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criteria specified in sections one hundred fifty-three and one hundred
fifty-four of this chapter] in accordance with criteria to be estab-
lished
pursuant

to such local law or ordinance and prohibit the operation of any vehicle as a van service or other such

carrier of passengers without such operating authority or without complying with regulations promulgated by the commissioner regarding safety of operations, [(iv)] (iii) make provisions for the continuation of [regulation over] operating authority for van services and other such

carriers of passengers previously approved by the department, [(v)] pending the review of applications for operating authority issued by the city agency designated by the local law or ordinance adopted pursuant to this subdivision, (iv) contain adequate regulatory and enforcement mechanisms, [(vi)) (v) provide that [the appropriate] such city agency shall render a final administrative determination on any application for the issuance of a permit, certificate or other [approval) operating authority within one hundred eighty days after completed application is filed. The failure to approve or disapprove any completed application by such agency within one hundred eighty days shall be deemed a disapproval of said application, [(vii) provide an appeals procedure whereby a party aggrieved by a decision of the city in carrying out the program may, after exhausting any other administrative remedies set forth in the program, apply to the commissioner for review of and relief from the decision in accordance with the standards set forth in article seventy-eight of the civil practice law and rules. On any appeal to the commissioner the burden of proof shall be on the aggrieved party] and (vi) provide for the imposition of a fee for such operating authority not to exceed the amount of the license fee for for-hire vehicles established by the commissioner of the agency having jurisdiction

the licensing of for-hire vehicles in accordance with subdivision b of section 19-504 of the administrative code of the city of New York, as amended.

(2) Such local law or ordinance shall prohibit a van service or other such common carrier of passengers from soliciting, picking up

discharging passengers at stops of, or along a route which is traveled upon by, a bus line which is operated by a transit authority or such city private

bus

company approved by such city to operate pursuant to a local law, ordinance or charter provision enacted in accordance with subdivision four of this section.

(3) Notwithstanding any provision of law to the contrary, such local law or ordinance may provide for the administrative ad judication

of a violation of such local law or ordinance as if it were a parking violation and in accordance with article two-B of the vehicle and traffic law, or may provide for such ad judication by an agency or an administrative tribunal of an agency heretofore authorized pursuant to the charter of such city to ad judicate violations of local law, rules and regulations pertaining to for-hire vehicles as if it were a violation relating to for-hire vehicles and in accordance with the provisions of such charter pertaining to the adjudication of violations relating to for-hire vehicles. Such local law or ordinance may provide that notices of violation of such local law or ordinance may be served by any police officer, officer or employee designated by the city agency with regulatory responsibility, or authorized officers employees of the transit authority of such city, and shall be returnable to such agency or administrative tribunal. Such local law or ordinance shall provide that the civil penalty imposed by such agency or administrative tribunal for a first violation relating to a van service or other such

carrier of passengers shall not be more than one thousand dollars, and for a second or subsequent violation within five years of the first violation shall not be more than twenty-five hundred dollars. Judgments based on such ad judications may be entered and enforced without court proceedings in

accordance with such article two-B or the provisions of such charter pertaining to the enforcement of judgment relating to for-hire vehicles, as applicable.

(4) Such local law or ordinance shall provide that where such agency or administrative tribunal finds an owner liable for operating a vehicle

van service other such common carrier without the operating authority required by such local law or ordinance, such agency or administrative tribunal may notify the commissioner of motor vehicles of such finding and the commissioner shall thereupon suspend the registration of such vehicle as well as the registration or registrations of all other EXPLANATION-Matter in italics is new; matter in brackets [ ] is old law

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motor vehicles owned or operated by such owner or owners except private passenger automobiles until such time as such agency or administrative tribunal may give notice that the violation has been corrected to satisfaction. The procedure on any such suspension shall be the same as in the case of a suspension under the vehicle and traffic law. Operation of

any motor vehicle for which the registration has been suspended as herein provided shall constitute a class A misdemeanor.

