S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10673
 
                           I N  A S S E M B L Y
 
                               May 10, 2018
                                ___________
 
 Introduced by M. of A. PAULIN -- (at request of the Dormitory Authority)
   --  read  once and referred to the Committee on Corporations, Authori-
   ties and Commissions
 
 AN ACT to amend the New York state medical care facilities finance agen-
   cy act, in relation to the ability to issue certain bonds and notes
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraph (b) of subdivision 1 of section 7 of section 1 of
 chapter 392 of the laws of 1973, constituting the New York state medical
 facilities  finance agency act, as amended by chapter 516 of the laws of
 2011, is amended to read as follows:
   (b) The agency shall not issue hospital and nursing home project bonds
 and hospital and nursing home project notes in  an  aggregate  principal
 amount  exceeding  [fifteen] SIXTEEN billion [eight] SIX hundred million
 dollars, excluding hospital and nursing home project bonds and  hospital
 and nursing home project notes issued to refund outstanding hospital and
 nursing home projects bonds and hospital and nursing home project notes;
 provided,  however,  that upon any such refunding or repayment the total
 aggregate principal amount of outstanding bonds, notes  or  other  obli-
 gations  may  be  greater  than  [fifteen]  SIXTEEN  billion [eight] SIX
 hundred million dollars only if the present value of the aggregate  debt
 service  of the refunding or repayment bonds, notes or other obligations
 to be issued shall not exceed the present value of  the  aggregate  debt
 service  of  the  bonds, notes or other obligations so to be refunded or
 repaid. For purposes hereof, the present values of  the  aggregate  debt
 service  of the refunding or repayment bonds, notes or other obligations
 and of the aggregate debt service of the bonds,  notes  or  other  obli-
 gations  so  refunded  or  repaid,  shall be calculated by utilizing the
 effective interest rate of the refunding or repayment  bonds,  notes  or
 other  obligations,  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,
 notes or other obligations from the payment dates thereof to the date of
 issue of the refunding or repayment bonds, notes  or  other  obligations
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD14331-01-8

 A. 10673                            2
 
 and  to  the  price bid including estimated accrued interest or proceeds
 received by the agency including estimated  accrued  interest  from  the
 sale  thereof.  The  agency  shall  not  issue hospital and nursing home
 project bonds at any time secured by the hospital and nursing home capi-
 tal  reserve fund if upon issuance, the amount in the hospital and nurs-
 ing home capital reserve fund will be less than the hospital and nursing
 home capital reserve fund requirement, unless the agency, at the time of
 issuance of such bonds, shall deposit in  such  reserve  fund  from  the
 proceeds  of  the  bonds  so to be issued, or otherwise, an amount which
 together with the amount then in such reserve fund,  will  be  not  less
 than the hospital and nursing home capital reserve fund requirement.
   § 2. This act shall take effect immediately.