2680-F - Bonds of the authority.

§  2680-f.  Bonds  of  the  authority. 1. The authority shall have the  power and is hereby authorized from time to time to issue  bonds,  notes  or  other  obligations  to  pay  the  costs of the sports, recreation or  cultural facilities  or  any  other  corporate  purpose,  including  the  establishment  of reserves to secure the bonds, the payment of principal  of, premium, if any, and interest  on  the  bonds  and  the  payment  of  incidental  expenses  in  connection  therewith. The aggregate principal  amount of such bonds, notes or other obligations shall not exceed  forty  million   dollars   ($40,000,000),   excluding  bonds,  notes  or  other  obligations issued to refund or otherwise repay bonds,  notes  or  other  obligations  theretofore  issued  for  such purposes; provided, however,  that upon any such refunding or repayment the total aggregate  principal  amount  of  outstanding bonds, notes or other obligations may be greater  than forty million dollars ($40,000,000) only if the  present  value  of  the aggregate debt service of the refunding or repayment bonds, notes or  other obligations to be issued shall not exceed the present value of the  aggregate debt service of the bonds, notes or other obligations so to be  refunded  or  repaid. For purposes of this section, the present value of  the aggregate debt service of the refunding or repayment bonds, notes or  other obligations and of the aggregate debt service of the bonds,  notes  or  other  obligations  so  refunded  or  repaid, shall be calculated by  utilizing the effective interest rate  of  the  refunding  or  repayment  bonds,  notes  or other obligations, 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, notes or  other  obligations  from  the  payment  dates  thereof  to  the date of issue of refunding or repayment bonds, notes or  other obligations and to  the  price  bid  including  estimated  accrued  interest  or  proceeds  received  by  the  authority including estimated  accrued interest from the sale thereof. The authority shall  have  power  and  is hereby authorized to enter into such agreements and perform such  acts as may be required  under  any  applicable  federal  law,  rule  or  regulation to secure a federal guarantee of any bonds.    2.  The authority shall have power from time to time to renew bonds or  to issue renewal bonds for such purpose, to issue bonds  to  pay  bonds,  and,  whenever  it  deems refunding expedient, to refund any bond by the  issuance of new bonds, whether the bonds to be refunded have or have not  matured, and may issue bonds partly to refund bonds then outstanding and  partly for any other corporate purpose of the  authority.  Bonds  (other  than  notes  or  other  evidence  of  indebtedness) issued for refunding  purposes, which have a final maturity date longer than the  maturity  of  the  bonds  being  refunded,  shall  be  approved by a resolution of the  county. Bonds issued for  refunding  purposes  shall  be  sold  and  the  proceeds  applied to the purchase, redemption or payment of the bonds or  notes to be refunded.    3. Bonds issued by the authority may be general obligations secured by  the faith and credit of the authority  or  may  be  special  obligations  payable  solely  out  of  particular  revenues or other moneys as may be  designated in the proceedings of the authority  under  which  the  bonds  shall  be  authorized  to  be issued, subject as to priority only to any  agreements with the holders of outstanding bonds pledging any particular  property, revenues or moneys. The authority may  also  enter  into  loan  agreements, lines of credit and other security agreements and obtain for  or  on  its  behalf  letters  of  credit, insurance, guarantees or other  credit enhancements to the extent now or hereafter  available,  in  each  case  for  securing  its bonds or to provide direct payment of any costs  which the authority is authorized to pay.4. (a) Bonds shall be authorized by resolution of the authority, be in  such denominations and bear such date or dates and mature at  such  time  or  times,  as  such  resolution  may  provide,  provided that bonds and  renewals thereof shall mature  within  forty  years  from  the  date  of  original issuance of any such bonds.    (b)  Bonds shall be subject to such terms of redemption, bear interest  at such rate or rates, be payable at such times, 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 and conditions as such resolution  may provide. Notwithstanding any other provision of law,  the  bonds  of  the  authority  issued  pursuant  to  this  section shall be sold to the  bidder offering the lowest true interest cost, taking into consideration  any premium or discount not less than four nor more than  fifteen  days,  Sundays  excepted,  after  a  notice  of such sale has been published at  least once in a newspaper of general circulation in the area  served  by  the authority, which shall state the terms of the sale. The terms of the  sale  shall not change unless notice of such change is published in such  newspaper at least one day prior to the date of the sale as set forth in  the original notice of sale. Advertisements shall contain a provision to  the effect that the authority, in its discretion, may reject any or  all  bids  made in pursuance of such advertisements, and in the event of such  rejection, the authority is authorized to negotiate a private or  public  sale  or  readvertise  for  bids in the form and manner provided by this  subdivision as many times as, in  its  judgment,  may  be  necessary  to  effect satisfactory sale.    (c)   Notwithstanding   the   provisions  of  paragraph  (b)  of  this  subdivision, whenever in the judgment of the authority the interests  of  the  authority  will be served thereby, the members of the authority, on  the written recommendation of the chairperson, may authorize the sale of  such bonds at private or public sale on a negotiated basis or on  either  a  competitive  or  negotiated basis. The authority shall set guidelines  governing the terms and conditions of any such private or public  sales.  The  private  or  public bond sale guidelines set by the authority shall  include, but not be limited to, a requirement that where  the  interests  of  the  authority  will be served by a private or public sale of bonds,  the authority shall select underwriters for each private or public  bond  sale   conducted   pursuant  to  a  request  for  proposal  process  and  consideration of  proposals  from  qualified  underwriters  taking  into  account,  among  other  things,  qualifications  of  underwriters  as to  experience, their ability to structure and sell authority  bond  issues,  anticipated  costs  to  the  authority,  the  prior  experience  of  the  authority with the firm, if  any,  the  capitalization  of  such  firms,  participation  of qualified minority and women-owned business enterprise  firms in such private or public sales of bonds of the authority and  the  experience  and  ability  of  firms  under  consideration  to  work with  minority and women-owned business  enterprises  so  as  to  promote  and  assist participation by such enterprises.    (d) The authority shall have the power from time to time to amend such  private  bond  sale guidelines in accordance with the provisions of this  subdivision.    (e) No private or public bond sale on  a  negotiated  basis  shall  be  conducted  by  the  authority without prior approval of the comptroller.  The authority shall annually prepare and  approve  a  bond  sale  report  which  shall include private or public bond sale guidelines as specified  in this subdivision,  amendments  to  such  guidelines  since  the  last  private  or  public  bond  sale  report, an explanation of the bond sale  guidelines and  amendments,  and  the  results  of  any  sale  of  bondsconducted during the fiscal year. Such bond sale report may be a part of  any other annual report that the authority is required to make.    (f)  The  authority  shall annually submit its bond sale report to the  comptroller and copies thereof to the senate finance committee  and  the  assembly ways and means committee.    (g)  The  authority  shall  make available to the public copies of its  bond sale report upon reasonable request thereof.    (h) Nothing contained in this subdivision shall be deemed to alter  or  affect  the  validity  of; modify the terms of or impair any contract or  agreement made or entered into in violation of,  or  without  compliance  with, the provisions of this subdivision.    5.  Any  resolution  or  resolutions authorizing bonds or any issue of  bonds may contain provisions which may be a part of  the  contract  with  the holders of the bonds thereby authorized as to:    (a)  pledging all or part of the revenues, other monies or property of  the authority to secure the payment  of  the  bonds,  or  any  costs  of  issuance  thereof,  including but not limited to any contracts, earnings  or proceeds of any grant to the authority received from any  private  or  public  source  subject to such agreements with bond holders as may then  exist;    (b) the setting aside of reserves and the creation  of  sinking  funds  and the regulation and disposition thereof;    (c)  limitations on the purpose to which the proceeds from the sale of  bonds may be applied;    (d) the rates, rents, fees and other charges to be fixed and collected  by the authority and the amount to be raised in each  year  thereby  and  the use and disposition of revenues;    (e) limitations on the right of the authority to restrict and regulate  the  use  of  the  sports,  recreation  or  cultural facilities or parts  thereof in connection with which bonds are issued;    (f) limitations on the issuance of additional bonds,  the  terms  upon  which  additional  bonds  may be issued and secured and the refunding of  outstanding or other bonds;    (g) the procedure, if any, by which the terms  of  any  contract  with  bondholders may be amended or abrogated, the amount of bonds the holders  of  which must consent thereto, and the manner in which such consent may  be given;    (h) the creation of special funds into which any  revenues  or  monies  may be deposited;    (i) the terms and provisions of any trust, mortgage, deed or