N.Y.
Public Authorities Law Section 3866
Agreement with the state
1.
The state does hereby pledge to and agree with the holders of any issue of bonds, notes or other obligations issued by the authority pursuant to this title and secured by such a pledge that the state will not limit, alter or impair the rights hereby vested in the authority to fulfill the terms of any agreements made with such holders pursuant to this title, or in any way impair the rights and remedies of such holders or the security for such bonds, notes or other obligations until such bonds, notes or other obligations together with the interest thereon and all costs and expenses in connection with any action or proceeding by or on behalf of such holders, are fully paid and discharged. The authority is authorized to include this pledge and agreement of the state in any agreement with the holders of such bonds, notes or other obligations. Nothing contained in this title shall be deemed to restrict any right of the state to amend, modify, repeal or otherwise alter:(a)
State Finance Law § 54 (Per capita state aid for the support of local government)section fifty-four of the state finance law or any other provision relating to state aid, or(b)
statutes imposing or relating to taxes or fees, or appropriations relating thereto.2.
The authority shall not include within any resolution, contract or agreement with holders of the bonds, notes or other obligations issued under this title any provision which provides that a default occurs as a result of the state exercising its right to amend, repeal, modify or otherwise alter:(a)
State Finance Law § 54 (Per capita state aid for the support of local government)section fifty-four of the state finance law or any other provision relating to state aid or (b) statutes imposing or relating to taxes, fees, or appropriations relating thereto. Nothing in this title shall be deemed to obligate the state to make any payments or impose any taxes to satisfy the debt service obligations of the authority.
Source:
Section 3866 — Agreement with the state, https://www.nysenate.gov/legislation/laws/PBA/3866 (updated Sep. 22, 2014; accessed Oct. 26, 2024).
