Sec. 39.5. Procurement of vendor and nonvendor financing

(a) If the governing board of the political subdivision determines that it is in the best interests of the political subdivision to select a bid, offer or proposal, as the case may be, inclusive of the cost of financing, the governing board shall adopt a resolution authorizing the political subdivision to enter into an installment purchase contract with the successful bidder or offeror making a bid or offer inclusive of the cost of financing.

(b) If the governing board determines that it is in the best interests of the political subdivision to select a bid, offer or proposal, as the case may be, exclusive of the cost of financing, it shall adopt a resolution requiring the capital improvement to be procured from the successful party making a bid, offer or proposal, exclusive of the cost of financing, and directing that nonvendor financing be obtained pursuant to either section 39.6, 39.7 or 39.8 of this Part. Such resolution shall also authorize the political subdivision to enter into an installment purchase contract with any party selected to provide the financing or, if certificates of participation are to be issued, with a party acting on behalf of the holders of the certificates of participation. The resolution may also delegate to the chief fiscal officer the power to cause certificates of participation to be sold pursuant to section 39.6 or 39.7 of this Part.

(c) Any resolution adopted pursuant to this section must include a statement that execution of the installment purchase contract will not cause the political subdivision to exceed the limits prescribed by paragraph c of subdivision 6 of section 109-b of the General Municipal Law.