NY Loc Fin L § 26.10 (2021)
2021 New York Laws LFN - Local Finance Article 2 - Local Indebtedness Title 2 - Local Obligations: Types Thereof 26.10 - Temporary Alternative Methods of Financing Storm Relief Expenses.

§  26.10  Temporary  alternative  methods  of  financing  storm relief   expenses.  a.  Definitions.  As  used  in  this   section,   the   terms   "extraordinary   expenses  of  storm  relief"  and  "such  extraordinary   expenses"  shall  mean  expenses  incurred  by  a  municipality,  school   district  or  district  corporation before the first day of January, two   thousand fourteen, for storm  relief  projects  necessitated  by  damage   caused  by the storm commonly known as Sandy on or shortly after October   twenty-ninth, two thousand twelve.  The  term  "storm  relief  projects"   shall  mean  the  repair  or  reconstruction  of  public  thoroughfares,   buildings, places, and projects of such municipality, school district or   district corporation, in excess of the normal expenses which would  have   been incurred for such purposes during such periods as determined by the   finance   board  of  such  municipality,  school  district  or  district   corporation. In making any such determination, the finance  board  shall   not  include  as  a part of such extraordinary expenses the salaries and   wages of regular employees, except for overtime work and work on Sundays   and holidays. Such  extraordinary  expenses  may  include  any  interest   payments  on  revenue  anticipation  notes issued in anticipation of the   receipt of moneys from the state or federal  government  on  account  of   such storm pursuant to any state or federal disaster relief act.b.  The  financing  of storm relief expenses by the issuance of serial   bonds.1. The finance board of a municipality, school  district  or  district   corporation  may  authorize  the  issuance  of serial bonds on or before   December thirty-first two thousand thirteen to provide for  the  payment   of  all  or  part  of  the  extraordinary  expenses  of storm relief, to   reimburse any fund or account of the issuer from  which  moneys  to  pay   such  extraordinary expenses have been advanced or to replenish any fund   or account of the issuer from which  such  extraordinary  expenses  have   been  paid,  or  any  combination of such purposes, notwithstanding that   there may have been lack of statutory authority for any such advance  or   payment  from such fund or account. The period of probable usefulness of   such objects or purposes shall be five  years.  Any  such  serial  bonds   shall  have  a maximum maturity of over two years, but the date of final   maturity of any such issue shall not extend beyond the thirty-first  day   of December, two thousand eighteen.2.  No  provision of subdivision one of this paragraph shall be deemed   to prohibit the issuance of serial bonds for the  purpose  of  financing   any portion of such extraordinary expenses described in such subdivision   which  heretofore  have  been  or  hereafter  shall  be  financed by the   issuance of budget notes or for the purpose of redeeming any such notes.3. Except as provided in this section, such serial bonds and any  bond   anticipation  notes  in  anticipation thereof, shall be authorized, sold   and issued in the manner provided by this chapter. Any bond anticipation   notes issued in anticipation of such bonds shall,  for  the  purpose  of   determining  the  power  of  the  issuer to contract indebtedness and to   raise taxes upon real estate, be deemed to be serial bonds of  an  issue   having  a  maximum  maturity  of  more  than  two  years as described in   paragraph A of section five and in section ten of article eight  of  the   state  constitution  and  for  the  purposes of (1) subdivision one-a of   section 136.00 of this chapter, (2) section two hundred thirty-three  of   the county law, (3) section 5-514 of the village law, (4) any general or   special  law  applicable to counties, cities, villages, school districts   or district corporations which relates to the raising of taxes  on  real   estate  to  provide for the payment of the interest on and the principal   of indebtedness, and (5) all laws relating  to  the  financial  reports,   debt  statements  and  real  estate  tax  margin  computations  of  such   municipalities, school districts or  district  corporations.  The  chief    fiscal   officer  of  any  municipality,  school  district  or  district   corporation issuing or  renewing  such  bond  anticipation  notes  shall   immediately  after  the  issuance  or  renewal  thereof notify the state   comptroller  of  such  issuance  or  renewal.  The state comptroller may   prescribe the form of any such notice and shall furnish  such  forms  to   municipalities,  school  districts  and  district  corporations  for the   purpose of making any such report.4. Capital notes may not be issued to finance any  object  or  purpose   for  which  serial  bonds  are  authorized to be issued pursuant to this   paragraph. The provisions of this paragraph shall not affect  the  power   of  any  municipality, school district or district corporation described   in paragraph a of this section to  finance  all  or  part  of  any  such   extraordinary  expenses  pursuant  to the provisions of section 29.00 of   this chapter and paragraph c of this section.5. Section 104.10 of this chapter shall not be applicable in  relation   to,  or  as the result of, the adoption of a bond resolution authorizing   the issuance of serial bonds pursuant to this paragraph. The  provisions   of  section 10.00, paragraph a of section 21.00 and any other section of   this chapter, or the provisions of any general, special  or  local  law,   which  would  restrict,  limit  or  prohibit  the issuance of such bonds   (except those enacted to conform with the state  constitution)  are,  to   the  extent  that  this  section  is  utilized by a municipality, school   district or district corporation, suspended and made ineffective insofar   as necessary to effectuate the purposes of this section.c. The financing of storm relief expenses by the  issuance  of  budget   notes.  