S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7682
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                              April 29, 2025
                                ___________
 
 Introduced  by  Sen. S. RYAN -- read twice and ordered printed, and when
   printed to be committed to the Committee on Corporations,  Authorities
   and Commissions
 
 AN  ACT  to  amend  the public authorities law, in relation to providing
   secondary bonding authority to the Buffalo fiscal stability authority

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subdivision  3  of section 3852 of the public authorities
 law, as added by chapter 122 of the laws of 2003, is amended to read  as
 follows:
   3. The  authority  shall continue until its control, advisory or other
 responsibilities,  and  its  liabilities  have  been  met  or  otherwise
 discharged,  which  in  no event shall be later than June thirtieth, two
 thousand [thirty-seven] FORTY-SIX. Upon the termination of the  authori-
 ty,  all  of  its property and assets shall pass to and be vested in the
 city.
   § 2. The public authorities law is amended by  adding  a  new  section
 3862-a to read as follows:
   § 3862-A. ADDITIONAL BONDS, NOTES OR OTHER OBLIGATIONS OF THE AUTHORI-
 TY.  1.  COMMENCING JULY FIRST, TWO THOUSAND TWENTY-FIVE AND TERMINATING
 ON JUNE THIRTIETH, TWO THOUSAND TWENTY-NINE, THE  AUTHORITY  SHALL  HAVE
 THE  POWER  AND  IS  HEREBY AUTHORIZED FROM TIME TO TIME TO ISSUE BONDS,
 NOTES OR OTHER OBLIGATIONS IN SUCH PRINCIPAL AMOUNTS AS IT MAY DETERMINE
 TO BE NECESSARY PURSUANT TO SECTION THIRTY-EIGHT  HUNDRED  SIXTY-ONE  OF
 THIS  TITLE  TO PAY ANY FINANCEABLE COSTS AND TO FUND RESERVES TO SECURE
 SUCH BONDS, NOTES OR OTHER OBLIGATIONS, INCLUDING INCIDENTAL EXPENSES IN
 CONNECTION THEREWITH; PROVIDED, HOWEVER, THE AGGREGATE PRINCIPAL AMOUNTS
 OF SUCH BONDS, NOTES OR OTHER  OBLIGATIONS  OUTSTANDING AT ANY ONE  TIME
 SHALL  NOT  EXCEED  ONE HUNDRED FIFTY MILLION DOLLARS IN ADDITION TO THE
 ONE HUNDRED SEVENTY-FIVE MILLION DOLLARS AUTHORIZED PURSUANT TO  SECTION
 THIRTY-EIGHT  HUNDRED SIXTY-TWO OF THIS TITLE. SUCH FUNDS MAY BE APPLIED
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11827-01-5
              

 S. 7682                             2
 
 TO FINANCEABLE COSTS DEFINED IN PARAGRAPHS (A), (D) AND (E) OF  SUBDIVI-
 SION  FIFTEEN  OF  SECTION THIRTY-EIGHT HUNDRED FIFTY-ONE OF THIS TITLE.
