§ 17-1903 — Contracts for construction of sewage treatment works

§ 17-1903. Contracts for construction of sewage treatment works.\n 1. As used in this section:\n a. "Sewage treatment works" means a facility for the purpose of\ntreating, neutralizing or stabilizing sewage, including treatment or\ndisposal plants, the necessary intercepting, outfall and outlet sewers,\npumping stations integral to such plants or sewers, equipment and\nfurnishings thereof and their appurtenances.\n b. "Construction" means the erection, building, acquisition,\nalteration, reconstruction, improvement or extension of sewage treatment\nworks; the inspection and supervision thereof; and the engineering,\narchitectural, legal, fiscal and economic investigations and studies,\nsurveys, designs, plans, working drawings, specifications, procedures,\nand other actions necessary thereto.\n c. "Eligible project" means a project for the construction of sewage\ntreatment works, (1) for which a permit has been issued pursuant to\nsection 17-0701 of this article, (2) which is, in the judgment of the\ncommissioner, in accord with applicable comprehensive studies and\nreports made pursuant to section 17-1901, if any, (3) which is, in the\njudgment of the commissioner, eligible for federal pollution abatement\nassistance, whether or not federal funds are then available therefor,\n(4) which conforms with applicable rules and regulations of the\ncommissioner, (5) which is, in the judgment of the commissioner,\nnecessary for the accomplishment of the state water pollution control\nprogram, and (6) either (a) the erection, building, acquisition,\nalteration, reconstruction, improvement or extension of which is\ncommenced or is to be commenced between the date on which this act\nbecomes a law and March 31, 1972, or (b) any portion of the erection,\nbuilding, acquisition, alteration, reconstruction, improvement or\nextension of which is undertaken between the date on which this act\nbecomes a law and March 31, 1972.\n d. "Municipality" means any county, city, town, village, district\ncorporation, county or town improvement district, or sewer authority now\nexisting in a city, the New York State Environmental Facilities\nCorporation acting pursuant to subdivision three of section twelve\nhundred eighty-five of the public authorities law, or any two or more of\nthe foregoing which are acting jointly in connection with an eligible\nproject.\n e. "Federal pollution abatement assistance" means funds available to a\nmunicipality, either directly or through allocation by the state, from\nthe federal government as grants for construction of sewage treatment\nworks, pursuant to section 6 of the Federal Water Pollution Control Act\nas enacted by section 1 of the Federal Water Pollution Control Act\namendments of 1956 and acts amendatory thereto.\n f. "Federal assistance" means funds available, other than by loan,\nfrom the federal government to a municipality, either directly or\nthrough allocation by the state, for construction of sewage treatment\nworks or which are used for such construction, pursuant to the Federal\nWater Pollution Control Act and acts amendatory thereto or pursuant to\nany other federal law or program.\n 2. For the purpose of discharging the state responsibility with\nrespect to the protection and promotion of the health of the inhabitants\nof the state by the provision of sewage treatment works, the\ncommissioner, in the name of the state, may enter into contracts with\nmunicipalities having power to construct, operate and maintain sewage\ntreatment works, and any such municipality may enter into a contract\nwith the commissioner, concerning eligible projects. Any such contract\nmay include such provisions as may be agreed upon by the parties\nthereto, and shall include, in substance, the following provisions:\n a. An estimate of the reasonable cost of the project as determined by\nthe commissioner.\n b. An agreement by the commissioner to pay to the municipality, during\nthe progress of construction of each phase of the project (said phases\nto be construction of interceptors, substructure, superstructure,\noutfalls or other similar major components of a project), subject to\nfinal computation and determination of the state grant upon completion\nof the entire project reflecting the actual eligible cost thereof, a\nportion of the cost of the project representing the part of the\nnon-municipal share of the cost of the project that is not paid by the\nfederal government, determined in the following manner:\n (1) An amount equal to thirty per cent of the actual cost of the\nproject, or an amount equal to thirty per cent of the estimated\nreasonable cost of the project, whichever is lower, provided, however,\nthat the state payment under this subparagraph shall be reduced by the\namount of any federal assistance received or to be received by the\nmunicipality which is in excess of sixty per cent of the cost of the\nproject, together with,\n (2) If necessary to limit the municipal share of the cost of the\nproject to forty per cent, an additional amount which when added to the\namount of federal assistance, if any, received or to be received by the\nmunicipality, equals thirty per cent of the actual cost of the project,\nor equals thirty per cent of the estimated reasonable cost of the\nproject, whichever is lower.