Senate Bill S7658A

2011-2012 Legislative Session

Relates to permitting financing by the Nassau county interim finance authority for the benefit of the Nassau county health care corporation

download bill text pdf

Archive: Last Bill Status - In Senate Committee Rules Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

Please enter your contact information

First Name

Last Name

Email Address

A valid email address is required.

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

View Actions

Date of Action	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 18, 2012	print number 7658a
Jun 18, 2012	amend and recommit to rules
Jun 12, 2012	referred to rules

Bill Amendments

2011-S7658 - Details

See Assembly Version of this Bill:: A10551
Current Committee:: Senate Rules
Law Section:: Public Authorities Law
Laws Affected:: Amd §§3651, 3656 & 3654, Pub Auth L

2011-S7658 - Summary

Relates to permitting financing by the Nassau county interim finance authority for the benefit of the Nassau county health care corporation.

2011-S7658 - Sponsor Memo

                                BILL NUMBER:S7658

TITLE OF BILL:
An act
to amend the public authorities law, in relation to allowing certain
financing by the Nassau county interim finance authority for the benefit
of the Nassau health care corporation

PURPOSE:
To provide the Nassau Interim Finance Authority ("NIFA")
with the power to refund, restructure, and support through guaranties
and other means the bonds, revenue anticipates notes, and related
letters of credit and swap agreements issued by Nassau Health Care
Corporation ("NHCC") in connection with such financing instruments.

SUMMARY OF PROVISIONS:
Sections 1-3: Provide technical changes to the public authorities law
regarding bonds, revenue anticipation notes, and related letters of
credit and swap agreements issued in connection with such financing
instruments issued by Nassau Health Care Corporation.

Section 4: Effective Date

JUSTIFICATION:
The Nassau Health Care Corporation was created under the public
authorities law and in September 1999 assumed responsibility for

operation of Nassau University Medical Center ("NUM"), a general
hospital licensed under Article 28 of the public health law, the A.
Holly Patterson Extended Care Facility ("AHP"), a skilled nursing
facility, and several Community Health Centers ("CHCs"), all of which
previously had been operated by Nassau County.

NHCC's facilities provide an extensive range of acute care, nursing
home, and ambulatory services to an indigent population in Nassau
County. Its hospital provides more than 50% of the Medicaid
discharges in Nassau County and is the primary provider for
ambulatory care to the
County's Medicaid and indigent population in its Emergency Room/
Trauma Center, Outpatient Department Clinics, Community Health
Centers, and other programs.

A substantial portion of NHCC's debt consists of tax exempt and taxable
variable rate demand bonds. The County guarantees to the Trustee and
the owners of bonds the full and prompt payment of the principal
and interest of the bonds. The County guaranty may be amended without
consent of the bond owners.

In connection with a refinancing of the bonds, the Corporation entered
into interest rate swap agreements with commercial banks to
effectively convert interest payments on the tax-exempt and taxable
variable rate demand bonds to a fixed interest rate. The fixed
interest rates paid by the Corporation under the swap agreements are
respectively 3.46% and 4.61% for the tax exempt and taxable bonds.
The variable rate received for both is based on LIBOR. The swap
agreements remain in place for the bonds and expire respectively, on
August 1, 2029 and August 1, 2012 for the tax exempt and taxable bonds.


In the current historically low interest rate environment with credit
enhancement from NIFA, it is expected that NHCC's debt could be
converted to low fixed rates, while eliminating the risks associated
with the current swap agreements. The swap agreements expose the
Corporation to market risk, in the event of changes in interest
rates, and credit risk in certain circumstances, which could result
in termination payments or substantial collateral calls, and NHCC
would have difficulty posting such collateral. A fixed rate
refunding of the variable rate debt and the termination of the
related swaps will lock in interest rates and eliminate the risks
associated with both variable rate debt and swaps. A NIFA refunding,
including the financing of the swap termination payments, would save
approximately $15-16 million compared to a refunding under the
current County structure, in which the interest rates would be fixed,
but at a higher interest than the NIFA structure. A NIFA refunding,
under current market conditions, would be present value neutral while
eliminating all risk from NHCC's debt portfolio. It also is expected
that NHCC's cash flow borrowings and new borrowings would have a
similar favorable interest rate, and therefore result in savings.

