Section 19-401. Authorization of reduced fare contracts

a. The board of
  estimate  shall  have  the  power,  pursuant  to  section  one   hundred
  nineteen-r  of  the  general  municipal law, to enter into a contract or
  contracts with any person, firm or corporation owning  and  operating  a
  mass  transportation  facility  within  the  city  in  order  to provide
  transportation at a reduced fare during specified  days  and  hours  for
  eligible  residents of the city who are over sixty-five years of age and
  not fully employed.
    b. Any such contract may provide for reimbursement of  the  actual  or
  estimated  difference  between  the  reduced  fare  collected  from such
  passengers  and  the  established  rate  of  fare,   plus   such   other
  administrative  costs as may be incurred by the contracting person, firm
  or corporation.
    c. The  separate  and  additional  approval  of  the  mayor  shall  be
  necessary to the validity of any such contract.