N.Y. PBS Law § 101-A

§ 101-a. Reorganization. 1. Reorganization of telegraph and telephone\ncorporations pursuant to sections ninety-six and ninety-seven of the\nstock corporation law and such other laws as may be enacted from time to\ntime shall be subject to the supervision and control of the commission\nand no such reorganization shall be had without the authorization of\nsuch commission.\n 2. Upon all such reorganizations the amount of capitalization,\nincluding therein all stocks and bonds and other evidence of\nindebtedness, shall be such as is authorized by the commission, which,\nin making its determination shall not exceed the fair value of the\nproperty involved, taking into consideration its original cost of\nconstruction, duplication cost, present condition, earning power at\nreasonable rates and all other relevant matters and any additional sum\nor sums as shall be actually paid in cash, provided, however, that the\ncommission may make due allowance for discount of bonds. Any\nreorganization agreement before it becomes effective shall be amended so\nthat the amount of capitalization shall conform to the amount authorized\nby the commission.\n