N.Y. WKC Law § 87-G — New York Code / Act WKC / Article 6 / Section 87-G
Advances to the urban development corporation
Status: in_force

§ 87-g. Advances to the urban development corporation. 1. The state\ninsurance fund, and all state officers with responsibility for the\ncustody or investment of such fund or of its assets, are authorized and\ndirected to take any and all actions necessary or appropriate to cause\nsuch fund to advance thirty million dollars to the urban development\ncorporation as soon as possible, but in no event later than March\nthirty-first, nineteen hundred ninety-one, in return for repayment of\nthe aforesaid advance to the state insurance fund over a maximum of\nthirty years with interest from the date of advance at the rate of ten\nper centum per annum calculated quarterly using actual days and payable\nquarterly; said payment with accrued interest to be derived solely and\nexclusively from moneys pledged to be repaid by the urban development\ncorporation to the state of New York out of payments on loans or leases\nwhich the urban development corporation has made or will make pursuant\nto appropriations and reappropriations through fiscal year nineteen\nhundred eighty-nine--ninety and any subsequent reappropriations thereof\nunder the following legislative initiatives and any amendments thereof,\nexcluding, however, any moneys appropriated for the minority and women\nrevolving loan fund and the Buffalo minority and women enterprise\ncenter:\nEconomic Development Purpose:\n  Chapter 776, section 3, of the laws of 1978, as amended by chapter 54,\nsection 3, of the laws of 1988 and reappropriated by chapter 54, section\n3, of the laws of 1989 ($30,000,000); chapter 54, section 1, of the laws\nof 1978, as amended by chapter 54, section 3, of the laws of 1988 and\nreappropriated by chapter 54, section 3, of the laws of 1989\n($24,000,000).\nHigh Risk Targeted Investment Purpose:\n  Chapter 54, section 1, of the laws of 1989, as amended by chapter 361,\nsection 1, of the laws of 1989 ($4,150,000); chapter 54, section 1, of\nthe laws of 1988, as amended by chapter 391, section 2 of the laws of\n1989 ($7,500,000); chapter 54, section 1, of the laws of 1987, as\namended by chapter 391, section 2, of the laws of 1989 ($7,000,000);\nchapter 54, section 1, of the laws of 1986, as amended by chapter 391,\nsection 2, of the laws of 1989 ($7,000,000); chapter 54, section 1, of\nthe laws of 1985, as amended by chapter 54, section 3, of the laws of\n1988 and reappropriated by chapter 54, section 3, of the laws of 1989\n($9,500,000); chapter 54, section 1, of the laws of 1984, as amended by\nchapter 54, section 3, of the laws of 1988 and reappropriated by chapter\n54, section 3, of the laws of 1989 ($9,500,000); chapter 54, section 1,\nof the laws of 1983, as last reappropriated pursuant to chapter 54,\nsection 3, of the laws of 1984 ($9,500,000); chapter 50, section 1, of\nthe laws of 1982 ($9,500,000); chapter 50, section 1, of the laws of\n1981, as last reappropriated by chapter 54, section 3, of the laws of\n1984 ($7,000,000).\nIndustrial Building Recycling Program:\n  Chapter 50, section 1, of the laws of 1981, as amended and last\nreappropriated pursuant to chapter 54, section 3, of the laws of 1988\n($1,500,000).\nIndustrial Innovation Program:\n  Chapter 54, section 1, of the laws of 1984, as amended and\nreappropriated by chapter 54, section 3, of the laws of 1989\n($10,000,000).\nSmall and Medium-sized Business Assistance Program:\n  Chapter 54, section 1, of the laws of 1989, as amended by chapter 391,\nsection 1, of the laws of 1989 ($2,000,000); chapter 54, section 1, of\nthe laws of 1988 ($2,000,000); chapter 54, section 1, of the laws of\n1987, as amended by chapter 391, section 2, of the laws of 1989\n($4,200,000); chapter 54, section 1, of the laws of 1986, as amended by\nchapter 54, section 3, of the laws of 1988 ($8,000,000).\nStrategic Resurgence Fund:\n  Chapter 54, section 1, of the laws of 1989, as amended by chapter 391,\nsection 1, of the laws of 1989 ($6,850,000); chapter 54, section 1, of\nthe laws of 1988, as amended by chapter 54, section 3, of the laws of\n1989 ($10,000,000); chapter 54, section 1, of the laws of 1987, as\namended by chapter 839, section 29, of the laws of 1987, and\nreappropriated by chapter 54, section 3, of the laws of 1989\n($10,500,000).\nRegional Economic Development Program:\n  Chapter 54, section 1, of the laws of 1985, as amended by chapter 54,\nsection 3, of the laws of 1987 ($5,000,000).