N.Y. State Finance Law § 89-b: Dedicated highway and bridge trust fund

§ 89-b. Dedicated highway and bridge trust fund. 1. There is hereby

established in the joint custody of the state comptroller and the

commissioner of taxation and finance a special fund to be known as the

"dedicated highway and bridge trust fund".

2. The dedicated highway and bridge trust fund shall consist of three

accounts: (a) the special obligation reserve and payment account; (b)

the highway and bridge capital account; and (c) the aviation purpose

account. Moneys in each account shall be kept separate and not

commingled with any other moneys in the custody of the comptroller.

3. * (a) The special obligation reserve and payment account shall

consist (i) of all moneys required to be deposited in the dedicated

highway and bridge trust fund pursuant to the provisions of sections two

hundred five, two hundred eighty-nine-e, three hundred one-j, five

hundred fifteen and eleven hundred sixty-seven of the tax law, section

four hundred one and article twelve-d of the vehicle and traffic law,

and section thirty-one of chapter fifty-six of the laws of nineteen

hundred ninety-three, (ii) all fees, fines or penalties collected by the

commissioner of transportation and the commissioner of motor vehicles

pursuant to section fifty-two, section three hundred twenty-six, section

eighty-eight of the highway law, subdivision fifteen of section three

hundred eighty-five of the vehicle and traffic law, section two of part

U1 of chapter sixty-two of the laws of two thousand three, subdivision

(d) of section three hundred four-a, paragraph one of subdivision (a)

and subdivision (d) of section three hundred five, subdivision six-a of

section four hundred fifteen and subdivision (g) of section twenty-one

hundred twenty-five of the vehicle and traffic law, section fifteen of

this chapter, excepting moneys deposited with the state on account of

betterments performed pursuant to subdivision twenty-seven or

subdivision thirty-five of section ten of the highway law, and section

one hundred forty-five of the transportation law, (iii) any moneys

collected by the department of transportation for services provided

pursuant to agreements entered into in accordance with section

ninety-nine-r of the general municipal law, and (iv) any other moneys

collected therefor or credited or transferred thereto from any other

fund, account or source.

* NB Effective until April 1, 2028

* (a) The special obligation reserve and payment account shall consist

(i) of all moneys required to be deposited in the dedicated highway and

bridge trust fund pursuant to the provisions of sections two hundred

five, two hundred eighty-nine-e, three hundred one-j, five hundred

fifteen and eleven hundred sixty-seven of the tax law, section four

hundred one and article twelve-d of the vehicle and traffic law, and

section thirty-one of chapter fifty-six of the laws of nineteen hundred

ninety-three, (ii) all fees, fines or penalties collected by the

commissioner of transportation and the commissioner of motor vehicles

pursuant to section fifty-two, section three hundred twenty-six, section

eighty-eight of the highway law, subdivision fifteen of section three

hundred eighty-five of the vehicle and traffic law, section two of part

U1 of chapter sixty-two of the laws of two thousand three, subdivision

(d) of section three hundred four-a, paragraph one of subdivision (a)

and subdivision (d) of section three hundred five, subdivision six-a of

section four hundred fifteen and subdivision (g) of section twenty-one

hundred twenty-five of the vehicle and traffic law, section fifteen of

this chapter, excepting moneys deposited with the state on account of

betterments performed pursuant to subdivision twenty-seven or

subdivision thirty-five of section ten of the highway law, and section

one hundred forty-five of the transportation law, (iii) any moneys

collected by the department of transportation for services provided

pursuant to agreements entered into in accordance with section

ninety-nine-r of the general municipal law, and (iv) any other moneys

collected therefor or credited or transferred thereto from any other

fund, account or source.

