Section 1279-B. Transition--election to withdraw from the metropolitan commuter transportation district

1. The counties  of  Dutchess,  Orange  and  Rockland  shall  have  an  option to withdraw from the metropolitan
  commuter transportation district and have such withdrawal take effect on
  either: (a) January first, nineteen hundred eighty-seven.  If  any  such
  county  plans  to  withdraw from the district on January first, nineteen
  hundred eighty-seven, it shall (i) no later than seventy-five days after
  the  effective  date  of  this  section,  furnish  the  commissioner  of
  transportation,  and  chairman  of  the authority and the other counties
  which have an option to withdraw, a resolution  adopted  by  the  county
  legislature  providing  notice  of intent to withdraw, (ii) on or before
  October first, nineteen hundred eighty-six, furnish to the  commissioner
  of  transportation,  the  chairman  of  the authority and other counties
  which have an option to withdraw, a resolution  adopted  by  the  county
  legislature providing for a public transportation plan. For the purposes
  of  this  section, a "public transportation plan" shall mean a plan that
  maintains adequate and continuous public  transportation  services  from
  the  withdrawing  county  to  the  city  of  New  York  or  any terminus
  previously  served,  provides  a  reasonable  level  of  rail  passenger
  service, provides a schedule for implementing such service, protects the
  public  investment  in  the  rail  transportation  system  and any other
  criteria deemed necessary by the commissioner of  transportation.  Prior
  to  withdrawal  pursuant  to  this  paragraph  or  paragraph (b) of this
  subdivision, a county must receive approval of its public transportation
  plan pursuant to paragraph (c) of this subdivision, (iii) on  or  before
  December   fifteenth,   nineteen   hundred   eighty-six,   furnish   the
  commissioner  of  transportation,  a  copy  of  an  agreement  with  the
  authority  or an operator of rail passenger service for the provision of
  rail passenger service to and from such county and the city of New  York
  or any terminus previously served.
    If  a  county  planning to withdraw on January first, nineteen hundred
  eighty-seven is unable  to  withdraw  because  it  could  not  meet  the
  requirements  of  this  paragraph,  it may elect to withdraw pursuant to
  paragraph (b) of this subdivision hereafter.
    (b) January first, nineteen hundred  eighty-eight  or  January  first,
  nineteen  hundred  eighty-nine.  If any such county plans to withdraw on
  either January first, nineteen hundred eighty-eight  or  January  first,
  nineteen  hundred  eighty-nine,  it  shall (i) no later than ninety days
  after the first of January of the year immediately preceding the year in
  which such county plans to  withdraw  from  the  district,  furnish  the
  commissioner  of  transportation,  the chairman of the authority and the
  other counties which have an option to withdraw, a resolution adopted by
  the county legislature providing notice of intent to withdraw  from  the
  district,  (ii) no later than one hundred twenty days after the first of
  January of the year immediately preceding the year in which such  county
  plans  to  withdraw  from  the  district  furnish to the commissioner of
  transportation, the chairman of the authority  and  the  counties  which
  have   an  option  to  withdraw  a  resolution  adopted  by  the  county
  legislature providing a public transportation plan as described in  this
  section,  (iii)  on  or  before  October  first  of the year immediately
  preceding the year in which such  county  plans  to  withdraw  from  the
  district,  furnish  to  the commissioner a copy of an agreement with the
  authority or an operator of rail passenger service for the provision  of
  rail  passenger service to and from such county and the city of New York
  or any terminus previously served.
    (c)  No  later  than  thirty  days  after  receipt   of   the   public
  transportation   plan  the  commissioner  of  transportation  shall,  in
  writing, either approve such plan as conforming  with  the  requirements