\n c. An agreement by the municipality\n (1) To proceed expeditiously with, and complete, the project in\naccordance with plans approved pursuant to section 17-0701;\n (2) To commence operation of the sewage treatment works on completion\nof the project, and not to discontinue operation or dispose of the\nsewage treatment works without the approval of the commissioner;\n (3) to operate and maintain the sewage treatment works in accordance\nwith applicable provisions of this article, the state sanitary code and\nrules and regulations of the commissioner;\n (4) to apply for and make reasonable efforts to secure federal\nassistance for the project;\n (5) to secure the approval of the commissioner before applying for\nfederal pollution abatement assistance, in order to maximize the amounts\nof such assistance received or to be received for all projects in New\nYork state, including amounts for reimbursement of payments made by the\nstate pursuant to subparagraph (2) of paragraph b of this subdivision;\nand\n (6) to provide for the payment of the municipality's share of the cost\nof the project.\n d. A provision that, in the event that federal assistance which was\nnot included in the calculation of the state payment pursuant to\nparagraph b of this subdivision becomes available to the municipality,\nthe amount of the state payment shall be recalculated with the inclusion\nof such additional federal assistance and the municipality shall either\n(1) pay to the state the amount by which the state payment actually made\nexceeds the state payment determined by the recalculation or, (2) if\nsuch additional federal assistance has not been received by the\nmunicipality, authorize the state to receive and retain such amount from\nthe federal government.\n 3. The commissioner may adopt rules and regulations pursuant to\nsubdivision 2 of section 17-0303 governing the making and enforcing of\ncontracts pursuant to this section.\n 4. All contracts entered into pursuant to this section shall be\nsubject to approval by the state comptroller, and by the attorney\ngeneral as to form. All payments by the state pursuant to such contracts\nshall be made after audit by and upon the warrant of the comptroller on\nvouchers approved by the commissioner.\n 5. The commissioner shall prepare and file with the department an\nannual report on the scope and results of construction undertaken\npursuant to this section.\n 6. In connection with each contract concerning an eligible project the\ncommissioner shall keep adequate records of the amount of the payment by\nthe state pursuant to subparagraph (2) of paragraph b of subdivision 2\nof this section, and of the amount of federal assistance received by the\nmunicipality. Such records shall be retained by the commissioner and\nshall establish the basis for application for federal reimbursement of\nsuch payments made by the state. The commissioner is hereby authorized\nto make such applications in appropriate cases.\n 7. In the event that a project is an eligible project by reason of\nclause (b) of subparagraph (6) of paragraph c of subdivision 1 of this\nsection rather than by reason of clause (a) of such subparagraph, then\nthe estimated reasonable cost of the project determined pursuant to\nparagraph a of subdivision 2 of this section and the actual cost of the\nproject for the purpose of subparagraphs (1) and (2) of paragraph b of\nsuch subdivision shall be calculated only with respect to that portion\nof the erection, building, acquisition, alteration, reconstruction,\nimprovement or extension of the sewage treatment works which is\nundertaken after the date on which this act becomes a law.\n 8. The commissioner may advance funds to a municipality in accordance\nwith the following provisions:\n a. Prior to entering into a contract authorized by subdivision 2 of\nthis section, the commissioner may advance funds to a municipality, in\nan amount up to five per cent of the estimated reasonable cost of an\neligible project as determined by the commissioner, for the purpose of\nassisting the municipality in defraying expenses of an eligible project\nincurred in advance of construction. This advance shall be payable, upon\nthe warrant of the comptroller on a voucher approved by the\ncommissioner, after formal acceptance by the municipality of the federal\npollution abatement assistance offered pursuant to the provisions of the\nFederal Water Pollution Control Act and amendments thereto or at the\ndiscretion of the commissioner after state submission of the project to\nthe federal government and in the absence of a federal offer.\n b. The amount of the advance shall be deducted from the amount of the\nstate payment to be made to the municipality, pursuant to the agreement\nof the commissioner with the municipality, when construction of the\nentire project is one-half completed.\n c. The municipality shall initiate construction of the project within\nthe time specified in the approved project which, in any event, shall\nnot be later than two years after the date of such advance of funds. If\nconstruction is not initiated within such time, the amount of the\nadvance shall be repaid to the state. Whenever such municipality shall\nfail to make any such repayment to the state, upon request of the\ncommissioner, the state comptroller shall cause to be withheld from\nstate-collected, locally-shared taxes or state aid, whichever he shall\ndetermine and to which such municipality would otherwise be entitled, a\nsum sufficient to reimburse the state for the amount due and owing the\nstate.\n 9. To the extent that funds available pursuant to chapter 176 of the\nlaws of 1965 (Pure Waters Bond Act) are not needed to finance the state\nshare of projects, the construction of which was undertaken prior to\nApril 1, 1972, the commissioner is authorized to provide assistance to\nmunicipalities for the construction of "water quality improvement\nprojects" as defined in section 51-0303 of this chapter. The use of\nfunds as authorized by this subdivision will be governed by the\nprovisions of titles 1 and 3 of article 51 of this chapter, provided\nhowever, that subdivisions 1 through 8 of this section will continue to\napply to projects construction of which was undertaken prior to April 1,\n1972.\n