* NB Separately amended, cannot be put together

* NB Effective April 1, 2028 until June 30, 2030

* (a) The special obligation reserve and payment account shall consist

(i) of all moneys required to be deposited in the dedicated highway and

bridge trust fund pursuant to the provisions of sections two hundred

eighty-nine-e, three hundred one-j, five hundred fifteen and eleven

hundred sixty-seven of the tax law, section four hundred one of the

vehicle and traffic law, and section thirty-one of chapter fifty-six of

the laws of nineteen hundred ninety-three, (ii) all fees, fines or

penalties collected by the commissioner of transportation and the

commissioner of motor vehicles pursuant to section fifty-two, section

three hundred twenty-six, section eighty-eight of the highway law,

subdivision fifteen of section three hundred eighty-five of the vehicle

and traffic law, section fifteen of this chapter, excepting moneys

deposited with the state on account of betterments performed pursuant to

subdivision twenty-seven or subdivision thirty-five of section ten of

the highway law, and section one hundred forty-five of the

transportation law, (iii) any moneys collected by the department of

transportation for services provided pursuant to agreements entered into

in accordance with section ninety-nine-r of the general municipal law,

and (iv) any other moneys collected therefor or credited or transferred

thereto from any other fund, account or source.

* NB Separately amended, cannot be put together

*NB Effective April 1, 2028 until June 30, 2030

* (a) The special obligation reserve and payment account shall consist

(i) of all moneys required to be deposited in the dedicated highway and

bridge trust fund pursuant to the provisions of sections two hundred

eighty-nine-e, three hundred one-j, five hundred fifteen and eleven

hundred sixty-seven of the tax law, section four hundred one and article

twelve-d of the vehicle and traffic law, and section thirty-one of

chapter fifty-six of the laws of nineteen hundred ninety-three, (ii) all

fees, fines or penalties collected by the commissioner of transportation

and the commissioner of motor vehicles pursuant to section fifty-two,

section three hundred twenty-six, section eighty-eight of the highway

law, subdivision fifteen of section three hundred eighty-five of the

vehicle and traffic law, section fifteen of this chapter, excepting

moneys deposited with the state on account of betterments performed

pursuant to subdivision twenty-seven or subdivision thirty-five of

section ten of the highway law, and section one hundred forty-five of

the transportation law, (iii) any moneys collected by the department of

transportation for services provided pursuant to agreements entered into

in accordance with section ninety-nine-r of the general municipal law,

and (iv) any other moneys collected therefor or credited or transferred

thereto from any other fund, account or source.

* NB Effective June 30, 2030

(b) Moneys in the special obligation reserve and payment account

shall, following appropriation by the legislature, be used to pay

amounts due to the New York state thruway authority as dedicated highway

and bridge trust fund cooperative agreement payments pursuant to the

provisions of dedicated highway and bridge trust fund cooperative

agreements entered into between the authority and the department of

transportation pursuant to sections ten-e, ten-f, and ten-g of the

highway law, the provisions of section three hundred eighty-five of the

public authorities law, and pursuant to the provisions of this section.

(c) The comptroller is hereby authorized and directed to transfer

monthly no later than the last day of each month, any moneys, if any, in

excess of the aggregate amounts required to be set aside in order to

meet the requirements established in paragraph (d) of this subdivision,

to the highway and bridge capital account, provided however that in no

event shall such transfers occur unless and until the aggregate of all

dedicated highway and bridge trust fund cooperative agreement payments

certified to the comptroller for such fiscal year shall have been

appropriated in accordance with the provisions of this section.

Additionally, in no event shall the comptroller pay over and distribute

any revenues of the fund to any person other than the New York state

thruway authority if any payment required to be set aside pursuant to

paragraph (b) of this subdivision has not been made to the authority on

the date by which it was required to have been made pursuant to such

schedule; provided, however, that no person, including such authority or

the holders of its bonds or notes shall have any lien on such revenues

and such agreement shall be executory only to the extent of such

revenues available to the state in such fund.

(d) Upon receipt by the comptroller of a certificate or certificates

from the chairperson of the New York state thruway authority submitted

pursuant to section three hundred eighty-five of the public authorities

law, that such authority requires a payment or payments, from the

dedicated highway and bridge trust fund, the comptroller shall pay from

such fund pursuant to an appropriation on or before the fifteenth day of

any month preceding the payment as the chairperson thereof may direct in

any such certificate, the amount or amounts so certified. The

chairperson of such authority shall furnish the commissioner of taxation

and finance with copies of such certificates. In order to set aside the

moneys necessary to meet the amounts required on the payment date or

dates herein, the comptroller shall comply with the provisions of this

subdivision.

