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State Personal Income Tax Revenue Bonds

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State Personal Income Tax Revenue Bonds NEW ISSUE – BOOK-ENTRY ONLY $1,170,800,000 DORMITORY AUTHORITY OF THE STATE OF NEW YORK STATE PERSONAL INCOME TAX REVENUE BONDS (GENERAL PURPOSE) $1,043,650,000 $29,770,000 $97,380,000 Series 2015B Series 2015C Series 2015D (Tax-Exempt) (Tax-Exempt) (Federally Taxable) Dated: Date of Delivery Due: As Shown on the Inside Cover The Dormitory Authority of the State of New York State Personal Income Tax Revenue Bonds (General Purpose), Series 2015B (Tax-Exempt) (the “Series 2015B Bonds”), the Dormitory Authority of the State of New York State Personal Income Tax Revenue Bonds (General Purpose), Series 2015C (Tax-Exempt) (the “Series 2015C Bonds”) and the Dormitory Authority of the State of New York State Personal Income Tax Revenue Bonds (General Purpose), Series 2015D (Federally Taxable) (the “Series 2015D Bonds” and together with the Series 2015B Bonds and the Series 2015C Bonds, the “Series 2015 Bonds”), are special obligations of the Dormitory Authority of the State of New York (“DASNY”). The Series 2015 Bonds are secured by a pledge of certain payments (the “Financing Agreement Payments”) to be made to the Trustee on behalf of DASNY by the State of New York (the “State”) under a Financing Agreement (the “Financing Agreement”) between DASNY and the State, acting by and through the Director of the Division of the Budget (the “Director of the Budget”). Financing Agreement Payments are payable from amounts legally required to be deposited into the Revenue Bond Tax Fund (as hereinafter defined) to provide for the payment of the Series 2015 Bonds and all other State Personal Income Tax Revenue Bonds (as hereinafter defined). The Revenue Bond Tax Fund receives a statutory allocation of 25 percent of State personal income tax receipts imposed by Article 22 of the New York State Tax Law (the “New York State Personal Income Tax Receipts”) as more fully described herein. DASNY is one of five Authorized Issuers (hereinafter defined) that can issue State Personal Income Tax Revenue Bonds. All financing agreements entered into by the State to secure State Personal Income Tax Revenue Bonds shall be executory only to the extent of the revenues available in the Revenue Bond Tax Fund. The obligation of the State to make financing agreement payments is subject to the State Legislature making annual appropriations for such purpose and such obligation does not constitute or create a debt of the State, nor a contractual obligation in excess of the amounts appropriated therefor. In addition, the State has no continuing legal or moral obligation to appropriate money for payments due under any financing agreement. Nothing shall be deemed to restrict the right of the State to amend, repeal, modify or otherwise alter statutes imposing or relating to the State Personal Income Tax. The Series 2015 Bonds shall not be a debt of the State and the State shall not be liable thereon, nor shall the Series 2015 Bonds be payable out of any funds other than those of DASNY pledged therefor. Neither the faith and credit nor the taxing power of the State is pledged to the payment of the principal of, premium, if any, or interest on the Series 2015 Bonds. DASNY has no taxing power. The Series 2015 Bonds will be issued as fixed rate obligations, fully registered, in denominations of $5,000 or any integral multiple thereof. The Series 2015 Bonds will bear interest at the rates and mature at the times shown on the inside cover page hereof. Interest on the Series 2015 Bonds is payable on each February 15 and August 15, commencing August 15, 2015. The Series 2015 Bonds will be initially issued under a book-entry only system and will be registered in the name of Cede & Co., as Bondholder and nominee of The Depository Trust Company, New York, New York. See “PART 8—BOOK-ENTRY ONLY SYSTEM” herein. So long as Cede & Co., as nominee for DTC, is the registered owner of the Series 2015 Bonds, payments of principal or redemption price of and interest on the Series 2015 Bonds will be made by U.S. Bank National Association, as Trustee and Paying Agent, to Cede & Co. The Series 2015 Bonds are subject to redemption prior to maturity as more fully described herein. In the opinions of Hawkins Delafield & Wood LLP and Bryant Rabbino LLP, co-bond counsel to DASNY (collectively, “Co-Bond Counsel”), under existing statutes and court decisions and assuming continuing compliance with certain tax covenants described herein, (i) interest on the Series 2015B Bonds and the Series 2015C Bonds is excluded