New York Consolidated Laws, Public Authorities Law - PBA § 2796. Agreements relating to payment in lieu of taxes

1. In order to assure that municipalities may not suffer undue loss of taxes or assessments in the event that the authority acquires any airport from the county, any person paying real property taxes or assessments as of the date of the transfer of title from the county to the authority on any property located within any such airport shall make payments in lieu of taxes in an amount equal to the sums which would ordinarily be imposed as taxes by any municipality in which such property is located, pursuant to the prevailing method of determining taxes and assessments.

2. Subject to any agreement with bond holders, the authority may, with the approval of the county, but is not required to, enter into agreements with any municipality of the state to pay annual sums in lieu of taxes to any such municipality in respect of any real property which is owned by the authority  1 is located in such municipality and is used for public aviation purposes or pollution control purposes. For the purposes of this section, such public aviation purposes shall include without limitation air terminal facilities, parking facilities, fuel facilities, maintenance facilities, and facilities for the loading, unloading, holding, interchange or transfer of passengers, freight, baggage or cargo.