S T A T E O F N E W Y O R K
________________________________________________________________________
5609
2011-2012 Regular Sessions
I N A S S E M B L Y
February 24, 2011
___________
Introduced by M. of A. BRENNAN, ORTIZ, STEVENSON -- Multi-Sponsored by
-- M. of A. AUBRY, CLARK, COLTON, GOTTFRIED, GUNTHER, JACOBS, PHEFFER,
ROSENTHAL, RUSSELL, SWEENEY -- read once and referred to the Committee
on Energy
AN ACT to amend the public authorities law and the general city law, in
relation to the creation of city public utility districts and the
provision of light, heat, power and energy to such districts by the
power authority of the state of New York
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The public authorities law is amended by adding a new
section 1005-b to read as follows:
S 1005-B. CONTRACTS WITH THE AUTHORITY. 1. A. THE AUTHORITY IS AUTHOR-
IZED AND, WHERE THE TRUSTEES DEEM IT FEASIBLE AND ADVISABLE, DIRECTED TO
ENTER INTO CONTRACTS WITH CITIES FOR THE PROVISION OF LIGHT, HEAT,
POWER, ENERGY OR ENERGY CONSERVATION SERVICES TO CITY PUBLIC UTILITY
DISTRICTS ESTABLISHED OR EXTENDED PURSUANT TO ARTICLE FIVE OF THE GENER-
AL CITY LAW.
B. THE AUTHORITY SHALL NOT UNREASONABLY DENY ANY REQUEST OF A CITY TO
ENTER INTO A CONTRACT DESCRIBED IN PARAGRAPH A OF THIS SUBDIVISION, AND
MAY PROVIDE, AT THE REQUEST OF ANY CITY ON BEHALF OF A CITY PUBLIC UTIL-
ITY DISTRICT, ANY SERVICES REASONABLY RELATED TO THE PREPARATION OF A
DISTRICT PLAN AS DEFINED IN SECTION SEVENTY-B OF THE GENERAL CITY LAW
AND BE REIMBURSED BY SUCH CITY FOR SUCH SERVICES.
2. A. THE AUTHORITY MAY, PURSUANT TO ANY CONTRACT ENTERED INTO WITH A
CITY, CONSTRUCT AND/OR ACQUIRE BY PURCHASE, CONDEMNATION OR OTHERWISE
ANY LAND, STRUCTURES, EQUIPMENT OR FACILITIES NECESSARY FOR THE
PROVISION OF LIGHT, HEAT, POWER, ENERGY OR ENERGY CONSERVATION SERVICES.
B. THE AUTHORITY MAY REQUEST THE STATE PUBLIC SERVICE COMMISSION, THE
CITY WITH WHICH IT HAS ENTERED OR IS ENTERING INTO A CONTRACT OR ANY
UTILITY RENDERING SERVICES PURSUANT TO THE PROVISIONS OF THE PUBLIC
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00974-01-1
A. 5609 2
SERVICE LAW TO FURNISH SUCH BOOKS, RECORDS, MAPS, CUSTOMER ACCOUNTS AND
OTHER INFORMATION REASONABLY NECESSARY TO THE AUTHORITY FOR THE
PROVISION OF THE SERVICES DESCRIBED IN SUCH CONTRACT. THE AUTHORITY MAY
COMPEL THE PRODUCTION OF SUCH INFORMATION PURSUANT TO SECTION ONE THOU-
SAND SIX OF THIS TITLE.
3. A. ON FEBRUARY FIRST IN EACH CALENDAR YEAR, THE AUTHORITY SHALL
SUBMIT TO THE LOCAL LEGISLATIVE BODY OF EACH CITY A PROPOSED CONTRACT
SETTING FORTH A CAPITAL IMPROVEMENT PLAN FOR EACH CITY PUBLIC UTILITY
DISTRICT IN WHICH THE AUTHORITY IS RENDERING SERVICE. IN ADDITION, THE
AUTHORITY SHALL FORWARD A COPY OF SUCH PLAN TO EACH AFFECTED CITY PUBLIC
UTILITY DISTRICT COUNCIL.
B. THE AUTHORITY MAY CONTRACT WITH ANY CITY, OR A CITY PUBLIC UTILITY
DISTRICT COUNCIL WITH THE PERMISSION OF SUCH CITY, TO ACT AS THE AGENT
OF THE AUTHORITY TO RENDER SUCH SERVICES AS THE AUTHORITY MAY DEEM
NECESSARY OR CONVENIENT IN THE PROVISION OF LIGHT, HEAT, POWER, ENERGY
OR ENERGY CONSERVATION SERVICES TO A CITY PUBLIC UTILITY DISTRICT.
4. A. THE AUTHORITY SHALL PROVIDE TO THE LOCAL LEGISLATIVE BODY AND TO
THE CITY PUBLIC UTILITY DISTRICT AN ANNUAL REPORT ON THE OPERATIONS OF
ITS SERVICES FOR EACH CITY PUBLIC UTILITY DISTRICT, INCLUDING A FINAN-
CIAL STATEMENT AS TO THE ASSETS, LIABILITIES, REVENUES AND EXPENSES OF
THE DISTRICT CERTIFIED BY AN INDEPENDENT PUBLIC ACCOUNTANT.
B. PROCEEDS OF ANY CHARGES FOR LIGHT, HEAT, STEAM, POWER OR ENERGY TO
ANY SUCH DISTRICT SHALL FIRST BE PLACED IN A SEPARATE ACCOUNT BY THE
AUTHORITY FOR SUCH PUBLIC UTILITY DISTRICT, AND NOT COMMINGLED WITH ANY
OTHER FUNDS OF THE AUTHORITY UNTIL SUCH PROCEEDS AND DISBURSEMENTS SHALL
HAVE BEEN ENTERED INTO THE CITY'S BOOKS OF ACCOUNT IN THE CITY PUBLIC
UTILITY DISTRICT ACCOUNT.
