§ 1622-k. Agreements of the village and the state. 1. The village is
authorized to, and the state of New York does hereby pledge to and agree
with the holders of the bonds or notes that neither the village nor the
state, respectively, will limit or alter the rights hereby vested in the
authority to acquire, construct, reconstruct, improve, equip, furnish,
maintain or operate any project or projects, to establish and collect
rentals, fees and other charges and to fulfill the terms of any
agreements made with the holders of the bonds or notes, or in any way
impair the rights and remedies of the bondholders or noteholders, until
the bonds or notes, together with interest thereon, with interest on any
unpaid installments of interest and all costs and expenses in connection
with any action or proceeding by or on behalf of the bondholders or
noteholders, are fully met and discharged.

2. The authority is hereby authorized, in its discretion, for and on
behalf of itself and, subject to approval by the village board of
trustees and mayor, the village of Nyack, to covenant and agree with the
holders of the bonds or notes, with such exceptions and limitations as
it may deem in the public interest and in the interests of the
authority's bondholders and noteholders, that no public parking areas or
spaces, including the installation and operation of parking meters on
the public streets of the village, except those acquired and operated by
the authority will be constructed or operated in the village by the
village (except as hereinafter provided), or by any public benefit or
other corporation, the members of which are elected or appointed by the
village officials, until either (a) the bonds or notes, together with
interest thereon, interest on any unpaid installments of interest and
all costs and expenses in connection with any action or proceeding by or
on behalf of the bondholders or noteholders are fully met and
discharged; or (b) principal or interest of any of the bonds or notes
shall be overdue and unpaid for a period of three years or more;
provided, however, nothing herein contained shall be deemed to impair
the right of the village to continue to operate the presently existing
municipal parking facilities and any replacements thereof.