NY Pub Auth L § 1976 (2021)
2021 New York Laws PBA - Public Authorities Article 8 - Miscellaneous Authorities Title 12 1976 - Bonds of the Authority.

§  1976.  Bonds  of the authority. * 1. The authority shall have power and is hereby authorized from time to time to issue its negotiable bonds in conformity with applicable provisions of the uniform commercial  code for  any  corporate purpose, including incidental expenses in connection therewith. The authority shall have power from time to time and whenever it deems refunding expedient to refund any bonds by the issuance of  new bonds,  whether  the  bonds to be refunded have or have not matured, and may issue bonds partly to refund bonds then outstanding and  partly  for any  other  corporate  purpose.  Except  as  may  be otherwise expressly provided by the authority, every issue of bonds by the  authority  shall be  general obligations payable out of any moneys, earnings, or revenues of the authority, subject only to any agreements  with  the  holders  of particular bonds, pledging any particular moneys, earnings or revenues.   * NB There are two sub one's   * 1. The authority shall have power and is hereby authorized from time to  time  to  issue  its  negotiable  bonds  for  any corporate purpose, including incidental expenses in  connection  therewith.  The  authority shall  have  power  from  time  to  time and whenever it deems refunding expedient, to refund any bonds by the issuance of new bonds, whether the bonds to be refunded have or have  not  matured,  and  may  issue  bonds partly  to  refund  bonds  then  outstanding  and  partly  for any other corporate purpose. Except as may be otherwise expressly provided by  the authority,  every  issue  of  bonds  by  the  authority shall be general obligations payable out of any moneys,  earnings,  or  revenues  of  the authority, subject only to any agreements with the holders of particular bonds,  pledging any particular moneys, earnings or revenues. Whether or not the bonds are of  such  form  and  character  as  to  be  negotiable instruments  under  article  eight  of  the uniform commercial code, the bonds shall be and are hereby made  negotiable  instruments  within  the meaning  of  and  for  all  the purposes of article eight of the uniform commercial code, subject  only  to  the  provisions  of  the  bonds  for registration.   * NB There are two sub one's   2.  The  bonds  shall be authorized by resolution of the authority and shall bear such date or dates,  mature  at  such  time  or  times,  bear interest  at  such  rate  or rates, be in such denominations, be in such form, either coupon or registered, carry such  registration  privileges, be executed in such manner, be payable in such medium of payment at such place  or  places,  and  be subject to such terms of redemption prior to maturity as such resolution or resolutions may provide.   3. All bonds of the authority shall be sold at public or private  sale as may be determined by the authority.   4. Any resolution or resolutions authorizing any bonds or any issue of bonds may contain provisions, which shall be a part of the contract with the holders of the bonds thereby authorized, as to  (a)  pledging  all  or  any  part  of the moneys, earnings, income and revenues derived from the project to secure the payment of the bonds  or of  any  issue of the bonds, subject to such agreements with bondholders as may then exist;  (b)  the  rates,  rentals,  fees  and  other  charges  to  be   fixed, established  and  collected  and  the  amounts to be raised in each year thereby, and the use and disposition of the earnings and other revenues;  (c) the setting aside of reserves and the creation  of  sinking  funds and the regulation and disposition thereof;  (d) limitations on the right of the authority to restrict and regulate the use of the project;  (e)  limitations  on the purposes to which and the manner in which the proceeds of sale of any bonds or any issue of bonds may be applied;  (f) limitations on the issuance of additional bonds,  the  terms  upon which  additional  bonds may be issued and secured, and the refunding of outstanding bonds or other bonds;  (g)  the  procedure,  if  any, by which the terms of any contract with bondholders may be amended or abrogated, the amount of bonds the holders of which must consent thereto, and the manner in which such consent  may be given;  (h)  the creation of special funds into which any earnings or revenues of the authority may be deposited;  (i) the terms  and  provisions  of  any  mortgage  or  trust  deed  or indenture securing the bonds or under which the bonds may be issued;  (j)  vesting  in a trustee or trustees such properties, rights, powers and duties in trust as the authority may determine which may include any or all of the rights, powers and duties of the trustee appointed by  the bondholders  pursuant  to  section nineteen hundred eighty-three of this title, and limiting or  abrogating  the  right  of  the  bondholders  to appoint  a trustee under such section or limiting the rights, powers and duties of such trustee;  (k) defining the acts or omissions to act  which  shall  constitute  a default   in  the  obligations  and  duties  of  the  authority  to  the bondholders and providing the rights and remedies of the bondholders  in the  event  of  such  default,  including  as  a  matter  of  right  the appointment of a receiver,  provided,  however,  that  such  rights  and remedies  shall  not be inconsistent with the general laws of this state and other provisions of this title;  (l) limitations on the power of the authority  to  sell  or  otherwise dispose of its properties;  (m) limitations on the amount of moneys derived from the project to be expended  for  operating,  administrative  and  other  expenses  of  the authority;  (n) the protection and enforcement of the rights and remedies  of  the bondholders;  (o)  the obligations of the authority in relation to the construction, maintenance, operation, repairs and insurance of  the  project  and  the safeguarding and application of all moneys;  (p)  the  payment of the proceeds of bonds and revenues of the project to a trustee or other depositary, and for  the  method  of  disbursement thereof  and  such  safeguards  and  restrictions  as  the authority may determine;  (q) any other matters, of like or different character which may in any way affect the security or protection of the bonds.   5. It is the intention of the legislature that any pledge of earnings, revenues or other moneys made  by  the  authority  shall  be  valid  and binding  from  the  time  when  the  pledge  is made; that the earnings, revenues or other moneys so  pledged  and  thereafter  received  by  the authority  shall  immediately  be  subject  to  the  lien of such pledge without any physical delivery thereof or further act, and that the  lien of  any  such  pledge  shall be valid and binding as against all parties having claims of any kind in tort, contract  or  otherwise  against  the authority  irrespective  of  whether  such  parties have notice thereof. Neither the resolution nor any other instrument by  which  a  pledge  is created need be recorded.   6.  Neither  the members of the authority nor any person executing the bonds or other obligations shall be liable personally on  the  bonds  or other   obligations   or   be  subject  to  any  personal  liability  or accountability by reason of the issuance thereof.    7. The authority shall have power out of any funds available  therefor to  purchase  (as distinguished from the power of redemption hereinabove provided) any bonds, and all bonds so purchased shall be cancelled.   8.  In  the discretion of the authority, the bonds may be secured by a trust indenture by and between the authority and  a  corporate  trustee, which  may  be  any  trust  company or bank having the powers of a trust company in the state of New York. Such trust indenture may contain  such provisions  for  protecting and enforcing the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law, including covenants  setting  forth  the  duties  of  the  authority  in relation   to  the  construction,  maintenance,  operation,  repair  and insurance of the project, and the custody, safeguarding and  application of all moneys. The authority may provide by such trust indenture for the payment  of the proceeds of the bonds and the revenues of the project to the trustee under such trust indenture or other depository, and for  the method of disbursement thereof, with such safeguards and restrictions as it  may  determine.  All  expenses  incurred  in carrying out such trust indenture may be treated as a part of the cost of maintenance, operation and repairs of the project. If the bonds shall be  secured  by  a  trust indenture  the bondholders shall have no authority to appoint a separate trustee to represent them.