This bill is designed to achieve stability by authorization NIFA to
refund and support through guaranties and other means the bonds,
revenue anticipation notes, and related letters of credit and swamp
agreements issued in connection with NHCC's financing instruments.

LEGISLATIVE HISTORY:
New bill.

FISCAL IMPLICATIONS:
None to State. Debt service savings or elimination of risk will have
positive impact on NHCC's fiscal stability.

EFFECTIVE DATE:
Immediately.

2011-S7658 - Bill Text download pdf

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

                                  7658

                            I N  S E N A T E

                              June 12, 2012
                               ___________

Introduced  by  Sen.  HANNON -- read twice and ordered printed, and when
  printed to be committed to the Committee on Rules

AN ACT to amend the public authorities  law,  in  relation  to  allowing
  certain  financing  by the Nassau county interim finance authority for
  the benefit of the Nassau health care corporation

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

  Section  1.  Subdivision  12 of section 3651 of the public authorities
law, as added by chapter 84 of the laws of 2000, is amended to  read  as
follows:
  12.  "Financeable costs" or "costs" means costs to finance (a) amounts
necessary to accomplish a refunding, repayment  or  restructuring  of  a
portion  of the county's outstanding indebtedness or that of any covered
organization, (b) cash flow needs of the county OR OF ANY COVERED ORGAN-
IZATION, (c) tax certiorari settlements and judgments  of  any  kind  to
which the county is a party, (d) appropriated capital costs of the coun-
ty,  including  the  costs  of  any  preliminary studies, surveys, maps,
plans, estimates and hearings, (e)  amounts  necessary  to  finance  any
county deficit, to the extent authorized by state law, or (f) incidental
costs, including, but not limited to, legal fees, printing or engraving,
publication  of  notices,  taking  of title, apportionment of costs, and
capitalized interest, insurance premiums, costs related to items author-
ized in subdivisions seven through ten  of  section  thirty-six  hundred
fifty-four  of this title or any underwriting or other costs incurred in
connection with the financing thereof.
  S 2. Subdivisions 1 and 2 of section 3656 of  the  public  authorities
law,  as amended by chapter 685 of the laws of 2003, are amended to read
as follows:
  1. The authority shall have the power and is  hereby  authorized  from
time  to  time to issue bonds in such principal amounts as it may deter-
mine to be necessary pursuant to section thirty-six  hundred  fifty-five
of  this  title  to  pay  any  financeable costs and to fund reserves to
secure such bonds, including incidental expenses  in  connection  there-
with.  Provided,  however, the aggregate principal amounts of such bonds

