Section 265.
§ 265. Allocation of authorization to department of citywide
administrative services. So much of the amount of any obligation
authorized as is applicable to the purchase of supplies, materials and
equipment or the provision of services, utilities or facilities which
the department of citywide administrative services is authorized to
purchase or provide shall be allotted to the department of citywide
administrative services, but shall be considered and accounted for as a
part of the cost of the project for which the obligations were
authorized.
Section 265-a.
§ 265-a. Allocation of authorizations to department of design and
construction. So much of the amount of any obligation authorized as is
applicable to the completion of construction projects, acquisition of
real property or acquisition of personal property in connection with
construction or a capital project by the department of design and
construction, including but not limited to the provision of services,
utilities or facilities of such department, shall be allotted to the
department of design and construction, but shall be considered and
accounted for as a part of the cost of the project for which the
obligations were authorized.
Section 266.
§ 266. Short term debt. a. Subject to the provisions of subdivisions b
through j of this section, the city may issue temporary debt obligations
in anticipation of taxes and revenues as authorized by state law. The
city shall issue no short-term obligations which shall be inconsistent
with the limitations set forth in subdivisions b through j of this
section. The limitations on short-term borrowing imposed upon the city
by this section shall be in addition to the limitations on short-term
borrowing imposed on the city under the state local finance law. The
powers, duties, and obligations set forth in this section shall be
subject to the powers, duties, and obligations placed upon any state or
local officer or agency, including but not limited to the New York state
financial control board, by or pursuant to the New York State Financial
Emergency Act for the City of New York, while such act remains in
effect.
b. Revenue or tax anticipation notes shall be issued against a
specific tax or revenues receivable which are clearly identified by
source and fiscal year.
c. If the amount of taxes or revenues receivable against which
anticipation notes have been issued becomes equal to the amount of such
notes outstanding, the city shall deposit all further funds obtained
from such sources into a segregated bank account which may be used only
to redeem such debt upon maturity.
d. The city shall not issue anticipation notes against taxes or
revenues which have been receivable for more than two years.
e. No tax anticipation notes shall be issued by the city in
anticipation of the collection of taxes or assessments levied for a
fiscal year which would cause the principal amount of such issue of tax
anticipation notes to exceed an amount equal to ninety percent of the
available tax levy with respect to such issue. For purposes of this
subdivision, "available tax levy" with respect to an issue of tax
anticipation notes means at any date of computation the total amount of
city real estate taxes or assessments projected, consistent with the
financial plan then in effect, to be received in cash on or before the
fifth day preceding the maturity date of such tax anticipation note
issue, less amounts required during the period between the date of
computation and the fifth day preceding such maturity date to be paid
into a general debt service fund or otherwise required to pay interest
payable on other outstanding city bonds and notes, principal (including
payments into sinking funds) coming due on outstanding city bonds and
principal to be paid from sources other than the proceeds of bonds or
renewal notes on other outstanding city notes (exclusive of revenue
anticipation notes or renewals thereof issued less than two years prior
to the date of computation) but not including payments from sinking
funds required by the terms of certain city bonds.
f. Tax anticipation notes and renewals thereof shall mature not later
than the last day of the fiscal year in which they were issued.
g. (1) No revenue anticipation note shall be issued by the city in
anticipation of the collection or receipt of revenue in a fiscal year
which would cause the principal amount of revenue anticipation notes
outstanding to exceed ninety percent of the available revenues for such
fiscal year. For purposes of this subdivision, "available revenues"
shall be the revenues other than real estate taxes and assessments which
have been estimated in the financial plan prepared pursuant to section
two hundred fifty eight to be realized in cash during such year, less
revenues previously collected, other than revenues on deposit in any
special fund or account established pursuant to law for the payment of
interest and/or principal of revenue anticipation notes.
(2) Each issue of revenue anticipation notes shall be issued only in
anticipation of the receipt of a specific type or types of revenue and
the amount of revenue, the source of revenue and the anticipated date of
payment shall be stated in the proceedings authorizing the issuance of
such notes.
(3) Revenue anticipation notes shall mature not later than the last
day of the fiscal year in which they were issued, and may not be renewed
or extended to a date more than ten days after the anticipated date of
receipt of such revenue. No such renewal note shall mature after the
last day of such fiscal year unless the mayor shall certify that the
revenue against which such renewal note is issued has been properly
accrued and estimated in the financial plan set forth in section two
hundred fifty-eight in effect on the date of issuance of such renewal
note; provided that in no event shall any such renewal notes mature
later than one year subsequent to the last day of the fiscal year during
which such revenue anticipation notes were originally issued.
h. (1) No bond anticipation note shall be issued by the city in any
fiscal year which would cause the principal amount of bond anticipation
notes outstanding, together with interest due or to become due thereon,
to exceed fifty percent of the principal amount of bonds issued by the
city in the twelve months immediately preceding the month in which the
note is to be issued.
