§ 3010 — Creation; purposes and general powers of a municipal assistance corporation

New York § 3010

• Jurisdiction: New York
• Law PBA: Public Authorities
• Title 2: General Provisions Relating to Municipal Assistance Corporations
• Art. 10: New York State Municipal Assistance Corporation Act

Text

§ 3010. Creation; purposes and general powers of a municipal assistance\ncorporation. A municipal assistance corporation shall be created by a\nspecial law of the legislature. The purposes of a municipal assistance\ncorporation shall be to assist a municipality attempting to provide,\nwithout interruption, services essential to its inhabitants while\nmeeting its obligation to the holders of its outstanding securities.\nSuch assistance shall be provided through the issuance and sale of bonds\nand notes and paying or lending funds received from such sale to the\nmunicipality, or through the exchange of its obligations for obligations\nof the municipality. To carry out the aforesaid purposes, a municipal\nassistance corporation shall have, in addition to any powers\nspecifically granted in the special act creating such municipal\nassistance corporation, the following powers: (1) to sue and be sued,\n(2) to have a seal and alter the same at pleasure; (3) to make and alter\nby-laws for its organization and internal management and, subject to\nagreements with noteholders or bondholders, to make rules and\nregulations governing the use of its property and facilities; (4) to\nmake and execute contracts, leases, subleases and all other instruments\nor agreements necessary or convenient for the exercise of its powers and\nfunctions under this title; (5) to purchase real or personal property\nnecessary and convenient for its corporate purposes; to execute and\ndeliver deeds for real property held in its own name; and to sell or\notherwise dispose of such real or personal property that, in the\njudgment of the municipal assistance corporation, is no longer necessary\nfor its corporate purposes; (6) to appoint officers, agents and\nemployees, prescribe their duties and qualifications and fix their\ncompensation; (7) to commence any action to protect or enforce any right\nconferred upon it by any law, contract or other agreement; (8) subject\nto other provisions of law, to lend or otherwise transfer to the\nmunicipality for which the municipal assistance corporation was created\nsuch sums of money as are not required for other purposes; (9) to borrow\nmoney and to issue notes or bonds and to fund or refund the same, and to\nprovide for the rights of the holders of its obligations; (10) subject\nto the provisions of any contract with noteholders or bondholders to\ninvest any funds held in funds or accounts (except as hereafter\nprovided), or any funds not required for immediate use or disbursement,\nat the discretion of the municipal assistance corporation, in\nobligations of the municipality being assisted or obligations of the\nstate or federal government, obligations the principal of and interest\non which are guaranteed by such municipality, the state or federal\ngovernment, or obligations of agencies of such municipality, the state\nor federal government which may, from time to time, be legally purchased\nby savings banks of the state as investments of funds belonging to them\nor in their control and which have been approved by the comptroller or\nin a secured time deposit or other interest-bearing accounts secured by\nsuch obligations; provided, however, that no funds held in a capital\nreserve fund may be invested in obligations of or guaranteed by the\nmunicipality being assisted or of any of its agencies; (11) subject to\nthe provisions of any contract with noteholders or bondholders, to\npurchase notes or bonds of the corporation; (12) to procure insurance\nagainst any loss in such amounts and from such insurers as it deems\ndesirable; (13) to engage the services of consultants on a contract\nbasis for rendering professional and technical assistance and advice;\n(14) subject to the approval of the director of the budget to contract\nfor and to accept any gifts or grants or loans of funds or property or\nfinancial or other aid in any form from the federal government or any\nagency or instrumentality thereof, or from any other source and to\ncomply with the terms and conditions thereof; (15) as security for the\npayment of the principal of and interest on any bonds or notes so issued\nand any agreements made in connection therewith to pledge all or part of\nits property or revenues; (16) to require any municipality to which\nassistance is provided under this article or any authority, agency or\nother body established by or on behalf of such municipality to make\navailable all books and records, and to furnish copies of all financial\nstatements, budgets, forecasts, projections and related information as\nmay be requested; (17) to pay the expenses of the operation of the\ncorporation, including but not limited to the repayment to the state of\nany advance to the corporation under any agreement between the\ncorporation and the director of the budget out of any revenues available\nto the corporation and not otherwise pledged except the proceeds of its\nnotes and bonds; and (18) in connection with any agreement by the\nfederal government or any agency or instrumentality thereof to guarantee\nthe payment of the principal of or the interest on the obligations\nissued by the municipality for which the municipal assistance\ncorporation was created, to enter into one or more agreements with the\nfederal government or any agency or instrumentality thereof in respect\nof such guarantee containing terms and conditions required by the\nsecretary of the treasury pursuant to the federal act authorizing the\nissuance of such guarantees and to comply with such terms and\nconditions, including, without limitation, a requirement that the\ncorporation make deposits or cause monies to be deposited in a fund or\nfunds established in connection with the issuance of guaranteed\nobligations or funds pursuant to the terms and conditions of such\nguarantee; and (19) to do any and all things necessary or convenient to\ncarry out its purposes and exercise the powers expressly given and\ngranted in this article or in the special act creating such municipal\nassistance corporation.\n