2019 New York Laws
CAL - Canal
Article 5 - Acquisition of Property for the Canal System
40 - Acquisition of Property.

Universal Citation: NY Canal L § 40 (2019)
§  40.  Acquisition  of  property.  1.  The  acquisition  of  property
necessary for purposes of the improvement,  use,  maintenance,  control,
management  or  repair  of  the  canal  system, shall be pursuant to the
provisions of the eminent domain procedure law by the corporation or  by
the commissioner of transportation at the request of the corporation.
  2.  The  commissioner of transportation or the corporation as the case
may be, shall cause to be prepared an accurate acquisition  map  of  any
property  which  he or it may deem necessary for purposes connected with
the canal system or of any property in and to which he or  it  may  deem
the  acquisition  or  exercise  of  an easement, interest or right to be
necessary for such purposes, indicating and describing in each case  the
particular  easement,  interest or right. On the approval of such map by
the commissioner of transportation or the corporation as  the  case  may
be, he or it shall acquire such property, easements, interests or rights
pursuant to the provisions of the eminent domain procedure law.
  3.  If  the  corporation  shall determine, prior to the filing of such
copy of the map in the  office  of  the  county  clerk  or  register  as
aforesaid,  that  changes,  alterations  or modifications of such map as
filed in the  main  office  of  the  corporation  should  be  made,  the
corporation  shall,  subject  to  the  provisions  of article two of the
eminent domain procedure law, if applicable, direct the  preparation  of
an  amended  map,  either by preparing a new map or by making changes on
the original tracing of  such  map,  with  a  notation  indicating  such
changes.  On  the  approval  of  such amended map by the corporation, it
shall be filed in the main office of the corporation in the same  manner
as  the  original  map was filed, and the amended map shall thereupon in
all respects and for all purposes supersede the map previously filed.
  4. If the corporation shall determine, prior to  the  filing  of  such
copy  of  the  map  in  the  office  of  the county clerk or register as
aforesaid, that such map should be withdrawn, the corporation shall file
a certificate of withdrawal  in  the  offices  of  the  corporation  and
department  of  law.  Upon the filing of such certificate of withdrawal,
the map to which it refers shall be canceled and all  rights  thereunder
shall cease and terminate.
  5.  The  commissioner of transportation or the corporation as the case
may be, shall deliver to the attorney general a copy of such acquisition
map whereupon it shall be the duty of the attorney general to advise and
certify to the commissioner of transportation  or  the  corporation  the
names  of  the  owners  of  the property, easements, interests or rights
described in the said acquisition  map,  including  the  owners  of  any
right, title or interest therein pursuant to the requirements of section
four hundred three of the eminent domain procedure law.
  6. If, at or after the vesting of title to such property in the people
of the state of New York as provided for in the eminent domain procedure
law,  the  commissioner of transportation or the corporation as the case
may be shall deem it necessary to cause the removal of an owner or other
occupant from such property it may cause such owner or other occupant to
be removed therefrom by  proceeding  in  accordance  with  section  four
hundred  five of the eminent domain procedure law. The proceedings shall
be brought in the name of the  commissioner  of  transportation  or  the
corporation as agent of the state. If any person proceeded against shall
contest  the  petition  by  an  answer,  the  attorney  general shall be
notified, and he  thereafter  shall  represent  the  petitioner  in  the
proceedings.  No execution shall issue for costs, if any awarded against
the state, the commissioner of transportation or  the  corporation,  but
they  shall  be part of the costs of the acquisition and be paid in like
manner. Proceedings may be brought separately against one or more of the
owners or other occupants of  a  property,  or  one  proceeding  may  be

brought  against  all or several of the owners or other occupants of any
or all property within the territorial jurisdiction of the same  justice
or  judge;  and judgment shall be given for immediate removal of persons
defaulting  in appearance or in answering, or withdrawing their answers,
if any, without awaiting the trial  or  decision  of  issues  raised  by
contestants, if any.
  7.  Upon  making  any  agreement provided for in section three hundred
four  of  the  eminent  domain  procedure  law,  the   commissioner   of
transportation  or  the  corporation as the case may be shall deliver to
the comptroller such agreement and a certificate stating the amount  due
such  owner or owners thereunder on account of such appropriation of his
or their property and the amounts so fixed shall be paid pursuant to all
relevant provisions of the public authorities law,  the  eminent  domain
procedure law and the state finance law.
  8. Application for reimbursement of incidental expenses as provided in
section  seven  hundred two of the eminent domain procedure law shall be
made to the corporation upon forms prescribed  by  the  corporation  and
shall be accompanied by such information and evidence as the corporation
may  require.  Upon  approval of such application, the corporation shall
deliver a copy thereof, to the comptroller together with  a  certificate
stating  the  amount  due thereof, and the amount so fixed shall be paid
out of funds available  for  the  acquisition  of  property  under  this
section.
