§ 20-e. State office buildings and other public improvements in certain cities. 1. Notwithstanding any other provision of law, general, special or local, every city is hereby authorized and empowered:

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(a) To acquire by purchase, gift or dedication, or by acquisition in the manner provided by the eminent domain procedure law, property within such city as a site for an office building or buildings and appurtenances, suitable for the primary use of state departments, agencies and employees, and other public improvements and appurtenances, which site may be located within a larger area previously acquired and cleared under an urban renewal program.

(b) To acquire property from the state as such a site, by lease for a term not exceeding forty years, or by a quitclaim deed conveying all the right, title and interest of the people of the state in and to such property, and to agree that if the city shall fail, within five years from the date of such conveyance, to construct an office building or to construct, reconstruct or otherwise provide a public improvement on such property as may be required by the terms of a contract entered into with the state commissioner of general services in accordance with the provisions of this section, or if any office building so constructed on such property ceases to be used primarily for state purposes, then and in either event, such property shall revert to the people of the state with right of re-entry thereupon; provided, however, that as a condition precedent to the exercise of such right of re-entry the state shall pay to the city such amount as may be specified in a contract or lease entered into between the state commissioner of general services and the city in accordance with the provisions of this act, which amount may equal (i) the purchase price of the city for such property, (ii) the depreciated costs of the city for all buildings, public improvements and appurtenances constructed thereon pursuant to any such contract or lease, and (iii) all other costs of the city incurred pursuant to such contract or lease incident to such property and the construction of such office buildings and the construction, reconstruction or provision of public improvements and appurtenances, including the cost of original fixtures, furnishings, equipment, machinery and apparatus, if any, included in such work or purchased by the city. Upon the exercise by the state of such right of re-entry, the city shall establish a sinking fund pursuant to subdivision six of § 20 of the general city law and any payment made by the state upon exercise of such right of re-entry, to the extent necessary, shall be paid into such fund which shall be maintained solely for the liquidation of the principal of and interest on any indebtedness contracted or incurred by the city in relation to the property which so reverts to the people of the state of New York.

(c) To enter into a contract or contracts with the state commissioner of general services on behalf of the state providing for the construction on such property of one or more office buildings, suitable for the primary use of state departments, agencies and employees, and for the construction, reconstruction or other provision of other public improvements and appurtenances.

(d) To clear such property, close and open streets and public ways, and demolish existing structures as may be required by any such contract with the state commissioner of general services and to construct one or more such office buildings and to construct, reconstruct or otherwise provide for other public improvements and appurtenances in accordance with plans and specifications approved by the state commissioner of general services and incorporated in any such contract.

(e) To designate the state commissioner of general services as its agent in connection with the construction of one or more such office buildings and the construction, reconstruction or provision of other public improvements and appurtenances by the city pursuant to any such contract with the state commissioner of general services, provided that in such case, construction, reconstruction or other contracts in connection therewith shall be let by the state commissioner of general services to the lowest responsible bidder, after public advertisement, in the manner provided in § 8 of the public buildings law.

(f) To purchase through the state office of general services, in accordance with § 104 of the general municipal law, such furnishings, equipment, machinery and apparatus, not included in the construction plans and specifications, as may be specified by contract with the state commissioner of general services for installation in an office building, public improvement or appurtenances, and to install, alter or improve the same in accordance with such contract.

(g) To lease to the state, for possession upon the completion of work, all office buildings and public improvements and appurtenances constructed, reconstructed or provided pursuant to any such contract with the state commissioner of general services, together with the original furnishings, equipment, machinery and apparatus installed therein pursuant to paragraph (f) of this subdivision, and to lease the property upon which such office buildings, public improvements and appurtenances are constructed, reconstructed or provided if such property is owned by the city or to sublease such property to the state if leased to the city, for a term not exceeding forty years and upon such terms and conditions including a fair and reasonable annual rental as may be agreed upon between the city and the state commissioner of general services. The limitations set forth in subdivision two of section twenty-three of this article shall not apply to any such lease.

(h) To sublease from the state an office building or public improvement, or space therein, for the use of city departments, agencies, or employees.

(i) To convey to the state title to all such office buildings and public improvements and appurtenances, and to the property upon which the same are constructed, reconstructed or provided if such property is owned by the city, in fee simple at the expiration of the term of any such lease or upon the earlier payment in full of the total amount specified in any such contract or lease with the state commissioner of general services, without additional charge therefor.

(j) To make appropriate provision in any contract or lease with the state as to liability on account of loss or damage caused by fire, explosion or other catastrophe and as to whether any property, office building, public improvement and appurtenance shall be insured against loss or damage from such causes, for the payment of the cost of such insurance and for the application of (i) any payments made by the state in respect of such liability, or (ii) the proceeds of any such insurance received by the city. If, under the terms of such contract or lease, any payments so made by the state or the proceeds of any such insurance so received by the city are not used to rebuild or repair the property, office building, public improvement or appurtenance destroyed or damaged, the city shall establish a sinking fund pursuant to subdivision six of section twenty of this chapter and, to the extent necessary, shall pay any such payments so made by the state or the proceeds of any such insurance so received into such fund which shall be maintained solely for the liquidation of the principal of and interest on any indebtedness contracted or incurred by the city in relation to the property, office building, public improvement or appurtenance so destroyed or damaged.