(5) Such local law or ordinance may provide for the seizure and forfeiture of vehicles that have been operated as a van service

or other such common carrier of passengers without the operating authority required by such local law or ordinance, in accordance with the provisions of paragraphs b and c of this subdivision.

b. (1) A local law or ordinance adopted pursuant to paragraph a of this subdivision may provide that any police officer or officer or enployee designated by the city agency with regulatory responsibility may, u pon service of a notice of violation upon the owner or operator of a vehicle, seize a vehicle which such police officer or authorized officer or employee has reasonable cause to believe is being operated as service or other such common carrier of passengers without the operating, authority required by such local law or ordinance. Any vehicle seized pursuant to this paragraph shall be delivered into the custody of the city agency with regulatory responsibility or other appropriate agency of the city. Within one business day, after the seizure, notice of such seizure and a copy of the notice of violation shall be mailed to the

of

such vehicle at the address for such owner set forth in the records maintained by the department of motor vehicles, or for vehicles not registered in New York state, such equivalent record in such state of registration.

(2) A hearing to ad judicate the violation underlying the seizure shall be held before the agency or administrative tribunal designated by such local law or ordinance to ad judicate violations of such local law or ordinance within five business days after the date of seizure. Such agency

administrative tribunal shall within one business day of the conclusion of the hearing render a determination as to whether the vehicle has been operated without the required operating authority. An owner shall be eligible to obtain release of such vehicle prior to such hearing if such owner has not previously been found liable in an administrative or court proceeding for operating a vehicle as a van service or other such common carrier in violation of a local law or ordinance adopted pursuant to paragraph a of this subdivision, which violation was connitted within

five-year period prior to the violation resulting in seizure. The vehicle shall be released to an eligible owner upon the posting of a bond in a form satisfactory to such agency or administrative tribunal in an amount that shall not exceed an amount sufficient to cover the maxi

fines or co il penalties which may be imposed for the violation underlying the seizure' and all reasonable costs for removal and storage of such vehicle.

(3) Where such agency or administrative tribunal after adjudication of the violation underlying the seizure finds that the vehicle has been operated without the required operating authority, (i) if the vehicle is not subject to forfeiture pursuant to paragraph c of this subdivision, such agency or administrative tribunal shall release such vehicle to an owner upon payment of the applicable fines and civil penalties and, all reasonable removal and storage costs, or (ii) if the vehicle is subject to forfeiture pursuant to paragraph c of this subdivision, such agency

administrative tribunal may release such vehicle to an owner upon payment of the applicable fines and civil penalties and

all reasonable removal

and storage costs, or may commence a forfeiture action pursuant to paragraph c of this subdivision within ten days after the owner's written demand for such vehicle.

(4) Where such agency or administrative tribunal after ad judication of the violation underlying the seizure finds that the charge of operating without the required operating authority has not been sustained, the vehicle shall be released upon written demand of the owner.

(5) Any vehicle that has not been reclaimed by the owner within ten days after adjudication by such agency or administrative tribunal of the violation underlying the seizure shall be deemed by such agency or ad; ministrative tribunal to be abandoned. Such vehicle shall be disposed of by the city agency with regulatory responsibility or other appropriate agency of the city, pursuant to section twelve hundred twenty-four of the vehicle and traffic law; provided, however, that notwithstanding any inconsistent provision of section twelve hundred twenty-four of such law,

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if an owner seeks to reclaim such vehicle pursuant to the provisions of section twelve hundred twenty-four of such law. such owner

shall be deemed to have made a written demand for such vehicle and such agency or administrative tribunal shall take such action as may be authorized by subparagraph three or four of this paragraph.

(i) In addition to the penalties, sanctions and remedies provided for in paragraphs a and b of this subdivision or subdivisions six and of section

one hundred forty-five of this chapter, a vehicle seized pursuant to paragraph b of this subdivision and all rights, title + 387 and interest therein shall be subject to forfeiture to the city in ac2821 cordance with the procedures set forth in this paragraph upon judicial

determination thereof if the owner of such vehicle has been found liable
at least two times in an administrative or court proceeding for violat-
ing
provision

of a local law or ordinance adopted pursuant to paragraph a of this subdivision that prohibits the operation of a vehicle as

service other such common carrier of passengers without the operating authority required by such local law

ordinance,

both of which violations were committed within a five-year period.

(2) A forfeiture action which is commenced pursuant to this paragraph shall be commenced by service of a summons with notice or a summons

and complaint pursuant to the civil practice law and rules. A vehicle which is the subject of such action shall remain in the custody of the city agency with regulatory responsibility or other appropriate agency of the city pending the final determination of the forfeiture action.

