N.Y. LFN Law § 121.20

§ 121.20 Exclusion of certain indebtedness of school districts other\nthan school districts in a city with one hundred twenty-five thousand\ninhabitants or more according to the latest federal census in\nascertaining their power to contract indebtedness. a. As used in this\nsection:\n 1. The term "indebtedness" shall mean indebtedness evidenced by bonds\nand bond anticipation notes.\n 2. The term "school district" shall mean a school district other than\na school district in a city with one hundred twenty-five thousand\ninhabitants or more according to the latest federal census.\n b. In ascertaining the power of a school district to contract\nindebtedness, there may be excluded outstanding indebtedness contracted,\nor indebtedness to be contracted, for objects or purposes having periods\nof probable usefulness provided in paragraph a of section 11.00 of this\nchapter, to the extent to which the commissioner of education, or such\nperson or persons as may be designated by the commissioner, shall\nestimate based upon facts existing on the date of such estimate that\nmoneys receivable by the school district from the state as an\napportionment for debt service for school building purposes, under laws\nexisting on the date of such estimate, shall meet the interest on and\nthe annual requirements for the payment of such indebtedness. Any such\nestimate shall describe the indebtedness to which it relates. An\nestimate shall be effective only until the June thirtieth next\nsucceeding the date thereof.\n c. The commissioner of education by rule or regulation may prescribe\nthe manner and form in which a school district shall make application\nfor any such estimate. The department of education shall furnish to the\nschool district, without charge, three certified copies of any such\nestimate.\n