§ 92-R — Local government assistance tax fund

* § 92-r. Local government assistance tax fund. 1. There is hereby\nestablished in the joint custody of the comptroller and the commissioner\nof taxation and finance a special fund to be known as the local\ngovernment assistance tax fund.\n 2. Such fund shall consist of the amount of revenue collected within\nthe state from the imposition of the sales and compensating use taxes\n(including interest and penalties) pursuant to section eleven hundred\nfive and section eleven hundred ten of the tax law equal to the amount\nattributable to a one percent rate of taxation, less such amounts as the\ncommissioner of taxation and finance may determine to be necessary for\nrefunds.\n 3. On or before the twelfth day of each month, the commissioner of\ntaxation and finance shall certify to the comptroller the amounts\nspecified in subdivision two of this section relating to the preceding\nmonth and, in addition on the last day of the fiscal year the\ncommissioner shall certify such amounts relating to the last month of\nsuch fiscal year. The amount of revenues so certified shall be deposited\nby the comptroller in the local government assistance tax fund.\n 4. Revenues in the local government assistance tax fund shall be kept\nseparate and shall not be commingled with any other moneys in the\ncustody of the comptroller. All deposits of such revenues shall, if\nrequired by the comptroller, be secured by obligations of the United\nStates or of the state having a market value equal at all times to the\namount of such deposits and all banks and trust companies are authorized\nto give security for such deposits. Any such revenues in such fund may,\nin the discretion of the comptroller, be invested in obligations in\nwhich the comptroller is authorized to invest pursuant to section\nninety-eight-a of this article.\n 5. (a) Upon receipt by the comptroller of a certificate or\ncertificates from the chairperson of the local government assistance\ncorporation submitted pursuant to section thirty-two hundred forty of\nthe public authorities law, that such corporation requires a payment or\npayments, from the local government assistance tax fund, the comptroller\nshall pay from such fund pursuant to an appropriation on or before the\ndate specified in such certificate or within thirty days after such\nreceipt, whichever is later, to such corporation, as the chairperson\nthereof may direct in any such certificate, the amount or amounts so\ncertified. The chairperson of such corporation shall furnish the\ncommissioner of taxation and finance with copies of such certificates.\nIn order to set aside the moneys necessary to meet the amounts required\non the payment date or dates specified in such certificate or\ncertificates, the comptroller shall comply with the provisions of\nparagraph (b) of this subdivision. The comptroller shall from time to\ntime, but in no event later than the fifteenth day of each month (other\nthan the last month of the fiscal year) and the last day of the last\nmonth of the fiscal year of each fiscal year, pay over and distribute to\nthe credit of the general fund of the state treasury all revenues in the\nlocal government assistance tax fund, if any, in excess of the aggregate\namount required to be set aside pursuant to paragraph (b) of this\nsubdivision provided that an appropriation has been made to pay all\namounts specified in such certificate or certificates as being required\nby the corporation for such fiscal year, and provided further that an\nappropriation has been made to make all dedicated highway and bridge\ntrust fund cooperative agreement payments specified in the certificate\nsubmitted by the chairperson of the New York state thruway authority\npursuant to subdivision two of section three hundred eighty-five of the\npublic authorities law. In no event shall the comptroller pay over and\ndistribute any revenues (other than the amount to be deducted for\nadministering, collecting and distributing such sales and compensating\nuse taxes) to any person other than the local government assistance\ncorporation (i) unless and until the aggregate of all payments certified\nto the comptroller as required by such corporation and required to be\nset aside pursuant to paragraph (b) of this subdivision for such fiscal\nyear shall have been appropriated to such corporation in accordance with\nthe schedule specified in the certificate or certificates filed by the\nchairperson of the corporation or (ii) if, after having been so\ncertified and appropriated, any payment required to be set aside\npursuant to paragraph (b) of this subdivision has not been made to the\ncorporation on the date by which it was required to have been made\npursuant to such schedule, or (iii) unless and until the aggregate of\nall dedicated highway and bridge trust fund cooperative agreement\npayments certified by the chairperson of the New York state thruway\nauthority pursuant to subdivision two of section three hundred\neighty-five of the public authorities law shall have been appropriated\nto such authority; provided, however, that no person including such\ncorporation or the holders of its bonds or notes shall have any lien on\nsuch revenues and such agreement shall be executory only to the extent\nof such revenues available to the state in such fund and provided\nfurther that, if the state has appropriated and paid to the corporation\nthe amounts necessary for the corporation to meet its requirements, for\nthe current fiscal year, pursuant to the certificate or certificates\nsubmitted by the chairperson pursuant to section thirty-two hundred\nforty of the public authorities law and notwithstanding any other\nprovision of law, the comptroller shall, on the last day of each fiscal\nyear, pay to the general fund of the state all sums remaining in the\nlocal government assistance tax fund on such date.\n (b) No later than the tenth business day of each month during any\nfiscal year in which a debt service or required payment on any issue of\nbonds, notes or other financial obligations of the corporation is due,\nthe comptroller shall prepare a schedule of the amount of revenue\nanticipated to be deposited pursuant to subdivision two of this section\nduring the balance of such fiscal year in such detail as is necessary to\ncarry out the purposes of this paragraph, based upon estimates of such\nrevenues filed with him by the director of the budget. Except for the\npurpose of meeting a debt service or required payment on any issue of\nbonds, notes or other financial obligations of the corporation that is\ndue on a monthly basis or more frequently, commencing at any time that a\ndebt service or required payment on any such issue equals ninety-five\npercent of the amount of revenues anticipated to be deposited pursuant\nto subdivision two of this section shown on such schedule to be received\nduring the period ending on the date on which such payment is due, after\ndeducting from such revenues the aggregate amount of all such payments\non any other issue of bonds, notes or other financial obligations of the\ncorporation due during such period and against which revenues have not,\nat such time, been collected and set aside pursuant to the provisions of\nthis subdivision, the comptroller shall set aside all such revenues as\nreceived until the amount so set aside is sufficient to pay the amount\nof such payment on such issue and any other issue with a payment date on\nor before the payment date on such issue; provided, however, that the\ncomptroller shall commence to set aside revenues no later than the\nfifteenth day prior to the date on which such payment is due and\ncontinue to set aside such revenues until the balance is sufficient to\npay the amount of such payment when due and the amount of such payment\non any other issue due on or before such date. For the purpose of\nmeeting a debt service or required payment on any issue of bonds, notes\nor other financial obligations of the corporation that is due on a\nmonthly basis or more frequently, the comptroller shall set aside all\nrevenues deposited pursuant to subdivision two of this section as\nreceived until the amount so set aside is, in the reasonable judgment of\nthe comptroller, sufficient to pay the debt service or other required\npayment on such issue and any other such issue with a payment date on or\nbefore such payment date. In the event that the amount set aside by the\ncomptroller pursuant to this paragraph on any payment date is not\nsufficient to meet the payments required pursuant to a certificate or\ncertificates submitted by the chairperson pursuant to section thirty-two\nhundred forty of the public authorities law, the comptroller shall\nimmediately transfer from the general fund to the fund established by\nthis section an amount which, when combined with the amount set aside\npursuant to this paragraph, shall be sufficient to meet the payment\nrequired pursuant to such certificate or certificates. In no event shall\nthe comptroller be held liable for the failure to set aside an amount\nsufficient to pay the debt service or required payment of the\ncorporation.\n 6. All payments of moneys from the local government assistance tax\nfund shall be made on the audit and warrant of the comptroller.\n * NB Repealed six months after all liabilities of the New York Local\nGovernment Assistance Corporation are met or discharged.\n