City obligated to vacate the Gansevoort sanitation garage by 2012 and Pier 97 by 2008. The Hudson River Park Act, passed by the State Legislature, obligated the City to relocate by the end of 2003 its sanitation operations from Gansevoort Street in the West Village and Pier 97 in Clinton to begin development of park space along the Hudson River. The City continued to occupy both sanitation facilities beyond 2003 and subsequently began construction of a new facility at the Gansevoort site intended for use until 2012.

In April 2005, Friends of Hudson River Park sued the City asserting that it failed to use its best efforts to relocate the Gansevoort Street and Pier 97 facilities and that the construction of the new facility on Gansevoort Street violated the Act. The City responded that temporary use of both facilities would allow it to relocate operations without significant adverse impacts on the public and that it was committed to completing replacement facilities at West 57th Street and on the West Side Highway at Spring Street.

In a settlement filed on October 27, 2005, the City agreed to pay $21.5 million to the Hudson River Park Trust and remove its sanitation operations from Pier 97 by May 1, 2008 and from Gansevoort Street by December 31, 2012. The City also agreed to make penalty payments to the Trust for any additional year in which it continues operations at either site. Under the agreement, all payments made to the Trust will be used to support the design and construction of park spaces at the Gansevoort Street and Pier 97 sites. If the City fails to make sufficient progress on the new Spring Street sanitation facility, Friends can request that the court set an enforceable construction schedule.

Friends of Hudson River Park. v. City of New York, No. 105763/05 (Stallman, J.) (October 27, 2005) (Alterman & Boop, for Friends; Michael A. Cardozo, Susan Amron, for NYC).