N.Y. Workers' Compensation Law § 87-g: Advances to the urban development corporation

§ 87-g. Advances to the urban development corporation. 1. The state

insurance fund, and all state officers with responsibility for the

custody or investment of such fund or of its assets, are authorized and

directed to take any and all actions necessary or appropriate to cause

such fund to advance thirty million dollars to the urban development

corporation as soon as possible, but in no event later than March

thirty-first, nineteen hundred ninety-one, in return for repayment of

the aforesaid advance to the state insurance fund over a maximum of

thirty years with interest from the date of advance at the rate of ten

per centum per annum calculated quarterly using actual days and payable

quarterly; said payment with accrued interest to be derived solely and

exclusively from moneys pledged to be repaid by the urban development

corporation to the state of New York out of payments on loans or leases

which the urban development corporation has made or will make pursuant

to appropriations and reappropriations through fiscal year nineteen

hundred eighty-nine--ninety and any subsequent reappropriations thereof

under the following legislative initiatives and any amendments thereof,

excluding, however, any moneys appropriated for the minority and women

revolving loan fund and the Buffalo minority and women enterprise

center:

Economic Development Purpose:

Chapter 776, section 3, of the laws of 1978, as amended by chapter 54,

section 3, of the laws of 1988 and reappropriated by chapter 54, section

3, of the laws of 1989 ($30,000,000); chapter 54, section 1, of the laws

of 1978, as amended by chapter 54, section 3, of the laws of 1988 and

reappropriated by chapter 54, section 3, of the laws of 1989

($24,000,000).

High Risk Targeted Investment Purpose:

Chapter 54, section 1, of the laws of 1989, as amended by chapter 361,

section 1, of the laws of 1989 ($4,150,000); chapter 54, section 1, of

the laws of 1988, as amended by chapter 391, section 2 of the laws of

1989 ($7,500,000); chapter 54, section 1, of the laws of 1987, as

amended by chapter 391, section 2, of the laws of 1989 ($7,000,000);

chapter 54, section 1, of the laws of 1986, as amended by chapter 391,

section 2, of the laws of 1989 ($7,000,000); chapter 54, section 1, of

the laws of 1985, as amended by chapter 54, section 3, of the laws of

1988 and reappropriated by chapter 54, section 3, of the laws of 1989

($9,500,000); chapter 54, section 1, of the laws of 1984, as amended by

chapter 54, section 3, of the laws of 1988 and reappropriated by chapter

54, section 3, of the laws of 1989 ($9,500,000); chapter 54, section 1,

of the laws of 1983, as last reappropriated pursuant to chapter 54,

section 3, of the laws of 1984 ($9,500,000); chapter 50, section 1, of

the laws of 1982 ($9,500,000); chapter 50, section 1, of the laws of

1981, as last reappropriated by chapter 54, section 3, of the laws of

1984 ($7,000,000).

Industrial Building Recycling Program:

Chapter 50, section 1, of the laws of 1981, as amended and last

reappropriated pursuant to chapter 54, section 3, of the laws of 1988

($1,500,000).

Industrial Innovation Program:

Chapter 54, section 1, of the laws of 1984, as amended and

reappropriated by chapter 54, section 3, of the laws of 1989

($10,000,000).

Small and Medium-sized Business Assistance Program:

Chapter 54, section 1, of the laws of 1989, as amended by chapter 391,

section 1, of the laws of 1989 ($2,000,000); chapter 54, section 1, of

the laws of 1988 ($2,000,000); chapter 54, section 1, of the laws of

1987, as amended by chapter 391, section 2, of the laws of 1989

($4,200,000); chapter 54, section 1, of the laws of 1986, as amended by

chapter 54, section 3, of the laws of 1988 ($8,000,000).

Strategic Resurgence Fund:

Chapter 54, section 1, of the laws of 1989, as amended by chapter 391,

section 1, of the laws of 1989 ($6,850,000); chapter 54, section 1, of

the laws of 1988, as amended by chapter 54, section 3, of the laws of

1989 ($10,000,000); chapter 54, section 1, of the laws of 1987, as

amended by chapter 839, section 29, of the laws of 1987, and

reappropriated by chapter 54, section 3, of the laws of 1989

($10,500,000).

