2023 New York Laws › PBA - Public Authorities › Article 8 - Miscellaneous Authorities › Title 26 - New York City Stabilization Reserve Corporation › 2537 - Reserve Fund and Appropriations.

§  2537. Reserve fund and appropriations. 1. (a) The corporation shall
create and establish a special fund (herein referred to as  the  capital
reserve fund) on or before December first, nineteen hundred seventy-five
and shall pay into such capital reserve fund (1) any monies appropriated
and  made  available  by  the city for the purpose of such fund, (2) any
proceeds of sale of notes or  bonds,  to  the  extent  provided  in  the
resolution  or  resolutions  of the corporation authorizing the issuance
thereof, and (3) any other monies which may be  made  available  to  the
corporation  for  the  purpose  of  such fund from any other source. All
monies held in the capital reserve fund, except as hereinafter provided,
shall be used as required solely for the payment  of  the  principal  of
bonds  as  the  same  mature,  sinking  fund  payments,  the purchase or
redemption of bonds, the payment of interest on bonds or the payment  of
any  redemption premium required to be paid when such bonds are redeemed
prior to maturity; provided, however, that monies in 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be withdrawn therefrom at any time in such amount as  would  reduce  the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 capital reserve fund requirement,
except for the purposes provided herein, for which other monies  of  the
corporation  are  not  available.  Any  income or interest earned by, or
increment to, the capital reserve fund due to the investment thereof may
be transferred by the corporation to other  funds  or  accounts  of  the
corporation  to  the extent it does not reduce the amount of the capital
reserve fund below the capital reserve fund requirement.
(b) In computing the amount  of  the  capital  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 corporation.
(c)  To assure the continued operation and solvency of the corporation
for the carrying out of its corporate  purpose,  provision  is  made  in
paragraph  (a)  of  this subdivision for the accumulation in the capital
reserve fund of an amount equal to the capital reserve fund requirement.
In order further to assure such maintenance of the capital reserve fund,
there shall be paid by the city to the corporation for  deposit  in  the
capital  reserve  fund  on  or before the first day of December, in each
year, such amount, if any, needed for the  purpose  of  maintaining  the
capital reserve fund at the capital reserve fund requirement as shall be
certified  by  the  chairman  of  the  corporation  to the mayor and the
director of management and budget on or  before  the  fifteenth  day  of
February  next  preceding; provided that any such amount shall have been
first appropriated by or on behalf of the city for such purpose or shall
have been otherwise made available.
2. The corporation may create and establish such other fund  or  funds
as may be necessary or desirable for its corporate purpose.