Section 58 - [Multiple versions] Gateway project1. Findings and declaration of need. The state of New York finds and determines that providing funding for the passenger rail transportation project commonly known as the gateway project, is needed to preserve and improve the functionality and strengthen the resiliency of long-distance and commuter rail infrastructure between the state of New York and the state of New Jersey.2. Definitions. When used in this section: (a) "Commission" shall mean the gateway development commission, a bi-state commission and a body corporate and politic established by the state of New Jersey and the state of New York, acting in the public interest and exercising essential governmental functions in accordance with the Gateway development commission act, and any successor thereto.(b) "Federal transportation loan" shall mean one or more loans made to the commission to finance the Hudson tunnel project under or pursuant to any U.S. Department of Transportation program or act, including but not limited to the Railroad Rehabilitation & Improvement Financing Program or the Transportation Infrastructure Finance and Innovation Act, which loan or loans are related to the state capital commitment.(c) "Gateway development commission act" shall mean chapter 108 of the laws of New York, 2019, as amended.(d) "Gateway project" shall mean the Hudson tunnel project.(e) "Hudson tunnel project" shall mean the project consisting of construction of a tunnel connecting the states of New York and New Jersey and the completion of certain ancillary facilities including construction of concrete casing at Hudson Yards in Manhattan, New York and the rehabilitation of the existing North River Tunnels.(f) "State capital commitment" shall mean (i) an aggregate principal amount not to exceed $2,850,000,000, plus (ii) any interest costs, including capitalized interest, and (iii) related expenses and fees, all of which shall be payable by the state of New York to, or at the direction of, the commission under one or more service contracts or other agreements pursuant to this section, as well as any expenses of the state incurred in connection therewith.(g) "Related expenses and fees" shall mean commitment fees, servicing and monitoring costs, credit risk premium payments and similar charges, administrative fees and other ancillary costs, expenses and fees incurred, and to become due and payable, by the commission in connection with the Federal transportation loan, or by the state in connection with any service contract.3. Notwithstanding any other provision of law to the contrary, in order to provide for the payment for the state capital commitment, the director of the budget is hereby authorized to enter into one or more service contracts or other agreements with the commission, none of which shall exceed the maximum duration of the Federal transportation loan, upon such terms and conditions as the director of the budget and commission agree, so as to provide to or at the direction of the commission, for each state fiscal year, a sum not to exceed the amount required to be paid as principal and interest under the Federal transportation loan for such fiscal year, plus related expenses and fees for such fiscal year. Any such service contract or other agreement shall provide that the obligation of the state to pay the amount therein provided shall not constitute a debt of the state within the meaning of any constitutional or statutory provision and shall be deemed executory only to the extent of monies available, that no liability shall be incurred by the state beyond the monies available for such purpose, and that such obligation is subject to annual appropriation by the legislature. Any such service contract or other agreement and any payments made or to be made thereunder may be assigned and pledged by the commission as security for the repayment by the commission of the Federal transportation loan.4. The director of the budget is also authorized to enter into such other agreements and to take or cause to be taken such additional actions as are necessary or desirable to effectuate the purposes of the transactions contemplated by the state capital commitment provided for herein and the service contract or other agreement authorized by subdivision 3 of this section.5. On or before the beginning of each quarter, the director of the budget shall certify to the state comptroller the estimated amount of monies that shall be reserved in the general debt service fund for payment pursuant to any service contract authorized by subdivision 3 of this section payable by such fund during each month of the state fiscal year. Such certificate may be periodically updated, as necessary. Notwithstanding any provision of law to the contrary, the state comptroller shall reserve in the general debt service fund the amount of monies identified on such certificate as necessary for payment pursuant to any service contract authorized by subdivision 3 of this section during the current or next succeeding quarter of the state fiscal year. Such monies so reserved shall not be available for any other purpose. Such certificate shall be reported to the chairpersons of the Senate Finance Committee and the Assembly Ways and Means Committee.N.Y. Urban Development Corporation Act Law § 58
Amended by New York Laws 2023, ch. 56,Sec. PP-51, eff. 5/3/2023, op. 4/1/2023.Added by New York Laws 2022, ch. 56,Sec. FFF-56, eff. 4/9/2022, op. 4/1/2022.