PIT Bond Approval Tops DASNY Board Agenda

ALBANY, NY: At a meeting held in Albany on July 25, 2012, the Board of the Dormitory Authority of the State of New York approved approximately $1.1 billion in financings for higher education and health care institutions and State supported debt.

The Board approved the following financing documents:

F.F.T. Senior Communities (Canandaigua, NY)

The Board approved the negotiated sale of 27-year, tax-exempt, variable rate bonds for an amount not to exceed $16,000,000. The funds are expected to be used for refunding of the Authority’s F.F.T. Senior Communities, Inc. Revenue Bonds, Series 2000B ($15.1 million). Lead Manager: KeyBanc Capital Markets. Bond Counsel: Squire Sanders LLP. Underwriter’s Counsel: Bond, Schoeneck & King, PLLC.

Long Island University (Brookville, NY)

The Board approved the negotiated sale of one or more series of fixed rate, tax-exempt and/or taxable Series 2012 Bonds in an amount not to exceed $66,000,000. The term of the refunding bonds will not exceed the term of the bonds to be refunded. The funds are expected to be used for current refunding of all or a portion of the Authority’s Series 1999 Bonds ($30.8 million) and Series 2003A Bonds ($14 million), and advance refunding of all or a portion of the Authority’s Series 2003B Bonds ($19.2 million). Underwriter: Piper Jaffray & Co. Bond Counsel: Orrick, Herrington & Sutcliffe LLP. Underwriter’s Counsel: Arent Fox, LLP.

The Board approved a resolution to proceed with the following new financing:

The Culinary Institute of America (Hyde Park, NY)

The Board approved the negotiated sale of one or more series of 31-year fixed rate Series 2012 Bonds not to exceed $42,000,000. The funds are expected to be used for construction of the Marriot Pavilion, a two-story theater and conference center ($10 million), construction of a one-story dining hall addition to the Student Recreation Center ($15.7 million), and current refunding of the Authority’s The Culinary Institute of America Insured Revenue Bonds, Series 1999 ($12.4 million).

The Board approved the following single approval financing:

Personal Income Tax Revenue Bond Program

The Board approved the negotiated or competitive sales (or a combination of both) of multiple series of tax-exempt and taxable fixed rate bonds issued at one or more times not to exceed $940,000,000. The terms of the new money bonds will not exceed 30 years. The term of the refunding bonds will not exceed the term of the bonds being refunded. The funds are expected to be used for:

Capital projects for the Office of Mental Health (OMH), the Office for Persons with Developmental Disabilities, and the office of Alcoholism and Substance Abuse Services ($272.9 million).
Capital projects for the OMH voluntary agency facilities ($84.9 million).
Judiciary Training Academies ($16.0 million).
Library Facilities grants ($14.0 million).
Funding for Higher Education Capital Matching Grants Program (HECap) ($15.8 million).
Funding for Expanding our Children’s Education and Learning (EXCEL) capital program ($95 million)
The refunding of certain fixed rate bonds issued under the Personal Income Tax Revenue Bond Program, the Mental Health Facilities Program and the SUNY Educational Facilities Program ($335.0 million).
The refunding of the Long Island College Hospital FHA-Insured Mortgage Hospital Revenue Bonds Series 2004A and Series 2004B that are now affiliated with Downstate at LICH Holding
Company, Inc. established by the State University of New York as part of the acquisition of Long Island College Hospital’s property ($141.1 million).

Bond Counsel: Hawkins, Delafield & Wood LLP and Bryant, Burgher, Jaffe and Roberts.

The Board approved the following Tax Exempt Leasing Program (TELP) resolutions:

St. John’s University (Queens, NY)

The Board approved the lease of equipment pursuant to the Authority’s Tax Exempt Leasing Program (TELP II) in the total amount of $9,300,000 to finance various computer, networking and audio visual equipment, as well as security software.

Founded in 1944, DASNY is one of the largest higher education, health care and public-purpose issuers of public debt in the nation with an outstanding bond portfolio of approximately $44.5 billion. The Authority also is a major public builder in New York State with a construction pipeline of more than 750 projects valued at more than $6.1 billion.