  9.  The  corporation  shall  establish and may from time to time amend
rules and regulations authorizing the payment of actual  reasonable  and
necessary  moving expenses of occupants of property acquired pursuant to
this section; of actual direct losses of tangible personal property as a
result of moving or discontinuing a business or farm operation, but  not
exceeding  an  amount  equal  to the reasonable expenses that would have
been  required  to  relocate  such  property,  as  determined   by   the
corporation;   and   actual  reasonable  expenses  in  searching  for  a
replacement business or farm; or  in  hardship  cases  for  the  advance
payment  of such expenses and losses. For the purposes of making payment
of such expenses and losses only the term "business"  means  any  lawful
activity  conducted  primarily  for  assisting  in  the  purchase, sale,
resale, manufacture, processing or marketing of  products,  commodities,
personal  property  or  services  by  the erection and maintenance of an
outdoor advertising display or displays, whether or not such display  or
displays  are  located  on  the  premises  on  which  any  of  the above
activities are conducted. Such rules and regulations may further  define
the  terms  used  in this subdivision. In lieu of such actual reasonable
and necessary moving expenses, any such displaced  owner  or  tenant  of
residential  property  may  elect  to accept a moving expense allowance,
plus a dislocation allowance, determined in accordance with  a  schedule
prepared  by  the  corporation  and  made  a  part  of  such  rules  and
regulations. In lieu of such  actual  reasonable  and  necessary  moving
expenses,  any such displaced owner or tenant of commercial property who
relocates or discontinues his business or farm operation  may  elect  to
accept  a  fixed  relocation  payment  in an amount equal to the average
annual net earnings of the business or farm operation, except that  such
payment  shall  be  not  less than two thousand five hundred dollars nor
more than ten thousand dollars. In the case of a business, no such fixed
relocation payment shall  be  made  unless  the  corporation  finds  and
determines  that  the business cannot be relocated without a substantial
loss of its existing patronage, and that the business is not part  of  a
commercial  enterprise having at least one other establishment, which is
not being acquired by the state or the United States, which  is  engaged
in  the  same or similar business. In the case of a business which is to

be discontinued but for which the findings and determinations set  forth
above  cannot  be  made, the corporation may prepare an estimate of what
the actual reasonable and necessary moving expenses,  exclusive  of  any
storage charges, would be if the business were to be relocated and enter
into  an agreed settlement with the owner of such business for an amount
not to exceed such estimate  in  lieu  of  such  actual  reasonable  and
necessary   moving   expenses.   Application   for  payment  under  this
subdivision shall be made to the corporation upon forms prescribed by it
and shall be  accompanied  by  such  information  and  evidence  as  the
corporation   may  require.  Upon  approval  of  such  application,  the
corporation shall deliver a copy thereof  to  the  comptroller  together
with  a certificate stating the amount due thereunder, and the amount so
fixed shall be paid out  of  the  state  treasury  after  audit  by  the
comptroller  from  moneys  appropriated  for the acquisition of property
under this section. As used in this  subdivision  the  term  "commercial
property"  shall  include  property  owned  by  an  individual,  family,
partnership, corporation, association or a  nonprofit  organization  and
includes  a  farm  operation.  As  used  in  this  subdivision  the term
"business" means any lawful activity, except a farm operation, conducted
primarily for the purchase, sale, lease and rental of personal and  real
property,  and for the manufacture, processing or marketing of products,
commodities, or any other personal property; for the sale of services to
the public; or by a nonprofit organization.
