§ 64-E — Peconic Bay region community preservation funds

§ 64-e. Peconic Bay region community preservation funds. 1. As used\nin this section, the following words and terms shall have the following\nmeanings:\n (a) "Peconic Bay region" means the towns of East Hampton, Riverhead,\nShelter Island, Southampton and Southold.\n (b) "Community preservation" shall mean and include any of the\npurposes outlined in subdivision four of this section.\n (c) "Board" means the advisory board required pursuant to subdivision\nfive of this section.\n (d) "Fund" means the community preservation fund created pursuant to\nsubdivision two of this section.\n (e) "Water quality improvement project" means projects designed to\nimprove the quality of drinking and surface waters and projects,\nincluding operational expenses, related to the operation of the Peconic\nBay National Estuary Program, as designated by the United States\nEnvironmental Protection Agency.\n (f) "Disadvantaged communities" shall mean a community that is\nidentified pursuant to section 75-0111 of the environmental conservation\nlaw.\n 2. The town board of any town in the Peconic Bay region is authorized\nto establish by local law a community preservation fund pursuant to the\nprovisions of this section. Deposits into the fund may include revenues\nof the local government from whatever source and shall include, at a\nminimum, all revenues from a tax imposed upon the transfer of real\nproperty interests in such town pursuant to article thirty-one-D of the\ntax law. The fund shall also be authorized to accept gifts of any such\ninterests in land or of funds. Interest accrued by monies deposited into\nthe fund shall be credited to the fund. In no event shall monies\ndeposited in the fund be transferred to any other account. Nothing\ncontained in this section shall be construed to prevent the financing in\nwhole or in part, pursuant to the local finance law, of any acquisition\nor water quality improvement project authorized pursuant to this\nsection. Monies from the fund may be utilized to repay any indebtedness\nor obligations incurred pursuant to the local finance law consistent\nwith effectuating the purposes of this section. Where a town finances an\nacquisition or water quality improvement project, in whole, or in part,\npursuant to the local finance law, the resolution authorizing such\nindebtedness shall be accompanied by a report from the town supervisor\ndemonstrating how said indebtedness will be repaid by the fund. Said\nreport shall include an estimate of projected revenues of the fund\nduring the period of indebtedness. The report shall also provide an\naccounting of all other indebtedness incurred against the fund to be\nrepaid for the same period. The town board shall make findings by\nresolution that there will be sufficient revenue to repay such\nindebtedness in its entirety from the fund before authorizing such\nindebtedness.\n 3. The purposes of the fund shall be exclusively, (a) to implement a\nplan for the preservation of community character as required by this\nsection, (b) to acquire interests or rights in real property for the\npreservation of community character within the town including villages\ntherein in accordance with such plan and in cooperation with willing\nsellers, (c) to establish a bank pursuant to a transfer of development\nrights program consistent with section two hundred sixty-one-a of this\nchapter, (d) to provide a management and stewardship program for such\ninterests and rights consistent with subdivisions nine and nine-a of\nthis section and in accordance with such plan designed to preserve\ncommunity character; provided that not more than ten percent of the fund\nshall be utilized for the management and stewardship program, and (e) to\nimplement water quality improvement projects in accordance with a plan\nto preserve community character. A maximum of twenty (20) percent of the\nfund may be utilized for the implementation of water quality improvement\nprojects; provided that where such water quality improvement funds are\nutilized for the operation of the Peconic Bay National Estuary Program,\nthe use of such funds shall only be utilized to match federal, state,\ncounty, or other public or private funds on a dollar for dollar basis,\nnot to exceed ten (10) percent of the annual amount appropriated for\nwater quality improvement projects. Unused funds allocated for water\nquality improvement projects pursuant to this subdivision may be carried\nforward from year to year for utilization in future budgets. In towns\nwith one or more disadvantaged communities, not less than ten (10)\npercent of the annual proceeds of the fund shall be utilized to benefit\nsuch disadvantaged communities. If the implementation of the community\npreservation project plan, adopted by a town board, as provided in\nsubdivision six of this section, has been completed, and funds are no\nlonger needed for the purposes outlined in this subdivision, then any\nremaining monies in the fund shall be applied to reduce any bonded\nindebtedness or obligations incurred to effectuate the purposes of this\nsection.\n 3-a. Preliminary and incidental costs in connection with the\nacquisition of interests or rights in real property, pursuant to\nsubdivision three of this section, shall be deemed part of the cost of\nthe acquisition for which they were incurred. Such expenditures may\ninclude any administrative or other expenditures directly arising\ntherefrom. No expenditure shall be charged to the fund, unless\nauthorized by law. A full accounting of such costs for each acquisition\nof land shall be provided to the town board.