5. A. THE AUTHORITY SHALL AT ALL TIMES MAINTAIN FINAL CONTROL OF THE
RATES AND CHARGES, EXCEPT AS PROVIDED IN PARAGRAPH B OF THIS SUBDIVI-
SION, FOR THE PROVISION OF LIGHT, HEAT, POWER, ENERGY OR ENERGY CONSER-
VATION SERVICES. SUCH RATES AND CHARGES SHALL BE JUST AND REASONABLE,
AND SHALL COVER THE OPERATIONS AND MAINTENANCE OF THE SERVICES, INCLUD-
ING FUEL AND PURCHASED POWER, A REASONABLE PROVISION FOR DEPRECIATION,
WORKING CAPITAL AND THE PAYMENT OF PRINCIPAL AND INTEREST ON SUCH NOTES
AND BONDS OF THE AUTHORITY AS MAY HAVE BEEN ISSUED INCIDENT TO THE
PROVISION OF SUCH SERVICES. IN ADDITION, THE LOCAL LEGISLATIVE BODY AND
THE AUTHORITY MAY CONTRACT FOR THE AUTHORITY TO MAKE PAYMENTS IN LIEU OF
TAXES TO THE CITY.
B. THE AUTHORITY, THE LOCAL LEGISLATIVE BODY AND THE DISTRICT COUNCIL
MAY CONTRACT FOR A SURCHARGE IN SUCH RATES AND CHARGES TO COVER THE
ACCUMULATION OF ANY EQUITY INTEREST IN ANY FACILITIES ACQUIRED OR
CONSTRUCTED BY THE AUTHORITY ON BEHALF OF THE REAL PROPERTY OWNERS,
TENANTS, RATEPAYERS AND CITIZENS OF THE CITY PUBLIC UTILITY DISTRICT.
S 2. The general city law is amended by adding a new article 5 to read
as follows:
ARTICLE 5
CITY PUBLIC UTILITY DISTRICT LAW
SECTION 70. SHORT TITLE.
70-A. LEGISLATIVE FINDINGS AND DECLARATION OF INTENT.
70-B. DEFINITIONS.
70-C. LOCAL ADOPTION OF ARTICLE.
70-D. LEGISLATIVE POWERS.
70-E. DISTRICT PLAN.
70-F. NOTICE AND HEARING.
70-G. CREATION OR EXTENSION OF THE DISTRICT.
70-H. PUBLICATION; FILING; JUDICIAL REVIEW.
A. 5609 3
70-I. CAPITAL IMPROVEMENTS.
70-J. DISTRICT COUNCILS.
S 70. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS THE
"CITY PUBLIC UTILITY DISTRICT LAW".
S 70-A. LEGISLATIVE FINDINGS AND DECLARATION OF INTENT. IT IS HEREBY
FOUND AND DECLARED THAT THE HIGH COST OF ENERGY AND POWER IN THE STATE
OF NEW YORK AND ESPECIALLY THE CITY OF NEW YORK ARE DETRIMENTAL TO THE
PROSPERITY AND ECONOMIC WELL-BEING OF THE CITIZENS AND BUSINESSES OF THE
STATE. AT THE SAME TIME, TECHNOLOGICAL ADVANCES IN THE PROVISION OF
ENERGY AND INCREASES IN THE RELATIVE VALUE OF BYPRODUCT HEAT HAVE
RESULTED IN THE POSSIBILITY OF THE ECONOMIC PROVISION OF LIGHT, HEAT AND
POWER ON A SMALL-SCALE BASIS. IN ORDER TO ALLOW THE PEOPLE AND BUSINESS
OF THE STATE AND CITY OF NEW YORK TO REALIZE THE BENEFITS OF THE
LOW-COST PROVISION OF LIGHT, HEAT AND POWER IN A MANNER COMPATIBLE WITH
THE NEEDS AND DESIRES OF CITIZENS IN A DEMOCRACY, AND TO PROVIDE YARDST-
ICKS FOR THE PERFORMANCE OF UTILITY COMPANIES PROVIDING SERVICE PURSUANT
TO THE PROVISIONS OF THE PUBLIC SERVICE LAW, THE LEGISLATURE HEREBY
FINDS THE CREATION OF CITY PUBLIC UTILITY DISTRICTS TO BE AN EFFECTIVE
MEANS OF REDUCING THE COST OF ENERGY AND POWER.
S 70-B. DEFINITIONS. WHEN USED IN THIS ARTICLE THE FOLLOWING WORDS
SHALL HAVE THE FOLLOWING MEANINGS:
(A) "DISTRICT" MEANS A CITY PUBLIC UTILITY DISTRICT ESTABLISHED PURSU-
ANT TO THIS ARTICLE.
(B) "AUTHORITY" MEANS THE POWER AUTHORITY OF THE STATE OF NEW YORK.
(C) "DISTRICT COUNCIL" MEANS THE COUNCIL ESTABLISHED PURSUANT TO
SECTION SEVENTY-J OF THIS ARTICLE.
(D) "DISTRICT PLAN" OR "PLAN" MEANS A PROPOSAL WHICH INCLUDES:
(1) A MAP OF THE DISTRICT;
(2) THE WRITTEN REPORT OR REPORTS OF THE LEGISLATIVE BODY CONTAINING A
DESCRIPTION OF THE BOUNDARIES OF THE DISTRICT PROPOSED FOR CREATION OR
EXTENSION IN A MANNER SUFFICIENT TO IDENTIFY THE FACILITIES TO BE
ACQUIRED OR CONSTRUCTED, THE LANDS TO BE INCLUDED, THE PRESENT AND
PROPOSED USES OF THESE LANDS OR FACILITIES, THE MAXIMUM TOTAL AND ANNUAL
AMOUNT PROPOSED TO BE EXPENDED FOR THE ACQUISITION OR CONSTRUCTION OF
SUCH LAND AND FACILITIES AND THEIR MAINTENANCE AND OPERATION, THE
PROPOSED SOURCE OR SOURCES OF FINANCING, AND THE PROPOSED TIME FOR
IMPLEMENTATION AND COMPLETION OF THE PLAN;
(3) ANY OTHER ITEM OR MATTER REQUIRED TO BE INCORPORATED THEREIN BY
THE LEGISLATIVE BODY.
