§ 66-a. Restriction on issuance of certificates of participation. 1.\nNo person, partnership, corporation or other legal entity nor any state\nofficer, employee, agency, department, the city university of New York,\nthe legislature or the judiciary shall issue certificates of\nparticipation or similar instruments representing the right to receive a\nproportionate share in lease, installment or other periodic payments to\nbe made by any state department, agency or the city university of New\nYork except in accordance with the provisions of this article and with\nthe express written approval of the state comptroller. The provisions of\nthis section are hereby made a part of every purchase contract entered\ninto by such a state entity providing for periodic payments by any state\ndepartment
Free access — add to your briefcase to read the full text and ask questions with AI
§ 66-a. Restriction on issuance of certificates of participation. 1.\nNo person, partnership, corporation or other legal entity nor any state\nofficer, employee, agency, department, the city university of New York,\nthe legislature or the judiciary shall issue certificates of\nparticipation or similar instruments representing the right to receive a\nproportionate share in lease, installment or other periodic payments to\nbe made by any state department, agency or the city university of New\nYork except in accordance with the provisions of this article and with\nthe express written approval of the state comptroller. The provisions of\nthis section are hereby made a part of every purchase contract entered\ninto by such a state entity providing for periodic payments by any state\ndepartment, agency or the city university of New York. Every such\ncontract shall contain a clause expressly reciting the provisions of\nthis subdivision, provided, however, that the absence of such clause in\nsuch a contract shall not obviate the duty of all parties thereto to\ncomply with the provisions of this subdivision. Neither this provision,\nnor any other provision of this article shall be construed to prevent\nsuch state entities from entering into installment purchase or lease\npurchase agreements funded without the use of certificates of\nparticipation or similar instruments.\n 2. For the purposes of this article, "state departments and agencies"\nshall not include the legislature or the judiciary, and the provisions\nof this article, unless otherwise specified, shall not apply to\ninstallment purchase or lease purchase contracts entered into by the\nlegislature or the judiciary financed by the issuance of certificates of\nparticipation or similar instruments representing the right to receive a\nproportionate share in lease, installment or other periodic payments to\nbe made by the legislature or judiciary.\n 3. No state officer, employee, department, agency or the city\nuniversity of New York shall enter into any agreement in connection with\nthe issuance of certificates of participation which requires any payment\nby the state to the trustee, on behalf of holders of such certificates,\nduring the month of April of any year.\n