§ 1096 — Powers of the authority

§ 1096. Powers of the authority. The authority shall have power:\n 1. To sue and be sued;\n 2. To have a seal and alter the same at pleasure;\n 3. To acquire, in the name of the authority, lease, hold and dispose\nof personal property or any interest therein for its corporate purposes,\nincluding the power to purchase prospective or tentative awards in\nconnection with the exercise of the power of condemnation hereinafter\ngranted;\n 4. To purchase or lease, in the name of the authority, any water\nsupply system, water distribution system, including plants, works,\ninstrumentalities or parts thereof and appurtenances thereto, lands,\neasements, rights in land and water rights, rights-of-way, contract\nrights, franchises, approaches, connections, dams, reservoirs, water\nmains and pipe lines, pumping stations and equipment, or any other\nproperty incidental to and included in such system or part thereof, and\nany improvements, extensions, and betterments, situated within the\ncounty, or in Genesee county, or in the town or village of Victor, the\nvillage of Bloomfield and the towns of East Bloomfield, Canadice,\nRichmond and West Bloomfield in Ontario county, or in the village of\nHolley and the towns of Clarendon and Kendall in Orleans county for the\npurpose of supplying water for domestic, commercial, and public purposes\nat retail to individual consumers within the county of Monroe or in the\nmanner provided by subdivision seven of this section; and as a means of\nso acquiring for such purposes, and subject to the approval of the\npublic service commission, the authority may purchase all of the stock\nof any existing privately owned water corporation or company, and\nthereafter, within a reasonable time, such water corporation or company\nshall be dissolved;\n 5. To condemn in the name of the authority in the counties of Monroe\nand Genesee, or in any other county or municipality specifically\nenumerated in the first sentence of subdivision six of this section, or\nin the name of the county in the case of any water facilities to be\nowned and financed by the county pursuant to subdivision sixteen-b of\nthis section, except where located in any other county or municipality,\nany water supply system, water distribution system, including plants,\nworks, instrumentalities, or parts thereof and appurtenances thereto,\nlands, easements, rights in land and water rights, rights-of-way,\ncontract rights, franchises, approaches, connections, dams, reservoirs,\nwater mains and pipe lines, pumping stations and equipment, or any other\nproperty incidental to and included in such system or part thereof, and\nany improvements, extensions, and betterments for the purpose of\nsupplying water for domestic, commercial, and public purposes at retail\nto individual consumers within the counties of Monroe and Genesee or in\nany other county or municipality specifically enumerated in the first\nsentence of subdivision six of this section, or at wholesale in the\nmanner provided by subdivision seven of this section. The authority\nshall exercise the power of condemnation hereby granted in the manner\nprovided by the eminent domain procedure law or any such proceeding to\ncondemn may be instituted by the authority before a justice of the\nsupreme court or an official referee thereof. In the exercise of such\npower of condemnation, the property being condemned shall be deemed,\nwhen so determined by the authority, to be for a public use superior to\nthe public use in the hands of any other person, association, or\ncorporation; provided, however, that the authority shall have no power\nto condemn property the legal title to which is vested in a municipality\nor in a private corporation owning such property primarily for its own\nuse, unless such municipality or private corporation shall consent\nthereto;\n 6. To construct and develop any water supply system, water\ndistribution system, including plants, works, instrumentalities, or\nparts thereof, and appurtenances thereto, dams, reservoirs, water mains,\npipe lines, pumping stations and equipment, or any other property\nincidental to or included in such system or part thereof within the\ncounty of Monroe, or in Genesee county, or in the town or village of\nVictor, the village of Bloomfield and the towns of East Bloomfield,\nCanadice, Richmond and West Bloomfield in Ontario county, or in the\nvillage of Holley and the towns of Clarendon and Kendall in Orleans\ncounty. To acquire, by condemnation, in the name of the authority in the\ncounties of Monroe and Genesee, or in any other county or municipality\nspecifically enumerated in the first sentence of this subdivision, or in\nthe name of the county of Monroe in the case of any water facilities to\nbe owned and financed by such county pursuant to subdivision sixteen-b\nof this section, lands, easements, rights in land and water rights, and\nrights-of-way within the counties of Monroe and Genesee, or in any other\ncounty or municipality specifically enumerated in the first sentence of\nthis subdivision, in the manner provided by this title; or to purchase\nor lease lands, easements, rights in land and water rights, and\nrights-of-way in connection therewith within the county of Monroe or\nwithin Genesee county, or in any other county or municipality\nspecifically enumerated in the first sentence of this