N.Y. Urban Development Corporation Act 174/68 § 54: No title

§ 54. 1. Findings and declaration of need. (a) The state of New York

finds and determines that the global spread of the COVID-19 coronavirus

disease is having and is expected to continue to have a significant

impact on the health and welfare of individuals in the state as well as

a significant financial impact on the state. The serious threat posed by

the COVID-19 coronavirus disease has caused governments, including the

state, to adopt policies, regulations and procedures to suspend various

legal requirements in order to (i) respond to and mitigate the impact of

the outbreak, and (ii) provide temporary relief to individuals,

including the deferral of the federal income tax payment deadline from

April 15, 2020 to a later date in the calendar year. The state of New

York further finds and determines that certain fiscal management

authorization measures should be authorized and established.

(b) Notwithstanding any other provision of law to the contrary,

including, specifically, the provisions of chapter 59 of the laws of

2000 and section sixty-seven-b of the state finance law, the dormitory

authority of the state of New York and the corporation are hereby

authorized to issue until December 31, 2020, notes with a maturity no

later than March 31, 2021, to be designated as personal income tax

revenue or bond anticipation notes, in one or more series in an

aggregate principal amount not to exceed eight billion dollars,

excluding notes issued to finance one or more debt service reserve

funds, to pay costs of issuance of such notes, and notes issued to

renew, refund or otherwise repay such notes previously issued, for the

purpose of temporarily financing budgetary needs of the state following

the federal government deferral of the federal income tax payment

deadline from April 15, 2020 to a later date in the calendar year. Such

purpose shall constitute an authorized purpose under subdivision two of

section sixty-eight-a of the state finance law for all purposes of

article five-C of the state finance law with respect to the notes,

renewal notes, refunding notes and any state personal income tax revenue

bonds issued to refinance any notes, renewal notes, refunding notes

authorized by this paragraph. On or before their maturity, such notes

may be renewed or refunded once with renewal or refunding notes for an

additional period not to exceed one year from the date of renewal or

refunding. If on or before the maturity date of such notes or such

renewal or refunding notes, the director of the division of the budget

shall determine that all or a portion of such notes or such renewal or

refunding notes shall be refinanced on a long term basis, such notes or

such renewal or refunding notes may be refinanced with state personal

income tax revenue bonds in one or more series in an aggregate principal

amount not to exceed the then outstanding principal amount of such notes

or such renewal or refunding notes plus an amount necessary to finance

one or more debt service reserve funds and to pay costs of issuance of

such refunding bonds, notwithstanding any other provision of law to the

contrary, including, specifically, the provisions of chapter fifty-nine

of the laws of two thousand and section sixty-seven-b of the state

finance law. For so long as any notes, renewal or refunding notes or

such refunding bonds authorized by this paragraph shall remain

outstanding, including any state-supported debt issued to refinance the

refunding bonds authorized by this paragraph, the restrictions,

limitations and requirements contained in article five-B of the state

finance law shall not apply.

(c) Such notes, renewal or refunding notes and refunding bonds of the

dormitory authority and the corporation shall not be a debt of the

state, and the state shall not be liable thereon, nor shall they be

payable out of any funds other than those appropriated by the state to

the dormitory authority and the corporation for debt service and related

expenses pursuant to any financing agreement described in paragraph (d)

of this subdivision, and such notes, renewal or refunding notes and

refunding bonds shall contain on the face thereof a statement to such

effect. Such notes, renewal or refunding notes and any refunding bonds

issued to refinance such notes and/or any renewal or refunding notes on

a subordinate basis shall be secured by subordinate payments from the

revenue bond tax fund established pursuant to section ninety-two-z of

the state finance law. Refunding bonds issued to refinance any such

notes and/or renewal or refunding notes on a parity basis with

outstanding state personal income tax revenue bonds shall be issued only

in accordance with the provisions of the applicable resolution of the

dormitory authority or the corporation authorizing the issuance of state

personal income tax revenue bonds and shall be secured by payments from

the revenue bond tax fund on a parity with such outstanding state

personal income tax revenue bonds. Except for purposes of complying with

the internal revenue code, any interest income earned on note proceeds

shall only be used to pay debt service on such notes. All of the

provisions of the dormitory authority act and the New York state urban

development corporation act relating to notes and bonds which are not

inconsistent with the provisions of this section shall apply to notes

and bonds authorized by paragraph (b) of this subdivision, including but

not limited to the power to establish adequate reserves therefor and to

issue renewal notes, refunding notes and refunding bonds, in any case

subject to the final maturity limitation for such notes set forth in

paragraph (b) of this subdivision. The issuance of any notes, renewal or

refunding notes and refunding bonds authorized by paragraph (b) of this

subdivision shall further be subject to the approval of the director of

the division of the budget.

(d) Notwithstanding any other law, rule or regulation to the contrary

but subject to the limitations contained in paragraph (b) of this

subdivision, in order to assist the dormitory authority and the

corporation in undertaking the administration and financing of such

notes, renewal or refunding notes and refunding bonds, the director of

the budget is hereby authorized to supplement any existing financing

agreement with the dormitory authority and the corporation, or to enter

into a new financing agreement with the dormitory authority and the

corporation, upon such terms and conditions as the director of the

budget and the dormitory authority and the corporation shall agree, so

as to annually provide to the dormitory authority and the corporation,

in the aggregate, a sum not to exceed the annual debt service payments

and related expenses required for any notes, renewal or refunding notes

and refunding bonds issued pursuant to this section. Any financing

agreement supplemented or entered into pursuant to this section shall

provide that the obligation of the state to pay the amount therein

provided shall not constitute a debt of the state within the meaning of

any constitutional or statutory provision and shall be deemed executory

only to the extent of monies available and that no liability shall be

incurred by the state beyond the monies available for such purposes,

subject to annual appropriation by the legislature. Any such financing

agreement or any payments made or to be made thereunder may be assigned

or pledged by the dormitory authority and the corporation as security

for the notes, renewal and refunding notes and refunding bonds

authorized by paragraph (b) of this subdivision.

(e) Notwithstanding any other provision of law to the contrary,

including specifically the provisions of subdivision 3 of section 67-b

of the state finance law, no capital work or purpose shall be required

for any issuance of personal income tax revenue or bond anticipation

notes, renewal or refunding notes or refunding bonds issued by the

dormitory authority and the corporation pursuant to this section.

(f) Notwithstanding any other law, rule, or regulation to the

contrary, the comptroller is hereby authorized and directed to deposit

to the credit of the general fund, all proceeds of personal income tax

revenue or bond anticipation notes issued by the dormitory authority and

the New York state urban development corporation pursuant to this

section.

2. Effect of inconsistent provisions. Insofar as the provisions of

this section are inconsistent with the provisions of any other law,

general, special, or local, the provisions of this section shall be

controlling.

3. Severability; construction. The provisions of this section shall be

severable, and if the application of any clause, sentence, paragraph,

subdivision, section or part of this section to any person or

circumstance shall be adjudged by any court of competent jurisdiction to

be invalid, such judgment shall not necessarily affect, impair or

invalidate the application of any such clause, sentence, paragraph,

subdivision, section, part of this section or remainder thereof, as the

case may be, to any other person or circumstance, but shall be confined

in its operation to the clause, sentence, paragraph, subdivision,

section or part thereof directly involved in the controversy in which

such judgment shall have been rendered.