(E) "FACILITIES" MEANS ANY LAND, STRUCTURES, AND/OR EQUIPMENT TO BE
ACQUIRED OR CONSTRUCTED FOR THE GENERATION, TRANSMISSION OR DISTRIBUTION
OF LIGHT, HEAT, POWER, ENERGY OR ENERGY CONSERVATION.
(F) "LEGISLATIVE BODY" MEANS THE CITY BODY EMPOWERED TO ADOPT AND
AMEND LOCAL LAWS AND ORDINANCES, EXCEPT THAT IN A CITY OF ONE MILLION OR
MORE THE TERM "LEGISLATIVE BODY" SHALL MEAN THE BOARD OF ESTIMATE, WHICH
MAY ACT BY RESOLUTION, RATHER THAN BY LOCAL LAW, WHERE THE LEGISLATIVE
BODY IS OTHERWISE REQUIRED BY THIS ARTICLE TO ACT BY LOCAL LAW.
(G) "VOTER" MEANS A PERSON QUALIFIED TO VOTE UNDER THE PROVISIONS OF
THE ELECTION LAW AT THE TIME SUCH PERSON SIGNS ANY PETITION DESCRIBED IN
SECTION SEVENTY-E OF THIS ARTICLE.
S 70-C. LOCAL ADOPTION OF ARTICLE. EVERY CITY IS AUTHORIZED TO ADOPT A
LOCAL LAW, SUBJECT TO PERMISSIVE REFERENDUM, PROVIDING THAT THE
PROVISIONS OF THIS ARTICLE SHALL BE APPLICABLE TO THE CREATION OR EXTEN-
SION OF DISTRICTS IN THE CITY.
S 70-D. LEGISLATIVE POWERS. UPON THE CREATION OF A DISTRICT PURSUANT
TO THE PROVISIONS OF THIS ARTICLE, ANY CITY SHALL HAVE AUTHORITY TO
A. 5609 4
EXERCISE THE FOLLOWING POWERS WITH RESPECT TO SUCH DISTRICT, SUBJECT TO
THE PROVISIONS OF THIS ARTICLE:
(A) TO CONTRACT ON BEHALF OF ALL OR A PART OF THE DISTRICT WITH THE
POWER AUTHORITY OF THE STATE OF NEW YORK FOR THE ACQUISITION OR
CONSTRUCTION OF LAND, FACILITIES, STRUCTURES OR EQUIPMENT FOR THE
PROVISION OF LIGHT, HEAT, STEAM, ELECTRIC POWER AND OTHER FORMS OF ENER-
GY FOR GENERAL PUBLIC USE ON A REASONABLE, NONDISCRIMINATORY BASIS TO
ALL OR PART OF THE DISTRICT. ANY SUCH CONTRACT SHALL CONTAIN PROVISIONS
CONFORMING THE RENDERING OF ANY PUBLIC UTILITY SERVICE AS DEFINED IN THE
PUBLIC SERVICE LAW WITH THE PROVISIONS OF THE PUBLIC SERVICE LAW
RESPECTING APPLICATIONS FOR, AND TERMINATIONS OF, ELECTRIC SERVICE FOR
RESIDENTIAL CUSTOMERS, AND PROHIBITING ANY UNDUE OR UNREASONABLE PREFER-
ENCES OR DISCRIMINATIONS BETWEEN CLASSES OF CUSTOMERS.
(B) TO CONTRACT TO ACT AS THE AUTHORITY'S AGENT FOR THE RENDERING OF
ANY SERVICES, MATERIALS, SUPPLIES, STUDIES, ENGINEERING OR DESIGN WORK
NECESSARY AND/OR CONVENIENT FOR THE AUTHORITY IN THE PROVISION OF LIGHT,
HEAT, ELECTRIC POWER, STEAM OR OTHER FORMS OF ENERGY TO ALL OR PART OF
THE DISTRICT.
S 70-E. DISTRICT PLAN. (A) THE LEGISLATIVE BODY OF ANY CITY TO WHICH
THE PROVISIONS OF THIS ARTICLE ARE APPLICABLE MAY PROVIDE FOR THE PREPA-
RATION OF A DISTRICT PLAN UPON ITS OWN MOTION, OR AT THE REQUEST OF THE
CHIEF EXECUTIVE OFFICER OR AN INDIVIDUAL OR AGENCY DESIGNATED BY HIM, OR
UPON THE WRITTEN PETITION, SIGNED AND ACKNOWLEDGED, OF (1) THE OWNERS OF
AT LEAST FIFTY-ONE PERCENT OF THE ASSESSED VALUATION OF ALL THE TAXABLE
REAL PROPERTY WITHIN THE BOUNDARIES OF THE DISTRICT PROPOSED FOR
CREATION OR EXTENSION, AS SHOWN UPON THE LATEST COMPLETED ASSESSMENT
ROLL OF THE CITY, AND AT LEAST FIFTY-ONE PERCENT OF THE OWNERS OF REAL
PROPERTY WITHIN THE AREA INCLUDED IN THE DISTRICT PROPOSED FOR CREATION
OR EXTENSION, OR (2) TEN PERCENT OF THE VOTERS VOTING IN THE LAST GENER-
AL ELECTION IN AN AREA NOT LESS THAN A COUNCILMANIC DISTRICT FOR ANY
CITY OTHER THAN THE CITY OF NEW YORK OR AN AREA NOT LESS THAN AN ASSEM-
BLY DISTRICT IN THE CITY OF NEW YORK, OR FIVE PERCENT OF ALL THE DULY
REGISTERED VOTERS IN A COMMUNITY DISTRICT AS DESCRIBED IN SECTION TWEN-
TY-SEVEN HUNDRED ONE OF THE CHARTER OF THE CITY OF NEW YORK, AS THE CASE
MAY BE, FILED IN THE OFFICE OF THE CITY CLERK.