subdivision; and\nto own and operate, maintain, repair, improve, reconstruct, enlarge, and\nextend, subject to the provisions of this title, any of its properties\nacquired or constructed under this title, all of which, together with\nthe acquisition of such properties, are hereby declared to be public\npurposes;\n 6-a. The authority shall not exercise any of the powers granted in\nsubdivisions four and six of this section with respect to the\nacquisition, purchase, leasing, construction, or development of property\noutside of the county without first having obtained the prior approval\nof such purchase, leasing, acquisition, construction, or development of\nsuch property outside of the county by resolution of the legislative\nbody of the municipality wherein the affected property outside of the\ncounty is located. Notwithstanding any inconsistent provision of any\ngeneral, special, or local law, ordinance, resolution, or charter, any\npublic corporation or improvement district thereof may, by a majority\nvote of its governing body, give, grant, sell, convey, lend, license the\nuse of, or lease to the authority any property or facilities, including\nany water supply system, water distribution system, including plants,\nworks, instrumentalities or parts thereof and appurtenances thereto,\nlands, easements, rights in land and water rights, rights-of-way,\ncontract rights, franchises, approaches, connections, dams, reservoirs,\nwater mains and pipe lines, pumping stations and equipment, or any other\nproperty incidental to and included in such system or part thereof, and\nany improvements, extensions, and betterments for the purpose of\nsupplying water for domestic, commercial, industrial and public\npurposes, which property or facilities are useful in connection with the\nexercise by the authority of its powers under this title. Any such gift,\ngrant, sale, conveyance, loan, license, or lease shall be upon such\nterms and conditions, and for such term or terms of years, subject to\nthe rights of the holders of any bonds, as the authority and such public\ncorporation or improvement district thereof may agree. Any such gift,\ngrant, sale, conveyance, loan, license, or lease shall not be subject to\nreferendum, permissive or mandatory. In the event that any public\ncorporation or improvement district thereof gives, grants, sells,\nconveys, lends, licenses the use of, or leases any water supply system,\nwater distribution system, or other improvements, extension or\nbetterments for the purpose of supplying water, to the authority, such\npublic corporation or improvement district thereof may contract with the\nauthority to lease, borrow, license, operate, maintain, manage, and\nprovide services for such facilities upon such terms and conditions, and\nfor such term or terms of years, subject to the rights of holders of\nbonds, as the authority and such public corporation or improvement\ndistrict thereof may agree. The authority, in furtherance of any\npurchase, conveyance, or lease of any property or facility from any\npublic corporation or improvement district thereof, may assume the\nprimary responsibility for the payment of the principal and interest on\nany bonds or notes issued by such public corporation or improvement\ndistrict thereof for such property or facility. For purposes of section\n136.00 of the local finance law, any agreement by the authority to\nassume the primary responsibility for the payment of the principal and\ninterest on any bonds or notes issued by any such public corporation or\nimprovement district thereof shall, so long as such agreement shall\ncontinue to be honored by the authority, cause such bonds or notes to be\ndeemed to have been refunded, and any such public corporation or\nimprovement district thereof may deduct from its gross indebtedness any\noutstanding indebtedness contracted for such property or facility to be\nacquired by the authority. The net proceeds of any purchase, conveyance,\nor lease of any property or facility from a public corporation or\nimprovement district thereof may be used by such public corporation or\nimprovement district thereof for any general or specific public use;\n 7. To sell water, however acquired, by volume and at retail to\nindividual consumers within the county of Monroe for domestic,\ncommercial, industrial, and public purposes, or by volume or in bulk and\nat wholesale to any or all municipalities or privately owned public\nwater supply and distribution systems in such county. The fact that any\nmunicipality has procured or is about to procure an independent source\nof water supply shall not prevent such municipality from purchasing\nwater from the authority. To sell any water not needed in such county by\nvolume and at retail to individual consumers within the county of\nGenesee, or in the town or village of Victor, the village of Bloomfield\nand the towns of East Bloomfield, Canadice, Richmond and West Bloomfield\nin Ontario county, or in the village of Holley and the towns of\nClarendon and Kendall in Orleans county, for domestic, commercial,\nindustrial, and public purposes, or by volume or in bulk and at\nwholesale to any municipality or privately owned public water supply and\ndistribution system outside of the county; provided that any costs\nincurred by the authority related to the Genesee county project shall be\nrecovered by the authority solely from