 SUCH FUNDS IN CITY FISCAL YEAR TWO  THOUSAND  TWENTY-FIVE--TWO  THOUSAND
 TWENTY-SIX  SHALL  NOT  EXCEED  EIGHTY  PERCENT  OF THE PROJECTED GAP AS
 DEFINED IN SUBDIVISION TWENTY OF SECTION THIRTY-EIGHT HUNDRED  FIFTY-ONE
 OF THIS TITLE, IN CITY FISCAL YEAR TWO THOUSAND TWENTY-SIX--TWO THOUSAND
 TWENTY-SEVEN  SUCH FUNDS SHALL NOT EXCEED SIXTY PERCENT OF THE PROJECTED
 GAP AS DEFINED IN SUBDIVISION TWENTY  OF  SECTION  THIRTY-EIGHT  HUNDRED
 FIFTY-ONE  OF THIS TITLE, IN CITY FISCAL YEAR TWO THOUSAND TWENTY-SEVEN-
 -TWO THOUSAND TWENTY-EIGHT SUCH FUNDS SHALL NOT EXCEED FORTY PERCENT  OF
 THE  PROJECTED  GAP  AS DEFINED IN SUBDIVISION TWENTY OF SECTION THIRTY-
 EIGHT HUNDRED FIFTY-ONE OF THIS TITLE, AND IN CITY FISCAL YEAR TWO THOU-
 SAND TWENTY-EIGHT--TWO THOUSAND TWENTY-NINE SUCH FUNDS SHALL NOT  EXCEED
 TWENTY  PERCENT OF THE PROJECTED GAP AS DEFINED IN SUBDIVISION TWENTY OF
 SECTION THIRTY-EIGHT HUNDRED FIFTY-ONE OF THIS TITLE.  SUCH BONDS MAY BE
 ISSUED WHETHER THE CITY OF BUFFALO IS IN A CONTROL PERIOD OR AN ADVISORY
 PERIOD.  SUCH BONDS SHALL BE TAX EXEMPT TO THE MAXIMUM EXTENT  PRACTICA-
 BLE,  AS  PROVIDED  BY  SECTION  THIRTY-EIGHT HUNDRED SIXTY-NINE OF THIS
 TITLE. BONDS, NOTES OR OTHER OBLIGATIONS ISSUED BY THE AUTHORITY (A)  TO
 PAY REASONABLE COSTS OF ISSUANCE, AS DETERMINED BY THE AUTHORITY, (B) TO
 ESTABLISH  DEBT  SERVICE  RESERVE FUNDS, (C) TO REFUND OR ADVANCE REFUND
 ANY OUTSTANDING BONDS OR NOTES OF THE CITY OR THE AUTHORITY, OR  (D)  AS
 CASH  FLOW  BORROWINGS  SHALL  NOT  COUNT  AGAINST  THE  ABOVE  LIMIT ON
 OUTSTANDING BONDS, NOTES OR OTHER  OBLIGATIONS  OF  THE  AUTHORITY,  NOR
 SHALL ANY ACCRETION OF PRINCIPAL OF BONDS THAT WOULD CONSTITUTE INTEREST
 UNDER  THE INTERNAL REVENUE CODE OF 1986, AS AMENDED, COUNT AGAINST SUCH
 LIMIT; PROVIDED, HOWEVER, THAT  THE AGGREGATE PRINCIPAL AMOUNT  OF  CASH
 FLOW BORROWINGS OUTSTANDING AT ANY ONE TIME SHALL NOT EXCEED ONE HUNDRED
 FORTY-FIVE MILLION DOLLARS.
   2. THE AUTHORITY MAY ISSUE BONDS, NOTES OR OTHER OBLIGATIONS TO REFUND
 BONDS,  NOTES  OR  OTHER  OBLIGATIONS PREVIOUSLY ISSUED, BUT IN NO EVENT
 SHALL THE FINAL MATURITY OF ANY BONDS, NOTES OR OTHER OBLIGATIONS OF THE
 AUTHORITY BE LATER THAN JUNE THIRTIETH, TWO THOUSAND FORTY-SIX. NO  BOND
 OF  THE  AUTHORITY  SHALL MATURE MORE THAN THIRTY YEARS FROM THE DATE OF
 ITS ISSUE, OR AFTER JUNE THIRTIETH, TWO  THOUSAND  FORTY-SIX,  WHICHEVER
 DATE IS EARLIER.
   3.  BONDS,  NOTES OR OTHER OBLIGATIONS OF THE AUTHORITY MAY BE ISSUED,
 AMORTIZED, REDEEMED AND REFUNDED WITHOUT REGARD TO THE PROVISIONS OF THE
 LOCAL FINANCE LAW.
