Dec 14 New York State Comptroller Thomas
DiNapoli on Friday proposed legislation that would allow the
state's local governments to issue "storm bonds" to help finance
rebuilding and repair costs after superstorm Sandy.
"To help local governments limit further economic
consequences, we should provide municipalities and school
districts with additional financial tools to reduce the fiscal
impact of this storm on local taxpayers," DiNapoli said in a
The bonds he proposed would be repaid over five years and
would allow local governments greater flexibility to borrow to
pay for storm costs, the statement said, noting that local
governments are normally restricted from borrowing to pay for
non-capital project expenses.
DiNapoli's package of legislation would also temporarily
ease restrictions on the use of reserve funds to pay for
storm-related expenses, allow local governments to provide
relief from property taxes to owners of properties that lost
half or more of their value due to the storm and give local
governments more time to repay loans from internal funds.