S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
           S. 5324                                                  A. 7471
                              2015-2016 Regular Sessions
                             S E N A T E - A S S E M B L Y
                                     May 13, 2015
                                      ___________
       IN SENATE -- Introduced by Sen. LAVALLE -- read twice and ordered print-
         ed, and when printed to be committed to the Committee on Local Govern-
         ment
       IN  ASSEMBLY  -- Introduced by M. of A. THIELE -- read once and referred
         to the Committee on Local Governments
       AN ACT to amend the town law, in relation to the Peconic  Bay  community
         preservation  fund  and  chapter  114 of the laws of 1998 amending the
         town law and other laws relating to authorizing certain towns  in  the
         Peconic  Bay  region  to  establish  community  preservation funds, in
         relation to extending the effective date thereof
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1. Section 64-e of the town law, as amended by chapter 373 of
    2  the laws of 2008, subdivision 3 as amended by chapter 330 of the laws of
    3  2011 and subdivision 4 as amended by chapter 423 of the laws of 2013, is
    4  amended to read as follows:
    5    S 64-e. Peconic Bay region community preservation funds. 1. As used in
    6  this section, the following words and terms  shall  have  the  following
    7  meanings:
    8    (a)  "Peconic  Bay region" means the towns of East Hampton, Riverhead,
    9  Shelter Island, Southampton and Southold.
   10    (b) "Community  preservation"  shall  mean  and  include  any  of  the
   11  purposes outlined in subdivision four of this section.
   12    (c)  "Board" means the advisory board required pursuant to subdivision
   13  five of this section.
   14    (d) "Fund" means the community preservation fund created  pursuant  to
   15  subdivision two of this section.
