2023 New York Laws › LFN - Local Finance › Article 2 - Local Indebtedness › Title 4 - Local Obligations: Terms, Form and Contents Thereof; Sale and Issuance Thereof › 53.00 - Obligations Redeemable Prior to Maturity.

§  53.00  Obligations  redeemable  prior  to  maturity.  a. The agency
  prescribing the terms, form and contents of bonds may reserve to  itself
  the  power  to  call in and redeem such bonds prior to the date of their
  maturity. Such power may be exercised upon the giving of notice of  such
  call  for  redemption by publication at least three times in a financial
  newspaper published and circulated in the city of New York  and  in  the
  official newspaper or newspapers of the municipality, school district or
  district corporation, or, if there be no official newspaper, then in any
  newspaper  having  general  circulation  therein  which the agency shall
  designate for such purpose, the first publication to be at least  thirty
  days  prior  to  the  date  set  for  such redemption or, in the case of
  registered  bonds,  by  mailing  or  transmitting  such  notice  to  the
  registered  holder  at  least thirty days prior to such date. The agency
  prescribing the terms, form and contents of notes may reserve to  itself
  the  power  to  call in and redeem such notes prior to the date of their
  maturity upon the giving of such notices as it shall prescribe.
b.  If  such  bonds  or  notes  are  payable  in   installments,   the
  installments  remaining  unpaid may be called for redemption only (i) in
  the inverse order of their maturity  or,  (ii)  in  equal  proportionate
  amounts;  provided,  however,  that for bonds issued during the one-year
  period commencing July first, nineteen  hundred  eighty-eight,  and  for
  bonds  issued during the one-year period commencing July first, nineteen
  hundred eighty-nine, and for bonds issued  during  the  one-year  period
  commencing  July  first,  nineteen  hundred ninety, and for bonds issued
  during the three-year period commencing  July  first,  nineteen  hundred
  ninety-one,  and  for  bonds  issued  during the period from July first,
  nineteen hundred ninety-four up  until  and  including  July  fifteenth,
  nineteen  hundred  ninety-seven  and  for bonds issued during the period
  from  July  fifteenth,  nineteen  hundred  ninety-seven  up  until   and
  including  July fifteenth, two thousand, and for bonds issued during the
  period from July fifteenth, two thousand up  until  and  including  July
  fifteenth,  two  thousand  three, and for bonds issued during the period
  from July fifteenth, two thousand three  up  until  and  including  July
  fifteenth, two thousand six, and for bonds issued during the period from
  July  fifteenth, two thousand six up until and including July fifteenth,
  two thousand nine, and for bonds issued  during  the  period  from  July
  fifteenth,  two  thousand six up until and including July fifteenth, two
  thousand twelve, and for  bonds  issued  during  the  period  from  July
  fifteenth,  two thousand nine up until and including July fifteenth, two
  thousand fifteen, and for bonds  issued  during  the  period  from  July
  fifteenth,  two  thousand fifteen up until and including July fifteenth,
  two thousand eighteen, and for bonds issued during the period from  July
  fifteenth,  two thousand eighteen up until and including July fifteenth,
  two thousand twenty-one, and for bonds issued  during  the  period  from
  July  fifteenth,  two  thousand  twenty-one  up until and including July
  fifteenth, two thousand twenty-four, installments  remaining  unpaid  on
  such  bonds may be called for redemption prior to their date of maturity
  in such amounts, at such times in such manner and pursuant to such terms
  as may be determined by the finance  board  of  a  municipality,  school
  district  or  district  corporation at the time of the issuance thereof.
  Whenever any bonds or notes are called for redemption prior to the  date
  of  their  maturity,  interest  shall cease to be paid thereon after the
  date for redemption set forth in such call for redemption. The sum to be
  paid to redeem any unpaid installment prior to its  maturity,  exclusive
  of  the interest accruing on such installment to the date of redemption,
  shall in no event be in excess of the lesser amount of  either  (i)  the
  par  value  of  such installment plus one-half of one per centum of such
  par value for each calendar year or part thereof  elapsing  between  the

  date  for  redemption set forth in such call for redemption and the date
  of maturity of such installment, provided,  however,  that  such  amount
  shall  not exceed one hundred five per centum of such par value, or (ii)
  the  par value of such installment plus the total of all unpaid interest
  on such installment which would have accrued from the date of redemption
  to the date of maturity thereof had such installment not  been  redeemed
  prior  to  maturity,  except  that  bonds  sold to the state of New York
  municipal bond bank agency, which are subject to  call  as  hereinbefore
  authorized,  may  provide for the payment of a redemption premium not to
  exceed five per centum of the par value  of  the  bonds  to  be  called,
  payable  on  the date of the redemption thereof; provided, however, that
  for bonds issued during  the  one-year  period  commencing  July  first,
  nineteen  hundred eighty-eight, and for bonds issued during the one-year
  period commencing July first,  nineteen  hundred  eighty-nine,  and  for
  bonds  issued during the one-year period commencing July first, nineteen
  hundred ninety, and  for  bonds  issued  during  the  three-year  period
  commencing July first, nineteen hundred ninety-one, and for bonds issued
  during the period from July first, nineteen hundred ninety-four up until
  and  including  July  fifteenth,  nineteen hundred ninety-seven, and for
  bonds issued during the period from  July  fifteenth,  nineteen  hundred
  ninety-seven  up  until  and including July fifteenth, two thousand, and
  for bonds issued during the period from July fifteenth, two thousand  up
  until  and  including  July fifteenth, two thousand three, and for bonds
  issued during the period from July  fifteenth,  two  thousand  three  up
  until  and  including  July  fifteenth,  two thousand six, and for bonds
  issued during the period from July fifteenth, two thousand six up  until
  and  including  July  fifteenth, two thousand nine, and for bonds issued
  during the period from July fifteenth, two thousand nine  up  until  and
  including  July  fifteenth,  two  thousand  twelve, and for bonds issued
  during the period from July fifteenth, two thousand twelve up until  and
  including  July  fifteenth,  two  thousand fifteen, and for bonds issued
  during the period from July fifteenth, two thousand fifteen up until and
  including July fifteenth, two thousand eighteen, and  for  bonds  issued
  during  the  period  from July fifteenth, two thousand eighteen up until
  and including July fifteenth, two thousand  twenty-one,  and  for  bonds
  issued during the period from July fifteenth, two thousand twenty-one up
  until   and  including  July  fifteenth,  two  thousand  twenty-four,  a
  municipality, school district, or district corporation may  provide  for
  redemption  of such bonds prior to the date of their maturity at a price
  or prices as may be as determined by the issuer of such bonds  or  notes
  at the time of the issuance thereof.