§ 1147-k. Bonds 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 to pay the cost of any project or for any other
corporate purpose, including 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, notes or other obligations
shall not exceed twenty million dollars ($20,000,000), excluding bonds,
notes or other obligations issued to refund or otherwise repay bonds,
notes or other obligations theretofore issued for such purposes
provided, however, that upon any such refunding or repayment the total
aggregate principal amount of outstanding bonds, notes or other
obligations may be greater than twenty million dollars ($20,000,000)
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 obligations 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
and to the price bid including estimated accrued interest or proceeds
received by the authority 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 of any bonds.

2. The authority shall have 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 corporate purpose of the authority. Bonds (other
than notes or other evidence of indebtedness) issued for refunding
purposes, which have a final maturity date longer than the maturity of
the bonds being refunded, shall be approved by the chief executive
officers of the municipalities served by 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 moneys 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 moneys. 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 not 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. 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 forty years from the date of
original issuance of any such bonds.

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,
Sundays 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 in pursuance of 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.

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 for each private or public bond sale
conducted pursuant to a request for proposal process and consideration
of proposals from qualified 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.

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.

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.

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.

The authority shall make available to the public copies of its bond
sale report upon reasonable request thereof.

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 part of the
contract with the holders of the bonds thereby authorized as to:

(a) pledging all or part of its revenues, together with any other
moneys, 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 rates, rentals, fees and other charges to be fixed and
collected by the authority and the amounts to be raised in each year
thereby, and the use and disposition of revenues;

(c) the setting aside of reserves and the creation of sinking funds
and the regulation and disposition thereof;

(d) limitations on the purpose to which the proceeds from the sale of
bonds may be applied;

(e) limitations on the right of the authority to restrict and regulate
the use of any 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 other
moneys may be deposited;

(i) the terms and provisions of any trust, deed, mortgage 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 trustee appointed by
the bondholders pursuant to section one thousand one hundred
forty-seven-l of 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 the
appointment of a receiver, provided, however, that 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 moneys to be
expended for operating, administrative or other expenses of the
authority;

(n) the payment of the proceeds of bonds, revenues and other moneys 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 bondholders.

6. In addition to the powers herein conferred upon the authority to
secure its bonds, the authority shall have power in connection with the
issuance of bonds to adopt resolutions and to enter into trust
indentures, agreements and other instruments as the authority may deem
necessary, convenient or desirable concerning the use or disposition of
its revenues or other moneys or property, including the mortgaging of
any property and the entrusting, pledging or creation of any other
security interest in any such revenues, moneys, 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 agreements.
The authority shall have power to enter into amendments of any such
agreements within the powers granted to the authority by this title and
to perform such agreements. The provisions of any such agreements 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,
moneys, 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 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 bonds shall be liable personally thereon or be subject
to any personal liability or accountability by reason of the issuance
thereof.

10. The authority, subject to such agreements with bondholders as then
may exist, shall have power out of any moneys available therefor to
purchase bonds of the authority in lieu of redemption, at a price not
exceeding:

(a) if the bonds are then redeemable, the redemption price then
applicable, plus accrued interest to the next interest payment date;

(b) if the bonds are not then redeemable, the redemption price then
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 cancelled.

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 may renew the same from
time to time but the maximum maturity of any such note, including
renewals thereof, shall not exceed five years from the date of issue of
such original note.