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

                                                           LBD16126-01-2

S. 7658                             2

issued to pay the financeable costs described in paragraph (a) of subdi-
vision twelve of section thirty-six  hundred  fifty-one  of  this  title
shall  not exceed four hundred fifteen million dollars, excluding bonds,
notes,  or  other obligations issued to refund or otherwise repay bonds,
notes, or  other  obligations  theretofore  issued  for  such  purposes.
Notwithstanding  the  foregoing  limit  on  the amount of bonds that the
authority may issue to pay the financeable costs described in  paragraph
(a)  of  subdivision  twelve  of section thirty-six hundred fifty-one of
this title, the authority shall have the power to issue up to  an  addi-
tional  seven  hundred ninety million dollars of bonds, excluding bonds,
notes, or other obligations issued to refund or otherwise  repay  bonds,
notes,  or other obligations theretofore issued for such purpose, to pay
such costs if the  county's  indebtedness  to  be  refunded,  repaid  or
restructured  with  the payment of such bonds was originally incurred by
the county to pay tax certiorari settlements or assignments of any  kind
to  which the county is a party. Provided further, the aggregate princi-
pal amounts of such bonds issued to pay the financeable costs  described
in  paragraph  (c)  of  subdivision twelve of section thirty-six hundred
fifty-one of this title,  which  resulted  from  certiorari  proceedings
commenced  prior  to  June  first,  two  thousand, shall not exceed four
hundred million dollars, excluding bonds, notes,  or  other  obligations
issued  to  refund or otherwise repay bonds, notes, or other obligations
theretofore issued for such purposes. And, provided further, the  aggre-
gate principal amounts of such bonds issued to pay the financeable coun-
ty  costs  described  in  paragraph (c) of subdivision twelve of section
thirty-six hundred fifty-one of this title, which resulted from certior-
ari proceedings commenced on or after June first,  two  thousand,  shall
not  exceed four hundred million dollars in the aggregate for the fiscal
years two thousand through two thousand seven,  however,  of  said  four
hundred  million  dollars  only fifteen million dollars may be issued in
the fiscal year two thousand six and ten million dollars may  be  issued
in  the fiscal year two thousand seven, excluding bonds, notes, or other
obligations issued to refund or otherwise repay bonds, notes,  or  other
obligations  theretofore issued for such purposes. Effective in the year
two thousand six, upon request of the county, the authority shall issue,
in the amount requested, bonds to  pay  tax  certiorari  settlements  or
judgments  of  any  kind  to  which the county is a party, not to exceed
fifteen million dollars; and effective in the year two  thousand  seven,
upon  request  of  the  county, the authority shall issue, in the amount
requested, bonds to pay tax certiorari settlements or judgments  of  any
kind  to which the county is a party, not to exceed ten million dollars.
NOTWITHSTANDING THE FOREGOING,  THE  AUTHORITY  MAY  ISSUE  UP  TO  FOUR
HUNDRED  FIFTY  MILLION  DOLLARS  IN  BONDS TO PAY THE FINANCEABLE COSTS
DESCRIBED IN PARAGRAPHS (A),  (D)  AND  (F)  OF  SUBDIVISION  TWELVE  OF
SECTION THIRTY-SIX HUNDRED FIFTY-ONE OF THIS TITLE RELATED TO THE NASSAU
HEALTH  CARE CORPORATION. Whenever this title establishes a limit on the
principal amount of bonds that the authority  is  authorized  to  issue,
there  shall not be counted against such limit (i) amounts determined by
the authority as reasonable to be used to pay the cost of  issuing  such
bonds, (ii) the amount of bonds that would constitute interest under the
Internal  Revenue Code of 1986, as amended, and (iii) amounts determined
by the authority as necessary to establish any reserves.
  The authority shall have the power from time to  time  to  refund  any
bonds  of  the authority by the issuance of new bonds, whether the bonds
to be refunded have or have not matured, and may issue bonds  partly  to
refund  bonds  of  the  authority then outstanding and partly to pay the

