§ 43 — 2008 and 2009 Economic development initiatives

§ 43. 2008 and 2009 Economic development initiatives. 1.\nNotwithstanding the provisions of any other law to the contrary, the\ndormitory authority and the corporation are hereby authorized to issue\nbonds or notes in one or more series for the purpose of funding project\ncosts for various economic development and regional initiatives, the\nupstate regional blueprint fund, the downstate revitalization fund, the\nupstate agricultural economic fund, the New York state capital\nassistance program, the New York state economic development assistance\nprogram and other state costs associated with such projects. The\naggregate principal amount of bonds authorized to be issued pursuant to\nthis section shall not exceed one billion two hundred sixty-nine million\nfour hundred fifty thousand dollars, excluding bonds issued to fund one\nor more debt service reserve funds, to pay costs of issuance of such\nbonds, and bonds or notes issued to refund or otherwise repay such bonds\nor notes previously issued. Such bonds and notes of the dormitory\nauthority and the 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 dormitory\nauthority and the corporation for principal, interest, and related\nexpenses pursuant to a service contract and such bonds and notes shall\ncontain on the face thereof a statement to such effect. Except for\npurposes of complying with the internal revenue code, any interest\nincome earned on bond proceeds shall only be used to pay debt service on\nsuch bonds.\n 2. Notwithstanding any other provision of law to the contrary, in\norder to assist the dormitory authority and the corporation in\nundertaking the financing for various economic development and regional\ninitiatives, the upstate regional blueprint fund, the downstate\nrevitalization fund, the upstate agricultural economic fund, the New\nYork state capital assistance program, the New York state economic\ndevelopment assistance program and other state costs associated with\nsuch projects, the director of the budget is hereby authorized to enter\ninto one or more service contracts with the dormitory authority and the\ncorporation, none of which shall exceed thirty years in duration, upon\nsuch terms and conditions as the director of the budget and the\ndormitory authority and the corporation agree, so as to annually provide\nto the dormitory authority and the 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\ncontract or any payments made or to be made thereunder may be assigned\nand pledged by the dormitory authority and the corporation as security\nfor its bonds and notes, as authorized by this section.\n