Assembly Bill A3258

                            
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  3258

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 22, 2015
                               ___________

Introduced  by  M.  of  A. BRENNAN, ABBATE, WEPRIN, RODRIGUEZ, CUSICK --
  Multi-Sponsored by -- M.  of A. BENEDETTO, BROOK-KRASNY, COLTON, COOK,
  CYMBROWITZ, GLICK, MALLIOTAKIS, ORTIZ -- read once and referred to the
  Committee on Corporations, Authorities and Commissions

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:

  Section  1.  Subdivision 1 of section 1045-j of the public authorities
law, as added by chapter 513 of the laws of 1984, is amended to read  as
follows:
  1. The water board shall establish, fix and revise, from time to time,
fees,  rates,  rents  or  other  charges  for  the  use  of, or services
furnished, rendered or made available by, the sewerage system  or  water
system,  or  both, as the case may be, owned by the water board pursuant
to this title in such amount  at least sufficient at all times so as  to
provide  funds  in  an  amount  sufficient  together with other revenues
available to the board, if any, (i) to pay to the authority, in  accord-
ance with any agreement with the authority, an amount sufficient for the
purpose  of  paying the principal of and the interest on the outstanding
notes or bonds of the authority as the same shall become due and payable
and maintaining or funding a capital or debt service reserve fund there-
for and, to the extent requested by the city in,  or  annually  pursuant
to,  the agreement to pay to the city, in accordance with the agreement,
an amount sufficient for the purpose of  paying  the  principal  of  and
interest  on general obligation bonds thereof issued for or allocable to
the water system or sewerage system or both, as the case may be, as  the
same  shall  become  due  and  payable, and to maintain or fund reserves
therefor, (ii) to pay to the city, in accordance with the agreement,  an
amount  sufficient for the purpose of paying the costs of administering,

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01708-01-5
              

A. 3258                             2

maintaining, repairing and operating and the cost of constructing  capi-
tal  improvements to the water system or sewerage system or both, as the
case may be, (iii) to pay to the city in accordance with  the  agreement
entered into pursuant to section one thousand forty-five-i of this title
an amount sufficient for the purpose of paying liabilities issued for or
allocable  to  the  water system or sewerage system or both, as the case
may be, as the same shall become due  and  payable,  (iv)  to  meet  any
requirements  of  any  agreement  including requirements relating to the
establishment of reserves for renewal and  replacement  and  for  uncol-
lected  charges  and  covenants  respecting  rates, (v) to pay all other
reasonable and necessary expenses of the authority and the  water  board
in  relation thereto, and (vi) to the extent requested by the city in or
pursuant to the agreement, to pay or provide for such other purposes  or
projects  as such city considers appropriate and in the public interest.
WHEN SETTING SUCH RATES WITHIN  ANY  CITY  OR  COUNTY  THAT  SHALL  HAVE
ADOPTED  A LOCAL LAW PURSUANT TO SECTION FOUR HUNDRED SIXTY-SEVEN AND/OR
SECTION FOUR HUNDRED FIFTY-NINE-C OF THE REAL PROPERTY  TAX  LAW,  THOSE
REAL  PROPERTY  OWNERS  WHOSE  APPLICATIONS FOR A PARTIAL EXEMPTION FROM
TAXATION AS SET FORTH IN SECTION FOUR HUNDRED SIXTY-SEVEN AND/OR SECTION
FOUR HUNDRED FIFTY-NINE-C OF THE REAL PROPERTY TAX LAW HAVE BEEN GRANTED
SHALL HAVE THEIR RATES FOR WATER AND SEWER CHARGES FROZEN AT THE RATE IN
EFFECT ON JULY FIRST, TWO THOUSAND FIFTEEN OR  THE  DATE  ON  WHICH  THE
EXEMPTION  AFORESAID  IS  GRANTED,  WHICHEVER  IS LATER, UNTIL SUCH RATE
EQUALS THAT PRODUCED BY MULTIPLYING THE CURRENT FULL RATE TIMES A FACTOR
REPRESENTING ONE MINUS THE PERCENTAGE OF ASSESSED VALUATION EXEMPT  FROM
TAXATION  PURSUANT  TO  SUCH SECTION FOUR HUNDRED SIXTY-SEVEN OR SECTION
FOUR HUNDRED FIFTY-NINE-C.   THEREAFTER, THE  RATES  OF  SUCH  PARTIALLY
EXEMPTED  REAL  PROPERTY  OWNERS  SHALL  INCREASE IN SUCH A MANNER AS TO
MAINTAIN SUCH PERCENTAGE DIFFERENTIAL. ANY REVENUE FOREGONE AS A  RESULT
OF  THIS REALLOCATION SHALL BE SPREAD AMONG ALL CLASSES OF CUSTOMER. Any
surplus of funds remaining in the water board after such  payments  have
been made shall be returned to the city for deposit in the general fund.
  S  2.  This  act shall take effect on the thirtieth day after it shall
have become a law.