N.Y. Local Finance Law § 150.00: Two per centum limitation on housing or urban renewal indebtedness

§ 150.00. Two per centum limitation on housing or urban renewal

indebtedness. a. To effectuate any of the purposes of article eighteen

of the state constitution as implemented by the public housing law and

any other laws, any city, town or village may contract indebtedness to

an amount which shall not exceed two per centum of the average assessed

valuation of such city, town or village.

b. The power of a town or a village of less than five thousand

population as determined by the last federal census to contract

indebtedness pursuant to this section shall be subject to the

limitations on the power to contract indebtedness set forth in section

104.00 of this chapter.

c. A city or a village having a population of five thousand or more as

determined by the last federal census shall have the power to contract

indebtedness, for the purposes set forth in paragraph a of this section,

in excess of the debt limitations prescribed in section 104.00 of this

chapter. If the indebtedness is charged to the debt limit provided in

paragraph a of this section, such city or village shall annually levy

one or more of the taxes enumerated in article six of the public housing

law, to an extent sufficient to provide for the payment of the principal

of and interest on any such indebtedness.

d. This section shall not apply to housing or urban renewal purposes

(i) to the extent that the legislative power to authorize the

contracting of indebtedness therefor is derived from sections two and

four of article eight of the constitution or from any other provision of

the constitution outside of article eighteen or (ii) to the extent that

there is a sufficient margin of debt contracting power to cover

indebtedness for housing or urban renewal purposes contracted pursuant

to article eighteen of the constitution within the debt limit

established by section four of article eight of the constitution unless

the finance board shall elect to charge such outstanding indebtedness or

any part thereof against the debt limit provided in this section.