* § 92-r. Local government assistance tax fund. 1. There is hereby
established in the joint custody of the comptroller and the commissioner
of taxation and finance a special fund to be known as the local
government assistance tax fund.

2. Such fund shall consist of the amount of revenue collected within
the state from the imposition of the sales and compensating use taxes
(including interest and penalties) pursuant to section eleven hundred
five and section eleven hundred ten of the tax law equal to the amount
attributable to a one percent rate of taxation, less such amounts as the
commissioner of taxation and finance may determine to be necessary for
refunds.

3. On or before the twelfth day of each month, the commissioner of
taxation and finance shall certify to the comptroller the amounts
specified in subdivision two of this section relating to the preceding
month and, in addition on the last day of the fiscal year the
commissioner shall certify such amounts relating to the last month of
such fiscal year. The amount of revenues so certified shall be deposited
by the comptroller in the local government assistance tax fund.

4. Revenues in the local government assistance tax fund shall be kept
separate and shall not be commingled with any other moneys in the
custody of the comptroller. All deposits of such revenues shall, if
required by the comptroller, be secured by obligations of the United
States or of the state having a market value equal at all times to the
amount of such deposits and all banks and trust companies are authorized
to give security for such deposits. Any such revenues in such fund may,
in the discretion of the comptroller, be invested in obligations in
which the comptroller is authorized to invest pursuant to section
ninety-eight-a of this article.

5. (a) Upon receipt by the comptroller of a certificate or
certificates from the chairperson of the local government assistance
corporation submitted pursuant to section thirty-two hundred forty of
the public authorities law, that such corporation requires a payment or
payments, from the local government assistance tax fund, the comptroller
shall pay from such fund pursuant to an appropriation on or before the
date specified in such certificate or within thirty days after such
receipt, whichever is later, to such corporation, as the chairperson
thereof may direct in any such certificate, the amount or amounts so
certified. The chairperson of such corporation shall furnish the
commissioner of taxation and finance with copies of such certificates.
In order to set aside the moneys necessary to meet the amounts required
on the payment date or dates specified in such certificate or
certificates, the comptroller shall comply with the provisions of
paragraph (b) of this subdivision. The comptroller shall from time to
time, but in no event later than the fifteenth day of each month (other
than the last month of the fiscal year) and the last day of the last
month of the fiscal year of each fiscal year, pay over and distribute to
the credit of the general fund of the state treasury all revenues in the
local government assistance tax fund, if any, in excess of the aggregate
amount required to be set aside pursuant to paragraph (b) of this
subdivision provided that an appropriation has been made to pay all
amounts specified in such certificate or certificates as being required
by the corporation for such fiscal year, and provided further that an
appropriation has been made to make all dedicated highway and bridge
trust fund cooperative agreement payments specified in the certificate
submitted by the chairperson of the New York state thruway authority
pursuant to subdivision two of section three hundred eighty-five of the
public authorities law. In no event shall the comptroller pay over and
distribute any revenues (other than the amount to be deducted for
administering, collecting and distributing such sales and compensating
use taxes) to any person other than the local government assistance
corporation (i) unless and until the aggregate of all payments certified
to the comptroller as required by such corporation and required to be
set aside pursuant to paragraph (b) of this subdivision for such fiscal
year shall have been appropriated to such corporation in accordance with
the schedule specified in the certificate or certificates filed by the
chairperson of the corporation or (ii) if, after having been so
certified and appropriated, any payment required to be set aside
pursuant to paragraph (b) of this subdivision has not been made to the
corporation on the date by which it was required to have been made
pursuant to such schedule, or (iii) unless and until the aggregate of
all dedicated highway and bridge trust fund cooperative agreement
payments certified by the chairperson of the New York state thruway
authority pursuant to subdivision two of section three hundred
eighty-five of the public authorities law shall have been appropriated
to such authority; provided, however, that no person including such
corporation or the holders of its bonds or notes shall have any lien on
such revenues and such agreement shall be executory only to the extent
of such revenues available to the state in such fund and provided
further that, if the state has appropriated and paid to the corporation
the amounts necessary for the corporation to meet its requirements, for
the current fiscal year, pursuant to the certificate or certificates
submitted by the chairperson pursuant to section thirty-two hundred
forty of the public authorities law and notwithstanding any other
provision of law, the comptroller shall, on the last day of each fiscal
year, pay to the general fund of the state all sums remaining in the
local government assistance tax fund on such date.

(b) No later than the tenth business day of each month during any
fiscal year in which a debt service or required payment on any issue of
bonds, notes or other financial obligations of the corporation is due,
the comptroller shall prepare a schedule of the amount of revenue
anticipated to be deposited pursuant to subdivision two of this section
during the balance of such fiscal year in such detail as is necessary to
carry out the purposes of this paragraph, based upon estimates of such
revenues filed with him by the director of the budget. Except for the
purpose of meeting a debt service or required payment on any issue of
bonds, notes or other financial obligations of the corporation that is
due on a monthly basis or more frequently, commencing at any time that a
debt service or required payment on any such issue equals ninety-five
percent of the amount of revenues anticipated to be deposited pursuant
to subdivision two of this section shown on such schedule to be received
during the period ending on the date on which such payment is due, after
deducting from such revenues the aggregate amount of all such payments
on any other issue of bonds, notes or other financial obligations of the
corporation due during such period and against which revenues have not,
at such time, been collected and set aside pursuant to the provisions of
this subdivision, the comptroller shall set aside all such revenues as
received until the amount so set aside is sufficient to pay the amount
of such payment on such issue and any other issue with a payment date on
or before the payment date on such issue; provided, however, that the
comptroller shall commence to set aside revenues no later than the
fifteenth day prior to the date on which such payment is due and
continue to set aside such revenues until the balance is sufficient to
pay the amount of such payment when due and the amount of such payment
on any other issue due on or before such date. For the purpose of
meeting a debt service or required payment on any issue of bonds, notes
or other financial obligations of the corporation that is due on a
monthly basis or more frequently, the comptroller shall set aside all
revenues deposited pursuant to subdivision two of this section as
received until the amount so set aside is, in the reasonable judgment of
the comptroller, sufficient to pay the debt service or other required
payment on such issue and any other such issue with a payment date on or
before such payment date. In the event that the amount set aside by the
comptroller pursuant to this paragraph on any payment date is not
sufficient to meet the payments required pursuant to a certificate or
certificates submitted by the chairperson pursuant to section thirty-two
hundred forty of the public authorities law, the comptroller shall
immediately transfer from the general fund to the fund established by
this section an amount which, when combined with the amount set aside
pursuant to this paragraph, shall be sufficient to meet the payment
required pursuant to such certificate or certificates. In no event shall
the comptroller be held liable for the failure to set aside an amount
sufficient to pay the debt service or required payment of the
corporation.

6. All payments of moneys from the local government assistance tax
fund shall be made on the audit and warrant of the comptroller.

* NB Repealed six months after all liabilities of the New York Local
Government Assistance Corporation are met or discharged.