New York Laws
Title 4 - Dormitory Authority
1681 - Moneys of the Authority.

§ 1681. Moneys of the authority. 1. The moneys of the authority shall,
except as otherwise provided in this section, be deposited in a general
account and such other accounts as the authority may deem necessary for
the transaction of its business and shall be paid out on checks signed
by the chairman of the authority or by such other person or persons as
the authority may authorize.

2. All moneys of the authority derived from state appropriations or
the sale of bonds and all moneys constituting reserve funds shall be
paid to the comptroller of the state as agent of the authority, who
shall not commingle such moneys with other moneys. Such moneys shall be
deposited in a separate bank account or accounts. The moneys in such
accounts shall be paid out on check of the comptroller on requisition of
the chairman of the authority or of such other person or persons as the
authority may authorize to make such requisitions. All deposits of such
moneys shall, if required by the comptroller or the authority, be
secured by obligations of the United States of America or of the state
of New York of a market value equal at all times to the amount of the
deposit and all banks and trust companies are authorized to give such
security for such deposits.

3. The authority shall have power notwithstanding the provisions of
this title, to contract with or for the benefit of the holders of any of
its bonds as to the custody, collection, securing, investment and
payment of any moneys of the authority, or any moneys held in trust or
otherwise for the payment of bonds or in any way to secure bonds, and to
carry out any such contract notwithstanding that such contract may be
inconsistent with other provisions of this title. In any contract with
or for the benefit of the holders of any of its bonds, the authority may
pledge or assign any moneys payable or to become payable to the
authority and, upon notification by the authority to any public officer
directed or authorized by law to pay to the authority any moneys so
pledged or assigned of the existence and the terms and conditions of
such pledge or assignment, such public officer shall thereafter pay any
such moneys otherwise payable directly to the authority in accordance
with the terms of such pledge and assignment. Moneys held in trust or
otherwise for the payment of bonds or in any way to secure bonds and
deposits of such moneys may be secured in the same manner as moneys of
the authority, and all banks and trust companies are authorized to give
such security for such deposits.

4. Notwithstanding any other provision of law to the contrary, the
authority shall have the power, for more efficient and economic
management of its affairs, to establish one or more accounts from which
to pay moneys and into which it may temporarily transfer moneys of the
authority held in various accounts or funds for the providing of
dormitories or other facilities and, subject to such use, maintained for
the benefit of various bond and noteholders; provided that (a) any such
account or accounts shall be under the exclusive management and control
of the authority and shall be kept separate and apart from any other
moneys or assets of the authority; (b) the authority shall keep a
separate accounting and accurate records of the various moneys to be
transferred into such account or accounts and that any moneys to be paid
from any such account to meet such liabilities of the authority shall be
derived from the appropriate account or fund held to meet such
liability; and (c) any pledge or security interest created for the
benefit of others in the moneys to be transferred into any such account
shall continue to exist while such moneys are in such account until such
moneys are paid by the authority for the appropriate contractual
liability and, prior to such payment by the authority, such moneys so

transferred shall not be subject to the claims of others who were not
previously the beneficiary of any such pledge or security interest.

5. The comptroller of the state and his legally authorized
representatives are hereby authorized and empowered from time to time to
examine the accounts and books of the authority, including its receipts,
disbursements, contracts, sinking funds, investments and any other
matters relating to its financial standing.

Structure New York Laws