§ 3861. Declaration of need for financing assistance to the city. 1.
The city shall determine and declare whether it requests the authority
to undertake a financing of costs, including costs of the city's
dependent school district or any other covered organization. Any such
request shall be made by and through the mayor after approval by the
council. Any such financing shall be consistent with the adopted budget
and financial plan of the city required under sections thirty-eight
hundred fifty-six and thirty-eight hundred fifty-seven of this title, as
applicable.

2. Upon declaration by the city of such need, the mayor shall request
that the authority provide financing in accordance with the provisions
of this title.

3. Upon approval by the authority, in its discretion in accordance
with the provisions of this title, of such financing request, the
authority may enter into agreements with the city, for itself or on
behalf of the city's dependent school district or any other covered
organization, as applicable, and the city, acting by the mayor, approved
by the council, may enter into agreements with the authority in
accordance with the provisions of this title as to the financing of
costs by the authority, the application of revenues to the authority to
secure its bonds, notes or other obligations, and further assurances in
respect of the authority's receipt of such revenues and the fiscal
affairs of the city, including but not limited to the manner of
preparation of budget reports and financial plans as provided for in
sections thirty-eight hundred fifty-six and thirty-eight hundred
fifty-seven of this title, as applicable. The authority's revenues shall
not be deemed funds of the city. Any such agreements with the city may
be pledged by the authority to secure its bonds, notes or other
obligations and may not be modified thereafter except as provided by the
terms of the pledge.

4. Such agreements with the city shall (a) describe the particular
financeable costs to be financed in whole or in part by the authority,
(b) describe the plan for the financing of the costs, (c) set forth the
method by which and by whom and the terms and conditions upon which
money provided by the authority shall be disbursed to the city for
itself or on behalf of the city's dependent school district or other
covered organization, as applicable, (d) where appropriate, provide for
the payment of such costs by the city under such contracts as shall be
awarded by the city or for the city to make a capital contribution of
such proceeds as city funds to another entity for the payment or
reimbursement of such costs, and (e) require every contract entered into
by the city, or another entity receiving funds from the city, for costs
to be financed in whole or in part by the authority to be subject to the
provisions of the city charter and other applicable laws governing
contracts of the city or such entity, as the case may be.

5. At least annually, commencing no more than one year after the date
on which authority bonds, notes or other obligations are first issued,
the mayor shall report to the authority, the comptroller, the council,
the state comptroller, the chairs of the senate finance committee and
the assembly ways and means committee, and the director of the budget on
the costs financed by the authority and the amount of such financing
over the past year, which report shall describe, by reference to the
specific items in the city's budget or financial plan, its compliance
therewith.