N.Y. Comp. Codes R. & Regs. tit. 3 § 21.2
Each institution subject to this Part which is not a covered institution shall maintain reserves against deposits and their equivalent (as defined or interpreted by the superintendent, taking into account Federal laws and regulations applicable to reserves of covered institutions) in such amounts as would be required of it if it were a covered institution without regard to any transitional adjustments permitted under the Monetary Control Act, except that the amount of reserves required to be held in respect of net demand deposits (or net transaction accounts, after November 13, 1980) pursuant to this Part shall be one per centum less of such deposits than the amount required to be held by covered institutions.
N.Y. Comp. Codes R. & Regs. Tit. 3 § 21.2