\n 4. Preservation of community character shall involve one or more of\nthe following: (a) establishment of parks, nature preserves, or\nrecreation areas; (b) preservation of open space, including agricultural\nlands provided, however, that farm buildings and structures used for the\nmarketing of farm products produced on such agricultural lands shall be\npermitted; (c) preservation of lands of exceptional scenic value; (d)\npreservation of fresh and saltwater marshes or other wetlands; (e)\npreservation of aquifer recharge areas; (f) preservation of undeveloped\nbeachlands or shoreline including those at significant risk of coastal\nflooding due to projected sea level rise and future storms; (g)\nestablishment of wildlife refuges for the purpose of maintaining native\nanimal species diversity, including the protection of habitat essential\nto the recovery of rare, threatened or endangered species; (h)\npreservation of pine barrens consisting of such biota as pitch pine, and\nscrub oak; (i) preservation of unique or threatened ecological areas;\n(j) preservation of rivers and river areas in a natural, free-flowing\ncondition; (k) preservation of forested land; (l) preservation of public\naccess to lands for public use including stream rights and waterways;\n(m) preservation of historic places and properties listed on the New\nYork state register of historic places and/or protected under a\nmunicipal historic preservation ordinance or law; (n) preservation of\nlands necessary to protect fisheries and water dependent uses essential\nto maintain and enhance maritime heritage; (o) preservation of lands\nthat contain significant cultural resources including the aboriginal\nlands of indigenous peoples, including but not limited to, burial sites,\nsettlements, and lands utilized for ceremonial purposes; and (p)\nundertaking any of the aforementioned in furtherance of the\nestablishment of a greenbelt. Preservation of community character shall\nalso include the protection and improvement of the quality of all water\nresources.\n 5. The town board of any town in the Peconic Bay region which has\nestablished a community preservation fund shall create an advisory board\nto review and make recommendations on proposed acquisitions of interests\nin real property or water quality improvement projects using monies from\nthe fund. Such board shall consist of five or seven legal residents of\nthe municipality who shall serve without compensation. No member of the\nlocal legislative body shall serve on the board. A majority of the\nmembers of the board shall have demonstrated experience with\nconservation and land preservation activities or water quality\nimprovement activities, or historic preservation activities. The board\nshall act in an advisory capacity to the town board. At least one member\nof the board shall be an active farmer.\n 6. The town board of any town in the Peconic Bay region which has\nestablished a community preservation fund shall, by local law, adopt a\ncommunity preservation project plan. This plan shall list every project\nwhich the town plans to undertake pursuant to the community preservation\nfund. It shall include every parcel which is necessary to be acquired in\nthe town in order to protect community character. Such plan shall\nprovide for a detailed evaluation of all available land use alternatives\nto protect community character, including but not limited to: (a) fee\nsimple acquisition, (b) zoning regulations, including density\nreductions, cluster development, and site plan and design requirements,\n(c) transfer of development rights, (d) the purchase of development\nrights, and (e) scenic and conservation easements. Said evaluation shall\nbe as specific as practicable as to each parcel selected for inclusion\nin the plan. The plan shall establish the priorities for preservation,\nand shall include the preservation of farmland as its highest priority.\nSaid plan shall also list every water quality improvement project which\nthe town plans to undertake pursuant to the community preservation fund\nand shall state how such project would improve existing water quality.\nProjects which have as their purpose the accommodation of new growth as\nopposed to the remediation of water quality shall not qualify for\nfunding under this section. Funds from the community preservation fund\nmay only be expended for projects which have been included in said plan.\nSaid plan shall be updated not less than once every five years, but in\nno event until at least three years after the adoption of the original\nplan. A copy of the plan shall be filed with the commissioner of\nenvironmental conservation, the commissioner of agriculture and markets\nand the commissioner of the office of parks, recreation and historic\npreservation. Said plan shall be completed at least sixty days before\nthe submission of the mandatory referendum required by section one\nthousand four hundred forty-nine-bb of the tax law. As part of, or in\naddition, to said community preservation fund project plan, each town\nboard may also adopt a management and stewardship plan for interests or\nrights in real property acquired pursuant to this section. No monies\nfrom the fund shall be expended for management and stewardship, except\nas approved in said plan. Said plan may provide management and\nstewardship projects for up to a three year period and shall provide a\ndescription and estimated cost for each project. Said plan shall be\napproved and adopted by local law and may be updated from time to time\nat the discretion of the town board. Only management and stewardship\nprojects permitted pursuant to subdivision nine-a of this section shall\nbe eligible to be included in the plan.\n 7. The town board of any town in the Peconic Bay region which has\nestablished a community preservation fund pursuant to this section shall\nstudy and consider establishing a transfer of development rights program\nto protect community character as provided for by section two hundred\nsixty-one-a of this chapter. All provisions of such section two hundred\nsixty-one-a shall be complied with. If at any time during the life of\nthe community preservation fund a transfer of development rights program\nis established, the town may utilize monies from the community\npreservation fund in order to create and fund a central bank of the\ntransfer of development rights program. If at any time during the life\nof the community preservation fund, a transfer of development rights\nprogram is repealed by the town, all monies from the central bank shall\nbe returned to the community preservation fund.