Genesee county or from rates and\ncharges collected from customers within Genesee county; and further\nprovided that the authority shall not sell water in any area outside of\nthe county unless the governing board of the municipality wherein such\narea is located shall enter into an agreement with the authority for\nservice or sale of water by it in such area or shall by resolution\nrequest the authority to sell water within such area. Any agreement\nbetween a municipality outside of the county and the authority for the\nsale of water to or within such municipality shall be subject to the\napproval of the legislative body of the contiguous county wherein such\nmunicipality is located. Not only may the authority sell any surplus\nwater it may have developed, but it may develop and provide a sufficient\namount of water so as to supply water outside of the county to\nindividual consumers, any municipality, or privately owned public water\nsupply and distribution system;\n 8. To purchase water in bulk or by volume from any person, private\ncorporation or municipality when necessary or convenient for the\noperation of any water supply and distribution system developed by it,\nor when necessary or convenient for resale under the authority and\nprovisions of subdivision seven of this section;\n 9. To acquire, hold, use, lease, sell, transfer and dispose of any\nproperty, real, personal or mixed, or interest therein, for its\ncorporate purposes;\n 10. To make by-laws for the management and regulation of its affairs,\nand subject to agreements with bondholders, rules for the sale of water\nand the collection of rents and charges therefor. A copy of such rules\nand by-laws, and all amendments thereto, duly certified by the secretary\nof the authority shall be filed in the office of the clerk of the county\nand thereafter published once in two newspapers having a general\ncirculation in the county. Violation of such rules shall be a\nmisdemeanor, punishable by fine, not exceeding fifty dollars, or by\nimprisonment for not longer than thirty days, or both. Exclusive\njurisdiction is hereby conferred upon the local criminal courts of the\ncounty, which have trial jurisdiction, to hear and determine, subject to\nthe provisions of the criminal procedure law, any violation of this\ntitle;\n 11. To use the officers, employees, facilities and equipment of the\ncounty with the consent of the county, paying a proper portion of the\ncompensation or cost;\n 12. To make contracts and to execute all necessary or convenient\ninstruments, including evidences of indebtedness, negotiable or\nnon-negotiable;\n 13. To enter on any lands, waterways and premises for the purpose of\nmaking surveys, soundings and examinations;\n 14. To borrow money and to issue negotiable bonds or notes and to fund\nor refund the same, and to provide for the rights of the holders of its\nobligations;\n 15. To fix rates and collect charges for the use of the facilities of,\nor services rendered by, or any commodities furnished by the authority\nsuch as to provide revenues sufficient at all times to pay, as the same\nshall become due, the principal and interest on the bonds or notes of\nthe authority together with the maintenance of proper reserves therefor,\nin addition to paying as the same shall become due the expense of\noperating and maintaining the properties of the authority together with\nproper reserves for depreciation, maintenance, and contingencies and all\nother obligations and indebtedness of the authority;\n 16. To enter into cooperative agreements with other water authorities,\nmunicipalities, or utility companies, for the inter-connection of\nfacilities, the exchange or inter-change of services and commodities,\nand to enter into contracts for the construction of water supply and\ndistribution systems by the authority for any municipality which\npossesses express reciprocal powers and having power to construct and\ndevelop a water supply and distribution system, or contracts for the\nconstruction of a water supply and distributions systems for the\nauthority by a municipality which possesses express reciprocal powers\nand having power to construct and develop a water supply and\ndistribution system, upon such terms and conditions as shall be\ndetermined to be reasonable including, but not limited to, the\nreimbursement of all costs of such construction, or for any other lawful\npurposes necessary or desirable to effect the purposes of this title,\nprovided, however, that any such agreement with a municipality located\nin a county, other than Monroe county, shall be subject to the approval\nof the legislative body of such county. The authority shall also have\nthe power to enter into contracts or agreements with other corporations,\npublic or private, (i) for or with respect to the financing,\nconstruction, development, expansion or improvement of properties,\nfacilities, and appurtenances owned by the authority, with a part of the\ncapacity or use of such properties, facilities and appurtenances\nutilized or to be utilized by or for the benefit of any such corporation\nand (ii) for or with respect to the use, operation, management, repair\nand maintenance of such properties, facilities, and appurtenances of the\nauthority, upon such terms and conditions as shall be determined to be\nreasonable, which may include, without limitation, collection by the\nauthority