§ 970-N — Joint undertakings

§ 970-n. Joint undertakings. Two or more municipalities may in\ncombination jointly exercise the powers granted under this article\npursuant to either subdivision (a) or (b) of this section.\n (a) (i) The legislative bodies of two or more municipalities acting\nseparately may each by resolution designate the legislative body of one\nof the municipalities to act as agent for all of the interested\nmunicipalities.\n (ii) If one agent is designated pursuant to this subdivision, it shall\nobtain the report and recommendation of the planning agency of each\nmunicipality on the redevelopment plan and its conformity to the master\nplan of each municipality before presenting the redevelopment plan to\nthe legislative body of each municipality. In order for a preliminary\nplan to be adopted or for a redevelopment plan to be adopted or amended\napproval must be obtained by resolution of the legislative body of each\nmunicipality acting separately. The legislative body which has been\ndesignated as agent, the municipality which such legislative body\nrepresents and the planning agency of such municipality shall, unless\notherwise provided by this section, exercise all other powers, duties\nand responsibilities for the purpose of redevelopment pursuant to this\narticle in the same manner as if such municipality were acting alone.\n (iii) If two or more municipalities jointly exercise the powers\ngranted under this subdivision and a redevelopment plan as adopted\nprovides for the allocation of real property tax revenues pursuant to\nsection nine hundred seventy-o of this article the real property taxes\nof each municipality shall be allocated pursuant to such section.\n (iv) If two or more municipalities jointly exercise the powers granted\nunder this subdivision and the redevelopment plan as adopted provides\nfor the issuance of indebtedness pursuant to section nine hundred\nseventy-o of this article, such indebtedness shall either be issued\njointly by the municipalities and the resolution authorizing the\nissuance of such indebtedness must be approved by the legislative body\nof each municipality acting separately or shall be issued by resolution\nof the designated agent on behalf of the municipality it represents and,\nby resolution of its legislative body, each municipality shall\nirrevocably pledge the revenues allocated pursuant to section nine\nhundred seventy-p of this article to the repayment of such indebtedness\nand any interest thereon.\n (v) The joint exercise of powers authorized by this subdivision shall\nbe permitted only for the purpose of redevelopment of an area located\nwholly within each municipality and within one or more school districts.\n (b) (i) The legislature may by special act establish on behalf of and\nfor the benefit of more than one municipality, a municipal redevelopment\nauthority or empower an existing public corporation to carry out the\npurposes and provisions of this article. Upon the establishment of a\nmunicipal redevelopment authority the legislative body of each\nmunicipality shall file within one year after the effective date of such\nspecial act, in the office of the secretary of state, a certificate\nsetting forth (1) the date of passage of such special act; (2) the name\nof the authority; and (3) the name or names of the member or members\nappointed by such governing body and their terms of office. Each such\ncertificate shall be accompanied by a copy of the intermunicipal\nagreement under which membership on the authority is apportioned among\nthe sponsoring municipalities and a copy of the local law approving the\nsame. Such authority shall be deemed to be and shall be in existence\nupon the satisfactory filing and receipt of the certificate or\ncertificates required by this paragraph and shall thereafter be\nperpetual in duration.\n (ii) A municipal redevelopment authority shall be a corporate\ngovernmental agency constituting a public benefit corporation. Except as\notherwise provided by special act of the legislature, an authority shall\nconsist of not less than five nor more than nine members. Membership\nshall be apportioned among the municipalities and participating school\ndistricts, and the manner of selection of a chairman determined by an\nagreement approved by local law by each such municipality, and by\nresolution of the board of education of each school district. Members\nshall serve at the pleasure of the appointing authority, and each member\nshall continue to hold office until his successor is appointed and has\nqualified. The governing body of each municipality and school district\nshall file with the secretary of state a certificate of appointment or\nreappointment of any member appointed or reappointed by it. Members\nshall receive no compensation for their services but shall be entitled\nto reimbursement of the necessary expenses, including traveling\nexpenses, incurred in the discharge of their duties. No action shall be\ntaken by an authority except pursuant to the favorable vote of a\nmajority of the members then in office. Any one or more of the members\nof an authority may be an official or an employee of such municipality.\nIn the event that an official or an employee of such municipality shall\nbe appointed as a member of the agency, acceptance or retention of such\nappointment shall not be deemed a forfeiture of his municipal office or\nemployment, or incompatible therewith or affect his tenure or\ncompensation in any way. The term of office of a member of an authority\nwho is an official or an employee of such municipality when appointed as\na member thereof by special act of the legislature creating the\nauthority shall terminate at the expiration of the term of his municipal\noffice. Upon the creation of an authority, from time to time the\ngoverning body of a municipality or a school district, may, by\nresolution, appropriate sums of money to defray the expenses of the\nauthority.