§ 3560. Bonds or notes of the corporation. 1. The corporation shall
have power as hereby authorized from time to time to issue negotiable
bonds in conformity with applicable provisions of the uniform commercial
code provided, however, that such power shall only be exercised to the
extent authorized in the contract between the corporation and the
department of health provided for in subdivision two of section four
hundred three of the public health law. The corporation 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. Except as may otherwise be expressly
provided by the corporation, every issue of new bonds shall be general
obligations payable out of any moneys or revenues of the corporation,
subject only to any agreements with the holders of particular bonds
pledging any particular moneys or revenues.

2. Such bonds shall be authorized by resolution of the board, be in
such denominations and shall bear such date or dates, mature at the time
or times not exceeding forty years from their respective dates, bear
interest at such rate or rates 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 of redemption as such
resolution or resolutions may provide. Such bonds may be sold at public
or private sale for such price or prices as the corporation shall
determine.

3. Such bonds may be issued for any corporate purposes of the
corporation.

4. Bonds issued by the corporation may be general obligations secured
by the faith and credit of the corporation or may be special obligations
payable solely out of particular revenues or other moneys as may be
designated in the proceedings of the corporation 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 corporation 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 now or hereafter available, in each
case for securing its bonds or to provide direct payment of any costs
which the corporation is authorized to pay.

5. Any resolution or resolutions authorizing any bonds may contain
provisions which may be a part of the contract with the holders of the
bonds as to:

(a) pledging all or any part of the moneys or property of the
corporation to secure the payment of its bonds, including, but not
limited to, the revenues of designated facilities of the corporation,
the proceeds of any grant in aid of the corporation received from any
private or public source, any federally guaranteed security and moneys
received therefrom whether such security is initially acquired by the
corporation or otherwise, any moneys received under the terms of any
lease, loan or other agreement executed pursuant to this title, or any
other revenues which may be received by the corporation;

(b) the setting aside of reserves or sinking funds and the regulation
or disposition thereof;

(c) the purposes and limitations thereon to which the proceeds of sale
of any issue of bonds then or thereafter to be issued may be applied,
including as authorized purposes, all costs and expenses necessary or
incidental to the issuance of bonds, to the acquisition of or commitment
to acquire any federally guaranteed security and to the issuance and
obtaining of any federally insured mortgage note;

(d) 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;

(e) 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;

(f) the creation of special funds into which any moneys of the
corporation may be deposited;

(g) vesting in a trustee or trustees such properties, rights, powers
and duties in trust as the corporation may determine which may include
any or all of the rights, powers and duties of the trustee appointed by
the bondholders pursuant to section three thousand five hundred
sixty-one of this title 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;

(h) defining the acts or omissions to act which shall constitute a
default in the obligations and duties of the corporation to the
bondholders and providing for the rights and remedies of the bondholders
in the event of default, including as a matter of right the appointment
of a receiver, providing, that such rights and remedies shall not be
inconsistent with the general laws of this state and other provisions of
this title; and

(i) any other matters, of like or different character, which in any
way affect the security and protection of the bonds.

6. (a) The bonds of the corporation issued pursuant to this section
shall be sold to the bidder offering the lowest true interest cost,
taking into consideration any premium or discount.

(b) Notwithstanding the provisions of paragraph (a) of this
subdivision, whenever in the judgment of the corporation the interests
of the corporation will be served thereby, the directors of the
corporation, on the written recommendation of the chairperson may
authorize the sale of such bonds at private or public sale on either a
competitive or negotiated basis. The corporation 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 corporation shall
include, but not be limited to, a requirement that where the interests
of the corporation will be served by a private or public sale of bonds,
the corporation shall select underwriters for each private or public
bond sale conducted pursuant to a request for proposal process
undertaken from time to time and consideration of proposals from
qualified underwriters as determined by the corporation. Bonds of the
corporation shall not be sold by the corporation at a private sale
unless such sale and the terms thereof have been approved in writing by
the comptroller where such sale is not to the comptroller, or by the
director of the budget where such sale is to the comptroller.

(c) The corporation shall have the power from time to time to amend
such private bond sale guidelines in accordance with the provisions of
this subdivision.

(d) The corporation 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 corporation is required to make.

(e) The corporation shall annually submit its bond sale report to the
state comptroller, the senate finance committee and the assembly ways
and means committee.

(f) The corporation shall make available to the public copies of its
bond sale report upon reasonable request thereof.

(g) 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.

7. Any resolution or resolutions authorizing bonds or any issue of
bonds by the corporation may also contain provisions which may be a part
of the contract with the holders of the bonds thereby authorized as to:

(a) the rates, rents, fees and other charges to be fixed and collected
by the corporation and the amount to be raised in each year thereby and
the use and disposition of revenues;

(b) limitations on the right of the corporation to restrict and
regulate the use of the project or part thereof in connection with which
bonds are issued;

(c) the terms and provisions of any trust, mortgage, deed or indenture
securing the bonds under which the bonds may be issued;

(d) limitations on the power of the corporation to sell or otherwise
dispose of any project or any part thereof or other property;

(e) limitations on the amount of revenues and other moneys to be
expended for operating, administrative or other expenses of the
corporation;

(f) 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 corporation may
determine; and

(g) 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 the bondholders.

8. In addition to the powers herein conferred upon the corporation to
secure its bonds, the corporation shall have the power in connection
with the issuance of bonds to adopt resolutions and enter into such
trust indentures, agreements or other instruments as the corporation 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
corporation would have the right to do in the absence of such
resolutions, trust indentures, agreements or other instruments. The
corporation shall have power to enter into amendments of any such
resolutions, trust indentures, agreements or other instruments within
the powers granted to the corporation by this title and to perform the
obligations undertaken in such resolutions, trust indentures, agreements
or other instruments. The provisions of any such resolutions, trust
indentures, agreements or other instruments may be made a part of the
contract with the holders of bonds of the corporation.

9. 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 corporation 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 corporation
irrespective of whether 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.

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

11. Neither the directors nor the officers of the corporation nor any
person executing its bonds shall be liable personally on its bonds or be
subject to any personal liability or accountability by reason of the
issuance thereof.

12. Subject to such agreements with bondholders as may then exist, the
corporation shall have power out of any funds available therefor to
purchase bonds of the corporation, in lieu of redemption, at a price not
exceeding, if the bonds are then redeemable, the redemption price then
applicable plus accrued interest to the next interest payment date, or,
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.
Bonds so purchased shall thereupon be canceled.

13. The corporation 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.