of rents, rates or other charges to pay for the cost of\nconstruction, including debt service on obligations of the authority\nissued to finance construction, operation, management, maintenance,\nrepair and use of such facilities; and municipalities having power to\nconstruct and develop water supply and distribution systems shall have\nthe power to enter into contracts or agreements contemplated herein with\nthe authority, including any such contract to which another corporation\nis a party;\n 16-a. To enter into a contract or contracts with the board of\nsupervisors of Monroe county for the acquisition, construction and\ndevelopment of a water supply and distribution system, or any part or\nparts thereof, on behalf of a county water district, and to contract for\nthe operation and management of such county water district, all as\nprovided in article five-a of the county law and article five-b of the\ngeneral municipal law. Such water authority shall be deemed the agent of\nMonroe county under any such contract. If such contract shall authorize\nthe water authority to purchase supplies or equipment or to construct\npublic works, such authority shall be subject to all provisions of law\nto which Monroe county would be subject in relation to advertising and\nawarding any such contracts for supplies, equipment or public works.\n 16-b. (1) It is the purpose of this subdivision to provide a means\nwhereby: (i) the authority shall plan, construct, operate and manage\nboth the water properties owned by the authority and additional water\nfacilities to be hereafter constructed by the authority but financed and\nowned by the county so that such water properties and such water\nfacilities may be operated as an integrated water system; and (ii) the\ncounty shall finance the construction of and own additional water\nfacilities and lease the same to or otherwise make the same available\nfor use by the authority in order to assist the authority in providing\nsuch necessary improvements required for the operation of the water\nproperties of the authority (the title to which water properties will,\nas provided by law, become vested in the county).\n (2) For the purposes of this subdivision sixteen-b the term "water\nfacilities" shall mean the acquisition, construction or reconstruction\nof or addition to a water supply or distribution system, whether or not\nincluding buildings, land or rights in land, original furnishings,\nequipment, machinery or apparatus, or the replacement of such equipment,\nmachinery or apparatus, which water facilities are to be financed and\nowned by the county. For the purpose of this subdivision sixteen-b the\nterm "water properties" means the source of water supply and the water\nsupply and distribution system of the authority, including the plants,\nworks, instrumentalities or parts thereof and appurtenances thereto,\nlands, easements, rights in land and water rights, rights of way,\ncontract rights, franchises, approaches, connections, dams, reservoirs,\nwater mains and pipe lines, pumping stations and equipment, and any\nother property, real, personal or mixed, incidental to and included in\nsuch source of supply and such system or parts thereof, and any\nimprovements, extensions and betterments, now or hereafter constructed,\nacquired or made by the authority, other than the water facilities\nconstructed by the authority but financed and owned by the county in\naccordance with the provisions of this subdivision.\n (3) The county may, by resolution of the legislative body of such\ncounty, enter into an agreement or agreements with the authority\nproviding: (i) that water facilities shall be constructed by the\nauthority, which water facilities shall be financed and owned by the\ncounty and leased or otherwise made available for the use of the\nauthority; and (ii) for the transfer to the authority for use in the\nexecution of its corporate purposes of such water facilities hereafter\nfinanced and owned by the county in accordance with the provisions of\nthis subdivision; provided, however, that title to such facilities shall\nremain in the county.\n Such agreement shall constitute a contract for the passing to and\nvesting in the county of all rights and properties, including water\nproperties, of the authority when all liabilities of the authority,\nother than its liabilities to the county pursuant to any agreements\nentered into pursuant to this subdivision, and the bonds of the\nauthority have been paid in full or such liabilities or bonds have\notherwise been discharged.\n Such agreement or agreements may be amended, modified, changed or\nextended by supplemental agreements authorized and executed in the same\nmanner as the original agreement provided that the provisions of any\nsuch supplemental agreement shall not be inconsistent with the\nprovisions of this subdivision sixteen-b.\n (4) Such agreement shall provide that until the rights and properties,\nincluding the water properties, of the authority shall pass to and be\nvested in the county as provided by law, the authority shall act as the\nagent of the county: (i) to provide water facilities deemed necessary by\nthe authority (a) to provide a supply of water sufficient to serve all\ncustomers of the water properties of the authority and of the water\nfacilities of the county operated and managed by the authority, or (b)\nwater facilities for the distribution of water deemed necessary by the\nauthority to serve the territory of the authority within the county; and\n(ii) to operate, manage, replace, maintain and repair such water\nfacilities in conjunction with the water properties of the authority so\nthat both the water properties of the authority and the water facilities\nowned and financed by the county shall be planned, operated and managed\nas an integrated water system.