   16    (E)  "WATER  QUALITY IMPROVEMENT PROJECT" MEANS: (1) WASTEWATER TREAT-
   17  MENT IMPROVEMENT PROJECTS; (2) NON-POINT SOURCE  ABATEMENT  AND  CONTROL
   18  PROGRAM  PROJECTS DEVELOPED PURSUANT TO SECTION ELEVEN-B OF THE SOIL AND
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD07111-02-5
       S. 5324                             2                            A. 7471
    1  WATER CONSERVATION DISTRICTS LAW, TITLE 14 OF ARTICLE 17 OF THE ENVIRON-
    2  MENTAL CONSERVATION LAW, SECTION  1455B  OF  THE  FEDERAL  COASTAL  ZONE
    3  MANAGEMENT  ACT,  OR ARTICLE FORTY-TWO OF THE EXECUTIVE LAW; (3) AQUATIC
    4  HABITAT RESTORATION PROJECTS; (4) POLLUTION PREVENTION PROJECTS, AND (5)
    5  THE OPERATION OF THE PECONIC BAY NATIONAL ESTUARY PROGRAM, AS DESIGNATED
    6  BY  THE  UNITED  STATES  ENVIRONMENTAL  PROTECTION AGENCY. SUCH PROJECTS
    7  SHALL HAVE AS THEIR PURPOSE THE IMPROVEMENT OF EXISTING WATER QUALITY TO
    8  MEET EXISTING SPECIFIC WATER QUALITY STANDARDS. PROJECTS WHICH HAVE AS A
    9  PURPOSE TO PERMIT OR ACCOMMODATE NEW GROWTH SHALL NOT BE INCLUDED WITHIN
   10  THIS DEFINITION.
   11    (F) "WASTEWATER TREATMENT IMPROVEMENT  PROJECT"  MEANS  THE  PLANNING,
   12  DESIGN, CONSTRUCTION, ACQUISITION, ENLARGEMENT, EXTENSION, OR ALTERATION
   13  OF  A  WASTEWATER TREATMENT FACILITY, INCLUDING ALTERNATIVE SYSTEMS TO A
   14  SEWAGE TREATMENT PLANT OR TRADITIONAL SEPTIC SYSTEM, TO TREAT,  NEUTRAL-
   15  IZE, STABILIZE, ELIMINATE OR PARTIALLY ELIMINATE SEWAGE OR REDUCE POLLU-
   16  TANTS  IN  TREATMENT  FACILITY  EFFLUENT,  INCLUDING  PERMANENT OR PILOT
   17  DEMONSTRATION WASTEWATER TREATMENT PROJECTS, OR EQUIPMENT OR FURNISHINGS
   18  THEREOF. STORMWATER COLLECTING SYSTEMS AND VESSEL PUMPOUT STATIONS SHALL
   19  ALSO BE INCLUDED WITHIN  THE  DEFINITION  OF  A  WASTEWATER  IMPROVEMENT
   20  PROJECT.
   21    (G)  "AQUATIC HABITAT RESTORATION PROJECT" MEANS THE PLANNING, DESIGN,
   22  CONSTRUCTION, MANAGEMENT, MAINTENANCE,  RECONSTRUCTION,  REVITALIZATION,
   23  OR  REJUVENATION  ACTIVITIES  INTENDED TO IMPROVE WATERS OF THE STATE OF
   24  ECOLOGICAL SIGNIFICANCE OR ANY PART THEREOF, INCLUDING, BUT NOT  LIMITED
   25  TO  PONDS,  BOGS,  WETLANDS, BAYS, SOUNDS, STREAMS, RIVERS, OR LAKES AND
   26  SHORELINES THEREOF, TO SUPPORT A SPAWNING, NURSERY, WINTERING,  MIGRATO-
   27  RY,  NESTING,  BREEDING,  FEEDING,  OR FORAGING ENVIRONMENT FOR FISH AND
   28  WILDLIFE AND OTHER BIOTA.
   29    (H)  "POLLUTION  PREVENTION  PROJECT"  MEANS  THE  PLANNING,   DESIGN,
   30  CONSTRUCTION,  IMPROVEMENT,  MAINTENANCE  OR  ACQUISITION OF FACILITIES,
   31  PRODUCTION PROCESSES, EQUIPMENT OR BUILDINGS OWNED OR OPERATED BY  MUNI-
   32  CIPALITIES  FOR  THE  REDUCTION, AVOIDANCE, OR ELIMINATION OF THE USE OF
   33  TOXIC OR HAZARDOUS SUBSTANCES OR THE GENERATION OF  SUCH  SUBSTANCES  OR
   34  POLLUTANTS  SO  AS  TO REDUCE RISKS TO PUBLIC HEALTH OR THE ENVIRONMENT,
   35  INCLUDING  CHANGES  IN  PRODUCTION  PROCESSES  OR  RAW  MATERIALS;  SUCH
   36  PROJECTS  SHALL  NOT  INCLUDE  INCINERATION, TRANSFER FROM ONE MEDIUM OF
   37  RELEASE OR DISCHARGE TO ANOTHER MEDIUM,  OFF-SITE  OR  OUT-OF-PRODUCTION
   38  RECYCLING, END-OF-PIPE TREATMENT OR POLLUTION CONTROL.
   39    (I)  "STORMWATER  COLLECTING SYSTEM" MEANS SYSTEMS OF CONDUITS AND ALL
   40  OTHER  CONSTRUCTION,  DEVICES,  AND  APPLIANCES   APPURTENANT   THERETO,
   41  DESIGNED  AND  USED  TO  COLLECT AND CARRY STORMWATER AND SURFACE WATER,
   42  STREET WASH, AND OTHER WASH AND DRAINAGE WATERS TO A  POINT  SOURCE  FOR
   43  DISCHARGE.
   44    (J) "VESSEL PUMPOUT STATION" MEANS A PROJECT FOR THE PLANNING, DESIGN,
   45  ACQUISITION OR CONSTRUCTION OF A PERMANENT OR PORTABLE DEVICE CAPABLE OF
   46  REMOVING HUMAN SEWAGE FROM A MARINE HOLDING TANK.
   47    2.  The town board of any town in the Peconic Bay region is authorized
   48  to establish by local law a community preservation fund pursuant to  the
   49  provisions  of this section. Deposits into the fund may include revenues
   50  of the local government from whatever source and  shall  include,  at  a
   51  minimum, all revenues from a tax imposed upon the transfer of real prop-
   52  erty  interests in such town pursuant to article thirty-one-D of the tax
