NY Pub Auth L § 1299-J (2021)
2021 New York Laws PBA - Public Authorities Article 5 - Public Utility Authorities Title 11-A - Niagara Frontier Transportation Authority 1299-J - Reserve Funds and Appropriations.

§  1299-j.  Reserve  funds  and  appropriations.  1. The authority may   create and establish one or more reserve  funds  to  be  known  as  debt   service  reserve  funds and may pay into such debt service reserve funds   (a) any monies appropriated and made available  by  the  state  for  the   purposes  of  such  funds, (b) any proceeds of sale of notes or bonds to   the extent provided in the resolution of the authority  authorizing  the   issuance  thereof,  and (c) any other monies which may be made available   to the authority for the purpose of such funds from any other source  or   sources. The monies held in or credited to any debt service reserve fund   established under this section, except as hereinafter provided, shall be   used  solely  for the payment of the principal of bonds of the authority   secured by such debt service  reserve  fund  as  the  same  mature,  the   purchase of such bonds of the authority, the payment of interest on such   bonds of the authority or the payment of any redemption premium required   to  be  paid  when  such bonds are redeemed prior to maturity; provided,   however, that the authority shall have power to provide that  monies  in   any  such  fund  shall  not  be  withdrawn therefrom at any time in such   amount as would reduce the amount of such fund to less than the  maximum   amount  of  principal  and  interest  maturing  and  becoming due in any   succeeding calendar year or years not exceeding two such  years  on  the   bonds of the authority then outstanding and secured by such debt service   reserve fund, except for the purpose of paying principal of and interest   on such bonds of the authority secured by such debt service reserve fund   maturing  and  becoming due and for the payment of which other monies of   the authority are not available. Any income or interest  earned  by,  or   increment  to,  any such debt service reserve fund due to the investment   thereof may be transferred by the authority to any other fund or account   of the authority and the authority shall have power to provide that  any   such  transfer  shall not reduce the amount of such debt service reserve   fund below the maximum amount of principal  and  interest  maturing  and   becoming  due in any succeeding calendar year or years not exceeding two   such years on all bonds of the authority then outstanding and secured by   such debt service reserve fund.2. The authority shall have power to provide that it shall  not  issue   bonds  at  any  time  if  the  maximum  amount of principal and interest   maturing and becoming due in any succeeding calendar year or  years  not   exceeding  two such years on the bonds outstanding and then to be issued   and secured by a debt service reserve fund will  exceed  the  amount  of   such  debt  service  reserve  fund  at  the time of issuance, unless the   authority, at the time of the issuance of such bonds, shall  deposit  in   such  debt  service reserve fund from the proceeds of the bonds so to be   issued, or otherwise, an amount which, together with the amount then  in   such debt service reserve fund, will be not less than the maximum amount   of  principal  and  interest  maturing  and  becoming  due  in  any such   succeeding calendar year or years not exceeding two such  years  on  the   bonds  then  to  be  issued and on all other bonds of the authority then   outstanding and secured by such debt service reserve fund.3. In computing the amount of any debt service reserve  fund  for  the   purposes  of  this section, securities in which all or a portion of such   fund shall be invested shall be valued at par, or if purchased  at  less   than par, at their cost to the authority.