§ 553-B — Additional powers and provisions in relation to convention center

§ 553-b. Additional powers and provisions in relation to convention\ncenter. 1. In relation to the convention center and for the purpose of\neffectuating the development of the same, the authority shall have\npower, in its discretion and subject to and in accordance with all\ncontract provisions with respect to any bonds and the rights of the\nholders of bonds, to:\n (a) Finance all or any part of the costs of and incidental to studies,\nthe site acquisition, planning, design, construction and development of\nthe convention center, through the issuance of its negotiable notes or\nbonds or other obligations;\n (b) Lease in its own name the convention center from the subsidiary of\nNew York state urban development corporation (such subsidiary being\nherein referred to as the development corporation) created pursuant to a\nchapter of the laws of nineteen hundred seventy-nine for studies, site\nacquisition, planning, design, construction and development of the\nconvention center, and sublease its interest therein to the state\n(acting by and through the commissioner of general services), each of\nsuch lease and sublease to be upon such terms and conditions as the\nparties thereto shall agree, provided that (i) such lease shall (a)\nprovide for an initial lump-sum rental in the amount of the aggregate of\nthose costs of and incidental to the studies, site acquisition,\nplanning, design, construction and development of the convention center\ntheretofore temporarily financed by the State and for a nominal rental\nthereafter, (b) provide to the lessee the option to purchase for a\nnominal price the leased property in its own name at the expiration or\nearlier termination of the term of the lease, and (c) relieve the\ndevelopment corporation of any obligation to operate, repair, maintain\nor reconstruct the convention center, and (ii) such sublease shall (a)\nprovide for rental payments equal to the amount needed to pay debt\nservice on said notes, bonds or other obligations as the same becomes\ndue, (b) provide that the obligations of the state to make such rental\npayments shall not constitute a debt of the state within the meaning of\nany constitutional or statutory provision and shall be deemed executory\nonly to the extent of moneys made available to the state, and that no\nliability on account thereof shall be incurred by the state beyond the\nmoneys available for the purpose thereof, (c) provide to the sublessee\nthe option to purchase for a nominal price any interest of the authority\nin the subleased property at the expiration or earlier termination of\nthe term of the sublease, and (d) relieve the authority of any\nobligation to operate, repair, maintain or reconstruct the convention\ncenter;\n (c) Agree with the development corporation (in the lease referred to\nin paragraph (b) above or by separate agreement) to make payments to the\ndevelopment corporation from the proceeds of the sale of the obligations\nreferred to in paragraph (a) above upon requisition therefor by the\ndevelopment corporation, in an aggregate amount equal to the costs of\nand incidental to the studies, site acquisition, planning, design,\nconstruction and development of the convention center less the amount\ntheretofore paid to the development corporation as rentals under the\nlease referred to in paragraph (b) above; and\n (d) Additionally participate in the site acquisition, planning,\ndesign, construction and development of the convention center through\nrepresentation on the board of directors of the development corporation.\n 2. Bonds, notes or other obligations issued for the purposes\nenumerated in paragraph (a) of subdivision one of this section shall be\nissued in the manner provided in section five hundred sixty-one of this\nchapter, subject only to the following limitations:\n (a) The aggregate principal amount of such bonds, notes or other\nobligations shall not exceed three hundred seventy-five million dollars\n($375,000,000), excluding bonds, notes or other obligations issued to\nrefund or otherwise repay bonds, notes or other obligations theretofore\nissued for such purposes; provided, however, that upon any such\nrefunding or repayment the total aggregate principal amount of\noutstanding bonds, notes or other obligations may be greater than three\nhundred seventy-five million dollars ($375,000,000) only if the present\nvalue of the aggregate debt service of the refunding or repayment bonds,\nnotes or other obligations to be issued shall not exceed the present\nvalue of the aggregate debt service of the bonds, notes or other\nobligations so to be refunded or repaid. For purposes hereof, the\npresent values of the aggregate debt service of the refunding or\nrepayment bonds, notes or other obligations and of the aggregate debt\nservice of the bonds, notes or other obligations so refunded or repaid,\nshall be calculated by utilizing the effective interest rate of the\nrefunding or repayment bonds, notes or other obligations, 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 or repayment bonds, notes or other obligations\nfrom the payment dates thereof to the date of issue of the refunding or\nrepayment bonds, notes or other obligations and to the price bid\nincluding estimated accrued interest or proceeds received by the\nauthority including estimated accrued interest from the sale thereof;\nand\n (b) Bonds issued for such purposes may be issued as a single issue or\nin series from time to time provided that (i) such issue or each such\nseries shall be scheduled to mature over a term of not less than twenty\nand not more than forty years, (ii) with respect to bonds issued prior\nto the date of completion of the convention center, as estimated by the\nauthority, any principal payments or principal installments to be made\nor provided for shall commence not later than two years following the\nestimated date of such completion, (iii) with respect to bonds issued on\nor after the date of completion of the convention center, as certified\nby the authority, any principal payments or principal installments to be\nmade or provided for shall commence not later than one year following\nthe date of issue of such bonds, and (iv) the aggregate amount of\nprincipal and interest or principal installments and interest payable in\neach year during which such principal payments or installments are made\nor provided for shall, (1) with respect to such issue, or (2) with\nrespect to each such series or the aggregate of all such series, as the\nauthority shall elect, be as nearly equal as practicable.\n 3. The authority shall have power to enter into such other agreements\nwith the city, the state, New York state urban development corporation\nand the development corporation to effectuate the provisions of this\narticle, and to perform any act or thing, transfer such rights or\ninterests and execute and deliver such instruments, documents or papers\nas it may deem necessary, convenient or desirable to carry out any of\nthe foregoing. The powers conferred in this section shall be in addition\nto and not in limitation of the other powers conferred in this title.\n