§ 1115-H — Agreement among the water board, the city and the authority for the provision of projects

New York § 1115-H

• Jurisdiction: New York
• Law PBA: Public Authorities
• Title 6: Albany Municipal Water Finance Authority
• Art. 5: Public Utility Authorities

Text

§ 1115-h. Agreement among the water board, the city and the authority\nfor the provision of projects. 1. The authority, the water board and the\ncity, acting by resolution of the common council of the city, may enter\ninto agreements for the purpose of providing for the construction and\nfinancing of a project.\n 2. Any such agreements (i) shall describe in sufficient detail for\nreasonable identification the particular project to be financed in whole\nor in part by the authority, (ii) shall describe the plan for the\nfinancing of the cost of the construction of such project, including the\namount, if any, to be provided by the water board and the source or\nsources thereof, (iii) shall set forth the method by which and by whom\nand the terms and conditions upon which moneys provided by the authority\nshall be disbursed, (iv) may require, in the discretion of the\nauthority, the payment to the authority of the proceeds of any state and\nfederal grants available to the water board, (v) shall provide for the\nestablishment of user fees, rates, rents and other charges and the\ncharging and collection thereof by the water board for the use of, or\nservices furnished, rendered or made available by such system such as to\nprovide that the water board receive revenues at least sufficient,\ntogether with other revenues of the water board, if any, to meet the\nrequirements of subdivision one of section one thousand one hundred\nfifteen-i of this title, provided that revenues received by the water\nboard shall be deposited in a special fund established pursuant to this\ntitle and disbursed to, and upon certification of, the authority, (vi)\nmay provide for the transfer by the city to the water board pursuant to\nsection one thousand one hundred fifteen-g of this title of ownership of\nthe water system or sewerage system, or both as the case may be, of\nwhich such project will form a part, (vii) may provide for the\nconstruction and completion of such project by the city or the water\nboard and for the operation, maintenance and repair thereof as an\nintegrated part of the system of which such project forms a part,\nsubject to such terms and conditions, not inconsistent with this title,\nwhich may be in the public interest and necessary or desirable properly\nand adequately to secure the holders of bonds of the authority, (viii)\nshall provide for the discontinuance or disconnection of the supply of\nwater or the provision of sewerage service, or both, as the case may be,\nfor non-payment of fees, rates, rents or other charges therefor imposed\nby the water board, provided such discontinuance or disconnection of any\nsupply of water or the provision of sewerage service, or both, as the\ncase may be, shall not be carried out except in the manner and upon the\nnotice as is required of a waterworks 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, and (ix) in the\ndiscretion of the authority, require reports concerning the project from\nthe water board to the authority and the city.\n 3. If the city executes an agreement pursuant to this section,\nrelating to the financing of projects by revenue bonds, it shall have\nand shall be deemed to have annulled its power to levy user fees, rents\nand other charges on participating properties or customers for the cost\nof financing, operating and maintaining such projects under its\njurisdiction until all bonds of the authority shall have been paid or\ndischarged in accordance with the agreement and the resolution of the\nauthority authorizing such bonds. If the city has outstanding general\nobligation bonds issued for acquiring or constructing water or sewerage\nfacilities, whether the bonds are payable from revenues, special\nassessments, or taxes, it may authorize the authority pursuant to the\nagreement to issue its revenue bonds under this title for the purpose of\nretiring the outstanding bonds.\n 4. No such agreement shall be executed until the city and water board\nshall have held a public hearing at which users of the water system or\nsewerage system, or both, as the case may be, shall have had opportunity\nto be heard concerning the proposed provisions thereof. Notice of such\nhearing shall be published at least thirty days in advance in the\nofficial newspaper or newspapers of the city.\n 5. Such agreement shall be effective upon the issuance by the\nauthority of bonds to finance the cost of constructing projects of the\ncity or the water board.\n 6. Any such agreement may be amended, revised or extended by\nsupplemental agreements authorized and executed in the same manner as\nthe original agreement, provided that any such supplemental agreement\nshall not be inconsistent with the provisions of this title.\n 7. (a) Following the execution of the agreement by and between the\nauthority, the water board and the city pursuant to this section, the\nclerk of the city shall publish a notice in substantially the following\nform: "Notice is hereby given that the city of Albany has on the\nday of entered into an agreement with the Albany municipal\nwater finance authority in relation to the construction and financing of\n(here insert a brief description of the sewerage or water facility or\nfacilities to which such agreement relates) pursuant to the Albany\nmunicipal water finance authority act for the purpose of placing its\nsewerage or water system or water and sewerage system, as the case may\nbe, on an independent basis, imposing fees and rents on sewerage or\nwater system users, or both, which, together with other revenues\navailable for such purposes, if any, are sufficient to pay to the\nauthority debt service on bonds issued by the authority pursuant to the\nagreement and for operation and maintenance of the facility (title to\nwhich is transferred to the water board pursuant to the agreement). Such\nagreement in general terms provides (here insert a brief summary of the\nsubstantive provisions of such agreement). A copy of the complete\nagreement is on file for public inspection in the office of the clerk of\nthe city where the same may be examined by any interested person during\nregular business hours. The validity of this agreement may be hereafter\ncontested only upon the ground or grounds that (i) such agreement\nviolates, or the performance of any provision thereof by any party\nthereto would violate, the provisions of any law or the state\nconstitution or (ii) the provisions of law which should have been\ncomplied with in relation to the authorization and execution thereof\nwere not substantially complied with, and in any event an action, suit\nor proceeding is commenced within sixty days after the date of this\nnotice.\n clerk of the\n city of Albany\n (b) The publication authorized by this subdivision shall be in the\nofficial newspaper or newspapers of the city.\n (c) After the expiration of the sixty day period set forth in such\nnotice, the validity of such agreement shall be conclusively presumed\nand the validity thereof shall not thereafter be questioned by either a\nparty plaintiff or a party defendant and no court shall have\njurisdiction in any action, suit or proceeding contesting such validity.\n (d) Neither any error or omission in the notice of publication\nprovided for in this subdivision shall affect or impair the validity of\nan agreement executed pursuant to this section so long as the notice\nsubstantially conforms to the provisions of this section.\n