2013 New York Consolidated Laws
PVH - Private Housing Finance
Article 3 - (40 - 62) NEW YORK STATE HOUSING FINANCE AGENCY
47 - Reserve funds and appropriations.

 
    § 47. Reserve funds and appropriations. 1. (a) The agency shall create
  and  establish  a  special  fund  (herein referred to as capital reserve
  fund), and shall pay into such  capital  reserve  fund  (1)  any  monies
  appropriated  and  made  available by the state for the purposes of such
  fund, (2) any proceeds of sale  of  notes  or  bonds  other  than  state
  university  construction  notes  or state university construction bonds,
  equity notes or equity bonds, non-profit  project  notes  or  non-profit
  project  bonds,  hospital and nursing home project notes or hospital and
  nursing home project bonds, urban rental project notes or  urban  rental
  project bonds, health facilities notes or health facilities bonds, youth
  facilities  project  notes  or youth facilities project bonds, community
  mental health services and mental retardation services project notes  or
  community mental health services and mental retardation services project
  bonds,  community  senior  citizens  services project notes or community
  senior citizens services project bonds, mental hygiene improvement notes
  or mental hygiene improvement bonds and revenue housing bonds, and bonds
  and notes for  the  housing  program  to  the  extent  provided  in  the
  resolution  of  the agency authorizing the issuance thereof, and (3) any
  other moneys which may be made available to the agency for  the  purpose
  of  such  fund  from any other source or sources. All moneys held in the
  capital reserve fund, except as  hereinafter  provided,  shall  be  used
  solely  for  the  payment  of the principal of bonds of the agency other
  than state  university  construction  bonds,  equity  bonds,  non-profit
  project  bonds,  hospital  and  nursing home project bonds, urban rental
  project bonds, health facilities bonds, youth facilities project  bonds,
  community mental health services and mental retardation services project
  bonds,  community senior citizens services project bonds, mental hygiene
  improvement bonds and revenue housing bonds, and bonds and notes for the
  housing program as the same mature, required  payments  to  any  sinking
  fund  established  in a resolution of the agency for the amortization of
  term bonds (hereinafter referred to as  "sinking  fund  payments"),  the
  purchase  or  redemption  of  bonds  of  the  agency  other  than  state
  university construction bonds, equity bonds, non-profit  project  bonds,
  hospital  and  nursing  home  project bonds, urban rental project bonds,
  health facilities  bonds,  youth  facilities  project  bonds,  community
  mental  health  services  and mental retardation services project bonds,
  community  senior  citizens  services  project  bonds,  mental   hygiene
  improvement bonds and revenue housing bonds, and bonds and notes for the
  housing  program  the payment of interest on such bonds of the agency 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 maximum amount  of
  principal  and  interest  maturing  and  becoming  due  and sinking fund
  payments required to be made in any  succeeding  calendar  year  on  all
  bonds  of  the  agency  then  outstanding  other  than  state university
  construction bonds, equity bonds, non-profit project bonds, hospital and
  nursing  home  project  bonds,  urban  rental  project   bonds,   health
  facilities  bonds,  youth  facilities  project  bonds,  community mental
  health services and mental retardation services project bonds, community
  senior citizens services project bonds, mental hygiene improvement bonds
  and revenue housing bonds and bonds and notes for the  housing  program,
  except for the purpose of paying principal of, interest and sinking fund
  payments  becoming due on such bonds of the agency maturing and becoming
  due and for the payment of which other moneys  of  the  agency  are  not
  available.  For  the  purposes of this subdivision one, in computing the
  maximum amount of principal maturing at a  single  future  date  (herein
  called  "term  bonds")  in  any  succeeding calendar year, the principal

  amount of any such term bonds which are subject to mandatory  redemption
  prior to such future date by sinking fund payments shall not be included
  in  the computation determining the maximum amount of principal maturing
  in  said future year. Any income or interest earned by, or increment to,
  the  capital  reserve  fund  due  to  the  investment  thereof  may   be
  transferred  by  the agency to the general reserve fund or other fund of
  the agency to the extent it does not reduce the amount  of  the  capital
  reserve fund below the maximum amount of principal and interest maturing
  and  becoming  due  and sinking fund payments required to be made in any
  succeeding  calendar  year  on  all  such  bonds  of  the  agency   then
  outstanding  other  than  state  university  construction  bonds, equity
  bonds, non-profit project  bonds,  hospital  and  nursing  home  project
  bonds,  urban  rental  project  bonds,  health  facilities  bonds, youth
  facilities project bonds, community mental health  services  and  mental
  retardation  services  project bonds, community senior citizens services
  project bonds, mental hygiene  improvement  bonds  and  revenue  housing
  bonds and bonds and notes for the housing program.
    (b)  The  agency  shall  not  issue  bonds other than state university
  construction bonds, equity bonds, non-profit project bonds, hospital and
  nursing  home  project  bonds,  urban  rental  project   bonds,   health
  facilities  bonds,  youth  facilities  project  bonds,  community mental
  health services and mental retardation services project bonds, community
  senior citizens services project bonds, mental hygiene improvement bonds
  and revenue housing bonds and bonds and notes for the housing program at
  any time secured by the capital reserve fund if the  maximum  amount  of
  principal  and  interest  maturing  and  becoming  due  and sinking fund
  payments required to be made in a succeeding calendar year on such bonds
  then to be issued and on all other bonds of the agency then  outstanding
  other than state university construction bonds, equity bonds, non-profit
  project  bonds,  hospital  and  nursing home project bonds, urban rental
  project bonds, health facilities bonds, youth facilities project  bonds,
  community mental health services and mental retardation services project
  bonds,  community senior citizens services project bonds, mental hygiene
  improvement bonds and revenue housing bonds and bonds and notes for  the
  housing  program  will  exceed the amount of the capital reserve fund at
  the time of issuance unless the agency, at the time of issuance of  such
  bonds,  shall  deposit in such fund from the proceeds of the bonds so to
  be issued, or otherwise, an amount which, together with the amount  then
  in  such fund, will be not less than the maximum amount of principal and
  interest maturing and becoming due and sinking fund payments required to
  be made in any succeeding calendar year on such bonds then to be  issued
  and  on  all other bonds of the agency then outstanding other than state
  university construction bonds, equity bonds, non-profit  project  bonds,
  hospital  and  nursing  home  project bonds, urban rental project bonds,
  health facilities  bonds,  youth  facilities  project  bonds,  community
  mental  health  services  and mental retardation services project bonds,
  community  senior  citizens  services  project  bonds,  mental   hygiene
  improvement  bonds and revenue housing bonds and bonds and notes for the
  housing program.
    (c) The agency shall not  issue  bonds  and  notes  other  than  state
  university  construction  bonds and state university construction notes,
  hospital and nursing home project bonds and hospital  and  nursing  home
  project  notes,  health  facilities  bonds  and health facilities notes,
  youth facilities project  bonds  and  youth  facilities  project  notes,
  community mental health services and mental retardation services project
  bonds  and  community  mental  health  services  and  mental retardation
  services project notes, community senior citizens services project notes
  or community senior citizens services project bonds and  mental  hygiene

