S T A T E O F N E W Y O R K
________________________________________________________________________
6802--A
2009-2010 Regular Sessions
I N A S S E M B L Y
March 12, 2009
___________
Introduced by M. of A. BRENNAN, ABBATE, PHEFFER -- Multi-Sponsored by --
M. of A. BENEDETTO, BRODSKY, BROOK-KRASNY, COLTON, COOK, CYMBROWITZ,
GLICK, HYER-SPENCER, JACOBS, LANCMAN, MAISEL, MILLMAN, ORTIZ -- read
once and referred to the Committee on Corporations, Authorities and
Commissions -- committee discharged, bill amended, ordered reprinted
as amended and recommitted to said committee
AN ACT to amend the public authorities law, in relation to sewer and
water rates for those granted senior citizen real property tax
exemptions in the city of New York
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. Subdivision 1 of section 1045-j of the public authorities
2 law, as added by chapter 513 of the laws of 1984, is amended to read as
3 follows:
4 1. The water board shall establish, fix and revise, from time to time,
5 fees, rates, rents or other charges for the use of, or services
6 furnished, rendered or made available by, the sewerage system or water
7 system, or both, as the case may be, owned by the water board pursuant
8 to this title in such amount at least sufficient at all times so as to
9 provide funds in an amount sufficient together with other revenues
10 available to the board, if any, (i) to pay to the authority, in accord-
11 ance with any agreement with the authority, an amount sufficient for the
12 purpose of paying the principal of and the interest on the outstanding
13 notes or bonds of the authority as the same shall become due and payable
14 and maintaining or funding a capital or debt service reserve fund there-
15 for and, to the extent requested by the city in, or annually pursuant
16 to, the agreement to pay to the city, in accordance with the agreement,
17 an amount sufficient for the purpose of paying the principal of and
18 interest on general obligation bonds thereof issued for or allocable to
19 the water system or sewerage system or both, as the case may be, as the
20 same shall become due and payable, and to maintain or fund reserves
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD09790-02-9
A. 6802--A 2
1 therefor, (ii) to pay to the city, in accordance with the agreement, an
2 amount sufficient for the purpose of paying the costs of administering,
3 maintaining, repairing and operating and the cost of constructing capi-
4 tal improvements to the water system or sewerage system or both, as the
5 case may be, (iii) to pay to the city in accordance with the agreement
6 entered into pursuant to section one thousand forty-five-i of this title
7 an amount sufficient for the purpose of paying liabilities issued for or
8 allocable to the water system or sewerage system or both, as the case
9 may be, as the same shall become due and payable, (iv) to meet any
10 requirements of any agreement including requirements relating to the
11 establishment of reserves for renewal and replacement and for uncol-
12 lected charges and covenants respecting rates, (v) to pay all other
13 reasonable and necessary expenses of the authority and the water board
14 in relation thereto, and (vi) to the extent requested by the city in or
15 pursuant to the agreement, to pay or provide for such other purposes or
16 projects as such city considers appropriate and in the public interest.
17 WHEN SETTING SUCH RATES WITHIN ANY CITY OR COUNTY THAT SHALL HAVE
18 ADOPTED A LOCAL LAW PURSUANT TO SECTION FOUR HUNDRED SIXTY-SEVEN AND/OR
19 SECTION FOUR HUNDRED FIFTY-NINE-C OF THE REAL PROPERTY TAX LAW, THOSE
20 REAL PROPERTY OWNERS WHOSE APPLICATIONS FOR A PARTIAL EXEMPTION FROM
21 TAXATION AS SET FORTH IN SECTION FOUR HUNDRED SIXTY-SEVEN AND/OR SECTION
22 FOUR HUNDRED FIFTY-NINE-C OF THE REAL PROPERTY TAX LAW HAVE BEEN GRANTED
23 SHALL HAVE THEIR RATES FOR WATER AND SEWER CHARGES FROZEN AT THE RATE IN
24 EFFECT ON JULY FIRST, TWO THOUSAND NINE OR THE DATE ON WHICH THE
25 EXEMPTION AFORESAID IS GRANTED, WHICHEVER IS LATER, UNTIL SUCH RATE
26 EQUALS THAT PRODUCED BY MULTIPLYING THE CURRENT FULL RATE TIMES A FACTOR
27 REPRESENTING ONE MINUS THE PERCENTAGE OF ASSESSED VALUATION EXEMPT FROM
28 TAXATION PURSUANT TO SUCH SECTION FOUR HUNDRED SIXTY-SEVEN OR SECTION
29 FOUR HUNDRED FIFTY-NINE-C. THEREAFTER, THE RATES OF SUCH PARTIALLY
30 EXEMPTED REAL PROPERTY OWNERS SHALL INCREASE IN SUCH A MANNER AS TO
31 MAINTAIN SUCH PERCENTAGE DIFFERENTIAL. ANY REVENUE FOREGONE AS A RESULT
32 OF THIS REALLOCATION SHALL BE SPREAD AMONG ALL CLASSES OF CUSTOMER. Any
33 surplus of funds remaining in the water board after such payments have
34 been made shall be returned to the city for deposit in the general fund.
35 S 2. This act shall take effect on the thirtieth day after it shall
36 have become a law.