   4. THE DIRECTORS MAY DELEGATE TO THE CHAIRPERSON OR OTHER DIRECTOR  OR
 OFFICER  OF THE AUTHORITY THE POWER TO SET THE FINANCIAL TERMS OF BONDS,
 NOTES OR OTHER OBLIGATIONS.
   5. THE AUTHORITY IN ITS SOLE DISCRETION SHALL DETERMINE THAT THE ISSU-
 ANCE OF ITS BONDS, NOTES OR OTHER  OBLIGATIONS  IS  APPROPRIATE.  BONDS,
 NOTES  OR  OTHER  OBLIGATIONS  SHALL  BE AUTHORIZED BY RESOLUTION OF THE
 AUTHORITY. BONDS SHALL BEAR INTEREST AT SUCH FIXED OR VARIABLE RATES AND
 SHALL BE IN SUCH DENOMINATIONS, BE IN SUCH FORM, EITHER COUPON OR REGIS-
 TERED, BE SOLD AT SUCH PUBLIC OR  PRIVATE  SALE,  BE  EXECUTED  IN  SUCH
 MANNER,  BE  DENOMINATED  IN  UNITED STATES CURRENCY, BE PAYABLE IN SUCH
 MEDIUM OF PAYMENT, AT SUCH PLACE AND BE SUBJECT TO SUCH TERMS OF REDEMP-
 TION AS THE AUTHORITY MAY PROVIDE IN SUCH RESOLUTION. NO BONDS, NOTES OR
 OTHER OBLIGATIONS OF THE AUTHORITY MAY BE SOLD AT  PRIVATE  SALE  UNLESS
 SUCH SALE AND THE TERMS THEREOF HAVE BEEN APPROVED IN WRITING BY (A) THE
 STATE  COMPTROLLER  WHERE  SUCH SALE IS NOT TO THE STATE COMPTROLLER, OR
 (B) THE DIRECTOR OF THE BUDGET, WHERE SUCH SALE IS TO  THE  STATE  COMP-
 TROLLER.
 S. 7682                             3
 
   6.  ANY  RESOLUTION  OR  RESOLUTIONS AUTHORIZING BONDS, NOTES OR OTHER
 OBLIGATIONS OR ANY ISSUE  OF  BONDS,  NOTES  OR  OTHER  OBLIGATIONS  MAY
 CONTAIN  PROVISIONS WHICH MAY BE A PART OF THE CONTRACT WITH THE HOLDERS
 OF THE BONDS, NOTES OR OTHER OBLIGATIONS THEREBY AUTHORIZED AS  TO:  (A)
 PLEDGING  ALL  OR  PART  OF  THE AUTHORITY'S REVENUES, TOGETHER WITH ANY
 OTHER MONEYS, SECURITIES OR CONTRACTS, TO  SECURE  THE  PAYMENT  OF  THE
 BONDS, NOTES OR OTHER  OBLIGATIONS,  SUBJECT  TO  SUCH  AGREEMENTS  WITH
 BONDHOLDERS AS MAY THEN EXIST; (B) THE SETTING ASIDE OF RESERVES AND THE
 CREATION  OF  SINKING  FUNDS AND THE REGULATION AND DISPOSITION THEREOF;
 (C) LIMITATIONS ON THE PURPOSES TO WHICH THE PROCEEDS FROM THE  SALE  OF
 BONDS, NOTES OR OTHER OBLIGATIONS MAY BE APPLIED; (D) LIMITATIONS ON THE
 ISSUANCE OF ADDITIONAL BONDS, NOTES OR OTHER OBLIGATIONS, THE TERMS UPON
 WHICH  ADDITIONAL  BONDS,  NOTES  OR OTHER OBLIGATIONS MAY BE ISSUED AND
 SECURED AND THE REFUNDING OF BONDS, NOTES OR OTHER OBLIGATIONS; (E)  THE
 PROCEDURE,  IF  ANY, BY WHICH THE TERMS OF ANY CONTRACT WITH BONDHOLDERS
