§ 71. Abolition, maintenance and establishment of funds. 1.
Notwithstanding any provision of law to the contrary, each fund
established prior to the effective date of this section other than by
law and in existence at the time of the effective date of this section,
shall be either abolished or continued in existence by the comptroller
with the concurrence of the director of the budget. The balance in any
fund so abolished shall be paid into the appropriate fund. The
comptroller, after consultation with the director of the budget and the
heads of agencies and public benefit corporations significantly involved
in the operations of such funds, but in no event later than one hundred
twenty days following the effective date of this section, shall submit
to the legislature and the governor a report specifying the action
which, with the concurrence of the director of the budget, he has taken
or intends to take in regard to every such fund and the fund type into
which he intends to classify each fund so continued. The comptroller
with the concurrence of the director of the budget, at any time
following the submission of this report, may abolish any fund
established other than by law provided that at the time of such action
he shall submit a notice of such action and the reasons therefor to the
legislature and the governor.

2. The comptroller, after consultation with the director of the budget
and the heads of agencies and public benefit corporations significantly
involved in the operations of funds established by law but in no event
later than one hundred twenty days following the effective date of this
section, shall submit to the legislature and the governor a report
specifying every such fund and setting forth for each such fund a
recommendation of the comptroller as to the desirability of repealing
the statute establishing such fund, continuing the statutory
authorization for such fund, or modifying the statute establishing such
fund in one or more particular respects. Such report shall also indicate
the fund type into which the comptroller intends to classify each fund
established by law in the event that the legislative action recommended
in such report as to that fund is enacted and the fund type into which
he intends to classify each fund if no legislative action is taken in
regard to that fund.

3. The comptroller with the concurrence of the director of the budget
may establish such additional funds as are necessary to properly manage
and account for the financial activities and resources of the state,
provided that in establishing funds and in continuing funds, only the
minimum number of funds necessary to comply with legal requirements and
generally accepted accounting principles shall be established and
continued and provided that at the time an additional fund is
established he shall submit to the legislature and the governor a notice
of such action and a statement setting forth the initial date of such
action, the sources and uses of the financial resources of such fund,
the fund type into which he intends to classify such fund, and an
explanation of the necessity for its establishment.