NY A03758

Prohibits the state from entering into financing arrangements (by statute, contract, lease, or otherwise) where the state makes payments for interest, principal, or related debt service on indebtedness issued by state agencies, municipalities, or corporations, unless authorized under specific subdivisions or elsewhere in the constitution.

Allows the state to contract debt secured by full faith and credit pledge if authorized by law for a single capital work and approved by majority vote at a general election, with restrictions on timing of submissions.

Allows the state to contract debt secured by specific state revenues if prescribed by law to finance identified capital works, with excess revenues available for other purposes as determined by law.

Limits revenue-secured debt in any fiscal year to 35 percent of total capital works, increasing to 50 percent during years of 2 percent or more revenue decline, with graduated reductions in subsequent years.

Restricts both types of authorized debt to capital works or purposes only, and permits debt refundings under section 13 of article 7; amendment requires approval by voters and publication for 3 months before a general election.