1. An operator shall maintain reserve liabilities and supporting assets in an amount and for the purposes set forth in a regulation issued by the superintendent of financial services. Liquid assets must be maintained for the following reserve liabilities:\na. Principal and interest payments and payments for taxes and insurance for up to twelve months;\nb. Total estimated operating costs for up to six months as set by the superintendent;\nc. Repairs and replacements for up to twelve months; and\nd. In addition, the amount of liquid assets must meet any cash flow requirements and conditions as set forth in a regulation.\n2. The assets in support of reserve liabilities of subdivision one of this section shall meet quantitative and qualitative standards set forth in regulations issued by the superintendent.
New York Legal Code