 MAY BE AMENDED OR ABROGATED, INCLUDING  THE  PROPORTION  OF  BONDHOLDERS
 WHICH  MUST  CONSENT THERETO AND THE MANNER IN WHICH SUCH CONSENT MAY BE
 GIVEN; (F) VESTING IN A TRUSTEE OR  TRUSTEES  SUCH  PROPERTIES,  RIGHTS,
 POWERS  AND  DUTIES  IN  TRUST AS THE AUTHORITY MAY DETERMINE, WHICH MAY
 INCLUDE ANY OR ALL OF THE RIGHTS, POWERS AND DUTIES   OF   THE   TRUSTEE
 APPOINTED  BY  THE  BONDHOLDERS PURSUANT TO SECTION THIRTY-EIGHT HUNDRED
 SIXTY-THREE OF THIS TITLE AND LIMITING OR ABROGATING THE RIGHTS  OF  THE
 BONDHOLDERS  TO  APPOINT  A  TRUSTEE  UNDER SUCH SECTION OR LIMITING THE
 RIGHTS, DUTIES AND POWERS OF SUCH TRUSTEE; AND (G) DEFINING THE ACTS  OR
 OMISSIONS  OF THE AUTHORITY TO ACT WHICH MAY CONSTITUTE A DEFAULT IN THE
 OBLIGATIONS AND DUTIES OF THE AUTHORITY TO THE BONDHOLDERS AND PROVIDING
 FOR THE RIGHTS AND REMEDIES OF THE BONDHOLDERS  IN  THE  EVENT  OF  SUCH
 DEFAULT,  INCLUDING  AS A MATTER OF RIGHT THE APPOINTMENT OF A RECEIVER;
 PROVIDED, HOWEVER, THAT SUCH ACTS OR OMISSIONS OF THE AUTHORITY TO   ACT
 WHICH MAY CONSTITUTE A DEFAULT AND SUCH RIGHTS AND REMEDIES SHALL NOT BE
 INCONSISTENT  WITH THE GENERAL LAWS OF THE STATE AND OTHER PROVISIONS OF
 THIS TITLE.
   7. IN ADDITION TO THE POWERS CONFERRED  UPON  THE  AUTHORITY  IN  THIS
 SECTION  TO  SECURE ITS BONDS, NOTES OR OTHER OBLIGATIONS, THE AUTHORITY
 SHALL HAVE POWER IN CONNECTION WITH THE  ISSUANCE  OF  BONDS,  NOTES  OR
 OTHER  OBLIGATIONS  TO ENTER INTO SUCH AGREEMENTS FOR THE BENEFIT OF THE
 BONDHOLDERS AS THE AUTHORITY MAY DEEM NECESSARY, CONVENIENT OR DESIRABLE
 CONCERNING THE USE OR DISPOSITION  OF  ITS  REVENUES  OR  OTHER  MONEYS,
 INCLUDING  THE  ENTRUSTING,  PLEDGING  OR CREATION OF ANY OTHER SECURITY
 INTEREST IN ANY SUCH REVENUES, MONEYS AND THE DOING OF ANY ACT,  INCLUD-
 ING  REFRAINING  FROM  DOING ANY ACT, WHICH THE AUTHORITY WOULD HAVE THE
 RIGHT TO DO IN THE ABSENCE OF SUCH AGREEMENTS. THE AUTHORITY SHALL  HAVE
 POWER  TO ENTER INTO AMENDMENTS OF ANY SUCH AGREEMENTS WITHIN THE POWERS
 GRANTED TO THE AUTHORITY BY THIS TITLE AND TO PERFORM  SUCH  AGREEMENTS.
 THE PROVISIONS OF ANY SUCH AGREEMENTS MAY BE MADE A PART OF THE CONTRACT
 WITH THE HOLDERS OF BONDS, NOTES OR OTHER OBLIGATIONS OF THE AUTHORITY.