S. 7658                             3

financeable costs pursuant to section thirty-six hundred  fifty-five  of
this title. Bonds issued by the authority shall be payable solely out of
particular  revenues  or  other moneys of the authority as may be desig-
nated in the proceedings of the authority under which the bonds shall be
authorized  to be issued, subject to any agreements entered into between
the authority and the county, and subject to  any  agreements  with  the
holders of outstanding bonds pledging any particular revenues or moneys;
but  in no event shall transitional state aid be pledged as security for
or be made available for the payment of bonds.
  2. [The authority is authorized to issue its bonds for a period ending
not later than December thirty-first, two thousand seven.] The authority
may issue bonds to refund bonds previously issued [without regard to the
limitation in the first sentence of this subdivision], but in  no  event
shall any bonds of the authority finally mature later than January thir-
ty-first,  two  thousand thirty-six. Notwithstanding any other provision
of law, no bond of the authority shall mature  more  than  thirty  years
from the date of its issue.
  S  3.  Subdivisions 8, 9 and 10 of section 3654 of the public authori-
ties law, as added by chapter 84 of the laws of  2000,  are  amended  to
read as follows:
  8.  to  procure  insurance,  OR SERVE AS GUARANTOR WITH RESPECT TO ANY
COVERED ORGANIZATION WITH RESPECT TO, letters of credit or other  credit
enhancement  with respect to its bonds, or facilities for the payment of
tenders of such bonds or facilities for the  payment  upon  maturity  of
short-term notes not renewed;
  9.  to  enter  into  OR SERVE AS GUARANTOR WITH RESPECT TO ANY COVERED
ORGANIZATION WITH RESPECT TO, interest rate exchange or similar arrange-
ments with any person under such terms and conditions as  the  authority
may  determine, not inconsistent with the general laws of this state and
other  provisions  of  this  title,   including,   without   limitation,
provisions as to default or early termination and indemnification by the
authority  or  any  other party thereto for loss of benefits as a result
thereof; provided, however, that such exchanges or similar  arrangements
shall  be  limited to fifty percent of the amount authorized in subdivi-
sion one of section thirty-six hundred fifty-six of this [article] TITLE
to pay the financeable costs described in paragraph (a)  of  subdivision
eleven of section thirty-six hundred fifty-one of this [article] TITLE;
  10.  to  procure  OR  SERVE  AS  GUARANTOR WITH RESPECT TO ANY COVERED
ORGANIZATION WITH RESPECT TO, insurance,  letters  of  credit  or  other
credit enhancement with respect to arrangements described in subdivision
nine of this section;
  S 4. This act shall take effect immediately.

2011-S7658A (ACTIVE) - Details

See Assembly Version of this Bill:: A10551
Current Committee:: Senate Rules
Law Section:: Public Authorities Law
Laws Affected:: Amd §§3651, 3656 & 3654, Pub Auth L

2011-S7658A (ACTIVE) - Summary

Relates to permitting financing by the Nassau county interim finance authority for the benefit of the Nassau county health care corporation.

2011-S7658A (ACTIVE) - Sponsor Memo

                                BILL NUMBER:S7658A

TITLE OF BILL:
An act
to amend the public authorities law, in relation to allowing certain
financing by the Nassau county interim finance authority for the benefit
of the Nassau health care corporation

PURPOSE:
To provide the Nassau Interim Finance Authority ("NIFA") with the
power to refund, restructure, and support through guaranties and
other means the bonds, revenue anticipates notes, and related letters
of credit and swap agreements issued by Nassau Health Care
Corporation ("NHCC") in connection with such financing instruments

SUMMARY OF PROVISIONS:
Sections 1-3: Provide technical changes to the public authorities law
regarding bonds, revenue anticipation notes, and related letters of
credit and swap agreements issued in connection with such financing
instruments issued by Nassau Health Care Corporation.

Section 4: Effective Date

JUSTIFICATION:
The Nassau Health Care Corporation was created under the public
authorities law and in September 1999 assumed responsibility for

operation of Nassau University Medical Center ("NUM"), a general
hospital licensed under Article 28 of the public health law, the A.
Holly Patterson Extended Care Facility ("AHP"), a skilled nursing
facility, and several Community Health Centers ("CHCs"), all of which
previously had been operated by Nassau County.

NHCC's facilities provide an extensive range of acute care, nursing
home, and ambulatory services to an indigent population in Nassau
County. Its hospital provides more than 50% of the Medicaid
discharges in Nassau County and is the primary provider for
ambulatory care to the
County's Medicaid and indigent population in its Emergency Room/
Trauma Center, Outpatient Department Clinics, Community Health
Centers, and other programs.

A substantial portion of NHCC's debt consists of tax exempt and taxable
variable rate demand bonds. The County guarantees to the Trustee and
the owners of bonds the full and prompt payment of the principal and
interest of the bonds. The County guaranty may be amended without
consent of the bond owners.

In connection with a refinancing of the bonds, the Corporation entered
into interest rate swap agreements with commercial banks to
effectively convert interest payments on the tax-exempt and taxable
variable rate demand bonds to a fixed interest rate. The fixed
interest rates paid by the Corporation under the swap agreements are
respectively 3.46% and 4.61% for the tax exempt and taxable bonds.
The variable rate received for both is based on LIBOR. The swap
agreements remain in place for the bonds and expire respectively, on


August 1, 2029 and August 1, 2012 for the tax exempt and taxable
bonds.