from gross income for Federal income tax purposes pursuant to Section 103 of the Internal Revenue Code of 1986, as amended (the “Code”), except that no opinion is expressed as to such exclusion of interest on any Series 2015C Bond for any period during which the Series 2015C Bond is held by a person who, within the meaning of section 147(a) of the Code, is a “substantial user” of the facilities financed with proceeds of the Series 2015C Bonds or a “related person,” (ii) interest on the Series 2015B Bonds is not treated as a preference item in calculating the alternative minimum tax imposed on individuals and corporations under the Code; such interest, however, is included in the adjusted current earnings of certain corporations for purposes of calculating the alternative minimum tax imposed on such corporations, and (iii) interest on the Series 2015C Bonds is not treated as a preference item in calculating the alternative minimum tax imposed on individuals and corporations under the Code and is not included in the adjusted current earnings of corporations for purposes of calculating the alternative minimum tax. Co-Bond Counsel also are of the opinion that interest on the Series 2015D Bonds is included in gross income for Federal income tax purposes pursuant to the Code. In addition, Co-Bond Counsel are of the opinion that under existing statutes, interest on the Series 2015 Bonds is exempt from personal income taxes imposed by the State of New York or any political subdivision thereof (including The City of New York). See “PART 13—TAX MATTERS” herein regarding certain other tax considerations. The Series 2015 Bonds are offered, when, as and if issued and delivered to the purchasers, and are subject to approval of legality by Hawkins Delafield & Wood LLP, New York, New York, and Bryant Rabbino LLP, New York, New York, and to certain other conditions. It is expected that the Series 2015 Bonds will be delivered in definitive form in New York, New York on or about June 19, 2015. June 11, 2015 MATURITIES, AMOUNTS, INTEREST RATES, PRICES OR YIELDS AND CUSIP NUMBERS $1,043,650,000 State Personal Income Tax Revenue Bonds (General Purpose), Series 2015B (Tax-Exempt) Due Interest CUSIP Due Interest CUSIP February 15 Amount Rate Yield Numbers† February 15 Amount Rate Yield Numbers† 2017 $21,780,000 5.000% 0.620% 64990EH26 2032 $41,370,000 5.000% 3.330%* 64990EC54 2018 22,860,000 5.000 1.040 64990EH34 2033 43,445,000 5.000 3.380* 64990EC62 2019 24,015,000 5.000 1.340 64990EH42 2034 45,610,000 5.000 3.420* 64990EC70 2020 25,220,000 5.000 1.600 64990EH59 2035 47,895,000 5.000 3.460* 64990EC88 2021 26,475,000 5.000 1.880 64990EH67 2036 32,850,000 5.000 3.480* 64990EC96 2022 27,570,000 5.000 2.140 64990EH75 2037 34,490,000 5.000 3.520* 64990ED20 2023 28,950,000 5.000 2.290 64990EH83 2038 36,215,000 5.000 3.560* 64990ED38 2024 30,385,000 5.000 2.470 64990EH91 2039 38,030,000 5.000 3.590* 64990ED46 2025 31,920,000 5.000 2.610 64990EJ24 2040 39,920,000 5.000 3.640* 64990ED53 2026 31,410,000 5.000 2.760* 64990EB71 2041 41,920,000 5.000 3.660* 64990ED61 2027 32,990,000 5.000 2.890* 64990EB89 2042 44,020,000 5.000 3.680* 64990ED79 2028 34,645,000 5.000 3.010* 64990EB97 2043 46,215,000 5.000 3.690* 64990ED87 2029 36,365,000 5.000 3.120* 64990EC21 2044 48,535,000 5.000 3.700* 64990ED95 2030 38,190,000 5.000 3.220* 64990EC39 2045 50,955,000 5.000 3.710* 64990EE29 2031 39,405,000 5.000 3.280* 64990EC47 $29,770,000 State Personal Income Tax Revenue Bonds (General Purpose), Series 2015C (Tax-Exempt) Due Interest CUSIP Due Interest CUSIP February 15 Amount Rate Yield Numbers† February 15 Amount Rate Yield Numbers† 2017 $ 580,000 4.000% 0.650% 64990EE37 2028 $ 905,000 3.000% 3.150% 64990EF69 2018 600,000 4.000 1.050 64990EE45 2029 925,000 3.125 3.250 64990EF77 2019 630,000 4.000 1.400 64990EE52 2030 960,000 3.250 3.350 64990EF85 2020 655,000 4.000 1.680 64990EE60 2031 990,000 3.250 3.450 64990EF93 2021 675,000 4.000 2.000 64990EE78 2032 1,020,000 3.250 3.500 64990EG27 2022 705,000 4.000 2.250 64990EE86 2033 1,050,000 3.375 3.550 64990EG35 2023 730,000 5.000 2.400 64990EE94 2034 1,090,000 3.375 3.600 64990EG43 2024 770,000 5.000 2.530 64990EF28 2035 1,125,000 3.500 3.650 64990EG50 2025 815,000 5.000 2.650 64990EF36 2036 1,160,000 3.500 3.700 64990EG68 2026 850,000 3.000 2.900* 64990EF44 2037 1,210,000 3.500 3.750 64990EG92 2027 875,000 3.000 3.050 64990EF51 $3,895,000 3.750% Term Bond due February 15, 2040 Yield 3.820% CUSIP Number† 64990EG76 $7,555,000 4.000% Term Bond due February 15, 2045 Yield 3.900%* CUSIP Number† 64990EG84 ____________________ † Copyright, American Bankers Association.
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