  10. Authorization is hereby given for the reimbursement to the  person
or  other  entity entitled thereto, as determined by the corporation, of
an amount, separately computed and stated,  representing  the  following
incidental  expenses  to the owner of property acquired pursuant to this
section:

(a) Any recording fees, transfer taxes and other similar expenses in connection with the acquisition of the property by the state, including the corporation, or in connection with the transfer of the property to the state, including the corporation; and

(b) Any penalty costs, incurred by the owner of property acquired by the state, including the corporation, for prepayment of any pre-existing recorded mortgage entered into in good faith encumbering such property. In the event that there shall be a final judgment by a court of competent jurisdiction that the commissioner of transportation or the corporation as the case may be, was not legally authorized to acquire property, or a portion of such property, pursuant to this section; or the commissioner or the corporation denies that there was any taking of property, makes no offer to settle the value of the claim for such property and there shall be a final judgment by a court of competent jurisdiction that the commissioner or the corporation did in fact take such property; or the procedure to acquire such property is abandoned by the commissioner or the corporation; authorization is hereby given for the reimbursement to the person or other entity entitled thereto, as determined by the commissioner or the corporation, of an amount, separately computed and stated, for reasonable costs, disbursements and expenses, including reasonable attorney, appraisal and engineering fees, actually incurred by such person or other entity because of the acquisition procedure. Application for either of such reimbursements shall be made to the corporation upon forms prescribed by it and shall be accompanied by such information and evidence as the corporation may require. Upon approval of such application, the corporation shall deliver a copy thereof to the comptroller together with a certificate stating the amount due thereunder, and the amount so fixed shall be paid out of funds available for this purpose. 11. Authorization is hereby given to the corporation to make supplemental relocation payments, separately computed and stated, to displaced owners and tenants of residential property acquired pursuant to this section who are entitled thereto, as determined by such corporation. The corporation may establish and from time to time amend rules and regulations providing for such supplemental relocation payments. Such rules and regulations may further define the terms used in this subdivision. In the case of property acquired pursuant to this section which is improved by a dwelling actually owned and occupied by the displaced owner for not less than one hundred eighty days immediately prior to initiation of negotiations for the acquisition of such property, such payment to such owner shall not exceed fifteen thousand dollars. Such payment shall be the amount, if any, which, when added to the acquisition payment equals the average price, established by the corporation on a class, group or individual basis, required to obtain a comparable replacement dwelling that is decent, safe and sanitary to accommodate the displaced owner, reasonably accessible to public services and places of employment and available on the private market, but in no event shall such payment exceed the difference between acquisition payment and the actual purchase price of the replacement dwelling. Such payment shall include an amount which will compensate such displaced owner for any increased interest costs which such person is required to pay for financing the acquisition of any such comparable replacement dwelling. Such amount shall be paid only if the dwelling acquired pursuant to this section was encumbered by a bona fide mortgage which was a valid lien on such dwelling for not less than one hundred eighty days prior to the initiation of negotiations for the acquisition of such dwelling. Such amount shall be equal to the excess in the aggregate interest and other debt service costs of that amount of the principal of the mortgage on the replacement dwelling which is equal to the unpaid balance of the mortgage on the acquired dwelling, over the remaining term of the mortgage on the acquired dwelling, reduced to discounted present value. The discount rate shall be the prevailing interest rate paid on savings deposits by commercial banks in the general area in which the replacement dwelling is located. Any such mortgage interest differential payment shall, notwithstanding the provisions of section twenty-six-b of the general construction law, be in lieu of and in full satisfaction of the requirements of such section. Such payment shall include reasonable expenses incurred by such displaced owner for evidence of title, recording fees and other closing costs incident to the purchase of the replacement dwelling, but not including prepaid expenses. Such payment shall be made only to a displaced owner who purchases and occupies a replacement dwelling which is decent, safe and sanitary within one year subsequent to the date on which he is required to move from the dwelling acquired pursuant to this section or the date on which he receives from the state final payment of all costs of the acquired dwelling, whichever occurs later, except advance payment of such amount may be made in hardship cases. In the case of property acquired pursuant to this section from which an individual or family, not otherwise eligible to receive a payment pursuant to the above provisions of this subdivision, is displaced from any dwelling thereon which has been actually and lawfully occupied by such individual or family for not less than ninety days immediately prior to the initiation of negotiations for the acquisition of such property, such payment to such individual or family shall not exceed four thousand dollars. Such payment shall be the amount which is necessary to enable such individual or family to lease or rent for a period not to exceed four years, a decent, safe and sanitary dwelling of standards adequate to accommodate such individual or family in areas not generally less desirable in regard to public utilities and public and commercial facilities and reasonably accessible to his place of employment, but shall not exceed four thousand dollars, or to make the down payment, including reasonable expenses incurred by such individual or family for evidence of title, recording fees, and other closing costs incident to the purchase of the replacement dwelling, but not including prepaid expenses, on the purchase of a decent, safe and sanitary dwelling of standards adequate to accommodate such individual or family in areas not generally less desirable in regard to public utilities and public and commercial facilities, but shall not exceed four thousand dollars, except if such amount exceeds two thousand dollars, such person must equally match any such amount in excess of two thousand dollars, in making the down payment. Such payments may be made in installments as determined by the corporation. Application for payment under this subdivision shall be made to the corporation upon forms prescribed by such corporation and shall be accompanied by such information and evidence as the corporation may require. Upon approval of such application, the corporation shall deliver a copy thereof to the comptroller, together with a certificate stating the amount due thereunder, and the amount so fixed shall be paid out of funds available for such purpose. 