§ 1599-I — Bonds of the authority

* § 1599-i. Bonds of the authority. 1. The authority shall have the\npower and is hereby authorized from time to time to issue its negotiable\nbonds for any purpose mentioned in section fifteen hundred ninety-nine-d\nof this title, including the acquisition, construction, reconstruction\nand repair of personal and real property of all kinds deemed by the\nboard to be necessary or desirable to carry out such purpose, as well as\nto pay such expenses as may be deemed by the board necessary or\ndesirable to the financing thereof and placing the project or projects\nin operation in the aggregate principal amount of not exceeding twenty\nmillion dollars outstanding at any one time. The authority shall have\npower from time to time and whenever it deems refunding expedient, to\nrefund any bonds by the issuance of new bonds, whether the bonds to be\nrefunded have or have not matured, and may issue bonds partly to refund\nbonds then outstanding and partly for any other purpose hereinabove\ndescribed. The refunding bonds may be exchanged for the bonds to be\nrefunded with such cash adjustments as may be agreed, or may be sold and\nthe proceeds applied to the purchase or payment of the bonds to be\nrefunded. In computing the total amount of bonds of the authority which\nmay at any time be outstanding the amount of the outstanding bonds to be\nrefunded from the proceeds of the sale of new bonds or by exchange for\nnew bonds shall be excluded; provided, however, that bonds issued or to\nbe issued shall be excluded from such limitation if such bonds are\nissued to refund bonds of the authority issued in connection with such\npurposes and the present value of the aggregate debt service on the\nrefunding bonds does not exceed the present value of the aggregate debt\nservice on the bonds refunded thereby. For purposes hereof, the present\nvalue of the aggregate debt service of the refunding bonds and the\naggregate debt service of the bonds refunded, shall be calculated by\nutilizing the true interest cost of the refunding bonds, which shall be\nthat rate arrived at by doubling the semi-annual interest rate\n(compounded semi-annually) necessary to discount the debt service\npayments on the refunding bonds from the payment dates thereof to the\ndate of issue of the refunding bonds to the purchase price of the\nrefunding bonds, including interest accrued thereon prior to the\nissuance thereof. Except as may otherwise be expressly provided by the\nauthority, the bonds of every issue shall be general obligations of the\nauthority payable out of any moneys or revenues of the authority,\nsubject only to any agreements with the holders of particular bonds\npledging any particular moneys or revenues. Whether or not the bonds are\nof such form and character as to be negotiable instruments under the\nterms of the general obligations law (constituting chapter twenty-four-a\nof the consolidated laws) the bonds shall be and are hereby made\nnegotiable instruments within the meaning of and for all the purposes of\nthe general obligations law, subject only to the provisions of the bonds\nfor registration.\n 2. The bonds shall be authorized by resolution of the board and shall\nbear such date or dates, mature at such time or times, not exceeding\ntwenty years from their respective dates, bear interest at such rate or\nrates, not exceeding the rate of interest prescribed for serial bonds by\nthe local finance law, be in such denominations, be in such form, either\ncoupon or registered, carry such registration privileges, be executed in\nsuch manner, be payable in lawful money of the United States of America\nat such place or places, and be subject to such terms of redemption, as\nsuch resolution or resolutions may provide. The bonds may be sold at\npublic or private sale for such price or prices as the authority shall\ndetermine, but which shall not at the time of sale yield more than the\nrate of interest prescribed for serial bonds by the local finance law.\n 3. Any resolution or resolutions authorizing any bonds or any issue of\nbonds may contain provisions, which shall be a part of the contract with\nthe holders of the bonds thereby authorized, as to\n (a) pledging all or any part of the revenues of a project or projects\nto secure the payment of the bonds, subject to such agreements with\nbondholders as may then exist;\n (b) the rentals, fees and other charges to be charged, and the amounts\nto be raised in each year thereby, and the use and disposition of the\nrevenues;\n (c) the setting aside of reserves or sinking funds, and the regulation\nand disposition thereof;\n (d) limitations on the right of the authority to restrict and regulate\nthe use of a project;\n (e) limitations on the purpose to which the proceeds of sale of any\nissue of bonds then or thereafter to be issued may be applied and\npledging such proceeds to secure the payment of the bonds or of any\nissue of the bonds;\n (f) limitations on the issuance of additional bonds; the terms upon\nwhich additional bonds may be issued and secured; the refunding of\noutstanding or other bonds;\n (g) 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 consent thereto, and the manner in which such consent may\nbe given;\n (h) limitations on the amount of moneys derived from a project to be\nexpended for operating, administrative or other expenses of the\nauthority;\n (i) vesting in a trustee or trustees such property, rights, powers and\nduties in trust as the authority may determine which may include any or\nall of the rights, powers and duties of the trustee appointed by the\nbondholders pursuant to section fifteen hundred ninety-nine-o of this\ntitle hereof, and limiting or abrogating the right of the bondholders to\nappoint a trustee under said section or limiting the rights, duties and\npowers of such trustee;\n (j) any other matters, of like or different character, which in any\nway affect the security or protection of the bonds.\n 4. It is the intention hereof that any pledge of revenues or other\nmoneys made by the authority shall be valid and binding from the time\nwhen the pledge is made; that the revenues or other moneys so pledged\nand thereafter received by the authority shall immediately be subject to\nthe lien of such pledge without any physical delivery thereof or further\nact; and that the lien of any such pledge shall be valid and binding as\nagainst all parties having claims of any kind in tort, contract or\notherwise against the authority irrespective of whether such parties\nhave notice thereof. Neither the resolution nor any other instrument by\nwhich 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 or accountability by reason of the issuance thereof.\n 6. The authority shall have power out of any funds available therefor\nto purchase bonds. The authority may hold, cancel or resell such bonds,\nsubject to and in accordance with agreements with bondholders.\n 7. In the discretion of the authority, the bonds may be secured by a\ntrust indenture by and between the authority and a corporate trustee,\nwhich may be any trust company or bank having the powers of a trust\ncompany in the state of New York. Such trust indenture may contain such\nprovisions for protecting and enforcing the rights and remedies of the\nbondholders as may be reasonable and proper and not in violation of law,\nincluding covenants setting forth the duties of the authority in\nrelation to the construction, maintenance, operation, repair and\ninsurance of the project or projects, and the custody, safeguarding and\napplication of all moneys, and may provide that the project or projects\nshall be constructed and paid for under the supervision and approval of\nconsulting engineers. Notwithstanding the provisions of section fifteen\nhundred ninety-nine-h of this title, the authority may provide by such\ntrust indenture for the payment of the proceeds of the bonds and the\nrevenues of the project or projects to the trustee under such trust\nindenture or other depository, and for the method of disbursement\nthereof, with such safeguards and restrictions as it may determine. All\nexpenses incurred in carrying out such trust indenture may be treated as\na part of the cost of maintenance, operation, and repairs of the project\nor projects. If the bonds shall be secured by a trust indenture, the\nbondholders shall have no authority to appoint a separate trustee to\nrepresent them, and the trustee under such trust indenture shall have\nand possess all of the powers which are conferred by section fifteen\nhundred ninety-nine-o of this title upon a trustee appointed by\nbondholders.\n * NB Authority ceased to exist 12/31/99\n * NB There are 4 § 1599-i's\n