Opinion ID: 2590048
Heading Depth: 1
Heading Rank: 3

Heading: the lipa act

Text: The Act created LIPA, a not-for-profit public corporation, to implement the Legislature's multiple objectives and policies (Public Authorities Law § 1020-c [1]). It conferred broad authority and power on LIPA to fulfill the primary statutory objectives: closing Shoreham, replacing LILCO as the provider of electric and gas power on Long Island, reducing power costs, or all of these (Public Authorities Law §§ 1020-f, 1020-g, 1020-h). The Act authorized LIPA to acquire all or any part of LILCO's securities or assets  including, of course, Shoreham  to further the legislative findings as [LIPA] in its sole discretion may determine providing that prior to any such acquisition LIPA determines that higher utility rates will not result (Public Authorities Law § 1020-h [2] [emphasis added]). LIPA is authorized to acquire LILCO's securities or assets through negotiated instrument, tender offer or eminent domain (Public Authorities Law § 1020-h). The Act mandated that LIPA close and decommission Shoreham forthwith upon acquisition and consider possible alternative uses (Public Authorities Law § 1020-h [9]). It expressly prohibited LIPA from operating a nuclear power facility (Public Authorities Law § 1020-t), and gave LIPA the power to determine the location, type, size, construction, lease, purchase, ownership, acquisition, use and operation of any generating, transmission or other related facility (Public Authorities Law § 1020-g [c]). Under the Act, LIPA is authorized to make and execute agreements and contracts necessary or convenient in the exercise of [its] powers and functions (Public Authorities Law § 1020-f [h]) and all State agencies are authorized to enter into and do all things necessary to perform any such agreement (Public Authorities Law § 1020-f [h]).