(e) Except for the purpose of meeting a dedicated highway and bridge

trust fund cooperative agreement payment required pursuant to section

three hundred eighty-five of the public authorities law that is due on a

monthly basis or more frequently, prior to transferring any moneys from

the account pursuant to paragraph (c) of this subdivision, the

comptroller shall set aside on a monthly basis all revenues deposited

pursuant to this subdivision as received until the amount set aside is

equal to, twenty percent of the interest due on such obligations on the

next succeeding interest payment date multiplied by the number of months

from the date of the last such payment and ten percent of the next

principal installment due on such obligations multiplied by the number

of months from the date of the last such principal installment where

principal is due on an annual basis or twenty percent of the next

principal installment due on such obligations multiplied by the number

of months from the date of the last such principal installment where

principal is due on a semiannual basis. For the purpose of meeting a

required dedicated highway and bridge trust fund cooperative agreement

payment that is due on a monthly basis or more frequently, the

comptroller shall set aside all revenues deposited pursuant to

subdivision two of this section as received until the amount so set

aside is, in the reasonable judgment of the comptroller, sufficient to

pay the required highway and bridge trust fund cooperative agreement

payment on or before such payment date. In no event shall the

comptroller be held liable for the failure to set aside an amount

sufficient to pay the required dedicated highway and bridge trust fund

cooperative agreement payment to the authority.

(f) In the event that the amount set aside by the comptroller pursuant

to paragraph (e) of this subdivision is not sufficient to meet the

dedicated highway and bridge trust fund cooperative agreement payments

required pursuant to a certificate or certificates submitted by the

chairperson pursuant to subdivision two of section three hundred

eighty-five of the public authorities law, the comptroller shall

immediately transfer first from the highway and bridge capital account,

and then, if necessary, from the general fund to the special obligation

reserve and payment account, an amount which, when combined with the

amount set aside pursuant to paragraph (e) of this subdivision, shall be

sufficient to make the dedicated highway and bridge trust fund

cooperative agreement payments required pursuant to such certificate or

certificates. Following such an event, the comptroller shall,

immediately set aside the amounts required pursuant to paragraph (e) of

this subdivision, set aside and pay the next moneys received by the

special obligation reserve and payment account to reimburse the general

fund for moneys which were transferred to the special obligation reserve

and payment account pursuant to this paragraph. Such amounts shall be

set aside until the full amount of moneys transferred from the general

fund shall have been set aside and any such moneys set aside shall be

transferred to the general fund no later than the last day of each

month.

4. The highway and bridge capital account shall consist of all moneys

transferred from the special obligation reserve and payment account and

any other moneys credited or transferred thereto from any other fund,

account or source.

4-a. (a) The aviation purpose account shall consist of all moneys

required to be deposited by section three hundred twelve of the tax law

and any other moneys credited or transferred thereto from any other

fund, account or source.

(b) Moneys in the aviation purpose account shall be utilized for

airports and aviation facilities and equipment and related projects,

including but not limited to the acquisition of real or tangible

personal property, construction, reconstruction, reconditioning,

preservation, maintenance or improvement of airport or aviation capital

facilities and noise mitigation projects, and any other purpose not

prohibited by federal law.

5. * a. Moneys in the dedicated highway and bridge trust fund shall,

following appropriation by the legislature, be utilized for:

