility is to be furnished or equipped, provided that such lease,
sublease or other agreement has been approved by the chief administrator
of the courts. The authority  shall  not  enter  into  any  such  lease,
sublease  or  other  agreement  unless  such  lease,  sublease  or other
agreement provides that (a) the parties thereto shall comply  with  such
standards  and  administrative  policies relating to court facilities as
may be promulgated pursuant to section twenty-eight of  article  six  of
the  constitution  and  (b)  the  court facilities or combined occupancy
structures to which such lease,  sublease  or  other  agreement  related
shall  be constructed, reconstructed, rehabilitated, improved, furnished
or equipped substantially in accordance with the  plans,  specifications
and  designs  approved  by  the  chief administrator of the courts. Such
lease, sublease or other agreement may  contain  such  other  terms  and
conditions  as the authority may require, including, but not limited to,
provisions relating to  the  maintenance  and  operation  of  the  court
facilities,  the establishment of reserve funds and the disposition of a
court facility or a combined occupancy structure or the interest of  the
authority therein prior to or upon the termination or expiration of such
lease,  sublease or other agreement. In connection with court facilities
and combined occupancy structures, the authority is hereby authorized to
issue bonds in an aggregate principal amount not to exceed three billion
dollars; provided, however, that bonds issued or to be issued  shall  be
excluded  from  such limitation if such bonds are issued to refund bonds
of the authority issued in connection with court facilities and combined
occupancy structures and the present value of the aggregate debt service
on the refunding  bonds  does  not  exceed  the  present  value  of  the
aggregate  debt  service  on  the  bonds  refunded thereby. For purposes
hereof, the present value of the aggregate debt service of the refunding
bonds and the aggregate debt service of the  bonds  refunded,  shall  be
calculated  by  utilizing the true interest cost of the refunding bonds,
which shall be that rate arrived at by doubling the semi-annual interest
rate (compounded semi-annually) necessary to discount the  debt  service
payments  on  the  refunding bonds from the payment dates thereof to the
date of issue of the refunding  bonds  to  the  purchase  price  of  the
refunding  bonds,  including  interest  accrued  thereon  prior  to  the
issuance thereof. The maturity of such bonds, other than bonds issued to
refund outstanding bonds, shall not exceed the weighted average economic
life, as certified  by  the  office  of  court  administration,  of  the
facilities  in  connection  with  which the bonds are issued, and in any
case not later than the earlier of forty years or the expiration of  the
term  of  any  lease,  sublease  or  other  agreement  relating thereto;
provided that no note, including renewals thereof,  shall  mature  later
than five years after the date of issuance of such note.
2.  No bonds may be issued by the authority in connection with a court
facility or combined occupancy structure unless:
(a) the chief administrator of the courts has certified that the court
facility or facilities in connection with which such  bonds  are  to  be
issued are consistent with the capital plan approved pursuant to section
sixteen hundred eighty-c of this chapter; and
(b)  the  lease,  sublease  or  other agreement with the participating
municipality relating to such court facilities provides that the  plans,
specifications, designs and cost estimates for the design, construction,
reconstruction,  rehabilitation, improvement, furnishing or equipping of

the court facilities in connection with such  bonds  are  to  be  issued
subject  to  the  approval  of  the  chief  administrator  of the courts
pursuant to paragraph (u) of subdivision  one  of  section  two  hundred
twelve of the judiciary law.
3.  Notwithstanding  the  provisions  of any general, special or local
law, charter or ordinance to the contrary, a participating  municipality
may  sell,  convey,  lease,  exchange or otherwise make available to the
authority, for nominal consideration, the title to  or  an  interest  in
real  property for the purpose of providing court facilities or combined
occupancy structures and may enter into any  lease,  sublease  or  other
agreement  with  the  authority  in  connection with court facilities or
combined occupancy structures  without  public  auction  or  bidding  or
restriction  as  to the term of such lease, sublease or other agreement,
provided  that  such  sale,  conveyance,  lease,  exchange,   or   other
disposition  to the authority or lease, sublease or other agreement with
the authority is authorized by the board of county  supervisors  or  the
county legislature of a participating municipality which is a county, or
the common council of a participating municipality which is a city other
than  the  city of New York or, if the participating municipality is the
city of New York, the board of estimate of the city of New York.