  improvement  bonds  and  mental  hygiene improvement notes and bonds and
  notes for the housing program for any of its corporate  purposes  in  an
  aggregate  principal  amount  exceeding  seventeen  billion  two hundred
  eighty  million  dollars,  excluding  bonds  and  notes issued to refund
  outstanding bonds and notes.
    (d) To assure the continued operation and solvency of the  agency  for
  the  carrying  out  of the public purposes of this article, provision is
  made in paragraph (a) of this subdivision for the  accumulation  in  the
  capital  reserve  fund  of  an  amount  equal  to  the maximum amount of
  principal and interest  maturing  and  becoming  due  and  sinking  fund
  payments  required  to  be  made  in any succeeding calendar year on all
  bonds of  the  agency  then  outstanding  other  than  state  university
  construction bonds, equity bonds, non-profit project bonds, hospital and
  nursing   home   project  bonds,  urban  rental  project  bonds,  health
  facilities bonds,  youth  facilities  project  bonds,  community  mental
  health services and mental retardation services project bonds, community
  senior citizens services project bonds, mental hygiene improvement bonds
  and  revenue  housing bonds and bonds and notes for the housing program.
  In order further to assure such maintenance of the capital reserve fund,
  there shall be annually apportioned and paid to the agency  for  deposit
  in  the  capital reserve fund such sum, if any, as shall be certified by
  the chairman of the agency to the governor and director of the budget as
  necessary to restore the capital reserve fund to an amount equal to  the
  maximum  amount  of principal and interest maturing and becoming due and
  sinking fund payments required to be made  in  any  succeeding  calendar
  year  on  the  bonds  of  the  agency  then outstanding other than state
  university construction bonds, equity bonds, non-profit  project  bonds,
  hospital  and  nursing  home  project bonds, urban rental project bonds,
  health facilities  bonds,  youth  facilities  project  bonds,  community
  mental  health  services  and mental retardation services project bonds,
  community  senior  citizens  services  project  bonds,  mental   hygiene
  improvement  bonds and revenue housing bonds and bonds and notes for the
  housing program.   The chairman of the  agency  shall  annually,  on  or
  before  December first, make and deliver to the governor and director of
  the budget his certificate stating  the  amount,  if  any,  required  to
  restore  the capital reserve fund to the amount aforesaid and the amount
  so stated, if any, shall be apportioned and paid to  the  agency  during
  the  then  current  state  fiscal  year.  The  principal amount of bonds
  secured  by  the  capital  reserve  fund  to  which  state   funds   are
  apportionable  pursuant  to this paragraph shall be limited to the total
  amount of bonds and notes outstanding on the effective date of this act,
  plus the total amount of bonds and notes contracted after the  effective
  date  of  this act to finance projects in progress on the effective date
  of this act as determined by  the  New  York  state  public  authorities
  control   board   created  pursuant  to  section  fifty  of  the  public
  authorities law whose affirmative determination shall be  conclusive  as
  to  all  matters  of  law  and  fact  solely  for  the  purposes  of the
  limitations contained in this paragraph, but in no event shall the total
  amount of bonds so secured by such  a  capital  reserve  fund  or  funds
  exceed  three  hundred  thirty-eight  million  dollars,  excluding bonds
  issued to refund such outstanding bonds until the date of redemption  of
  such  outstanding  bonds.  As outstanding bonds so secured are paid, the
  amount so secured shall be reduced accordingly  but  the  redemption  of
  such  outstanding  bonds  from the proceeds of refunding bonds shall not
  reduce the amount so secured.
    (e) 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 agency.
    2.  The  agency  shall  create  and  establish  a special fund (herein
  referred to as general reserve fund) and shall pay into  such  fund  all
  fees  and  charges  collected by the agency pursuant to paragraph (a) of
  subdivision eleven of section forty-four of this article, or  otherwise,
  other  than  fees and charges collected in connection with the making of
  mortgage loans (or commitments therefor) to mutual companies, non-profit
  companies, urban rental companies or community development corporations,
  and any monies which the agency shall transfer from the capital  reserve
  fund  pursuant  to the provisions of paragraph (a) of subdivision one of
  this section. Such monies and any other monies  paid  into  the  general
  reserve  fund  may,  in  the  discretion  of  the  agency but subject to
  agreements with bondholders and noteholders, be used by the  agency  (a)
  for  the  repayment  of  advances  from the state in accordance with the
  provisions of repayment agreements between the agency and  the  director
  of  the  budget,  (b) to reimburse the division of housing and community
  renewal  the  reasonable  costs  of  the  services  performed   by   the
  commissioner  of  housing  and community renewal and division of housing
  and community renewal pursuant to section fifty-five  of  this  article,
  (c)  to pay all costs, expenses and charges of financing, including fees
  and expenses of trustees and paying agents, (d)  for  transfers  to  the
  capital  reserve  fund,  (e)  for  the  payment  of the principal of and
  interest on bonds or notes  other  than  state  university  construction
  bonds  or  state  university  construction notes, equity bonds or equity
  notes, non-profit project bonds or non-profit  project  notes,  hospital
  and  nursing  home  project  bonds  or hospital and nursing home project
  notes, urban rental project bonds or urban rental project notes,  health
  facilities  bonds  or  health facilities notes, youth facilities project
  bonds  or  youth  facilities  project  notes,  community  mental  health
  services  and  mental  retardation  services  project bonds or community
  mental health services and mental retardation  services  project  notes,
  community  senior  citizens  services  project notes or community senior
  citizens services project bonds, mental  hygiene  improvement  bonds  or
  mental hygiene improvement notes and revenue housing bonds and bonds and
  notes  for  the housing program issued by the agency when the same shall
  become due whether at maturity or on call for  redemption  and  for  the
  payment  of  any redemption premium required to be paid where such bonds
  or notes are redeemed prior to their stated maturities, and to  purchase
  bonds  or  notes other than state university construction bonds or state
  university construction notes, equity bonds or equity notes,  non-profit
  project  bonds  or  non-profit  project notes, hospital and nursing home
  project bonds or hospital and nursing home project notes,  urban  rental
  project  bonds or urban rental project notes, health facilities bonds or
  health  facilities  notes,  youth  facilities  project  bonds  or  youth
  facilities  project  notes,  community mental health services and mental
  retardation services project bonds or community mental  health  services
  and mental retardation services project notes, community senior citizens
  services  project  notes  or  community senior citizens services project
  bonds, mental hygiene improvement bonds or  mental  hygiene  improvement
  notes  and  revenue  housing  bonds  and bonds and notes for the housing
  program issued by the agency, or (f) for such other  corporate  purposes
  of  the  agency  as  the  agency  in  its discretion shall determine and
  provide.
    3. (a) The agency shall create and establish a  special  fund  (herein
  referred  to  as  equity  reserve  fund), and shall pay into such equity
  reserve fund (1) any monies appropriated and made available by the state
  for the purposes of such fund, (2) any proceeds of sale of equity  notes

  or  equity bonds, to the extent provided in the resolution of the agency
  authorizing the issuance thereof, and (3) any other monies which may  be
  made available to the agency for the purpose of such fund from any other
  source or sources. All moneys held in the equity reserve fund, except as
  hereinafter  provided,  shall  be  used  solely  for  the payment of the
  principal of equity bonds  of  the  agency,  as  the  same  mature,  the
  purchase  of  equity  bonds  of  the  agency, the payment of interest on
  equity bonds of the agency or the  payment  of  any  redemption  premium
  required  to  be  paid  when  such bonds are redeemed prior to maturity;
  provided, however, that moneys 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 maximum amount of principal and interest  maturing
  and  becoming due in any succeeding calendar year on all equity bonds of
  the agency then outstanding, except for the purpose of paying  principal
  and interest on equity bonds of the agency maturing and becoming due and
  for  the  payment of which other monies of the agency are not available.
  Any income or interest earned by, or increment to,  the  equity  reserve
  fund due to the investment thereof may be transferred to the equity loan
  fund  or  other  fund of the agency to the extent it does not reduce the
  amount of the equity reserve fund below the maximum amount of  principal
  and  interest  maturing and becoming due in any succeeding calendar year
  on all equity bonds of the agency then outstanding.
    (b) The agency shall not issue equity bonds at any time secured by the
  equity reserve fund if the maximum  amount  of  principal  and  interest
  maturing  and  becoming  due in a succeeding calendar year on the equity
  bonds then to be issued and on all other equity bonds of the agency then
  outstanding will exceed the amount of the equity  reserve  fund  at  the
  time  of  issuance,  unless  the agency, at the time of issuance of such
  bonds, shall deposit in such fund from the proceeds of the bonds  so  to
  be  issued,  or otherwise, an amount which together with the amount then
  in such fund, will be not less than the maximum amount of principal  and
  interest  maturing  and  becoming due in any succeeding calendar year on
  the equity bonds then to be issued and on all other equity bonds of  the
  agency then outstanding.
    (c)  The  agency  shall  not issue equity bonds and equity notes in an
  aggregate principal amount exceeding fifty  million  dollars,  excluding
  equity  bonds  and  notes  issued to refund outstanding equity bonds and
  notes.
    (d) To assure the continued operation and solvency of the  agency  for
  the  carrying  out  of the public purposes of this article, provision is
  made in paragraph (a) of this subdivision for the  accumulation  in  the
  equity  reserve  fund  of  an  amount  equal  to  the  maximum amount of
  principal and interest maturing  and  becoming  due  in  any  succeeding
  calendar  year  on  all  equity bonds of the agency then outstanding. In
  order further to assure such maintenance of  the  equity  reserve  fund,
  there  shall  be annually apportioned and paid to the agency for deposit
  in the equity reserve fund such sum, if any, as shall  be  certified  by
  the chairman of the agency to the governor and director of the budget as
  necessary  to  restore the equity reserve fund to an amount equal to the
  maximum amount of principal and interest maturing and  becoming  due  in
  any  succeeding  calendar  year  on  the equity bonds of the agency then
  outstanding. The chairman of the agency shall  annually,  on  or  before
  December  first,  make  and  deliver to the governor and director of the
  budget his certificate stating the amount, if any, required  to  restore
  the  equity  reserve  fund  to  the  amount  aforesaid and the amount so
  stated, if any, shall be apportioned and paid to the agency  during  the
  then current state fiscal year. The principal amount of bonds secured by
  the  equity reserve fund to which state funds are apportionable pursuant

