N.Y.
Public Authorities Law Section 2799-HH
Resources of the authority
1.
Subject to the provisions of this title, the directors of the authority shall receive, accept, invest, administer, expend and disburse for its corporate purposes all money of the authority from whatever sources derived including (a) payments by the state comptroller pursuant to this title;(b)
the proceeds of bonds; and(c)
any other payments, gifts, or appropriations to the authority from any other source.2.
Subject to the provisions of any contract with bondholders, (a) the money of the authority shall be paid to the authority and shall not be commingled with any other money, and(b)
all money received by the authority which, together with other money of the authority available for the operating expenses of the authority, the payment of debt service and payments to reserve funds, exceeds the amount required for such purposes shall be transferred to the city on or before the last day of each month.3.
The money in any of the authority’s accounts shall be paid out on checks signed by the treasurer, or by other lawful and appropriate means such as wire or electronic transfer, on requisitions of the chairperson of the authority or of such other officer as the directors shall authorize to make such requisition, or pursuant to a bond resolution or trust indenture.4.
All deposits of authority money shall be secured by obligations of the United States or of the state or of the city at a market value equal at all times to the amount of the deposit, and all banks and trust companies are authorized to give such security for such deposits. The comptroller and his or her legally authorized representative are authorized and empowered from time to time to examine the accounts and books of the authority, including its receipts, disbursements, contracts, leases, sinking funds, investments and any other records and papers relating to its financial standing. The authority shall have the power, notwithstanding the provisions of this section, to contract with the holders of any of its bonds as to the custody, collection, securing, investment and payment of any money of the authority or any money held in trust or otherwise for the payment of bonds or in any way to secure bonds, and to carry out any such contract notwithstanding that such contract may be inconsistent with the other provisions of this title. Money held in trust or otherwise for the payment of bonds or in any way to secure bonds and deposits of such money may be secured in the same manner as money of the authority, and all banks and trust companies are authorized to give such security for such deposits.5.
Tax revenues received by the authority pursuant to subsection (d) of section eight hundred seventy-three, or section thirteen hundred thirteen, of the tax law, together with any alternative revenues received by the authority, shall be applied in the following order of priority: first pursuant to the authority’s contracts with bondholders, then to pay the authority’s operating expenses not otherwise provided for, and then pursuant to the authority’s agreements with the city, which agreements shall require the authority to transfer the balance of such taxes not required to meet contractual or other obligations of the authority to the city as frequently as practicable.
Source:
Section 2799-HH — Resources of the authority, https://www.nysenate.gov/legislation/laws/PBA/2799-HH (updated Apr. 29, 2022; accessed Apr. 27, 2024).
