N.Y. State Finance Law § 92: Tax stabilization reserve fund

§ 92. Tax stabilization reserve fund. 1. There is hereby established a

fund to be known as the tax stabilization reserve fund for the

stabilization of the revenues of the state derived from the taxes, fees

and other sources required by law to be paid into the general fund of

the state treasury.

2. The aggregate amount disbursed from the general fund during the

fiscal year shall constitute the norm for such fiscal year of the amount

of revenues from such taxes, fees and other sources, and the term

"norm," as used in this section, shall mean such aggregate amount.

3. At the close of each fiscal year any cash surplus remaining in the

general fund over and above the norm for such fiscal year shall be

transferred from or retained in such fund as hereinafter in this

subdivision provided. There shall be transferred to the tax

stabilization reserve fund all of such surplus moneys, up to and

including an amount equivalent to two-tenths of one per centum of such

norm, unless such transfer would increase such reserve fund to an amount

in excess of two per centum of the amount of the norm for such fiscal

year, in which event such transfer shall be limited to such amount as

will increase such reserve fund to such two per centum limitation. Any

balance of such surplus moneys, thereafter remaining in the general

fund, shall be retained in such fund and be available for the reduction

of state taxes.

4. In the event that at the close of any fiscal year the receipts

derived from the taxes, fees and other sources, required to be paid

during such fiscal year into the general fund of the state shall fall

below the norm for such fiscal year, there shall be transferred from the

tax stabilization reserve fund to the general fund to the extent that

there are sufficient moneys in the tax stabilization reserve fund, an

amount equal to the difference between the norm and the amount of such

receipts. If such transfer reduces the tax stabilization reserve fund to

an amount less than two per centum of the norm for such fiscal year, the

amount so transferred shall be repaid in cash prior to the computation

and payment of any transfer to the fund pursuant to subdivision three of

this section in not less than three equal annual installments within the

period of six years or less next succeeding the date of such transfer;

provided, however, that if any such annual installment shall increase

such reserve fund to an amount in excess of two per centum of the amount

of the norm for the then current fiscal year, such installment shall be

limited to such amount as will increase such reserve fund to such two

per centum limitation and no further repayment of the whole or any part

of such transfer shall be required in any subsequent fiscal year.

Repayments to the tax stabilization reserve fund shall be stipulated in

annual budget bills.

5. Moneys in the tax stabilization reserve fund may be temporarily

loaned to the general fund during any fiscal year in anticipation of the

receipt of revenues from taxes, fees and other sources required to be

paid into the general fund during such fiscal year. Moneys so

temporarily loaned shall be repaid in cash during the same fiscal year

from revenues received from such taxes, fees and other sources as such

revenues are received, to the extent that such revenues are not

necessary for current expenditures required to be made from the general

fund. In the event that any moneys so temporarily loaned remain unpaid

at the close of the fiscal year, the amount so remaining unpaid shall be

deemed a transfer from the tax stabilization reserve fund to the general

fund to the same extent as if such moneys were transferred at the close

of the fiscal year pursuant to the provisions of subdivision four of

this section, and the provisions of such subdivision as to repayment

shall control. Temporary loans pursuant to this paragraph shall be

without interest.