public service commission seem just, and with such person 29-3 or corporation as to the commission may seem proper, make another operating contract and lease of the said road for the residue of the term of the contractor in default; and may bring action in the name and on behalf of the city to recover from the contractor the amount due from the contractor, less the amount which shall have been received by the city, under or by virtue of such new contract, and for all other damages sustained by the city by reason of such default. (Former section 34c, added by L. 1906, ch. 472, § 6, as amended by L. 1909, ch. 498, § 12 and L. 1912, ch. 226, § 15.) § 30. Plans for maintenance and operation of road by public service commission.

1. If in the opinion of the board of estimate and apportionment, or other analogous local authority of such city, either a contract for equipment, maintenance and operation, or a contract for maintenance and operation as provided for in the preceding sections would be inexpedient, impracticable or prejudicial to the public interest, the public service commission shall forthwith devise and prepare a plan for the maintenance and operation of such road or roads, either by the commission or under a contract or contracts for the use of the tracks of said railroad or railroads for operation of cars thereon during a term of not more than five years for the carrying of passengers and property by one or more corporations approved by the commission owning or operating any railroad or railroads in said city, or organized for the purpose of operating cars as aforesaid over or upon said rapid transit railroad or railroads, and when said plan shall have been approved by the board of estimate and apportionment, or other analogous local authority of such city, the said commission shall either maintain and operate such road or roads for and on behalf of said city, or allow the use of the tracks of such railroad or railroads for the operation of cars for the transportation of persons or property by any such corporation or corporations. The compensation to be made or the rates of fare

30-1 provided for in any operating contract or plan aforesaid shall be fixed by the commission with the approval of said board and shall be adjusted, fixed and readjusted always with a view to securing as nearly as may be sufficient receipts therefrom, when added to the net revenues from such galleries, ways, subways or tunnels, and all other sources incidental or appurtenant to the use and operation of said road or roads, to provide for operating expenses, maintenance, interest on the cost, all other proper charges, and a sinking fund to discharge the bonds issued for the construction and equipment of such road or roads within a reasonable period, without recourse to taxation. Whenever it shall seem practicable to reduce rates of fare, the reduction shall in the first instance be in favor of school children, and then, next in order, in favor of all the public between six and nine o'clock ante meridian, and between four and seven o'clock post meridian, and then for all the public from five o'clock ante meridian until seven o'clock post meridian, and, lastly, for all the public at all times.

2. No part of any road or roads or of its or their appurtenances, constructed under the authority of this act, shall be used for advertising purposes, except that the person, firm or corporation operating such road or roads may use the structure for posting necessary information for the public relative to the running of trains and to the operation of the road or roads. Nor shall any trade, traffic or occupation, other than required for the operation of said road or roads, be permitted thereon or in the stations thereof, except such sale of newspapers and periodicals as may, from time to time, always with the right of revocation, be permitted by the public service commission. (Former section 34d, added by L. 1906, ch. 472, § 6, as amended by L. 1909, ch. 498, § 13)

§ 31. Discretion of the commission. Nothing contained in this act shall be deemed, or be construed as intending to limit, or as limiting, in any manner, the discretion of the public service commission, provided in the opinion of the board of estimate and apportionment, or other analogous

local authority of such city, it is expedient, practicable and 31 in the public interest to do so, to enter into contracts for construction, equipment, maintenance and operation with the same person, firm or corporation, or for any one or more of said purposes with the same person, firm or corporation, or with different persons, firms or corporations, either in one contract or in separate contracts, and at any time or times. (Former section 34e, added by L. 1906, ch. 472, § 6, as amended by L. 1909, ch. 498, § 13)

