Establishes the anaerobic digesters revolving fund program to provide incentives for the installation of anaerobic manure digesters on agricultural operations to convert trapped methane from manure into energy.
STATE OF NEW YORK
________________________________________________________________________
5184
2013-2014 Regular Sessions
IN ASSEMBLY
February 21, 2013
___________
Introduced by M. of A. CROUCH, KOLB, BARCLAY, HAWLEY, MONTESANO --
Multi-Sponsored by -- M. of A. FINCH, OAKS, RAIA, TENNEY -- read once
and referred to the Committee on Agriculture
AN ACT to amend the public authorities law, in relation to providing
incentives for the installation of anaerobic manure digesters on agri-
cultural operations to convert trapped methane from manure into energy
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The public authorities law is amended by adding a new
2 section 1860-b to read as follows:
3 § 1860-b. Anaerobic digesters revolving fund program. 1. (a) Notwith-
4 standing the provisions of any general or special law to the contrary,
5 the New York state environmental facilities corporation shall undertake
6 to provide financial assistance for agricultural purposes to support the
7 planning, development and construction of anaerobic manure digesters in
8 accordance with the provisions of this section.
9 (b) There is hereby established in the custody of the authority a
10 special fund to be known as the anaerobic digesters revolving fund.
11 Moneys in the anaerobic digesters revolving fund shall be segregated
12 from all other funds of or in the custody of the authority subject to
13 any rights of holders of New York state environmental facilities corpo-
14 ration bonds or notes issued for the purposes of this section. Moneys in
15 this fund shall only be used in accordance with the provisions of this
16 section. The moneys in such fund shall be applied to or paid out for
17 authorized purposes of such fund on the direction of the chairperson of
18 the authority, or such other person as the authority shall authorize to
19 make such direction, in consultation with the director of the division
20 of the budget and the commissioner of agriculture and markets.
21 2. In order to effectuate the purposes of this section, the authority
22 may extend credit to or on behalf of an agricultural facility for the
23 construction or acquisition of a project, or for the reimbursement for
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD06342-01-3
A. 5184 2
1 costs incurred by an agricultural facility in connection with a project,
2 provided such agricultural facility has received a commitment to receive
3 from a lender a loan or other financial assistance acceptable to the
4 authority. In the exercise of the powers granted in this section in
5 connection with a project for an agricultural facility, the authority
6 may require the inclusion in any contract, loan agreement or other
7 instrument of such provisions for the financing of such project and such
8 other financial and other covenants as may apply to such agricultural
9 facilities as the authority may deem desirable and/or appropriate and to
10 do all things necessary to execute any instrument in connection and
11 desirable with such financing.
12 3. In connection with the issuance of any bond or note issued in
13 connection with or for the anaerobic digesters revolving fund program,
14 the authority may fix and collect any fees and charges, including but
15 not limited to reimbursement of all costs of financing incurred by the
16 authority, as the authority shall determine to be reasonable.
17 4. In connection with the extension of credit and the issuance of a
18 bond or note for the construction or acquisition of a project as
19 provided in this section, an agricultural facility shall submit to the
20 authority an application for the extension of credit or a loan. The
21 authority may deny such application for any reason it deems appropriate
22 in the public interest.
23 5. Any bonds or notes issued to finance the provisions of this section
24 shall be special limited obligations of the authority payable solely out
25 of the revenue derived from any loan or finance agreement, debt obli-
26 gation or sales contract, collateral or other property received in
27 connection with the anaerobic digesters revolving fund program. All
28 assets and liabilities created through the issuance of bonds or notes
29 under this section shall be separate from all other assets and liabil-
30 ities of the New York state environmental facilities corporation. The
31 New York state environmental facilities corporation shall have no moral
32 or legal obligation or liability to any agricultural facility or other
33 person under this section except as expressly provided by written
34 contract. No funds in the anaerobic digesters revolving fund program
35 may be commingled with any other funds of the authority.
36 6. (a) The authority shall promulgate regulations, developed in
37 consultation with the commissioner of agriculture and markets, for the
38 purpose of carrying out its responsibilities under this section, includ-
39 ing establishing the criteria and standards for evaluating the project
40 to be financed and the eligibility of the agricultural facility.
