Section 2050-N. Exemption from taxes, assessments and certain fees

1. It is
  hereby  determined  that the creation of the agency and the carrying out
  of its corporate purposes is in all respects  for  the  benefit  of  the
  people  of  the  county  and  the  state and is a public purpose and the
  agency shall be regarded as performing a governmental  function  in  the
  exercise  of the powers conferred upon it by this title and shall not be
  required to pay any taxes or assessments upon any property owned  by  it
  or   under   its  jurisdiction,  control  or  supervision  or  upon  its
  activities, or any filing,  recording  or  transfer  fees  or  taxes  in
  relation  to  instruments filed, recorded or transferred by it or on its
  behalf. The construction, use, occupation or possession of any  property
  owned  by  the  agency or the county, including improvements thereon, by
  any person or public corporation under a lease, lease  and  sublease  or
  any other agreement shall not operate to abrogate or limit the foregoing
  exemption,  notwithstanding that the lessee, user, occupant or person in
  posssession shall claim ownership for federal income tax  purposes.  The
  agency  shall  be  deemed a public authority for the purposes of section
  four hundred twelve of the real property tax law.
    2. Any bonds issued pursuant to this title together  with  the  income
  therefrom  as  well  as  the property of the agency shall be exempt from
  taxes, except for transfer and estate taxes. The state hereby  covenants
  with  the  purchasers and with all subsequent holders and transferees of
  bonds issued by the agency pursuant to this title, in  consideration  of
  the  acceptance  of  any  payment  for  the bonds, that the bonds of the
  agency issued pursuant to this title and the income  therefrom  and  all
  revenues,  moneys  and  other  property pledged to secure the payment of
  such bonds shall at all times be free from taxation, except for transfer
  and estate taxes.