Bill Text: NY S06465 | 2019-2020 | General Assembly | Amended
Bill Title: Authorizes the city of Amsterdam, in the county of Montgomery, to finance a certain deficit by the issuance of bonds.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2019-11-20 - SIGNED CHAP.531 [S06465 Detail]
Download: New_York-2019-S06465-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 6465--A 2019-2020 Regular Sessions IN SENATE June 12, 2019 ___________ Introduced by Sen. AMEDORE -- read twice and ordered printed, and when printed to be committed to the Committee on Rules -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to authorize the city of Amsterdam, in the county of Montgomery, to finance a certain deficit by the issuance of bonds The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The city of Amsterdam, in the county of Montgomery, is 2 hereby authorized to issue serial bonds on or after March 1, 2019 in an 3 aggregate principal amount not to exceed eight million three hundred 4 thousand dollars ($8,300,000) for the specific object or purpose of 5 liquidating the cumulative deficits in the general fund, the transporta- 6 tion fund, the sewer fund and recreation fund of such city accumulated 7 during fiscal years ending June 30, 2008 through 2018, inclusive. In 8 anticipation of the issuance of the bonds authorized to be issued by 9 this act, the issuance and sale of bond anticipation notes are hereby 10 authorized. 11 § 2. Notwithstanding any provision of this act to the contrary, the 12 city of Amsterdam shall not issue any bonds for the purpose of liquidat- 13 ing the aforesaid cumulative deficits unless and until the amounts ther- 14 eof are reviewed and determined by the state comptroller. The city of 15 Amsterdam shall prepare a report detailing the amount and cause of such 16 deficits and submit such report together with the city's independent 17 audit report for its last completed fiscal year, if any such audit 18 report has been or is to be prepared, and such other information as the 19 state comptroller may deem necessary, to the state comptroller, as well 20 as the chairs of the senate finance committee and the assembly ways and 21 means committee, at least thirty days prior to the issuance of any bonds 22 pursuant to this act. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD13334-03-9S. 6465--A 2 1 Within thirty days after receiving such report, the state comptroller 2 shall perform such reviews as may be necessary to determine the amounts 3 of such deficits and report the same to the chairs of the senate finance 4 committee and the assembly ways and means committee, the mayor and the 5 common council of the city of Amsterdam. Bonds to liquidate each such 6 deficit shall not be issued in an amount exceeding such deficit as 7 determined by the state comptroller. Nothing provided in this act shall 8 prevent the city of Amsterdam from authorizing the issuance of bonds or 9 bond anticipation notes, and issuing bond anticipation notes, prior to 10 the determination of the state comptroller of the amount of such defi- 11 cits. 12 If bond anticipation notes are issued in an amount in excess of the 13 deficits determined by the state comptroller, the city of Amsterdam 14 shall redeem from funds other than the proceeds of the bonds or bond 15 anticipation notes, such bond anticipation notes in the amount by which 16 the amount of bond anticipation notes exceeds the amount of such defi- 17 cits as determined by the state comptroller. 18 § 3. It is hereby determined that the financing of the deficits 19 hereinbefore described is a purpose of the city of Amsterdam for which 20 indebtedness may be incurred, the period of probable usefulness of which 21 is hereby determined to be ten years, computed from the date of such 22 bonds or from the date of the first bond anticipation note issued in 23 anticipation of the sale of such bonds, whichever date is earlier. Such 24 bonds and/or bond anticipation notes shall be general obligations of the 25 city of Amsterdam to which the faith and credit of the city is pledged, 26 and the city shall make an annual appropriation sufficient to pay the 27 principal of and interest on such obligations as the same shall become 28 due. 29 § 4. Except as provided in this act, the provisions of the local 30 finance law shall be applicable to the authorization, sale and issuance 31 of the bonds and bond anticipation notes authorized to be issued by this 32 act provided, however, that no resolution authorizing the issuance of 33 such bonds or notes shall be subject to either mandatory or permissive 34 referendum. 35 § 5. (a) For each fiscal year occurring during the time bonds and/or 36 bond anticipation notes issued pursuant to this act are outstanding, the 37 mayor of the city of Amsterdam shall prepare a quarterly report of 38 summarized budget data depicting overall trends of actual revenues and 39 budget expenditures for the entire budget rather than individual line 40 items. 41 Such budgetary reports shall compare revenue estimates and appropri- 42 ations as set forth in such budget with the actual revenues and expendi- 43 tures made to date. All such quarterly budgetary reports shall be accom- 44 panied by recommendations of the mayor setting forth any remedial action 45 necessary or desirable to resolve any unfavorable budget variance 46 including the over-estimation of revenues and the under-estimation of 47 expenditures. Each such quarterly budgetary report shall be completed 48 within thirty days after the end of each quarter and shall be submitted 49 to each member of the common council of the city of Amsterdam, the 50 director of the division of the budget, the state comptroller, and the 51 chairs of the senate finance committee and the assembly ways and means 52 committee. 