Bill Text: NY A00596 | 2011-2012 | General Assembly | Amended


Bill Title: Requires the MTA to renegotiate the joint service operating agreement with the State of Connecticut; eliminates the metropolitan commuter transportation tax imposed on the residents of Dutchess, Orange, Putnam and Rockland counties.

Spectrum: Slight Partisan Bill (Democrat 5-3)

Status: (Introduced - Dead) 2012-01-09 - print number 596b [A00596 Detail]

Download: New_York-2011-A00596-Amended.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                        596--A
                              2011-2012 Regular Sessions
                                 I N  A S S E M B L Y
                                      (PREFILED)
                                    January 5, 2011
                                      ___________
       Introduced  by M. of A. GUNTHER, JAFFEE, ZEBROWSKI, GALEF, CAHILL, MOLI-
         NARO, RABBITT, CALHOUN -- read once and referred to the  Committee  on
         Corporations,  Authorities  and  Commissions  -- committee discharged,
         bill amended, ordered reprinted as amended  and  recommitted  to  said
         committee
       AN  ACT to amend the public authorities law and the tax law, in relation
         to requiring the metropolitan transportation authority to  renegotiate
         the joint service operating agreement with the state of Connecticut
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1.  Legislative findings and intent.  The  legislature  recog-
    2  nizes  that  transit  riders  within  the  counties of Dutchess, Orange,
    3  Putnam and Rockland comprise only one percent of the combined population
    4  of these counties; only ten percent of all Metro-North Commuter Railroad
    5  riders and only two tenths of  one  percent  of  New  York  city  subway
    6  riders.
    7    The  legislature  further recognizes that under chapter 25 of the laws
    8  of 2009, these four counties have been mandated to contribute more  than
    9  ninety million dollars in added revenues to the metropolitan transporta-
   10  tion  authority  to  supplement  the  two  hundred  seventy-five million
   11  dollars in county payments already being made  to  the  authority  every
   12  year.
   13    The  legislature acknowledges that this level of payment totaling over
   14  three hundred sixty-five million dollars annually or close to thirty-two
   15  thousand dollars per transit rider reflects an unfair  burden  on  resi-
   16  dents  of these counties in which the overwhelming majority of residents
   17  receive no transit services from the metropolitan transportation author-
   18  ity at all.
   19    The legislature further recognizes that twenty-six percent  of  Metro-
   20  North  Commuter  Railroad  transit  riders are Connecticut residents who
   21  were not asked to contribute to the metropolitan transportation authori-
   22  ty operating deficit bailout formulated under chapter 25 of the laws  of
   23  2009.
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD02327-05-1
       A. 596--A                           2
    1    It  is  not  the  intent of the legislature within this legislation to
    2  negatively impact the level  of  revenue  flowing  to  the  metropolitan
    3  transportation  authority.  It  is  however  the legislature's intent to
    4  ensure fairness to the residents of the counties  of  Dutchess,  Orange,
    5  Putnam and Rockland by eliminating the metropolitan commuter transporta-
    6  tion  tax  imposed  upon the residents of these four counties; requiring
