Section 98. Investment of state funds

The comptroller shall invest and keep
  invested all moneys belonging to any and all funds which the comptroller
  now  is  or  hereafter  shall  be  authorized  to  invest, in any of the
  following securities:
    1. Bonds and notes of the United States.
    2. Bonds and notes of this state.
    2-a. General obligation bonds and notes of any state other  than  this
  state,  provided that such bonds and notes receive the highest rating of
  at least one independent rating agency designated by the comptroller.
    3. Obligations for the payment of which the faith and  credit  of  the
  United States or of this state are pledged.
    3-a.  Notes,  bonds,  debentures,  mortgages  and  other  evidences of
  indebtedness of the United States Postal Service; the  federal  national
  mortgage  association;  federal  home loan mortgage corporation; student
  loan marketing association; federal farm  credit  system  or  any  other
  United  States government sponsored agency, provided that at the time of
  the investment such agency or its obligations are rated and  the  agency
  receives,  or  its  obligations  receive,  the  highest  rating  of  all
  independent rating agencies that rate such agency  or  its  obligations,
  provided,  however,  that no more than two hundred fifty million dollars
  may be invested in the obligations of any one agency.
    4. Judgments or awards of the court of claims of this state.
    5. Stocks, bonds, or notes of any county, town,  city,  village,  fire
  district or school district of this state issued pursuant to law.
    6.  Mortgage  bonds  or  any  obligations for the payment of money, no
  matter how designated, secured by another instrument representing a lien
  on  specific  real  property  or  a  leasehold  thereof,  heretofore  or
  hereafter  and  at the time of the assignment thereof to the comptroller
  insured by the federal housing administrator or any of his successors in
  office and guaranteed by the United States under the provisions  of  the
  national  housing  act,  as  amended  or supplemented. Any such mortgage
  bonds or obligations as aforesaid in which the comptroller has  invested
  or shall have invested pursuant to this subdivision shall be serviced by
  the comptroller or in his discretion, by mortgagees, as such are defined
  by  the national housing act, as amended or supplemented, duly appointed
  by  him  and  subject  to  the  inspection  and  supervision   of   some
  governmental   agency.   The  comptroller  may  receive  and  hold  such
  debentures and certificates  or  other  obligations  as  are  issued  in
  payment of such insurance or guarantee.
    7.  Bonds  and  notes of the Savings and Loan Bank of the state of New
  York.
    8. Bonds or notes of any housing authority of this state  duly  issued
  pursuant to law.
    9. Bonds or notes of any regulating district of this state duly issued
  pursuant to law.
    10.  Bonds or notes of any drainage improvement district of this state
  duly issued pursuant to law.
    11. Bonds or notes of the authorities or commissions set  forth  below
  when issued pursuant to law:
    a. Port of New York Authority.
    b. Niagara Frontier Authority.
    c. Triborough bridge and tunnel authority.
    d. Thousand Islands Bridge Authority.
    e. New York State Bridge Authority.
    f. New York City Tunnel Authority.
    g. Lake Champlain Bridge Commission.
    h. Lower Hudson Regional Market Authority.
    i. Albany Regional Market Authority.