   53  law. The fund shall also be authorized  to  accept  gifts  of  any  such
   54  interests in land or of funds. Interest accrued by monies deposited into
   55  the  fund shall be credited to the fund. In no event shall monies depos-
   56  ited in the fund be transferred to any other account. Nothing  contained
       S. 5324                             3                            A. 7471
    1  in  this section shall be construed to prevent the financing in whole or
    2  in part, pursuant to the local finance law, of any acquisition OR  WATER
    3  QUALITY  IMPROVEMENT PROJECT authorized pursuant to this section. Monies
    4  from  the  fund may be utilized to repay any indebtedness or obligations
    5  incurred pursuant to the local finance law consistent with  effectuating
    6  the  purposes  of  this section. Where a town finances an acquisition OR
    7  WATER QUALITY IMPROVEMENT PROJECT, in whole, or in part, pursuant to the
    8  local finance law, the resolution authorizing such indebtedness shall be
    9  accompanied by a report from the town supervisor demonstrating how  said
   10  indebtedness  will  be  repaid by the fund. Said report shall include an
   11  estimate of projected revenues of the fund during the period of  indebt-
   12  edness. The report shall also provide an accounting of all other indebt-
   13  edness  incurred  against the fund to be repaid for the same period. The
   14  town board shall make findings by resolution that there will  be  suffi-
   15  cient  revenue  to repay such indebtedness in its entirety from the fund
   16  before authorizing such indebtedness. [A town in the Peconic Bay  region
   17  may  only  adopt  the local law authorized by this subdivision if it has
   18  incurred or authorized bonded indebtedness since nineteen hundred eighty
   19  for open space purposes equal to or greater than two hundred dollars per
   20  town resident.  The number of residents shall be determined by the  1990
   21  U.S.  Census.    Said  local  law shall make a finding that the town has
   22  complied with the per resident financial commitment requirement of  this
   23  subdivision.]
   24    3.  The  purposes of the fund shall be exclusively, (a) to implement a
   25  plan for the preservation of community character  as  required  by  this
   26  section,  (b)  to  acquire  interests or rights in real property for the
   27  preservation of community character within the town  including  villages
   28  therein  in  accordance  with  such plan and in cooperation with willing
   29  sellers, (c) to establish a bank pursuant to a transfer  of  development
   30  rights  program  consistent with section two hundred sixty-one-a of this
   31  chapter, [and] (d) to provide a management and stewardship  program  for
   32  such  interests  and rights consistent with subdivisions nine and nine-a
   33  of this section and in accordance with such plan  designed  to  preserve
   34  community character; provided that not more than ten percent of the fund
   35  shall be utilized for the management and stewardship program, AND (E) TO
   36  IMPLEMENT  WATER  QUALITY IMPROVEMENT PROJECTS IN ACCORDANCE WITH A PLAN
   37  TO PRESERVE COMMUNITY CHARACTER. A MAXIMUM OF TWENTY (20) PERCENT OF THE
   38  FUND MAY BE UTILIZED FOR THE IMPLEMENTATION OF WATER QUALITY IMPROVEMENT
   39  PROJECTS; PROVIDED THAT WHERE SUCH WATER QUALITY IMPROVEMENT  FUNDS  ARE
   40  UTILIZED  FOR THE OPERATION OF THE PECONIC BAY NATIONAL ESTUARY PROGRAM,
   41  THE USE OF SUCH FUNDS SHALL ONLY BE UTILIZED TO  MATCH  FEDERAL,  STATE,
   42  COUNTY,  OR  OTHER PUBLIC OR PRIVATE FUNDS ON A DOLLAR FOR DOLLAR BASIS,
   43  NOT TO EXCEED TEN (10) PERCENT OF THE  ANNUAL  AMOUNT  APPROPRIATED  FOR
   44  WATER  QUALITY IMPROVEMENT PROJECTS. If the implementation of the commu-
   45  nity preservation project plan, adopted by a town board, as provided  in
   46  subdivision  six  of  this section, has been completed, and funds are no
   47  longer needed for the purposes outlined in this  subdivision,  then  any
   48  remaining  monies  in  the  fund  shall  be applied to reduce any bonded
   49  indebtedness or obligations incurred to effectuate the purposes of  this
   50  section.
