§ 3053 — Creation of the municipal assistance corporation for the city of Troy; authorized indebtedness

New York § 3053

• Jurisdiction: New York
• Law PBA: Public Authorities
• Title 4: Municipal Assistance Corporation For the City of Troy
• Art. 10: New York State Municipal Assistance Corporation Act

Text

§ 3053. Creation of the municipal assistance corporation for the city\nof Troy; authorized indebtedness. 1. There is hereby created the\nmunicipal assistance corporation for the city of Troy. The corporation\nshall be a corporate governmental agency and instrumentality of the\nstate constituting a public benefit corporation. It shall have the\npowers, privileges and duties of a corporation under title two of this\narticle and under this title. The corporation shall continue for a term\nof one year after all its liabilities have been fully paid and\ndischarged. Upon the termination of the existence of the corporation,\nall of its rights and property shall pass to and be vested in the state.\n 1-a. Notwithstanding the provisions of subdivision one of this section\nor any other provision of law, upon payment in full of all outstanding\nbonds or notes issued by the corporation under this title, and payment\nof all amounts required to be paid to the United States Treasury for\ntax-exempt bond rebate obligations, all remaining funds of the\ncorporation not needed in the determination of the board of the\ncorporation for operating expenses of the corporation, are hereby\nauthorized and directed to be paid directly to the city of Troy. The\ndetermination of the board of the corporation of the amount of such\nfunds available to be paid to the city of Troy shall be final and\nconclusive. In addition, upon payment of all outstanding obligations of\nthe corporation, including after completion of audited financial\nstatements of the corporation for the two thousand twenty-one fiscal\nyear, as well as any shortened audit for any portion of the two thousand\ntwenty-two fiscal year which may be determined by the board of the\ncorporation to be in the public interest, the existence of the\ncorporation may be terminated by resolution of the board of the\ncorporation at any time, but in no event later than one year after all\nits liabilities have been paid.\n 2. Subject to the provisions of any contract with noteholders or\nbondholders, the corporation shall not issue bonds and notes in an\naggregate principal amount exceeding seventy-one million dollars,\nexcluding bonds and notes issued to fund the bond reserve fund\nestablished pursuant to section three thousand fifty-six of this title\nand any bonds or notes issued to refund outstanding bonds and notes of\nthe corporation, for the purposes described in paragraphs (c), (d), (e),\nand (f) of subdivision one of section three thousand fifty-seven of this\ntitle.\n 2-a. In addition to the authority provided in subdivision two of this\nsection, the corporation may, until December thirty-first, nineteen\nhundred ninety-nine, issue notes in an aggregate principal amount which\nthe chief executive officer certifies to the corporation is required by\nthe city to provide for purposes described in paragraph (b) of\nsubdivision one of section three thousand fifty-seven of this title,\nwithout interruption, services essential to its inhabitants while\nmeeting its obligation to the holders of its outstanding securities to\nDecember thirty-first, nineteen hundred ninety-nine, but not to exceed\ntwo million dollars outstanding in the aggregate at any time (excluding\nnotes to fund the bond reserve fund established pursuant to section\nthree thousand fifty-six of this title). Such notes shall finally mature\nno later than December thirty-first, two thousand. Such notes shall\nmature within one year from their date of issue and may be renewed from\ntime to time, but each renewal shall be for a period not to exceed one\nyear. The terms of issuance of such notes shall not contain any\nprovision creating rights in the holders of such notes to convert such\nnotes to or exchange such notes for bonds of the corporation.\n 2-b. In addition to the authority provided in subdivisions two and\ntwo-a of this section, the corporation may, not later than December\nthirty-first, nineteen hundred ninety-eight issue bonds and notes in an\naggregate principal amount not to exceed two million dollars (excluding\nany bonds or notes issued to fund the bond reserve fund established\npursuant to section three thousand fifty-six of this title and any bonds\nor notes issued to refund outstanding bonds or notes) for the purpose of\nfunding capital projects within the city pursuant to subdivision (a) of\nsection three thousand fifty-seven of this title.\n 3. (a) No note or bond (i) shall mature more than thirty years from\nthe date of the original issue of such note or bond and, in any event,\nnot later than January first, two thousand thirty or (ii) shall be\nissued on a date later than December thirty-first, nineteen hundred\nninety-nine, unless such note or bond is a renewal or refunding of an\noutstanding note or bond.\n (b) No bond shall be issued by the corporation for a purpose set forth\nin paragraph (b) of subdivision one of section three thousand\nfifty-seven of this title.\n (c) Whenever all or a portion of a series of notes or bonds of the\ncorporation is issued for a purpose set forth in section three thousand\nfifty-seven of this title to the extent that the payment of the proceeds\nof such series is evidenced by a bond or bonds of the city, not more\nthan one year following a scheduled payment of principal on any such\ncity bond (including sinking fund installments), a substantially equal\npayment of principal (including sinking fund installments) shall be\nscheduled with respect to the notes or bonds included in such series of\nthe corporation.\n 4. The corporation is authorized to procure a bond or note facility\nwith respect to its bonds or notes issued pursuant to this section and\nas security for the principal of and interest on any bonds or notes\nissued pursuant to this section and for its obligations under any bond\nor note facility the corporation may pledge any part of its revenues or\nassets.\n 5. Whenever this title establishes a limit on the principal amount of\nbonds or notes that the corporation is authorized to issue, there shall\nnot be counted against such limit (i) amounts certified by the chairman\nof the corporation as reasonable to be used to pay the cost of issuing\nsuch bonds or notes where such certification has been provided in\nwriting to the state comptroller and the city of Troy, (ii) the amount\nof bonds or notes that would constitute interest under the Internal\nRevenue Code of 1986, as amended, and (iii) the portion of any bonds or\nnotes issued to accomplish the purposes described in paragraphs (d) and\n(e) of subdivision one of section three thousand fifty-seven of this\ntitle to the extent necessary to pay interest to the date of redemption\nor maturity, redemption premium, if any, or other similar costs relating\nto the accomplishment of such purposes.\n 6. At the written request of the city, the corporation is authorized\nto pledge, subject to the prior pledge of the corporation's revenues and\nassets pursuant to its contracts with the holders of its bonds, notes or\nother obligations, any part of its revenues or assets not to exceed one\nhundred thousand dollars in any state fiscal year in favor of the\ncommissioner of environmental conservation to secure obligations of the\ncity related to post-closure care and potential corrective measures of\nthe city's landfill.\n