reconstruction, replacement, reconditioning, restoration, rehabilitation

and preservation of state, county, town, city and village roads,

highways, parkways, and bridges thereon, to restore such facilities to

their intended functions; construction, reconstruction, enhancement and

improvement of state, county, town, city, and village roads, highways,

parkways, and bridges thereon, to address current and projected capacity

problems including costs for traffic mitigation activities; aviation

projects authorized pursuant to section fourteen-j of the transportation

law and for payments to the general debt service fund of amounts equal

to amounts required for service contract payments related to aviation

projects as provided and authorized by section three hundred eighty-six

of the public authorities law; programs to assist small and minority and

women-owned firms engaged in transportation construction and

reconstruction projects, including a revolving fund for working capital

loans, and a bonding guarantee assistance program in accordance with

provisions of this chapter; matching federal grants or apportionments to

the state for highway, parkway and bridge capital projects; the

acquisition of real property and interests therein required or expected

to be required in connection with such projects; preventive maintenance

activities necessary to ensure that highways, parkways and bridges meet

or exceed their optimum useful life; expenses of control of snow and ice

on state highways by the department of transportation including but not

limited to personal services, nonpersonal services and fringe benefits,

payment of emergency aid for control of snow and ice in municipalities

pursuant to section fifty-five of the highway law, expenses of control

of snow and ice on state highways by municipalities pursuant to section

twelve of the highway law, and for expenses of arterial maintenance

agreements with cities pursuant to section three hundred forty-nine of

the highway law; personal services, nonpersonal services, and fringe

benefit costs of the department of transportation for bus safety

inspection activities, rail safety inspection activities, and truck

safety inspection activities; costs of the department of motor vehicles,

including but not limited to personal and nonpersonal services; costs of

engineering and administrative services of the department of

transportation, including but not limited to fringe benefits; the

contract services provided by private firms in accordance with section

fourteen of the transportation law; personal services and nonpersonal

services, for activities including but not limited to the preparation of

designs, plans, specifications and estimates; construction management

and supervision activities; costs of appraisals, surveys, testing and

environmental impact statements for transportation projects; expenses in

connection with buildings, equipment, materials and facilities used or

useful in connection with the maintenance, operation, and repair of

highways, parkways and bridges thereon; and project costs for:

construction, reconstruction, improvement, reconditioning and

preservation of rail freight facilities and intercity rail passenger

facilities and equipment; construction, reconstruction, improvement,

reconditioning and preservation of state, municipal and privately owned

ports; construction, reconstruction, improvement, reconditioning and

preservation of municipal airports; privately owned airports and

aviation capital facilities, excluding airports operated by the state or

operated by a bi-state municipal corporate instrumentality for which

federal funding is not available provided the project is consistent with

an approved airport layout plan; and construction, reconstruction,

enhancement, improvement, replacement, reconditioning, restoration,

rehabilitation and preservation of state, county, town, city and village

roads, highways, parkways and bridges; and construction, reconstruction,

improvement, reconditioning and preservation of fixed ferry facilities

of municipal and privately owned ferry lines for transportation

purposes, and the payment of debt service required on any bonds, notes

or other obligations and related expenses for highway, parkway, bridge

and project costs for: construction, reconstruction, improvement,

reconditioning and preservation of rail freight facilities and intercity

rail passenger facilities and equipment; construction, reconstruction,

improvement, reconditioning and preservation of state, municipal and

privately owned ports; construction, reconstruction, improvement,

reconditioning and preservation of municipal airports; privately owned

airports and aviation capital facilities, excluding airports operated by

the state or operated by a bi-state municipal corporate instrumentality

for which federal funding is not available provided the project is

consistent with an approved airport layout plan; construction,

reconstruction, enhancement, improvement, replacement, reconditioning,

restoration, rehabilitation and preservation of state, county, town,

city and village roads, highways, parkways and bridges; and

construction, reconstruction, improvement, reconditioning and

preservation of fixed ferry facilities of municipal and privately owned

ferry lines for transportation purposes, purposes authorized on or after

the effective date of this section. Beginning with disbursements made on

and after the first day of April, nineteen hundred ninety-three, moneys

in such fund shall be available to pay such costs or expenses made

pursuant to appropriations or reappropriations made during the state

fiscal year which began on the first of April, nineteen hundred

ninety-two. Beginning the first day of April, nineteen hundred

ninety-three, moneys in such fund shall also be used for transfers to

the general debt service fund and the general fund of amounts equal to

that respectively required for service contract and financing agreement

payments as provided and authorized by section three hundred eighty of

the public authorities law, section eleven of chapter three hundred

twenty-nine of the laws of nineteen hundred ninety-one, as amended, and

sections sixty-eight-c and sixty-nine-o of this chapter.

