When the Town of East Hampton assumed full responsibility for financing capital projects and maintenance at the town-owned East Hampton Airport, it needed to rejigger the way it financed such undertakings. Now, a bill that has just passed the state Legislature will allow it to do exactly that.
The town has stopped accepting new funding from the Federal Aviation Administration (FAA) for airport operations. Under current local finance law, it can only bond out airport improvement projects over a 10-year period, which is the maximum allowable amortization period.
Airport officials, who wanted a lengthier borrowing period, found support from state Senator Kenneth P. LaValle and Assemblyman Fred W. Thiele Jr., who co-sponsored and steered to passage a bill in their respective houses that amends the local finance law to extend the time cap for the issuance of bonds to 30 years.
“This legislation would allow the town to bond out improvements over a longer period of time, up to 30 years, in an effort to give the town the time it needs to fully plan and implement costly infrastructure work, and to ensure that the airport remains self-sustainable,” the sponsors wrote in a June 27 release.
The legislation will have to be signed by New York Governor Andrew Cuomo before becoming law.