(B) SUCH PETITION SHALL PRESENT TO THE LOCAL LEGISLATIVE BODY, IN A
FORM PRESCRIBED BY THE LOCAL BOARD OF ELECTIONS FOR SUCH CITY, THE
REQUEST OF THE UNDERSIGNED VOTERS OF SUCH COUNCILMANIC, ASSEMBLY OR
COMMUNITY DISTRICT THAT THE COUNCILMANIC, ASSEMBLY OR COMMUNITY DISTRICT
BE DESIGNATED AS A CITY PUBLIC UTILITY DISTRICT. IN THE CASE OF A COMMU-
NITY DISTRICT, THE LOCAL BOARD OF ELECTIONS SHALL CERTIFY TO ANY PERSON
OR PERSONS SEEKING SUCH INFORMATION THE NUMBER OF REGISTERED VOTERS
WHICH WOULD DULY CONSTITUTE FIVE PERCENT OF ALL SUCH REGISTERED VOTERS
IN SUCH COMMUNITY DISTRICT. THE PETITION MAY BE MADE UPON SEPARATE
SHEETS AND THE SIGNATURES OF EACH SHALL BE AUTHENTICATED IN THE MANNER
PROVIDED BY THE ELECTION LAW FOR THE AUTHENTICATION OF DESIGNATING
PETITIONS. THE SEVERAL SHEETS SO SIGNED AND AUTHENTICATED WHEN FASTENED
TOGETHER AND OFFERED FOR FILING SHALL BE DEEMED TO CONSTITUTE ONE PETI-
TION. A SIGNATURE MADE EARLIER THAN ONE HUNDRED TWENTY DAYS BEFORE THE
FILING SHALL NOT BE COUNTED. IF WITHIN TEN DAYS AFTER THE FILING OF SUCH
PETITION A WRITTEN OBJECTION THERETO BE FILED WITH THE OFFICER WITH WHOM
SUCH PETITION IS REQUIRED BY LAW TO BE FILED, THE SUPREME COURT OR ANY
JUSTICE THEREOF SHALL DETERMINE ANY QUESTION ARISING THEREUNDER AND MAKE
SUCH ORDER AS JUSTICE MAY REQUIRE. SUCH PROCEEDINGS SHALL BE HEARD AND
DETERMINED IN THE MANNER PRESCRIBED BY THE ELECTION LAW IN RELATION TO
JUDICIAL PROCEEDINGS THEREUNDER.
A. 5609 5
(C) THE CREATION OR EXTENSION OF A DISTRICT SHALL BE BASED UPON THE
DISTRICT PLAN FILED IN THE OFFICE OF THE CITY CLERK, EXCEPT AS OTHERWISE
PROVIDED IN THIS ARTICLE.
(D) IN ANY CITY HAVING A POPULATION OF ONE MILLION OR MORE, THE
DISTRICT PLAN SHALL FIRST BE SUBMITTED TO THE CITY PLANNING COMMISSION,
WHICH SHALL FORWARD SUCH PLAN WITHIN FIVE DAYS TO THE COMMUNITY BOARD OR
BOARDS FOR THE COMMUNITY DISTRICT OR DISTRICTS IN WHICH THE PROPOSED
CITY PUBLIC UTILITY DISTRICT IS LOCATED, AND TO THE RESPECTIVE BOROUGH
BOARD, IF THE PLAN INVOLVES PROPERTIES LOCATED IN TWO OR MORE COMMUNITY
DISTRICTS. EACH COMMUNITY BOARD SHALL NOTIFY THE PUBLIC OF THE PROPOSED
PLAN IN ACCORDANCE WITH THE REQUIREMENTS IMPOSED BY THE CITY PLANNING
COMMISSION, AND MAY CONDUCT A PUBLIC HEARING AND SUBMIT A WRITTEN RECOM-
MENDATION TO THE CITY PLANNING COMMISSION NOT LATER THAN THIRTY DAYS
AFTER RECEIPT OF THE PLAN. THE CITY PLANNING COMMISSION SHALL REVIEW THE
PLAN AND RECOMMENDATIONS AND, AFTER A PUBLIC HEARING, PREPARE A REPORT
FOR THE BOARD OF ESTIMATE. THE CITY PLANNING COMMISSION SHALL SUBMIT ITS
REPORT TO THE BOARD OF ESTIMATE, TOGETHER WITH COPIES OF ANY RECOMMENDA-
TION OF A COMMUNITY BOARD, WITHIN SIXTY DAYS FROM THE DATE OF EXPIRATION
OF THE COMMUNITY BOARD'S PERIOD FOR REVIEWING THE PLAN AND SUBMITTING
RECOMMENDATIONS.
(E) ANY DISTRICT PLAN SHALL CONFORM WITH THE REQUIREMENTS OF THIS
SECTION. THE LEGISLATIVE BODY MAY DETERMINE THAT THE PLAN OR ANY PART OF
THE PLAN SHALL BE PREPARED BY, OR UNDER THE SUPERVISION OF, CITY OFFI-
CERS AND EMPLOYEES TO BE DESIGNATED BY SUCH LEGISLATIVE BODY OR BY
PERSONS OR FIRMS TO BE EMPLOYED FOR THAT PURPOSE. THE EXPENSE INCURRED
FOR THE PREPARATION OF THE PLAN OR PART OF THE PLAN SHALL BE A CITY
CHARGE. THE STATE PUBLIC SERVICE COMMISSION AND THE POWER AUTHORITY OF
THE STATE OF NEW YORK SHALL, UPON REQUEST OF THE LOCAL LEGISLATIVE BODY,
PROVIDE SUCH ASSISTANCE AS MAY REASONABLY BE NECESSARY TO THE CITY
AND/OR ITS AGENTS DESIGNATED TO PREPARE SUCH A PLAN, AND THE CITY SHALL
REIMBURSE SUCH COMMISSION AND THE AUTHORITY FOR ALL REASONABLE AND
NECESSARY EXPENSES IN RELATION TO SUCH ASSISTANCE.
