Senate Bill S8418

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8418
 
                             I N  S E N A T E
 
                               May 25, 2020
                                ___________
 
 Introduced  by  Sen. KRUEGER -- read twice and ordered printed, and when
   printed to be committed to the Committee on Finance
 
 AN ACT to amend the public authorities law, in relation  to  authorizing
   additional  bonds  of the New York city transitional finance authority
   related to the epidemic resulting from spread of the disease known  as
   COVID-19 disaster emergency

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision 1 of section 2799-gg of the public  authorities
 law,  as  amended by chapter 182 of the laws of 2009, is amended to read
 as follows:
   1. The authority shall have the power and is  hereby  authorized  from
 time to time to issue bonds, in conformity with applicable provisions of
 the  uniform commercial code, in such principal amounts as it may deter-
 mine to be necessary pursuant to section  twenty-seven  hundred  ninety-
 nine-ff  of  this  title  to  pay  the  cost  of any project and to fund
 reserves  to  secure  such  bonds,  including  incidental  expenses   in
 connection therewith.
   The  aggregate  principal  amount  of such bonds, notes or other obli-
 gations outstanding shall not  exceed  thirteen  billion,  five  hundred
 million  dollars  ($13,500,000,000)[,  excluding  bonds,  notes or other
 obligations issued pursuant to  sections  twenty-seven  hundred  ninety-
 nine-ss   and   twenty-seven  hundred  ninety-nine-tt  of  this  title];
 provided, however, that upon any refunding or repayment of bonds  (which
 term  shall not, for this purpose, include bond anticipation notes), the
 total aggregate principal amount of outstanding bonds,  notes  or  other
 obligations  may  be greater than thirteen billion, five hundred million
 dollars ($13,500,000,000) only if  the  refunding  or  repayment  bonds,
 notes or other obligations were issued in accordance with the provisions
 of  subparagraph  (a) of subdivision two of paragraph b of section 90.10
 of the local finance law, as amended from time to time.  Notwithstanding
 the foregoing, bonds, notes or other obligations issued by the authority
 may be outstanding in an amount greater than the amount permitted by the
 preceding  sentence,  provided  that such additional amount at issuance,
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD16276-02-0

 S. 8418                             2
 
 together with the amount of indebtedness contracted by the city  of  New
 York,  shall  not  exceed  the limit prescribed by section 104.00 of the
 local finance law. The authority shall have the power from time to  time
 to refund any bonds of the authority by the issuance of new bonds wheth-
 er  the  bonds  to  be  refunded have or have not matured, and may issue
 bonds partly to refund bonds of the authority then outstanding and part-
 ly to pay the cost of  any  project  pursuant  to  section  twenty-seven
 hundred  ninety-nine-ff  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 designated 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 city, and subject
 to any agreements with the holders of  outstanding  bonds  pledging  any
 particular  revenues  or moneys.  THE LIMITS IMPOSED BY THIS SUBDIVISION
 SHALL NOT APPLY TO ADDITIONAL BONDS, NOTES OR OTHER OBLIGATIONS THAT THE
 AUTHORITY IS AUTHORIZED  TO  ISSUE  PURSUANT  TO  SECTIONS  TWENTY-SEVEN
 HUNDRED  NINETY-NINE-SS, TWENTY-SEVEN HUNDRED NINETY-NINE-TT AND TWENTY-
 SEVEN HUNDRED NINETY-NINE-UU OF THIS TITLE.
   § 2. Section 2799-uu of the public authorities law, as  renumbered  by
 section  1  of  part A3 of chapter 58 of the laws of 2006, is renumbered
 section 2799-vv and a new section 2799-uu is added to read as follows:
   § 2799-UU. ADDITIONAL BONDS  OF  THE  AUTHORITY.  NOTWITHSTANDING  ANY
 PROVISION OF THIS TITLE OR OF ANY OTHER LAW TO THE CONTRARY, THE AUTHOR-
 ITY  IS  HEREBY AUTHORIZED TO ISSUE BONDS, NOTES OR OTHER OBLIGATIONS IN
 ADDITION TO THOSE AUTHORIZED BY OTHER  SECTIONS  OF  THIS  TITLE  IN  AN
 AMOUNT  OUTSTANDING  OF  UP TO SEVEN BILLION DOLLARS TO FINANCE OR REFI-
 NANCE ALL COSTS OR DEFICIENCIES IN THE CITY'S  BUDGET  (WHETHER  OR  NOT
 INCLUDED  OR INCLUDABLE IN THE CITY'S CAPITAL BUDGET) IN ACCORDANCE WITH
 THE STATE COMPTROLLER'S UNIFORM SYSTEM OF  ACCOUNTS  FOR  MUNICIPALITIES
 WHICH  ARE, IN THE JUDGMENT OF THE MAYOR, RELATED TO OR ARISING FROM THE
 EPIDEMIC RESULTING FROM SPREAD OF THE  DISEASE  KNOWN  AS  COVID-19.  IN
 ADDITION  TO  OR IN LIEU OF ANY REVENUES OR OTHER MONEY THAT MAY BE PAID
 OR PAYABLE TO THE AUTHORITY, SUCH BONDS, NOTES OR OTHER OBLIGATIONS  MAY
 BE  SECURED  BY  AND  PAYABLE FROM THE PROCEEDS OF OTHER BONDS, NOTES OR
 OTHER OBLIGATIONS OF THE AUTHORITY OR FEDERAL OR STATE AID RELATED TO OR
 ARISING FROM THE EPIDEMIC RESULTING FROM SPREAD OF THE DISEASE KNOWN  AS
 COVID-19  OR  THE  ASSOCIATED  ECONOMIC IMPACT THEREOF. IN ADDITION, THE
 AUTHORITY MAY ISSUE BONDS, NOTES OR OTHER  OBLIGATIONS  WITHOUT  LIMITA-
 TIONS  AS  TO  AMOUNT,  SECURED  SOLELY  BY AND PAYABLE SOLELY FROM SUCH
 FEDERAL OR STATE AID. THE CITY, ACTING  THROUGH  THE  MAYOR,  IS  HEREBY
 AUTHORIZED  TO ASSIGN THE RIGHT TO RECEIVE ANY SUCH FEDERAL OR STATE AID
 TO THE AUTHORITY AND, AFTER SUCH ASSIGNMENT, THE RIGHT TO  RECEIVE  SUCH
 AID  SHALL  BE THE PROPERTY OF THE AUTHORITY AND SHALL NOT BE SUBJECT TO
 APPROPRIATION BY THE STATE OR THE CITY. BONDS ISSUED  PURSUANT  TO  THIS
 SECTION SHALL HAVE A MAXIMUM MATURITY OF UP TO THIRTY YEARS.
   § 3. This act shall take effect immediately.