New York Laws
Article 5 - Borrowing by the State
57 - Issuance of State Bonds.

(b) The state comptroller is authorized to issue bonds as a single
registered bond, executed as provided in subdivision six of this
section, in an amount equal to the principal amount of the series of
bonds being issued, or more than one registered bond in amounts equal to
the principal amount of the series of bonds maturing in a single year,
and to deposit the bond or bonds with a securities depository organized
under the banking law of the state of New York and qualifying as a
clearing agency registered under the United States Securities Exchange
Act of 1934, as amended. Book entries representing beneficial ownership

of the bonds shall be in denominations determined by the state
comptroller.
(c) The state comptroller is authorized to issue bonds as
uncertificated securities within the meaning of article eight of the
uniform commercial code with beneficial ownership in denominations
determined by the state comptroller and exchangeable in book entries in
denominations as shall be determined by the state comptroller.
8. Any sinking funds created pursuant to this section shall be
maintained and managed by the state comptroller or an agent or trustee
designated by the state comptroller and shall be funded in accordance
with the requirements of section twelve of article seven of the state
constitution. Money in such sinking funds shall be held as cash or shall
be invested in direct obligations of the federal government, or
obligations the interest on which is exempt from federal income taxation
and which are fully secured by direct obligations of the federal
government, having such maturities and interest payment dates as
required to make all payments to be made from the sinking fund as they
come due. Amounts in such sinking funds shall be used solely for the
purpose of retiring the bonds secured thereby except that amounts in
excess of the required balance on any contribution date and amounts
remaining in such funds after all of the bonds secured thereby have been
retired shall be deposited in the general fund. No appropriation shall
be required for disbursement of money, or income earned thereon, from
any sinking fund for the purpose of paying principal of and interest on
the bonds for which such fund was created, except that interest shall be
paid from any such fund only if, and to the extent that, it is not
payable annually and contributions on account of such interest were made
to the fund.

Structure New York Laws