(F) IF THE CITY SHALL THEREAFTER EXTEND THE DISTRICT, THE EXPENSE
INCURRED BY THE CITY FOR THE PREPARATION OF THE PLAN OR ANY PART OF THE
PLAN SHALL BE DEEMED TO BE PART OF THE COST OF ANY IMPROVEMENT, AND THE
AUTHORITY SHALL REFLECT SUCH COST IN ITS BOOKS OF ACCOUNT AND IN ANY
BONDS OR NOTES ISSUED FOR THE PURPOSE OF PROVIDING ANY LIGHT, HEAT,
POWER OR ENERGY TO ALL OR PART OF A DISTRICT CREATED OR EXTENDED BY THIS
ARTICLE.
S 70-F. NOTICE AND HEARING. (A) AFTER THE FILING OF THE DISTRICT PLAN
IN THE OFFICE OF THE CITY CLERK, THE LEGISLATIVE BODY MAY ADOPT A RESOL-
UTION AND ENTER THE SAME IN THE MINUTES OF ITS PROCEEDINGS. SUCH RESOL-
UTION SHALL DESCRIBE THE BOUNDARIES OF THE DISTRICT PROPOSED FOR
CREATION OR EXTENSION IN A MANNER SUFFICIENT TO IDENTIFY THE REAL PROP-
ERTY OR AREA TO BE BENEFITTED AND INCLUDED THEREIN; THE IMPROVEMENTS
AND/OR SERVICES PROPOSED TO BE PROVIDED BY THE AUTHORITY, ALONG WITH THE
PROPOSED CONTRACT OR CONTRACTS WITH THE AUTHORITY FOR THE PROVISION OF
SUCH SERVICES; THE DISTRICT COUNCIL; THE FACT THAT A PLAN DESCRIBING THE
DISTRICT IS ON FILE IN THE CITY CLERK'S OFFICE FOR PUBLIC INSPECTION AND
THE TIME WHEN AND THE PLACE WHERE THE LEGISLATIVE BODY WILL MEET AND
HOLD A PUBLIC HEARING TO HEAR ALL PERSONS INTERESTED IN THE SUBJECT
THEREOF, WHICH SHALL BE NO LATER THAN THIRTY DAYS AFTER THE ADOPTION OF
THE RESOLUTION; A STATEMENT THAT ANY OWNER OF REAL PROPERTY, DEEMED
BENEFITTED AND THEREFORE WITHIN THE DISTRICT, OBJECTING TO THE PLAN MUST
FILE AN OBJECTION AT THE OFFICE OF THE CITY CLERK WITHIN THIRTY DAYS OF
THE CONCLUSION OF THE HEARING ON FORMS MADE AVAILABLE BY THE CLERK AND,
A. 5609 6
FURTHER, THAT IF (1) OWNERS OF AT LEAST FIFTY-ONE PERCENT OF THE
ASSESSED VALUATION OF ALL THE TAXABLE REAL PROPERTY SITUATED WITHIN THE
BOUNDARIES OF THE DISTRICT PROPOSED FOR CREATION OR EXTENSION, AS SHOWN
UPON THE LATEST COMPLETED ASSESSMENT ROLL OF THE CITY, OR (2) AT LEAST
FIFTY-ONE PERCENT OF THE OWNERS OF REAL PROPERTY WITHIN THE AREA
INCLUDED IN THE DISTRICT PROPOSED FOR CREATION OR EXTENSION SO FILE
THEIR OBJECTIONS, THE DISTRICT WILL NOT BE ESTABLISHED OR EXTENDED.
(B) THE LEGISLATIVE BODY SHALL CAUSE A COPY OF THE RESOLUTION TO BE
PUBLISHED AT LEAST ONCE IN THE OFFICIAL PAPER OR A NEWSPAPER IN GENERAL
CIRCULATION IN THE CITY, THE FIRST PUBLICATIONS TO BE NOT LESS THAN TEN
NOR MORE THAN THIRTY DAYS BEFORE THE DAY SET FOR THE HEARING REQUIRED BY
THIS SECTION. IN ADDITION, NOT LESS THAN FIFTEEN NOR MORE THAN
FORTY-FIVE DAYS BEFORE THE DATE SET FOR THE HEARING THE LEGISLATIVE BODY
SHALL CAUSE A COPY OF THE RESOLUTION TO BE MAILED TO EACH OWNER OF REAL
PROPERTY WITHIN THE PROPOSED DISTRICT AT THE ADDRESS SHOWN ON THE LATEST
CITY ASSESSMENT ROLL AND TO THE OCCUPANTS OF EACH BUILDING WITHIN THE
PROPOSED DISTRICT, EXCEPT IN THE CASE OF A DISTRICT PROPOSED BY A PETI-
TION OF VOTERS AS DESCRIBED IN PARAGRAPH TWO OF SUBDIVISION (A) OF
SECTION SEVENTY-E OF THIS ARTICLE, WHERE THE LEGISLATIVE BODY SHALL TAKE
STEPS TO APPRISE THE GENERAL PUBLIC OF THE PROPOSAL TO CREATE AND/OR
EXTEND THE DISTRICT INCLUDING, BUT NOT LIMITED TO, NOTICE IN AND TO
LOCAL NEWSPAPERS, CHURCHES, SYNAGOGUES, COMMUNITY, CIVIC AND MERCHANTS
ASSOCIATIONS AND OTHERS IN A MANNER DESIGNED TO CREATE THE MAXIMUM
FEASIBLE PUBLIC NOTICE OF SUCH HEARING.
