NY S08338

Expands the municipal sustainable energy financing program from loan-only to include broader financing arrangements, allowing municipalities and the New York State Energy Research and Development Authority to provide cost-effective financing for renewable energy systems and energy efficiency improvements.

Authorizes municipalities with the power to enforce delinquent tax liens to use bond proceeds, green jobs funding, and other sources to finance sustainable energy projects, with charges collected through property tax bills and securing liens on benefitted property.

Establishes new eligibility requirements and disclosure standards including maximum debt-to-value ratios (90 percent), property tax payment history verification, bankruptcy screening, and upfront notification to property owners and mortgagees of all financing terms and conditions.

Creates special provisions for cities with populations over one million to issue bonds through separate entities, establish their own renewable energy technology and efficiency improvement criteria, and provide enhanced consumer protections including non-acceleration clauses on missed payments.

Makes bonds issued under the program tax-exempt securities eligible for investment by public entities, banks, and insurance companies, and grants tax exemptions to the city and issuing entities while requiring sales tax collection on property and services sold.