  to this paragraph shall be limited to the  total  amount  of  bonds  and
  notes  outstanding  on  the  effective  date of this act, plus the total
  amount of bonds and notes contracted after the effective  date  of  this
  act  to  finance projects in progress on the effective date of this act,
  as determined by the New York state  public  authorities  control  board
  created  pursuant  to  section fifty of the public authorities law whose
  affirmative determination shall be conclusive as to all matters  of  law
  and  fact  solely  for the purposes of the limitations contained in this
  paragraph, but in no event shall the total amount of bonds so secured by
  such a equity  reserve  fund  or  funds  exceed  three  hundred  fifteen
  thousand  dollars,  excluding  bonds  issued  to refund such outstanding
  bonds until the  date  of  redemption  of  such  outstanding  bonds.  As
  outstanding  bonds  so  secured are paid, the amount so secured shall be
  reduced accordingly but the redemption of such  outstanding  bonds  from
  the proceeds of refunding bonds shall not reduce the amount so secured.
    (e)  In  computing  the  amount  of  the  equity  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 if purchased at par, or if
  purchased at other than par, at amortized value.
    4.  The  agency  shall  create  and  establish  a special fund (herein
  referred to as equity loan fund) and shall pay into such fund any monies
  which the agency shall transfer from the equity reserve fund pursuant to
  the provisions of paragraph (a) of subdivision three of this section and
  any monies received in payment of principal of  or  interest  on  equity
  loans.   Such monies and any other monies paid into the equity loan fund
  may, in the discretion of the agency, but subject to agreements with the
  holders of equity bonds and equity notes be used by the agency  (a)  for
  the  repayment  of  advances  from  the  state  in  accordance  with the
  provisions of repayment agreements between the agency and  the  director
  of  the  budget, (b) to reimburse the division of housing the reasonable
  costs of the services performed  by  the  commissioner  of  housing  and
  division  of housing pursuant to section fifty-five of this article, (c)
  to pay all costs,  expenses  and  charges  of  financing  equity  loans,
  including  fees  and  expenses  of  trustees  and paying agents, (d) for
  transfers to the equity  reserve  fund,  (e)  for  the  payment  of  the
  principal  of and interest on equity bonds or equity notes issued by the
  agency when the same shall become due whether at maturity or on call for
  redemption and for the payment of any redemption premium required to  be
  paid  where  such  bonds  or  notes  are  redeemed prior to their stated
  maturities, and to purchase equity bonds or equity notes issued  by  the
  agency,  or  (f)  for such other corporate purposes of the agency as the
  agency in its discretion shall determine and provide.
    5. (a) The agency may create and  establish  one  or  more  additional
  reserve funds to be known as debt service reserve funds and may pay into
  such reserve funds (1) any moneys appropriated and made available by the
  state  for  the  purposes  of  such  funds,  (2) any proceeds of sale of
  non-profit project notes or non-profit  project  bonds,  to  the  extent
  provided  in  the  resolution  of  the  agency  authorizing the issuance
  thereof, and (3) any other moneys which may be  made  available  to  the
  agency  for the purposes of such funds from any other source or sources.
  The moneys held  in  or  credited  to  any  debt  service  reserve  fund
  established under this subdivision except as hereinafter provided, shall
  be  used  solely  for the payment of the principal of non-profit project
  bonds of the agency secured by such reserve fund, as  the  same  mature,
  required payments to any sinking fund established in a resolution of the
  agency  for  the  amortization of term bonds (hereinafter referred to as
  "sinking fund payments"), the purchase or redemption of such  non-profit
  project  bonds of the agency, the payment of interest on such non-profit

  project bonds of the agency or the payment  of  any  redemption  premium
  required  to  be  paid  when  such bonds are redeemed prior to maturity;
  provided, however, that moneys 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, interest maturing and
  becoming due and sinking fund  payments  required  to  be  made  in  any
  succeeding  calendar  year on the non-profit project bonds of the agency
  then outstanding and secured  by  such  reserve  fund,  except  for  the
  purpose  of  paying  principal  and  interest  and sinking fund payments
  becoming due on the non-profit project bonds of the  agency  secured  by
  such reserve fund maturing and becoming due and for the payment of which
  other  moneys  of the agency are not available. For the purposes of this
  subdivision five, in computing the maximum amount of principal  maturing
  at  a  single future date (herein called "term bonds") in any succeeding
  calendar year, the principal amount of any such  term  bonds  which  are
  subject  to  mandatory  redemption  prior to such future date by sinking
  fund payments shall not be included in the computation  determining  the
  maximum  amount of principal maturing in said future year. Any income or
  interest earned by, or increment to, any such debt service reserve  fund
  due  to  the  investment thereof may be transferred to any other fund or
  account of the agency to the extent it does not  reduce  the  amount  of
  such debt service reserve fund below the maximum amount of principal and
  interest maturing and becoming due and sinking fund payments required to
  be  made in any succeeding calendar year on all non-profit project bonds
  of the agency then outstanding and secured by such reserve fund.
    (b) The agency shall not issue non-profit project bonds at any time if
  the maximum amount of principal and interest maturing and  becoming  due
  and  sinking  fund payments required to be made in a succeeding calendar
  year on the non-profit project bonds outstanding and then to  be  issued
  and  secured  by  a  debt service reserve fund will exceed the amount of
  such reserve account at the time of issuance, unless the agency, at  the
  time  of issuance of such bonds, shall deposit in such reserve fund from
  the proceeds of the bonds so to be issued, or otherwise, an amount which
  together with the amount then in such reserve fund,  will  be  not  less
  than  the maximum amount of principal and interest maturing and becoming
  due and sinking fund payments required to  be  made  in  any  succeeding
  calendar  year  on the non-profit project bonds then to be issued and on
  all other non-profit project bonds of the agency  then  outstanding  and
  secured by such reserve fund.
    (c)  To  assure the continued operation and solvency of the agency for
  the carrying out of the public purposes of  this  article  provision  is
  made  in  paragraph (a) of this subdivision for the accumulation in each
  debt service reserve fund of an amount equal to the  maximum  amount  of
  principal  and  interest  maturing  and  becoming  due  and sinking fund
  payments required to be made in any  succeeding  calendar  year  on  all
  non-profit  project  bonds of the agency then outstanding and secured by
  such reserve fund. In order further to assure the  maintenance  of  such
  debt service reserve funds, there shall be annually apportioned and paid
  to the agency for deposit in each debt service reserve fund such sum, if
  any, as shall be certified by the chairman of the agency to the governor
  and  director of the budget as necessary to restore such reserve fund to
  an amount equal to the maximum amount of principal and interest maturing
  and becoming due and sinking fund payments required to be  made  in  any
  succeeding  calendar  year on the non-profit project bonds of the agency
  then outstanding and secured by such reserve fund. The chairman  of  the
  agency  shall annually, on or before December first, make and deliver to
  the governor and director of the budget his certificate stating the sum,
  if any, required to restore each such debt service reserve fund  to  the

  amount  aforesaid,  and  the  sum or sums so certified, if any, shall be
  apportioned and paid to the agency during the then current state  fiscal
  year.  The  principal  amount of bonds secured by a debt service reserve
  fund  or  funds  to which state funds are apportionable pursuant to this
  paragraph shall be limited to  the  total  amount  of  bonds  and  notes
  outstanding  on the effective date of this act, plus the total amount of
  bonds and notes contracted after the  effective  date  of  this  act  to
  finance  projects  in  progress  on  the  effective  date of this act as
  determined by the  New  York  state  public  authorities  control  board
  created  pursuant  to  section fifty of the public authorities law whose
  affirmative determination shall be conclusive as to all matters  of  law
  and  fact  solely  for  the purpose of the limitations contained in this
  paragraph, but in no event shall the total amount of bonds so secured by
  such  a  debt  service  reserve  fund  or  funds  exceed  seven  hundred
  ninety-three  million  dollars,  excluding  bonds  issued to refund such
  outstanding bonds until the  date  of  redemption  of  such  outstanding
  bonds.  As  outstanding bonds so secured are paid, the amount so secured
  shall be reduced accordingly but  the  redemption  of  such  outstanding
  bonds  from  the proceeds of refunding bonds shall not reduce the amount
  so secured.
    (d) In computing any debt service reserve fund  for  the  purposes  of
  this  section, securities in which all or a portion of such reserve fund
  shall be invested shall be valued at par, or if purchased at  less  than
  par, at their cost to the agency.
    6.  (a) The agency may create and establish a special fund to be known
  as hospital and nursing home capital reserve fund and may pay into  such
  reserve  funds  (1)  any  monies  appropriated and made available by the
  state for the purposes of such  funds,  (2)  any  proceeds  of  sale  of
  hospital  and  nursing  home  project notes or hospital and nursing home
  project bonds, to the extent provided in the resolution  of  the  agency
  authorizing  the issuance thereof, and (3) any other monies which may be
  made available to the agency for the purposes of such accounts from  any
  other  source  or sources. The monies held in or credited to the capital
  reserve fund established under this subdivision  except  as  hereinafter
  provided,  shall  be  used  solely  for  the payment of the principal of
  hospital and nursing home project bonds of the agency  secured  by  such
  reserve  fund, as the same mature, required payments to any sinking fund
  established in a resolution of the agency for the amortization  of  term
  bonds  (hereinafter referred to as "sinking fund payments") the purchase
  or redemption of such hospital and nursing home  project  bonds  of  the
  agency,  the  payment  of  interest  on  such  hospital and nursing home
  project bonds of the agency, or the payment of  any  redemption  premium
  required  to  be  paid  when  such bonds are redeemed prior to maturity;
  provided, however, 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  and sinking fund payments required to be made in any
  succeeding calendar year on the hospital and nursing home project  bonds
  of  the agency then outstanding and secured by such reserve fund, except
  for the purpose of paying principal, interest on  hospital  and  nursing
  home  project  bonds of the agency secured by such reserve fund maturing
  and becoming due and sinking fund payments  becoming  due  and  for  the
  payment  of  which other monies of the agency are not available. For the
  purposes of this subdivision six, in computing  the  maximum  amount  of
  principal  maturing at a single future date (herein called "term bonds")
  in any succeeding calendar year, the principal amount of any  such  term
  bonds  which  are  subject  to mandatory redemption prior to such future
  date by sinking fund payments shall not be included in  the  computation