In the current historically low interest rate environment with credit
enhancement from NIFA, it is expected that NHCC's debt could be
converted to low fixed rates, while eliminating the risks associated
with the current swap agreements. The swap agreements expose the
Corporation to market risk, in the event of changes in interest
rates, and credit risk in certain circumstances, which could result
in termination payments or substantial collateral calls, and NHCC
would have difficulty posting such collateral. A fixed rate refunding
of the variable rate debt and the termination of the related swaps
will lock in interest rates and eliminate the risks associated with
both variable rate debt and swaps. A NIFA refunding, including the
financing of the swap termination payments, would save approximately
$15-16 million compared to a refunding under the current County
structure, in which the interest rates would be fixed, but at a
higher interest than the NIFA structure. A NIFA refunding, under
current market conditions, would be present value neutral while
eliminating all risk from NHCC's debt portfolio. It also is expected
that NHCC's cash flow borrowings and new borrowings would have a
similar favorable interest rate, and therefore
result in savings.

This bill is designed to achieve stability by authorization NIFA to
refund and support through guaranties and other means the bonds,
revenue anticipation notes, and related letters of credit and swamp
agreements issued in connection with NHCC's financing instruments.

LEGISLATIVE HISTORY:
New bill.

FISCAL IMPLICATIONS:
None to State. Debt service savings or elimination of risk will have
positive impact on NHCC's fiscal stability.

EFFECTIVE DATE:
Immediately.

2011-S7658A (ACTIVE) - Bill Text download pdf

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

                                 7658--A

                            I N  S E N A T E

                              June 12, 2012
                               ___________

Introduced  by  Sen.  HANNON -- read twice and ordered printed, and when
  printed to be  committed  to  the  Committee  on  Rules  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

AN  ACT  to  amend  the  public authorities law, in relation to allowing
  certain financing by the Nassau county interim finance  authority  for
  the benefit of the Nassau health care corporation

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

  Section 1. Subdivision 12 of section 3651 of  the  public  authorities
law,  as  added by chapter 84 of the laws of 2000, is amended to read as
follows:
  12. "Financeable costs" or "costs" means costs to finance (a)  amounts
necessary  to  accomplish  a  refunding, repayment or restructuring of a
portion of the county's outstanding indebtedness or that of any  covered
organization,  (b) cash flow needs of the county OR OF THE NASSAU HEALTH
CARE CORPORATION, (c) tax certiorari settlements and  judgments  of  any
kind  to  which the county is a party, (d) appropriated capital costs of
the county OR OF THE NASSAU HEALTH CARE CORPORATION, including the costs
of any preliminary studies, surveys, maps, plans,  estimates  and  hear-
ings, (e) amounts necessary to finance any county deficit, to the extent
authorized  by  state  law,  or (f) incidental costs, including, but not
limited to, legal fees, printing or engraving, publication  of  notices,
taking  of  title,  apportionment  of  costs,  and capitalized interest,
insurance premiums, costs related to items  authorized  in  subdivisions
seven through ten of section thirty-six hundred fifty-four of this title
or  any  underwriting  or  other  costs  incurred in connection with the
financing thereof.
  S 2. Subdivisions 1 and 2 of section 3656 of  the  public  authorities
law,  as amended by chapter 685 of the laws of 2003, are amended to read
as follows:
  1. The authority shall have the power and is  hereby  authorized  from
time  to  time to issue bonds in such principal amounts as it may deter-
mine to be necessary pursuant to section thirty-six  hundred  fifty-five