* NB Effective until April 1, 2028

* a. Moneys in the dedicated highway and bridge trust fund shall,

following appropriation by the legislature, be utilized for:

reconstruction, replacement, reconditioning, restoration, rehabilitation

and preservation of state, county, town, city and village roads,

highways, parkways, and bridges thereon, to restore such facilities to

their intended functions; construction, reconstruction, enhancement and

improvement of state, county, town, city, and village roads, highways,

parkways, and bridges thereon, to address current and projected capacity

problems including costs for traffic mitigation activities; aviation

projects authorized pursuant to section fourteen-j of the transportation

law and for payments to the general debt service fund of amounts equal

to amounts required for service contract payments related to aviation

projects as provided and authorized by section three hundred eighty-six

of the public authorities law; programs to assist small and minority and

women-owned firms engaged in transportation construction and

reconstruction projects, including a revolving fund for working capital

loans, and a bonding guarantee assistance program in accordance with

provisions of this chapter; matching federal grants or apportionments to

the state for highway, parkway and bridge capital projects; the

acquisition of real property and interests therein required or expected

to be required in connection with such projects; preventive maintenance

activities necessary to ensure that highways, parkways and bridges meet

or exceed their optimum useful life; expenses of control of snow and ice

on state highways by the department of transportation including but not

limited to personal services, nonpersonal services and fringe benefits,

payment of emergency aid for control of snow and ice in municipalities

pursuant to section fifty-five of the highway law, expenses of control

of snow and ice on state highways by municipalities pursuant to section

twelve of the highway law, and for expenses of arterial maintenance

agreements with cities pursuant to section three hundred forty-nine of

the highway law; personal services, nonpersonal services, and fringe

benefit costs of the department of transportation for bus safety

inspection activities, rail safety inspection activities, and truck

safety inspection activities; costs of engineering and administrative

services of the department of transportation, including but not limited

to fringe benefits; the contract services provided by private firms in

accordance with section fourteen of the transportation law; personal

services and nonpersonal services, for activities including but not

limited to the preparation of designs, plans, specifications and

estimates; construction management and supervision activities; costs of

appraisals, surveys, testing and environmental impact statements for

transportation projects; expenses in connection with buildings,

equipment, materials and facilities used or useful in connection with

the maintenance, operation, and repair of highways, parkways and bridges

thereon; and project costs for: construction, reconstruction,

improvement, reconditioning and preservation of rail freight facilities

and intercity rail passenger facilities and equipment; construction,

reconstruction, improvement, reconditioning and preservation of state,

municipal and privately owned ports; construction, reconstruction,

improvement, reconditioning and preservation of municipal airports;

privately owned airports and aviation capital facilities, excluding

airports operated by the state or operated by a bi-state municipal

corporate instrumentality for which federal funding is not available

provided the project is consistent with an approved airport layout plan;

and construction, reconstruction, enhancement, improvement, replacement,

reconditioning, restoration, rehabilitation and preservation of state,

county, town, city and village roads, highways, parkways and bridges;

and construction, reconstruction, improvement, reconditioning and

preservation of fixed ferry facilities of municipal and privately owned

ferry lines for transportation purposes, and the payment of debt service

required on any bonds, notes or other obligations and related expenses

for highway, parkway, bridge and project costs for: construction,

reconstruction, improvement, reconditioning and preservation of rail

freight facilities and intercity rail passenger facilities and

equipment; construction, reconstruction, improvement, reconditioning and

preservation of state, municipal and privately owned ports;