1. If any municipality or school district described in paragraph   a of this section has heretofore issued budget  notes  pursuant  to  the   provisions  of  subdivision two or three of paragraph a of section 29.00   of this chapter to provide for the payment of extraordinary expenses  of   storm  relief, the finance board, by resolution, may determine that such   notes shall be deemed to have been issued pursuant to the provisions  of   subdivision  one  of  paragraph a of such section and that such notes so   issued shall not thereafter be considered in determining  the  power  of   such  municipality  or school district to issue budget notes pursuant to   such subdivision two or three.2. If  any  municipality,  school  district  or  district  corporation   described  in  paragraph  a of this section has heretofore issued budget   notes pursuant to the provisions of subdivision one,  two  or  three  of   paragraph  a,  or  paragraph  b,  of  section  29.00 of this chapter, to   provide for the payment of extraordinary expenses of storm  relief,  the   finance  board  may determine that the provisions of paragraph j of such   section shall not be applicable in relation  to  the  maturity  of  such   notes  and (a) that such notes shall mature in equal annual installments   in two different fiscal years, but the  final  maturity  of  such  notes   shall  not extend beyond the close of the second fiscal year immediately   succeeding the year of their issue, or  (b)  if  the  fiscal  procedures   applicable to such municipality, school district or district corporation   will  enable  the necessary budgetary appropriations for debt service to   be made and such appropriations to become  available,  that  such  notes   shall  mature  in  three  equal  annual  installments in three different   fiscal years, but the final maturity of any such notes shall not  exceed   three  years in accordance with the provisions of paragraph a of section   11.00 of this chapter which prescribes a period of  probable  usefulness   of  three  years  for  objects  or  purposes financed by the issuance of   budget notes. Such budget notes  which  mature  in  three  equal  annual   installments,  as  aforesaid,  shall, for the purpose of determining the   power of the issuer to contract indebtedness and to raise taxes on  real   estate,  be  deemed  to  be  serial  bonds  of an issue having a maximum    maturity of more than two years as described in paragraph A  of  section   five  and  in section ten of article eight of the state constitution and   for the purposes of (1)  paragraph  one-a  of  section  136.00  of  this   chapter,  (2)  section  two  hundred thirty-three of the county law, (3)   section 5-514 of the  village  law,  (4)  any  general  or  special  law   applicable  to  counties, cities, villages, school districts or district   corporations which relates to the raising of taxes  on  real  estate  to   provide  for  the  payment  of  the  interest  on  and  the principal of   indebtedness, and (5) all  laws  relating  to  financial  reports,  debt   statements   and   real   estate   tax   margin   computations  of  such   municipalities,  school  districts  or  district  corporations.  If  the   finance  board  determines  that such budget notes shall mature in three   equal annual installments, as aforesaid, the  chief  fiscal  officer  of   such  municipality,  school district or district corporation immediately   after the adoption of the resolution  making  such  determination  shall   file  a  copy  of  the  resolution  with the state comptroller and shall   immediately after the issuance or renewal of such notes notify the state   comptroller of such issuance  or  renewal.  The  state  comptroller  may   prescribe  the  form  of any such notice and shall furnish such forms to   municipalities,  school  districts  or  district  corporations  for  the   purpose of making any such report.3.  Notwithstanding  any  of  the  provisions of section 29.00 of this   chapter, the finance board  of  a  municipality  or  a  school  district   described  in  paragraph a of this section may authorize the issuance of   budget notes pursuant to subdivision one of paragraph a, or, in the case   of a municipality, paragraph b of such section 29.00 of this chapter  to   provide  for the payment of all or part of the extraordinary expenses of   storm relief, to reimburse any fund or account of  the  municipality  or   school  district  from  which  moneys to pay such extraordinary expenses   have  been  advanced  or  to  replenish  any  fund  or  account  of  the   municipality  or  school district from which such extraordinary expenses   have been paid, or any combination  of  such  purposes,  notwithstanding   that  there  may  have  been  lack  of  statutory authority for any such   advance or payment from such fund or  account.  The  finance  board  may   determine that such notes may mature in the manner provided in paragraph   j  of  section  29.00  of  this  chapter,  or,  if the fiscal procedures   applicable to such municipality  or  school  district  will  enable  the   necessary  budgetary appropriations for debt service to be made and such   appropriations to become available, that such notes shall mature in  two   equal  annual  installments in two different fiscal years, but the final   maturity of such notes shall not extend beyond the close of  the  second   fiscal year immediately succeeding the year of their issue.4.  The provisions of subdivision four of paragraph c of section 40.00   of this chapter and of  any  other  section  of  this  chapter  and  the   provisions  of  any  general, special or local law which would restrict,   limit or prohibit the renewal  of  budget  notes  as  provided  in  this   paragraph (except those enacted to conform with the state constitution),   are,  to  the  extent  that  this section is utilized by a municipality,   school district or district corporation, suspended and made  ineffective   insofar  as  necessary  to  effectuate  the objects and purposes of this   section.d. Separability. If any clause, sentence, subdivision,  paragraph,  or   part  of this section be adjudged by any court of competent jurisdiction   to be invalid, such judgment shall not affect, impair or invalidate  the   remainder thereof, but shall be confined in its operation to the clause,   sentence,  subdivision,  paragraph, or part thereof directly involved in   the controversy in which such judgment shall have been rendered.