(C) THE RESOLUTION MAY FURTHER STATE THE PLACE, OTHER THAN THE CITY
CLERK'S OFFICE, WHERE THE DISTRICT PLAN MAY BE INSPECTED IN ADVANCE OF
THE HEARING IF THE LEGISLATIVE BODY DETERMINES THAT, IN THE PUBLIC
INTEREST, ANY ADDITIONAL PLACE OF INSPECTION IS NECESSARY OR DESIRABLE.
S 70-G. CREATION OR EXTENSION OF THE DISTRICT. (A) NOT EARLIER THAN
THIRTY DAYS AFTER THE CONCLUSION OF THE LAST DAY OF THE PUBLIC HEARING
HELD PURSUANT TO SECTION SEVENTY-F OF THIS ARTICLE, THE LEGISLATIVE BODY
SHALL DETERMINE:
(1) WHETHER THE NOTICE OF HEARING WAS PUBLISHED AND MAILED AS REQUIRED
BY LAW, AND IS OTHERWISE SUFFICIENT;
(2) WHETHER THE CREATION OR EXTENSION OF THE CITY PUBLIC UTILITY
DISTRICT IS IN THE BEST INTEREST OF THE GENERAL WELFARE, AS DEFINED IN
SECTION TWENTY-ONE OF THIS CHAPTER.
(B) (1) IF THE LEGISLATIVE BODY SHALL DETERMINE QUESTION TWO OF SUBDI-
VISION (A) OF THIS SECTION IN THE NEGATIVE, OR IF THE REQUISITE NUMBER
OF OWNERS SHALL HAVE FILED THEIR OBJECTIONS AS PROVIDED IN SECTION
SEVENTY-F OF THIS ARTICLE, THE LEGISLATIVE BODY SHALL ADOPT A RESOLUTION
DISAPPROVING THE CREATION OR EXTENSION OF THE DISTRICT STATING THE
REASONS FOR ITS DETERMINATION AND ENTER THE SAME IN THE MINUTES OF ITS
PROCEEDINGS. THEREAFTER NO PLAN FOR THE CREATION OR EXTENSION OF A
DISTRICT TO INCLUDE ANY PART OF THE PROPERTY OR AREA PROPOSED TO BE
INCLUDED IN THE DISAPPROVED DISTRICT MAY BE PREPARED AS PROVIDED IN
SECTION SEVENTY-E OF THIS ARTICLE UNTIL THE EXPIRATION OF AT LEAST ONE
YEAR FROM THE DATE OF DISAPPROVAL.
(2) IF THE LEGISLATIVE BODY SHALL FIND THAT NOTICE WAS INCORRECTLY OR
INSUFFICIENTLY GIVEN OR THAT ANY PORTION OF THE REAL PROPERTY WITHIN THE
PROPOSED DISTRICT OR EXTENSION IS NOT BENEFITTED THEREBY OR THAT CERTAIN
PROPERTY BENEFITTED THEREBY HAS NOT BEEN INCLUDED THEREIN, IT SHALL
SPECIFY THE NECESSARY CHANGES, IF ANY, TO THE BOUNDARIES OF THE PROPOSED
DISTRICT OR EXTENSION, AND IT SHALL CALL A FURTHER HEARING AT A DEFINITE
TIME AND PLACE NOT LESS THAN FIFTEEN NOR MORE THAN TWENTY-FIVE DAYS
AFTER THIS DETERMINATION. NOTICE OF THE FURTHER HEARING SHALL BE
A. 5609 7
PUBLISHED AND MAILED IN THE MANNER PROVIDED IN SECTION SEVENTY-F OF THIS
ARTICLE EXCEPT THAT, WHERE BOUNDARIES ARE TO BE ALTERED, THIS NOTICE
SHALL ALSO SPECIFY THE MANNER IN WHICH IT IS PROPOSED TO ALTER THE BOUN-
DARIES OF THE PROPOSED DISTRICT OR EXTENSION. THE FURTHER HEARING SHALL
BE CONDUCTED IN THE SAME MANNER AS THE ORIGINAL HEARING.
(C) (1) IF AND WHEN THE LEGISLATIVE BODY SHALL DETERMINE IN THE AFFIR-
MATIVE ALL OF THE QUESTIONS SET FORTH IN SUBDIVISION (A) OF THIS
SECTION, AND PROVIDED THAT THE REQUISITE NUMBER OF OWNERS SHALL NOT HAVE
OBJECTED AS PROVIDED IN SECTION SEVENTY-F OF THIS ARTICLE, IT MAY ADOPT
A LOCAL LAW APPROVING THE CREATION OR EXTENSION OF THE DISTRICT AS THE
BOUNDARIES SHALL BE FINALLY DETERMINED.
(2) FORTHWITH UPON THE CREATION OR EXTENSION OF A CITY PUBLIC UTILITY
DISTRICT, THE CITY SHALL FORWARD THE DISTRICT PLAN TO THE AUTHORITY AND
MAY CONTRACT WITH THE AUTHORITY FOR THE PROVISION OF LIGHT, HEAT, POWER
OR ENERGY TO ALL OR PART OF THE DISTRICT. THE CITY SHALL HAVE NO POWER
TO CONTRACT INDEBTEDNESS ON BEHALF OF THE DISTRICT, BUT MAY FROM TIME TO
TIME PROVIDE SUCH SERVICES TO THE AUTHORITY AS MAY BE REASONABLE AND
NECESSARY FOR THE IMPLEMENTATION OF THE PURPOSES OF THIS ARTICLE, AND
MAY PROVIDE FOR THE EXPENSES OF THE DISTRICT COUNCIL.
