New York Laws
Title 4 - Dormitory Authority
1680-N - Acquisition of State Buildings and Other Facilities.

§ 1680-n. Acquisition of state buildings and other facilities. 1.
Notwithstanding the provisions of any other law to the contrary, the
authority and the urban development corporation are hereby authorized to
issue bonds or notes in one or more series for the purpose of funding
project costs for the acquisition of state buildings and other
facilities. The aggregate principal amount of bonds authorized to be
issued pursuant to this section shall not exceed one hundred sixty-five
million dollars, excluding bonds issued to fund one or more debt service
reserve funds, to pay costs of issuance of such bonds, and bonds or
notes issued to refund or otherwise repay such bonds or notes previously
issued. Such bonds and notes of the authority and the urban development
corporation shall not be a debt of the state, and the state shall not be
liable thereon, nor shall they be payable out of any funds other than
those appropriated by the state to the authority and the urban
development corporation for principal, interest, and related expenses
pursuant to a service contract and such bonds and notes shall contain on
the face thereof a statement to such effect. Except for purposes of
complying with the internal revenue code, any interest income earned on
bond proceeds shall only be used to pay debt service on such bonds.

2. Notwithstanding any other provision of law to the contrary, in
order to assist the authority and the urban development corporation in
undertaking the financing of the acquisition of state buildings and
other facilities, the director of the budget is hereby authorized to
enter into one or more service contracts with the authority and the
urban development corporation, none of which shall exceed twenty-two
years in duration, upon such terms and conditions as the director of the
budget and the authority and the urban development corporation agree, so
as to annually provide to the authority and the urban development
corporation, in the aggregate, a sum not to exceed the principal,
interest, and related expenses required for such bonds and notes. Any
service contract entered into pursuant to this section shall provide
that the obligation of the state to pay the amount therein provided
shall not constitute a debt of the state within the meaning of any
constitutional or statutory provision and shall be deemed executory only
to the extent of monies available and that no liability shall be
incurred by the state beyond the monies available for such purpose,
subject to annual appropriation by the legislature. Any such contract or
any payments made or to be made thereunder may be assigned and pledged
by the authority and the urban development corporation as security for
its bonds and notes, as authorized by this section.

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