§ 386-B — Financing of peace bridge and transportation capital projects

§ 386-b. Financing of peace bridge and transportation capital\nprojects. 1. Notwithstanding any other provision of law to the\ncontrary, the authority, the dormitory authority and the urban\ndevelopment corporation are hereby authorized to issue bonds or notes in\none or more series for the purpose of financing peace bridge projects\nand capital costs of state and local highways, parkways, bridges, the\nNew York state thruway, Indian reservation roads, and facilities, and\ntransportation infrastructure projects including aviation projects,\nnon-MTA mass transit projects, and rail service preservation projects,\nincluding work appurtenant and ancillary thereto. The aggregate\nprincipal amount of bonds authorized to be issued pursuant to this\nsection shall not exceed seventeen billion thirty million twenty-seven\nthousand dollars $17,030,027,000, excluding bonds issued to fund one or\nmore debt service reserve funds, to pay costs of issuance of such bonds,\nand to refund or otherwise repay such bonds or notes previously issued.\nSuch bonds and notes of the authority, the dormitory authority and the\nurban development corporation shall not be a debt of the state, and the\nstate shall not be liable thereon, nor shall they be payable out of any\nfunds other than those appropriated by the state to the authority, the\ndormitory authority and the urban development corporation for principal,\ninterest, and related expenses pursuant to a service contract and such\nbonds and notes shall contain on the face thereof a statement to such\neffect. Except for purposes of complying with the internal revenue code,\nany interest income earned on bond proceeds shall only be used to pay\ndebt service on such bonds.\n 2. Notwithstanding any other provision of law to the contrary, in\norder to assist the authority, the dormitory authority and the urban\ndevelopment corporation in undertaking the financing of such\ntransportation facilities projects, the director of the budget is hereby\nauthorized to enter into one or more service contracts with the\nauthority, the dormitory authority and the urban development\ncorporation, none of which shall exceed thirty years in duration, upon\nsuch terms and conditions as the director of the budget and the\nauthority, the dormitory authority and the urban development corporation\nagree, so as to annually provide to the authority, the dormitory\nauthority and the urban development corporation, in the aggregate, a sum\nnot to exceed the principal, interest, and related expenses required for\nsuch bonds and notes. Any service contract entered into pursuant to this\nsection shall provide that the obligation of the state to pay the amount\ntherein provided shall not constitute a debt of the state within the\nmeaning of any constitutional or statutory provision and shall be deemed\nexecutory only to the extent of monies available and that no liability\nshall be incurred by the state beyond the monies available for such\npurpose, subject to annual appropriation by the legislature. Any such\nservice contract or any payments made or to be made thereunder may be\nassigned and pledged by the authority, the dormitory authority and the\nurban development corporation as security for such bonds and notes, as\nauthorized by this section.\n