§ 1048-J — Imposition and disposition of water fees, rates, rents or charges

New York § 1048-J

• Jurisdiction: New York
• Law PBA: Public Authorities
• Title 2-B: Buffalo Municipal Water Finance Authority
• Art. 5: Public Utility Authorities

Text

§ 1048-j. Imposition and disposition of water fees, rates, rents or\ncharges. 1. The water board shall establish, fix and revise, from time\nto time, fees, rates, rents or other charges for the use of, or services\nfurnished, rendered or made available by, the water system owned by the\nwater board pursuant to this title in such amount at least sufficient at\nall times so as to provide funds in an amount sufficient together with\nother revenues available to the board, if any, (i) to pay to the\nauthority, in accordance with any agreement with the authority, an\namount sufficient for the purpose of paying the principal of and the\ninterest on the outstanding notes or bonds of the authority as the same\nshall become due and payable and maintaining or funding a capital or\ndebt service reserve fund therefor and, to the extent requested by the\ncity in, or annually pursuant to the agreement, to pay to the city, in\naccordance with the agreement, an amount sufficient for the purpose of\npaying the principal of and interest on general obligation bonds of the\ncity issued for or allocable to the water system as the same shall\nbecome due and payable, and to maintain or fund reserves therefor, (ii)\nto pay to the city, in accordance with the agreement, an amount\nsufficient for the purpose of paying the costs of administering,\nmaintaining, repairing and operating and the cost of constructing\ncapital improvements to the water system, (iii) to pay to the city in\naccordance with the agreements entered into pursuant to sections one\nthousand forty-eight-h and one thousand forty-eight-i of this title an\namount sufficient for the purpose of paying liabilities issued for or\nallocable to the water system as the same shall become due and payable,\n(iv) to meet any requirements of any agreement including requirements\nrelating to the establishment of reserves for renewal and replacement\nand for uncollected charges and covenants respecting rates, (v) to pay\nall other reasonable and necessary expenses of the authority and the\nwater board in relation thereto, and (vi) to the extent requested by the\ncity in or pursuant to the agreement, to pay or provide for such other\npurposes or projects as such city considers appropriate and in the\npublic interest. Any surplus of funds remaining after such payments have\nbeen made shall be returned to the city for deposit in the general fund.\n 2. There is hereby established in the custody of the water board a\nspecial fund to be known as the local water fund. Such fund shall\nconsist of the revenues derived from the fees, rates, rents and service\ncharges established, charged and collected pursuant to this title and\nany other income earned or moneys received by the water board. Revenues\nin the local water fund shall be kept separate and shall not be\ncommingled with any other moneys in the custody of the water board. All\nmoneys, properties and assets acquired by the water board, whether as\nrevenues or otherwise, shall be held by it in trust for the purposes of\ncarrying out its powers and duties, and shall be used and reused in\naccordance with the purposes and provisions of this article.\n The water board shall deposit promptly, to the credit of the local\nwater fund, revenues collected under this article in a bank, banking\nhouse or trust company as may be designated in or pursuant to the\nagreement.\n 3. No such fee, rate, rent or other charge shall be established, fixed\nor revised unless and until the water board has held a public hearing at\nwhich the users of the water system, the owners of property served or to\nbe served and others interested, have had an opportunity to be heard\nconcerning the same. Notice of such public hearing shall be published by\nthe water board at least twenty days before the date set therefor, in at\nleast one newspaper of general circulation in the areas served by the\nwater system. Such notice shall set forth the date, time and place of\nsuch hearing and shall include a brief description of the matters to be\nconsidered at such hearing. A copy of the notice shall be filed in the\noffice of the clerk of the city and shall be available for inspection by\nthe public. At all such hearings, any users of the water system, owners\nof property served or to be served and any other interested persons\nshall have an opportunity to be heard concerning the matters under\nconsideration. Any decision of the water board on matters considered at\nsuch public hearing shall be in writing and be made available in the\noffice of the water board for public inspection during regular office\nhours. Such decision shall be published in at least one newspaper of\ngeneral circulation in the areas served by the water system within\nthirty days after such decision is made. The fees, rates, rents or other\ncharges so established for any class of users of property served shall\nbe extended to cover any additional premises thereafter served which are\nwithin the same class, without the necessity of a hearing thereon.\n 4. The fees, rates, rents or other charges established, fixed and\nrevised from time to time by the water board shall be collected by the\nwater board at such times and in such manner as may be determined by the\nrules and regulations adopted by the water board consistent with the\nprovisions of this title.