Regional Economic Development Program:

Chapter 54, section 1, of the laws of 1985, as amended by chapter 54,

section 3, of the laws of 1987 ($5,000,000).

Notwithstanding any other provision of law, to the extent of the

moneys to be so repaid with accrued interest to the state insurance

fund, any obligations of the urban development corporation to the state

of New York under the appropriations and reappropriations enumerated

above are replaced by and become obligations of the urban development

corporation to the state insurance fund until such time as the aforesaid

advance, with interest, is fully repaid; and all payments received by

the urban development corporation from the loans and leases made

pursuant to appropriations and reappropriations enumerated above, and

from such other loans and leases then held by the urban development

corporation and in which the state is not a leasee or subleasee as the

director of the budget may approve, shall be remitted to the state

insurance fund, and to no other person or entity, including the state of

New York, until there is repayment in full of the advance and all

accrued interest to the state insurance fund, such remittals to be

credited first against any unpaid accrued interest and then to the

principal of the advance.

2. It is hereby found and declared that any and all such advances to

the urban development corporation are reasonable, prudent, proper and

legal investments for the state insurance fund and for all state

officers with responsibility for the custody or investment of such fund

or of its assets.

3. In order to obtain the funds necessary to make the advances

required by subdivision one of this section, the state insurance fund,

and all state officers with responsibility for the custody or investment

of such fund or of its assets, are authorized and directed to take any

and all actions necessary or appropriate to cause such fund to sell

securities owned by the fund or to borrow an amount not exceeding the

obligation incurred by such fund pursuant to this section and to pledge

as collateral therefor such assets, on such terms and conditions as are

found to be fair and reasonable by the state superintendent of financial

services.

4. Notwithstanding any other provision of law, no state officer with

responsibility for the custody or investment of the state insurance fund

or of its assets, or for the approval of the sale or investment of such

assets, nor any investment advisor, attorney, accountant or actuary who

shall have been employed by or shall have advised such officer, shall

incur or suffer any liability whatsoever to any person by reason of

actions taken pursuant to the authorization and direction of subdivision

one or three of this section. Any action which could have been brought

against any aforementioned state officer, investment advisor, attorney,

accountant or actuary, except for the provisions of this subdivision,

may be brought against the state insurance fund.

5. a. Notwithstanding any other provision of law, including the

provisions of section seventeen of the public officers law, the state

insurance fund and the state, jointly and severally, shall save harmless

and indemnify each and every state officer with responsibility for the

custody or investment of such fund or of its assets or for the approval

of the sale or investment of such assets, and any investment advisor,

attorney, accountant or actuary who shall have been employed by or who

shall have advised such officer, and the state shall save harmless and

indemnify the state insurance fund, from any and all financial loss and

expense arising out of or in connection with any claim, demand, suit,

action, proceeding or judgment for alleged negligence, gross negligence,

waste or breach of fiduciary duty, or incapacity of any kind by reason

of any transaction pursuant to the authorization and direction of

subdivision one or three of this section, provided that such officer,

investment advisor, attorney, accountant or actuary shall, within

fifteen days after the date on which he is personally served with, or

receives actual notice of, any summons, complaint, process, notice,

demand, claim or pleading, give notice thereof to such fund or the

attorney general. Upon such notice the state insurance fund and the

attorney general shall, if so requested, assume control of the

representation of such officer or investment advisor, attorney,

accountant or actuary, in connection with such claim, demand, suit,

action or proceeding. Each person so represented shall cooperate fully

with the fund and the attorney general or any other person designated to

assume such defense in respect of such representation or defense.

b. Notwithstanding any provision of law to the contrary, the state

shall also save harmless and indemnify the state insurance fund for any

and all financial loss and expense arising out of or in connection with

any claim, demand, suit, action, proceeding or judgment rendered

thereupon against such fund pursuant to subdivision four hereof or by

reason of any transaction pursuant to the authorization and direction of

subdivision one or three of this section, provided that such fund shall,

within fifteen days after the date on which it is served with, or

receives actual notice of, any summons, complaint, process, notice,

demand, claim or pleading, give notice thereof to the attorney general.

Upon such notice the attorney general shall assume control of the

representation of such fund in connection with such claim, demand, suit,

action or proceeding. The fund shall cooperate fully with the attorney

general or any other person designated to assume such defense in respect

of such representation or defense.