2023 New York Laws › PBA - Public Authorities › Article 8 - Miscellaneous Authorities › Title 28-B - Schenectady Metroplex Development Authority › 2665 - Bonds or Notes of the Authority.

§  2665.  Bonds or notes of the authority. 1. The authority shall have
the power and is hereby authorized from time to  time  to  issue  bonds,
notes  or  other obligations in conformity with applicable provisions of
the uniform commercial  code  to  pay  the  cost  of  any  project,  the
establishment  of reserves to secure the bonds, the payment of principal
of, premium, if any, and interest  on  the  bonds  and  the  payment  of
incidental  expenses  in  connection  therewith. The aggregate principal
amount of such bonds or notes of the  authority  shall  not  exceed  one
hundred  million dollars ($100,000,000), excluding bonds or notes issued
to refund or repay bonds or notes therefore issued  for  such  purposes;
provided,  however,  that upon any such refunding or repayment the total
aggregate principal amount of outstanding bonds or notes may be  greater
than  one  hundred  million  dollars ($100,000,000), only if the present
value of the aggregate debt service of the  refunding  or  repayment  of
bonds  or  notes  to be issued shall not exceed the present value of the
aggregate debt service of the bonds  or  notes  so  to  be  refunded  or
repaid.  For  the  purpose  of  this  section,  the present value of the
aggregate debt service of the refunding or repayment bonds or notes  and
the  aggregate  debt  service  of  the bonds or notes refunded or repaid
shall be calculated by utilizing the  effective  interest  rate  of  the
refunding  or  repayment  of  bonds  or  notes, 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 of bonds or notes from payment of  dates  thereof
to the date of issue of the refunding or repayment of bonds or notes and
to  the  price  bid  including  estimated accrued interest from the sale
thereof. The authority shall have the power and is hereby authorized  to
enter  into  such  agreements  and  perform such acts as may be required
under any applicable federal legislation to secure a  federal  guarantee
to any bonds.
2. The authority shall have the power from time to time to renew bonds
or to issue renewal bonds for such purpose, to issue bonds to pay bonds,
and,  whenever  it  deems refunding expedient, to refund any bond 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  purpose of the authority. Bonds issued for
refunding purposes shall  be  sold  and  the  proceeds  applied  to  the
purchase, redemption or payment of the bonds or notes to be refunded.
3. Bonds issued by the authority may be general obligations secured by
the  faith  and  credit  of  the authority or may be special obligations
payable solely out of particular revenues or  other  monies  as  may  be
designated  in  the  proceedings  of the authority under which the bonds
shall be authorized to be issued, subject as to  priority  only  to  any
agreements with the holders of outstanding bonds pledging any particular
property,  revenues  or  monies.  The authority may also enter into loan
agreements, lines of credit and other security agreements and obtain for
or on its behalf letters  of  credit,  insurance,  guarantees  or  other
credit  enhancements  to  the extent now or hereafter available, in each
case for securing its bonds or to provide direct payment  of  any  costs
which the authority is authorized to pay.
4. (a) Bonds shall be authorized by resolution of the authority, be in
such  denominations  and bear such date or dates and mature at such time
or times, as such  resolution  may  provide,  provided  that  bonds  and
renewals  thereof  shall  mature  within  thirty  years from the date of
original issuance of any such bonds.
(b) Bonds shall be subject to such terms of redemption, bear  interest
at such rate or rates, be 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 and conditions as  such  resolution
may  provide.  Notwithstanding  any other provision of law, the bonds of
the  authority  issued  pursuant  to  this  section shall be sold to the
bidder offering the lowest true interest cost, taking into consideration
any premium or discount not less than four nor more than  fifteen  days,
Sunday excepted, after a notice of such sale has been published at least
once  in  a  newspaper  of general circulation in the area served by the
authority, which shall state the terms of the sale.  The  terms  of  the
sale  may  not  change unless notice of such change is published in such
newspaper at least one day prior to the date of the sale as set forth in
the original notice of sale. Advertisements shall contain a provision to
the effect that the authority, in its discretion, may reject any or  all
bids  made  pursuant  to  such  advertisements, and in the event of such
rejection, the authority is authorized to negotiate a private or  public
sale  or  readvertise for bids in the form and manner above described as
many times as, in its judgment, may be necessary to effect  satisfactory
sale.
(c)   Notwithstanding  the  provisions  of  the  preceding  paragraph,
whenever in the judgment of the authority the interests of the authority
will be served thereby, the members of the  authority,  on  the  written
recommendation  of  the chairperson may authorize the sale of such bonds
at private or  public  sale  on  a  negotiated  basis  or  on  either  a
competitive  or  negotiated  basis.  The  authority shall set guidelines
governing the terms and conditions of any such private or public  sales.
The  private  or  public bond sale guidelines set by the authority shall
include, but not be limited to, a requirement that where  the  interests
of  the  authority  will be served by a private or public sale of bonds,
the authority shall select underwriters taking into account, among other
things, qualifications of underwriters as to experience,  their  ability
to  structure  and  sell authority bond issues, anticipated costs to the
authority, the prior experience of the authority with the firm, if  any,
the  capitalization  of  such firms, participation of qualified minority
and women-owned business enterprise firms  in  such  private  or  public
sales  of bonds of the authority and the experience and ability of firms
under consideration to  work  with  minority  and  women-owned  business
enterprises   so   as  to  promote  and  assist  participation  by  such
enterprises.
(d) The authority shall have the power from time to time to amend such
private bond sale guidelines in accordance with the provisions  of  this
subdivision.
