A RESOLUTION OF THE MEMBERS OF THE DORMITORY AUTHORITY ADOPTING A POLICY PROHIBITING THE EXTENSION OF CREDIT TO BOARD MEMBERS AND STAFF OF THE DORMITORY AUTHORITY

WHEREAS, Public Authorities Law (“PAL”) § 2824(5) prohibits the board of a state authority from extending or maintaining credit, arranging for the extension of credit, or renewing an extension of credit, in the form of a personal loan to or for any officer, Board Member or employee (or equivalent thereof) of the authority; and

WHEREAS, the Authorities Budget Office, in connection with the Dormitory Authority’s annual report, asks for information confirming that the Dormitory Authority has a policy prohibiting such extensions of credit.

WHEREAS, it is therefore necessary to formalize the policy of the Dormitory Authority policy, with respect to prohibiting such extensions of credit;   

NOW, THEREFORE, BE IT RESOLVED as follows:

1.   The policy prohibiting the extension of credit to Board Members and staff of the Dormitory Authority, attached hereto and made a part hereof, is approved and adopted.

2.   This Resolution shall take effect immediately.

POLICY PROHIBITING THE EXTENSION OF CREDIT TO BOARD
MEMBERS AND STAFF OF THE DORMITORY AUTHORITY

Purpose

This document formalizes the policy of the Dormitory Authority (the “Authority”) with respect to prohibiting the extension of credit to Board Members and staff of the Authority. 

Background

Public Authorities Law (“PAL”) § 2824(5) prohibits the board of a state authority from, directly or indirectly (including through any subsidiary) extending or maintaining credit, arranging for the extension of credit, or renewing an extension of credit, in the form of a personal loan to or for any officer, Board Member or employee (or equivalent thereof) of the authority.  The Authorities Budget Office, in connection with the Dormitory Authority’s annual report, asks for information confirming that the Dormitory Authority has a policy prohibiting such extensions of credit.
Policy

The Board shall not, directly or indirectly, including through any subsidiary, extend, secure or arrange personal loans for the benefit of any officer, Board Member or employee (or equivalent thereof) of the Authority.

Date: March 30, 2011