2023 New York Laws › ENV - Environmental Conservation › Article 15 - Water Resources › Title 21 - River Regulation by Storage Reservoirs › 15-2129 - Financing.

§ 15-2129. Financing.
1. After the cost of any improvement made or to be made under title 21
  of  this  article has been apportioned among the public corporations and
  parcels of real estate benefited  as  herein  provided  and  after  such
  apportionment  has  been  assessed  upon  such  public  corporations and
  parcels of real estate, the board may  finance  the  cost  of  any  such
  improvement pursuant to the Local Finance Law. Any bonds issued for such
  purposes shall not be construed in any event as bonds or indebtedness of
  the  state, and the state shall not be obligated to pay the principal or
  interest therefor. Such bonds shall be lawful investments  for  trustees
  and  savings  banks  of  the state and for any of the funds of the state
  which by law may be invested.
2. The  board  shall  annually  include  in  the  installment  of  the
  assessment  to be collected in that year a sum sufficient to provide for
  the payment of the principal of and interest on obligations  issued  for
  such purposes and maturing in that year.
3.  The proceeds of the sale of obligations issued for the purposes of
  title 21 of this article, together with all other revenues of the  board
  from  whatever  source  derived,  shall be deposited in such national or
  state bank or banks or trust company or trust  companies  at  Albany  or
  within  the  regulating  district as are approved by the Comptroller and
  the board, subject, however, to the provisions of section 165.00 of  the
  Local Finance Law. Before any such deposit is made the Comptroller shall
  require  from  any  such bank or trust company security for repayment of
  the same to such board or to the Comptroller upon demand for  the  money
  so  deposited in the manner provided in section 106 of the State Finance
  Law. All moneys received by the board under the provisions of  title  21
  of  this  article,  except  from  assessments  levied to pay the cost of
  construction, shall constitute a fund to be known as the "general  fund"
  of the district.
4.  All  moneys  received  from  assessments levied to pay the cost of
  construction, together with such part of any  surplus  in  the  "general
  fund"   as  shall  be  determined  by  the  board  over  and  above  the
  requirements for the construction,  maintenance  and  operation  of  the
  reservoir,  including  the  amount raised for a reasonable return to the
  state, shall constitute a separate  fund,  to  be  known  as  the  "debt
  service  fund,"  the  moneys in which shall be applied to the payment of
  principal of and interest on obligations  issued  for  the  purposes  of
  title  21 of this article, except when the total cost of construction is
  paid without the issuance of  obligations,  in  which  case  the  moneys
  applicable   thereto   shall  be  paid  into  the  "general  fund."  Any
  installment or installments of the assessment which shall become payable
  before  any  obligations  have  been  issued,  shall  be  paid  by   the
  Comptroller  into  the  "general fund" and applied to the payment of the
  cost of construction. The Comptroller is authorized and directed to  pay
  from   the  "debt  service  fund"  the  principal  of  and  interest  on
  obligations issued for the purposes of title 21 of this article.
5. All moneys in said "debt service fund"  shall  be  applied  by  the
  Comptroller  to  the  payment  of  the principal of and interest on such
  obligations, except as aforesaid, and to the purchase of the same in the
  open market when possible and while awaiting such purchase  such  excess
  shall  be  invested  or  kept  at interest in the same manner as sinking
  funds of the state of like nature are invested. If any moneys remain  in
  the "debt service fund" after all outstanding obligations have been paid
  up  and  redeemed, such moneys shall be paid into the "general fund" and
  may be used to pay the expenses of maintenance and operation  and  other
  expenses.
6.  The board may invest and reinvest any moneys of the "general fund"
  which are not required to be deposited in accordance with the provisions
  of section 165.00 of the Local Finance Law. Any such investment shall be
  made only in obligations of the federal government and the State of  New
  York,  and  in certificates of deposit of banks or trust companies or in
  bank or trust accounts of banks in this state, secured by obligations of
  the United States of America or of the state of New  York  of  a  market
  value  equal  at  all  times  to  the amount of the deposit and with the
  approval of the Comptroller. The board  may  sell  and  dispose  of  any
  securities  purchased  for  investment pursuant to this paragraph at any
  time with the consent of the Comptroller, and the proceeds thereof shall
  be paid to the Comptroller and deposited in the "general fund."
7. Any obligations purchased for investment pursuant to  this  section
  shall  be  delivered  by  the seller to the Comptroller who shall be the
  custodian thereof until the same are sold or otherwise disposed of.  The
  Comptroller also shall  collect  the  income  of  such  investments  and
  deposit  such  income in the "general fund." Except that certificates of
  deposit purchased for the  Black  river  regulating  district  shall  be
  retained  in  the  office of the said Black river regulating district at
  Watertown, New York and a statement shall be filed with the  Comptroller
  listing  such  certificate  or  certificates,  the  amount  thereof, the
  interest due and payable thereon, the mateurity date thereof, the issuer
  of such certificate and such other information as shall be  required  by
  the Comptroller.
8.  All payments from the "general fund" of the district shall be made
  by requisition of the board signed by the board or  by  the  officer  or
  officers thereof authorized by it so to do and audited and countersigned
  by the Comptroller.
9.  The  board  shall  keep in suitable books a complete record of its
  financial transactions, and the books shall be audited from time to time
  by the Comptroller.