   51    3-a.  Preliminary and incidental costs in connection with the acquisi-
   52  tion of interests or rights in real property,  pursuant  to  subdivision
   53  three  of this section, shall be deemed part of the cost of the acquisi-
   54  tion for which they were incurred. Such  expenditures  may  include  any
   55  administrative  or  other  expenditures  directly  arising therefrom. No
   56  expenditure shall be charged to the fund, unless authorized  by  law.  A
       S. 5324                             4                            A. 7471
    1  full  accounting  of  such  costs  for each acquisition of land shall be
    2  provided to the town board.
    3    4.  Preservation  of  community character shall involve one or more of
    4  the following: (a) establishment of parks, nature preserves,  or  recre-
    5  ation  areas;  (b)  preservation  of  open space, including agricultural
    6  lands; (c) preservation of lands of exceptional scenic value; (d)  pres-
    7  ervation of fresh and saltwater marshes or other wetlands; (e) preserva-
    8  tion  of  aquifer recharge areas; (f) preservation of undeveloped beach-
    9  lands or shoreline  including  those  at  significant  risk  of  coastal
   10  flooding  due  to projected sea level rise and future storms; (g) estab-
   11  lishment of wildlife refuges  for  the  purpose  of  maintaining  native
   12  animal  species diversity, including the protection of habitat essential
   13  to the recovery of rare, threatened or endangered species; (h) preserva-
   14  tion of pine barrens consisting of such biota as pitch pine,  and  scrub
   15  oak;  (i)  preservation  of  unique  or threatened ecological areas; (j)
   16  preservation of rivers and river areas in a natural, free-flowing condi-
   17  tion; (k) preservation of forested  land;  (l)  preservation  of  public
   18  access  to  lands  for public use including stream rights and waterways;
   19  (m) preservation of historic places and properties  listed  on  the  New
   20  York  state register of historic places and/or protected under a munici-
   21  pal historic preservation ordinance or law; and (n) undertaking  any  of
   22  the  aforementioned  in furtherance of the establishment of a greenbelt.
   23  PRESERVATION OF COMMUNITY CHARACTER SHALL ALSO  INCLUDE  THE  PROTECTION
   24  AND IMPROVEMENT OF THE QUALITY OF ALL WATER RESOURCES.
   25    5.  The  town  board  of  any town in the Peconic Bay region which has
   26  established a community preservation fund shall create an advisory board
   27  to review and make recommendations on proposed acquisitions of interests
   28  in real property OR WATER QUALITY IMPROVEMENT PROJECTS using monies from
   29  the fund. Such board shall consist of five or seven legal  residents  of
   30  the  municipality who shall serve without compensation. No member of the
   31  local legislative body shall serve on  the  board.  A  majority  of  the
   32  members  of  the board shall have demonstrated experience with conserva-
   33  tion [or] AND land preservation activities OR WATER QUALITY  IMPROVEMENT
   34  ACTIVITIES.    The  board  shall act in an advisory capacity to the town
   35  board. At least one member of the board shall be an active farmer.
