2023 New York Laws › PBA - Public Authorities › Article 8 - Miscellaneous Authorities › Title 29 - Development Authority of the North Country Act › 2711 - Bonds of the Authority.

§  2711. Bonds of the authority. 1. (a) The authority shall have power
and is hereby authorized from time to time to issue its  bonds  in  such
principal amount as, in the opinion of the authority, shall be necessary
to  provide  sufficient  funds  for  achieving  its  corporate purposes,
including the construction, acquisition, reconstruction, rehabilitation,
improvement or refinancing of projects and subject to the  provision  of
this title, any project as defined in title one of article eighteen-A of
the  general  municipal  law,  the  payment  of interest on bonds of the
authority, establishment of reserves to secure such bonds, and all other
expenditures of the authority incident to and necessary or convenient to
carry out its corporate purposes and powers.  In addition, the authority
may, in anticipation  of  the  issuance  of  bonds  or  the  receipt  of
appropriations,  grants,  reimbursements, revenues or other funds, issue
notes the principal of or interest on which or both shall be payable out
of the proceeds of bonds of the  authority  or  appropriations,  grants,
reimbursements,  revenues or other funds of the authority. The authority
may also enter into bank loan agreements,  lines  of  credit  and  other
security agreements and obtain for or on its behalf letters of credit in
each  case  for  securing  its bonds or to provide direct payment of any
costs which the authority is authorized to pay.
(b) The authority shall have  power,  from  time  to  time,  to  issue
renewal  notes,  to  issue  bonds  or other obligations to pay notes 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 to issue bonds partly to refund bonds then outstanding and
partly for any other purpose. The refunding bonds shall be sold and  the
proceeds  applied  to  the purchase, redemption or payment of the bonds,
including any interest thereon, to be refunded.
2. Except as may otherwise be expressly  provided  by  the  authority,
every  issue  of its bonds shall be general obligations of the authority
payable out of any moneys, assets or revenues of the authority,  subject
as  to  priority  only  to any agreements with the holders of particular
bonds theretofore or thereafter made pledging, assigning or  creating  a
lien  upon  any particular moneys, assets or revenues. The authority may
provide by agreement with the holders of its bonds that such bonds shall
be payable solely from and secured by particular revenues  and  property
of the authority.
3. The bonds shall be authorized by a resolution or resolutions of the
authority adopted as provided by this title; provided, however, that any
such resolution authorizing the issuance of bonds may delegate to one or
more  members  or to an officer of the authority the power to issue such
bonds from time to time and to fix the details  of  any  such  issue  of
bonds by an appropriate certificate of such member, members or officer.
4. The bonds of the authority shall bear such date or dates, mature at
such  time  or  times,  bear  interest  at such rate or rates (simple or
compounded), if any, be of such  denominations,  be  in  such  form,  be
executed  in  such manner, be payable in such medium of payment, at such
place or places within or without the state,  and  be  subject  to  such
terms  of  redemption  prior  to  maturity,  as  may be provided by such
resolution or resolutions or  such  certificate  with  respect  to  such
bonds,  as  the  case  may  be; provided, however, that no bond or other
obligations shall mature more than forty years after the date  of  issue
thereof  and  no  notes  or  renewal thereof shall mature more than five
years after the date of issue of the original notes.
5. The bonds of the authority may be sold by  the  authority  at  such
price  or  prices,  at public or private sale, provided that no issue of
bonds may be sold at private sale unless the terms of  such  sale  shall
have  been  approved in writing by (i) the state comptroller, where such

sale is not to such comptroller, or  (ii)  the  director  of  the  state
division  of the budget, where such sale is to such comptroller, in such
manner and from time to time as may be determined by the authority,  and
the  authority  may  pay all expenses, premiums and commissions which it
may deem necessary or advantageous in connection with the  issuance  and
sale thereof.
6.  Whether  or  not the bonds are of such form and character as to be
negotiable instruments under the terms of the uniform  commercial  code,
the  bonds  are hereby made negotiable instruments within the meaning of
and for all the purposes of the uniform commercial code, subject only to
the provisions of the bonds for registration.
7. Any resolution or resolutions authorizing any bonds  or  any  issue
thereof  or any trust indenture or indentures relating to such bonds may
contain provisions, which shall be a  part  of  the  contract  with  the
holders thereof, as to:
(a)  pledging,  assigning or creating a lien on all or any part of the
rates, rentals, fees and charges made or received by the authority,  and
all or any part of the moneys received or to be received as repayment of
loans,  to  secure  the  payment  of  the bonds or of any issue thereof,
subject to such agreement with the holders of the authority's  bonds  as
may then exist;
(b)  pledging,  assigning or creating a lien on all or any part of the
assets of the authority, including mortgages  and  obligations  securing
the same, to secure the payment of the bonds, subject to such agreements
with the holders of the authority's bonds as may then exist;
(c) the establishment and maintenance of reserves or sinking funds and
the regulation and disposition thereof;
(d)  limitations  on  the purpose to which the proceeds of sale of any
issue of bonds then or thereafter  to  be  issued  may  be  applied  and
pledging  such  proceeds  to  secure  the payment of the bonds or of any
issue thereof;
(e) limitations on the issuance of additional bonds,  the  terms  upon
which  additional  bonds  may be issued and secured and the refunding of
outstanding bonds;
(f) the procedure, if any, by which the terms of any contract with the
holders of bonds 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;
(g) limitations on  the  amount  of  moneys  to  be  expended  by  the
authority  for  operating,  administrative  or  other  expenses  of  the
authority;
(h) the creation of  special  funds  into  which  any  moneys  of  the
authority may be deposited;
(i) vesting in a trustee or trustees such property, 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
holders of bonds pursuant to this title, and limiting or abrogating  the
right  of  the  holders  of  bonds to appoint a trustee pursuant to this
title or limiting the rights, powers and duties of such trustee;
(j) defining the acts or omissions to act  which  shall  constitute  a
default in the obligations and duties of the authority and providing for
the  rights  and  remedies  of the holders of bonds in the event of such
default, providing, however, that such rights and remedies shall not  be
inconsistent with the general laws of this state and other provisions of
this title; and
(k)  any  other  matters, of like or different character, which in any
way affect the security or protection of the bonds and the rights of the
holders thereof.
8. Any pledge or assignment made or  lien  created  by  the  authority
shall  be  valid and binding from the time when the pledge or assignment
is made or the lien is created;  the  moneys  or  property  so  pledged,
assigned  or encumbered by the authority shall immediately be subject to
such pledge, assignment or lien without any physical delivery thereof or
further  act;  and  such  pledge,  assignment or lien 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, assignment or lien is made or created need
be recorded or filed.
9.  Neither  the members of the authority nor any person executing the
bonds shall be liable personally on the  bonds  or  be  subject  to  any
personal liability or accountability by reason of the issuance thereof.
10.  The authority, subject to such agreements with the holders of the
authority's bonds as may then exist, shall have power out of  any  funds
available therefor to purchase bonds of the authority.
11.  The  state shall not be liable on bonds of the authority and such
bonds shall not be a debt of the state, and such bonds shall contain  on
the face thereof a statement to such effect.