  determining  the  maximum  amount  of  principal maturing in said future
  year. Any income or interest  earned  by,  or  increment  to,  any  such
  hospital  and  nursing  home  capital reserve fund due to the investment
  thereof  may  be  transferred  to  the hospital and nursing home general
  reserve fund or other fund of the agency, to  the  extent  it  does  not
  reduce the amount of such hospital and nursing home capital reserve fund
  below the maximum amount of principal and interest maturing and becoming
  due  and  sinking  fund  payments  required to be made in any succeeding
  calendar year on all hospital and nursing  home  project  bonds  of  the
  agency then outstanding and secured by such reserve fund.
    (b) The agency shall not issue hospital and nursing home project bonds
  and  notes  in  an aggregate principal amount exceeding one billion nine
  hundred fifty  million  dollars  excluding  hospital  and  nursing  home
  project  bonds  and  hospital  and  nursing home project notes issued to
  refund outstanding hospital and nursing home project bonds and  hospital
  and  nursing home project notes, nor shall it issue hospital and nursing
  home project bonds at any time secured by the hospital and nursing  home
  capital  reserve  fund  if  the maximum amount of principal and interest
  maturing and becoming due and sinking fund payments required to be  made
  in  a  succeeding calendar year on the hospital and nursing home project
  bonds outstanding and then to be issued and secured by the hospital  and
  nursing home capital reserve fund will exceed the amount of such reserve
  fund at the time of issuance, unless the agency, at the time of issuance
  of  such  bonds, shall deposit in such reserve fund from the proceeds of
  the bonds so to be issued, or otherwise, an amount which  together  with
  the  amount then in such reserve fund, will be not less than the maximum
  amount of principal and interest maturing and becoming due  and  sinking
  fund payments required to be made in any succeeding calendar year on the
  hospital  and  nursing  home  project bonds then to be issued and on all
  other hospital and  nursing  home  project  bonds  of  the  agency  then
  outstanding and secured by such reserve fund.
    (c)  To  assure the continued operation and solvency of the agency for
  the carrying out of the public purposes of  this  article  provision  is
  made  in  paragraph  (a) of this subdivision for the accumulation in the
  hospital and nursing home capital reserve fund of an amount equal to the
  maximum amount of principal and interest maturing and becoming  due  and
  sinking  fund payments to be made in any succeeding calendar year on all
  hospital and nursing home project bonds of the agency  then  outstanding
  and  secured  by  such  reserve  fund.  In  order  further to assure the
  maintenance of such hospital and  nursing  home  capital  reserve  fund,
  there  shall  be annually apportioned and paid to the agency for deposit
  in such hospital and nursing home capital reserve fund such sum, if any,
  as shall be certified by the chairman of the agency to the governor  and
  director  of  the budget as necessary to restore such reserve fund to an
  amount equal to the maximum amount of principal  and  interest  maturing
  and  becoming  due  and sinking fund payments required to be made in any
  succeeding calendar year on the hospital and nursing home project  bonds
  of  the  agency  then  outstanding and secured by such reserve fund. The
  chairman of the agency shall annually, on or before December first, make
  and deliver to the governor and director of the budget  his  certificate
  stating  the sums, if any, required to restore such hospital and nursing
  home capital reserve fund to the  amount  aforesaid,  and  the  sums  so
  certified,  if  any,  shall be apportioned and paid to the agency during
  the then current state  fiscal  year.  The  principal  amount  of  bonds
  secured  by  the hospital and nursing home capital reserve fund to which
  state funds are  apportionable  pursuant  to  this  paragraph  shall  be
  limited  to  the  total  amount  of  bonds  and notes outstanding on the
  effective date of this act, plus the total amount  of  bonds  and  notes

  contracted  after  the effective date of this act to finance projects on
  progress on the effective date of this act as determined by the New York
  state public authorities control board created pursuant to section fifty
  of  the  public authorities law whose affirmative determination shall be
  conclusive as to all matters of law and fact solely for the purposes  of
  the  limitations  contained in this paragraph, but in no event shall the
  total amount of bonds so secured by such a capital reserve fund or funds
  exceed nine hundred sixteen million dollars, excluding bonds  issued  to
  refund  such  outstanding  bonds  until  the  date of redemption of such
  outstanding bonds. As outstanding bonds so secured are paid, the  amount
  so  secured  shall  be  reduced  accordingly  but the redemption of such
  outstanding bonds from the proceeds of refunding bonds shall not  reduce
  the amount so secured.
    (d)  In  computing  any hospital and nursing home capital reserve fund
  for the purposes of this section, securities in which all or  a  portion
  of  such  reserve  fund  shall be invested shall be valued at par, or if
  purchased at less than par, at their cost to the agency.
    7. The agency shall  create  and  establish  one  or  more  additional
  special  funds  (herein referred to as hospital and nursing home general
  reserve funds) and shall, to the extent provided in the applicable  bond
  resolution  of  the  agency  authorizing  the  issuance  of hospital and
  nursing home project bonds, pay into any such fund the fees and  charges
  collected  by the agency pursuant to paragraph (b) of subdivision eleven
  of section forty-four of this article and any monies  which  the  agency
  shall  transfer  from the hospital and nursing home capital reserve fund
  pursuant to the provisions of paragraph (a) of subdivision six  of  this
  section.  Such  monies  and  any  other  monies paid into a hospital and
  nursing home general reserve fund may, in the discretion of the  agency,
  but  subject  to agreements with bondholders and noteholders, be used by
  the agency  (a)  for  the  repayment  of  advances  from  the  state  in
  accordance  with  the  provisions  of  repayment  agreements between the
  agency and the director of the budget, (b) to reimburse  the  department
  of  health  the  reasonable  costs  of  the  services  performed  by the
  commissioner  of  health  and  the  department  of  health  pursuant  to
  subdivision  three of section fifty-five of this article, (c) to pay all
  costs, expenses and charges of financing, including fees and expenses of
  trustees and paying agents,  (d)  for  transfers  to  the  hospital  and
  nursing  home capital reserve fund, (e) for the payment of principal and
  interest on hospital and nursing home project bonds and notes issued  by
  the agency when the same shall become due whether at maturity or on call
  for redemption and for the payment of any redemption premium required to
  be paid where such hospital and nursing home project bonds and notes are
  redeemed  prior  to their stated maturities and to purchase hospital and
  nursing home project bonds or notes issued by the  agency,  or  (f)  for
  such  other  corporate  purposes  of  the  agency  as  the agency in its
  discretion shall determine and provide.
    8. (a) The agency may create and  establish  one  or  more  additional
  reserve funds to be known as health facilities reserve funds and may pay
  into  such  reserve funds (1) any monies appropriated and made available
  by the state for the purposes of such funds, (2) any proceeds of sale of
  health facilities notes  or  health  facilities  bonds,  to  the  extent
  provided  in  the  resolution  of  the  agency  authorizing the issuance
  thereof, and (3) any other monies which may be  made  available  to  the
  agency  for the purposes of such funds from any other source or sources.
  The monies held in or credited to any  health  facilities  reserve  fund
  established  under  this  subdivision,  except  as hereinafter provided,
  shall be used  solely  for  the  payment  of  the  principal  of  health
  facilities bonds of the agency secured by such reserve fund, as the same