\n (5) Such agreement shall provide for the transfer to and use by the\nauthority of such water facilities by lease, license or other\narrangement until such time as all rights and properties, including\nwater properties, of the authority shall pass to and be vested in the\ncounty as provided by law and shall authorize the authority to take\njurisdiction, control, possession and supervision of such water\nfacilities and operate, manage, replace, maintain and repair the same\ntogether with the water properties of the authority as an integrated\nwater system.\n (6) Such agreement shall provide that the county shall pay an amount\nnot to exceed twenty-seven million dollars to provide certain water\nfacilities to be owned by the county and leased to or otherwise made\navailable for use by the authority in accordance with the provisions of\nsuch agreement, which water facilities shall be described in terms\nsufficient for identification in the first agreement so executed by and\nbetween the county and the authority. The county may issue obligations\npursuant to the local finance law in an amount not to exceed\ntwenty-seven million dollars to pay the cost of such water facilities.\nThe provisions of section four hundred of the county charter prohibiting\nthe financing of permanent improvements by the issuance of obligations\npursuant to the local finance law unless such permanent improvements are\nincluded in a budget of permanent improvements adopted and approved as\nprovided by such section four hundred shall not be applicable to the\nfinancing of such water facilities by the issuance of such obligations\nof the county authority by this paragraph.\n (7) Such agreement shall provide that the authority shall pay to the\ncounty for each fiscal year of the county an annual rental for the use\nof the water facilities financed and owned by the county which shall be\nan operating expense of the authority, and shall be equal to the sum of\nthe following: (i) the principal of any bonds of the county becoming due\nin such fiscal year issued in accordance with any agreement entered into\npursuant to this subdivision; and (ii) the interest on any obligations\nof the county, including bonds and notes, issued in accordance with any\nsuch agreement and becoming due in such fiscal year. Such agreement\nshall provide such further details as the parties deem necessary with\nrespect to the time and manner of the payment of such annual rentals in\norder to assure that such annual rentals shall be available to the the\ncounty at the times and in the amounts required for the payment of such\nprincipal of bonds of the county and such interest on obligations of the\ncounty. Notwithstanding that the payment of such annual rentals shall be\nan operating expense of the authority, such agreement may provide that\npayment thereof shall be subordinate to all or any of certain payments\nhereinafter described required to be made by a certain trust indenture\nbetween the authority and a trustee dated as of February first, nineteen\nhundred fifty-nine. Such payments are the payments required to be made\nby said trust indenture to the debt service fund and the debt service\nreserve fund both created by such indenture.\n (8) Such agreement shall provide that to facilitate the further\nacquisition, construction, reconstruction, extension or betterment of\nwater facilities by the authority to be owned and financed by the\ncounty, other than and in addition to the water facilities to be\nfinanced by the county pursuant to the provisions of paragraph (6) of\nthis subdivision, the authority, on or before September first in each\nyear or on or before such earlier date in each year as such agreement\nmay provide, may submit to the county manager a capital budget for the\ncalendar year beginning on the succeeding January first of such proposed\nwater facilities and the estimated cost thereof. Such capital budget\nshall be accompanied by a report of the consulting engineers retained by\nthe authority pursuant to a certain trust indenture of the authority\ndated as of February one, nineteen hundred fifty-nine. Such report of\nthe consulting engineers shall explain the need for or desirability of\nsuch proposed water facilities and shall state that the consulting\nengineers have approved the estimated cost thereof. Such capital budget\nof the authority and report of such consulting engineers shall describe\nsuch proposed water facilities in terms sufficient for identification.\nWhen received by the county manager, such capital budget of the\nauthority and the report of the consulting engineers shall be used in\nthe preparation of the budget of permanent public improvements of the\ncounty required to be prepared by section four hundred of the Monroe\ncounty charter in the same manner as if the providing of such additional\nwater facilities originally were proposed by the county. The county\nshall pay the cost of any water facilities contained in a budget of\npermanent improvements after such budget has been adopted. At any time\nafter the adoption of such budget of permanent improvements the county\nmay finance any water facilities contained therein pursuant to the\nprovisions of and in the manner provided by the local finance law.