Suffolk Tobacco Asset Securitization Corporation
Suffolk Tobacco Asset Securitization Corporation ("STASC" or "Corporation") is a local development corporation organized pursuant to Section 1411 of the Not-For-Profit Corporation Law of the State of New York. The Corporation was formed for the sole purpose of acquiring from the County of Suffolk ("County") any and all of the County's rights, title and interest in Tobacco Settlement Revenues ("TSRs") in exchange for the net proceeds of a bond issuance by STASC. The TSRs are derived from a Master Settlement Agreement and Decree and Final Judgment resolving tobacco related litigation among settling states and participating tobacco product manufacturers. Although STASC is a special purpose, bankruptcy-remote, local development corporation, it is a blended component unit of the County and, as such, is included in the County's financial statements.
The goals of STASC are to:
- Maintain integrity of its fiscal health and to protect the interests of holders of its bonds;
- Manage its bonds and revenues so that it will make timely semi-annual debt service payments and pay its operating expenses;
- Provide accurate financial records and information to its independent auditors; and
- Provide annual financial statements in accordance with the reporting requirements established by the Office of the State Comptroller.
STASC is governed by a board of directors comprised of three members, at least one of whom must meet certain requirements of independence.