  mature,   required  payments  to  any  sinking  fund  established  in  a
  resolution of the agency for the amortization of term bonds (hereinafter
  referred to as "sinking fund payments") the purchase  or  redemption  of
  such  health  facilities bonds of the agency, the payment of interest on
  such health facilities bonds of  the  agency,  or  the  payment  of  any
  redemption  premium  required  to  be  paid when such bonds are redeemed
  prior to maturity; provided, however, 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 and sinking fund payments required to
  be  made  in any succeeding calendar year on the health facilities bonds
  of the agency then outstanding and secured by such reserve fund,  except
  for  the purpose of paying principal, interest and sinking fund payments
  becoming due on the health facilities bonds of  the  agency  secured  by
  such reserve fund maturing and becoming due and for the payment of which
  other  monies  of the agency are not available. For the purposes of this
  subdivision eight, in computing the maximum amount of principal maturing
  at a single future date (herein called "term bonds") in  any  succeeding
  calendar  year,  the  principal  amount of any such term bonds which are
  subject to mandatory redemption prior to such  future  date  by  sinking
  fund  payments  shall not be included in the computation determining the
  maximum amount of principal maturing in said future year. Any income  or
  interest  earned by, or increment to, any such health facilities reserve
  fund due to the investment thereof may be transferred to any other  fund
  or  account of the agency to the extent it does not reduce the amount of
  such  health  facilities  reserve  fund  below  the  maximum  amount  of
  principal  and  interest  maturing  and  becoming  due  and sinking fund
  payments required to be made in any  succeeding  calendar  year  on  all
  health  facilities  bonds  of the agency then outstanding and secured by
  such reserve fund.
    (b) The agency shall not issue health facilities bonds at any time  if
  the  maximum  amount of principal and interest maturing and becoming due
  and sinking fund payments required to be made in a  succeeding  calendar
  year  on  the  health facilities bonds outstanding and then to be issued
  and secured by any health facilities reserve fund will exceed the amount
  of such reserve account at the time of issuance, unless the  agency,  at
  the  time  of issuance of such bonds, shall deposit in such reserve fund
  from the proceeds of the bonds so to be issued, or otherwise, an  amount
  which  together  with  the  amount then in such reserve fund will be not
  less than the maximum amount of  principal  and  interest  maturing  and
  becoming  due  and  sinking  fund  payments  required  to be made in any
  succeeding calendar year on the  health  facilities  bonds  then  to  be
  issued  and  on  all  other  health  facilities bonds of the agency then
  outstanding and secured by such reserve fund.
    (c) To assure the continued operation and solvency of the  agency  for
  the  carrying  out  of the public purposes of this article, provision is
  made in paragraph (a) of this subdivision for the accumulation  in  each
  health  facilities reserve fund of an amount equal to the maximum amount
  of principal and interest maturing and becoming  due  and  sinking  fund
  payments  required  to  be  made  in any succeeding calendar year on all
  health facilities bonds of the agency then outstanding  and  secured  by
  such  reserve  fund.  In order further to assure the maintenance of such
  health facilities reserve funds, there shall be annually apportioned and
  paid to the agency for deposit in each health  facilities  reserve  fund
  such sum, if any, as shall be certified by the chairman of the agency to
  the  governor  and  director  of the budget as necessary to restore such
  reserve fund to an amount equal to the maximum amount of  principal  and
  interest maturing and becoming due and sinking fund payments required to

  be  made  in any succeeding calendar year on the health facilities bonds
  of the agency then outstanding and secured by  such  reserve  fund.  The
  chairman of the agency shall annually, on or before December first, make
  and  deliver  to the governor and director of the budget his certificate
  stating  the  sums,  if  any,  required  to  restore  each  such  health
  facilities  reserve  fund  to  the  amount  aforesaid,  and  the sums so
  certified, if any, shall be apportioned and paid to  the  agency  during
  the  then  current  state  fiscal  year.  The  principal amount of bonds
  secured by a health facilities reserve fund  or  funds  to  which  state
  funds  are  apportionable pursuant to this paragraph shall be limited to
  the total amount of bonds and notes outstanding on the effective date of
  this act, plus the total amount of bonds and notes contracted after  the
  effective  date  of  this  act  to  finance  projects in progress on the
  effective date of this act as determined by the New  York  state  public
  authorities  control  board  created  pursuant  to  section fifty of the
  public  authorities  law  whose  affirmative  determination   shall   be
  conclusive  as to all matters of law and fact solely for the purposes of
  the limitations contained in this paragraph, but in no event  shall  the
  total  amount of bonds so secured by such a reserve fund or funds exceed
  six hundred seventy-five million  dollars,  excluding  bonds  issued  to
  refund  such  outstanding  bonds  until  the  date of redemption of such
  outstanding bonds. As outstanding bonds so secured are paid, the  amount
  so  secured  shall  be  reduced  accordingly  but the redemption of such
  outstanding bonds from the proceeds of refunding bonds shall not  reduce
  the amounts so secured.
    (d)  In  computing any health facilities reserve fund for the purposes
  of this section, securities in which all or a portion  of  such  reserve
  fund  shall  be invested shall be valued at par, or if purchased at less
  than par, at their cost to the agency.
    9. (a) The agency may create and  establish  one  or  more  additional
  reserve funds to be known as urban rental debt service reserve funds and
  may  pay  into  such  reserve funds (1) any monies appropriated and made
  available by the state for the purposes of such funds, (2) any  proceeds
  of  sale of urban rental project notes or urban rental project bonds, to
  the extent provided in the resolution  of  the  agency  authorizing  the
  issuance  thereof,  and (3) any other monies which may be made available
  to the agency for the purposes of such funds from any  other  source  or
  sources. The monies held in or credited to any urban rental debt service
  reserve  fund  established  under this subdivision except as hereinafter
  provided, shall be used solely for the payment of the principal of urban
  rental project bonds of the agency secured by such reserve fund, as  the
  same  mature,  required  payments  to  any sinking fund established in a
  resolution of the agency for the amortization of term bonds (hereinafter
  referred to as "sinking fund payments"), the purchase or  redemption  of
  such  urban  rental project bonds of the agency, the payment of interest
  on such urban rental project bonds of the agency, or the payment of  any
  redemption  premium  required  to  be  paid when such bonds are redeemed
  prior to maturity; provided, however, 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 and sinking fund payments required to
  be  made  in  any  succeeding  calendar year on the urban rental project
  bonds of the agency then outstanding and secured by such  reserve  fund,
  except  for  the  purpose of paying principal, interest and sinking fund
  payments becoming due on the urban rental project bonds  of  the  agency
  secured  by  such  reserve  fund  maturing  and becoming due and for the
  payment of which other monies of the agency are not available.  For  the
  purposes  of  this  subdivision nine, in computing the maximum amount of

  principal maturing at a single future date (herein called "term  bonds")
  in  any  succeeding calendar year, the principal amount of any such term
  bonds which are subject to mandatory redemption  prior  to  such  future
  date  by  sinking fund payments shall not be included in the computation
  determining the maximum amount of  principal  maturing  in  said  future
  year.  Any income or interest earned by, or increment to, any such urban
  rental debt service reserve fund due to the investment  thereof  may  be
  transferred  to any other fund or account of the agency to the extent it
  does not reduce the amount of such urban  rental  debt  service  reserve
  fund  below  the  maximum  amount of principal and interest maturing and
  becoming due and sinking fund  payments  required  to  be  made  in  any
  succeeding calendar year on all urban rental project bonds of the agency
  then outstanding and secured by such reserve fund.
    (b)  The agency shall not issue urban rental project bonds at any time
  if the maximum amount of principal and interest  maturing  and  becoming
  due  and  sinking  fund  payments  required to be made in any succeeding
  calendar year on the urban rental project bonds outstanding and then  to
  be  issued and secured by an urban rental debt service reserve fund will
  exceed the amount of such reserve  account  at  the  time  of  issuance,
  unless  the agency, at the time of issuance of such bonds, shall deposit
  in such reserve fund from the proceeds of the bonds so to be issued,  or
  otherwise, an amount which together with the amount then in such reserve
  fund, will be not less than the maximum amount of principal and interest
  maturing  and becoming due and sinking fund payments required to be made
  in any succeeding calendar year on the urban rental project  bonds  then
  to  be  issued and on all other urban rental project bonds of the agency
  then outstanding and secured by such reserve fund.
    (c) To assure the continued operation and solvency of the  agency  for
  the  carrying  out  of  the public purposes of this article provision is
  made in paragraph (a) of this subdivision for the accumulation  in  each
  urban rental debt service reserve fund of an amount equal to the maximum
  amount  of  principal and interest maturing and becoming due and sinking
  fund payments required to be made in any succeeding calendar year on all
  urban rental project bonds of the agency then outstanding and secured by
  such reserve fund. In order further to assure the  maintenance  of  such
  urban  rental  debt  service  reserve  funds,  there  shall  be annually
  apportioned and paid to the agency for deposit in each urban rental debt
  service reserve fund such sum, if any, as  shall  be  certified  by  the
  chairman  of  the  agency  to the governor and director of the budget as
  necessary to restore such reserve fund to an amount equal to the maximum
  amount of principal and interest maturing and becoming due  and  sinking
  fund payments required to be made in any succeeding calendar year on the
  urban rental project bonds of the agency then outstanding and secured by
  such  reserve  fund.  The  chairman  of the agency shall annually, on or
  before December first, make and deliver to the governor and director  of
  the budget his certificate stating the sums, if any, required to restore
  each  such  urban  rental  debt  service  reserve  fund  to  the  amount
  aforesaid, and the sums so certified, if any, shall be  apportioned  and
  paid  to  the  agency  during  the  then  current state fiscal year. The
  principal amount of bonds  secured  by  an  urban  rental  debt  service
  reserve fund or funds to which state funds are apportionable pursuant to
  this  paragraph  shall be limited to the total amount of bonds and notes
  outstanding on the effective date of this act, plus the total amount  of
  bonds  and  notes  contracted  after  the  effective date of this act to
  finance projects in progress on  the  effective  date  of  this  act  as
  determined  by  the  New  York  state  public  authorities control board
  created pursuant to section fifty of the public  authorities  law  whose
  affirmative  determination  shall be conclusive as to all matters of law