(e)  No  private  or  public  bond sale on a negotiated basis shall be
conducted  by  the  authority  without  prior  approval  of  the   state
comptroller.  The  authority  shall  annually prepare and approve a bond
sale report  which  shall  include  the  private  or  public  bond  sale
guidelines   as  specified  in  this  subdivision,  amendments  to  such
guidelines since the  last  private  or  public  bond  sale  report,  an
explanation  of the bond sale guidelines and amendments, and the results
of any sale of bonds conducted during the fiscal year.  Such  bond  sale
report  may  be  a part of any other annual report that the authority is
required to make.
(f) The authority shall annually submit its bond sale  report  to  the
state comptroller and copies thereof to the senate finance committee and
the assembly ways and means committee.
(g)  The  authority  shall  make available to the public copies of its
bond sale report upon reasonable request thereof.
(h) Nothing contained in this subdivision shall be  deemed  to  alter,
affect  the  validity of, modify the terms of, or impair any contract or

agreement made or entered into in violation of,  or  without  compliance
with, the provisions of this subdivision.
5.  Any  resolution  or  resolutions authorizing bonds or any issue of
bonds by the authority may contain provisions which may be a part of the
contract with the holders of the bonds thereby authorized as to:
(a) Pledging all or part of the  revenues,  together  with  any  other
monies  or property of the authority to secure the payment of the bonds,
or any costs of issuance thereof, including  but  not  limited  to,  any
contracts,  earnings  or proceeds of any grant to the authority received
from any private or  public  source  subject  to  such  agreements  with
bondholders as may then exist;
(b)  The  setting  aside of reserves and the creation of sinking funds
and the regulation and disposition thereof;
(c) Limitations on the purpose to which the proceeds from the sale  of
bonds may be applied;
(d) The rates, rents, fees and other charges to be fixed and collected
by  the  authority  and the amount to be raised in each year thereby and
the use and disposition of revenues;
(e) Limitations on the right of the authority to restrict and regulate
the use of the project or part thereof in connection  with  which  bonds
are issued;
(f)  Limitations  on  the issuance of additional bonds, the terms upon
which additional bonds may be issued and secured and  the  refunding  of
outstanding or other bonds;
(g)  The  procedure,  if  any, by which the terms of any contract with
bondholders may be amended or abrogated,  including  the  proportion  of
bondholders  which  must  consent  thereto, and the manner in which such
consent may be given;
(h) The creation of special funds into which any  revenues  or  monies
may be deposited;
(i) The terms and provisions of any trust, mortgage, deed or indenture
securing the bonds 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 trustees appointed by the
bondholders pursuant to this title or limiting the  rights,  duties  and
powers of such trustee;
(k)  Defining  the  acts  or  omissions  to act which may 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 appointment
of  a  receiver,  provided,  however, that such acts or omissions to act
which may constitute a default and such rights and remedies shall not be
inconsistent with the general laws of the state and other provisions  of
this title;
(l)  Limitations  on  the  power of the authority to sell or otherwise
dispose of any project or any part thereof or other property;
(m) Limitations on the amount of  revenues  and  other  monies  to  be
expended   or   operating,  administrative  or  other  expenses  of  the
authority;
(n) The payment of the proceeds of bonds, revenues and other monies to
a trustee or other  depository,  and  for  the  method  of  disbursement
thereof  with  such  safeguards  and  restrictions  as the authority may
determine; and
(o) Any other matters of like or different character which in any  way
affect  the  security  or  protection  of  the  bonds  or the rights and
remedies of the bondholders.
6. In addition to the powers herein conferred upon  the  authority  to
secure  its bonds, the authority shall have the power in connection with
the issuance of bonds to adopt resolutions and  enter  into  such  trust
indentures,  agreements  or  other instruments as the authority may deem
necessary,  convenient or desirable concerning the use or disposition of
its revenues or other monies or property, including  the  mortgaging  of
any  property  and  the  entrusting,  pledging  or creation of any other
security interest in any such revenues, monies or property and the doing
of any act, including refraining from doing any act which the  authority
would  have  the  right  to do in the absence of such resolutions, trust
indentures, agreements or other instruments. The  authority  shall  have
power   to   enter  into  amendments  of  any  such  resolutions,  trust
indentures, agreements or other instruments within the powers granted to
the authority by this title  and  to  perform  such  resolutions,  trust
indentures,  agreements or other instruments. The provisions of any such
resolutions, trust indentures, agreements or other  instruments  may  be
made a part of the contract with the holders of bonds of the authority.
7.  Any  provision  of  the  uniform  commercial  code to the contrary
notwithstanding, any pledge of or other security interest  in  revenues,
monies, 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  is  made  or  other  security
interest  attaches  without  any  physical delivery of the collateral or
further act, and the lien of any such pledge or other security  interest
shall  be valid, binding and perfected 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 security interest  is  created  nor
any financing statement need be recorded or filed.
8.  Whether  or  not  the  bonds of the authority 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.
9.  Neither  the  members  nor  the  officers of the authority nor any
person executing its bonds shall be liable personally on its bonds or be
subject to any personal liability or accountability  by  reason  of  the
issuance thereof.
10. Subject to such agreements with bondholders as may then exist, the
authority  shall  have  power  out  of  any  funds available therefor to
purchase bonds of the authority, in lieu of redemption, at a  price  not
exceeding,  if  the bonds are then redeemable, the redemption price then
applicable plus accrued interest to the next interest payment date,  or,
if the bonds are not then redeemable, the redemption price applicable on
the  first  date after such purchase upon which the bonds become subject
to redemption plus accrued interest to the next interest  payment  date.
Bonds so purchased shall thereupon be canceled.
11.  The  authority shall have power and is hereby authorized to issue
negotiable  bond  anticipation  notes  in  conformity  with   applicable
provisions of the uniform commercial code and in accordance with section
21.00 of the local finance law, as amended from time to time.