NY Pub Auth L § 1682 (2021)
2021 New York Laws PBA - Public Authorities Article 8 - Miscellaneous Authorities Title 4 - Dormitory Authority 1682 - Bonds of the Authority.

§  1682.  Bonds of the authority. 1. The authority shall have power as hereby authorized from  time  to  time  to  issue  negotiable  bonds  in conformity  with  applicable  provisions of the uniform commercial code. The authority shall have power from time to time 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. In computing the total amount of bonds of the authority which may at any  time  be  outstanding the  amount of the outstanding bonds to be refunded from the proceeds of the sale of new bonds or by exchange for new bonds  shall  be  excluded. Except  as  may  otherwise be expressly provided by the authority, every issue of the bonds shall be  general  obligations  payable  out  of  any moneys or revenues of the authority, subject only to any agreements with the  holders  of  particular  bonds  pledging  any  particular moneys or revenues.   2. Such bonds shall be authorized by resolution of the  board,  be  in such  denominations  and  shall  bear such date or dates, mature at such time or times not exceeding forty years  from  their  respective  dates, bear  interest  at  such rate or rates payable at such times, 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 as such resolution or resolutions may provide. Such bonds may be sold at  public or  private  sale  for  such  price  or  prices  as  the authority shall determine.   3. Such bonds  may  be  issued  for  any  corporate  purposes  of  the authority.   4.  Any  resolution  or  resolutions authorizing any bonds may contain provisions which may be a part of the contract with the holders  of  the bonds, as to  (a)  pledging  all  or  any  part  of  the  moneys  or property of the authority to secure the payment of its bonds, including, but not limited to, the revenues of designated dormitories, the proceeds of any grant in aid of the authority received from any private  or  public  source,  any federally guaranteed security and moneys received therefrom whether such security  is  initially  acquired  by  the  authority  or an educational institution, any moneys received under the terms of any lease,  loan  or other   agreement   executed   pursuant   to   section  sixteen  hundred seventy-eight,  section  sixteen  hundred  eighty  or  sixteen   hundred eighty-a  of  this  chapter  or  any  other  revenues,  state aid, local assistance payments,  user  charges  or  surcharges  made  available  in accordance with law for such purpose;  (b)  the setting aside of reserves or sinking funds and the regulation or disposition thereof;  (c) the purpose and limitations thereon to which the proceeds of  sale of  any  issue  of bonds then or thereafter to be issued may be applied, including as authorized purposes, all costs and  expenses  necessary  or incidental to the issuance of bonds, to the acquisition of or commitment to  acquire  any  federally  guaranteed security and to the issuance and obtaining of any federally insured mortgage note;  (d) limitations on the issuance of additional bonds;  the  terms  upon which  additional  bonds  may  be  issued  and secured; the refunding of outstanding or other bonds;  (e) 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;  (f) the creation of  special  funds  into  which  any  moneys  of  the authority may be deposited;  (g)  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  sixteen  hundred  eighty-six of this chapter, and limiting or abrogating the  right  of  the  bondholders  to appoint  a trustee under such section or limiting the rights, duties and powers of such trustee;  (h) 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 for the rights and remedies of the bondholders in the event of such  default,  including  as  a  matter  of  right  the appointment  of  a  receiver,  providing,  that such rights and remedies shall not be inconsistent with the general laws of this state and  other provisions of this title;  (i)  any  other  matters, of like or different character, which in any way affect the security and protection of the bonds.   4-a. Any pledge of or other security  interest  in  moneys,  earnings, income,  revenues,  accounts,  contract  rights,  general intangibles or other personal property made or created by the authority shall be valid, binding and perfected from the time when such pledge or  other  security interest  attaches,  without  any physical delivery of the collateral or further act. The lien of any such  pledge  or  other  security  interest shall  be  valid,  binding  and  perfected as against all parties having claims of any kind in tort, contract or otherwise against the  authority irrespective  of  whether  or  not  such parties have notice thereof. No instrument by which such a pledge or other security interest is  created nor  any financing statement need be recorded or filed. This subdivision shall apply notwithstanding the provisions  of  the  uniform  commercial code. Any moneys, earnings, income, revenues, accounts, contract rights, general  intangibles  or other personal property held or received by the authority or on  behalf  of  the  authority  by  any  lender,  servicer, trustee, custodian, collection agent or institution of higher education, pursuant   to   any  resolution,  trust  agreement  or  other  agreement authorized  by,  or  entered  into  in  connection  with,  the   program established  pursuant  to section sixteen hundred seventy nine-c of this title and pledged by the  authority  pursuant  to  a  resolution,  trust agreement  or  such other agreement for the benefit of bondholders shall constitute  moneys,  earnings,  income,  revenues,  accounts,   contract rights,  general  intangibles  or other personal property pledged by the authority for all purposes of this subdivision.   4-b. Any resolution authorizing the issuance of bonds for the  purpose of  providing  facilities  for  the city university pursuant to a lease, sublease  or  other  agreement  entered  into  by  the  city  university construction  fund  and  the dormitory authority on or after July first, nineteen hundred eighty-five, refunding any such bonds, or  establishing or  funding  reserves for such bonds shall state the principal amount of bonds being issued in connection with senior college facilities and  the principal  amount  of  bonds  being  issued in connection with community college facilities. The proceeds of such bonds  to  be  applied  to  the payment  of  the  costs  of providing senior college facilities shall be held separate and apart from the proceeds of such bonds to be applied to the payment of the costs of providing community college facilities.  The proceeds  to  be applied to the payment of the costs of providing senior college facilities shall not be applied to the payment of the  costs  of providing community college facilities and the proceeds to be applied to the payment of the costs of providing community college facilities shall  not  be  applied to the payment of the costs of providing senior college facilities.   5.  Neither  the  members  of  the board nor any person executing such bonds shall be liable personally on the  bonds  or  be  subject  to  any personal liability or accountability by reason of the issuance thereof.   6.  The authority shall have power out of any funds available therefor to purchase any bonds  issued  by  it  at  a  price  not  exceeding  the redemption price thereof. All bonds so purchased shall be cancelled.   7.  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 dormitories or  of  any  dormitory,  and  the  custody, safeguarding  and  application  of  all moneys, and may provide that any dormitory shall be constructed and paid for under  the  supervision  and approval  of  consulting  engineers.  The  authority may provide by such trust indenture for the payment of the proceeds of  the  bonds  and  the revenues  of  any  dormitory  or  moneys received under the terms of any lease or loan executed pursuant to section  sixteen  hundred  eighty  of this chapter, as the case may be, to the trustee of such trust indenture or  other  depository,  and for the method of disbursement thereof, with such safeguards and restrictions as it  may  determine.  Notwithstanding the provisions of section sixteen hundred eighty-six of this chapter, if the bonds shall be secured by trust indenture the bondholders shall have no authority to appoint a separate trustee to represent them.