   8.  WHENEVER  A  SERIES  OF  BONDS,  NOTES OR OTHER OBLIGATIONS OF THE
 AUTHORITY IS ISSUED PURSUANT TO THIS SECTION  FOR  PURPOSES  OTHER  THAN
 DEFICIT FINANCING AUTHORIZED BY SECTION THIRTY-EIGHT HUNDRED FIFTY-SEVEN
 OF  THIS  TITLE,  THE  PAYMENT  OF THE PROCEEDS OF SUCH SERIES OF BONDS,
 NOTES OR OTHER OBLIGATIONS TO THE CITY MAY BE, AT  THE  REQUEST  OF  THE
 AUTHORITY,  EVIDENCED  BY  OBLIGATIONS  OF THE CITY ISSUED IN ACCORDANCE
 WITH APPLICABLE PROVISIONS OF THE STATE CONSTITUTION AND  LOCAL  FINANCE
 LAW THEN IN EFFECT AT THE TIME ANY SUCH OBLIGATIONS ARE ISSUED, PROVIDED
 THAT THE PRINCIPAL AMOUNT OF THE AUTHORITY'S BONDS, NOTES OR OTHER OBLI-
 GATIONS ISSUED IN CONNECTION WITH ANY SUCH EXCHANGE SHALL NOT EXCEED THE
 S. 7682                             4
 
 PRINCIPAL  AMOUNT  OF  SUCH OBLIGATIONS OF THE CITY AND ACCRUED INTEREST
 THEREON AT THE STATED RATE TO THE DATE OF SUCH  EXCHANGE,  AND  PROVIDED
 FURTHER,  HOWEVER, THAT THE PRINCIPAL PAYMENTS ON ANY SUCH ISSUE OF CITY
 OBLIGATIONS  SHALL IN NO EVENT BE SCHEDULED TO FALL ON A DATE LATER THAN
 THE DATE ON WHICH FALLS A CORRESPONDING AMOUNT  OF  SCHEDULED  PRINCIPAL
 PAYMENTS  ON  THE  SERIES  OF  BONDS,  NOTES OR OTHER OBLIGATIONS OF THE
 AUTHORITY ORIGINALLY ISSUED TO PROVIDE SUCH PROCEEDS OR ISSUED TO REFUND
 BONDS, NOTES OR OTHER OBLIGATIONS ISSUED TO PROVIDE SUCH PROCEEDS.
   9. NOTWITHSTANDING ANY PROVISION OF THE UNIFORM COMMERCIAL CODE TO THE
 CONTRARY, ANY PLEDGE OF OR OTHER SECURITY INTEREST IN REVENUES,  MONEYS,
 ACCOUNTS, CONTRACT RIGHTS, GENERAL INTANGIBLES OR OTHER PERSONAL PROPER-
 TY  MADE  OR  CREATED  BY  THE  AUTHORITY  SHALL  BE  VALID, BINDING AND
 PERFECTED FROM THE TIME WHEN SUCH  PLEDGE  IS  MADE  OR  OTHER  SECURITY
 INTEREST  ATTACHES  WITHOUT  ANY  PHYSICAL DELIVERY OF THE COLLATERAL OR
 FURTHER ACT, AND THE LIEN OF ANY SUCH PLEDGE OR OTHER SECURITY  INTEREST
 SHALL  BE VALID, BINDING AND PERFECTED AGAINST ALL PARTIES HAVING CLAIMS
 OF ANY KIND IN TORT, CONTRACT OR OTHERWISE AGAINST THE  AUTHORITY  IRRE-
 SPECTIVE  OF  WHETHER SUCH PARTIES HAVE NOTICE THEREOF. NO INSTRUMENT BY
 WHICH SUCH A PLEDGE OR SECURITY INTEREST IS CREATED  NOR  ANY  FINANCING
 STATEMENT NEED BE RECORDED OR FILED TO BE VALID AND BINDING.