(2) The proceeds of each bond issued shall be (i) held in trust for
the payment, at maturity, of the principal of and interest on any bond
anticipation notes of the city issued in anticipation of such bonds and
outstanding at the time of the issuance of such bonds, (ii) paid into
the general fund of the city in repayment of any advance made from such
fund pursuant to section 165.10 of the state local finance law, and
(iii) any balance shall be expended for the object or purpose for which
such bonds were issued.
(3) Bond anticipation notes shall mature not later than one year after
their date of issuance and may be renewed for a period not to exceed two
years, or such longer period as may be permitted for bond anticipation
notes of the state, from the date of original issue.
i. Budget notes issued pursuant to section 29.00 of the state local
finance law may only be issued to fund projected expense budget
deficits. No budget notes or renewals thereof shall mature later than
sixty days prior to the last day of the fiscal year next succeeding the
fiscal year during which such budget notes were originally issued.
j. All references to the state local finance law in this section shall
be deemed to refer to the provisions of the New York state local finance
law as such provisions may be amended over time or any successor
provisions thereto.
Section 270.
§ 270. Application. The provisions of this chapter shall apply to the
several sinking funds of the city established prior to July first,
nineteen hundred eighty-one.
Section 271.
§ 271. Sinking fund of the city of New York. There is hereby continued
the fund known as the "sinking fund of the city of New York" which shall
have for its purpose the amortization and redemption of the principal of
the debt of the city of New York incurred on and after the first day of
January, eighteen hundred ninety-eight, and evidenced by corporate stock
of the city of New York, excepting that issued to provide for the supply
of water and that issued since the first day of January, nineteen
hundred ten, for rapid transit or rapid transit unification purposes and
that issued since the first day of July nineteen hundred eighty-one
which is redeemable from the general sinking fund or any other sinking
fund established pursuant to chapter 11-A of this charter.
Section 272.
§ 272. Water sinking fund of the city of New York. There is hereby
continued the fund known as the "water sinking fund of the city of New
York" which shall have for its purpose the amortization and redemption
of all corporate stock of the city of New York issued on and after the
first day of January, eighteen hundred ninety-eight, to provide for the
supply of water, excepting that issued since the first day of July
nineteen hundred eighty-one which is redeemable from the general sinking
fund or any other sinking fund established pursuant to chapter 11-A of
this charter.
Section 273.
§ 273. Rapid transit sinking fund of the city of New York. There is
hereby continued the fund known as the "rapid transit sinking fund of
the city of New York" which shall have for its purpose the amortization
and redemption of all corporate stock of the city of New York issued on
and after the first day of January, nineteen hundred ten, for rapid
transit purposes, excepting that issued since the first day of July
nineteen hundred eighty-one which is redeemable from the general sinking
fund or any other sinking fund established pursuant to chapter 11-A of
this charter.
Section 273-a.
§ 273-a. Transit unification sinking fund of the city of New York.
There is hereby continued the fund known as the "transit unification
sinking fund of the city of New York" which shall have for its purpose
the amortization and redemption of all corporate stock of the city of
New York issued on and after the first day of January, nineteen hundred
thirty-nine, for transit unification purposes.
Section 274.
§ 274. Administration of sinking funds. The comptroller shall
administer and manage the several sinking funds of the city established
prior to July first, nineteen hundred eighty-one, and shall have custody
of the securities in such funds. In the administration of such funds the
comptroller shall be deemed to be acting in a fiduciary capacity. Where
moneys of such sinking funds are invested pursuant to section two
hundred seventy-five of this charter, in securities which are
obligations of the United States or of any agency, subdivision,
department, division or instrumentality thereof, or obligations fully
guaranteed or insured as to interest and principal by an agency,
subdivision, department, division or instrumentality of the United
States, acting pursuant to a grant of authority from the congress of the
United States, notwithstanding any other provision of law, the
comptroller may turn over the physical custody and safekeeping of these
obligations to (a) any bank or trust company incorporated in this state,
or (b)any national bank located in this state, or (c) any private banker
duly authorized by the superintendent of banks of this state to engage
in business here. All such private bankers shall, as private bankers,
maintain a permanent capital of not less than one million dollars in
this state. The comptroller may direct such bank, trust company or
private banker to register and hold any such securities in its custody,
in the name of its nominee. The comptroller may deposit, or authorize
such bank, trust company or private banker, to deposit, or arrange for
the deposit of, any of such securities with a federal reserve bank to be
credited to an account as to which the ownership of, and other interest
in, such securities may be transferred by entries on the books of such
federal reserve bank without physical delivery of any such securities.
