S T A T E O F N E W Y O R K
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7973--A
Cal. No. 1592
I N S E N A T E
June 1, 2016
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Introduced by Sen. FARLEY -- read twice and ordered printed, and when
printed to be committed to the Committee on Corporations, Authorities
and Commissions -- committee discharged and said bill committed to the
Committee on Rules -- ordered to a third reading, amended and ordered
reprinted, retaining its place in the order of third reading
AN ACT to amend the public authorities law and the tax law, in relation
to the Schenectady county Metroplex development authority
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 9 of section 2661 of the public authorities
law, as amended by chapter 468 of the laws of 2008, is amended to read
as follows:
9. The county of Schenectady shall dedicate net collections from sales
and compensating use taxes imposed pursuant to the authority of section
twelve hundred ten-C of the tax law at the rate of one-half of one
percent, during the period beginning September first, nineteen hundred
ninety-eight, and ending August thirty-first, two thousand [thirty-
three] THIRTY-EIGHT, or, if the county does not impose taxes pursuant to
the authority of section twelve hundred ten-C of the tax law, the county
shall dedicate net collections from sales and compensating use taxes
imposed during such period at the rate of one-half of one percent pursu-
ant to the authority of section twelve hundred ten of the tax law, and
shall quarterly deposit such net collections in the Schenectady metro-
plex development authority support fund established in accordance with
subdivision (b) of section twelve hundred ten-C of the tax law. On Janu-
ary first, nineteen hundred ninety-nine, and then quarterly thereafter,
the director of finance of Schenectady county shall transfer seventy
percent of such net collections deposited in the Schenectady metroplex
development authority support fund to the authority for deposit in the
authority's general fund. The authority may use such portion of such
dedicated net collections received for any lawful purpose or power of
the authority. On January first, nineteen hundred ninety-nine, and then
quarterly thereafter, the director of finance of Schenectady county,
after transferring seventy percent of such net collections to the
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
S LBD15610-03-6
S. 7973--A 2
authority for deposit in the authority's general fund, shall transfer
all remaining monies in the Schenectady metroplex development authority
support fund to the Schenectady county real property tax abatement and
economic development fund.
S 2. Subdivision 1 of section 2665 of the public authorities law, as
amended by chapter 468 of the laws of 2008, is amended to read as
follows:
1. The authority shall have the power and is hereby authorized from
time to time to issue bonds, notes or other obligations in conformity
with applicable provisions of the uniform commercial code to pay the
cost of any project, the establishment of reserves to secure the bonds,
the payment of principal of, premium, if any, and interest on the bonds
and the payment of incidental expenses in connection therewith. The
aggregate principal amount of such bonds or notes of the authority shall
not exceed [seventy-five] ONE HUNDRED million dollars [($75,000,000)]
($100,000,000), excluding bonds or notes issued to refund or repay bonds
or notes therefore issued for such purposes; provided, however, that
upon any such refunding or repayment the total aggregate principal
amount of outstanding bonds or notes may be greater than [seventy-five]
ONE HUNDRED million dollars [($75,000,000)] ($100,000,000), only if the
present value of the aggregate debt service of the refunding or repay-
ment of bonds or notes to be issued shall not exceed the present value
of the aggregate debt service of the bonds or notes so to be refunded or
repaid. For the purpose of this section, the present value of the aggre-
gate debt service of the refunding or repayment bonds or notes and the
aggregate debt service of the bonds or notes refunded or repaid shall be
calculated by utilizing the effective interest rate of the refunding or
repayment of bonds or notes, which shall be that rate arrived at by
doubling the semi-annual interest rate (compounded semi-annually) neces-
sary to discount the debt service payments on the refunding or repayment
of bonds or notes from payment of dates thereof to the date of issue of
the refunding or repayment of bonds or notes and to the price bid
including estimated accrued interest from the sale thereof. The authori-
ty shall have the power and is hereby authorized to enter into such
agreements and perform such acts as may be required under any applicable
federal legislation to secure a federal guarantee to any bonds.
S 3. Subdivisions (a), (b) and (c) of section 1210-C of the tax law,
as amended by chapter 468 of the laws of 2008, are amended to read as
follows:
(a) In addition to the taxes authorized to be imposed by section
twelve hundred ten of this article or any other provision of this arti-
cle, the county of Schenectady is hereby authorized and empowered to
adopt and amend a local law, ordinance or resolution imposing within the
territorial limits of said county sales and compensating use taxes at a
rate which is one-half of one percent additional to the three percent
rate authorized in section twelve hundred ten of this article for the
period beginning on or after September first, nineteen hundred ninety-
eight and ending August thirty-first, two thousand [thirty-three] THIR-
TY-EIGHT, which taxes shall be identical to the taxes imposed by said
county pursuant to section twelve hundred ten of this article. Except as
hereinafter provided, all provisions of this article, including the
definition and exemption provisions and the provisions relating to the
administration, collection and distribution by the commissioner, shall
apply for purposes of the taxes authorized to be imposed by this section
in the same manner and with the same force and effect as if the language
of this article had been incorporated in full in this section and had
S. 7973--A 3
expressly referred to the taxes authorized to be imposed by this
section; provided, however, that any provision of this article relating
to a maximum rate shall be calculated without reference to the addi-
tional rate authorized by this section. For purposes of part IV of this
article, relating to the disposition of revenues resulting from taxes
collected and administered by the commissioner, the additional sales and
compensating use taxes authorized by this section shall be deemed to be
imposed under the authority of section twelve hundred ten of this arti-
cle and all provisions relating to the deposit, administration and
disposition of taxes, penalties and interest relating to taxes imposed
by a county under the authority of section twelve hundred ten of this
article shall, except as otherwise specifically provided in this
section, apply to the additional sales and compensating use tax imposed
pursuant to the authority of this section.
(b) Notwithstanding any other provision of this article to the contra-
ry, the net collections from the tax imposed pursuant to subdivision (a)
of this section for the period beginning on or after September first,
nineteen hundred ninety-eight and ending August thirty-first, two thou-
sand [thirty-three] THIRTY-EIGHT shall, upon payment to the county of
Schenectady, be deposited in the Schenectady metroplex development
authority support fund, pursuant to subdivision nine of section twenty-
six hundred sixty-one of the public authorities law, with such fund to
be designated as a special dedicated support fund, to be created by said
county therefor separate and apart from any other funds and accounts of
the county. Pending deposit from such Schenectady metroplex development
authority support fund into the general fund of the Schenectady metro-
plex development authority, all moneys therein may be invested in the
manner provided in section eleven of the general municipal law. Any
interest earned or capital gain realized on the moneys so deposited or
invested shall accrue to and become part of such Schenectady metroplex
development authority support fund.
(c) If the county of Schenectady does not impose the one-half of one
percent rate of taxes authorized by subdivision (a) of this section
during the period beginning September first, nineteen hundred ninety-
eight and ending August thirty-first, two thousand [thirty-three] THIR-
TY-EIGHT, the county shall dedicate net collections from sales and
compensating use taxes imposed during such period pursuant to the
authority of section twelve hundred ten of this article at the rate of
one-half of one percent and shall quarterly deposit such net collections
in the Schenectady metroplex development authority support fund estab-
lished in accordance with subdivision (b) of this section.
S 4. Severability clause. If any clause, sentence, paragraph, subdivi-
sion, section or part of this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment shall not affect,
impair, or invalidate the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph, subdivision, section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the legislature that this act would have been enacted even if such
invalid provisions had not been included herein.
S 5. This act shall take effect immediately.