N.Y. Public Authorities Law § 532-a: Notes of the authority

§ 532-a. Notes of the authority. The authority shall have power from

time to time to issue its negotiable notes in conformity with applicable

provisions of the uniform commercial code and from time to time to issue

renewal notes, maturing not later than five years from their respective

dates in an amount which together with bonds shall not exceed one

hundred fifty-three million two hundred fifty-five thousand dollars

pursuant to subdivision one of section five hundred thirty-two of this

chapter, excluding bonds issued to fund said notes. Subject to any

agreements with bondholders or noteholders thereof the authority may

pledge such moneys or revenues 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.