53 (b) For each fiscal year occurring during the time bonds and/or bond 54 anticipation notes issued pursuant to this act are outstanding, the 55 mayor of the city of Amsterdam shall also prepare a quarterly trial 56 balance of general and special fund ledger accounts. Each such quarterlyS. 6465--A 3 1 trial balance shall be prepared in accordance with generally accepted 2 accounting principles. Each such quarterly trial balance shall be 3 completed within thirty days after the end of each quarterly period and 4 shall be submitted to each member of the common council of the city of 5 Amsterdam, the director of the division of the budget, the state comp- 6 troller, and the chairs of the senate finance committee and the assembly 7 ways and means committee. 8 (c) For the fiscal year beginning July 1, 2019 and for each fiscal 9 year thereafter during which such debt or any debt incurred to refund 10 such debt is outstanding, the mayor of the city of Amsterdam or other 11 officer or officers responsible for the preparation of the tentative 12 budget shall submit the tentative budget for the next succeeding fiscal 13 year to the state comptroller no later than thirty days before the last 14 date on which the budget must be finally adopted. The state comptroller 15 shall examine such proposed budget and make such recommendations as 16 deemed appropriate thereon to the common council of the city of Amster- 17 dam no later than ten days before the last date on which the budget must 18 be finally adopted. Such recommendations shall be made after examina- 19 tion into the estimates of revenues and expenditures of the city of 20 Amsterdam. The common council of the city of Amsterdam, no later than 21 five days prior to the adoption of the budget, shall review any such 22 recommendations and may make adjustments to its proposed budget consist- 23 ent with any recommendations made by the state comptroller. Any recom- 24 mendations that the common council rejects shall be explained in writing 25 to the state comptroller. The action or inaction of the state comp- 26 troller under this section shall not affect the legal validity of the 27 budget of the city of Amsterdam nor to affect the powers or duties of 28 the city of Amsterdam with respect to the local budget; provided, howev- 29 er, that the city of Amsterdam may not issue bonds for any object or 30 purpose unless and until adjustments to its proposed budget, consistent 31 with any recommendations made by the state comptroller, are made, or any 32 such recommendations that are rejected have been explained in writing to 33 the state comptroller. 34 (d) Within ninety days of the issuance of any debt pursuant to this 35 act and for each fiscal year thereafter during which such debt or any 36 debt incurred to refund such debt is outstanding, the mayor of the city 37 of Amsterdam or other officer or officers responsible for the prepara- 38 tion of the tentative budget of the city of Amsterdam, within thirty 39 days after the final adoption of the budget for the next succeeding 40 fiscal year, shall prepare a three-year financial plan covering the next 41 succeeding fiscal year and the two fiscal years thereafter. The finan- 42 cial plan shall, at a minimum, contain the information required to be 43 provided in a three-year financial plan as prescribed by subdivision 10 44 of section 54 of the state finance law. Copies of the financial plan 45 shall be provided to the mayor and chief fiscal officer of the city of 46 Amsterdam, the director of the budget, the state comptroller, the chair 47 of the assembly ways and means committee and the chair of the senate 48 finance committee. This financial plan requirement shall not apply if 49 and to the extent the city of Amsterdam is subject to a different 50 multi-year financial plan requirement under state law. 51 (e) For each fiscal year occurring during the time bonds and/or bond 52 anticipation notes issued pursuant to this act are outstanding, the 53 chief fiscal officer of the city of Amsterdam shall notify the state 54 comptroller at least fifteen days prior to the issuance of any bonds or 55 notes or entering into any installment purchase contract and the state 56 comptroller may review and make recommendations regarding the afforda-S. 6465--A 4 1 bility to the city of Amsterdam of any such proposed issuance or 2 contract. The state comptroller may require the submission by the city 3 of Amsterdam of such information as the state comptroller shall deem 4 necessary to complete his or her review. 5 § 6. To facilitate the marketing of the bonds and/or bond anticipation 6 notes authorized to be issued by this act, the city of Amsterdam may, 7 notwithstanding any limitations on the private sales of bonds otherwise 8 provided by law, and subject to approval by the state comptroller of the 9 terms and conditions of such sales, arrange for the underwriting or 10 other sale of its bonds and/or bond anticipation notes at private sale 11 upon negotiated terms and conditions which may include reasonable under- 12 writing or placement fees or discounts. The costs of such underwriting 13 or sale shall be deemed preliminary costs for purposes of section 11.00 14 of the local finance law. 15 § 7. If any clause, sentence, paragraph, section or part of this act 16 shall be adjudged by any court of competent jurisdiction to be invalid, 17 such judgment shall not affect, impair, or invalidate the remainder 18 thereof, but shall be confined in its operation to the clause, sentence, 19 paragraph, section, or part thereof directly involved in the controversy 20 in which such judgment shall have been rendered. 21 § 8. This act shall take effect immediately.