(k) From time to time, to authorize, issue and sell obligations, pursuant to the local finance law, to pay the costs of acquiring property, of constructing office buildings, of constructing, reconstructing or otherwise providing other public improvements and appurtenances, including in each case architectural and engineering fees, and of purchasing original furnishings, equipment, machinery and apparatus therefore pursuant to this section. The acquisition of such property, the construction of such office buildings, the construction, reconstruction or other provision of other public improvements and appurtenances and the purchase of such original furnishings, equipment, machinery and apparatus are hereby declared city purposes.

(l) To enter into a contract or contracts in accordance with the provisions of this section, with the state commissioner of general services and with any county containing such city which contract or contracts may provide for:

(i) The acquisition by such city of land suitable for the establishment thereon of a portion of a complex, the remainder of which complex is to be established upon the contiguous site of an office building or buildings suitable for the primary use of state departments, agencies and employees.

(ii) The construction by the city on its land of a building or buildings and public improvements and appurtenances for the uses and purposes of the city and such county.

(iii) The designation by the city of the state commissioner of general services to act as its agent for the joint design, development, construction, reconstruction and provision of the portions of the complex containing common facilities, in accordance with plans and specifications approved by the state commissioner of general services and the city.

(iv) The payment by the state in the first instance, whenever state funds therefor are made available, of any and all costs and expenses of the design, development, construction, reconstruction and development of the portions of the complex containing the common facilities, subject to payment to and reimbursement of the state by the city of its proportionate share of the said costs and expenses, at the time and in the amounts specified in the contract.

(v) The granting, acceptance and exchange of easements, licenses and rights-of-way in, on, over and under any land, building or public improvement in connection with the construction or use of the complex.

(vi) The operation, maintenance and repair by the state and city and such county of the common facilities of the complex and for the payment and reimbursement by the state and city and such county of all costs of such operation, maintenance and repair.

(vii) The defense against claims by third parties arising out of the ownership, operation and control of the common facilities, by insurance or otherwise.

(viii) The repair and reconstruction of any building, common facility, public improvement and appurtenance within the complex damaged or destroyed by fire, explosion or other catastrophe.

(ix) The lease by such city and the state of stores and restaurants within the common facilities for the convenience of state and municipal employees and the public at large upon such terms and conditions, including consideration and length of term as such city and the commissioner of general services deem proper.

2. For purposes of this section:

(a) The term "property" is defined to include lands, waters, rights in lands or waters, structures, franchises and interests in land, including lands under water and riparian rights, and any and all other things and rights usually included within the definition of real property and includes also any and all interests in such property less than full title, such as easements permanent or temporary, rights-of-way, uses, leases, licenses and all other incorporeal hereditaments and every estate, interest or right, legal or equitable.

(b) The term "public improvement" or "public improvements" is defined to include but not limited to a courthouse, an archives and records center, a museum, a laboratory, a park, a garden, a recreation area, restaurants, shops, the installation of trees, shrubs and other landscaping, a monument, fountain, sculpture, a plaza, a substructure and parts thereof, mechanical, pedestrian or vehicular accessways, a parking garage, a parking lot, a pedestrian walkway or overpass or underpass, an arterial highway or connection, a crossroad or access road, a transportation terminal or shelter, a meeting hall, a civil defense shelter against radioactive fallout or blast, and other public structures and facilities intended for the use of state or municipal employees and the public at large.

(c) The term "appurtenances" is defined to include but is not limited to fixtures, equipment, machinery and apparatus which are an integral part of an office building or public improvement and service units and other connections and installations for power, water, sewer, gas, electrical, telephone, heating, air conditioning, ventilating, snow melting, and other utility services.

(d) The term "governmental building complex" or "complex" is defined to mean any building or group of buildings together with their common facilities, related public improvements and appurtenances, constructed by the state and any city and such county as an integrated unit for the primary use of state and municipal offices, departments, agencies, employees and the public at large.

(e) "Common facility" or "common facilities" is defined to mean public improvements or appurtenances for the joint use and benefit of occupants of a governmental building complex.

3. Except as otherwise provided in relation to any amount paid by the state upon the exercise of a right of re-entry upon property which reverts to the people of the state of New York, or in relation to any payment made by the state on account of loss or damage caused by fire, explosion or other catastrophe, or in relation to any proceeds of insurance, any moneys received by a city from the state in accordance with the provisions of any contract or lease entered into between the city and the state commissioner of general services pursuant to this section shall be applied to and actually used for payment of all costs of operation, maintenance and repair, if required by such contract or lease to be performed by the city, and for payment of any interest on and amortization of or redemption of any city obligations issued pursuant to paragraph (k) of subdivision one of this section, or such moneys shall be deposited in a special fund to be used solely for such payments. The application and use of such payments, or the deposits required therefor, shall not prohibit the city from using any such moneys, in excess of such payments or deposits in any one year, for any lawful city purpose.