indenture  securing the bonds under which the bond may be issued;    (j)  vesting  in a trustee or trustees such properties, rights, powers  and duties as the authority may determine which may include any  or  all  of  the  rights,  powers  and  duties  of  the trustees appointed by the  bondholders to appoint a trustee pursuant to this title or limiting  the  rights, duties and powers of such trustee;    (k)  defining  the  acts  or  omissions  to act which may constitute a  default  in  the  obligations  and  duties  of  the  authority  to   the  bondholders and providing for the rights and remedies of the bondholders  in the event of such default, including as a matter of right appointment  of  a  receiver;  provided, however, that such rights and remedies shall  not be inconsistent with  the  general  laws  of  the  state  and  other  provisions of this title;    (1)  limitations  on  the  power of the authority to sell or otherwise  dispose of the sports, recreation or cultural facilities  or  any  parts  thereof;(m)  limitations  on  the  amount  of  revenues and other monies to be  expended  for  operating,  administrative  or  other  expenses  of   the  authority;    (n) the payment of the proceeds of bonds, revenues and other monies to  a  trustee  or  other  depository,  and  for the method of disbursements  thereof with such safeguards  and  restrictions  as  the  authority  may  determine; and    (o)  any other matters of like or different character which in any way  affect the security or  protection  of  the  bonds  or  the  rights  and  remedies of bondholders.    6.  In  addition  to  the  powers  conferred  in this section upon the  authority to secure  its  bonds,  the  authority  shall  have  power  in  connection  with  the  issuance  of bonds to adopt resolutions and enter  into such trust indentures,  agreements  or  other  instruments  as  the  authority may deem necessary, convenient or desirable concerning the use  or  disposition  of  its revenues or other monies or property, including  the mortgaging of any property and the entrusting, pledging or  creation  of  any other security interest in any such revenues, monies or property  and the doing of any act, including refraining from doing any act  which  the  authority  would  have  the  right  to  do  in  the absence of such  resolutions, trust indentures,  agreements  or  other  instruments.  The  authority  shall  have  power  to  enter  into  amendments  of  any such  resolutions, trust indentures,  agreements  or  other  instruments.  The  provisions  of  any  such  resolutions,  trust indentures, agreements or  other instruments may be made a part of the contract with the holders of  bonds of the authority.    7. Any provision of  the  uniform  commercial  code  to  the  contrary  notwithstanding,  any  pledge of or other security interest in revenues,  monies, accounts, contract rights, general intangibles or other personal  property made or created by the authority shall be  valid,  binding  and  perfected  from  the  time  when  such  pledge is made or other security  interest attaches without any physical delivery  of  the  collateral  or  further  act, and the lien of any such pledge or other security interest  shall be valid, binding and perfected against all parties having  claims  of  any  kind  in  tort,  contract  or  otherwise  against the authority  irrespective of whether or not such  parties  have  notice  thereof.  No  instrument  by  which  such a pledge or security interest is created nor  any financing statement need to be recorded or filed.    8. Whether or not the bonds are of such form and character  as  to  be  negotiable  instruments  under the terms of the uniform commercial code,  the bonds are hereby negotiable instruments within the  meaning  of  and  for all the purposes of the uniform commercial code, subject only to the  provisions of the bonds for registration.    9. Neither the board members of the authority nor any person executing  its  bonds  shall be liable personally on its bonds or be subject to any  personal liability or accountability by reason of the issuance thereof.    10. Subject to such agreements with bondholders as may then exist, the  authority shall have power  out  of  any  funds  available  therefor  to  purchase bonds of the authority, which shall thereupon be canceled, at a  price not exceeding (a) if the bonds are then redeemable, the redemption  price then applicable plus accrued interest to the next interest payment  date,  or (b) if the bonds are not then redeemable, the redemption price  applicable on the first date after such purchase upon  which  the  bonds  become  subject to redemption plus accrued interest to the next interest  payment date. Bonds so purchased shall thereupon be canceled.    11. The authority shall have power and is hereby authorized  to  issue  negotiable   bond  anticipation  notes  in  conformity  with  applicable  provisions of the uniform commercial code and may renew  the  same  fromtime  to  time  but  the  maximum  maturity  of any such note, including  renewals thereof, shall not exceed five years from the date of issue  of  such original note.