(3) Notice of the institution of the forfeiture action shall be served by first class mail on (i), all owners of the vehicle not served pursuant to subparagraph two of this paragraph, at the address set forth in the records maintained by the department of motor vehicles, or for vehicles not registered in New York state, in the records maintained by the state of registration, and (ii) all persons holding security interest in such vehicle which security interest has been filed with the department of motor vehicles pursuant to the provisions of title ten of the vehicle and traffic law, at the address set forth in the records of such department, or for vehicles not registered in New York state, all persons holding a security interest in such vehicle which security interest has been filed with such state of registration and which persons

made known by such state to the city agency with regulatory responsibility, at the address provided by such state of registration.

(4) Any owner who receives notice of the institution of a forfeiture action who claims an interest in the vehicle subject to forfeiture shall assert claim for the recovery of the vehicle or satisfaction of the owner's interest in such vehicle by intervening in the forfeiture action

accordance with the civil practice law and rules. Any person with a security interest in such vehicle who receives notice of the institution of the forfeiture action who claims an interest in such vehicle subject to forfeiture shall assert a claim for satisfaction of such

person's security interest in such vehicle by intervening in the forfeiture action in accordance with the civil practice law and rules:

(5) No vehicle shall be forfeited under this paragraph, to the extent of the interest of a person who claims an interest in the vehicle, where such person, pleads and proves as an affirmative defense that: (i) the use of the vehicle for the conduct that was the basis for seizure authorized by a local law or ordinance adopted pursuant to paragraph a of this subdivision occurred without the knowledge of such person, or if such person had knowledge of such use, without the consent of such person, and that such person did not knowingly obtain such interest in the vehicle in order to avoid the forfeiture of such vehicle; or (ii) the conduct that was the basis for such seizure was committed by any person other than such person claiming an interest in the vehicle, while such vehicle was unlawfully in the possession of a person who acquired POSsession thereof in violation of the criminal laws of the United States or any state. For purposes of this subparagraph, where such

person claiming

interest in the vehicle had knowledge of the use of the vehicle for the conduct that was the basis for such seizure, such person shall be deemed to have consented to the unlawful conduct unless such person establishes that he or she did all that could reasonably have been done to prevent the use of the vehicle for such unlawful conduct.

(6) The agency of the city having custody of the forfeited vehicle, after judicial determination of forfeiture, shall, at its discretion, EXPLANATION-Matter in italics is new; matter in brackets [ ] is old law

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either: (i) retain such vehicle for the official use of the city or, (ii) by public notice of at least five days, sell such forfeited vehicle at public sale. The net proceeds of any such sale shall be paid into the general fund of such city.

(7) At any time within two years after the seizure, any person claining an interest in a vehicle which has been forfeited pursuant to this paragraph who was not sent notice of the commencement of the forfeiture action pursuant to subparagraph two or three of this paragraph or who did not otherwise receive actual notice of the forfeiture action may assert in an action commenced before the justice of the supreme court before whom the forfeiture action was held such claim as could have been asserted in such forfeiture action pursuant to this paragraph. The court may grant the relief sought upon such terms and conditions as it deems reasonable and just if such person claiming an interest in the vehicle establishes that he or she was not sent notice of the commencement of the forfeiture action and was without actual knowledge of the forfeiture action and establishes either of the affirmative defenses set forth in subparagraph five of this paragraph.

(8) In any action commenced pursuant to subparagraph two or seven of this paragraph, where the court awards a sum of money to

or more persons

in satisfaction of such person's or persons' interest or interests in the forfeited vehicle, the total amount awarded to satisfy such interest

interests shall not exceed the amount of the net proceeds of the sale of the forfeited vehicle, after deduction of the lawful expenses incurred by the city, including the reasonable costs of removal and storage of the vehicle between the time of seizure and the date of sale.

(9) For purposes of this paragraph, the term "security interest" shall mean a security interest as defined in subdivision k of section two thousand one hundred one of the vehicle and traffic law.

d. For purposes of this subdivision, the term "owner" shall mean an owner as defined in section one hundred twenty-eight and in subdivision three of section three hundred eighty-eight of the vehicle and traffic

e. The provisions of this subdivision authorizing penalties, sanctions and remedies shall not be construed to supersede the provisions of subdivisions six and seven of section one hundred forty-five of this chapter but shall be construed to provide penalties, sanctions and remedies in addition to those provided in such subdivisions.

