§ 3657. Resources of the authority. 1. Subject to the provisions of
this title, the directors of the authority shall receive, accept,
invest, administer, expend and disburse for its corporate purposes all
money of the authority from whatever sources derived including (a) tax
revenues; (b) the proceeds of bonds; and (c) any other payments, gifts
or appropriations to the authority from any other source.

2. Subject to the provisions of any contract with bondholders, (a) the
money of the authority shall be paid to the authority and shall not be
commingled with any other money, and (b) all money received by the
authority which, together with other money of the authority available
for the expenses of the authority, the payment of debt service and
payments to reserve funds, exceeds the amount required for such
purposes, as determined by the authority, shall, subject to the
provisions of subdivision six of this section and to the terms of any
agreement between the authority and the county, be transferred to the
county as frequently as practicable.

3. The money in any of the authority's accounts shall be paid out on
checks signed by the treasurer of the authority, or by other lawful and
appropriate means such as wire or electronic transfer, on requisitions
of the chairperson of the authority or of such other officer as the
directors shall authorize to make such requisition, or pursuant to a
bond resolution or trust indenture.

4. All deposits of authority money shall be secured by obligations of
the United States or of the state or of the county at a market value at
least equal at all times to the amount of the deposit, and all banks and
trust companies are authorized to give such security for such deposits.
The authority shall have the power, notwithstanding the provisions of
this section, to contract with the holders of any of its bonds as to the
custody, collection, securing, investment and payment of any money of
the authority or any money held in trust or otherwise for the payment of
bonds or in any way to secure bonds, and to carry out any such contract
notwithstanding that such contract may be inconsistent with the other
provisions of this title. Money held in trust or otherwise for the
payment of bonds or in any way to secure bonds and deposits of such
money may be secured in the same manner as money of the authority, and
all banks and trust companies are authorized to give such security for
such deposits.

5. Tax revenues received by the authority pursuant to section twelve
hundred sixty-one of the tax law, together with any other revenues
received by the authority, shall be applied in the following order of
priority: first pursuant to the authority's contracts with bondholders,
then to pay the authority's operating expenses not otherwise provided
for, and then, subject to the authority's agreements with the county, to
transfer the balance of such tax revenues not required to meet
contractual or other obligations of the authority to the county as
frequently as practicable.

6. (a) This subdivision shall apply only to revenue anticipation
notes, including renewals thereof, issued by the county during its
fiscal year ending December thirty-first, two thousand, in anticipation
of the receipt of county tax revenues, and only to such issues of
revenue anticipation notes as to which the certificate described in
paragraph (b) of this subdivision is filed.

(b) Notwithstanding the provisions of subdivision five of this section
with respect to the transfer of the balance of tax revenues to the
county, prior to the delivery of each such issue of revenue anticipation
notes, the chief fiscal officer of the county shall file with the
authority a request that the authority establish a county of Nassau
revenue anticipation note withholding fund which shall constitute a
special bank account for purposes of paragraph g of section 25.00 of the
local finance law. Such request by such chief fiscal officer shall be
accompanied by a certificate setting forth with respect to such issue
(i) the principal amount, (ii) the date of issue, (iii) the maturity
date, (iv) the interest rate or rates, (v) if interest shall be payable
otherwise than at maturity, the date or dates for the payment thereof,
(vi) the name and address of the paying agent, (vii) the name and
address of each purchaser, or, if a purchaser shall be a syndicate or
similar account, the name and address of each managing underwriter of
such syndicate or similar account, (viii) the amount payable on each
principal payment date and interest payment date, and (ix) a schedule
setting forth the total amount of county tax revenues anticipated to be
received, and the expected date or dates of anticipated receipt of such
county tax revenues. Such certificate shall be accompanied by a
statement executed by the chief fiscal officer certifying that the
amounts and times of payments of county tax revenues contained in such
schedule have been estimated by the use of reasonable and appropriate
data and methods of estimation, all in accordance with applicable law.

(c) All such revenue anticipation notes, in addition to a pledge of
the faith and credit of the county for the payment thereof, shall
contain a recital to the effect that they are entitled to the benefits
of the provisions of this subdivision.