S 70-H. PUBLICATION; FILING; JUDICIAL REVIEW. (A) THE CITY CLERK SHALL
CAUSE A CERTIFIED COPY OF THE LOCAL LAW ADOPTED PURSUANT TO THE
PROVISIONS OF THIS ARTICLE ESTABLISHING OR EXTENDING ANY DISTRICT TO BE
DULY RECORDED IN THE CITY CLERK'S OFFICE WITHIN TEN DAYS AFTER SUCH
LOCAL LAW BECOMES EFFECTIVE. WHEN SO RECORDED THIS LOCAL LAW SHALL BE
PRESUMPTIVE EVIDENCE OF THE REGULARITY OF THE PROCEEDINGS FOR THE
CREATION OR EXTENSION OF THE DISTRICT, OF THE PROCEEDINGS INSTITUTED TO
CONTRACT FOR THE PROVISION OF SERVICES OR IMPROVEMENTS TO IT AND OF ALL
OTHER ACTIONS TAKEN IN RELATION TO IT.
(B) WITHIN TEN DAYS AFTER THE LOCAL LAW BECOMES EFFECTIVE, THE CITY
CLERK SHALL, IN ADDITION TO ANY OTHER FILING REQUIRED BY LAW, CAUSE A
CERTIFIED COPY THEREOF TO BE FILED IN THE OFFICE OF THE STATE COMP-
TROLLER AT ALBANY, AND SHALL FORTHWITH CAUSE A COPY OF THE LOCAL LAW TO
BE PUBLISHED AT LEAST ONCE IN THE OFFICIAL PAPER OR NEWSPAPER OF GENERAL
CIRCULATION IN THE CITY.
(C) SUCH LOCAL LAW SHALL BE FINAL AND CONCLUSIVE UNLESS A PROCEEDING
TO REVIEW IS COMMENCED IN ACCORDANCE WITH THIS SUBDIVISION. ANY INTER-
ESTED PERSON AGGRIEVED BY ANY LOCAL LAW ADOPTED PURSUANT TO THE
PROVISIONS OF THIS ARTICLE SHALL HAVE STANDING IN THE SUPREME COURT TO
REVIEW THE VALIDITY OF SUCH LOCAL LAW, PROVIDED THE PROCEEDING IS
COMMENCED WITHIN SIXTY DAYS FROM THE DATE OF THE PUBLICATION OF THE COPY
OF THE LOCAL LAW PURSUANT TO SUBDIVISION (B) OF THIS SECTION. NO REVIEW
SHALL BE HAD UNLESS THE PETITIONER SHALL GIVE AN UNDERTAKING APPROVED BY
THE SUPREME COURT, OR A JUSTICE THEREOF, AS TO FORM, AMOUNT AND SUFFI-
CIENCY OF SURETIES THAT, IN THE EVENT OF FAILURE TO FIND THE LOCAL LAW
OR ANY PORTION THEREOF INVALID, HE WILL PAY TO THE CITY ALL COSTS AND
EXPENSES AS ARE INCURRED BY IT ON ACCOUNT OF THE PROCEEDINGS, AS SHALL
BE DETERMINED BY THE COURT.
S 70-I. CAPITAL IMPROVEMENTS. (A) AT ANY TIME AFTER THE CREATION OR
EXTENSION OF THE CITY PUBLIC UTILITY DISTRICT AND THE EXECUTION OF AN
INITIAL CONTRACT WITH THE AUTHORITY FOR THE PROVISION OF LIGHT, HEAT,
POWER OR ENERGY TO ALL OR PART OF SUCH DISTRICT, THE CITY MAY AMEND SUCH
CONTRACT WITH THE AUTHORITY, OR ENTER INTO NEW CONTRACTS WITH THE
AUTHORITY, ON BEHALF OF THE DISTRICT, FOR NEW OR ADDITIONAL CAPITAL
IMPROVEMENTS RELATED TO THE GENERAL PURPOSES OF THIS ARTICLE FOR SUCH
CITY PUBLIC UTILITY DISTRICT. FOR THE PURPOSES OF THIS SECTION, A CAPI-
TAL IMPROVEMENT SHALL MEAN ANY ASSET OF THE AUTHORITY PLACED WITHIN THE
A. 5609 8
BOUNDARIES OF A CITY PUBLIC UTILITY DISTRICT TO PROVIDE LIGHT, HEAT,
POWER OR ENERGY TO A SPECIFIED CITY PUBLIC UTILITY DISTRICT AND/OR ONE
OR MORE CONTIGUOUS DISTRICTS, AND NOT TO THE GENERAL BODY OF CUSTOMERS
OF THE AUTHORITY OR OF ANY UTILITY AS A WHOLE, THE COST OR BASIS OF
WHICH EXCEEDS THE SUM OF TWO HUNDRED FIFTY THOUSAND DOLLARS, THE USEFUL
LIFE OF WHICH EXCEEDS ONE YEAR, AND THE UTILIZATION AND USE OF WHICH IS
ABOVE AND BEYOND THE ORDINARY COURSE OF THE OPERATION AND MAINTENANCE OF
FACILITIES USED FOR THE PROVISION OF LIGHT, HEAT, POWER OR ENERGY TO THE
DISTRICT, INCLUDING ANY CONNECTIONS FOR SERVICE.
(B) FOLLOWING THE RECEIPT ON FEBRUARY FIRST OF EACH CALENDAR YEAR FROM
THE AUTHORITY BY THE LOCAL LEGISLATIVE BODY OF EACH CITY OF A PROPOSED
CONTRACT SETTING FORTH A CAPITAL IMPROVEMENT PLAN FOR EACH CITY PUBLIC
UTILITY DISTRICT IN WHICH THE AUTHORITY IS RENDERING SERVICE OR, AS MAY
BE THE CASE, A COPY OF SUCH PLAN FORWARDED BY THE AUTHORITY TO EACH
AFFECTED CITY PUBLIC UTILITY DISTRICT COUNCIL AND NO LATER THAN MARCH
FIRST OF EACH YEAR, EACH CITY PUBLIC UTILITY DISTRICT COUNCIL SHALL HOLD
A PUBLIC HEARING ON SUCH ELEMENTS OF THE PLAN AS SHALL AFFECT THE CITY
PUBLIC UTILITY DISTRICT AND, NO LATER THAN MARCH THIRTIETH OF THE CALEN-
DAR YEAR, THE LOCAL LEGISLATIVE BODY SHALL HOLD A FURTHER PUBLIC HEARING
ON THE CAPITAL IMPROVEMENT PLAN. NO LATER THAN APRIL FIFTEENTH OF THE
CALENDAR YEAR, THE CITY PUBLIC UTILITY DISTRICT COUNCIL AND THE LOCAL
LEGISLATIVE BODY SHALL SET FORTH SUCH MODIFICATIONS AND RECOMMENDATIONS
IN THE CAPITAL IMPROVEMENT PLAN TO THE AUTHORITY AS THEY MAY DEEM
REASONABLE. NO LATER THAN MAY FIFTEENTH OF EACH YEAR THE CITY SHALL
CONTRACT WITH THE AUTHORITY FOR A CAPITAL IMPROVEMENT PLAN FOR SUCH CITY
PUBLIC UTILITY DISTRICT OR DISTRICTS.
