563 - Agreement of the state.

§ 563. Agreement of the state. 1. The state of New York does pledge to  and  agree  with  (a)  the  holders of the bonds that the state will not  limit or alter the rights hereby vested in the  authority  to  maintain,  reconstruct  and  operate  the  project,  to  establish and collect such  charges  and  tolls  as  may  be  convenient  or  necessary  to  produce  sufficient  revenue to meet the expense of maintenance and operation and  to fulfill the terms of any agreements made  with  the  holders  of  the  bonds,  or in any way impair the rights and remedies of the bondholders,  until the bonds, together with interest thereon, with  interest  on  any  unpaid   installments  of  interest,  and  all  costs  and  expenses  in  connection with any action  or  proceedings  by  or  on  behalf  of  the  bondholders,  are  fully  met and discharged, and (b) the holders of any  bonds of the port authority issued in accordance with the terms  of  any  agreement  with  the  authority authorized hereby to finance the Narrows  bridge project or secured in whole  or  in  part  by  a  pledge  of  the  revenues  thereof  or  both  so issued and so secured until title to the  Narrows bridge is vested in the authority or the city,  that  the  state  will  not  limit  or  alter the rights hereby vested in the authority to  fulfill the terms of any agreements authorized hereby and made with  the  port  authority  respecting  the  Narrows  bridge  project or in any way  impair the rights and remedies of the port  authority  thereunder  until  the   obligations   of  the  authority  thereunder  are  fully  met  and  discharged.    2. The state of New York does covenant and agree with the  holders  of  any  bonds  issued  after  January first, nineteen hundred forty that no  tunnel, bridge,  parkway,  causeway,  street,  road,  highway  or  other  connection for vehicular traffic (other than one of the projects), which  will  be  competitive  with  the Robert F. Kennedy bridge project or the  Whitestone bridge project or the  Throgs  Neck  bridge  project  or  the  Marine  parkway  bridge  project or the Cross Bay parkway bridge project  will be constructed or maintained until the bonds together with interest  thereon, interest on any unpaid installments of interest, and all  costs  and  expenses  in  connection  with  any  action or proceedings by or on  behalf of the bondholders, are fully met and discharged; provided that a  tunnel, bridge,  parkway,  causeway,  street,  road,  highway  or  other  connection for vehicular traffic shall be considered as competitive with  the Robert F. Kennedy bridge project or Whitestone bridge project or the  Throgs  Neck  bridge  project  only  if  it  shall form a connection for  vehicular traffic over, under, or across the  East  river  north  of  an  extension  to the east of the center line of Seventy-third street in the  borough of Manhattan, and shall be considered as  competitive  with  the  Marine  parkway  bridge project or Cross Bay parkway bridge project only  if such tunnel, bridge, parkway,  causeway,  street,  road,  highway  or  other  connection  for  vehicular  traffic  shall  form a connection for  vehicular traffic with Rockaway peninsula across any part of the  waters  of  Jamaica  bay  or  Rockaway  inlet  west  of  seventy-three  degrees,  forty-six minutes of  west  longitude.  The  covenant  herein  contained  restricting competitive traffic connections with any project or projects  shall  be  only for the benefit of the holders of bonds secured in whole  or in part by the pledge of the revenues of such  project  or  projects.  All  covenants of the state made with the holders of bonds issued before  January first, nineteen hundred and  forty,  are  hereby  confirmed  and  shall not be affected hereby.    3.  The state of New York does pledge to and agree with the holders of  any bonds that no  tunnel,  bridge,  parkway,  causeway,  street,  road,  highway  or  other  connection  for  vehicular  traffic,  which  will be  competitive with the Queens  Midtown  tunnel  or  the  Brooklyn  Battery  tunnel  or  the  Brooklyn  Richmond tunnel or the Narrows bridge will beconstructed; provided that a tunnel, bridge, parkway, causeway,  street,  road,  highway  or  other  connection  for  vehicular  traffic  shall be  considered as competitive if it shall form a  connection  for  vehicular  traffic over, under or across the East river south of Queensboro bridge,  or,  if  it  shall  form  a connection for vehicular traffic between the  boroughs of Manhattan, Brooklyn or Richmond over, under  or  across  New  York  bay. The covenant herein contained restricting competitive traffic  connections with any project or projects shall be only for  the  benefit  of the holders of bonds secured in whole or in part by the pledge of the  revenues  of  such  project or projects and subject to and in accordance  with all contract provisions with respect to any  bonds  outstanding  on  January first, nineteen hundred fifty-five and the rights of the holders  of  such  bonds,  the  covenant  herein contained shall not be deemed to  prevent the construction of any bridge or tunnel exclusively for railway  rapid transit purposes.