(d) Commencing on the date not less than five days prior to and on
each day thereafter up to and including any principal and/or interest
payment date referred to in the certificate filed by the chief fiscal
officer with the authority pursuant to paragraph (b) of this
subdivision, the authority shall pay to such paying agent from county
tax revenues transferred and credited by the authority to the county of
Nassau revenue anticipation note withholding fund as provided in
paragraph (e) of this subdivision the amount required to pay in full the
principal and/or interest due on such payment date as set forth in such
certificate. Moneys so paid shall pass immediately from the authority
and vest in such paying agent in trust for the benefit of the holders of
the revenue anticipation notes to which such certificate relates. No
other person having any claim of any kind in tort, contract or otherwise
against the county shall have any right to or claim against the moneys
held by such paying agent, and such moneys shall not be subject to any
order, judgment, lien, execution, attachment, setoff or counterclaim by
any such other person. Such moneys shall be held by such paying agent in
a separate trust account and shall be applied only to the payment of the
principal and/or interest due on such revenue anticipation notes,
provided, however, that the contract by and between the county and such
paying agent may provide for (i) the investment by such paying agent of
such moneys in direct obligations of, or in obligations guaranteed by,
the United States of America, provided such obligations shall be payable
or redeemable at the option of the holder within such time as the
proceeds shall be needed to pay such principal and/or interest due on
such revenue anticipation notes, and (ii) the use by such paying agent
of such moneys for the purchase of direct obligations of, or obligations
guaranteed by, the United States of America under one or more repurchase
agreements with any bank or trust company having its principal office in
the state of New York, provided that any such repurchase agreement shall
provide for the repurchase of such obligations within such time as such
moneys are needed to pay the principal and/or interest due on such
revenue anticipation notes at a repurchase price at least sufficient to
make the amount so invested available for the payment of principal
and/or interest due on such revenue anticipation notes, and provided,
further, that, at the time of such purchase, the market value of such
obligations shall be at least equal to one hundred two per centum of the
amount so invested. No person having any claim of any kind in tort,
contract or otherwise against the county shall have any right to or
claim against any moneys in anticipation of which such notes have been
issued, other than a claim for payment by the holders of such notes, and
such moneys shall not be subject to any order, judgment, lien,
execution, attachment, setoff or counterclaim by any such person.
Notwithstanding any provision of law to the contrary, no instrument
relating to any transaction authorized or contemplated by this paragraph
need be filed under the provisions of the uniform commercial code.

(e) Commencing on the day when the authority determines that the
principal and interest due or to come due on such outstanding revenue
anticipation notes issued against such county tax revenues in accordance
with the provisions of this subdivision shall equal the amount of such
county tax revenues as set forth on the schedule included in the
certificate filed with the authority pursuant to paragraph (b) of this
subdivision remaining to be paid to the county on or prior to any
principal and/or interest payment date, the authority shall deduct and
withhold from the amount of such county tax revenues otherwise payable
to the county an amount sufficient to pay, when due, the principal of
and interest on all such revenue anticipation notes issued and then
outstanding in anticipation thereof. Amounts so deducted and withheld
shall be transferred and credited by the authority to the account
established for such county tax revenues in the county of Nassau revenue
anticipation note withholding fund established by the authority in
accordance with the chief fiscal officer's request pursuant to paragraph
(b) of this subdivision. The payments required to be made by the
authority pursuant to paragraph (d) of this subdivision shall be made
from amounts on deposit in the accounts established for such county tax
revenues in the county of Nassau revenue anticipation note withholding
fund.

(f) Notwithstanding any other provision of this subdivision, at the
expiration of one hundred eighty days after the maturity date of any
issue of revenue anticipation notes issued in accordance with the
provisions of this subdivision, the amounts held by the paying agent
thereof for the payment of the principal of and interest on the notes of
such issue which have not been presented for payment shall be paid over
and remitted by such paying agent to the county and thereafter the
holders of such notes shall look only to the county for such payment.

(g) All other provisions of the local finance law not inconsistent
with the provisions of this subdivision shall continue to apply to the
authorization and issuance of revenue anticipation notes by the county.