(C) WHERE THE CITY FAILS TO CONTRACT WITH THE AUTHORITY FOR A CAPITAL
IMPROVEMENT PLAN FOR SUCH CITY PUBLIC UTILITY DISTRICTS BY MAY FIFTEENTH
OF THE CALENDAR YEAR, THE AUTHORITY MAY MOVE IN A SUPREME COURT OF PROP-
ER JURISDICTION, PURSUANT TO ARTICLE SEVENTY-EIGHT OF THE CIVIL PRACTICE
LAW AND RULES, FOR SUCH ORDERS AS MAY BE NECESSARY TO PROTECT THE PUBLIC
HEALTH, SAFETY AND WELFARE AND THE RIGHTS OF ANY HOLDERS OF THE AUTHORI-
TY'S NOTES AND BONDS.
(D) THE DISTRICT COUNCIL SHALL HAVE THE POWER TO RECOMMEND, TOGETHER
WITH CAPITAL IMPROVEMENTS AS DEFINED IN THIS SECTION TO THE LOCAL LEGIS-
LATIVE BODY AND THE AUTHORITY, THE PROVISION OF ANY OTHER SERVICES OF A
NATURE CONSISTENT WITH THE PURPOSES OF THIS ARTICLE, AND THE CITY AND
THE AUTHORITY MAY PROVIDE SUCH ASSISTANCE TO THE DISTRICT COUNCIL AS MAY
BE REASONABLY NECESSARY TO PREPARE AND SUBMIT SUCH RECOMMENDATIONS.
S 70-J. DISTRICT COUNCILS. (A) THERE SHALL BE A DISTRICT COUNCIL,
WHICH SHALL BE A CORPORATION CREATED UNDER THE NOT-FOR-PROFIT CORPO-
RATION LAW, FOR EACH CITY PUBLIC UTILITY DISTRICT ESTABLISHED PURSUANT
TO THE PROVISIONS OF THIS ARTICLE. SUCH COUNCIL MAY CONTAIN ONE OR MORE
CLASSES OF MEMBERSHIP, VOTING OR NON-VOTING, AND THE CERTIFICATE OF
INCORPORATION OR BY-LAWS OF SUCH COUNCIL SHALL PROVIDE FOR VOTING REPRE-
SENTATION AMONG OWNERS OF PROPERTY, TENANTS, RATEPAYERS AND CITIZENS OF
THE DISTRICT WHICH SHALL BE REASONABLY RELATED TO THE DISTRICT PLAN. THE
MEMBERS OF THE BOARD OF DIRECTORS OF THE DISTRICT COUNCIL SHALL BE
MEMBERS THEREOF AND SHALL INCLUDE, IN ADDITION, AT LEAST THREE MEMBERS
APPOINTED BY THE FOLLOWING: ONE BY THE CHIEF EXECUTIVE OFFICER OF THE
CITY, ONE BY THE CHIEF FINANCIAL OFFICER OF THE CITY AND ONE BY THE
LOCAL LEGISLATIVE BODY, EXCEPT THAT, IN A CITY OF ONE MILLION OR MORE,
THE THIRD ADDITIONAL MEMBER SHALL BE APPOINTED BY THE BOROUGH PRESIDENT
OF THE BOROUGH IN WHICH THE DISTRICT IS LOCATED. SUCH ADDITIONAL THREE
MEMBERS SHALL SERVE AS THE INCORPORATORS OF THE COUNCIL PURSUANT TO THE
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NOT-FOR-PROFIT CORPORATION LAW. THE COUNCIL MAY BE INCORPORATED PRIOR TO
THE EFFECTIVE DATE OF ANY DISTRICT ESTABLISHED PURSUANT TO THIS ARTICLE.
(B) THE DISTRICT COUNCIL SHALL HAVE THE POWER TO HEAR COMPLAINTS
REGARDING THE PROVISION OF ANY SERVICES BY THE AUTHORITY TO THE
DISTRICT, INVESTIGATE THE ENERGY, LIGHT, HEAT AND POWER NEEDS OF THE
CITY PUBLIC UTILITY DISTRICT, HOLD PUBLIC HEARINGS AND MAKE RECOMMENDA-
TIONS TO THE LOCAL LEGISLATIVE BODY AND THE AUTHORITY CONCERNING CAPITAL
IMPROVEMENTS TO THE DISTRICT.
(C) FOR SUCH CONSIDERATION AS THE AUTHORITY AND/OR THE CITY MAY DEEM
APPROPRIATE, THE AUTHORITY AND/OR THE CITY MAY CONTRACT WITH THE
DISTRICT COUNCIL TO RENDER ANY SERVICES INCIDENT TO THE PROVISION OF
LIGHT, HEAT, POWER AND ENERGY TO THE CITY PUBLIC UTILITY DISTRICT. THE
DISTRICT COUNCIL SHALL BE DEEMED TO BE THE AGENT OF THE AUTHORITY FOR
THE RENDITION OF SUCH SERVICES.
S 3. This act shall take effect immediately.