STATE OF NEW YORK ________________________________________________________________________ 4709 2025-2026 Regular Sessions IN ASSEMBLY February 4, 2025 ___________ Introduced by M. of A. JONES -- read once and referred to the Committee on Local Governments AN ACT to amend the local finance law, in relation to installments of certain bonds; and to repeal certain provisions of such law relating thereto The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Paragraph b of section 21.00 of the local finance law, as 2 amended by chapter 167 of the laws of 2024, is amended to read as 3 follows: 4 b. Serial bonds shall mature in annual installments. The first 5 installment shall mature not later than [~~eighteen months after the date~~ 6 ~~of such bonds or two years after the date of the first bond anticipation~~ 7 ~~note or notes issued in anticipation of such bonds, whichever is the~~ 8 ~~earlier, provided, however, that until July fifteenth, two thousand~~ 9 ~~twenty-seven, the first installment shall mature not later than~~] two 10 years after the date of such bonds or two years after the date of the 11 first bond anticipation note or notes issued in anticipation of such 12 bonds, whichever is the earlier. However, if bond anticipation notes are 13 issued in anticipation of bonds and if a portion of such notes or the 14 renewals thereof are redeemed from a source other than the proceeds of 15 such bonds within two years from the date of the first such note or 16 notes and a further portion thereof shall be so redeemed prior to the 17 termination of each twelve months' period succeeding the date such 18 original portion was so redeemed, the first installment of such bonds 19 may, in the alternative, be made to mature not later than five years 20 from the date of the first such note or notes. 21 § 2. Paragraph b of section 53.00 of the local finance law, as amended 22 by chapter 167 of the laws of 2024, is amended to read as follows: 23 b. If such bonds or notes are payable in installments, the install- 24 ments remaining unpaid may be called for redemption [~~only (i) in the~~ EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD00872-01-5

A. 4709 2 1 ~~inverse order of their maturity or, (ii) in equal proportionate amounts;~~ 2 ~~provided, however, that for bonds issued during the one-year period~~ 3 ~~commencing July first, nineteen hundred eighty-eight, and for bonds~~ 4 ~~issued during the one-year period commencing July first, nineteen~~ 5 ~~hundred eighty-nine, and for bonds issued during the one-year period~~ 6 ~~commencing July first, nineteen hundred ninety, and for bonds issued~~ 7 ~~during the three-year period commencing July first, nineteen hundred~~ 8 ~~ninety-one, and for bonds issued during the period from July first,~~ 9 ~~nineteen hundred ninety-four up until and including July fifteenth,~~ 10 ~~nineteen hundred ninety-seven and for bonds issued during the period~~ 11 ~~from July fifteenth, nineteen hundred ninety-seven up until and includ-~~ 12 ~~ing July fifteenth, two thousand, and for bonds issued during the period~~ 13 ~~from July fifteenth, two thousand up until and including July fifteenth,~~ 14 ~~two thousand three, and for bonds issued during the period from July~~ 15 ~~fifteenth, two thousand three up until and including July fifteenth, two~~ 16 ~~thousand six, and for bonds issued during the period from July~~ 17 ~~fifteenth, two thousand six up until and including July fifteenth, two~~ 18 ~~thousand nine, and for bonds issued during the period from July~~ 19 ~~fifteenth, two thousand six up until and including July fifteenth, two~~ 20 ~~thousand twelve, and for bonds issued during the period from July~~ 21 ~~fifteenth, two thousand nine up until and including July fifteenth, two~~ 22 ~~thousand fifteen, and for bonds issued during the period from July~~ 23 ~~fifteenth, two thousand fifteen up until and including July fifteenth,~~ 24 ~~two thousand eighteen, and for bonds issued during the period from July~~ 25 ~~fifteenth, two thousand eighteen up until and including July fifteenth,~~ 26 ~~two thousand twenty-one, and for bonds issued during the period from~~ 27 ~~July fifteenth, two thousand twenty-one up until and including July~~ 28 ~~fifteenth, two thousand twenty-four, and for bonds issued during the~~ 29 ~~period from July fifteenth, two thousand twenty-four up until and~~ 30 ~~including July fifteenth, two thousand twenty-seven, installments~~ 31 ~~remaining unpaid on such bonds may be called for redemption~~] prior to 32 their date of maturity in such amounts, at such times in such manner and 33 pursuant to such terms as may be determined by the finance board of a 34 municipality, school district or district corporation at the time of the 35 issuance thereof. Whenever any bonds or notes are called for redemption 36 prior to the date of their maturity, interest shall cease to be paid 37 thereon after the date for redemption set forth in such call for redemp- 38 tion. [~~The sum to be paid to redeem any unpaid installment prior to its~~ 39 ~~maturity, exclusive of the interest accruing on such installment to the~~ 40 ~~date of redemption, shall in no event be in excess of the lesser amount~~ 41 ~~of either (i) the par value of such installment plus one-half of one per~~ 42 ~~centum of such par value for each calendar year or part thereof elapsing~~ 43 ~~between the date for redemption set forth in such call for redemption~~ 44 ~~and the date of maturity of such installment, provided, however, that~~ 45 ~~such amount shall not exceed one hundred five per centum of such par~~ 46 ~~value, or (ii) the par value of such installment plus the total of all~~ 47 ~~unpaid interest on such installment which would have accrued from the~~ 48 ~~date of redemption to the date of maturity thereof had such installment~~ 49 ~~not been redeemed prior to maturity, except that bonds sold to the state~~ 50 ~~of New York municipal bond bank agency, which are subject to call as~~ 51 ~~hereinbefore authorized, may provide for the payment of a redemption~~ 52 ~~premium not to exceed five per centum of the par value of the bonds to~~ 53 ~~be called, payable on the date of the redemption thereof; provided,~~ 54 ~~however, that for bonds issued during the one-year period commencing~~ 55 ~~July first, nineteen hundred eighty-eight, and for bonds issued during~~ 56 ~~the one-year period commencing July first, nineteen hundred eighty-nine,~~

