NY Gen Mun L § 593-A (2021)
2021 New York Laws GMU - General Municipal Article 15-B - Municipal Urban Renewal Agencies, Created Title 24 - Niagara Falls Urban Renewal Agency 593-A - Pledge of Tax Revenues for Payment of Certain Bonds of the Niagara Falls Urban Renewal Agency.

§  593-a.  Pledge  of tax revenues for payment of certain bonds of the Niagara Falls urban renewal agency. (a) As security for the  payment  of any  issue  of  bonds  to  be  issued by the Niagara Falls urban renewal agency to finance land acquisition and clearance, site improvements  and parking   construction   in   connection  with  the  East  Falls  Street Redevelopment  Project  and/or  bond  anticipation   notes   issued   in anticipation  thereof,  the city council of the city of Niagara Falls is hereby authorized to enact a  local  law  pledging  the  total  proceeds consisting  of  net  collections of all sales and compensating use taxes received by the city of Niagara Falls from taxes authorized pursuant  to section  twelve  hundred  ten of the tax law and proceeds payable to the city pursuant to section twelve hundred sixty-two of the tax law, or any successor statutes thereto and directing the state  comptroller  to  pay over  such  proceeds to the Niagara Falls sales tax fund pursuant to the provisions of section ninety-two-t of the state finance law, or  to  the trustee for the holders of such bonds pursuant to the certificate issued by such trustee pursuant to subdivision (d) of this section. The lien of such  pledge  shall  be  valid  and binding upon the city and agency and their respective successors and assigns as against  all  parties  having claims  of  any  kind in tort, contract or otherwise against the city or the agency irrespective of whether such parties have notice thereof. The lien of such pledge shall inure to the benefit of  the  agency  and  its successors  and  assigns including any owners of such bonds and notes to whom such proceeds are pledged. The agency shall not issue any bonds  or notes  in  connection  with  such  project  in  an  amount  in excess of thirty-five million dollars, plus a principal amount of bonds or notes:  (i) to fund any debt service reserve fund,  (ii) to provide capitalized interest,  (iii) to provide for original issue discount, and  (iv) to provide  for  the  payment  of  fees  and  other  charges  and expenses,  including  underwriters' discount, related to the issuance of such bonds or notes, or related to the provision of any applicable  bond or note facilities, excluding refunding bonds.   Provided,  however, that upon any refunding or repayment of such bonds or notes the total aggregate principal amount of outstanding  bonds  and notes may be greater than thirty-five million dollars ($35,000,000) only if  the  present value of the aggregate debt service of the refunding or repayment bonds to be issued shall not exceed the present value  of  the aggregate  debt  service  of  the bonds so to be refunded or repaid. For purposes hereof, the present values of the aggregate debt service of the refunding or repayment bonds and of the aggregate debt  service  of  the bonds  so  refunded  or  repaid,  shall  be  calculated by utilizing the effective interest rate of the refunding or repayment bonds, which shall be that rate arrived  at  by  doubling  the  semi-annual  interest  rate (compounded  semi-annually)  necessary  to  discount  the  debt  service payments on the refunding or repayment  bonds  from  the  payment  dates thereof  to the date of issue of the refunding or repayment bonds and to the price bid including estimated accrued interest or proceeds  received by  the  agency  including  estimated  accrued  interest  from  the sale thereof.   Such local law shall be  subject  to  the  following  limitations  and conditions:  (i)  Any such local law shall become effective on the date of issue of any bonds and/or bond anticipation notes the payment of which is secured by the proceeds of such sales and compensating use taxes;  (ii) Any such local law shall  be  made  subject  to  such  terms  and conditions,  not  inconsistent  with  this section, as may be determined necessary or appropriate by  such  city  council  and  agency,  subject,  however, to any rights of holders of previously issued bonds and/or bond anticipation  notes  secured by such tax proceeds and shall be deemed to be in effect only while bonds and/or bond anticipation notes  which  are so  secured  are  outstanding  and  may  provide  that  it  shall not be repealed,  rescinded  or  revoked  or  amended  in  a  manner  which  is prejudicial  to  the  interests  of  said holders while such obligations shall be outstanding;  (iii) Enactment of such  local  law  shall  be  conditioned  upon  the execution  of  an  agreement  between  the city of Niagara Falls and the county of Niagara whereby such county agrees to pay such city's share of the proceeds of taxes payable to such city pursuant  to  section  twelve hundred sixty-two of the tax law to the state comptroller for so long as bonds or notes issued pursuant to this section remain outstanding;  (iv)  Any such local law shall not be enacted unless such city council shall have determined that such local law is necessary and in the public interest; and  (v)  Notwithstanding  any  of  the  foregoing  to  the  contrary,  the aforesaid  pledge shall be deemed executory only to the extent of moneys appropriated and made available therefor by the city.  (b) The state does hereby covenant and agree with the owners  of  each issue of bonds and/or bond anticipation notes of the agency secured by a pledge  of  proceeds  of  such sales and compensating use taxes that the state will not repeal, rescind or revoke the provisions of this  section or  section  ninety-two-t of the state finance law or modify the same as to limit, impair, or impede the rights hereby vested in the city  and/or the  agency  or  in  any  way  limit,  impair,  or impede the rights and remedies of owners of said bonds and/or bond anticipation  notes,  until such  bonds  and/or  bond anticipation notes, together with the interest thereon, and all costs and expenses in connection  with  any  action  or proceeding  by  or on behalf of such owners, are fully paid or otherwise discharged or defeased; provided that (i) nothing in this section  shall be  deemed or construed as giving or pledging the credit of the state to the payment of said bonds and/or bond anticipation notes; and (ii)  this pledge  shall be subject to the reserved right of the state to alter the base, rate, method of taxation  and  exemptions  from  taxation  or  the method  of  distribution  of  the taxes which may be imposed pursuant to section twelve hundred ten and section twelve hundred sixty-two  of  the tax  law,  or  any  successor  law  thereto. The city and the agency are authorized to include this covenant and agreement of the  state  in  any sale of such bonds and/or bond anticipation notes.  (c)  The  agency  shall  provide  in  any  sale  of  bonds and/or bond anticipation  notes  which  are  secured  by  proceeds  of   sales   and compensating use taxes as provided herein that the proceeds of the taxes which would otherwise be received by the city pursuant to section twelve hundred  ten  of the tax law or proceeds payable to the city pursuant to section twelve hundred sixty-two  of  the  tax  law,  or  any  successor statutes  thereto,  shall,  upon  the  occurrence of events described in subdivision two of section ninety-two-t of the  state  finance  law,  be paid  by the state comptroller into the Niagara Falls sales tax fund for disposition as provided in such  section.    The  state  comptroller  is hereby  authorized  and directed to pay such moneys to such fund, and to make such arrangements as are  deemed  appropriate  to  facilitate  such payments, including, but not limited to the electronic transfer thereof.  (d)  Upon  delivery  of  any  issue  of  bonds or notes secured by the proceeds of sales and compensating use taxes as herein  authorized,  the chair of the agency shall file with the state comptroller and the county treasurer  a  certificate  setting  forth with respect to such issue the name and address of the  trustee  for  the  holders  thereof.  Upon  the  appointment of a successor trustee with respect to any issue of bonds or notes  secured  as  provided herein, a supplemental certificate shall be filed with the state comptroller and the county treasurer prior  to  the effective  date  of  such  appointment.  Such trustee shall on or before November first annually certify to the state comptroller and to the city council the amount required for the ensuing city fiscal year for payment of debt service on bonds or notes issued pursuant to this section and to restore any deficiencies in any reserve funds established in  connection with the issuance of such bonds or notes.  (e)  Pursuant  to  an  appropriation by the city council of the amount certified pursuant  to  subdivision  (d)  of  this  section,  the  state comptroller  shall pay such amount to the trustee out of proceeds of the taxes pledged pursuant to this section. Any such proceeds in  excess  of such certified amount shall be paid by the state comptroller to the city of  Niagara  Falls. In the event that the amount to be paid by the state comptroller is less than the amount certified  pursuant  to  subdivision (d)  of  this  section, the comptroller shall pay such difference to the trustee for the bondholders out of the first monies  available  for  the next  succeeding  payments  of  (i) state aid apportioned to the city of Niagara Falls as per capita aid for  the  support  of  local  government pursuant to section fifty-four of this chapter or (ii) such other aid or assistance  payable by the state to the city and not otherwise allocated as shall supersede or supplement such state per  capita  aid,  including federal  monies  apportioned  to  the  city  by  the state, after giving written notice to the chief fiscal officer of the city of Niagara Falls. Any amount so  paid  over  shall  be  deducted  from  the  corresponding apportionment of such per capita state aid otherwise payable to the city of  Niagara  Falls, and shall not obligate the state to make nor entitle the city to receive any  additional  apportionment  or  payment  of  per capita state aid.  Nothing herein shall affect the reserved right of the state  to amend such section fifty-four or otherwise reduce or eliminate such per capita aid and such other aid or assistance.  (f) The state comptroller may conclusively rely upon  the  information set  forth  or  included by reference in any certificate filed therewith pursuant to this section or section ninety-two-t of  the  state  finance law,  and  shall  not  be liable to the owner of any bond or note of the agency on account  of  any  reasonable  action  taken  based  upon  such information.  The  county  treasurer  may  conclusively  rely  upon  the information set forth in any certificate  filed  therewith  pursuant  to this section or section ninety-two-t of the state finance law, and shall not  be liable to the owner of any bond or note of the agency on account of any reasonable action taken based upon such information.  (g) During the period that any local  law  enacted  pursuant  to  this section shall be in force, the city shall not issue revenue anticipation notes  in  anticipation  of  the receipt of taxes authorized pursuant to section twelve hundred ten of the tax law, which taxes are described  in subdivisions  (b), (d), (e) and/or (f) of section eleven hundred five of the tax law, and, in the event that the city issues revenue anticipation notes in  anticipation  of  the  collection  or  receipt  of  any  other categories  of  sales taxes used as security to the bondholders pursuant to the provisions of this section, when determining the total amount  of revenue  anticipation  notes  which  may  be  issued, in addition to the amounts described in subparagraph (b) of subdivision three of  paragraph (d)  of  section 25.00 of the local finance law or the amounts described in the unnumbered paragraph following such subparagraph (b), as the case may be, there shall also be deducted an amount equal to the debt service on the bonds or notes of the agency so secured thereafter  remaining  to  be  paid  during  the fiscal year of the city with respect to which such revenue anticipation notes are issued.