\nNotwithstanding any other provisions of this subdivision, in the event\nthat any item for the providing of water facilities contained in the\ncapital budget and report of the consulting engineers as submitted to\nthe county manager shall not be made a part of the budget of permanent\nimprovements of the county, the authority may, nevertheless, proceed to\nconstruct such proposed water facility as an addition to the water\nproperties of the authority and finance the same by the issuance of\nobligations of the authority, subject, however, to: (i) the provisions\nof any resolutions or trust indentures heretofore or hereafter adopted\nor executed by the authority, as the case may be, with respect to the\nconstruction of water properties and the financing thereof by the\nauthority; and (ii) the limitations, if any, on the issuance of bonds or\nobligations by the authority contained in any agreement executed\npursuant to this subdivision sixteen-b.\n (9) Such agreement may contain further provisions concerning the\nfollowing, provided, however, that no provisions in any agreement or any\nsupplemental agreement thereto shall require the authority to in any way\nimpair the rights and remedies of the holders of obligations of the\nauthority pursuant to any resolution or trust indenture of the authority\nheretofore adopted or executed authorizing or securing obligations of\nthe authority: (i) further provisions relating to the annual rentals due\nby the authority to the county as provided in this subdivision; (ii)\nprovisions that the rates, fees, rentals and other charges for the sale\nor distribution of water or for other services rendered by the water\nproperties of the authority shall be in an amount sufficient to fully\ncomply with any covenants with holders of obligations of the authority\nand in addition sufficient to pay the annual rentals payable by the\nauthority to the county as provided in this subdivision and in any\nagreements or supplemental agreements executed in accordance with the\nprovisions of this subdivision; (iii) provisions limiting the issuance\nof bonds or obligations by the authority; (iv) provisions limiting the\npower of the authority to sell or otherwise dispose of its water\nproperties without the consent of the county; (v) providing that when\nthe rights and properties of the authority shall pass to and be vested\nin the county as provided by law the authority shall act as the agent of\nthe county to plan, construct, operate and manage the water properties\nand water facilities then vested in and owned by the county for such\nterm and extensions of such term as may be provided by any such\nagreements; and (vi) such other provisions not inconsistent with the\nprovisions of this subdivision sixteen-b as the parties shall deem\nnecessary or desirable to implement the purpose and provisions of this\nsubdivision sixteen-b.\n (10) The proceeds of sale of obligations of the county issued pursuant\nto any agreement entered into pursuant to this subdivision shall be\nsubject to the provisions of section one hundred sixty-five of the local\nfinance law and shall be paid and disbursed by the director of finance\nof the county on requisition by the authority or such person or persons\nas the authority may authorize to make such requisitions without further\naudit; provided, however, that the director of finance of the county may\nrequire that such requisitions shall be accompanied by properly itemized\nand verified or certified bills for materials, supplies or services.\n (11) All contracts for the purchase of supplies or equipment or the\nconstruction of water facilities entered into with respect to the\nproviding of water facilities to be financed and owned by the county and\nconstructed by the authority shall be subject to all provisions of law\nwhich the county of Monroe would be subject to in relation to\nadvertising and awarding any such contracts for supplies, equipment or\nthe construction of water facilities\n (12) The provisions of this subdivision sixteen-b shall be independent\nand cumulative power for the authority and the county to enter into the\nagreements authorized hereby and shall not be construed with or be\nlimited by any of the provisions of article five-a of the county law and\nof this article of the public authorities law.\n 17. To accept grants, loans or contributions from the United States,\nthe state of New York, or any agency or instrumentality of either of\nthem, or the county, or an individual, by bequest or otherwise, and to\nexpend the proceeds for any purposes of the authority;\n 18. To do all things necessary or convenient to carry out the powers\nexpressly given in this title.\n 19. To contract for the purposes of subdivision twenty-four of section\nten of article two of the highway law.\n In exercising the powers granted by this title, the authority shall\nnot sell water in any area which is served by a water system owned or\noperated by a municipality unless the governing board of such\nmunicipality shall adopt a resolution requesting the authority to sell\nwater in such area.\n