What's happening
This bill authorizes the Binghamton City School District to extend and renew certain bond anticipation notes for school construction financing for up to seven years.
Why it matters
Allows the Binghamton City School District more time to manage its debt payments. for the MacArthur Elementary School construction, which could help avoid sudden budget pressures or higher taxes in the short term.
Overrides standard New York State local finance law. by granting a special extension for these specific bond anticipation notes, showing legislative willingness to provide targeted flexibility for school districts facing unusual financing challenges.
Requires annual repayment of part of the debt during the extension period,. ensuring the district continues to make progress on paying down the principal rather than simply delaying all payments.
Could set a precedent for other school districts. seeking special legislative approval to extend or restructure their construction financing, potentially influencing future school funding policy in New York.
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Headline styles
Extend Binghamton School Bond Payments
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Signed chap.317
- Delivered to governor
- Returned to senate
- Passed assembly
- Ordered to third reading rules cal.267
- Substituted for A5483A
- Referred to ways and means
- Delivered to assembly
- Passed senateVote 62–0
- Ordered to third reading cal.1335
- Committee discharged and committed to rules
- Print number 2459a
Show 2 earlier actions
- Amend and recommit to local government
- Referred to local government
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Extend Binghamton School Bond Terms
Assembly Floor Calendar · Sponsor Donna Lupardo
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2459--A
2019-2020 Regular Sessions
IN SENATE
January 25, 2019
Introduced by Sen. AKSHAR -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government -committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee
AN ACT making certain findings and determinations with respect to certain bond anticipation notes issued by the city school district of the city of Binghamton, and authorizing the issuance of obligations of such school district with respect thereto
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Legislative findings. It is hereby found and determined that the city school district of the city of Binghamton had duly adopted a bond resolution on February twelfth, two thousand thirteen authorizing the construction of a new Mac Arthur Elementary School at a maximum estimated cost of seventy-nine million five hundred thirty thousand dollars and authorizing the issuance of serial bonds of such school district not exceeding seventy-seven million eight hundred forty-three thousand dollars to pay a portion of the cost thereof and that, pursuant to such bond resolution, such school district has heretofore issued the following obligations:
(a) a bond anticipation note in the principal amount of twenty million dollars issued on November twenty-first, two thousand thirteen, which matured on November twenty-first, two thousand fourteen;
(b) a bond anticipation note in the principal amount of sixty million dollars issued on November twenty-first, two thousand fourteen, which matured November twentieth, two thousand fifteen, constituting a renewal financing of twenty million dollars and a second series of new money original financing of forty million dollars;
(c) a bond anticipation renewal note in the principal amount of fifty-nine million six hundred eighty thousand dollars issued on Novem-
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06345-03-9
S. 2459--A 2
ber twentieth, two thousand fifteen, which matured on November eighteenth, two thousand sixteen;
(d) a bond anticipation renewal note in the principal amount of twenty-six million dollars issued on November seventeenth, two thousand sixteen, which matured on November seventeenth, two thousand seventeen;
(e) a bond anticipation renewal note in the principal amount of twenty-five million four hundred ninety thousand dollars issued on November sixteenth, two thousand seventeen, which matured on November sixteenth, two thousand eighteen; and
(f) a bond anticipation renewal note in the principal amount of twenty-four million nine hundred forty thousand dollars issued on November sixteenth, two thousand eighteen, which matures on November fifteenth, two thousand nineteen.
§ 2. Notwithstanding the provisions of paragraph b of section 23.00 of the local finance law, the bond anticipation renewal note described in subdivision (f) of section one of this act, hereby authorized to be renewed, and the maturity thereof, including the maturity of renewals thereof, may extend for a period not to exceed seven years beyond the respective original date of issue of such bond anticipation note, with annual redemption of a portion thereof consistent with the amortization requirements of section 21.00 of the local finance law.
§ 3. This act shall take effect immediately.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act making certain findings and determinations with respect to certain bond anticipation notes issued by the city school district of the city of Binghamton, and authorizing the issuance of obligations of such school district with respect thereto
Purpose or general idea of bill
The purpose of this bill is to authorize the issuance of certain bond anticipation renewal notes of the City of Binghamton School District issued in connection with the construction of a new school. The Mac Arthur Elementary School was reconstructed after it was destroyed by flooding caused by Tropical Storm Lee. In order to permit the issuance of further bond anticipation renewal notes of the School District for a period in excess of the current statutory limit of five years, the proceeds of which, together with available current funds of the School District in amounts as shall be consistent with the requirement of the local finance law, shall be used to refinance the latest outstanding bond anticipation renewal note issued for the aforesaid purpose.
Summary of provisions
Section 1: Describes the obligations for which continued renewal as bond anticipation notes is being authorized by the bill and makes findings and determinations with respect to such obligations, including the amounts, dates of issuance, maturity dates, and purposes for which such obligations were issued.
Read the full memo (628 words)
Section 2: Authorizes certain other bond anticipation renewal notes described in section one of the bill to be renewed and the maturity thereof including the maturity of renewals to be extended for a period not to exceed seven years beyond the original date of issue of such bond anticipation notes.
Section 3: Provides that the act shall take effect immediately.
Justification
The obligations authorized to be refinanced by the bill were issued in accordance with the provisions of paragraph b of section 23.00 of the local finance law. Due to a delay in the processing and receipt of federal aid from the Federal Emergency Management Agency, the School District does not expect to receive, by the time that the currently outstanding obligation becomes due, the aid to pay off a significant, and yet to be determined, portion of the outstanding obligation. The renewal of such obligation may not extend more than five years beyond the original date of issue pursuant to paragraph b of section 23.00 of the Local Finance Law. (The first obligation, issued in 2013. has been paid in full prior to its fifth anniversary date in accordance with the requirement). Therefore, in accordance with existing law, before Novem- ber 21, 2019, the remaining outstanding obligation must be refinanced with serial bonds, after the annual principal pay down amount for 2019 is made, consistent with the amortization requirements provided in Section 21.00 of the Local Finance Law.
By passing this bill, the School District will be enabled to temporarily delay issuing long term serial bonds and await the determination of the amount of the project to be paid with federal aid before issuing the bonds. Thereafter, such bonds would be issued in the remaining local share cost of the project.
The acts being legalized by the provisions of the bill cannot be accom- plished pursuant to the provisions of section two hundred twenty-seven of the county law or by enactment of local law. Accordingly, this special legislation, which would take effect immediately, is necessary.
A similar extension of bond anticipation renewal notes to permit the bonds to mature beyond five years was granted to all issuers of such obligations originally issued during calendar years 2004 and 2005 by Chapter 386 of the Laws of 2010.
Prior legislative history
This is new legislation.
Fiscal implications
This legislation will have no fiscal implications for the State.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.