\n (iii) Unless otherwise provided by this subdivision or by the special\nact of the legislature establishing a municipal redevelopment authority\nor empowering an existing public corporation to carry out the purposes\nand provisions of this article, such authority or public corporation\nshall have the powers, duties and responsibilities granted a\nmunicipality and its legislative body pursuant to sections nine hundred\nseventy-d through nine hundred seventy-m of this article, as well as the\nauthority to receive the taxes of each municipality and school district\nallocated and paid pursuant to section nine hundred seventy-p of this\narticle. Such authority or public corporation shall have the power to\ndesignate survey areas and select project areas as provided by sections\nnine hundred seventy-d and nine hundred seventy-e of this article. Such\nauthority or public corporation shall obtain the report and\nrecommendation of the planning agency of each municipality or school\ndistrict on the redevelopment plan and its conformity to the master plan\nof each municipality and school district before presenting the\nredevelopment plan to the legislative body of each municipality or\nschool district. In order for a preliminary plan to be adopted or for a\nredevelopment plan to be adopted or amended approval must be obtained by\nresolution of the legislative body of each municipality and the board of\neducation of each school district acting separately.\n (iv) The authority or public corporation shall have the power to apply\nfor and to accept any gifts or grants or loans of funds or property or\nfinancial or other aid in any form from the federal government or any\nagency or instrumentality thereof, or from the state or any agency or\ninstrumentality thereof or from any other source, for any or all of the\npurposes specified in this article, and to comply, subject to the\nprovisions of this article, with the terms and conditions thereof.\n (v) (1) An authority or public corporation shall have the powers and\nduties granted municipalities pursuant to section nine hundred seventy-o\nof this article to issue tax increment bonds and tax increment bond\nanticipation notes. Such bonds and notes shall be bonds and notes of the\nauthority or public corporation and neither the state nor any\nmunicipality shall be liable on such bonds and notes and such bonds and\nnotes shall not be a debt of the state or of any municipality.\n (2) The bonds and notes of an authority or public corporation are\nhereby made securities in which all public officials and bodies of the\nstate and all municipalities, all insurance companies and associations\nand other persons carrying on an insurance business, all banks, bankers,\ntrust companies, savings banks and savings associations, including\nsavings and loan associations, investment companies and other persons\ncarrying on a banking business, and administrators, guardians,\nexecutors, trustees and other fiduciaries and all other persons\nwhatsoever, who are now or may hereafter be authorized to invest in\nbonds or other obligations of the state, may properly and legally invest\nfunds including capital in their control or belonging to them. The bonds\nand notes are also hereby made securities which may be deposited with\nand may be received by all public officers and bodies of this state and\nall municipalities for any purposes for which the deposit of bonds or\nother obligations of this state is now or hereafter may be authorized.\n (3) The state does hereby pledge to and agree with the holders of any\nbonds and notes issued by an authority or public corporation pursuant to\nthis article that the state will not alter or limit the rights hereby\nvested in the authority to fulfill the terms of any agreement made with\nor for the benefit of such holders, or in any way impair the rights and\nremedies of such holders, until the bonds or notes, together with the\ninterest thereon, with interest on any unpaid installments of interest,\nand all costs and expenses in connection with any action or proceeding\nby or on behalf of such holders, are fully met and discharged. An\nauthority or public corporation is authorized to include this pledge and\nagreement of the state in any agreement with such holders.\n (vi) Any bonds or notes issued pursuant to this article and the\ninterest thereon as well as the revenues, moneys and all other property\nand activities of an authority or public corporation shall be exempt\nfrom taxation for municipal and state purposes, except for transfer and\nestate taxes. The state hereby covenants with the purchasers and with\nall subsequent holders and transferees of bonds issued by an authority\nor public corporation pursuant to this paragraph, in consideration of\nthe acceptance of and payment for the bonds, that the bonds of the\nauthority or public corporation issued pursuant to this paragraph and\nthe income therefrom and all revenues, moneys, and other property\npledged to secure the payment of such bonds shall at all times be free\nfrom such taxes, except for transfer and estate taxes.\n (vii) All moneys of an authority from whatever source derived shall be\npaid to the treasurer of an authority and shall be deposited forthwith\nin a bank or banks in the state designated by the authority. The moneys\nin such accounts shall be paid out on check of the treasurer upon\nrequisition by the chairman of the authority or of such other officer or\nofficers as the authority may authorize to make such requisitions. All\ndeposits of such moneys shall be secured by obligations of or guaranteed\nby the United States or of the state of a market value equal at all\ntimes to the amount on deposit and all banks and trust companies are\nauthorized to give such security for such deposits. An authority shall\nhave power, notwithstanding the provisions of this section, to contract\nwith the holders of any bonds as to the custody, collection, security,\ninvestment and payment of any moneys of the authority or any moneys held\nin trust or otherwise for the payment of bonds or in any way to secure\nbonds. Moneys held in trust or otherwise for the payment of bonds or in\nany way to secure bonds and deposits of such moneys may be secured in\nthe same manner as moneys of an authority and all banks and trust\ncompanies are authorized to give such security for such deposits.\n (viii) No action or proceeding shall be prosecuted or maintained\nagainst an authority for personal injury or damage to real or personal\nproperty alleged to have been sustained by reason of the negligence or\nwrongful act of the authority or any member, officer, agent or employee\nthereof, unless (1) notice of claim shall have been made and served upon\nthe authority or the secretary of state within the time limit\nestablished by and in compliance with section fifty-e of this chapter,\n(2) it shall appear by and as an allegation in the complaint or moving\npapers that at least thirty days have elapsed since the service of such\nnotice and that the adjustment or payment thereof has been neglected or\nrefused, and (3) the action or proceeding shall be commenced within one\nyear and ninety days after the cause of action shall have accrued.\n