Section 2438. Bond authorization

(1) The agency shall not issue bonds and
  notes in an aggregate principal  amount  at  any  one  time  outstanding
  exceeding   one  billion  dollars,  excluding  tax  lien  collateralized
  securities, special school purpose bonds, special school deficit program
  bonds, special program  bonds  issued  to  finance  the  reconstruction,
  rehabilitation  or renovation of an educational facility pursuant to the
  provisions of subdivision (b) of section sixteen of chapter six  hundred
  five  of  the  laws  of  two  thousand,  special program bonds issued to
  finance  the  cost  of  a  project   for   design,   reconstruction   or
  rehabilitation  of  a  school  building  pursuant  to  the provisions of
  section fourteen of the city of Syracuse and the board of  education  of
  the  city  school  district  of  the city of Syracuse cooperative school
  reconstruction act and bonds and  notes  issued  to  refund  outstanding
  bonds and notes.
    (2)  The  agency  shall  not  issue special school purpose bonds in an
  aggregate principal amount in excess of: for the city of New York,  four
  hundred  thirty-five  million  dollars;  for  the  city of Buffalo, four
  million seven hundred thousand dollars; for the city of Rochester,  five
  million  one  hundred  thousand dollars; for the city of Syracuse, eight
  hundred thousand dollars; and for the city  of  Yonkers,  three  hundred
  thousand  dollars;  or  the amount of prior year claims that are due and
  payable to each such school district of each such special school purpose
  municipality  pursuant  to  section  thirty-six  hundred  four  of   the
  education  law.  Such amount shall exclude bonds issued to fund any debt
  service reserve fund, bonds issued to refund such special school purpose
  bonds, bonds issued to pay the costs of issuance of such special  school
  purpose  bonds  and  the  amount of bonds that would constitute interest
  under the Internal Revenue Code of 1986, as amended. Notwithstanding any
  provision of law to the  contrary,  the  special  school  purpose  bonds
  issued for the city of New York shall be issued in such principal amount
  as  will  provide  funds  sufficient to pay interest on such bonds for a
  period of at least two years after the date of issuance thereof and such
  amount  shall  be  excluded  from  the  limitation  contained  in   this
  subdivision.
    (3)  The  agency  shall not issue special school deficit program bonds
  (a) prior to the time the state comptroller determines the amount of the
  accumulated projected  deficit  of  a  special  school  deficit  program
  district  in  its  general  fund at the close of its current fiscal year
  ending June thirtieth, two thousand two, including any budget notes  and
  revenue  anticipation  notes  which  may  be  part  of  such deficit, as
  provided in a chapter of the laws  of  two  thousand  two,  and  (b)  in
  aggregate  principal amount in excess of the lesser of (i) the amount of
  such deficit as determined by the  state  comptroller  or  (ii)  sixteen
  million  five hundred thousand dollars, excluding bonds to fund any debt
  service reserve fund, bonds issued  to  refund  special  school  deficit
  program bonds, bonds issued to pay the costs of issuance of such special
  school  deficit  program  bonds  and  the  amount  of  bonds  that would
  constitute interest under the Internal Revenue Code of 1986, as amended.
    (4) The fixing of the statutory maximum in this section shall  not  be
  construed  as constituting a contract between the agency and the holders
  of its bonds or notes that additional bonds and notes may not be  issued
  subsequently  by  the  agency  in  the event that such statutory maximum
  shall subsequently be increased by law.