Do you support this bill?

Assembly Bill A6574

2009-2010 Legislative Session

Requires bids for purchase of municipal bonds to include certified or cashier's check, or guaranty or surety bond equal to 1% of bonds bid upon

download bill text pdf

Sponsored By

Archive: Last Bill Status - In Assembly Committee

Please enter your contact information

Home address is used to determine the senate district in which you reside. Your support or opposition to this bill is then shared immediately with the senator who represents you.

Optional services from the NY State Senate:

Create an account. An account allows you to officially support or oppose key legislation, sign petitions with a single click, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Include a custom message for your Senator? (Optional)

Enter a message to your senator. Many New Yorkers use this to share the reasoning behind their support or opposition to the bill. Others might share a personal anecdote about how the bill would affect them or people they care about.

Actions

co-Sponsors

multi-Sponsors

2009-A6574 (ACTIVE) - Details

Current Committee:
Assembly Local Governments
Law Section:
Local Finance Law
Laws Affected:
Amd ยง58.00, Loc Fin L
Versions Introduced in 2011-2012 Legislative Session:
A5997

2009-A6574 (ACTIVE) - Summary

Requires bids for the purchase of municipal bonds to include a certified or cashiers check, or guaranty or surety bond in an amount equal to 1% of the bonds for which the bid was submitted.

2009-A6574 (ACTIVE) - Bill Text download pdf 

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  6574

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                              March 6, 2009
                               ___________

Introduced  by  M. of A. BURLING, GIGLIO, FINCH -- Multi-Sponsored by --
  M. of A. CONTE, HAWLEY, MILLER  --  read  once  and  referred  to  the
  Committee on Local Governments

AN  ACT  to amend the local finance law, in relation to requirements for
  bids for the purpose of bonds

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Subdivision 3 of paragraph c of section 58.00 of the local
finance law, as amended by chapter 469 of the laws of 1998,  is  amended
to read as follows:
  3. A requirement that as a condition precedent to the consideration of
his  OR  HER  bid,  each  bidder shall deposit with such official as the
agency in charge of the sale may designate[,] (I) a certified  or  cash-
ier's  check  drawn upon an incorporated bank or trust company OR (II) A
FINANCIAL GUARANTY BOND OR SURETY BOND THAT IS RATED IN ONE OF  THE  TWO
HIGHEST  RATING  CATEGORIES BY AT LEAST TWO OF THE NATIONALLY RECOGNIZED
INDEPENDENT SECURITIES RATING AGENCIES; WHICH SHALL BE  PAYABLE  to  the
order  of  the  municipality, school district or district corporation or
such official, for not less than one per centum of the amount  of  bonds
to  be  bid for.  Such notice may also provide that, in lieu of a certi-
fied or cashier's check, bidders may furnish  as  security  an  eligible
surety  bond  or an eligible letter of credit, approved by such official
as to form, sufficiency, and manner of execution. For purposes  of  this
section,  "eligible  surety  bond"  shall mean a bond executed by [a] AN
insurance company authorized to do business in this state,  the  claims-
paying  ability  of  which is rated in the highest rating category by at
least two nationally recognized statistical  rating  organizations;  and
"eligible  letter  of credit" shall mean an irrevocable letter of credit
issued in favor of the municipality, school district or district  corpo-
ration,  for a term not to exceed ninety days by a bank, as that term is
defined in section two of the banking law, whose  commercial  paper  and

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06277-01-9

Comments

Open Legislation is a forum for New York State legislation. All comments are subject to review and community moderation is encouraged.

Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity, hate or toxic speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Attempts to intimidate and silence contributors or deliberately deceive the public, including excessive or extraneous posting/posts, or coordinated activity, are prohibited and may result in the temporary or permanent banning of the user. Comment moderation is generally performed Monday through Friday. By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Create an account. An account allows you to sign petitions with a single click, officially support or oppose key legislation, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.