2023 New York Laws › STF - State Finance › Article 6 - Funds of the State › 92-CC - Rainy Day Reserve Fund.

§ 92-cc. Rainy day reserve fund. 1. There is hereby established in the
state  treasury a fund to be known as the "rainy day reserve fund". Such
fund shall consist of moneys  deposited  therein  and  monies  shall  be
withdrawn from such fund only for the purposes as provided therein.
2.  Such  fund  shall have a maximum balance not to exceed twenty-five
per centum of the aggregate amount projected to be  disbursed  from  the
general  fund during the then-current fiscal year. At the request of the
director of the budget, the state comptroller shall transfer  monies  to
the  rainy  day reserve fund up to and including an amount equivalent to
fifteen per centum of the aggregate amount  projected  to  be  disbursed
from  the  general fund during the then-current fiscal year, unless such
transfer would increase the rainy day  reserve  fund  to  an  amount  in
excess of twenty-five per centum of the aggregate amount projected to be
disbursed  from the general fund during the then-current fiscal year, in
which event such transfer shall  be  limited  to  such  amount  as  will
increase  the  rainy  day  reserve  fund  to such twenty-five per centum
limitation.
3. a. The amounts available  in  such  reserve  may  be  used  if  the
following conditions are met:
(i)  Economic  downturn. The commissioner of labor shall calculate and
publish, on or before the fifteenth day of each month, a composite index
of business cycle indicators.  Such  index  shall  be  calculated  using
monthly data on New York state private sector employment, average weekly
hours  of  manufacturing  workers, and the unemployment rate prepared by
the department of labor or its successor agency,  and  total  sales  tax
collections  adjusted  for  inflation,  prepared  by  the  department of
taxation and finance or  its  successor  agency.  Such  index  shall  be
adjusted  for  seasonal  variations  in  accordance  with the procedures
issued by the United States Census Bureau or its  successor  agency.  If
the   composite   index   declines  for  five  consecutive  months,  the
commissioner of labor shall notify the  governor,  the  speaker  of  the
assembly,  the  temporary  president  of  the  senate,  and the minority
leaders of the assembly and the  senate.  Upon  such  notification,  the
director  of  the  budget  may  authorize  and direct the comptroller to
transfer from the rainy day  reserve  fund  to  the  general  fund  such
amounts  as  the  director  of  the  budget  deems necessary to meet the
requirements of the state financial  plan.  The  authority  to  transfer
funds  under  the  provisions  of  this subdivision shall lapse when the
composite index shall have increased  for  five  consecutive  months  or
twelve  months  from  the  original  notification of the commissioner of
labor, whichever occurs  earlier.  Provided,  however,  that  for  every
additional  and  consecutive  monthly  decline succeeding the five month
decline so noted by the commissioner of labor, the  twelve  month  lapse
date shall be extended by one additional month; or
(ii)  Catastrophic  events.  In the event of a need to repel invasion,
suppress insurrection, defend the state in war, or  to  respond  to  any
other emergency resulting from a disaster, including but not limited to,
a disaster caused by an act of terrorism, the director of the budget may
authorize  and  direct  the  comptroller  to transfer from the rainy day
reserve fund to the general fund such amounts as  the  director  of  the
budget  deems  necessary to meet the requirements of the state financial
plan.
b. Prior to authorizing any transfer from the rainy day  reserve  fund
pursuant  to  the provisions of this section, the director of the budget
shall notify the speaker of the assembly, the temporary president of the
senate, and the minority leaders of the assembly and  the  senate.  Such
letter  shall  specify  the  reasons  for  the  transfer  and the amount
thereof. Any amounts transferred from the rainy day reserve fund to  the

general  fund  shall  be subject to all the repayment provisions of this
section.
4.  Any transfer authorized in subdivision three of this section shall
be repaid in cash within a period of three years  after  the  date  that
such   authority   to  transfer  funds  under  the  provisions  of  this
subdivision lapses, provided however that any transfer authorized  as  a
result  of a catastrophic event shall be subject to repayment provisions
to be proposed by the  governor  and  implemented  by  appropriation  or
transfer of funds.
5.  Moneys  in the rainy day reserve fund may be temporarily loaned to
the general fund during any fiscal year in anticipation of  the  receipt
of  revenues from taxes, fees and other sources required to be paid into
the general fund during such fiscal year. Moneys so  temporarily  loaned
shall be repaid in cash during the same fiscal year.