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Issue 497 April 18, 2005
Four groups today filed a lawsuit seeking to have the Metropolitan Transportation Authority rebid its Hudson Yards property to get more funding for the transit system. The groups argue that the MTA violated its statutory and common law duties to secure the most beneficial terms possible for the sale of this valuable asset and did not proceed through a process that insured fairness to all potential bidders. The suit makes no claim that one bid was superior to another, but asks as relief that the MTA begin the bidding process again with the aim of achieving an appropriate price for its property. The groups are the NYPIRG Straphangers Campaign; Common Cause/NY; Transport Workers Union Local 100; and the Tri-State Transportation Campaign. The case was filed today in New York State Supreme Court. The groups are represented by Tom Shanahan of the law firm Shanahan and Associates; Daniel Bright of the law firm of Kennedy, Schwartz and Cure; Nancy Christensen of the Tri-State Transportation Campaign; and Eric Schneiderman, NY State Senator for the 31st District. Schneiderman represented the Straphangers Campaign in a 1995 civil rights lawsuit against the MTA, objecting then to a 25-cent fare increase. "The MTA was too quick, played favorites, and violated its own rules," said Rachel Leon, executive director of Common Cause/NY. "Common Cause cannot let their flawed process stand." "The MTA cannot act like a rogue agency," said Senator Schneiderman. "It has a legal duty to maximize the benefit of the sale of its assets." "If we don't get a fair price for the Yards, the loss will be taken out on the riding public in fewer new trains and buses, less repairs and eventually higher fares and poorer service," said Gene Russianoff, staff attorney for the Straphangers Campaign. The Straphangers Campaign and the Tri-State Transportation Campaign are already in New York State Supreme Court suing the MTA and the City over the adequacy of the traffic section of the West Side rezoning Environmental Impact Statement.
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