N.Y. Public Housing Law § 53

§ 53. Depositories of authority funds. In order to protect funds\ndeposited by an authority all banks, bankers, trust companies or other\npersons carrying on a banking business, organized under the laws of the\nstate, are authorized to give to the authority an undertaking with such\nsureties as shall be approved by the authority, faithfully to keep and\npay over upon the order of the authority any such deposits and agreed\ninterest thereon, or in lieu of said sureties, to deposit as collateral\nsuch securities and in such amounts as may be agreed upon with the\nauthority pursuant to a collateral deposit agreement in form and terms\nsatisfactory to the authority. The collateral to be deposited shall\nconsist of securities in which savings banks may legally invest funds\nwithin their control.\n