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Bonds of the authority
Public Authorities (PBA) CHAPTER 43-A, ARTICLE 3, TITLE 2
§ 532. Bonds of the authority. 1. The authority shall have power and
is hereby authorized from time to time to issue its negotiable bonds in
conformity with applicable provisions of the uniform commercial code for
any corporate purpose in the aggregate principal amount not to exceed
one hundred fifty-three million two hundred fifty-five thousand dollars.

2. In addition to the bonds authorized in subdivision one of this
section, the authority shall have power from time to time and whenever
it deems refunding expedient, to issue bonds in such principal amount as
the authority may determine for the purpose of refunding bonds then
outstanding and to issue such additional bonds as may be necessary to
pay the costs incurred in connection with said refunding, whether the
bonds to be refunded have or have not matured. The refunding bonds may
be exchanged for the bonds to be refunded with such cash adjustments as
may be agreed, or may be sold and the proceeds applied to the purchase,
redemption or payment of the bonds to be refunded, provided, however,
that upon any such refunding or repayment the aggregate principal amount
of outstanding bonds may be greater than one hundred fifty-three million
two hundred fifty-five thousand dollars only if the present value of the
aggregate debt service of the refunding or repayment bonds to be issued
shall not exceed the present value of the aggregate debt service of the
bonds so to be refunded or repaid. For purposes hereof, the present
values of the aggregate debt service of the refunding or repayment bonds
and of the aggregate debt service of the bonds so refunded or repaid,
shall be calculated by utilizing the effective interest rate of the
refunding or repayment bonds, which shall be that rate arrived at by
doubling the semi-annual interest rate (compounded semi-annually)
necessary to discount the debt service payments on the refunding or
repayment bonds from the payment dates thereof to the date of issue of
the refunding or repayment bonds and to the price bid including
estimated accrued interest or proceeds received by the authority
including estimated accrued interest from the sale thereof.

3. Bonds shall be authorized by resolution of the board and shall bear
such date or dates, mature at such time or times, not exceeding fifty
years from their respective dates, bear interest at such rate or rates,
payable semi-annually, be in such denominations, be in such form, either
coupon or registered, carry such registration privileges, be executed in
such manner, be payable in such medium of payment, at such place or
places, and be subject to such terms of redemption (not inconsistent
with subdivision four of this section) as such resolution or resolutions
may provide. Any bonds of the authority may be sold at public or private
sale for such price or prices as the authority shall determine.

4. Every issue of bonds shall be subject to redemption prior to
maturity at the election of the authority on notice by publication in a
newspaper published in the city of New York of not more than ninety
days, and if the state shall furnish the authority with sufficient money
therefor, the authority shall redeem the bonds in accordance with the
terms of redemption then applicable.

5. Except as otherwise may be expressly provided by the authority
every issue of bonds and notes shall be general obligations payable out
of any moneys or revenues of the authority, subject only to any
agreement with the holders of particular bonds or notes pledging any
particular tolls or revenues.

6. Any resolution or resolutions authorizing any bonds or notes may
contain provisions, which shall be a part of the contract with the
holders of the bonds or notes, as to

(a) Pledging the tolls and revenues of the bridges or any of them to
secure the payment of the bonds or notes;

(b) The rates of the tolls to be charged, and the amount to be raised
in each year by tolls, and the use and disposition of the tolls and
other revenues;

(c) The setting aside of reserves or sinking funds, and the regulation
and disposition thereof;

(d) Limitations on the right of the authority to restrict and regulate
the use of the bridges;

(e) Limitations on the purposes to which the proceeds of sale of any
issue of bonds or notes then or thereafter to be issued may be applied
and pledging such proceeds to secure the payment of the bonds or notes
or of any issue thereof;

(f) Limitations on the issuance of additional bonds or notes or on
other debt;

(g) The procedure, if any, by which the terms of any contract with
bondholders or noteholders may be amended or abrogated, the amount of
bonds or notes the holders of which must consent thereto, and the manner
in which such consent may be given;

(h) Limitations on the amount of moneys derived from any of the
bridges to be expended for operating, administrative or other expenses
of the authority;

(i) Vesting in a trustee or trustees such property, 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 five hundred thirty-seven hereof, and
limiting or abrogating the right of the bondholders to appoint a trustee
under said section or limiting the rights, duties and powers of such

(j) Any other matters, of like or different character, which in any
way affect the security or protection of the bonds or notes.

7. Neither the members of the board nor any person executing such
bonds or notes shall be liable personally on said bonds or notes or be
subject to any personal liability or accountability by reason of the
issuance thereof.

8. The authority shall have power out of any funds available therefor
to purchase any bonds or notes issued by it. The authority may hold,
cancel, or resell such bonds or notes subject to and in accordance with
agreements with bondholders or noteholders.

9. It is the intention hereof that any pledge of tolls or other
revenues or other moneys made by the authority shall be valid and
binding from the time when the pledge is made; that the tolls or other
revenues or other moneys so pledged and thereafter received by the
authority shall immediately be subject to the lien of such pledge
without any physical delivery thereof or further act, and that the lien
of any such pledge shall be valid and binding as against all parties
having claims of any kind in tort, contract or otherwise against the
authority irrespective of whether such parties have notice thereof.
Neither the resolution nor any other instrument by which a pledge is
created need be recorded.