Bill Text: NY A09789 | 2013-2014 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relates to the special powers of the environmental facilities corporation.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2014-06-11 - print number 9789a [A09789 Detail]

Download: New_York-2013-A09789-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         9789
                                 I N  A S S E M B L Y
                                     May 22, 2014
                                      ___________
       Introduced  by  M.  of  A.  SWEENEY  -- (at request of the Environmental
         Facilities Corporation) -- read once and referred to the Committee  on
         Environmental Conservation
       AN  ACT  to amend the public authorities law, in relation to the special
         powers of the New York state environmental facilities corporation
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.  Subdivision 6 of section 1285-j of the public authorities
    2  law, as amended by chapter 307 of the laws of 2005, is amended  to  read
    3  as follows:
    4    6.  Moneys  in  the  water  pollution  control  revolving  fund may be
    5  invested as provided in  subdivision  four  of  section  twelve  hundred
    6  eighty-four  of this title and may be further invested (a) in investment
    7  agreements continuously secured by obligations  with  any  insurance  or
    8  reinsurance company or corporate affiliate thereof rated by a nationally
    9  recognized rating agency in one of its two highest categories, any bank,
   10  trust company or broker or dealer, as defined by the securities exchange
   11  act  of  1934,  which is a dealer in government bonds, which reports to,
   12  trades with and is recognized as a primary dealer by a  federal  reserve
   13  bank and is a member of the securities investors protection corporation,
   14  if,  (i)  such obligations securing such investment agreements are obli-
   15  gations as set forth in section ten of the general municipal  law,  (ii)
   16  such  obligations  are  delivered  to  a  trustee for the benefit of the
   17  corporation or, with respect to moneys pledged  under  an  indenture  of
   18  trust  relating  to  bonds  or  notes of the corporation, to the trustee
   19  under such indenture, or are supported by a safe keeping receipt  issued
   20  by  a depository satisfactory to the corporation as applicable, provided
   21  that such investment agreements must  provide  that  the  value  of  the
   22  underlying  obligations  shall  be maintained at a current market value,
   23  calculated no less frequently than monthly, of not less than the  amount
   24  deposited  thereunder,  (iii) a prior perfected security interest in the
   25  obligations which are securing such agreement has been  granted  to  the
   26  corporation, as applicable, and (iv) such obligations are free and clear
   27  of  adverse  third  party  claims, or (b) in obligations as set forth in
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD13980-03-4
       A. 9789                             2
    1  section ten of the general municipal law, OTHER THAN  THOSE  OBLIGATIONS
    2  SET  FORTH  IN  SUBPARAGRAPH  (IV)  OF PARAGRAPH F OF SUBDIVISION ONE OF
    3  SECTION TEN OF THE GENERAL MUNICIPAL LAW, that are rated by a nationally
    4  recognized rating agency in one of its two highest rating categories, OR
    5  (C)  IN  OBLIGATIONS AS SET FORTH IN SUBPARAGRAPH (IV) OF PARAGRAPH F OF
    6  SUBDIVISION ONE OF SECTION TEN OF THE GENERAL  MUNICIPAL  LAW  THAT  ARE
    7  RATED BY A NATIONALLY RECOGNIZED RATING AGENCY IN ONE OF ITS THREE HIGH-
    8  EST  RATING  CATEGORIES, OR (D) IN OBLIGATIONS OF ANY AGENCY, INSTRUMEN-
    9  TALITY OR GOVERNMENTAL ENTITY OF ANOTHER STATE  THAT  ARE  RATED  BY  AT
   10  LEAST  ONE NATIONALLY RECOGNIZED RATING AGENCY IN ONE OF ITS TWO HIGHEST
   11  RATING CATEGORIES.
   12    S 2. Subdivision 6 of section 1285-m of the public authorities law, as
   13  amended by chapter 307 of the laws  of  2005,  is  amended  to  read  as
   14  follows:
   15    6.  Moneys  in  the  drinking  water revolving fund may be invested as
   16  provided in subdivision four of section twelve  hundred  eighty-four  of
   17  this title and may be further invested:
   18    (a)  in investment agreements continuously secured by obligations with
   19  any insurance company or  reinsurance  company  or  corporate  affiliate
   20  thereof rated by a nationally recognized rating agency in one of its two
   21  highest  categories,  any  bank,  trust  company or broker or dealer, as
   22  defined by the securities exchange act of 1934, which  is  a  dealer  in
   23  government  bonds,  which reports to, trades with and is recognized as a
   24  primary dealer by a federal reserve bank and is a member of the  securi-
   25  ties  investors  protection  corporation,  if  such investment agreement
   26  provides that:
   27    (i) such obligations securing such  investment  agreements  are  obli-
   28  gations as set forth in section ten of the general municipal law;
   29    (ii) such obligations are to be delivered to a trustee for the benefit
   30  of the corporation or, with respect to moneys pledged under an indenture
   31  of  trust  or  trust  agreement relating to bonds or notes of the corpo-
   32  ration, to the trustee under such indenture or trust agreement,  or  are
   33  supported  by a safe keeping receipt issued by a depository satisfactory
   34  to the corporation as applicable, provided that such  investment  agree-
   35  ments must provide that the value of the underlying obligations shall be
   36  maintained at a current market value, calculated no less frequently than
   37  monthly, of not less than the amount deposited thereunder;
   38    (iii) a prior perfected security interest in the obligations which are
   39  securing  such agreement has been granted to the corporation, such trus-
   40  tee or such depository as applicable; and
   41    (iv) such obligations are  free  and  clear  of  adverse  third  party
   42  claims; or
   43    (b)  in obligations as set forth in section ten of the general munici-
   44  pal law, OTHER THAN THOSE OBLIGATIONS SET FORTH IN SUBPARAGRAPH (IV)  OF
   45  PARAGRAPH  F  OF SUBDIVISION ONE OF SECTION TEN OF THE GENERAL MUNICIPAL
   46  LAW, that are rated by a nationally recognized rating agency in  one  of
   47  its two highest rating categories; OR
   48    (C) IN OBLIGATIONS AS SET FORTH IN SUBPARAGRAPH (IV) OF PARAGRAPH F OF
   49  SUBDIVISION  ONE  OF  SECTION  TEN OF THE GENERAL MUNICIPAL LAW THAT ARE
   50  RATED BY A NATIONALLY RECOGNIZED RATING AGENCY IN ONE OF ITS THREE HIGH-
   51  EST RATING CATEGORIES; OR
   52    (D) IN OBLIGATIONS OF  ANY  AGENCY,  INSTRUMENTALITY  OR  GOVERNMENTAL
   53  ENTITY OF ANOTHER STATE THAT ARE RATED BY AT LEAST ONE NATIONALLY RECOG-
   54  NIZED RATING AGENCY IN ONE OF ITS TWO HIGHEST RATING CATEGORIES.
   55    S  3.  This  act shall take effect immediately; provided, however that
   56  the amendments to subdivision 6 of section 1285-j and subdivision  6  of
       A. 9789                             3
    1  section  1285-m  of  the public authorities law made by sections one and
    2  two of this act shall not affect the expiration and  reversion  of  such
    3  subdivisions and shall expire and be deemed repealed therewith.