Section 1366. Exemption from taxation

It is hereby determined that the
  creation of the authority and the carrying out of its corporate purposes
  is in all respects for the benefit of  the  people  of  Oswego  and  its
  environs,  and  is a public purpose, and the authority shall be regarded
  as performing a governmental function in  the  exercise  of  the  powers
  conferred  upon  it by this act and shall be required to pay no taxes or
  assessments upon any of the properties  acquired  by  the  authority  or
  under  its jurisdiction, control or supervision, or upon its activities.
  Bonds or notes issued pursuant to this act,  together  with  the  income
  therefrom, as well as the property of the authority shall be exempt from
  taxation except for transfer and estate taxes.