NY A10265

Authorizes New York State to contract debt to respond to acts of terrorism, in addition to existing authorizations for repelling invasion, suppressing insurrection, defending the state in war, and suppressing forest fires.

Establishes a debt limit beginning in fiscal year 2026 that caps state debt at 5 percent of total personal income, with exceptions for emergency debts specified in the constitution.

Allows up to one-half of one percent of governmental tax receipts to be borrowed annually without voter approval for critical capital needs, provided the total does not exceed the 5 percent limit.

Requires all state debt subject to the new provisions to be issued in the form of obligations by the state comptroller, effective one year after the constitutional amendment takes effect.

Prohibits the state from agreeing to make payments on debt incurred by municipalities, public authorities, or other entities unless other funding sources are inadequate, with limited exceptions for outstanding debt.