  and fact solely for the purposes of the limitations  contained  in  this
  paragraph, but in no event shall the total amount of bonds so secured by
  such  a debt service reserve fund or funds exceed six hundred forty-five
  million dollars, excluding bonds issued to refund such outstanding bonds
  until  the  date of redemption of such outstanding bonds. As outstanding
  bonds so secured are paid,  the  amount  so  secured  shall  be  reduced
  accordingly  but  the  redemption  of  such  outstanding  bonds from the
  proceeds of refunding bonds shall not reduce the amount so secured.
    (d) In computing any urban rental debt service reserve  fund  for  the
  purposes  of  this section, securities in which all or a portion of such
  reserve fund shall be invested shall be valued at par  if  purchased  at
  par, or if purchased at other than par, at amortized value.
    10. (a) The agency may create and establish a special fund to be known
  as  youth  facilities capital reserve fund and may pay into such reserve
  funds (1) any monies appropriated and made available by  the  state  for
  the purposes of such funds, (2) any proceeds of sale of youth facilities
  project  notes or youth facilities project bonds, to the extent provided
  in the resolution of the agency authorizing the  issuance  thereof,  and
  (3)  any  other monies which may be made available to the agency for the
  purposes of such accounts from any other source or sources.  The  monies
  held  in  or credited to the capital reserve fund established under this
  subdivision except as hereinafter provided, shall be used solely for the
  payment of principal of youth facilities project  bonds  of  the  agency
  secured  by  such reserve fund, as the same mature, the purchase of such
  youth facilities project bonds of the agency, the payment of interest on
  youth facilities project bonds of the agency,  or  the  payment  of  any
  redemption  premium  required  to  be  paid when such bonds are redeemed
  prior to maturity; provided, however, 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 on
  the youth facilities project bonds of the agency  then  outstanding  and
  secured by such reserve fund, except for the purpose of paying principal
  and  interest on youth facilities project bonds of the agency secured by
  such reserve fund maturing and becoming due and for the payment of which
  other monies of the agency are not available.  Any  income  or  interest
  earned  by,  or  increment to, any such youth facilities capital reserve
  fund due to the investment thereof  may  be  transferred  to  the  youth
  facilities  general  reserve  fund  or  other fund of the agency, to the
  extent it does not reduce the amount of such  youth  facilities  capital
  reserve fund below the maximum amount of principal and interest maturing
  and becoming due in any succeeding calendar year on all youth facilities
  project bonds of the agency then outstanding and secured by such reserve
  fund.
    (b)  The  agency  shall  not  issue youth facilities project bonds and
  notes in an aggregate principal amount  exceeding  one  hundred  million
  dollars  excluding  youth  facilities project bonds and youth facilities
  project notes issued to  refund  outstanding  youth  facilities  project
  bonds  and  youth  facilities  project  notes,  nor shall it issue youth
  facilities project bonds at any time secured  by  the  youth  facilities
  capital  reserve  fund  if  the maximum amount of principal and interest
  maturing and becoming due in a succeeding calendar  year  on  the  youth
  facilities  project  bonds outstanding and then to be issued and secured
  by the youth facilities capital reserve fund will exceed the  amount  of
  such  reserve  fund  at  the time of issuance, unless the agency, at the
  time of issuance of such bonds, shall deposit in such reserve fund  from
  the proceeds of the bonds so to be issued, or otherwise, an amount which
  together  with  the  amount  then in such reserve fund, will be not less

  than the maximum amount of principal and interest maturing and  becoming
  due  in  any  succeeding  calendar  year on the youth facilities project
  bonds then to be issued and on all other youth facilities project  bonds
  of the agency then outstanding and secured by such reserve fund.
    (c)  To  assure the continued operation and solvency of the agency for
  the carrying out of the public purposes of  this  article  provision  is
  made  in  paragraph  (a) of this subdivision for the accumulation in the
  youth facilities capital reserve fund of an amount equal to the  maximum
  amount  of  principal  and  interest  maturing  and  becoming due in any
  succeeding calendar year on all youth facilities project  bonds  of  the
  agency  then  outstanding  and  secured  by  such reserve fund. In order
  further to assure the  maintenance  of  such  youth  facilities  capital
  reserve fund, there shall be annually apportioned and paid to the agency
  for  deposit  in such youth facilities capital reserve fund such sum, if
  any, as shall be certified by the chairman of the agency to the governor
  and director of the budget as necessary to restore such reserve fund  to
  an amount equal to the maximum amount of principal and interest maturing
  and becoming due in any succeeding calendar year on the youth facilities
  project bonds of the agency then outstanding and secured by such reserve
  fund.   The chairman of the agency shall annually, on or before December
  first, make and deliver to the governor and director of the  budget  his
  certificate  stating  the  sums,  if any, required to restore such youth
  facilities capital reserve fund to the amount aforesaid, and the sums so
  certified, if any, shall be apportioned and paid to  the  agency  during
  the  then  current  state  fiscal  year.  The  principal amount of bonds
  secured by the youth facilities capital  reserve  fund  to  which  state
  funds  are  apportionable pursuant to this paragraph shall be limited to
  the total amount of bonds and notes outstanding on the effective date of
  this act, plus the total amount of bonds and notes contracted after  the
  effective  date  of  this  act  to  finance  projects in progress on the
  effective date of this act as determined by the New  York  state  public
  authorities  control  board  created  pursuant  to  section fifty of the
  public  authorities  law  whose  affirmative  determination   shall   be
  conclusive  as to all matters of law and fact solely for the purposes of
  the limitations contained in this paragraph, but in no event  shall  the
  total  amount  of bonds so secured by such a capital reserve fund exceed
  twenty-four million dollars,  excluding  bonds  issued  to  refund  such
  outstanding  bonds  until  the  date  of  redemption of such outstanding
  bonds. As outstanding bonds so secured are paid, the amount  so  secured
  shall  be  reduced  accordingly  but  the redemption of such outstanding
  bonds from the proceeds of refunding bonds shall not reduce  the  amount
  so secured.
    (d)  In  computing  any  youth facilities capital reserve fund for the
  purpose of this section, securities in which all or a  portion  of  such
  reserve  fund  shall  be invested shall be valued at par if purchased at
  par, or if purchased at other than par, at amortized value.
    11. The agency shall create  and  establish  a  special  fund  (herein
  referred  to as the youth facilities general reserve fund) and shall pay
  into such fund all fees and charges collected by the agency pursuant  to
  paragraph  (c)  of  subdivision  eleven  of  section  forty-four of this
  article and any monies which the agency shall transfer  from  the  youth
  facilities  capital reserve fund pursuant to the provisions of paragraph
  (a) of subdivision ten of this section. Such monies and any other monies
  paid into  the  youth  facilities  general  reserve  fund  may,  in  the
  discretion of the agency, but subject to agreements with bondholders and
  noteholders,  be  used  by  the agency (a) for the repayment of advances
  from the state in accordance with the provisions of repayment agreements
  between the agency and the director of the budget, (b) to reimburse  the

  department  of  social  services  the  reasonable  costs of the services
  performed by the commissioner of social services and the  department  of
  social  services  pursuant  to subdivision four of section fifty-five of
  this  article,  (c) to pay all costs, expenses and charges of financing,
  including fees and expenses of  trustees  and  paying  agents,  (d)  for
  transfers  to  the  youth  facilities  capital reserve fund, (e) for the
  payment of principal of and interest on youth facilities  project  bonds
  and notes issued by the agency when the same shall become due whether at
  maturity or on call for redemption and for the payment of any redemption
  premium  required  to  be paid where such youth facilities project bonds
  and notes are redeemed prior to their stated maturities and to  purchase
  youth facilities project bonds or notes issued by the agency, or (f) for
  such  other  corporate  purposes  of  the  agency  as  the agency in its
  discretion shall determine and provide.
    12. (a) The agency may create and establish a special fund to be known
  as community mental health  services  and  mental  retardation  services
  capital  reserve fund and may pay into such reserve funds (1) any monies
  appropriated and made available by the state for the  purposes  of  such
  funds,  (2) any proceeds of sale of community mental health services and
  mental retardation services project notes  or  community  mental  health
  services  and  mental  retardation services project bonds, to the extent
  provided in the  resolution  of  the  agency  authorizing  the  issuance
  thereof,  and  (3)  any  other monies which may be made available to the
  agency for the purposes of  such  accounts  from  any  other  source  or
  sources.  The  monies  held  in  or credited to the capital reserve fund
  established under this subdivision except as hereinafter provided, shall
  be used solely for the payment of principal of community  mental  health
  services  and  mental  retardation  services project bonds of the agency
  secured by such reserve fund, as the same mature, the purchase  of  such
  community mental health services and mental retardation services project
  bonds  of  the  agency, the payment of interest on such community mental
  health services and mental retardation services  project  bonds  of  the
  agency,  or  the  payment  of any redemption premium required to be paid
  when such bonds are redeemed prior to maturity; provided, however,  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 on the community mental health services and
  mental retardation services project bonds of the agency then outstanding
  and secured by such reserve fund,  except  for  the  purpose  of  paying
  principal  and  interest  on community mental health services and mental
  retardation services project bonds of the agency secured by such reserve
  fund maturing and becoming due and for the payment of which other monies
  of the agency are not available. Any income or interest  earned  by,  or
  increment  to,  any  such  community  mental  health services and mental
  retardation services capital reserve fund due to the investment  thereof
  may  be  transferred  to the community mental health services and mental
  retardation services general reserve fund or other fund of  the  agency,
  to  the  extent  it  does not reduce the amount of such community mental
  health services and mental retardation  services  capital  reserve  fund
  below the maximum amount of principal and interest maturing and becoming
  due  in  any  succeeding  calendar  year  on all community mental health
  services and mental retardation services project  bonds  of  the  agency
  then outstanding and secured by such reserve fund.
    (b)  The  agency  shall not issue community mental health services and
  mental retardation services project bonds  and  notes  in  an  aggregate
  principal   amount  exceeding  one  hundred  million  dollars  excluding
  community mental health services and mental retardation services project

