N.Y. Public Authorities Law § 1493-j: Notes of the authority

§ 1493-j. Notes of the authority. The authority shall have power from

time to time to issue notes and from time to time to issue renewal notes

(herein referred to as notes) maturing not later than five years from

their respective original dates in an amount not exceeding at any time

five million dollars, over and above the amount of bonds authorized by

subdivision one of section fourteen hundred ninety-three-i of this

title, for any purpose or purposes for which bonds may be issued,

whenever the authority shall determine that payment thereof can be made

in full from any moneys or revenues which the authority expects to

receive from any source. Such notes may, among other things, be issued

to provide funds to pay preliminary costs of surveys, plans or other

matters relating to any proposed project. The authority may pledge such

moneys or revenues (subject to any other pledge thereof) for the payment

of the notes and may in addition secure the notes in the same manner and

with the same effect as herein provided for bonds. The notes shall be

issued in the same manner as bonds. The authority shall have power to

make contracts for the future sale from time to time of the notes, by

which the purchasers shall be committed to purchase the notes from time

to time on terms and conditions stated in such contracts, and the

authority shall have power to pay such consideration as it shall deem

proper for such commitments. In case of default on its notes or

violation of any of the obligations of the authority to the noteholders,

the noteholders shall have all the remedies provided herein for

bondholders.