§ 3656. 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 pursuant to
section thirty-six hundred fifty-five of this title to pay any
financeable costs and to fund reserves to secure such bonds, including
incidental expenses in connection therewith. Provided, however, the
aggregate principal amounts of such bonds issued to pay the financeable
county costs described in paragraph (c) of subdivision twelve of section
thirty-six hundred fifty-one of this title, which resulted from
certiorari proceedings commenced on or after June first, two thousand,
shall not exceed eight hundred million dollars in the aggregate,
excluding bonds, notes, or other obligations issued to refund or
otherwise repay bonds, notes, or other obligations theretofore issued
for such purposes. Effective in the year two thousand six, upon request
of the county, the authority shall issue, in the amount requested, bonds
to pay tax certiorari settlements or judgments of any kind to which the
county is a party, not to exceed fifteen million dollars; and effective
in the year two thousand seven, upon request of the county, the
authority shall issue, in the amount requested, bonds to pay tax
certiorari settlements or judgments of any kind to which the county is a
party, not to exceed ten million dollars. Whenever this title
establishes a limit on the principal amount of bonds that the authority
is authorized to issue, there shall not be counted against such limit
(i) amounts determined by the authority as reasonable to be used to pay
the cost of issuing such bonds, (ii) the amount of bonds that would
constitute interest under the Internal Revenue Code of 1986, as amended,
and (iii) amounts determined by the authority as necessary to establish
any reserves.

The authority shall have the power from time to time to refund any
bonds of the authority 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 of the authority then outstanding and partly to pay the
financeable costs pursuant to section thirty-six hundred fifty-five of
this title. Bonds issued by the authority shall be payable solely out of
particular revenues or other moneys of the authority as may be
designated in the proceedings of the authority under which the bonds
shall be authorized to be issued, subject to any agreements entered into
between the authority and the county, and subject to any agreements with
the holders of outstanding bonds pledging any particular revenues or
moneys; but in no event shall transitional state aid be pledged as
security for or be made available for the payment of bonds.

2. The authority is authorized to issue its bonds for a period ending
not later than December thirty-first, two thousand twenty-one. The
authority may issue bonds to refund bonds previously issued without
regard to the limitation in the first sentence of this subdivision, but
in no event shall any bonds of the authority finally mature later than
January thirty-first, two thousand fifty-one. Notwithstanding any other
provision of law, no bond of the authority shall mature more than thirty
years from the date of its issue.

3. Bonds of the authority may be issued, amortized, redeemed and
refunded without regard to the provisions of the local finance law;
provided, however, that the principal amount of outstanding bonds issued
by the authority shall be deemed to be indebtedness of the county solely
in ascertaining the amount of indebtedness the county may contract
pursuant to the local finance law and the state constitution and the
authority shall not exceed such limitation.

4. The directors may delegate to the chairperson or other director or
officer of the authority the power to set the final terms of bonds.

5. The authority in its sole discretion shall determine that the
issuance of its bonds is appropriate. Bonds shall be authorized by
resolution of the authority. Bonds shall bear interest at such fixed or
variable rates and shall be in such denominations, be in such form,
either coupon or registered, be sold at such public or private sale, be
executed in such manner, be denominated in United States currency, be
payable in such medium of payment, at such place and be subject to such
terms of redemption as the authority may provide in such resolution. No
bonds of the authority may be sold at private sale unless such sale and
the terms thereof have been approved in writing by (a) the state
comptroller where such sale is not to the state comptroller, or (b) the
director of the budget, where such sale is to the state comptroller.

6. As a condition precedent to authorizing the issuance of any bonds
hereunder, the authority may include in any agreement with the county
such provisions as are deemed necessary and appropriate including
express provisions regarding compliance with sections thirty-six hundred
sixty-six and thirty-six hundred sixty-seven of this title, as
applicable.

7. 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 part of the authority's revenues, together with
any other moneys, securities or contracts, to secure the payment of the
bonds, subject to such agreements with bondholders as may then exist;

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

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

(d) limitations on the issuance of additional bonds, the terms upon
which additional bonds may be issued and secured and the refunding of
bonds;

(e) 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;

(f) 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 thirty-six hundred sixty-four 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; and

(g) 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 acts or
omissions to act which may constitute a default and such rights and
remedies shall not be inconsistent with the general laws of the state
and other provisions of this title.

8. 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 for the benefit of the
bondholders as the authority may deem necessary, convenient or desirable
concerning the use or disposition of its revenues or other moneys,
including the entrusting, pledging or creation of any other security
interest in any such revenues, moneys 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.

9. Notwithstanding any provision of the uniform commercial code to the
contrary, 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 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 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 the purposes of the uniform commercial code,
subject only to the provisions of the bonds for registration.

11. Neither the directors of the authority nor any person executing
bonds shall be liable personally thereon or be subject to any personal
liability or accountability solely by reason of the issuance thereof.
The bonds or other obligations of the authority shall not be a debt of
either the state or the county, and neither the state nor the county
shall be liable thereon, nor shall they be payable out of any funds
other than those of the authority; and such bonds shall contain on the
face thereof a statement to such effect.

12. The authority, subject to such agreements with bondholders as then
may exist, shall have power to purchase bonds of the authority out of
any moneys available therefor, which shall thereupon be cancelled.