Section 55. General reserve fund

1. The town board of a suburban town may
  establish a general reserve fund for the financing of all or part of the
  cost of town objects or purposes having periods of  probable  usefulness
  of  at  least five years pursuant to paragraph a of section 11.00 of the
  local finance law, other than objects or purposes for  which  a  reserve
  fund may be established pursuant to section fifty-five-a or fifty-five-b
  of this chapter.
    2. There may be paid into such fund:
    (a)   Such  an  amount  as  may  be  provided  therefor  by  budgetary
  appropriation or transfer or raised by tax therefor.
    (b) Such revenues as are not required by law to be paid into any other
  fund or account, including the proceeds from the  sale  of  any  capital
  improvement or equipment owned by such town.
    3.  An  expenditure may be made from the fund only by an authorization
  of the town board and only for a specific object  or  purpose  having  a
  period  of  probable  usefulness  of  at  least  five  years pursuant to
  paragraph a of section 11.00 of the local finance law. The authorization
  of such an expenditure shall be subject to a  permissive  referendum  in
  the  manner  provided  by  article seven of this chapter. No expenditure
  from the fund shall be authorized for that  part  of  the  cost  of  any
  object  or  purpose which is to be borne by (a) assessments for benefit,
  (b) ad valorem taxes upon the real property within an  area  of  benefit
  within  the town, or, (c) ad valorem taxes upon the real property within
  an area of the town less than the entire area.
    4. Nothing contained in this article shall be deemed  to  prevent  the
  temporary  advance  of the moneys in the fund pursuant to the provisions
  of section 165.10 of the local finance law.