§ 1388 — Bonds of the authority

New York § 1388

• Jurisdiction: New York
• Law PBA: Public Authorities
• Title 3: Ogdensburg Port Authority
• Art. 6: Port Authorities

Text

§ 1388. Bonds of the authority. 1. The authority shall have power and\nis hereby authorized from time to time to issue negotiable bonds in\nconformity with applicable provisions of the uniform commercial code for\nany corporate purpose of the authority, including the paying, funding or\nrefunding of any notes theretofore issued by the authority under the\nprovisions of section thirteen hundred eighty-nine of this act. The\nauthority shall have power from time to time to refund any bonds by the\nissuance of new bonds, whether the bonds to be refunded have or have not\nmatured, and may issue bonds partly to refund bonds then outstanding and\npartly for any other corporate purpose. Except as may be otherwise\nexpressly provided by contract between the authority and the holders of\nits bonds, all bonds of the authority shall be general obligations\npayable out of any moneys or revenues of the authority, subject only to\nany agreements with the holders of particular bonds the payment of which\nis secured by a pledge of particular moneys or revenues.\n 2. Such bonds shall be authorized by resolution of the board and shall\nbear such date or dates, mature at such time or times, not exceeding\nforty years from their respective dates, bear interest at such rate or\nrates, not exceeding five per centum per annum payable annually or\nsemi-annually, be in such denominations, be in such form, either coupon\nor registered, carry such registration privileges, be executed in such\nmanner, be payable in lawful money of the United States of America at\nsuch place or places, and be subject to such terms of redemption prior\nto maturity, at par or a price not exceeding one hundred five per centum\nof the face value, as such resolution or resolutions may provide. Such\nbonds may be sold, with or without advertisement, in such manner as the\nauthority shall determine by resolution. If advertisement is made, a\nnotice of sale shall be published at least once, not less than ten nor\nmore than forty days before the date of sale, in a newspaper published\nand circulated in the city of Ogdensburg and in a financial newspaper\npublished and circulated in the city of New York and designated by the\nboard. The notice shall call for the receipt of sealed bids and shall\nfix the date, time and place of sale. Bonds shall be sold at such price\nor prices as will yield to the purchasers income at a rate not exceeding\nfive per centum per annum to the maturity dates of said bonds, computed\nin accordance with standard tables of bond values.\n 3. Any resolutions authorizing the issuance of any bonds may contain\nprovisions, which shall be a part of the contract with the holders of\nthe bonds thereby authorized, as to:\n a. Pledging all or any part of the gross or net revenues of the\nauthority to secure the payment of the bonds, subject to such agreements\nwith bondholders as may then exist;\n b. The rentals, fees and other charges to be charged for the use of\nprojects of the authority, and the amounts to be raised in each year\nthereby, and the use and disposition of revenues of the authority;\n c. The setting aside of reserves or sinking funds and the regulation\nand disposition thereof;\n d. The appointment of a bank or banks or trust company or trust\ncompanies as trustee or trustees for the custody and disposition of any\nmoneys of the authority, including the proceeds of any bonds or other\nobligations and any revenues or income of the authority, and the\nexecution of any trust agreements or indentures with such trustee or\ntrustees with such provisions as may be deemed necessary or desirable in\nconnection with the custody and disposition of such moneys of the\nauthority and the rights and remedies of the holders of such bonds;\n e. Limitations on the right of the authority to restrict and regulate\nthe use of projects of the authority;\n f. Limitations of the purpose to which the proceeds of the sale of any\nissue of bonds then or thereafter to be issued may be applied;\n g. Limitations on the issuance of additional bonds, including the\nterms upon which additional bonds may be issued and secured;\n h. The procedure, if any, by which the terms of any contract with\nbondholders may be amended or abrogated, the amount of bonds the holders\nof which must give consent thereto, and the manner in which such consent\nmay be given; and\n i. Any other matters, of like or different character, which in any way\naffect the security or protection of the bonds.\n 4. Any pledge of revenues or other moneys made by the authority shall\nbe valid and binding from the time when the pledge is made. The revenues\nor other moneys so pledged and thereafter received by the authority\nshall be immediately subject to the lien of such pledge without any\nphysical delivery thereof or further act. The lien of any such pledge\nshall be valid and binding as against all parties having claims of any\nkind in tort, contract or otherwise against the authority irrespective\nof whether such parties have notice thereof. Neither the resolution nor\nany other instrument by which a pledge is created need be recorded.\n 5. Neither the members of the authority nor any person executing the\nbonds shall be liable personally on the bonds or be subject to any\npersonal liability by reason of the issuance thereof, excepting solely\nfor things willfully done or willfully omitted to be done with an intent\nto defraud.\n 6. The authority shall have power out of any funds available therefor\nto purchase any of its outstanding bonds at a price not more than the\nthen redemption price of such bonds. All bonds so purchased shall be\ncancelled.\n 7. Issuance by the authority of one or more series of bonds for one or\nmore purposes in connection with any industrial project shall not\npreclude it from issuing other bonds in connection with the same\nindustrial project or any other industrial project, but the proceedings\nwhereunder any subsequent bonds may be issued shall recognize and\nprotect any prior pledge or mortgage made for any prior issue of bonds\nunless in the proceedings authorizing such prior issue the right is\nreserved to issue subsequent bonds on a parity with such prior issue.\n