   36    6. The town board of any town in the  Peconic  Bay  region  which  has
   37  established  a  community preservation fund shall, by local law, adopt a
   38  community preservation project plan. This plan shall list every  project
   39  which the town plans to undertake pursuant to the community preservation
   40  fund. It shall include every parcel which is necessary to be acquired in
   41  the  town  in  order  to  protect  community  character. Such plan shall
   42  provide for a detailed evaluation of all available land use alternatives
   43  to protect community character, including but not limited  to:  (a)  fee
   44  simple   acquisition,   (b)   zoning   regulations,   including  density
   45  reductions, cluster development, and site plan and design  requirements,
   46  (c)  transfer  of  development  rights,  (d) the purchase of development
   47  rights, and (e) scenic and conservation easements. Said evaluation shall
   48  be as specific as practicable as to each parcel selected  for  inclusion
   49  in  the  plan. The plan shall establish the priorities for preservation,
   50  and shall include the preservation of farmland as its highest  priority.
   51  SAID  PLAN SHALL ALSO LIST EVERY WATER QUALITY IMPROVEMENT PROJECT WHICH
   52  THE TOWN PLANS TO UNDERTAKE PURSUANT TO THE COMMUNITY PRESERVATION  FUND
   53  AND  SHALL  STATE HOW SUCH PROJECT WOULD IMPROVE EXISTING WATER QUALITY.
   54  PROJECTS WHICH HAVE AS THEIR PURPOSE THE ACCOMMODATION OF NEW GROWTH  AS
   55  OPPOSED  TO THE REMEDIATION OF WATER QUALITY SHALL NOT QUALIFY FOR FUND-
   56  ING UNDER THIS SECTION. Funds from the community preservation  fund  may
       S. 5324                             5                            A. 7471
    1  only  be  expended  for  projects which have been included in said plan.
    2  Said plan shall be updated not less than once every five years,  but  in
    3  no  event  until at least three years after the adoption of the original
    4  plan.  A  copy of the plan shall be filed with the commissioner of envi-
    5  ronmental conservation, the commissioner of agriculture and markets  and
    6  the commissioner of the office of parks, recreation and historic preser-
    7  vation.  Said  plan  shall  be  completed at least sixty days before the
    8  submission of the mandatory referendum required by section one  thousand
    9  four  hundred  forty-nine-bb of the tax law. As part of, or in addition,
   10  to said community preservation fund project plan, each  town  board  may
   11  also  adopt a management and stewardship plan for interests or rights in
   12  real property acquired pursuant to this section. No monies from the fund
   13  shall be expended for management and stewardship, except as approved  in
   14  said plan. Said plan may provide management and stewardship projects for
   15  up  to a three year period and shall provide a description and estimated
   16  cost for each project. Said plan shall be approved and adopted by  local
   17  law  and  may be updated from time to time at the discretion of the town
   18  board. Only management and stewardship projects  permitted  pursuant  to
   19  subdivision  nine-a  of this section shall be eligible to be included in
   20  the plan.
   21    7. The town board of any town in the  Peconic  Bay  region  which  has
   22  established a community preservation fund pursuant to this section shall
   23  study and consider establishing a transfer of development rights program
   24  to  protect  community  character as provided for by section two hundred
   25  sixty-one-a of this chapter. All provisions of such section two  hundred
   26  sixty-one-a  shall  be  complied with. If at any time during the life of
   27  the community preservation fund a transfer of development rights program
   28  is established, the town may utilize monies from the community preserva-
   29  tion fund in order to create and fund a central bank of the transfer  of
   30  development rights program. If at any time during the life of the commu-
   31  nity  preservation  fund,  a  transfer  of development rights program is
   32  repealed by the town, all monies from the central bank shall be returned
   33  to the community preservation fund.
   34    8. No interests or rights in real property shall be acquired  pursuant
   35  to  this  section  until a public hearing is held as required by section
   36  two hundred forty-seven of the general municipal law; provided, however,
   37  that nothing herein shall prevent the town board from  entering  into  a
   38  conditional  purchase  agreement  before  a  public hearing is held. Any
   39  resolution of a town board approving an acquisition of land pursuant  to
   40  this  section,  shall find that acquisition was the best alternative for
   41  the protection of community character of all the reasonable alternatives
   42  available to the town.