\n 8. No interests or rights in real property shall be acquired pursuant\nto this section until a public hearing is held as required by section\ntwo hundred forty-seven of the general municipal law; provided, however,\nthat nothing herein shall prevent the town board from entering into a\nconditional purchase agreement before a public hearing is held. Any\nresolution of a town board approving an acquisition of land pursuant to\nthis section, shall find that acquisition was the best alternative for\nthe protection of community character of all the reasonable alternatives\navailable to the town.\n 9. (a) Lands acquired pursuant to this section shall be administered\nand managed in a manner which maximizes public use and enjoyment in a\nmanner compatible with the character of such lands.\n (b) Lands acquired for open space purposes shall preserve the native\nbiological diversity of such lands.\n (c) With regard to lands acquired for open space purposes improvements\nshall be limited to minimal improvements that enhance access for passive\nuse of such lands. Such improvements shall not degrade the ecological\nvalue of the land or threaten essential wildlife habitat.\n (d) Historic and cultural property shall be preserved consistent with\naccepted standards for historic preservation. Adaptive reuse of such\nproperties shall be consistent with the historic character and prior use\nof the property and shall be consistent with all local land use plans\nand regulations. Such historic and cultural properties shall maximize\npublic use to the extent practicable.\n (e) In furthering the purposes of this section, the town may enter\ninto agreements with corporations organized under the not-for-profit\ncorporation law and engaged in preservation activities to manage lands,\nincluding less than fee interests acquired pursuant to the provisions of\nthis section, provided that any such agreement shall contain a provision\nthat such corporation shall keep the lands accessible to the public\nunless such corporation shall demonstrate to the satisfaction of the\ntown that public accessibility would be detrimental to the lands or any\nhistoric, cultural, or natural resources associated therewith. Where\nrevenues are generated by such corporations on such lands pursuant to\nsuch agreements, disposition of such revenues shall be governed by the\ntown pursuant to resolution or local law.\n 9-a. (a) Management and stewardship funds may only be expended for\nprojects related to lands acquired for open space preservation and\nhistoric preservation purposes. Lands acquired for any other purpose\nshall not be eligible for management and stewardship funds. In the case\nof lands acquired for open space preservation purposes, management and\nstewardship projects shall be only expended for: (1) projects which\npromote the protection or enhancement of the natural, scenic, and open\nspace character for which the interests or rights in real property were\nacquired; or (2) minimal improvements as permitted by subdivision nine\nof this section; or (3) restoration of acquired real property to its\nnatural state including the demolition of existing buildings and\nstructures.\n (b) In the case of interests or rights in real property acquired for\nhistoric preservation purposes, funds may be expended for the\nrestoration, rehabilitation, or replacement of buildings and structures\nconsistent with accepted standards for historic preservation.\n (c) Expenses related to the customary operation and maintenance of\nacquired interests or rights in real property shall not be permitted\nfrom the management and stewardship portion of the fund, except that in\nthe case of historic properties, where the town has entered into an\nagreement with a not-for profit corporation for the management of such\nproperties as permitted by subdivision nine of this section, up to\ntwenty (20) percent of the management and stewardship portion of the\nfund or two (2) percent of the total annual revenue of the fund, may be\ndedicated to the operation and maintenance of stewardship properties\nmanaged by such corporations. Where a town enters into an agreement for\nthe management of an historic property with a not-for-profit corporation\nand the town allocates management and stewardship funds for the\noperation and maintenance of such historic property, said corporation\nshall annually provide for a full accounting of such funds to the town\nboard.\n (d) Any project funded pursuant to this subdivision, except operation\nand maintenance expenses permitted pursuant to paragraph (c) of this\nsubdivision, must have a useful life of five years or more under section\n11.00 of the local finance law.\n (e) Any expenditure from the fund for a purpose other than that\npermitted, herein, shall be deemed to be prohibited.\n 10. Rights or interests in real property acquired with monies from\nsuch fund shall not be sold, leased, exchanged, donated, or otherwise\ndisposed of or used for other than the purposes permitted by this\nsection without the express authority of an act of the legislature,\nwhich shall provide for the substitution of other lands of equal\nenvironmental value and fair market value and reasonably equivalent\nusefulness and location to those to be discontinued, sold or disposed\nof, and such other requirements as shall be approved by the legislature.\nNothing in this section shall preclude a town, by local law, from\nestablishing additional restrictions to the alienation of lands acquired\npursuant to this section. This subdivision shall not apply to the sale\nof development rights by a town acquired pursuant to this section, where\nsaid sale is made by a central bank created by a town, pursuant to a\ntransfer of development rights program established by a town pursuant to\nsection two hundred sixty-one-a of this chapter, provided, however (a)\nthat the lands from which said development rights were acquired shall\nremain preserved in perpetuity by a permanent conservation easement or\nother instrument that similarly preserves the community character\nreferenced in subdivision four of this section, and (b) the proceeds\nfrom such sale shall be deposited in the community preservation fund.