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This entry was published on 2021-04-23
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SECTION 5
Powers of the corporation
Urban Development Corporation Act 174/68 (UDA) CHAPTER INTRO
§ 5. Powers of the corporation. Except as otherwise limited by this
act, the corporation shall have power:

(1) To sue and be sued;

(2) To have a seal and alter the same at pleasure;

(3) To make and execute contracts and all other instruments necessary
or convenient for the exercise of its powers and functions under this
act;

(4) To make and alter by-laws for its organization and internal
management and, subject to agreements with noteholders or bondholders,
to make rules and regulations with respect to its projects, operations,
properties and facilities, which rules and regulations shall be filed
with the department of state in the manner provided by section one
hundred two of the executive law;

(5) To acquire, hold and dispose of personal property for its
corporate purposes;

(6) To appoint officers, agents and employees, prescribe their duties
and qualifications and fix their compensation;

(7) To acquire or contract to acquire from any person, firm,
corporation, municipality, federal or state agency, by grant, purchase,
condemnation or otherwise, leaseholds, real, personal or mixed property
or any interest therein; to own, hold, clear, improve and rehabilitate,
and to sell, assign, exchange, transfer, convey, lease, mortgage, or
otherwise dispose of or encumber the same;

(8) To create subsidiaries, as provided in section twelve of this act.

(9) To acquire, construct, reconstruct, rehabilitate, improve, alter
or repair or provide for the construction, reconstruction, improvement,
alteration or repair of any project.

(10) To arrange or contract with a municipality for the planning,
replanning, opening, grading or closing of streets, roads, roadways,
alleys or other places, or for the furnishing of facilities or for the
acquisition by a municipality of property or property rights or for the
furnishing of property or services in connection with a project.

(11) To sell, lease, assign, transfer, convey, exchange, mortgage, or
otherwise dispose of or encumber any project, and in the case of the
sale of any project, to accept a purchase money mortgage in connection
therewith; and to lease, repurchase or otherwise acquire and hold any
project which the corporation has theretofore sold, leased or otherwise
conveyed, transferred or disposed of.

(12) To grant options to purchase any project or to renew any leases
entered into by it in connection with any of its projects, on such terms
and conditions as it may deem advisable.

(13) To prepare or cause to be prepared plans, specifications, designs
and estimates of cost for the construction, reconstruction,
rehabilitation, improvement, alteration or repair of any project, and
from time to time to modify such plans, specifications, designs or
estimates.

(14) To manage any project, whether then owned or leased by the
corporation, and to enter into agreements with the state or any
municipality or any agency or instrumentality thereof, or with any
person, firm, partnership or corporation, either public or private, for
the purpose of causing any project to be managed.

(15) To provide advisory, consultative, training and educational
services, technical assistance and advice to any person, firm,
partnership or corporation, either public or private, in order to carry
out the purposes of this act.

(16) To lend or donate monies, whether secured or unsecured, to any
subsidiary corporation, and to purchase, sell or pledge the shares,
bonds or other obligations or securities thereof, on such terms and
conditions as the corporation may deem advisable.

(17) To make mortgage loans, secured by a first mortgage lien,
including temporary loans or advances, to any subsidiary corporation
which is a housing company, and to undertake commitments therefor. Any
such commitment, mortgage or bonds or notes secured thereby may contain
such terms and conditions not inconsistent with the provisions of this
act as the corporation may deem necessary or desirable to secure
repayment of its loan, the interest, if any, thereon and other charges
in connection therewith.

(18) Subject to the provisions of any contract with noteholders or
bondholders to consent to the modification, with respect to rate of
interest, time of payments of any installment of principal or interest,
security, or any other term, of any mortgage, mortgage loan, mortgage
loan commitment, contract or agreement of any kind to which the
corporation is a party.

(19) In connection with any property on which it has made a mortgage
loan, to foreclose on any such property or commence any action to
protect or enforce any right conferred upon it by any law, mortgage,
contract or other agreement, and to bid for and purchase such property
at any foreclosure or at any other sale, or acquire or take possession
of any such property; and in such event the corporation may complete,
administer, pay the principal of and interest on any obligations
incurred in connection with such property, dispose of, and otherwise
deal with such property, in such manner as may be necessary or desirable
to protect the interests of the corporation therein.

(20) To borrow money and to issue its negotiable bonds and notes and
to provide for the rights of the holders thereof.

(21) As security for the payment of the principal of and interest on
any bonds so issued and any agreements made in connection therewith, to
mortgage and pledge any or all of its projects, whether then owned or
thereafter acquired, and to pledge the revenues and receipts therefrom
or from any thereof, and to assign or pledge the lease or leases on any
portion or all of said projects and to assign or pledge the income
received by virtue of said lease or leases.

(22) To invest any funds of the corporation including funds held in
reserve or sinking funds, or any monies (including proceeds from the
sale of any bonds or notes of the corporation) not required for
immediate use or disbursement, at the discretion of the corporation, in
(a) obligations of the state or of the United States government, (b)
obligations the principal and interest of which are guaranteed by the
state or the United States government, (c) obligations of agencies and
instrumentalities of the state or of the United States, or (d)
certificates of deposit of banks or trust companies in this state,
secured by obligations described in clauses (a), (b) or (c) of this
subdivision.

(23) To procure insurance against any loss in connection with its
property and other assets and operations in such amounts and from such
insurers as it deems desirable.

(24) To engage the services of consultants on a contract basis for
rendering professional and technical assistance and advice.

(25) To contract for and to accept any gifts or grants or loans of
funds or property or financial or other aid in any form from the federal
government or any agency or instrumentality thereof, or from the state
or any agency or instrumentality thereof, or from any other source and
to comply, subject to the provisions of this act, with the terms and
conditions thereof.

* (26) To make loans, whether secured or unsecured, in connection with
the corporation's participation in a project (as defined in this act),
to any person or entity, whether public or private, and to issue
commitments for such loans, provided that such loans and commitments are
made or issued in compliance with guidelines established by the board of
directors of the corporation; to provide for the repayment of such loans
on terms and conditions that the directors of the corporation deem
advisable and to receive and hold real property or personal property as
security for the repayment of such loans.

* NB Repealed July 1, 2022

(27) To use a portion of appropriated funds generally designated as
high risk targeted investment funds to establish a loan fund to be used
to make loans to business enterprises located within empire zones
designated pursuant to article eighteen-B of the general municipal law.

(28) To do any and all things necessary or convenient to carry out its
purposes and exercise the powers given and granted in this act.

(29) Subject to any agreement with noteholders or bondholders, to
enter into agreements to pay annual sums in lieu of taxes to any
municipality or political subdivision of the state, in respect of any
real property which is owned by the corporation or any subsidiary
thereof and is located in such municipality or political subdivision.

(30) To provide priority assistance to projects involving industry
clusters. The term "industry cluster" shall mean a geographic
concentration of competitive firms or establishments in the same
industry that either have close buy-sell relationships with other
industries in the region, use common technologies, or share a
specialized labor pool that provides firms with a competitive advantage
over the same industry in other places.