41 (b) The authority shall consult with the commissioner of agriculture
42 and markets regarding promotion of the program and agriculturally
43 related questions regarding the program or applications.
44 § 2. Paragraph (a) of subdivision 1 of section 1290 of the public
45 authorities law, as amended by chapter 366 of the laws of 2004, is
46 amended to read as follows:
47 (a) The corporation shall have power and is hereby authorized from
48 time to time to issue its negotiable or non-negotiable bonds and notes
49 in conformity with applicable provisions of the uniform commercial code
50 in such principal amount, as, in the opinion of the corporation, shall
51 be necessary to provide sufficient funds for achieving its purposes,
52 including the acquisition and construction, operation and maintenance of
53 sewage treatment works, sewage collecting systems, solid waste disposal
54 facilities, storm water collecting systems, water management facilities,
55 air pollution control facilities, the removal, disposal and remediation
56 of petroleum storage tanks and the remediation of the sites thereof and
A. 5184 3
1 any other project or projects authorized pursuant to the provisions of
2 this title, and paying the cost thereof; the making of loans to persons
3 and, for purposes of sections twelve hundred eighty-five-j, twelve
4 hundred eighty-five-m and twelve hundred eighty-five-o of this title
5 only, to any municipality or recipient for such purposes; the making of
6 loans, providing of financing or extension of credit to or on behalf of
7 beginning farmers for purposes of section twelve hundred eighty-five-r
8 of this title only; the making of loans, providing of financing or
9 extension of credit to or on behalf of agricultural facilities for
10 purposes of section eighteen hundred sixty-b of this chapter only; the
11 financing of the design, acquisition, construction, improvement and
12 installation of all or any portion of Riverbank Park, provided however,
13 that any such bonds or notes issued to finance Riverbank Park shall only
14 be issued in such principal amount as shall be necessary to provide
15 sufficient funds for the repayment of amounts disbursed pursuant to
16 appropriations or reappropriations under chapter fifty-four of the laws
17 of nineteen hundred ninety-one including any subsequent reappropriation
18 of the unexpended balance of such appropriations or reappropriations for
19 the purpose of Riverbank Park, plus an amount sufficient to fund any
20 debt service reserve fund established by the corporation for the purpose
21 of Riverbank Park and to provide for the payment of fees and other
22 charges and expenses of the corporation in connection with such bonds
23 and notes, which principal amount shall constitute the statutory ceiling
24 on the amount of bonds and notes that can be issued for such purpose;
25 the financing of all or any portion of any state park infrastructure
26 project or reimbursement of the state for expenditures relating thereto,
27 plus an amount to provide for the payment of fees and other charges and
28 expenses of the corporation in connection with such bonds and notes; the
29 provision of funds to the state for any amounts contributed or to be
30 contributed to the water pollution control revolving fund, the pipeline
31 for jobs fund or the drinking water revolving fund provided, however,
32 that any such bonds or notes issued to provide funds to the water
33 pollution control revolving fund, the pipeline for jobs fund or the
34 drinking water revolving fund shall only be issued in such principal
35 amount as shall be necessary to provide sufficient funds for the repay-
36 ment of amounts disbursed pursuant to any appropriation or reappropri-
37 ation enacted for the pipeline for jobs fund or for the payment of the
38 state match for federal capitalization grants for the water pollution
39 control revolving fund or the drinking water revolving fund, plus an
40 amount sufficient to fund any debt service reserve fund and to provide
41 for fees, charges and other costs of issuance, which principal amount
42 shall constitute the statutory ceiling on the amount of bonds and notes
43 that can be issued for such purpose; the financing of any environmental
44 infrastructure projects authorized by section twelve hundred eighty-
45 five-p of this title; the purchase of municipal bonds and notes, and
46 bonds and notes of a state agency, the payment of the cost of any
47 project, the payment of interest on bonds and notes of the corporation,
48 the establishment of reserves to secure such bonds and notes; the
49 provision of working capital and all other expenditures of the corpo-
50 ration incident to and necessary or convenient to carry out its purposes
51 and powers;
52 § 3. This act shall take effect on the one hundred twentieth day after
53 it shall have become a law.
