Authorizes the use of sewer surplus for infrastructure projects other than sewer projects in the village of Patchogue.
TITLE OF BILL: An act in relation to authorizing the use of sewer surplus for infrastructure projects other than sewer projects in the village of Patchogue and providing for the repeal of such provisions upon expiration thereof
PURPOSE OR GENERAL IDEA OF BILL: This legislation would allow the village of Patchogue to use surplus funds received from sewer rents for other infrastructure projects.
SUMMARY OF SPECIFIC PROVISIONS: Section One amends section 453 of the general municipal law by adding a new subdivision 4, allowing the village of Patchogue to use up to 40% of the monies from the sewer rent fund that are left over after all sewer related expenses are paid for infrastructure improvements.
Section Two is the effective date which includes a one year sunset.
JUSTIFICATION: While water utilities are able to use their surplus funds for any municipal purpose, sewer utilities are limited to using excess revenues for only sewer-related purposes. Under current law, revenues derived from sewer rents, including penalties and interest, are credited to a special fund and the use of these funds are not permitted for use beyond costs incurred that relate to the sewer system.
In the village of Patchogue, the sewage plant and district plays a large role in this community's revitalization and economic growth. This growth has resulted in an influx of monies to the sewer fund but also in increased stress and pressure on the community's infrastructure. Allowing the village to use a limited amount of these funds to address infrastructure issues would be a realistic and appropriate way to solve the problems created by this economic growth.
This legislation would allow the village of Patchogue to use money from the sewer rent fund to pay expenses or obligations incurred for infrastructure improvements, after paying off all sewer-related expenses. The village would also be able to allocate up to 40% of this surplus to a special fund to be used specifically for infrastructure improvements. This ensures that the sewer needs are taken care of first, while allowing the village to use some of the excess funds derived from this source to solve the problems that come as a result of large and expanding sewage facilities.
PRIOR LEGISLATIVE HISTORY: New Bill.
FISCAL IMPLICATIONS: None.
This act shall take effect on the sixtieth day after it shall have become a law.
STATE OF NEW YORK ________________________________________________________________________ S. 5420--C A. 7837--C Cal. No. 1114 2011-2012 Regular Sessions S E N A T E - A S S E M B L Y May 19, 2011 ___________IN SENATE -- Introduced by Sen. ZELDIN -- read twice and ordered print- ed, and when printed to be committed to the Committee on Local Govern- ment -- recommitted to the Committee on Local Government in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- reported favorably from said committee, ordered to first report, amended on first report, ordered to a second report and ordered reprinted, retaining its place in the order of second report -- ordered to a third reading, amended and ordered reprinted, retaining its place in the order of third reading IN ASSEMBLY -- Introduced by M. of A. MURRAY, ENGLEBRIGHT, BOYLE, SCHI- MEL -- read once and referred to the Committee on Local Governments -- recommitted to the Committee on Local Governments in accordance with Assembly Rule 3, sec. 2 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- again reported from said committee with amendments, ordered reprinted as amended and recommitted to said committee -- again reported from said committee with amendments, ordered reprinted as amended and recommit- ted to said committee AN ACT in relation to authorizing the use of sewer surplus for infras- tructure projects other than sewer projects in the village of Patc- hogue and providing for the repeal of such provisions upon expiration thereof THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Notwithstanding section 453 of the general municipal law or any other provision of law to the contrary, the village of Patchogue is hereby authorized to use surplus revenues derived from sewer rents or charges collected in excess of amount necessary for the uses prescribed in section 453 of the general municipal law for the payment of expensesEXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD11579-06-2 S. 5420--C 2 A. 7837--C
or obligations incurred by such municipality for infrastructure improve- ments, or to be placed in a capital reserve fund, not to exceed forty percent of the surplus, to be used specifically for future infrastruc- ture improvements. The village of Patchogue shall adjust their sewer rents, and take other actions as may be necessary, to avoid any future sewer rent surpluses. S 2. This act shall take effect on the sixtieth day after it shall have become a law and shall expire and be deemed repealed one year after such date.