Utica Water-Works Co. v. City of Utica

38 N.Y. Sup. Ct. 426
CourtNew York Supreme Court
DecidedJanuary 15, 1884
StatusPublished

This text of 38 N.Y. Sup. Ct. 426 (Utica Water-Works Co. v. City of Utica) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Utica Water-Works Co. v. City of Utica, 38 N.Y. Sup. Ct. 426 (N.Y. Super. Ct. 1884).

Opinion

Smith, P. J.:

This action was brought to recover certain sums of money claimed to be due upon a contract alleged to have been executed between the parties, whereby the plaintiff agreed to furnish water from its works to the defendant for a compensation in money, to be paid therefor as specified in the contract. The contract purported to have been made in pursuance of chapter 393 of the Laws of 1861, and the first position taken by the appellant’s counsel is that the contract is void for the reason that the act referred to violates the provision of section 16 of the third article of the Constitution of this State, that no private or local bill shall embrace more than one subject, and that shall be expressed in its title. The title of the act is “An act to authorize the Utica Water-Works Company to increase its capital' stock and to contract with the common council of the city of Utica for a supply of water in said city for the extinguishment of fires.” The first section of the act authorizes the making of such contract, and the second section provides that the company may increase its capital stock to a sum not exceeding $200,000. By the act under which it was incorporated (Laws 1848, chap. 154), its capital was limited to $100,000. We think that the act dealt with but one main subject, to wit, the giving of authority to the two corporate bodies therein named to enter into a contract for the purpose specified in the title, and that the power given to the water-works company to increase its capital stock, was simply a mode provided to enable it to raise the [429]*429money that it might need to perform the contract that it might enter into with the city for the purpose aforesaid. And such was found to be the object of the provision by the trial judge. As that-was a mere incident to the main subject, the act embraced but one subject within the meaning of the constitutional provision referred to, and that was expressed in its title. It has been held frequently that where the title of a local or private act expresses a general purpose or object, all matters fairly and reasonably connected with it, and all measures which will or may facilitate its accomplishment, are proper to be incorporated in the act, and are germane to its title. (The People ex rel. City of Rochester v. Briggs, 50 N. Y., 553, and cases there cited by Church, Ch. J., pp. 563 to 565.)

Next it is contended that the contract is not authorized by the provisions of the act, and is ultra vires. The argument under this head is, that the act only authorized an unconditional contract on the part of the company to supply water for the extinguishment of fires, for a fixed annual sum to be determined by the contract itself, and that inasmuch as the agreement of the company to furnish water is conditioned upon its ability to raise the money by a day named to make the improvement; the city is required to furnish hydrants in order to use the water; and the price to be paid by the city is not fixed, but is fluctuating; the contract is unauthorized.

The contract was made on the 19th of May, 1868. By its terms the obligation of the company to perform was made dependent upon its ability, on or before the fifteenth day of November thereafter, by a sale of new stock, or otherwise, to raise sufficient money to complete the works mentioned in the contract. That provision, instead of being unauthorized by the act, was impliedly warranted by the power given to the company to increase its stock for the obvious purpose of enabling it to perform its contract. And as the condition was in fact performed by the day named, and the contract was thereafter recognized as binding and was acted under by both parties, the present attitude of the parties towards each other is the same, as if the condition in question had not been inserted in the contract.

The provision that the city was to furnish the hydrants which it might require for use in extinguishing fires, and pay for putting them in, was not a departure from the pirrpose of the act. It was [430]*430proper that the city should furnish hydrants, in order to have such ■as would fit and work properly with their -hose and fire apparatus. By the charter of the city the council have general power to provide necessary “apparatus and means” for the prevention and extinguishment of fires. (Laws 1862, chap.' 18, § 41, sub. 3.)

The provisions of the contract in respect to compensation were, that for furnishing water sufficient for the then settled part of the ■city shown on a map referred to in the contract, the company was to have $10,000 per annum, and one-lialf of its taxes paid in excess -of $1,000 dollars, or if the works for supplying that amount of wafer should cost less than $125,000, the charge was to be seven per cent on the cost, in place of $10,000 per annum. And if the -city should want a greater capacity for water, and should order an •extension of pipes beyond the territory shown on the map, it was to pay seven per cent on the cost of such additional works. These provisions are explained by the fact that at the time of the passage •of the law and the making of the contract, the water company had thirteen miles of water pipe laid in thickly settled streets of the ■city, and the built up territory of the city had so extended that in the judgment of the council ten miles more of pipes were then required for the protection of the city against fires. There was also a large area of territory within the city limits laid out into lots and ■streets, but not then settled or built up, and the contract was so ■drawn as to provide immediately for the settled part of the city which then needed protection, and also to provide for a future ■extension of pipes when it should be needed. The arrangement was a beneficial one for the city and was within the power conferred ■by the act. 'The contract furnished a mode of computation by which the sum to be paid annually by the city could be ascertained. Id cert-wm est, quod cerium reddi fotest.

It is insisted by the appellant’s counsel that the contract, violates ■section 69 of the charter of the city of Utica, which provides that the council shall contract no debt on the part of the city, excepting as therein otherwise provided, which shall not be payable within the fiscal year in which it is contracted, and which cannot be discharged from the income of such year. The position is not tenable. Under the contact the compensation for each year’s service of the company in furnishing water is to be paid for in that [431]*431year. It is true tbe obligation created by tbe contract is continuing— that is, the city will be obliged to pay annually for water furnished by the company so long as the company continues to furnish it and the city uses it, but the liability will not ripen into a debt, except from year to year, and each year’s indebtedness will be only for the water furnished in that year. Besides, the act authorizing the city to contract being in pari materia with the ■charter, the two are to be read together, and the debt created by the contract, if obnoxious to the general provisions of section 69, is saved by the exceptions therein expressed.

The appellant’s counsel contends that the city has no power to remit taxes to any person. The effect of the contract is not to relieve the company from the payment of taxes, in whole or in part at the expense of other taxpayers, but it is to adopt the amount of •taxes paid by the company as a partial measure of compensation for the water supplied by it.

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Related

People Ex Rel. City of Rochester v. Briggs
50 N.Y. 553 (New York Court of Appeals, 1872)

Cite This Page — Counsel Stack

Bluebook (online)
38 N.Y. Sup. Ct. 426, Counsel Stack Legal Research, https://law.counselstack.com/opinion/utica-water-works-co-v-city-of-utica-nysupct-1884.