construction, reconstruction, improvement, reconditioning and

preservation of municipal airports; privately owned airports and

aviation capital facilities, excluding airports operated by the state or

operated by a bi-state municipal corporate instrumentality for which

federal funding is not available provided the project is consistent with

an approved airport layout plan; construction, reconstruction,

enhancement, improvement, replacement, reconditioning, restoration,

rehabilitation and preservation of state, county, town, city and village

roads, highways, parkways and bridges; and construction, reconstruction,

improvement, reconditioning and preservation of fixed ferry facilities

of municipal and privately owned ferry lines for transportation

purposes, purposes authorized on or after the effective date of this

section. Beginning with disbursements made on and after the first day of

April, nineteen hundred ninety-three, moneys in such fund shall be

available to pay such costs or expenses made pursuant to appropriations

or reappropriations made during the state fiscal year which began on the

first of April, nineteen hundred ninety-two. Beginning the first day of

April, nineteen hundred ninety-three, moneys in such fund shall also be

used for transfers to the general debt service fund and the general fund

of amounts equal to that respectively required for service contract and

financing agreement payments as provided and authorized by section three

hundred eighty of the public authorities law, section eleven of chapter

three hundred twenty-nine of the laws of nineteen hundred ninety-one, as

amended, and sections sixty-eight-c and sixty-nine-o of this chapter.

* NB Effective April 1, 2028

b. Subject to appropriation therefor and subject to subdivision four

of this section, beginning the first day of April, nineteen hundred

ninety-three, an amount of moneys in the dedicated highway and bridge

trust fund, together with any other moneys legally available therefor,

which is equivalent to the amount that was historically appropriated

from state sources, other than proceeds from the accelerated capacity

and transportation improvements of the nineties bond act, for highway,

parkway and bridge purposes as enumerated in paragraph a of this

subdivision shall be used to fund highway, parkway and bridge

expenditures that were historically appropriated from state sources,

other than proceeds from the accelerated capacity and transportation

improvements of the nineties bond act, for the purposes enumerated in

paragraph a of this subdivision.

6. All payments of moneys from the dedicated highway and bridge trust

fund shall be made on audit and warrant of the comptroller. Not later

than twenty days after the end of each calendar quarter, the comptroller

shall submit to the director of the budget and the chairpersons of the

fiscal committees of the legislature a report showing the amount of

receipts identified as bond proceeds and the amounts, separately

identified, received from taxes, fees, transfers, or other sources, and

the amounts disbursed from the dedicated highway and bridge trust fund

for state operations, capital projects and transfers to other funds.

7. There shall be a comprehensive financial report and plan for the

dedicated highway and bridge trust fund. The governor shall annually

submit such plan to the legislature and the comptroller in accordance

with paragraph (e) of subdivision three of section twenty-two-c of this

chapter.

8. The state comptroller shall at the commencement of each month

certify to the director of the budget, the chairpersons of the senate

finance and assembly ways and means committees, the commissioner of

transportation, and the chairman of the thruway authority the amount

disbursed from the dedicated highway and bridge trust fund in the

preceding month, the amounts reimbursed by the thruway authority, the

revenues received in the fund, and the unreimbursed disbursements, in

accordance with section ten-e of the highway law.

9. Not later than sixty days after the end of the state fiscal year,

the department of transportation shall provide to the state comptroller,

the chairpersons of the senate finance and assembly ways and means

committees and the division of the budget, a detailed description of

each capital project let during the completed prior year that is funded

fully or partially from the dedicated highway and bridge trust fund.

Such description shall include a project identification number, a

description of the project in less than thirty words, the work type, the

estimated total cost of the project and the probable life of each such

project.

10. Not later than March first of each state fiscal year, the

department of transportation shall provide to the state comptroller, the

chairpersons of the senate finance and assembly ways and means

committees and the division of the budget, a detailed description of

each capital project anticipated or available to be let in the next

fiscal year that is planned to be funded fully or partially from the

dedicated highway and bridge trust fund. Such description shall include

a project identification number, a description of the project in less

than thirty words, the work type, the estimated total cost of the

project and the probable life of each such project.

11. The department of transportation shall provide to the state

comptroller and the chairpersons of the senate finance and assembly ways

and means committees, not later than fourteen days subsequent to

reimbursement from bond proceeds to the dedicated highway and bridge

trust fund, a cooperative agreement schedule of all projects so

reimbursed. Such schedule shall include, but not be limited to, an

identifying project number, the work type, project description, county,

total cost, percentage of federal funding, letting date, scheduled

completion date, life to date dedicated highway and bridge trust fund

disbursements, prior amount of thruway authority bond proceeds

reimbursement, the amount of the current reimbursement, and the probable

life of each such project.