§ 2050-hh. Bonds of the authority. 1. The authority shall have the
power and is hereby authorized from time to time to issue bonds in such
principal amounts as it may determine to be necessary to pay the cost of
any project or for any other corporate purpose, including the
establishments 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 authority shall have
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. The aggregate principal amount
of such bonds, notes or other obligations shall not exceed fifty million
dollars ($50,000,000), 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 fifty
million dollars ($50,000,000) 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 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. The authority shall have power
from time to time 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 other
corporate purpose. 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 to any
agreements with the holders of outstanding bonds pledging any particular
property, revenues or moneys. The authority may also enter into bank
loan agreements, lines of credit and other security agreements and
obtain for or on its behalf letters of credit in each case for securing
its bonds or to provide direct payment of any costs which the authority
is authorized to pay.

2. 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. Obligations with a maturity of five
years or less from the date of their original issuance may be designated
as notes.

Bonds and notes 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 a
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 executive director, 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 state will be served by a private or public sale of bonds, the
authority shall select underwriters for private or public bond sales
conducted pursuant to a request for proposal process undertaken at least
once annually 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 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
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 therefor.

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.

3. Any resolution or resolutions authorizing bonds or any issue of
bonds 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 any part of the revenues, other moneys or property
of the authority to secure the payment of the bonds, or of 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 as they may 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 contracts 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 revenues or moneys
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 section twenty-seven hundred fifty-eight of this
title and limiting or abrogating the rights 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 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;

(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.

4. 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 enter into such agreements 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.

5. Any provisions 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.

6. Whether or not the bonds 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 the purposes of the uniform commercial code, subject only to the
provisions of the bonds for registration.

7. Neither the members 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.

8. 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, which shall thereupon be cancelled, at
a price not exceeding (i) if the bonds are then redeemable, the
redemption price then applicable, plus accrued interest to the next
interest payment date or, (ii) 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.