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

                                                           LBD16126-04-2

S. 7658--A                          2

of  this  title  to  pay  any  financeable costs and to fund reserves to
secure such bonds, including incidental expenses  in  connection  there-
with.  Provided,  however, the aggregate principal amounts of such bonds
issued to pay the financeable costs described in paragraph (a) of subdi-
vision  twelve  of  section  thirty-six  hundred fifty-one of this title
shall not exceed four hundred fifteen million dollars, excluding  bonds,
notes,  or  other obligations issued to refund or otherwise repay bonds,
notes, or  other  obligations  theretofore  issued  for  such  purposes.
Notwithstanding  the  foregoing  limit  on  the amount of bonds that the
authority may issue to pay the financeable costs described in  paragraph
(a)  of  subdivision  twelve  of section thirty-six hundred fifty-one of
this title, the authority shall have the power to issue up to  an  addi-
tional  seven  hundred ninety million dollars of bonds, excluding bonds,
notes, or other obligations issued to refund or otherwise  repay  bonds,
notes,  or other obligations theretofore issued for such purpose, to pay
such costs if the  county's  indebtedness  to  be  refunded,  repaid  or
restructured  with  the payment of such bonds was originally incurred by
the county to pay tax certiorari settlements or assignments of any  kind
to  which the county is a party. Provided further, the aggregate princi-
pal amounts of such bonds issued to pay the financeable costs  described
in  paragraph  (c)  of  subdivision twelve of section thirty-six hundred
fifty-one of this title,  which  resulted  from  certiorari  proceedings
commenced  prior  to  June  first,  two  thousand, shall not exceed four
hundred million dollars, excluding bonds, notes,  or  other  obligations
issued  to  refund or otherwise repay bonds, notes, or other obligations
theretofore issued for such purposes. And, provided further, the  aggre-
gate principal amounts of such bonds issued to pay the financeable coun-
ty  costs  described  in  paragraph (c) of subdivision twelve of section
thirty-six hundred fifty-one of this title, which resulted from certior-
ari proceedings commenced on or after June first,  two  thousand,  shall
not  exceed four hundred million dollars in the aggregate for the fiscal
years two thousand through two thousand seven,  however,  of  said  four
hundred  million  dollars  only fifteen million dollars may be issued in
the fiscal year two thousand six and ten million dollars may  be  issued
in  the fiscal year two thousand seven, excluding bonds, notes, or other
obligations issued to refund or otherwise repay bonds, notes,  or  other
obligations  theretofore issued for such purposes. Effective in the year
two thousand six, upon request of the county, the authority shall issue,
in the amount requested, bonds to  pay  tax  certiorari  settlements  or
judgments  of  any  kind  to  which the county is a party, not to exceed
fifteen million dollars; and effective in the year two  thousand  seven,
upon  request  of  the  county, the authority shall issue, in the amount
requested, bonds to pay tax certiorari settlements or judgments  of  any
kind  to which the county is a party, not to exceed ten million dollars.
NOTWITHSTANDING THE FOREGOING, THE  AUTHORITY  MAY  ISSUE  UP  TO  THREE
HUNDRED  MILLION DOLLARS IN BONDS TO PAY THE FINANCEABLE COSTS DESCRIBED
IN PARAGRAPHS (A), (D) AND (F) OF SUBDIVISION TWELVE OF SECTION  THIRTY-
SIX  HUNDRED  FIFTY-ONE  OF  THIS  TITLE, PROVIDED THAT SUCH FINANCEABLE
COSTS ARE DIRECTLY RELATED TO THE NASSAU HEALTH CARE CORPORATION.  When-
ever  this  title  establishes  a limit on the principal amount of bonds
that the authority is authorized to issue, there shall  not  be  counted
against such limit (i) amounts determined by the authority as reasonable
to  be  used  to  pay the cost of issuing such bonds, (ii) the amount of
bonds that would constitute interest under the Internal Revenue Code  of
1986,  as  amended,  and  (iii)  amounts  determined by the authority as
necessary to establish any reserves.