   43    9. Lands acquired pursuant to this section shall be  administered  and
   44  managed  in  a  manner  which  (a)  allows public use and enjoyment in a
   45  manner compatible with the natural,  scenic,  historic  and  open  space
   46  character  of  such lands; (b) preserves the native biological diversity
   47  of such lands; (c) with regard to open spaces,  limits  improvements  to
   48  enhancing  access  for  passive use of such lands such as nature trails,
   49  boardwalks, bicycle paths, and peripheral parking  areas  provided  that
   50  such  improvements  do  not  degrade the ecological value of the land or
   51  threaten essential wildlife habitat; and (d) preserves cultural property
   52  consistent  with  accepted  standards  for  historic  preservation.   In
   53  furthering  the purposes of this section, the town may enter into agree-
   54  ments with corporations organized under the  not-for-profit  corporation
   55  law  and  engage in land trust activities to manage lands including less
   56  than fee interests acquired pursuant to the provisions of this  section,
       S. 5324                             6                            A. 7471
    1  provided  that  any  such  agreement shall contain a provision that such
    2  corporation shall keep the lands accessible to the  public  unless  such
    3  corporation  shall  demonstrate  to  the  satisfaction  of the town that
    4  public  accessibility  would  be detrimental to the lands or any natural
    5  resources associated therewith.
    6    9-a. (a) Except for interests or rights in real property acquired  for
    7  historic  preservation  purposes,  management  and  stewardship projects
    8  shall be only expended for (1) projects which promote the protection  or
    9  enhancement  of  the natural, scenic, and open space character for which
   10  the interests or rights in real property were acquired, or (2) accessory
   11  uses related to the purpose for which the interests or  rights  in  real
   12  property were acquired consistent with subdivision nine of this section,
   13  or  (3)  restoration  of  acquired  real  property  to its natural state
   14  including the demolition of existing buildings and structures.
   15    (b) In the case of interests or rights in real property  acquired  for
   16  historic  preservation  purposes,  funds  may  be  expended only for the
   17  restoration and rehabilitation of buildings  and  structures  consistent
   18  with accepted standards for historic preservation.
   19    (c)  Expenses  related  to  the customary operation and maintenance of
   20  acquired interests or rights in real property  shall  not  be  permitted
   21  from the fund.
   22    (d) Any project funded pursuant to this subdivision must have a useful
   23  life of five years or more under section 11.00 of the local finance law.
   24    (e)  Any  expenditure  from  the  fund  for  a purpose other than that
   25  permitted, herein, shall be deemed to be prohibited.
   26    10. Rights or interests in real property  acquired  with  monies  from
   27  such  fund  shall  not be sold, leased, exchanged, donated, or otherwise
   28  disposed of or used for  other  than  the  purposes  permitted  by  this
   29  section  without  the  express  authority  of an act of the legislature,
   30  which shall provide for the substitution of other lands of  equal  envi-
   31  ronmental  value and fair market value and reasonably equivalent useful-
   32  ness and location to those to be discontinued, sold or disposed of,  and
   33  such  other requirements as shall be approved by the legislature.  Noth-
   34  ing in this section shall preclude a town, by local law, from establish-
   35  ing additional restrictions to the alienation of lands acquired pursuant
   36  to this section. This subdivision shall not apply to the sale of  devel-
   37  opment  rights  by  a town acquired pursuant to this section, where said
   38  sale is made by a central bank created by a town, pursuant to a transfer
   39  of development rights program established by a town pursuant to  section
   40  two  hundred sixty-one-a of this chapter, provided, however (a) that the
   41  lands from which said development  rights  were  acquired  shall  remain
   42  preserved  in  perpetuity  by a permanent conservation easement or other
   43  instrument that similarly preserves the community  character  referenced
   44  in subdivision four of this section, and (b) the proceeds from such sale
   45  shall be deposited in the community preservation fund.