§ 4. Paragraph a of subdivision 2 of section 140 of the transportation law is amended by adding a new subparagraph (iv) to read as follows:

(iv) All van services or other common carriers of passengers by motor vehicle covered under article seven of this chapter, which van services

other such common carriers of passengers are operated pursuant to or requiring regulatory authority from any city with a population of over one million that has adopted an ordinance or local law pursuant to subdivision five of section eighty of this chapter.

§ 5. Subdivision 1 of section 509-a of the vehicle and traffic law, as amended by chapter 620 of the laws of 1990, is amended to read as follows: (1) bus shall

every motor vehicle, owned, leased, rented or otherwise controlled by a motor carrier, which[:] (a)' is a school bus as defined in section one hundred forty-two of this chapter or has a seating capacity of more than ten adult passengers in addition to the driver and which used for the transportation of persons under the age of twenty-one or persons of any age who are mentally or physically disabled to a place of vocational, academic or religious instruction or religious service including nursery schools, day care centers and camps [or], (b) is

required to obtain approval to operate in the state as a common or contract carrier of passengers by motor vehicle from the commissioner of transportation, [the New York city bureau of franchise] or the interstate commerce commission, [or] (c) is regulated as a bus line by a city that has adopted ordinance, local law or charter to regulate or franchise bus line operations pursuant to subdivision four of section eighty of the transportation law, (d) is regulated as a van service or other common carrier of passengers by motor vehicle covered under article seven of the transportation law by a city with a population of over one million pursuant to an ordinance or local law adopted pursuant to subdivision five of section eighty of the transportation law or (e) is operated by a transit authority or municipality and is used to transport

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persons for hire. Provided, however, that bus shall not authorized emergency vehicle operated in the course of an emergency,

motor vehicle used in the transportation of agricultural workers to and from their place of employment;

§ 6. This act shall take effect immediately.

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AN ACT to amend the transportation law, in relation to the jurisdiction

of the commissioner of transportation over certain van services to
from airports and allowing van services designed for the transport of
transportation disabled persons to pick up and discharge passengers
along bus routes

Became a law December 4, 1992, with the approval of the Governor.

Passed by a majority vote, three-fifths being present.

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

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Section 1. Paragraph a of subdivision 5 of section 80 of the transportation law, as amended by a chapter of the laws of 1992 amending the transportation law and the vehicle and traffic law relating to the regulation of van services in cities with a population of over one million,

proposed in legislative bill number A. 1604-B, is amended to read as follows:

a. (1) Notwithstanding any other provision of law, in any city with a population of over one million, the commissioner shall not have jurisdiction

the regulation of any van service or other common carrier of passengers by motor vehicle covered under article seven of this chapter when such van service other such common carrier is operated wholly within the boundaries of such city or is operated partly within such city if the partial operation consists of the pick up and discharge of passengers wholly within such city, when such city has adopted an ordinance, local law or charter to regulate or franchise such operations, except that the commissioner shall have exclusive jurisdiction with respect to the safety of operation of motor vehicles operated as van services or other such common carriers of passengers and the commissioner shall have exclusive jurisdiction with respect to the operations of motor vehicles as van services or other such common carriers of

passengers covered under article seven of this chapter to or from an airport in such city when such van services or other such

carriers of passengers have been issued a permit by the port authority of New York and New Jersey to operate at an airport in such city or apply for such permit and within a reasonable period of time are issued such permit by such authority. Such local law or ordinance shall: (i) designate a city agency which will assume the regulatory responsibility, (ii) contain regulations for the issuance of operating authorityin accordance with criteria to be established pursuant to such local law or ordinance and prohibit the operation of any vehicle as a van service or other such common carrier of passengers without such operating authority or without complying with regulations promulgated by the commissioner regarding safety of operations, (iii) make provisions for the continuation of operating authority for van services and other such common carriers of passengers previously approved by the department, pending the review of applications for operating authority issued by the city agency designated by the local law or ordinance adopted pursuant to this subdivision, (iv) contain adequate regulatory and enforcement mechanisms, (v) provide that such city agency shall render a final administrative deterEXPLANATION—Matter in italics is new; matter in brackets [ ] is old law

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