S. 7658--A                          3

  The authority shall have the power from time to  time  to  refund  any
bonds  of  the authority by the issuance of new bonds, whether the bonds
to be refunded have or have not matured, and may issue bonds  partly  to
refund  bonds  of  the  authority then outstanding and partly to pay the
financeable  costs  pursuant to section thirty-six hundred fifty-five of
this title. Bonds issued by the authority shall be payable solely out of
particular revenues or other moneys of the authority as  may  be  desig-
nated in the proceedings of the authority under which the bonds shall be
authorized  to be issued, subject to any agreements entered into between
the authority and the county, and subject to  any  agreements  with  the
holders of outstanding bonds pledging any particular revenues or moneys;
but  in no event shall transitional state aid be pledged as security for
or be made available for the payment of bonds.  BONDS AND  NOTES  ISSUED
BY  THE  AUTHORITY ON BEHALF OF THE NASSAU HEALTH CARE CORPORATION SHALL
NOT BE SUBJECT TO SECTION TWENTY-NINE HUNDRED SEVENTY-SIX OF THIS  CHAP-
TER.
  2. [The authority is authorized to issue its bonds for a period ending
not later than December thirty-first, two thousand seven.] The authority
may issue bonds to refund bonds previously issued [without regard to the
limitation  in  the first sentence of this subdivision], but in no event
shall any bonds of the authority finally mature later than January thir-
ty-first, two thousand thirty-six. Notwithstanding any  other  provision
of  law,  no  bond  of the authority shall mature more than thirty years
from the date of its issue.
  S 3. Subdivisions 8, 9 and 10 of section 3654 of the  public  authori-
ties  law,  as  added  by chapter 84 of the laws of 2000, are amended to
read as follows:
  8. to procure insurance, OR SERVE AS GUARANTOR FOR THE  NASSAU  HEALTH
CARE  CORPORATION  WITH  RESPECT  TO,  letters of credit or other credit
enhancement with respect to its bonds, or facilities for the payment  of
tenders  of  such  bonds  or facilities for the payment upon maturity of
short-term notes not renewed;
  9. to enter into OR SERVE AS GUARANTOR  FOR  THE  NASSAU  HEALTH  CARE
CORPORATION  WITH RESPECT TO, interest rate exchange or similar arrange-
ments with any person under such terms and conditions as  the  authority
may  determine, not inconsistent with the general laws of this state and
other  provisions  of  this  title,   including,   without   limitation,
provisions as to default or early termination and indemnification by the
authority  or  any  other party thereto for loss of benefits as a result
thereof; provided, however, that such exchanges or similar  arrangements
shall  be  limited to fifty percent of the amount authorized in subdivi-
sion one of section thirty-six hundred fifty-six of this [article] TITLE
to pay the financeable costs described in paragraph (a)  of  subdivision
eleven of section thirty-six hundred fifty-one of this [article] TITLE;
  10. to procure OR SERVE AS GUARANTOR FOR THE NASSAU HEALTH CARE CORPO-
RATION  WITH  RESPECT  TO,  insurance, letters of credit or other credit
enhancement with respect to arrangements described in  subdivision  nine
of this section;
  S 4. This act shall take effect immediately.

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.

Find your Senator and share your views on important issues.

Do you support this bill?

Senate Bill S7658A

Sponsored By

Archive: Last Bill Status - In Senate Committee Rules Committee

Actions

Bill Amendments

2011-S7658 - Details

2011-S7658 - Summary

2011-S7658 - Sponsor Memo

2011-S7658 - Bill Text download pdf

2011-S7658A (ACTIVE) - Details

2011-S7658A (ACTIVE) - Summary

2011-S7658A (ACTIVE) - Sponsor Memo

2011-S7658A (ACTIVE) - Bill Text download pdf

Comments

Do you support this bill?

Get Status Alerts for 2011-S7658A

Senate Bill S7658A

Share this bill

Sponsored By

Kemp Hannon

Archive: Last Bill Status - In Senate Committee Rules Committee

Actions

Bill Amendments

2011-S7658 - Details

2011-S7658 - Summary

2011-S7658 - Sponsor Memo

2011-S7658 - Bill Text download pdf

2011-S7658A (ACTIVE) - Details

2011-S7658A (ACTIVE) - Summary

2011-S7658A (ACTIVE) - Sponsor Memo

2011-S7658A (ACTIVE) - Bill Text download pdf

Comments