N.Y. Local Finance Law § 165.10

§ 165.10. Advances from funds. If there are funds of a municipality,\nschool district or district corporation, other than:\n 1. The proceeds of bonds, bond anticipation notes, capital notes,\nurban renewal notes and budget notes, and\n 2. Funds which, by law, may be used only for stated purposes, which\nare not immediately required for the purpose or purposes for which the\nsame were borrowed, raised or otherwise created, the finance board may\nauthorize the temporary use of such funds for the purpose or purposes\nfor which an issue of bonds, capital notes or urban renewal notes has\nbeen authorized. Suitable records shall be kept of the temporary\ndiversion of such funds. Notwithstanding the provisions of section\n165.00 of this chapter, such funds shall be made again available to the\nmunicipality, school district or district corporation from the proceeds\nof such bonds, capital notes or urban renewal notes or from the proceeds\nof the sale of bond anticipation notes issued in anticipation of the\nsale of such bonds.\n