  heretofore  described  or  disapprove  such plan as failing to meet such
  requirements and the reasons therefor. Disapproval of a plan  shall  not
  prohibit  a  county  from  resubmitting a public transportation plan and
  such  resubmitted  plan  shall  be approved or disapproved no later than
  fifteen days after receipt by the commissioner  of  transportation.  The
  public  transportation  plan  shall  be  subject to any state or federal
  public hearing requirements which the authority would be subject  to  if
  the authority made the changes proposed by such plan.
    (d)  Any  such  county  which plans to withdraw from the district must
  meet the requirements of this section prior to  the  effective  date  of
  withdrawal,  and  no  withdrawal  for the purposes of this section shall
  take effect unless such county furnishes the resolutions  and  agreement
  prior to the effective date of withdrawal.
    2. The authority and any subsidiary corporation of the authority shall
  enter  into  an  agreement  or  agreements  with  a county that plans to
  withdraw from the district to transfer and assign  to  such  county  all
  authority  and subsidiary railroad facilities and operations, rights and
  obligations, and contract rights and  obligations,  including  operating
  contract  rights  and obligations, which are owned, operated, maintained
  or used directly or by contract or which are otherwise involved  in  the
  provision  of  railroad  services to such counties. Such agreement shall
  provide, in the event a facility,  operation,  right  or  obligation  is
  necessary and material to the provision of rail passenger service in the
  district  or  is  not  assignable  under  applicable  bond  covenants or
  contracts or the parties agree that it should not be assigned, that  the
  authority   or   subsidiary  thereof  shall  continue  to  hold  and  be
  responsible for such facility, operation, right or obligation  and  that
  such county shall reimburse to the authority that portion of the cost to
  the   authority  or  subsidiary  of  its  retention  of  such  facility,
  operation, right or obligation that is allocable to such county. If  the
  parties agree that the authority or subsidiary thereof shall operate the
  railroad  facilities  in  a  county  after  the  effective  date of such
  county's withdrawal, the agreement also shall provide for the terms  and
  conditions of the operation of such service.
    3.  Within  forty-five days of the effective date of this section, the
  authority and any subsidiary corporation of the authority shall  provide
  to  the  counties  of Dutchess, Orange and Rockland a written statement,
  including cost estimates and the useful life, if  any,  of  all  of  its
  facilities, operations, rights and obligations relating to the provision
  of rail service in such counties.
    4.  The  authority  and any subsidiary corporation of the authority is
  authorized to enter into an agreement or agreements with a  county  that
  plans  to withdraw from the district, pursuant to which the authority or
  subsidiary thereof will provide  technical  assistance  to  such  county
  prior  to, during and after the withdrawal, with respect to the transfer
  of ownership, operation, maintenance  and  use  of  railroad  facilities
  within such county. Such agreement may provide that the county reimburse
  the  authority  or  its subsidiary for the cost to the authority and its
  subsidiary for the provision of such technical assistance.
    5. The authority shall have no obligation to undertake or continue any
  project or part thereof in a current  or  future  capital  program  plan
  which  pertains  to  railroad  facilities within or services to a county
  that withdraws from the district on or after such date of withdrawal nor
  shall the authority enter into  any  contract  for  a  project  or  part
  thereof  which would increase liabilities pursuant to subdivision six of
  this section in a county after such county notifies the authority of its
  intent to withdraw as provided  in  subdivision  one  of  this  section,
  provided, however, that if the authority has executed a contract for the

  effectuation  of  a project or part thereof in a capital program plan in
  such county, it shall be assigned to  such  county  in  accordance  with
  subdivision  two of this section, unless the parties agree that it shall
  not  be assigned and that the authority or its subsidiary shall continue
  to be responsible therefor, in which event the  county  shall  reimburse
  the  authority  or  its  subsidiary in accordance with the provisions of
  subdivision two of this section.
    6. Any county which withdraws from the district shall reimburse to the
  authority or its subsidiary, within the time period  agreed  to  by  the
  parties, any capital expenditures heretofore undertaken by the authority
  or  its subsidiary for railroad facilities only within such county which
  were  financed  by  commuter  railroad  revenue  bonds  issued  by   the
  metropolitan transportation authority pursuant to section twelve hundred
  sixty-nine of this article and are assigned to such county in accordance
  with the provisions of subdivision two of this section.
    7.  The  obligations  of  a county that withdraws from the district to
  reimburse the authority and any subsidiary corporation of the  authority
  for  the  costs  of operation, maintenance and use of passenger stations
  pursuant to section twelve hundred seventy-seven of this article,  shall
  continue  for  any  such  costs incurred up to the effective date of the
  county's withdrawal from the district and for costs incurred  thereafter
  that  result  from acts preceding such withdrawal, and the applicability
  of the payment provisions and procedures of such section twelve  hundred
  seventy-seven  to  such county shall continue thereafter with respect to
  the aforesaid costs.
    8. In the event of a county's failure to make payment  of  any  monies
  determined  by  the  authority  to  be owed and due it or any subsidiary
  corporation of the authority pursuant to  the  terms  of  any  agreement
  entered  into  pursuant  to this section, the authority is authorized to
  recover such payments in the same manner as in  section  twelve  hundred
  seventy-seven  of  this article and the state comptroller shall withhold
  and pay monies to the authority in accordance with  the  procedures  set
  forth in that section.
    9.  The term of office of any resident of a county that withdraws from
  the district under this section,  as  a  member  of  the  board  of  the
  authority,  the  Metro-North  rail  commuter  council  or the management
  advisory board, which is based upon  residence  in  such  county,  shall
  terminate  upon  the  county's withdrawal and the office shall be deemed
  vacant and filled in the manner provided by law.
    10. The provisions of this section and all  agreements  undertaken  in
  accordance herewith shall be subject to the rights of the holders of any
  outstanding bonds or notes issued by the authority.