N.Y. Public Authorities Law Section 3565
Agreement with state

The state does hereby pledge to and agree with the holders of any bonds issued by the corporation pursuant to this title and with those persons or public corporations who may enter into contracts with the corporation pursuant to the provisions of this title that the state will not alter, limit or impair the rights hereby vested in the corporation to purchase, construct, own and operate, maintain, repair, improve, reconstruct, renovate, rehabilitate, enlarge, increase and extend, or dispose of any project, or any part or parts thereof for which bonds of the corporation shall have been issued, to establish and collect rates, rents, fees and other charges referred to in this title, to fulfill the terms of any contracts or agreements made with or for the benefit of the holders of bonds or with any person or public corporation with reference to such project or part thereof, or in any way to impair the rights and remedies of the holders of bonds, until the bonds, together with interest thereon, including interest on any unpaid installments of interest, and all costs and expenses in connection with any action or proceeding by or on behalf of the holders of bonds, are fully met and discharged and such contracts are fully performed on the part of the corporation, provided, however, that the state reserves the right to adjust its medicaid rates in accordance with applicable law and implementing regulations, if any. The corporation shall include this pledge and agreement of the state in any agreement with the holders of bonds. In no event shall the provisions of this section limit the applicability and enforceability of any and all terms and conditions included in any contract or contracts entered into pursuant to subdivision two of section four hundred three of the public health law.

Source: Section 3565 — Agreement with state, https://www.­nysenate.­gov/legislation/laws/PBA/3565 (updated Sep. 22, 2014; accessed Jul. 13, 2024).

Jul. 13, 2024

Last modified:
Sep. 22, 2014

§ 3565’s source at nysenate​.gov

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