§ 32. Acquiring rapid transit railways wholly or partly constructed. 1. The public service commission of the first district, successor of the rapid transit railroad commissioners, may, with the approval of the board of estimate and apportionment, or other analogous local authority of such city, purchase for such price and upon such terms and conditions as may be agreed upon, and acquire by conveyance or grant to such city, to be delivered to said board, any line or lines of railway already constructed or in process of construction of the character which might be constructed as a rapid transit railway or railways under the provisions of this act, and which in the opinion of the board it is for the interest of the public and the city to acquire for rapid transit purposes. The moneys necessary to be paid for any such railway or railways so purchased, together with all expenses necessarily incurred in connection therewith, shall be raised and paid out of the proceeds of bonds issued and sold as provided in section thirty-seven of this act. Any such railway or railways so acquired shall be deemed to have been constructed for and at the expense of the city within the meaning of this act and the cost of acquiring the same shall be deemed and considered as the cost of such construction, in like manner as though said railway had been constructed pursuant to the provisions of this act.

2. Unless all the consents to the construction and operation of any such railway or railways so purchased required by article three, section eighteen, of the constitution shall have been obtained prior to such purchase, the board shall proceed to secure such consents as required by section five

32 of this act. As soon as such consents shall have been obtained, the said board for and on behalf of said city may, with the approval of the board of estimate and apportionment or other analogous authority of such city, enter into a contract with any person, firm or corporation for the equipment of any railway purchased as aforesaid at the cost and expense of such contracting person, firm or corporation, and for the maintenance and operation of such railway or railways for a term of years to be specified in said contract not to exceed twenty-five years, with a covenant for one renewal of not to exceed twenty-five years. Every such contract shall contain such terms and conditions as to the rates of fare to be charged and the character of services to be furnished and the rental to be paid or the terms upon which such railway or railways are to be operated, as the said public service commission of the first district, successor of the board of rapid transit railroad commissioners, shall deem to be best suited to the public interests and as the said board of estimate and apportionment or other analogous body shall approve. (Former section 34f, added by L. 1908, ch. 472, § 1, as amended by L. 1909, ch. 498, § 14)

$33. Extensions and additional lines. 1. Whenever the said public service commission shall determine that the public interests so require, it may with the approval of the board of estimate and apportionment or other analogous local authorities of such city, without advertising for proposals, but only after a public hearing under section thirty-seven of this act, enter into a contract or contracts with the person, firm or corporation owning, operating or agreeing to operate, any existing rapid transit railroad or railroads for the construction, equipment, maintenance and operation, or for the equipment, maintenance and operation of any additional or proposed rapid transit railroad or railroads to be owned by the city for which necessary consents as provided in section five of this act shall have been obtained, provided that such proposed railroad or railroads shall be operated in conjunction with said existing railroad or railroads for a

single fare. Such contract for the equipment, maintenance 33-1 and operation of such road or roads or any portion or portions thereof may be made and entered into before consents shall have been obtained therefor as provided in section five of this act, provided, however, that in such case such contract for equipment, maintenance and operation of such road or roads or any portion or portions thereof shall be upon condition that such contract shall not become operative or go into effect as to such road or roads or such portion or portions thereof unless and until the city shall acquire the right to construct such road or roads or portion or portions thereof by obtaining such consents.

Such contract or contracts for construction, equipment, maintenance and operation or for equipment, maintenance and operation may be made in either of the two following ways:

(a) If such existing railroad be wholly or in part within the limits of the city, such contract may be made under and pursuant to the provisions of sections twenty-six, twentyseven and twenty-nine, so far as the same shall be applicable, with the railroad corporation owning or actually operating or agreeing to operate such existing railroad, but the term for equipment, maintenance and operation of such proposed road, as specified in said contract, pursuant to said sections, shall not be for a period longer than the unexpired term of the franchise or contract for the maintenance and operation of such existing railroad and any renewals porvided for in such franchise or contract.

(b) If such existing railroad be a rapid transit railroad constructed wholly or in part at the public expense under the provisions of this act and wholly or in part in operation such contract may be made with the person or corporation having the contract for the construction and operation of said existing rapid transit railroad by the terms of which the said proposed rapid transit railroad if not constructed or to be constructed by the commission under separate construction contracts shall be constructed as extra work under the terms of the said existing contract either without ex