Relates to the ability to issue certain bonds and notes

Higher hospital borrowing cap with reserve rules

Effective immediately, New York’s Medical Care Facilities Finance Agency has a higher borrowing limit for hospital and nursing home projects. The cap rises from $18.2 billion to $20 billion in bonds and notes, excluding debt issued to replace existing debt. During refinancing or repayment, outstanding debt can temporarily exceed $20 billion only if the new debt’s present-value repayment cost is no higher. That comparison uses the new bonds’ effective interest rate. For bonds backed by the capital reserve fund, the agency must meet the required reserve level when issuing them. It must cover any shortfall with bond proceeds or other money at issuance. This expands financing authority, not guaranteed spending or direct household payments.