N.Y. Public Housing Law § 70: State loans

§ 70. State loans. The commissioner may, in the name of the state,

enter into contracts for loans to an authority or a municipality for one

or more projects, though a project has received or will receive aid from

any other source, except the federal government. All such contracts

shall be subject to approval by the state comptroller, and by the

attorney-general as to form. Any such loan shall be in such amount as

the commissioner, in his discretion, may deem necessary to insure the

completion, availability for lawful occupancy and use of the project. No

loan shall be made in an amount greater than the project cost, plus

working capital in an amount not to exceed two per centum of the project

cost or one hundred thousand dollars, whichever is less, nor until the

municipal comptroller and local legislative body have attached their

separate approvals to the loan contract. The commissioner may make

temporary loans or advances to a housing authority in anticipation of

such loan and no such temporary loan or advance shall be deemed to

constitute part of such loan unless such temporary loan or advance has

been made out of the proceeds of definitive housing bonds sold by the

state pursuant to section sixty of the state finance law.