N.Y. General Municipal Law § 6-m: Unemployment insurance payment reserve fund

§ 6-m. Unemployment insurance payment reserve fund. 1. The governing

board of any municipal corporation, school district, board of

cooperative educational services, or fire district which has elected to

become liable for payments in lieu of contributions required of

employers liable for contributions under article eighteen of the labor

law may establish a reserve fund to be known as an unemployment

insurance payment reserve fund.

2. There may be paid into such fund (a) such amounts as may be

provided therefor by budgetary appropriations, (b) amounts from any

other fund authorized by this chapter by resolution subject to

permissive referendum, and (c) such other funds as may be legally

appropriated.

3. The moneys in such fund shall be deposited and secured in the

manner provided by section ten of this article. The governing board, or

the chief fiscal officer of such municipality, school district, board of

cooperative educational services, or fire district, if the governing

board shall delegate such duty to him, may invest the moneys in such

fund in the manner provided by section eleven of this article. Any

interest earned or capital gain realized on the money so deposited or

invested shall accrue to and become part of such fund. The separate

identity of such fund shall be maintained whether its assets consist of

cash or investments or both.

4. An expenditure shall be made from such fund only as required by law

to pay into the unemployment insurance fund an amount equivalent to the

amount of benefits paid to claimants and charged to the account of such

municipal corporation, school district, board of cooperative educational

services, or fire district in accordance with the provisions of

paragraph (e) of subdivision one of section five hundred eighty-one of

the labor law.

5. If at the end of any fiscal year the moneys in such fund shall

exceed the amounts required to be paid pursuant to subdivision four of

this section plus any additional amount required to pay all pending

claims, the governing board of the municipal corporation, school

district, board of cooperative educational services or fire district

may, within sixty days of the close of such fiscal year, elect to: (a)

transfer said excess, or any part thereof, to any fund authorized by

this article or section thirty-six hundred fifty-one of the education

law; and/or (b) apply said excess, or any part thereof to the budget

appropriation of the next succeeding fiscal year.

6. If the municipal corporation, school district, board of cooperative

educational services, or fire district shall, after the establishment of

such fund, terminate its election to become liable for payments in lieu

of contributions, the moneys remaining in such fund may be transferred

to any other fund authorized by this chapter or section thirty-six

hundred fifty-one of the education law, only to the extent that the

moneys in such fund shall exceed in amount the sum sufficient to pay all

pending claims.