  bonds and  community  mental  health  services  and  mental  retardation
  services  project  notes  issued  to refund outstanding community mental
  health services  and  mental  retardation  services  project  bonds  and
  community mental health services and mental retardation services project
  notes,  nor  shall  it issue community mental health services and mental
  retardation services project bonds at any time secured by the  community
  mental  health  services and mental retardation services capital reserve
  fund if the maximum  amount  of  principal  and  interest  maturing  and
  becoming  due  in  a  succeeding  calendar  year on the community mental
  health  services  and  mental   retardation   services   project   bonds
  outstanding  and  then  to be issued and secured by the community mental
  health services and mental retardation  services  capital  reserve  fund
  will  exceed  the  amount  of such reserve fund at the time of issuance,
  unless the agency, at the time of issuance of such bonds, shall  deposit
  in  such reserve fund from the proceeds of the bonds so to be issued, or
  otherwise, an amount which together with the amount then in such reserve
  fund, will be not less than the maximum amount of principal and interest
  maturing and becoming  due  in  any  succeeding  calendar  year  on  the
  community mental health services and mental retardation services project
  bonds  then  to  be  issued  and  on  all  other community mental health
  services and mental retardation services project  bonds  of  the  agency
  then outstanding and secured by such reserve fund.
    (c)  To  assure the continued operation and solvency of the agency for
  the carrying out of the public purposes of  this  article  provision  is
  made  in  paragraph  (a) of this subdivision for the accumulation in the
  community mental health services and mental retardation services capital
  reserve fund of an amount equal to the maximum amount of  principal  and
  interest  maturing  and  becoming due in any succeeding calendar year on
  all community mental health services  and  mental  retardation  services
  project bonds of the agency then outstanding and secured by such reserve
  fund.    In  order  further  to assure the maintenance of such community
  mental health services and mental retardation services  capital  reserve
  fund,  there  shall  be  annually apportioned and paid to the agency for
  deposit in such community mental health services and mental  retardation
  services capital reserve fund such sum, if any, as shall be certified by
  the chairman of the agency to the governor and director of the budget as
  necessary to restore such reserve fund to an amount equal to the maximum
  amount  of  principal  and  interest  maturing  and  becoming due in any
  succeeding calendar year on the community  mental  health  services  and
  mental retardation services project bonds of the agency then outstanding
  and  secured  by  such  reserve  fund.  The chairman of the agency shall
  annually, on or before December first, make and deliver to the  governor
  and  director  of  the  budget his certificate stating the sums, if any,
  required to restore such community mental  health  services  and  mental
  retardation  services  capital reserve fund to the amount aforesaid, and
  the sums so certified, if any, shall be  apportioned  and  paid  to  the
  agency  during  the then current state fiscal year. The principal amount
  of bonds secured by the community  mental  health  services  and  mental
  retardation  services  capital  reserve  fund  to  which state funds are
  apportionable pursuant to this paragraph shall be limited to  the  total
  amount of bonds and notes outstanding on the effective date of this act,
  plus  the total amount of bonds and notes contracted after the effective
  date of this act to finance projects in progress on the  effective  date
  of  this  act  as  determined  by  the New York state public authorities
  control  board  created  pursuant  to  section  fifty  of   the   public
  authorities  law  whose affirmative determination shall be conclusive as
  to all  matters  of  law  and  fact  solely  for  the  purposes  of  the
  limitations contained in this paragraph, but in no event shall the total

  amount  of  bonds  so  secured  by  such a capital reserve fund or funds
  exceed thirteen million dollars, excluding bonds issued to  refund  such
  outstanding  bonds  until  the  date  of  redemption of such outstanding
  bonds.  As  outstanding bonds so secured are paid, the amount so secured
  shall be reduced accordingly but  the  redemption  of  such  outstanding
  bonds  from  the proceeds of refunding bonds shall not reduce the amount
  so secured.
    (d) In computing any  community  mental  health  services  and  mental
  retardation  services  capital  reserve  fund  for  the purposes of this
  section, securities in which all or a portion of such reserve fund shall
  be invested shall be valued at par if purchased at par, or if  purchased
  at other than par, at amortized value.
    13.  The  agency  shall  create  and  establish a special fund (herein
  referred to as community mental health services and  mental  retardation
  services general reserve fund) and shall pay into such fund all fees and
  charges collected by the agency pursuant to paragraph (c) of subdivision
  eleven  of  section  forty-four of this article and any monies which the
  agency shall transfer from the  community  mental  health  services  and
  mental  retardation  services  capital  reserve  fund  pursuant  to  the
  provisions of paragraph (a) of subdivision ten  of  this  section.  Such
  monies  and  any  other  monies  paid  into  the community mental health
  services and mental retardation services general reserve  fund  may,  in
  the discretion of the agency, but subject to agreements with bondholders
  and noteholders, be used by the agency (a) for the repayment of advances
  from the state in accordance with the provisions of repayment agreements
  between  the agency and the director of the budget, (b) to reimburse the
  department of mental  hygiene  the  reasonable  costs  of  the  services
  performed  by  the  commissioner of mental hygiene and the department of
  mental hygiene pursuant to subdivision four  of  section  fifty-five  of
  this  article, including the reasonable costs of such services performed
  by the health and mental hygiene facilities improvement corporation upon
  request by the commissioner of mental hygiene pursuant to the provisions
  of section 75.25 of the mental  hygiene  law,  (c)  to  pay  all  costs,
  expenses  and  charges  of  financing,  including  fees  and expenses of
  trustees and paying agents, (d) for transfers to  the  community  mental
  health  services  and  mental retardation services capital reserve fund,
  (e) for the payment of principal of and  interest  on  community  mental
  health  services and mental retardation services project bonds and notes
  issued by the agency when the same shall become due whether at  maturity
  or  on call for redemption and for the payment of any redemption premium
  required to be paid where such  community  mental  health  services  and
  mental  retardation  services project bonds and notes are redeemed prior
  to their stated maturities  and  to  purchase  community  mental  health
  services  and  mental retardation services project bonds or notes issued
  by the agency, or (f) for such other corporate purposes of the agency as
  the agency in its discretion shall determine and provide.
    14. (a) The agency may create and establish a special fund to be known
  as community senior citizens services capital reserve fund and  may  pay
  into such reserve fund (1) any moneys appropriated and made available by
  the  state  for  the  purposes of such fund, (2) any proceeds of sale of
  community senior citizens services project  notes  or  community  senior
  citizens   services  project  bonds,  to  the  extent  provided  in  the
  resolution of the agency authorizing the issuance thereof, and  (3)  any
  other  moneys which may be made available to the agency for the purposes
  of such accounts from any other source or sources. The moneys held in or
  credited to the capital reserve fund established under this  subdivision
  except  as hereinafter provided, shall be used solely for the payment of
  principal of community senior citizens services  project  bonds  of  the

