§ 92-h. Sales tax revenue bond tax fund. 1. There is hereby established in the joint custody of the state comptroller and the commissioner of taxation and finance a fund within the general debt service fund to be known as the "sales tax revenue bond tax fund". 2. Such fund shall consist of the amount of revenue collected within the state from the imposition of the sales and compensating use taxes (including interest and penalties) pursuant to section eleven hundred five and section eleven hundred ten of the tax law equal to the amount attributable to a one percent rate of taxation, less such amounts as the commissioner of taxation and finance may determine to be necessary for refunds. On and after the date that all of the obligations and liabilities of the New York local government assistance corporation shall have been met or otherwise discharged, other than payment obligations required by section thirty-two hundred thirty-eight-a of the public authorities law, it shall equal the amount attributable to a two percent rate of taxation, less such amounts as the commissioner of taxation and finance may determine to be necessary for refunds. Such sales and compensating use tax revenues shall be separate and distinct from the sales and compensating use tax revenues deposited from time to time in the local government assistance tax fund, pursuant to section ninety-two-r of this chapter. 3. On or before the twelfth day of each month, the commissioner of taxation and finance shall certify to the state comptroller the amounts specified in subdivision two of this section relating to the preceding month and, in addition, no later than March thirty-first of each fiscal year the commissioner of taxation and finance shall certify such amounts relating to the last month of such fiscal year. The amounts so certified shall be deposited by the state comptroller in the sales tax revenue bond tax fund. 4. Moneys in the sales tax revenue bond tax fund shall be kept separate and shall not be commingled with any other moneys in the custody of the state comptroller and the commissioner of taxation and finance. All deposits of such revenues shall, if required by the state comptroller, be secured by obligations of the United States or of the state having a market value equal at all times to the amount of such deposits and all banks and trust companies are authorized to give security for such deposits. Any such moneys in such fund may, in the discretion of the state comptroller, be invested in obligations in which the state comptroller is authorized to invest pursuant to section ninety-eight-a of this article. 5. (a) The state comptroller shall from time to time, but in no event later than the fifteenth day of each month (other than the last month of the fiscal year) and no later than the thirty-first day of the last month of each fiscal year, pay over and distribute to the credit of the general fund of the state treasury all moneys in the sales tax revenue bond tax fund, if any, in excess of the aggregate amount required to be set aside for the payment of cash requirements pursuant to paragraph (b) of this subdivision, provided that an appropriation has been made to pay all amounts specified in any certificate or certificates delivered by the director of the budget pursuant to paragraph (b) of this subdivision as being required by any authorized issuer as such term is defined in section sixty-nine-m of this chapter for the payment of cash requirements of such authorized issuers for such fiscal year. Subject to the rights of holders of debt of the state, in no event shall the state comptroller pay over and distribute any moneys on deposit in the sales tax revenue bond tax fund to any person other than an authorized issuer pursuant to such certificate or certificates (i) unless and until the aggregate of all cash requirements certified to the state comptroller as required by such authorized issuers to be set aside pursuant to paragraph (b) of this subdivision for such fiscal year shall have been appropriated to such authorized issuers in accordance with the schedule specified in the certificate or certificates filed by the director of the budget or (ii) if, after having been so certified and appropriated, any payment required to be made pursuant to paragraph (b) of this subdivision has not been made to the authorized issuers pursuant to such certificate or certificates; provided, however, that no person, including such authorized issuers or the holders of revenue bonds, shall have any lien on moneys on deposit in the sales tax revenue bond tax fund. Any agreement entered into pursuant to section sixty-nine-o of this chapter related to any payment authorized by this section shall be executory only to the extent of such revenues available to the state in such fund. Notwithstanding subdivisions two and three of this section, in the event the aggregate of all cash requirements certified to the state comptroller as required by such authorized issuers to be set aside pursuant to paragraph (b) of this subdivision for the fiscal year beginning on April first shall not have been appropriated to such authorized issuers in accordance with the schedule specified in the certificate or certificates filed by the director of the budget or, if, having been so certified and appropriated, any payment required to be made pursuant to paragraph (b) of this subdivision has not been made pursuant to such certificate or certificates, all receipts collected and deposited in the sales tax revenue bond tax fund shall remain in such fund. Notwithstanding any other provision of law, if the state has appropriated and paid to the authorized issuers all amounts necessary for the authorized issuers to meet their cash requirements for the current fiscal year pursuant to the certificate or certificates submitted by the director of the budget pursuant to paragraph (b) of this section, the state comptroller shall, on the last day of each fiscal year, pay to the general fund of the state all sums remaining in the sales tax revenue bond tax fund on such date except such amounts as the director of the budget may certify are needed to meet the cash requirements of authorized issuers during the subsequent fiscal year.

(b) No later than thirty days after the submission of the executive budget in accordance with article seven of the constitution, the director of the budget shall prepare a certificate of the amount of monthly receipts anticipated to be deposited pursuant to subdivision two of this section during the fiscal year beginning April first of that year together with the monthly amounts necessary to be set aside from the receipts of such fund, as shall be sufficient to meet the total cash requirements of authorized issuers, as defined by section sixty-nine-m of this chapter during such fiscal year, based on information that shall be provided by such authorized issuers, consistent with the terms of any contract with outstanding bondholders. Except for the purpose of meeting cash requirements of an authorized issuer that are due on a monthly or more frequent basis, prior to transferring any moneys from the account pursuant to paragraph (a) 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 one-fifth of the interest due on such obligations on the next succeeding interest payment date multiplied by the number of months from the last such payment and one-eleventh of the next principal installment due on such obligations multiplied by the number of months from the last such principal installment where principal is due on an annual basis or one-fifth of the next principal installment due on such obligations multiplied by the number of months from the last such principal installment where principal is due on a semiannual basis. For the purpose of meeting cash requirements of an authorized issuer that are 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 director of the budget as set forth in such certificate, sufficient to make the required payment on or before such payment date. Notwithstanding subdivision three of, section seventy-two of this article or any other provision of law, all moneys set aside in the sales tax revenue bond tax fund to meet the annual cash requirements of authorized issuers pursuant to a certificate or certificates as required in this paragraph shall remain in the sales tax revenue bond tax fund until needed for payment to authorized issuers, as provided in this section. In the event that the amount set aside by the state comptroller pursuant to this paragraph is not sufficient to meet the cash requirements required pursuant to a certificate or certificates submitted by the director of the budget, the state comptroller shall immediately transfer from the general fund to the sales tax revenue bond tax fund an amount which, when combined with the amount set aside pursuant to this paragraph, shall be sufficient to meet the payment required pursuant to such certificate or certificates. The director of the budget may revise such certification at such times as shall be necessary, provided, however, that the director of the budget shall, as necessary, revise such certification not later than thirty days after the issuance of any revenue bonds, including refunding bonds, and after the adoption of any interest rate exchange or other financial arrangement affecting the cash requirements of the authorized issuers. In no event shall the state comptroller be held liable for the failure to set aside an amount sufficient to pay any required payment of an authorized issuer. 6. All payments of moneys from the revenue bond tax fund shall be made on the audit and warrant of the state comptroller.