Institutional Federal Compliance Report 2021

____________________________________________________________________________________________ STATE OF NEW YORK • 129

Environmental Facilities Corporation The New York State Environmental Facilities Corpo- ration (EFC) is a public benefit corporation, formed in 1970 pursuant to the New York State Environmental Facilities Corporation Act. The mission of EFC is to assist communities throughout New York State to undertake critical water quality infrastructure projects by providing access to low cost capital, grants and expert technical assistance. A primary goal is to ensure that these projects remain affordable while safeguard- ing essential water resources. EFC supports this mission by consistently using an innovative approach to devel- oping and advancing new financing strategies to max- imize the funding that can be made available to our clients, aiding compliance with Federal and State requirements, and promoting green infrastructure practices. EFC assesses and collects fees charged to clients for various services. EFC is governed by a board of directors, which consists of seven members. The Corporation is empowered by State law to: administer and finance the Clean Water and Drinking Water State Revolving Funds (SRFs), established by the State as set forth in the EFC Act pursuant to the federal Water Quality Act of 1987 and the federal Safe Drinking Water Act Amendments of 1996; finance certain State Contributions to the SRFs and for certain environmental infrastructure projects; finance, through the issuance of special obligation revenue bonds under its Industrial Finance Program, water management, solid waste dis- posal, sewage treatment and pollution control projects undertaken by or on behalf of private entities; and to provide technical advice and assistance to private enti- ties, state agencies and local government units on sewage treatment and collection, pollution control, recycling, hazardous waste abatement, solid waste disposal and other related subjects. Total bond indebtedness reported as of March 31, 2019 is approximately $6 billion, and total bonds receivable is approximately $6.8 billion. The complete audited financial statements and related notes as well as additional information regarding EFC can be obtained by visiting EFC at www.efc.ny.gov . Eliminations Eliminations are made primarily to avoid duplicate reporting. As explained in Note 7, the State services a significant portion of the bonds and notes payable of certain Corporations.

The SIF’s financial statements are prepared in conformity with the accounting practices prescribed by the New York State Department of Financial Ser- vices, which is a comprehensive basis of accounting other than the accounting principles generally accepted in the United States of America. The State has adjusted SIF’s financial statements to recognize a total OPEB liability of $785 million in accordance with GASB Statement No. 75 for its respective pro- portionate share in the State’s total OPEB liability. A complete list of departures from GAAP is dis- closed in the SIF’s financial statements, which may be obtained from ww3.nysif.com . State of New York Mortgage Agency The State of New York Mortgage Agency (SONYMA) was established in 1970 and makes mortgages avail- able to first-time and other qualifying home buyers through its Low Interest Rate Program and other spe- cialized home ownership programs. To accomplish this purpose, SONYMA issues tax-exempt and taxable mortgage revenue bonds for direct issuance of forward commitments for new mortgage loans through par- ticipating financial institutions. SONYMA also provides mortgage insurance for qualifying real property loans through its Mortgage Insurance Program. By statute, all costs of providing mortgage insurance are recovered from a State mortgage recording tax surcharge, which is a dedicated tax revenue stream received directly by SONYMA. In April 2009, SONYMA’s statutory author- ity to purchase education loans was updated and expanded in order to permit the Agency to work with the New York State Higher Education Services Cor- poration in developing a new program to offer edu- cation loans to eligible students attending colleges and universities in New York State. In 2016, legislation was adopted authorizing the creation of the New York State Community Restoration Fund, a program to assist homeowners affected by the national mortgage crisis. The fund is held by SONYMA and managed by a newly-created subsidiary of SONYMA called the SONYMA Community Restoration Fund. The agency is a partner in a joint venture with New Jersey Com- munity Capital, and currently owns approximately 570 defaulted mortgage loans. Financial statements can be obtained by contacting SONYMA at www.nyshcr.org .