§ 2020. Bonds of the authority. 1. The authority shall have the power
and is hereby authorized from time to time to issue its negotiable bonds
for any of its corporate purposes, including incidental expenses in
connection therewith, and to secure the payment of the same by a lien or
pledge covering all or part of its contract, earnings or revenues. The
authority shall have power from time to time 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 may issue bonds
partly to refund bonds then outstanding and partly for any of its
corporate purposes. Except as may be otherwise expressly provided by the
authority, every issue of bonds by the authority shall be general
obligations payable out of any moneys, earnings or revenues of the
authority, subject only to any agreements with the holders of particular
bonds pledging any particular moneys, earnings or revenues.
Notwithstanding the fact that the bonds may be payable from a special
fund, if they are otherwise of such form and character as to be
negotiable instruments under the terms of negotiable instruments law
(constituting chapter thirty-eight of the consolidated laws) the bonds
shall be and are hereby made negotiable instruments within the meaning
of and for all the purposes of the negotiable instruments law, subject
only to the provisions of the bonds for registration.

2. The bonds shall be authorized by resolution of the authority and
shall bear such date or dates, mature at such time or times not
exceeding forty years from their respective dates, bear interest at the
best possible interest rate per annum as may be obtainable, be in such
denominations, be in such form either coupon or registered, carry such
registration privileges, be executed in such manner, be payable in
lawful money of the United States of America, at such place or places
and be subject to such terms of redemption, as such resolution or
resolutions may provide.

All bonds of the authority shall be sold at public or private sale as
the authority shall determine. No bonds of the authority may be sold at
private sale, however, unless such sale and the terms thereof have been
approved by the county legislature. If such bonds are sold at public
sale, such sale shall be upon sealed bids to the bidder who shall offer
the lowest interest cost to the authority to be determined by the
authority. Notice of any public sale shall be published at least once,
not less than ten nor more than forty days before the date of sale, in a
financial newspaper published and circulated in the city of New York and
designated by the authority. The notice shall call for the receipt of
sealed bids and shall fix the date, time and place of sale.

3. Any resolution or resolutions authorizing any bonds or any issue of
bonds may contain provisions, which shall be a part of the contract with
the holders of the bonds thereby authorized, as to

(a) pledging all or any part of the moneys, earnings, income and
revenues derived from all or any part of the properties of the authority
to secure the payment of the bonds or of any issue of the bonds subject
to such agreements with bondholders as may then exist;

(b) the rates, rentals, fees and other charges to be fixed and
collected and the amounts to be raised in each year thereby, and the use
and disposition of the earnings and other revenues;

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

(d) limitations on the right of the authority to restrict and regulate
the use of the properties in connection with which such bonds are
issued;

(e) limitations in the purposes to which and the manner in which the
proceeds of sale of any issue of bonds may be applied;

(f) limitations on the issuance of additional bonds, the terms upon
which additional bonds may be issued and secured; 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, the amount of bonds the holders
of which must consent thereto, and the manner in which such consent may
be given;

(h) the creation of special funds into which any earnings or revenues
of the authority may be deposited;

(i) the terms and provisions of any mortgage or trust deed or
indenture securing the bonds or under which 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 eleven hundred forty-three hereof, and
limiting or abrogating the right of the bondholders to appoint a trustee
under such section or limiting the rights, duties and powers of such
trustee;

(k) defining the acts or omissions to act which shall constitute a
default in the obligations and duties of the authority to the
bondholders and providing 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 this state
and other provisions of this title;

(l) limitations on the power of the authority to sell or otherwise
dispose of its properties;

(m) any other matters, of like or different character which in any way
affect the security or protection of the bonds;

(n) limitations on the amount of moneys derived from the properties to
be expended for operating, administrative or other expenses of the
authority;

(o) the protection and enforcement of the rights and remedies of the
bondholders;

(p) the obligations of the authority in relation to the construction,
maintenance, operation, repairs and insurance of the properties, the
safeguarding and application of all moneys and as to the requirements
for the supervision and approval of consulting engineers in connection
with construction, reconstruction and operation;

(q) the payment of the proceeds of bonds and revenues of the the
properties to a trustee or other depositary, and for the method of
disbursement thereof with such safeguards and restrictions as the
authority may determine.

4. It is in the intention of the legislature that any pledge of
earnings, revenues or other moneys made by the authority shall be valid
and binding from the time when the pledge is made; that the earnings,
revenues or other moneys so pledged and thereafter received by the
authority shall immediately be subject to the lien of such pledge
without any physical delivery thereof or further act, and that the lien
of any such pledge 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 is
created need be recorded.

5. Neither the members of the authority nor any person executing the
bonds or other obligations shall be liable personally on the bonds or
other obligations or be subject to any personal liability or
accountability by reason of the issuance thereof.

6. The authority shall have power out of any funds available therefor
to purchase (as distinguished from the power of redemption hereinabove
provided) any bonds issued by it or which may be assumed by such
authority at a price of not more than the principal amount thereof and
accrued interest, and all such bonds shall be cancelled.

7. In the discretion of the authority, the bonds may be secured by a
trust indenture by and between the authority and a corporate trustee,
which may be any trust company or bank having the powers of a trust
company in the state of New York. Such trust indenture may contain such
provisions for protecting and enforcing the rights and remedies of the
bondholders as may be reasonable and proper and not in violation of law,
including covenants setting forth the duties of the authority in
relation to the construction, maintenance, operation, repair and
insurance of the properties, and the custody, safeguarding and
application of all moneys, and may provide that the properties shall be
constructed and paid for under the supervision and approval of
consulting engineers. The authority may provide by such trust indenture
for the payment of the proceeds of the bonds and the revenues of the
properties to the trustee under such trust indenture or other
depository, and for the method of disbursement thereof, with such
safeguards and restrictions as it may determine. All expenses incurred
in carrying out such trust indenture may be treated as a part of the
cost of maintenance, operation and repairs of the properties. If the
bonds shall be secured by a trust indenture the bondholders shall have
no authority to appoint a separate trustee to represent them.

Notwithstanding any other provisions of this title, any resolution or
resolutions authorizing bonds or notes of the authority shall contain a
covenant by the authority that it will at all times maintain rates,
fees, rentals and/or other charges sufficient to pay, and that any
contracts entered into by the authority for the receipt and treatment
and/or disposal of solid wastes shall contain rates, fees, rentals or
other charges sufficient to pay, the cost of operation and maintenance
of the properties, the principal of and interest on any obligation
issued pursuant to such resolution or resolutions as the same severally
become due and payable, and to maintain any reserves or other funds
required by the terms of such resolution or resolutions.