The records of any such bank, trust company or private banker shall
show, at all times, the ownership of such obligations, and they shall,
when held in the possession of such bank, trust company or private
banker be, at all times, kept separate from the assets of such bank,
trust company or private banker. When any such obligations are so
registered in the name of a nominee, such bank, trust company or private
banker shall be absolutely liable for any loss occasioned by the acts of
such nominee with respect to such obligations.
Section 275.
§ 275. Investment of sinking fund moneys. The comptroller may invest
the moneys of the several sinking funds of the city established prior to
July first, nineteen hundred eighty-one in any of the following
securities:
1. Obligations of the city of New York.
2. Obligations of the state of New York.
3. Obligations of the United States or of any agency, subdivision,
department, division or instrumentality thereof, or obligations fully
guaranteed or insured as to interest and principal by any agency,
subdivision, department, division or instrumentality of the United
States, acting pursuant to a grant of authority from the congress of the
United States.
4. Obligations of the municipal assistance corporation for the city of
New York.
Section 276.
§ 276. Annual appropriations to the sinking funds. For the redemption
of the corporate stock redeemable from the several sinking funds of the
city established prior to July first, nineteen hundred eighty-one there
shall be included annually in the budget and paid into each of such
sinking funds an amount to be estimated and certified by the
comptroller, which amount shall be not less than the aggregate of such
annual contributions, as calculated at the time each issue of corporate
stock redeemable from such sinking fund was made, would be sufficient if
thereafter annually contributed to such fund together with the
accumulations of interest thereon computed at the rate of four per
centum per annum to meet and discharge such outstanding corporate stock
when the same shall be payable; provided, however, that if at the close
of a fiscal year there is in any sinking fund a surplus over and above
the reserve required by such sinking fund computed as hereinabove
provided, the comptroller, in estimating the amount to be included for
such sinking fund in the budget, shall reduce the amount of the annual
contributions by the amount of such surplus.
Amounts received annually from the operation of any rapid transit
railroad for the construction, equipment or acquisition of which
corporate stock redeemable from any such fund shall have been issued,
shall not be considered or treated as surplus, but such amounts shall be
deducted from the amount certified by the comptroller for the budget for
the ensuing year.
Section 277.
§ 277. Monthly report. Not later than the tenth day in each month, the
comptroller shall submit to the mayor and the council a certified
report, which shall be published forthwith in the City Record, setting
forth the operations of the several sinking funds during the preceding
month and the condition of such funds at the commencement and close of
such month and such other information as may be required.
Section 278.
§ 278. Annual report. Not later than the first day of September in
each year, the comptroller shall submit to the mayor and the council a
certified report, which shall be published forthwith in convenient form
as a supplement to the City Record and which shall set forth in detail
the operations of the several sinking funds during the preceding fiscal
year, the reserves required, the assets of such funds at the close of
such year, the obligations redeemable from such funds, the dates of
their maturities and such other information as may be required.
Section 290.
§ 290. Application. The provisions of sections two hundred ninety-one
through two hundred ninety-nine shall apply to the establishment,
operation and administration of sinking funds established on or after
July first, nineteen hundred eighty-one.
Section 291.
§ 291. General sinking fund. There is hereby established a general
sinking fund to amortize and redeem any or all of the sinking fund bonds
issued and sold from time to time by the city of New York on or after
July first, nineteen hundred eighty-one for any purpose for which
sinking fund bonds may be authorized, excepting sinking fund bonds which
are redeemable from the sinking fund of the city of New York, the water
sinking fund of the city of New York, the rapid transit sinking fund of
the city of New York, or any additional sinking fund established
pursuant to section two hundred ninety-eight.
Section 292.
§ 292. Administration. The comptroller shall administer and manage the
general sinking fund and any additional sinking funds established
pursuant to section two hundred ninety-eight of this chapter and shall
have custody of the securities and other assets in such funds. In the
administration of such funds the comptroller shall be deemed to be
acting in a fiduciary capacity.
Section 293.
