§ 101.00 Giving or loaning of municipal credit and contracting\nindebtedness other than for municipal purposes prohibited.
a.No\nmunicipality, school district or district corporation shall:\n 1. Give or loan its credit to or in aid of any individual, or public\nor private corporation or association, or private undertaking, or\n 2. Contract indebtedness except for the purposes of such municipality,\nschool district or district corporation.\nNotwithstanding the foregoing provisions of this paragraph:\n 1. If any municipality or any county or town on behalf of an\nimprovement district is authorized by a general law or by a special law\n(a) to provide a supply of water, in excess of its own needs, for sale\nto any other public corporation or improvement district, (b) to provide\nfaciliti
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§ 101.00 Giving or loaning of municipal credit and contracting\nindebtedness other than for municipal purposes prohibited. a. No\nmunicipality, school district or district corporation shall:\n 1. Give or loan its credit to or in aid of any individual, or public\nor private corporation or association, or private undertaking, or\n 2. Contract indebtedness except for the purposes of such municipality,\nschool district or district corporation.\nNotwithstanding the foregoing provisions of this paragraph:\n 1. If any municipality or any county or town on behalf of an\nimprovement district is authorized by a general law or by a special law\n(a) to provide a supply of water, in excess of its own needs, for sale\nto any other public corporation or improvement district, (b) to provide\nfacilities, in excess of its own needs, for the conveyance, treatment\nand disposal of sewage, from any other public corporation or improvement\ndistrict, or (c) to provide facilities, in excess of its own needs, for\ndrainage purposes from any other public corporation or improvement\ndistrict, the indebtedness contracted by the municipality for such an\nobject or purpose shall be deemed to be for a county, city, town or\nvillage purpose, as the case may be.\n 2. If any two or more municipalities and county and town improvement\ndistricts are authorized by a general law or by a special law (a) to\nprovide for a common supply of water, (b) to provide for the common\nconveyance, treatment and disposal of sewage or (c) to provide for a\ncommon drainage system, the joint indebtedness, or the several\nindebtedness for a specific proportion of the cost, contracted by the\nmunicipality for such an object or purpose shall be deemed to be for a\ncounty, city, town or village purpose, as the case may be.\n 3. If any two or more municipalities and school districts and county\nand town improvement districts are authorized by a general law or by a\nspecial law to join together to provide any municipal facility, service,\nactivity or undertaking which each of such units has the power to\nprovide separately, the joint indebtedness, or the several indebtedness\nfor a specific proportion of the cost, contracted by the municipality or\nschool district for such an object or purpose shall be deemed to be for\ncounty, city, town, village or school district purpose, as the case may\nbe.\n b. This section shall not be deemed to prevent:\n 1. A county from contracting indebtedness for the following purposes:\n (a) Advancing to a city, town or school district, pursuant to law, the\namount of unpaid taxes.\n (b) Financing tax refunds required to be made by section seven hundred\ntwenty-six of the real property tax law.\n (c) Paying to the state the state tax levied against such county.\n 2. A town from contracting indebtedness for the following purposes:\n (a) Advancing to a county or school district, pursuant to law, the\namount of unpaid taxes.\n (b) Paying to a county such town's share of the state tax levied\nagainst such county if such town is required by law to levy and collect\nsuch tax.\n 3. A city from contracting indebtedness for the following purposes:\n (a) Advancing to a county or school district, pursuant to law, the\namount of unpaid taxes.\n (b) Paying to a county such city's share of the state tax levied\nagainst such county if such city is required by law to levy and collect\nsuch tax.\n 4. A municipality from making such provision for the aid, care and\nsupport of the needy, including the aid, care and support of neglected\nand dependent children and of the needy sick, as may be authorized by\nlaw.\n 5. A county, city or town from providing, pursuant to law, for the\ncare, support, maintenance and secular education of inmates of orphan\nasylums, homes for dependent children or incarcerated individuals in\ncorrectional institutions and of children placed in family homes by\nauthorized agencies, whether under public or private control.\n 6. A municipality or school district, when authorized by law, from\nusing its credit for\n (a) The examination or inspection of any school or institution of\nlearning wholly or in part under the control or direction of any\nreligious denomination, or in which any denominational tenet or doctrine\nis taught, or\n (b) The transportation of children to and from any school or\ninstitution of learning.\n 7. A city, town or village from giving or loaning its credit when\nauthorized to do so by the legislature pursuant to the provisions of\narticle eighteen of the state constitution.\n 8. A county, city or town from increasing, pursuant to law, pension\nbenefits payable to retired members of a police department or fire\ndepartment or to widows, dependent children or dependent parents of\nmembers or retired members of a police department or fire department.\n 9. A municipality, school district or district corporation from\nincreasing, pursuant to law, the amount of pension of any member of a\nretirement system of the state, or of a subdivision of the state.\n 10. A municipality, school district or district corporation from\nproviding, pursuant to law, for the protection by insurance or otherwise\nagainst the hazards of unemployment, sickness and old age.\n 11. A municipality or school district from providing, pursuant to law,\nfor the education and support of the blind, the deaf, the mute, the\nphysically handicapped and juvenile delinquents or for health and\nwelfare services for all children.\n 12. A city, town or village from expending or loaning its money,\nproperty or credit as consideration for the effectuation of all or part\nof the public purpose provided for in sections eleven-a and thirty-six-a\nof the private housing finance law.\n 13. A municipality from making loans of money or credit to or in aid\nof any eligible corporation or association for the purpose of providing\nhospital or other facilities for the prevention, diagnosis or treatment\nof human disease, pain, injury, disability, deformity or physical\ncondition, and for facilities incidental or appurtenant thereto, as may\nbe authorized by law pursuant to section seven of article seventeen of\nthe state constitution.\n