\nNothing in this section shall preclude a town from utilizing development\nrights acquired with monies from the fund from being utilized to provide\ncommunity housing, provided that such development rights have not been\nexpressly extinguished at the time of acquisition. The lands from which\nsaid development rights were acquired shall remain preserved in\nperpetuity by a permanent conservation easement or other instrument that\nsimilarly preserves the community character referenced in subdivision\nfour of this section. Where such development rights are sold, the\nproceeds from such sale shall be deposited in the community preservation\nfund. For purposes of this subdivision, "community housing" shall mean a\nprimary residential property where the purchase price limit shall not\nexceed one hundred fifty percent of the purchase price limits\nestablished by the state of New York mortgage agency low interest rate\nloan program in non-target categories for the county.\n 11. Notwithstanding any provision of law to the contrary, towns may\nenter into intermunicipal agreements pursuant to article five-G of the\ngeneral municipal law for the following purposes:\n (a) to jointly acquire interests or rights in real property,\nconsistent with the purposes of this section, where the acquisition of\nsuch interests or rights promotes a regional public benefit for two or\nmore towns pursuant to a regional plan;\n (b) to provide for an independent financial audit of each town's fund;\nand\n (c) to hire employees necessary to implement the provisions of this\nsection.\n 12. Each town shall annually commission an independent audit of the\nfund. The audit shall be conducted by an independent certified public\naccountant or an independent public accountant. Said audit shall be\nperformed by a certified public accountant or an independent public\naccountant other than the one that performs the general audit of each\ntown's finances. Such audit shall be an examination of the fund and\nshall determine whether the fund has been administered consistent with\nthe provisions of this section and all other applicable provisions of\nstate law. Said audit shall be initiated within sixty days of the close\nof the fiscal year of each town and shall be completed within one\nhundred twenty days of the close of the fiscal year. A copy of the audit\nshall be submitted annually to the state comptroller and the town clerk.\nA copy of the audit shall be made available to the public within thirty\ndays of its completion. A notice of the completion of the audit shall be\npublished in the official newspaper of the town and posted on the\nofficial sign board of the town within ten days of its filing with the\ntown clerk. Said audit and notice shall also be posted on the internet\nsite for the town. The cost of the audit may be a charge to the fund.\n 13. The cost of employees and independent contractors to implement the\nprovisions of this section, may only be paid for by the fund where the\nduties and responsibilities of said employees and independent\ncontractors are directly dedicated to implementing the provisions of\nthis section. Where such employees and independent contractors are not\nexclusively dedicated to implementing the provisions of this section, no\nmore than the cost of the actual time expended directly dedicated to\nimplementing the provisions of this section may be charged. Such costs\nshall be expressly identified in the town budget and any plan adopted\npursuant to this section before funds for such costs may be expended. In\naddition, such costs must be documented by a time accounting system,\nsubject to audit. Costs relating to the activities of elected officials\nimplementing the purposes of this section may not be a charge to the\nfund.\n 14. (a) The towns in the Peconic Bay region shall jointly establish,\nby intermunicipal agreement, the office of regional community\npreservation fund counsel to render legal opinions and interpretations\nto facilitate the efficient and consistent administration of the funds\ncreated pursuant to this section. All such opinions and interpretations\nrendered shall be published on each town's official website and shall be\navailable to the public as a public record under article six of the\npublic officers law.\n (b) The towns in the Peconic Bay region shall jointly establish, by\nintermunicipal agreement, the Peconic Bay Region Advisory Committee to\nadvise town boards regarding policy and administrative issues relating\nto funds established pursuant to this section. The committee shall\nconsist of eleven (11) members. The members shall include each Town\nSupervisor or designee, a representative of village government to be\njointly selected by the villages in the Peconic Bay region and five (5)\nmembers to be selected by the state legislative representatives\nrepresenting the Peconic Bay region with expertise in land preservation,\nenvironmental protection, water quality protection, agriculture,\nhistoric preservation, or parks and recreation. The committee shall\nelect a chair from among its members. Said committee shall meet at least\nquarterly each year. The office of regional community preservation fund\ncounsel shall attend the meetings of the committee and shall be further\navailable to the committee chair for additional consultations. The\ncommittee shall be empowered to establish the rules for its operation,\nconsistent with this section.\n (c) The office and committee required to be established pursuant to\nthis subdivision shall be implemented no later than ninety days after\nthe effective date of this subdivision.\n