   10.  WHETHER  OR  NOT  THE  BONDS,  NOTES  OR OTHER OBLIGATIONS OF THE
 AUTHORITY ARE OF SUCH FORM AND CHARACTER AS TO BE NEGOTIABLE INSTRUMENTS
 UNDER THE TERMS OF THE UNIFORM COMMERCIAL  CODE,  THE  BONDS,  NOTES  OR
 OTHER  OBLIGATIONS  ARE  HEREBY  MADE  NEGOTIABLE INSTRUMENTS WITHIN THE
 MEANING OF AND FOR ALL THE PURPOSES  OF  THE  UNIFORM  COMMERCIAL  CODE,
 SUBJECT ONLY TO THE PROVISIONS OF THE BONDS FOR REGISTRATION.
   11.  NEITHER  THE  DIRECTORS OF THE AUTHORITY NOR ANY PERSON EXECUTING
 BONDS, NOTES OR OTHER OBLIGATIONS SHALL BE LIABLE PERSONALLY THEREON  OR
 BE  SUBJECT TO ANY PERSONAL LIABILITY OR ACCOUNTABILITY SOLELY BY REASON
 OF THE ISSUANCE THEREOF. THE BONDS, NOTES OR OTHER  OBLIGATIONS  OF  THE
 AUTHORITY  SHALL  NOT  BE  A  DEBT  OF EITHER THE STATE OR THE CITY, AND
 NEITHER THE STATE NOR THE CITY SHALL BE LIABLE THEREON, NOR  SHALL  THEY
 BE  PAYABLE OUT OF ANY FUNDS OTHER THAN THOSE OF THE AUTHORITY; AND SUCH
 BONDS, NOTES OR OTHER OBLIGATIONS SHALL CONTAIN ON THE  FACE  THEREOF  A
 STATEMENT TO SUCH EFFECT.
   12. THE AUTHORITY, SUBJECT TO SUCH AGREEMENTS WITH BONDHOLDERS AS THEN
 MAY  EXIST,  SHALL  HAVE  POWER  TO PURCHASE BONDS, NOTES OR OTHER OBLI-
 GATIONS OF THE AUTHORITY OUT OF ANY  MONEYS  AVAILABLE  THEREFOR,  WHICH
 SHALL THEREUPON BE CANCELED.
   §  3.  Subdivision 9 of section 3854 of the public authorities law, as
 added by chapter 122 of the laws of 2003, is amended to read as follows:
   9. to enter into interest rate exchange or similar  arrangements  with
 any  person  under such terms and conditions as the authority may deter-
 mine, 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  twenty-five percent of the amount authorized in subdivision
 one of section thirty-eight hundred sixty-two of this title to  pay  the
 financeable  costs described in paragraph (a), (c), (d) or (e) of subdi-
 vision fifteen of section thirty-eight hundred fifty-one of this  title,
 OR TO TWENTY-FIVE PERCENT OF THE AMOUNT AUTHORIZED IN SUBDIVISION ONE OF
 SECTION  THIRTY-EIGHT  HUNDRED  SIXTY-TWO-A  OF  THIS   TITLE TO PAY THE
 FINANCEABLE COSTS DESCRIBED IN PARAGRAPH (A), (C), (D) OR (E) OF  SUBDI-
 S. 7682                             5
 
 VISION  FIFTEEN OF SECTION THIRTY-EIGHT HUNDRED FIFTY-ONE OF THIS TITLE,
 AS APPLICABLE;
   §  4.  The opening paragraph of section 3863 of the public authorities
 law, as added by chapter 122 of the laws of 2003, is amended to read  as
 follows:
   Subject to any resolution or resolutions adopted pursuant to paragraph
 (f)  of  subdivision  six  of  section thirty-eight hundred sixty-two OR
 PARAGRAPH (F) OF SUBDIVISION SIX OF SECTION THIRTY-EIGHT HUNDRED  SIXTY-
 TWO-A of this title, AS APPLICABLE:
   § 5. This act shall take effect immediately.