    k. American Museum of Natural History Planetarium Authority.
    l. Industrial Exhibit Authority.
    m. Buffalo Sewer Authority.
    n. Whiteface Mountain Authority.
    o. Pelham-Portchester Parkway Authority.
    p. Jones Beach State Parkway Authority.
    q. Bethpage Park Authority.
    r. Dormitory Authority.
    s. Central New York Regional Market Authority.
    t. Erie County Water Authority.
    u. Suffolk County Water Authority.
    v. New York State Thruway Authority.
    w. Genesee Valley Regional Market Authority.
    x. Onondaga county water authority.
    y. Power Authority of the state of New York.
    z. Ogdensburg Bridge and Port Authority.
    aa. East Hudson Parkway Authority.
    aa. Niagara Frontier Port Authority.
    bb. Northwestern New York Water Authority.
    cc. Metropolitan Commuter Transportation Authority.
    dd. Niagara Frontier Transportation Authority.
    dd. New York State Pure Waters Authority.
    ee. Rochester-Genesee Regional Transportation Authority.
    ff. Capital District Transportation Authority.
    ff. Central New York Regional Transportation Authority.
    12.  Obligations  of  the  International  Bank  for Reconstruction and
  Development duly issued pursuant to law.
    13. Obligations of the inter-American  development  bank  duly  issued
  pursuant to law.
    13-a.  Obligations  of the Asian Development Bank duly issued pursuant
  to law.
    13-b. Obligations of the African Development Bank duly issued pursuant
  to law.
    13-c. Obligations of the International Finance Corporation duly issued
  pursuant to law.
    * 14. Collateral trust notes issued by a trust  company,  all  of  the
  capital stock of which is owned by not less than twenty savings banks of
  the state of New York.
    * NB There are 2 sb 14's
    * 14.  Bonds and notes issued for any of the corporate purposes of the
  New York state housing finance agency.
    * NB There are 2 sb 14's
    15. Bonds and notes issued for any of the corporate  purposes  of  the
  New York state medical care facilities finance agency.
    16.  Bonds  and  notes issued for any of the corporate purposes of the
  New York state project finance agency.
    17. Bonds and notes issued for any of the corporate  purposes  of  the
  municipal assistance corporation for New York City.
    18.  Obligations  of  any  corporation organized under the laws of any
  state in the United States maturing  within  two  hundred  seventy  days
  provided  that  such  obligations  receive  the  highest  rating  of two
  independent rating services designated by the comptroller and  that  the
  issuer  of  such  obligations  has  maintained  such  ratings on similar
  obligations during the preceding six months provided, however, that  the
  issuer of such obligations need not have received such rating during the
  prior six month period if such issuer has received the highest rating of
  two  independent rating services designated by the state comptroller and
  is the successor or wholly  owned  subsidiary  of  an  issuer  that  has

  maintained  such ratings on similar obligations during the preceding six
  month period or if the issuer is the product of a merger of two or  more
  issuers, one of which has maintained such ratings on similar obligations
  during  the  preceding six month period, provided, however, that no more
  than  two  hundred  fifty  million  dollars  may  be  invested  in  such
  obligations of any one corporation.
    19.  Bankers'  acceptances  maturing  within  ninety  days  which  are
  eligible for purchase in the open market by federal  reserve  banks  and
  which  have been accepted by a bank or trust company, which is organized
  under the laws of the United States or of any state thereof and which is
  a member of the federal reserve system and whose short-term  obligations
  meet  the  criteria  outlined  in  subdivision eighteen of this section.
  Provided, however, that no more than two hundred fifty  million  dollars
  may  be  invested  in  such bankers' acceptance of any one bank or trust
  company.
    20. No-load money market mutual funds registered under the  Securities
  Act  of  1933,  as amended, and operated in accordance with Rule 2a-7 of
  the Investment Company Act of 1940, as amended, provided that such funds
  are limited to investments in obligations issued or  guaranteed  by  the
  United   States   of   America   or   in   obligations  of  agencies  or
  instrumentalities of the United States of America where the  payment  of
  principal  and  interest  are guaranteed by the United States of America
  (including  contracts  for  the  sale  and  repurchase   of   any   such
  obligations),  and  are rated in the highest rating category by at least
  one nationally recognized  statistical  rating  organization,  provided,
  however,  that  no  more  than  two hundred fifty million dollars may be
  invested in such funds.
    The comptroller, whenever he deems it for the best interest of any  of
  such  funds, may dispose of any of the securities therein or investments
  therefor, in making other investments authorized  by  law,  and  he  may
  exchange  any such securities for those held in any other of such funds,
  and the comptroller may take such action as may be necessary  to  obtain
  the  benefits of the insurance provided for in the national housing act,
  and may draw his warrant upon the treasurer for the amount required  for
  such investments and exchanges.
    Notwithstanding  the  provisions  of any other general or special law,
  the comptroller shall not invest the moneys of any fund in any  security
  or  securities  except  as above described, provided, however, that: (a)
  the comptroller may,  in  order  to  maximize  the  rate  of  return  on
  investments,  invest  the  moneys  belonging to the New York interest on
  lawyer account  fund  in  notes,  securities  and  deposits  of  banking
  institutions  which accept IOLA accounts, and (b) the provisions of this
  section shall not limit the types of investments that may be  made  with
  moneys   belonging   to  the  volunteer  ambulance  service  award  fund
  established by section two hundred nineteen-h of the  general  municipal
  law.