§ 1977-b. Reserve funds and appropriations. 1. In addition to setting\naside of such other reserves or sinking funds as it shall deem advisable\nand necessary, and the regulation and disposition thereof, the authority\nshall create and establish a special fund to be known as and hereinafter\ncalled the "Battery Park project area capital reserve fund" and shall\npay into such fund (a) any moneys appropriated and made available by the\nstate only for the purposes of such fund, (b) any proceeds of sale of\nany bonds issued to finance the Battery Park project area to the extent\nprovided in the resolution of the authority authorizing the issuance\nthereof, (c) any funds directed to be transferred by the authority to\nsuch fund, and (d) any other moneys made available to the authority only\nfor the purposes of such fund from any other source or sources. The\nmoneys held in or credited to such capital reserve fund, except as\nhereinafter provided, shall be used solely for the payment of the\nprincipal of such bonds or of the sinking fund payments hereinafter\nmentioned with respect to such bonds, the purchase or redemption of such\nbonds, the payment of interest on such bonds, or the payment of any\nredemption premium required to be paid when any of such bonds are\nredeemed prior to maturity; provided, however, that moneys in such fund\nshall not be withdrawn therefrom at any time in such amount as would\nreduce the amount of such fund to less than the amount of the Battery\nPark project area capital reserve fund requirement hereinbelow referred\nto, except for the purpose of making with respect to such bonds payment,\nwhen due, of principal, interest and the sinking fund payments\nhereinafter mentioned for the payment of which other moneys of the\nauthority are not available. Moneys in such capital reserve fund not\nrequired for immediate use or disbursement may be invested in\nobligations of the state or the United States of America or obligations\nthe principal and interest of which are guaranteed by the state or the\nUnited States of America or obligations of agencies of the United States\nof America which may from time to time be legally purchased by savings\nbanks of the state as investment of funds belonging to them or in their\ncontrol. In computing the amount of such capital reserve fund for the\npurposes of this section, securities in which all or a portion of such\nfund are invested shall be valued at par or, if purchased at less than\npar, at their cost to the authority.\n 2. The authority shall not issue any of such bonds at any time secured\nby such capital reserve fund if the amount in such capital reserve fund\nat the time of issuance does not equal or exceed the amount of said\ncapital reserve fund requirement unless the authority at the time of\nissuance of such bonds shall deposit in such fund from the proceeds of\nsuch bonds or other sources an amount which together with the amount\nthen in such fund will not be less than the amount of said capital\nreserve fund requirement.\n 3. In order to assure the continued operation and solvency of the\nauthority for the fulfillment of its corporate purposes with respect to\nthe Battery Park project area, the chairman of the authority shall\nannually, on or before December first, make and deliver to the governor\nand director of the budget his certificate stating the sum, if any,\nrequired to restore such capital reserve fund to the amount as of the\nparticular date of computation equal to the greatest (herein sometimes\ncalled the "Battery Park project area capital reserve fund requirement")\nof the respective amounts for the then current or any future fiscal year\nof the authority, of annual debt service with respect to such bonds,\nsuch annual debt service for any fiscal year being the amount of money\nequal to the aggregate of (a) all interest payable during such fiscal\nyear on all such bonds outstanding on said date of computation, plus (b)\nthe principal amount of
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