A. 4709 3 1 ~~and for bonds issued during the one-year period commencing July first,~~ 2 ~~nineteen hundred ninety, and for bonds issued during the three-year~~ 3 ~~period commencing July first, nineteen hundred ninety-one, and for bonds~~ 4 ~~issued during the period from July first, nineteen hundred ninety-four~~ 5 ~~up until and including July fifteenth, nineteen hundred ninety-seven,~~ 6 ~~and for bonds issued during the period from July fifteenth, nineteen~~ 7 ~~hundred ninety-seven up until and including July fifteenth, two thou-~~ 8 ~~sand, and for bonds issued during the period from July fifteenth, two~~ 9 ~~thousand up until and including July fifteenth, two thousand three, and~~ 10 ~~for bonds issued during the period from July fifteenth, two thousand~~ 11 ~~three up until and including July fifteenth, two thousand six, and for~~ 12 ~~bonds issued during the period from July fifteenth, two thousand six up~~ 13 ~~until and including July fifteenth, two thousand nine, and for bonds~~ 14 ~~issued during the period from July fifteenth, two thousand nine up until~~ 15 ~~and including July fifteenth, two thousand twelve, and for bonds issued~~ 16 ~~during the period from July fifteenth, two thousand twelve up until and~~ 17 ~~including July fifteenth, two thousand fifteen, and for bonds issued~~ 18 ~~during the period from July fifteenth, two thousand fifteen up until and~~ 19 ~~including July fifteenth, two thousand eighteen, and for bonds issued~~ 20 ~~during the period from July fifteenth, two thousand eighteen up until~~ 21 ~~and including July fifteenth, two thousand twenty-one, and for bonds~~ 22 ~~issued during the period from July fifteenth, two thousand twenty-one up~~ 23 ~~until and including July fifteenth, two thousand twenty-four, and for~~ 24 ~~bonds issued during the period from July fifteenth, two thousand twen-~~ 25 ~~ty-four up until and including July fifteenth, two thousand twenty-sev-~~ 26 ~~en, a~~] A municipality, school district, or district corporation may 27 provide for redemption of such bonds prior to the date of their maturity 28 at a price or prices as may be as determined by the issuer of such bonds 29 or notes at the time of the issuance thereof. 30 § 3. Section 107.00 of the local finance law is REPEALED. 31 § 4. This act shall take effect immediately.

Relates to installments of bonds; repealer

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