    7  transit riders within these counties to pay increased fares of  thirteen
    8  percent;  and  requiring  the  metropolitan  transportation authority to
    9  renegotiate or terminate the joint service operating  agreement  between
   10  the  authority  and  the state of Connecticut to reflect equity based on
   11  utilization.
   12    S 2. Section 1266 of the public authorities law is amended by adding a
   13  new subdivision 19 to read as follows:
   14    19. THE AUTHORITY IS REQUIRED  BY  MARCH  THIRTY-FIRST,  TWO  THOUSAND
   15  TWELVE TO:
   16    (A)  RENEGOTIATE THE JOINT SERVICE AGREEMENT BETWEEN THE AUTHORITY AND
   17  THE STATE OF CONNECTICUT RELATED TO THE OPERATION OF THE METRO-NORTH NEW
   18  HAVEN LINE TO (I)  REQUIRE  CONNECTICUT  TO  SET  NEW  HAVEN  LINE  FARE
   19  INCREASES  AT LEVELS NECESSARY TO SUSTAIN EQUIVALENT FARE LEVELS BETWEEN
   20  NEW YORK STATE RESIDENTS RIDING THE METRO-NORTH  COMMUTER  RAILROAD  AND
   21  CONNECTICUT  RESIDENTS  RIDING  THE  METRO-NORTH COMMUTER RAILROAD, (II)
   22  REQUIRE THAT CONNECTICUT OPERATING DEFICIT  SUBSIDY  PAYMENTS  SHALL  BE
   23  BASED  ON  CONNECTICUT  RESIDENT UTILIZATION OF THE METRO-NORTH COMMUTER
   24  RAILROAD AND CONNECTICUT RESIDENT UTILIZATION OF THE NEW YORK CITY TRAN-
   25  SIT AUTHORITY WITH SUCH SUBSIDIES TO BE DETERMINED  BY  MULTIPLYING  THE
   26  CONNECTICUT  RESIDENT UTILIZATION PERCENTAGES FOR THE METRO-NORTH COMMU-
   27  TER RAILROAD AND THE NEW YORK CITY TRANSIT AUTHORITY BY  THE  RESPECTIVE
   28  BASELINE  OPERATING DEFICIT OF THESE OPERATING ENTITIES PRIOR TO SUBSIDY
   29  ADJUSTMENTS AND PRIOR TO INCREASED REVENUES PROVIDED TO THE AUTHORITY BY
   30  NEW YORK STATE RESIDENTS PURSUANT TO PAYMENTS MANDATED BY CHAPTER  TWEN-
   31  TY-FIVE OF THE LAWS OF TWO THOUSAND NINE, AND (III) PROVIDE FOR RETROAC-
   32  TIVE  LUMP  SUM  PAYMENTS  DUE  FROM THE STATE OF CONNECTICUT RELATED TO
   33  CALENDAR YEARS TWO THOUSAND TEN AND TWO THOUSAND ELEVEN; OR
   34    (B) REDUCE SERVICES AND EXPENSES RELATED TO THE METRO-NORTH NEW  HAVEN
   35  LINE  OPERATION  BY  AN  AMOUNT  WHICH PRODUCES RECURRING SAVINGS TO THE
   36  AUTHORITY WHICH ARE EQUIVALENT TO THE INCREASED JOINT SERVICE  AGREEMENT
   37  PAYMENTS  WHICH WOULD BE DETERMINED UNDER PARAGRAPH (A) OF THIS SUBDIVI-
   38  SION; OR
   39    (C) NOTWITHSTANDING ANY PROVISION OF THIS SECTION OR ANY OTHER LAW  TO
   40  THE  CONTRARY,  TERMINATE  THE  AMENDED  AND RESTATED SERVICE AGREEMENT,
   41  DATED AS OF JUNE 21, 1985, AND ANY AMENDMENTS AND/OR MODIFICATIONS THER-
   42  ETO, INCLUDING BUT NOT LIMITED TO ANY AND ALL ARBITRATION  OPINIONS  AND
   43  AWARDS,  PURSUANT TO ARTICLE TWELVE OF SAID AMENDED AND RESTATED SERVICE
   44  AGREEMENT.
   45    S 3. Subdivision (a) of section 800  of  the  tax  law,  as  added  by
   46  section  1  of  part  C of chapter 25 of the laws of 2009, is amended to
   47  read as follows:
   48    (a) Metropolitan commuter transportation  district.  The  metropolitan
   49  commuter  transportation  district  ("MCTD") means the area of the state
   50  included in the district created and governed by section twelve  hundred
   51  sixty-two  of  the  public  authorities  law, PROVIDED HOWEVER, THAT THE
   52  COUNTIES OF DUTCHESS, ORANGE, PUTNAM AND ROCKLAND SHALL BE EXCLUDED FROM
   53  THIS DISTRICT FOR THE PURPOSES OF THIS ARTICLE AND ANY  REVENUES  PREVI-
   54  OUSLY  COLLECTED  FROM WITHIN THESE COUNTIES SHALL BE REIMBURSED TO EACH
   55  PAYOR BY MARCH THIRTY-FIRST, TWO THOUSAND TWELVE.
   56    S 4. This act shall take effect immediately.
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