\n  Notwithstanding any other provision of law, to the extent of the\nmoneys to be so repaid with accrued interest to the state insurance\nfund, any obligations of the urban development corporation to the state\nof New York under the appropriations and reappropriations enumerated\nabove are replaced by and become obligations of the urban development\ncorporation to the state insurance fund until such time as the aforesaid\nadvance, with interest, is fully repaid; and all payments received by\nthe urban development corporation from the loans and leases made\npursuant to appropriations and reappropriations enumerated above, and\nfrom such other loans and leases then held by the urban development\ncorporation and in which the state is not a leasee or subleasee as the\ndirector of the budget may approve, shall be remitted to the state\ninsurance fund, and to no other person or entity, including the state of\nNew York, until there is repayment in full of the advance and all\naccrued interest to the state insurance fund, such remittals to be\ncredited first against any unpaid accrued interest and then to the\nprincipal of the advance.\n  2. It is hereby found and declared that any and all such advances to\nthe urban development corporation are reasonable, prudent, proper and\nlegal investments for the state insurance fund and for all state\nofficers with responsibility for the custody or investment of such fund\nor of its assets.\n  3. In order to obtain the funds necessary to make the advances\nrequired by subdivision one of this section, the state insurance fund,\nand all state officers with responsibility for the custody or investment\nof such fund or of its assets, are authorized and directed to take any\nand all actions necessary or appropriate to cause such fund to sell\nsecurities owned by the fund or to borrow an amount not exceeding the\nobligation incurred by such fund pursuant to this section and to pledge\nas collateral therefor such assets, on such terms and conditions as are\nfound to be fair and reasonable by the state superintendent of financial\nservices.\n  4. Notwithstanding any other provision of law, no state officer with\nresponsibility for the custody or investment of the state insurance fund\nor of its assets, or for the approval of the sale or investment of such\nassets, nor any investment advisor, attorney, accountant or actuary who\nshall have been employed by or shall have advised such officer, shall\nincur or suffer any liability whatsoever to any person by reason of\nactions taken pursuant to the authorization and direction of subdivision\none or three of this section. Any action which could have been brought\nagainst any aforementioned state officer, investment advisor, attorney,\naccountant or actuary, except for the provisions of this subdivision,\nmay be brought against the state insurance fund.\n  5. a. Notwithstanding any other provision of law, including the\nprovisions of section seventeen of the public officers law, the state\ninsurance fund and the state, jointly and severally, shall save harmless\nand indemnify each and every state officer with responsibility for the\ncustody or investment of such fund or of its assets or for the approval\nof the sale or investment of such assets, and any investment advisor,\nattorney, accountant or actuary who shall have been employed by or who\nshall have advised such officer, and the state shall save harmless and\nindemnify the state insurance fund, from any and all financial loss and\nexpense arising out of or in connection with any claim, demand, suit,\naction, proceeding or judgment for alleged negligence, gross negligence,\nwaste or breach of fiduciary duty, or incapacity of any kind by reason\nof any transaction pursuant to the authorization and direction of\nsubdivision one or three of this section, provided that such officer,\ninvestment advisor, attorney, accountant or actuary shall, within\nfifteen days after the date on which he is personally served with, or\nreceives actual notice of, any summons, complaint, process, notice,\ndemand, claim or pleading, give notice thereof to such fund or the\nattorney general. Upon such notice the state insurance fund and the\nattorney general shall, if so requested, assume control of the\nrepresentation of such officer or investment advisor, attorney,\naccountant or actuary, in connection with such claim, demand, suit,\naction or proceeding. Each person so represented shall cooperate fully\nwith the fund and the attorney general or any other person designated to\nassume such defense in respect of such representation or defense.\n  b. Notwithstanding any provision of law to the contrary, the state\nshall also save harmless and indemnify the state insurance fund for any\nand all financial loss and expense arising out of or in connection with\nany claim, demand, suit, action, proceeding or judgment rendered\nthereupon against such fund pursuant to subdivision four hereof or by\nreason of any transaction pursuant to the authorization and direction of\nsubdivision one or three of this section, provided that such fund shall,\nwithin fifteen days after the date on which it is served with, or\nreceives actual notice of, any summons, complaint, process, notice,\ndemand, claim or pleading, give notice thereof to the attorney general.\nUpon such notice the attorney general shall assume control of the\nrepresentation of such fund in connection with such claim, demand, suit,\naction or proceeding. The fund shall cooperate fully with the attorney\ngeneral or any other person designated to assume such defense in respect\nof such representation or defense.\n