Section 1679-B. Equipment loans

1.  The dormitory authority may make an
  equipment loan to any private  entity  for  the  benefit  of  which  the
  dormitory authority is authorized to issue bonds or other obligations of
  the  dormitory  authority.    The proceeds of such a loan are to be used
  substantially to finance the acquisition through purchase  or  lease  of
  equipment  including  construction  and  rehabilitation  related  to the
  installation of such equipment. The  dormitory  authority  may  make  an
  equipment  loan  by  the purchase, lease or sublease of equipment by the
  dormitory authority and the lease or sublease of such equipment  to  any
  such  private entity for the purpose of providing for the acquisition of
  such equipment and the construction and rehabilitation  related  to  the
  installation thereof.
    2.  Except  to  the extent otherwise expressly prohibited by law, each
  private entity described in subdivision one of this section  shall  have
  full power and authority to assign and pledge to the dormitory authority
  any  and  all  public funds to be appropriated, apportioned or otherwise
  made payable to such private  entity  by  the  federal  government,  any
  agency  thereof,  the  state  of  New  York, a political subdivision, as
  defined in section one hundred of the  general  municipal  law,  or  any
  social  services  district  in  the  state  of  New  York  in  an amount
  sufficient to make all payments required to  be  made  by  such  private
  entity  pursuant  to  any  necessary  or  useful  agreement entered into
  between such private entity and the dormitory authority for an equipment
  loan. All state and local officers are hereby authorized and required to
  pay all such funds so assigned and pledged to  the  dormitory  authority
  or, upon the direction of the dormitory authority, to any trustee of any
  dormitory  authority bond or note issued pursuant to a certificate filed
  with any such state or local officer by the dormitory authority pursuant
  to the provisions of this subdivision.
    3. The making of equipment loans by the authority shall be a corporate
  purpose of the authority.