12. The owner of any property, easements, interests or rights appropriated, may present to the court of claims a claim for the value of such property appropriated and for legal damages as provided by law for the filing of claims with the court of claims. Payment of such awards and judgments of the court of claims shall be made in the manner now prescribed by law. 13. If the work of improvement, maintenance, control, management or repair of the canal system causes damage to property not acquired as above provided, the state shall be liable therefor, but this provision shall not be deemed to create any liability not already existing by statute. Claims for such damage may be adjusted by the corporation, if the amounts thereof can be agreed upon with the persons making such claims, and any amount so agreed upon shall be paid as a part of the cost of such improvement, maintenance, control, management or repair as prescribed by this section. If the amount of any such claim is not agreed upon, such claim may be presented pursuant to the eminent domain procedure law to the court of claims which is hereby authorized to hear such claim and determine if the amount of such claim or any part thereof is a legal claim against the state, and, if it so determines, to make an award and enter judgment thereon against the state, provided, however, that such claim is filed with the court of claims within three years after the accrual of such claim. 14. Notwithstanding any other provision of this section, the corporation or the commissioner of transportation at the request of the corporation shall have the power to acquire by grant or purchase, in the name of the people of the state of New York, any property which he or the corporation deems necessary for any of the purposes provided for in this section, and payment therefor, if any, shall be made in the manner prescribed in this section for the payment of adjusted appropriation claims, provided, however, that no real property shall be so acquired unless the title thereto shall be approved by the attorney general. 15. The expense of the acquisition of property, including the cost of making surveys, preparing descriptions and maps of property to be acquired, and of administrative duties in connection therewith, serving notices of appropriation, publication, making appraisals and agreements and of searches ordered and examinations and readings and approval of titles made by the attorney general, and expenses incurred by the corporation or the commissioner of transportation at the request of the corporation and attorney general in proceedings for the removal of owners or occupants, shall be deemed a part of the cost of operation of the respective offices where such employees are engaged or of the department having charge of such matters and shall be paid from moneys appropriated for the operation of such offices. If a special fund has been set up to provide for the acquisition of property, then such expense involved may be made payable from such fund. 16. Notwithstanding the provisions of any general, special or local law, the corporation or the commissioner of transportation at the request of the corporation, his or its officers, agents or contractors when engaged on work connected with the canal system, as described in subdivision one of this section, may, pursuant to the provisions of the eminent domain procedure law, enter upon any property for the purpose of making surveys, test pits, test borings, or other investigations and also for temporary occupancy during construction. Claims for any damage caused by such entry, work or occupation not exceeding two thousand five hundred dollars may be adjusted by agreement by the corporation or the commissioner of transportation at the request of the corporation with the owner of the property affected as determined by him or such corporation by reasonable investigation without appropriating such property. Upon making any such adjustment and agreement, the corporation or the commissioner of transportation shall deliver to the comptroller such agreement and a certificate stating the amount due such owner and the amount so fixed shall be paid out of the funds available for such purpose. 17. If the corporation shall determine subsequent to the acquisition of a temporary easement right in property and subsequent to the filing of a description and map of such property in the office of the county clerk or register, as aforesaid, that the purposes for which such easement right was acquired have been accomplished and that the use and occupancy of said property for canal purposes are no longer necessary, and that, therefore, the term of such easement should be further limited, or if the appropriation of such easement was for an indefinite period, that such period should be fixed and determined, or that the period of such easement has by its terms expired, the corporation shall make its certificate that the use and occupancy of such property for canal purposes are no longer necessary, that the property in which such easement right was acquired is surrendered back to the affected owner of said property and that such easement right is thereupon terminated, released and extinguished. The corporation shall cause a copy of such certificate to be filed in the office of the department of state. Upon the filing of such certificate in the office of the department of state all rights acquired by the state in such property shall cease and determine. The corporation shall cause a copy of such certificate together with notice of the filing thereof in the office of the department of state to be mailed to the owner or owners of the property affected, as certified by the attorney general, if the place of residence of such owner or owners is known or can be ascertained by a reasonable effort. A further copy of such certificate and notice of filing shall be filed in the office of the recording officer of each county wherein the property affected is situated. On the filing of such certificate and notice with such officer it shall be the duty of such officer to record same in the books used for recording deeds in the office of such officer. 18. Notwithstanding any other provision of this section, the corporation shall have the power to acquire by grant or purchase, in the name of the people of the state of New York, any property which it deems necessary for any of the purposes provided for in this section and may also acquire for such purposes from the Palisades interstate park commission, in the name of the people of the state of New York, such lands and such easements, licenses, permits and other rights over lands as the said commission is authorized to grant, sell, exchange or convey. When the acquisition by appropriation, grant or purchase of property deemed necessary for canal purposes would result in substantial consequential damages to the owner's remaining property, due to loss of access, severance or control of access, the corporation, for and on behalf of the people of the state of New York, may acquire by purchase or grant all or any portion of such remaining property. Payment therefor, if any, shall be made in the manner prescribed in this section for the payment of adjusted appropriation claims, provided, however, that no real property shall be so acquired unless the title thereto shall be approved by the attorney general.

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