N.Y. Local Finance Law § 165.10: Advances from funds

§ 165.10. Advances from funds. If there are funds of a municipality,

school district or district corporation, other than:

1. The proceeds of bonds, bond anticipation notes, capital notes,

urban renewal notes and budget notes, and

2. Funds which, by law, may be used only for stated purposes, which

are not immediately required for the purpose or purposes for which the

same were borrowed, raised or otherwise created, the finance board may

authorize the temporary use of such funds for the purpose or purposes

for which an issue of bonds, capital notes or urban renewal notes has

been authorized. Suitable records shall be kept of the temporary

diversion of such funds. Notwithstanding the provisions of section

165.00 of this chapter, such funds shall be made again available to the

municipality, school district or district corporation from the proceeds

of such bonds, capital notes or urban renewal notes or from the proceeds

of the sale of bond anticipation notes issued in anticipation of the

sale of such bonds.