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This entry was published on 2014-09-22
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SECTION 43
2008 and 2009 Economic development initiatives
Urban Development Corporation Act 174/68 (UDA) CHAPTER INTRO
§ 43. 2008 and 2009 Economic development initiatives. 1.
Notwithstanding the provisions of any other law to the contrary, the
dormitory authority and the corporation are hereby authorized to issue
bonds or notes in one or more series for the purpose of funding project
costs for various economic development and regional initiatives, the
upstate regional blueprint fund, the downstate revitalization fund, the
upstate agricultural economic fund, the New York state capital
assistance program, the New York state economic development assistance
program and other state costs associated with such projects. The
aggregate principal amount of bonds authorized to be issued pursuant to
this section shall not exceed one billion two hundred sixty-nine million
four hundred fifty thousand dollars, excluding bonds issued to fund one
or more debt service reserve funds, to pay costs of issuance of such
bonds, and bonds or notes issued to refund or otherwise repay such bonds
or notes previously issued. Such bonds and notes of the dormitory
authority and the corporation shall not be a debt of the state, and the
state shall not be liable thereon, nor shall they be payable out of any
funds other than those appropriated by the state to the dormitory
authority and the corporation for principal, interest, and related
expenses pursuant to a service contract and such bonds and notes shall
contain on the face thereof a statement to such effect. Except for
purposes of complying with the internal revenue code, any interest
income earned on bond proceeds shall only be used to pay debt service on
such bonds.

2. Notwithstanding any other provision of law to the contrary, in
order to assist the dormitory authority and the corporation in
undertaking the financing for various economic development and regional
initiatives, the upstate regional blueprint fund, the downstate
revitalization fund, the upstate agricultural economic fund, the New
York state capital assistance program, the New York state economic
development assistance program and other state costs associated with
such projects, the director of the budget is hereby authorized to enter
into one or more service contracts with the dormitory authority and the
corporation, none of which shall exceed thirty years in duration, upon
such terms and conditions as the director of the budget and the
dormitory authority and the corporation agree, so as to annually provide
to the dormitory authority and the corporation, in the aggregate, a sum
not to exceed the principal, interest, and related expenses required for
such bonds and notes. Any service contract entered into pursuant to this
section shall provide that the obligation of the state to pay the amount
therein provided shall not constitute a debt of the state within the
meaning of any constitutional or statutory provision and shall be deemed
executory only to the extent of monies available and that no liability
shall be incurred by the state beyond the monies available for such
purpose, subject to annual appropriation by the legislature. Any such
contract or any payments made or to be made thereunder may be assigned
and pledged by the dormitory authority and the corporation as security
for its bonds and notes, as authorized by this section.