4. In the event that a participating municipality fails to pay to  the
authority when due all or part of the rentals and other payments payable
pursuant  to  any  lease,  sublease or agreement with the authority, the
chairman or another officer of the authority shall certify at the  times
provided  in  this  subdivision the amount of rentals and other payments
then due from such participating  municipality  and  unpaid.  The  state
comptroller,  upon  receipt of such certificate, shall deduct the amount
of such rentals and other payments as remains unpaid  to  the  authority
first  from  the aid payable to such participating municipality from the
court facilities incentive aid fund established by  section  ninety-four
of the state finance law and, then, from the next succeeding payments of
state  aid  apportioned  to  such participating municipality, as revenue
sharing,  per  capita  aid,  and  any  other  aid  pursuant  to  section
fifty-four  of the state finance law and, then, from the next succeeding
payments of state aid for any local  governmental  administrative  costs
that  are  reimbursable  to  the  participating municipality pursuant to
state law and, then, from the next succeeding payments of state aid from
moneys appropriated pursuant to section six hundred eight of the  public
health  law  and pursuant to section ten-c of the highway law; provided,
however, that the right of the authority to the payment  of  any  amount
deducted  by  the  state  comptroller  pursuant to this section from per
capita aid apportioned to the city of New  York  shall  be  subject  and
subordinate  to  the  rights  of  the  city university construction fund
pursuant to section sixty-two hundred seventy-nine of the education law,
the New York city housing development corporation  pursuant  to  section
six  hundred  fifty-six of the private housing finance law, the trustees
of the police pension fund pursuant to paragraph e of subdivision  seven
of  section  fifty-four  of  the  state  finance  law, and the municipal
assistance corporation for the city of  New  York  pursuant  to  section
three  thousand  thirty-six-a  of  this  chapter  and subdivision one of
section ninety-two-e of the state finance law. In order to  insure  that
the   amount  of  rentals  and  other  payments  due  and  unpaid  by  a
participating municipality are paid, the authority on or  within  thirty
days   prior   to   January   twenty-fifth,   April  twenty-fifth,  July
twenty-fifth and October twenty-fifth of each year shall certify to  the
state  comptroller the amount of rentals and other payments then due and
unpaid  by  each  participating  municipality  pursuant  to  any  lease,
sublease  or  other agreement. The amount required to be deducted by the

state comptroller pursuant to this subdivision shall  be  deducted  from
such  aid,  whether or not the state aid from which such deduction is to
be made is then payable to the participating municipality, and thereupon
paid  to  the  authority.  The  amount  of  state  aid  payable  to such
participating municipality shall be reduced by the  amount  deducted  by
the  state  comptroller  notwithstanding  the  amount  appropriated  and
apportioned by the state to such  participating  municipality,  and  the
state  shall not be obligated to make and the participating municipality
shall not be entitled to receive any additional apportionment or payment
of such state aid. Nothing shall be construed to  create  an  obligation
upon  the  state  to  appropriate  moneys,  to  preclude  the state from
reducing the amount  of  moneys  appropriated  or  level  of  assistance
provided, or to preclude the state from altering or modifying the manner
in which it provides for or provides assistance.
5. On and after the effective date of this subdivision, when bonds are
issued  by the authority pursuant to this section, the authority and the
participating municipality shall agree in any lease, sublease  or  other
agreement  to  finance  the acquisition, construction, reconstruction or
rehabilitation of a court facility or combined occupancy structure that,
so long as such bonds remain outstanding, the participating municipality
shall  retain  title  to  such  court  facility  or  combined  occupancy
structure  free  of  all  liens  and  encumbrances  except  as  shall be
expressly permitted by such lease, sublease or other agreement.