  agency secured by such reserve fund, as the same mature, the purchase of
  such community senior citizens services project bonds of the agency, the
  payment  of  interest on such community senior citizens services project
  bonds  of  the agency, or the payment of any redemption premium required
  to be paid when such bonds are redeemed  prior  to  maturity;  provided,
  however,  that  moneys in any such fund shall not be withdrawn thereform
  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  on  the  community  senior
  citizens  services  project  bonds  of  the  agency then outstanding and
  secured by such reserve fund, except for the purpose of paying principal
  and interest on community senior citizens services project bonds of  the
  agency  secured  by  such reserve fund maturing and becoming due and for
  the payment of which other moneys of the agency are not  available.  Any
  income or interest earned by, or increment to, any such community senior
  citizens services capital reserve fund due to the investment thereof may
  be transferred to the community senior citizens services general reserve
  fund  or  other fund of the agency, to the extent it does not reduce the
  amount of such community senior citizens services capital  reserve  fund
  below the maximum amount of principal and interest maturing and becoming
  due  in  any  succeeding  calendar year on all community senior citizens
  services project bonds of the agency then  outstanding  and  secured  by
  such reserve fund.
    (b)  The  agency  shall  not  issue community senior citizens services
  project bonds and notes in an aggregate principal amount exceeding fifty
  million dollars excluding community  senior  citizens  services  project
  bonds  and  community  senior  citizens services project notes issued to
  refund outstanding community senior citizens services project bonds  and
  community  senior  citizens  services  project notes, nor shall it issue
  community senior citizens services project bonds at any time secured  by
  the community senior citizens capital reserve fund if the maximum amount
  of  principal  and  interest  maturing  and becoming due in a succeeding
  calendar year on the community senior citizens  services  project  bonds
  outstanding  and  then  to be issued and secured by the community senior
  citizens services capital reserve fund will exceed the  amount  of  such
  reserve  fund at the time of issuance, unless the agency, at the time of
  issuance of such bonds, shall deposit in  such  reserve  fund  from  the
  proceeds  of  the  bonds  so to be issued, or otherwise, an amount which
  together with the amount then in such reserve fund,  will  be  not  less
  than  the maximum amount of principal and interest maturing and becoming
  due in any succeeding calendar year on  the  community  senior  citizens
  services  project  bonds  then  to  be issued and on all other community
  senior citizens services project bonds of the  agency  then  outstanding
  and secured by such reserve fund.
    (c)  To  assure the continued operation and solvency of the agency for
  the carrying out of the public purposes of  this  article  provision  is
  made  in  paragraph  (a) of this subdivision for the accumulation in the
  community senior citizens services capital reserve  fund  of  an  amount
  equal  to  the  maximum  amount  of  principal and interest maturing and
  becoming due in any succeeding calendar year  on  all  community  senior
  citizens  services  project  bonds  of  the  agency then outstanding and
  secured by such reserve fund. In order further to assure the maintenance
  of such community senior citizens services capital reserve  fund,  there
  shall be annually apportioned and paid to the agency for deposit in such
  community  senior  citizens  services  capital reserve fund such sum, if
  any, as shall be certified by the chairman of the agency to the governor
  and director of the budget as necessary to restore such reserve fund  to
  an amount equal to the maximum amount of principal and interest maturing

  and becoming due in any succeeding calendar year on the community senior
  citizens  services  project  bonds  of  the  agency then outstanding and
  secured by such reserve fund. The chairman of the agency shall annually,
  on  or  before  December  first,  make  and  deliver to the governor and
  director of the  budget  his  certificate  stating  the  sums,  if  any,
  required  to  restore  such  community  senior citizens services capital
  reserve fund to the amount aforesaid, and the sums so certified, if any,
  shall be apportioned and paid to the  agency  during  the  then  current
  state  fiscal  year.  The  principal  amount  of  bonds  secured  by the
  community senior citizens services capital reserve fund to  which  state
  funds  are  apportionable pursuant to this paragraph shall be limited to
  the total amount of bonds and notes outstanding on the effective date of
  this act, plus the total amount of bonds and notes contracted after  the
  effective  date  of  this  act  to  finance  projects in progress on the
  effective date of this act as determined by the New  York  state  public
  authorities  control  board  created  pursuant  to  section fifty of the
  public  authorities  law  whose  affirmative  determination   shall   be
  conclusive  as to all matters of law and fact solely for the purposes of
  the limitations contained in this paragraph, but in no event  shall  the
  total amount of bonds so secured by such a capital reserve fund or funds
  exceed  two  million  eight  hundred  thousand  dollars, excluding bonds
  issued to refund such outstanding bonds until the date of redemption  of
  such  outstanding  bonds.  As outstanding bonds so secured are paid, the
  amount so secured shall be reduced accordingly  but  the  redemption  of
  such  outstanding  bonds  from the proceeds of refunding bonds shall not
  reduce the amount so secured.
    (d) In  computing  any  community  senior  citizens  services  capital
  reserve  fund  for the purposes of this section, securities in which all
  or a portion of such reserve fund shall be invested shall be  valued  at
  par if purchased at par, or if purchased at other than par, at amortized
  value.
    15.  The  agency  shall  create  and  establish a special fund (herein
  referred to as community senior citizens services general reserve  fund)
  and  shall  pay  into  such  fund  all fees and charges collected by the
  agency pursuant to subdivision eleven-a of section  forty-four  of  this
  article  and  any  moneys  which  the  agency  shall  transfer  from the
  community senior citizens services capital reserve fund pursuant to  the
  provisions  of  paragraph  (a)  of subdivision fourteen of this section.
  Such moneys and any other moneys paid into the community senior citizens
  services general reserve fund may, in the discretion of the agency,  but
  subject  to  agreements with bondholders and noteholders, be used by the
  agency (a) for the repayment of advances from the  state  in  accordance
  with  the  provisions of repayment agreements between the agency and the
  director of the budget,  (b)  to  reimburse  the  department  of  social
  services  of  the  state  of  New  York  for the reasonable costs of the
  services performed by such department pursuant  to  subdivision  six  of
  section  fifty-five  of this article, (c) to pay all costs, expenses and
  charges of financing, including fees and expenses of trustees and paying
  agents, (d) for transfers to  the  community  senior  citizens  services
  capital  reserve  fund, (e) for the payment of principal of and interest
  on community senior citizens services project bonds and notes issued  by
  the agency when the same shall become due whether at maturity or on call
  for redemption and for the payment of any redemption premium required to
  be  paid where such community senior citizens services project bonds and
  notes are redeemed prior to their  stated  maturities  and  to  purchase
  community  senior citizens services project bonds or notes issued by the
  agency, or (f) for such other corporate purposes of the agency as it, in
  its discretion, shall determine and provide.

    16. (a) The agency may create and establish one or more special  funds
  to  be  known as community mental health services and mental retardation
  services capital reserve funds and may pay into such reserve  funds  (1)
  any monies appropriated and made available by the state for the purposes
  of  such  funds, (2) any proceeds of the sale of community mental health
  services and mental retardation services project revenue bonds or notes,
  to the extent provided in the resolution of the agency  authorizing  the
  issuance  thereof,  and (3) any other monies which may be made available
  to the agency for the purposes of such fund  or  funds  from  any  other
  source  or  sources. The monies held in or credited to a capital reserve
  fund established under this subdivision, except as hereinafter  provided
  and as provided in agreements with bondholders and noteholders, shall be
  used  solely  for  the  payment  of principal of community mental health
  services and mental retardation services project revenue  bonds  of  the
  agency  secured  by  such  reserve  fund,  as  the same mature, required
  payments to any sinking fund established in a resolution of  the  agency
  for  the amortization of term bonds (hereinafter referred to as "sinking
  fund payments"), the purchase of such revenue bonds of the  agency,  the
  payment  of interest on such revenue bonds of the agency, or the payment
  of any redemption premium required  to  be  paid  when  such  bonds  are
  redeemed  prior  to  maturity.  Any  income  or  interest  earned by, or
  increment to, any such  community  mental  health  services  and  mental
  retardation  services capital reserve fund due to the investment thereof
  may be transferred to the agency, subject to agreements with bondholders
  and noteholders.
    (b) In computing any  community  mental  health  services  and  mental
  retardation  services  capital  reserve  fund  for  the purposes of this
  section, securities in which all or a portion of such reserve fund shall
  be invested shall be valued at par if purchased at par, or if  purchased
  at other than par, at the amortized value.
    (c)  The  agency  shall create and establish one or more special funds
  (herein referred to as  community  mental  health  services  and  mental
  retardation  services  general  reserve  funds)  and shall to the extent
  provided in the applicable bond resolution of the agency authorizing the
  issuance of community mental services and  mental  retardation  services
  project  revenue  bonds,  pay  into  any  such fund the fees and charges
  collected by the agency pursuant to paragraph (d) of subdivision  eleven
  of  section  forty-four  of this article and any monies which the agency
  shall transfer from  a  community  mental  health  services  and  mental
  retardation  services capital reserve fund pursuant to the provisions of
  paragraph (a) of this subdivision. Such monies and any other monies paid
  into a community mental health services and mental  retardation  service
  general  reserve  fund may, in the discretion of the agency, but subject
  to agreements with bondholders and noteholders, be used  by  the  agency
  (i)  for the repayment of advances from the state in accordance with the
  provisions of repayment agreements between the agency and  the  director
  of  the  budget,  (ii) to reimburse the department of mental hygiene the
  reasonable costs of the services performed by the commissioner of mental
  hygiene and the department of mental  hygiene  pursuant  to  subdivision
  five  of  section  fifty-five  of this article, including the reasonable
  costs  of  such  services  performed  by  the   facilities   development
  corporation  upon request by the commissioner of mental hygiene pursuant
  to the provisions of section 75.25 of the mental hygiene law,  (iii)  to
  pay  all  costs,  expenses  and charges of financing, including fees and
  expenses of  trustees  and  paying  agents,  (iv)  for  transfers  to  a
  community mental health services and mental retardation services capital
  reserve  fund,  (v)  for  the  payment  of  principal of and interest on
  community mental health services and mental retardation services project

  revenue bonds and notes issued by the agency when the same shall  become
  due whether at maturity or on call for redemption and for the payment of
  any  redemption  premium required to be paid where such community mental
  health  services  and  mental retardation services project revenue bonds
  and notes are redeemed prior to their stated maturities and to  purchase
  community mental health services and mental retardation services revenue
  bonds  or  notes  issued by the agency, or (vi) for such other corporate
  purposes of the agency as the agency in its discretion  shall  determine
  and provide.