   46    11.  Notwithstanding  any  provision of law to the contrary, towns may
   47  enter into intermunicipal agreements pursuant to article five-G  of  the
   48  general municipal law for the following purposes: (a) to jointly acquire
   49  interests  or  rights  in real property, consistent with the purposes of
   50  this section, where the acquisition of such interests or rights promotes
   51  a regional public benefit for two or more towns pursuant to  a  regional
   52  plan,
   53    (b)  to  establish  an  office  or  department among all five towns to
   54  render legal opinions and interpretations to  facilitate  the  efficient
   55  and consistent administration of each fund created under this section,
   56    (c) to provide for an independent financial audit of each town's fund,
       S. 5324                             7                            A. 7471
    1    (d)  to  hire  employees necessary to implement the provisions of this
    2  section.
    3    12.  Each  town  shall annually commission an independent audit of the
    4  fund. The audit shall be conducted by an  independent  certified  public
    5  accountant  or  an  independent  public  accountant. Said audit shall be
    6  performed by a certified public  accountant  or  an  independent  public
    7  accountant  other  than  the one that performs the general audit of each
    8  town's finances. Such audit shall be an  examination  of  the  fund  and
    9  shall  determine  whether the fund has been administered consistent with
   10  the provisions of this section and all other  applicable  provisions  of
   11  state  law. Said audit shall be initiated within sixty days of the close
   12  of the fiscal year of each  town  and  shall  be  completed  within  one
   13  hundred twenty days of the close of the fiscal year. A copy of the audit
   14  shall be submitted annually to the state comptroller and the town clerk.
   15  A  copy of the audit shall be made available to the public within thirty
   16  days of its completion. A notice of the completion of the audit shall be
   17  published in the official newspaper of the town and posted on the  offi-
   18  cial  sign board of the town within ten days of its filing with the town
   19  clerk. Said audit and notice shall also be posted on the  internet  site
   20  for the town. The cost of the audit may be a charge to the fund.
   21    13. The cost of employees and independent contractors to implement the
   22  provisions  of  this section, may only be paid for by the fund where the
   23  duties and responsibilities of said employees and  independent  contrac-
   24  tors  are  directly  dedicated  to  implementing  the provisions of this
   25  section. Where such employees and independent contractors are not exclu-
   26  sively dedicated to implementing the provisions of this section, no more
   27  than the cost of the actual time expended directly dedicated  to  imple-
   28  menting  the provisions of this section may be charged. Such costs shall
   29  be expressly identified in the town budget and any plan adopted pursuant
   30  to this section before funds for such costs may be  expended.  In  addi-
   31  tion, such costs must be documented by a time accounting system, subject
   32  to  audit.  Costs relating to the activities of elected officials imple-
   33  menting the purposes of this section may not be a charge to the fund.
   34    S 2. Where a town extends the provisions of article 31-D  of  the  tax
   35  law  in relation to the date of expiration of chapter 114 of the laws of
   36  1998 as authorized by section three of this act, or where a town  adopts
   37  the provisions of section one of this act in relation to including water
   38  quality improvement projects under the definition of the preservation of
   39  community  character,  such  action  shall  be  implemented by local law
   40  subject to a mandatory referendum pursuant to section 23 of the  munici-
   41  pal home rule law.
   42    S  3.  Section 5 of chapter 114 of the laws of 1998, amending the town
   43  law and other laws relating to authorizing certain towns in the  Peconic
   44  Bay  region  to  establish  community  preservation funds, as amended by
   45  chapter 391 of the laws of 2006, is amended to read as follows:
   46    S 5. This act shall take effect  immediately;  provided  that  article
   47  31-D  of the tax law, as added by section three of this act shall remain
   48  in full force and effect until December 31, [2030] 2050 when  upon  such
   49  date  the  provisions of such section three of this act shall expire and
   50  be deemed repealed, provided however, that the tax authorized by section
   51  three of this act shall not take effect before July 1, 1998.
   52    S 4. This act shall take effect immediately.