§ 293. Terms and conditions with respect to the general sinking fund.
a. The comptroller may:
(1) provide for the redemption, purchase and cancellation prior to
maturity of sinking fund bonds redeemable from the general sinking fund;
(2) establish accounts within the general sinking fund for the
amortization and redemption of specific issues of sinking fund bonds and
provide for restrictions on the use of assets of any such account for
purposes other than the redemption of the sinking fund bonds to be
redeemed from such account; and
(3) subject to the rights of bondholders and notwithstanding any other
provision of this charter (i) withdraw moneys from the general sinking
fund, or (ii) transfer any or all responsibility for the administration
and management of the general sinking fund and the custody of securities
and other assets contained therein to any bank or trust company
incorporated in this state, or any national bank located in this state.
b. The sinking fund bonds of a particular series redeemable from the
general sinking fund may differ among themselves in their stated
maturities, rates of interest and applicable redemption provisions.
c. A schedule of annual or semiannual payments shall be established at
the time of issuance of any series of sinking fund bonds redeemable from
the general sinking fund sufficient to provide for the redemption of the
principal amount of such bonds, and annual appropriations shall be made
to the general sinking fund in accordance with such schedule of
payments.
Section 294.
§ 294. Redemption. The sinking fund bonds to be redeemed from the
general sinking fund or any additional sinking funds established
pursuant to section two hundred ninety-eight may be selected in such
manner as the comptroller may determine and may be identified on the
face thereof. The principal amount of sinking fund bonds required to be
redeemed on any date by payment from the general sinking fund or any
additional sinking fund shall be reduced by the principal amount of any
such bonds which has been timely purchased or redeemed and cancelled by
the city and not theretofore applied as a credit against such
requirements.
Section 295.
§ 295. Defeasance. A series or part of a series of sinking fund bonds
redeemable from the general sinking fund or any additional sinking fund
established pursuant to section two hundred ninety-eight, including any
covenants or other agreements relative thereto, shall be fully
discharged and of no further force and effect at such time as (a)
sufficient moneys or direct obligations of the United States or
obligations guaranteed by the United States have been deposited in a
separate trust account with a bank, trust company or other fiduciary,
the principal of and/or interest on which will provide sufficient moneys
to pay punctually when due at maturity or prior to maturity by
redemption, in accordance with their terms, all principal of, applicable
redemption premium, if any, and interest on such sinking fund bonds, and
irrevocable instructions from the city to such bank, trust company or
other fiduciary to make payment of such principal, applicable redemption
premium, if any, and interest with such moneys shall have been given, or
(b) such sinking fund bonds, together with interest thereon, shall have
been paid in full at maturity, or shall have otherwise been refunded,
redeemed, defeased or discharged.
Section 296.
§ 296. Investments. Subject to subdivision a of section two hundred
ninety-three, the comptroller may invest the moneys of the general
sinking fund or any additional sinking funds established pursuant to
section two hundred ninety-eight in any securities in which the city is
authorized to invest, including but not limited to the following
securities:
(1) Obligations of the city of New York;
(2) Obligations of the state of New York:
(3) Obligations of the United States or of any agency, subdivision,
department, division or instrumentality thereof, or obligation fully
guaranteed or insured as to interest and principal by an agency,
subdivision, department, division or instrumentality of the United
States, acting pursuant to a grant of authority from the congress of the
United States;
(4) Obligations of the municipal assistance corporation for the city
of New York.
Section 297.
§ 297. The provisions of sections two hundred seventy-seven and two
hundred seventy-eight of the charter shall apply to the general sinking
fund and any additional sinking funds established pursuant to section
two hundred ninety-eight.
Section 298.
§ 298. Additional sinking funds. On or after July first nineteen
hundred eighty-one the comptroller may establish from time to time
additional sinking funds to amortize and redeem any or all of the
sinking fund bonds issued ad sold from time to time by the city of New
York on or after that date for any purpose for which sinking fund bonds
may be authorized excepting sinking fund bonds which are redeemable from
the sinking fund of the city of New York, the water sinking fund of the
city of New York, the rapid transit sinking fund of the city of New York
or the general sinking fund. Notwithstanding any inconsistent provision
of section two hundred ninety-three, such additional sinking funds shall
be established with such terms and conditions as the comptroller shall
prescribe.
Section 299.
§ 299. The comptroller shall determine whether sinking fund bonds
issued on or after July first, nineteen hundred eighty-one shall be
redeemable from any of the several sinking funds of the city established
prior to July first, nineteen hundred eighty-one, the general sinking
fund or any of the additional sinking funds established pursuant to
section two hundred ninety-eight.
To the extent possible under law, Friends of Devin Balkind for Public Advocate has waived all copyright and related or neighboring rights to New York City Administrative Code. This work is published from: United States.
Special thanks to Benjarmin Kallos and Thom Neale who made this content publicly available as a bulk download.