1596-K - Agreements of the state.

§  1596-k.  Agreements  of  the  state.  1. The state of New York does  pledge to and agree with the holders of the bonds that  the  state  will  not limit or alter the rights hereby vested in the authority to acquire,  construct, maintain, reconstruct and operate the 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 in any  way impair the rights and remedies of the bondholders, until the  bonds,  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,  are  fully  met  and  discharged.    2.  The  authority is hereby authorized, in its discretion, for and on  behalf of itself and the city of Yonkers, to covenant and agree with the  holders of the bonds, with such exceptions and  limitations  as  it  may  deem  in  the  public  interest,  that no public parking areas or spaces  except those acquired and operated by the authority will be  constructed  or  operated  in the city by the city, or by any public benefit or other  corporation the members of which are elected or are  appointed  by  city  officials,  until  either (a) the bonds, 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 are  fully  met  and  discharged  or  (b)  principal  or  interest of any of the bonds shall be overdue and unpaid for a period of  three years or more.