\n 5. Such fees, rates, rents or other charges, if not paid when due,\nshall constitute a lien upon the premises served and a charge against\nthe owners thereof, which lien and charge shall bear interest at the\nsame rate as would unpaid taxes of the city. Such lien shall take\nprecedence over all other liens or encumbrances, except taxes, and may\nbe foreclosed against the lot or building served in the same manner as a\nlien for such taxes. The amount which remains due and unpaid for sixty\ndays may, with interest thereon at the same rate as unpaid city taxes\nand with reasonable attorneys' fees, be recovered by the water board in\na civil action in the name of the water board against such owners. The\ncity, and any state agency shall be subject to the same fees, rates,\nrents or other charges under the same conditions as other users of such\nwater system. Any agreement for the supply of water services between the\ncity or an agency thereof and any other municipality or water supply\nsystem, or any administrative determination by a state agency, or any\nother arrangement in this regard, in effect at the time the water board\nshall be established, shall remain in full force and effect and be\nbinding upon the water board as if it were a party to such agreement,\ndetermination or other arrangement. All rights, powers, duties,\nobligations and functions provided by law with respect to the fixing of\ncharges or rates for the supply of water services to users outside the\ncity, including but not limited to those set forth in article eight of\nthe environmental conservation law, shall be deemed to apply, as\nappropriate, to the water board established pursuant to this title. In\naddition to any other lawful enforcement methods and pursuant to rules\nand regulations of the water board promulgated pursuant to this title,\nthe payment of fees, rates, rents or other charges for water service to\nany premises may be enforced by discontinuing the water service to such\npremises provided that such discontinuance or disconnection of any\nsupply of water shall not be carried out except in the manner and upon\nthe notice as is required of a water-works corporation pursuant to\nsubdivisions three-a, three-b and three-c of section eighty-nine-b and\nsection one hundred sixteen of the public service law.\n 6. The water board shall pay to the authority such amounts at such\ntimes and in such manner as may be provided in the agreement by and\namong the authority, the water board and the city consistent with the\npriorities set forth in such agreement. There is hereby created a lien,\nby this title made a statutory lien within the meaning of the uniform\ncommercial code and any other state or federal law, upon the gross\nrevenues of the water board, in favor of the payment of all amounts due\npursuant to such agreement and in the order and priority set forth\ntherein and which lien shall be a first lien upon such gross revenues.\nThe gross revenues so subject to such statutory lien shall be and remain\nsubject to such statutory lien until the payment in full of each such\nitem in accordance with such priority. Said statutory lien shall not be\nconstrued to give any holder or owner of any bond of the authority power\nto compel the sale of any water system.\n 7. If there be any default by the water board in the making of the\npayments to the authority required under this section, as a result of\nthe failure by the water board to impose sufficient fees, rates, rents\nor other charges, the authority may petition for the appointment by any\ncourt having jurisdiction in any proper action of a receiver to\nadminister on behalf of the water board, under the direction of said\ncourt, the affairs of the water board in order to achieve system\nrevenues at least sufficient to make such payments; and by and with the\napproval of said court, to establish, fix and revise, from time to time,\nfees, rates, rents or other charges at least sufficient therefor in\nconformity with this title, and the resolution or trust indenture of the\nauthority providing for the issuance of its bonds and in accordance with\nsuch orders as the court shall make.\n 8. The water board shall prepare and transmit to the city on or before\nthe first day of December in each year a list of those persons or\nproperty owners within such city who are in arrears in the payment of\nfees, rates, rents or other charges for a period of sixty days or more\nafter the last day fixed for payment thereof without penalty. The list\nshall contain a brief description of the properties for which the\nservices were provided, the names of the persons liable to pay for the\nsame and the amounts chargeable to each, including penalties and\ninterest computed to the next succeeding December thirty-first. The city\nshall levy such sums against the properties liable and shall state the\namount thereof in a separate column in the annual tax rolls of such city\nunder the name of "delinquent water charges" as may be appropriate and\nas may be directed by the water board. Such amounts, as and when\ncollected by the commissioner of administration and finance of the city,\nshall be paid over to the water board. All of the provisions of the tax\nlaws of the state covering the enforcement and collection of unpaid\ntaxes of the city shall apply to the collection of such unpaid fees,\nrates, rents or other charges.\n 9. Neither the public service commission, nor any city or state\nagency, shall have any jurisdiction over the water board or authority or\nany power over the regulation of the fees, rates, rents or other charges\nestablished, fixed or revised by the water board except as provided by\nlaw with respect to the supply of water services to users outside the\ncity.\n