Authorizes the dormitory authority to provide financing to D'Youville Housing Association LLC for the construction of facilities

◆ The sponsor's argument

Why April Baskin says this is needed

D'Youville University is developing a critical 218-unit student housing facility ($56 million) on its West Buffalo campus, located adjacent to the Hub site. This project directly responds to increased housing demand driven by the University's new DO Medical School and growing enrollment. The facility will consist primarily of one-bedroom with select two-bed- room apartments and will be owned and operated by D'Youville University Housing LLC, a 501(c)(3) organization established specifically for this purpose. DASNY, a public benefit corporation authorized to issue bonds on behalf of the state, was first established in 1944 for the financing and construction of dormitories at eleven state teachers colleges. The legislature later expanded the scope of the corporation's work to also include hospitals with nursing schools, court facilities, private universities, nonprofit healthcare facilities, government agencies, school districts, and other public-serving institutions. One of the largest financiers of social infrastructure in the country, DASNY is able to issue bonds which accrue interest on which the bondholders do not have to pay taxes, thus allowing DASNY to offer lower interest rates to its clients compared to those in the commercial loan market. In exchange, the state-backed nature of DASNY's debt guarantees its bond- holders a steady stream of income payments while boosting DASNY's credit ratings. Beyond purely public works, the flexible and low-cost nature of DASNY's financing and construction services has rendered it an attrac- tive option for a great many other cultural and educational institutions over the years, all of whom have been expressly granted the authority to contract with DASNY under Title 4 of the Public Authorities Law. While DASNY (Dormitory Authority of the State of New York) routinely serves as conduit issuer for higher education facilities, current legis- lation only allows DASNY to issue bonds for direct institutional enti- ties or those explicitly named in the DASNY enabling act. Because DYU Housing Authority is a separate 501(c)(3) rather than the university itself, legislation is required to add the entity to the DASNY Act. This legislation seeks to also extend this eligibility to D'Youville Housing Association LLC. LEGISLATIVE HISTORY: New bill.

This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.