S 7927: Provides for the conveyance or lease of sewer system properties located in the county of Westchester's New Rochelle sanitary sewer district and related management responsibilities to the county by municipalities in such district when determined to be in the public interest.

  
  STATE OF NEW YORK ________________________________________________________________________ 7927 2025-2026 Regular Sessions  IN SENATE May 14, 2025 ___________ Introduced by Sen. MAYER -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government AN ACT to amend the county law, in relation to providing for the convey- ance or lease of sewer system properties located in the county of Westchester's New Rochelle sanitary sewer district and related manage- ment responsibilities to the county by municipalities in such district when determined to be in the public interest The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The county law is amended by adding a new section 277-a to 2 read as follows: 3 § 277-a. Conveyance or lease to the county of Westchester by a city, 4 town or village in the county's New Rochelle sanitary sewer district of 5 sewer system property and the establishment of certain county sewer 6 districts, extensions or special transitional zones of assessment in the 7 county of Westchester. 1. As used in this section, the following terms 8 shall have the following meanings: 9 a. "Charter" shall mean the charter and administrative code of the 10 county of Westchester. 11 b. "City, town or village" shall mean the city of New Rochelle, town 12 of Mamaroneck or villages of Larchmont or Pelham Manor in the county of 13 Westchester. 14 c. "Commissioner of finance" shall mean the commissioner of finance of 15 the county of Westchester. 16 d. "Commissioner of environmental facilities" shall mean the commis- 17 sioner of environmental facilities of the county of Westchester. 18 e. "County" shall mean the county of Westchester, including when 19 acting on behalf of a county sewer district. 20 f. "County legislature" shall mean the county legislature of the coun- 21 ty of Westchester. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD02808-02-5 
 S. 7927 2 1 g. "Governing board of a city, town or village in the county of West- 2 chester" shall mean the finance board as such term is defined in section 3 2.00 of the local finance law. 4 h. "Sewer system" shall include sewage collection or conveyance facil- 5 ities, treatment or disposal plants, buildings, land and rights in land, 6 furnishings, equipment, machinery and apparatus, appurtenant facilities, 7 all moneys on hand collected or received for the purposes of such sewer 8 system, and all other items of property, either real or personal or 9 mixed, acquired for or incidental to such sewer system, provided that no 10 such property shall be located outside the boundaries of the county's 11 New Rochelle sanitary sewer district. 12 i. "Sewer system consolidation agreement" shall mean an agreement 13 between the county and a city, town or village whereby such city, town 14 or village shall convey or lease sewer system property to the county for 15 operation, maintenance or improvement by the county described in subdi- 16 vision two of this section. 17 j. "Special transitional zone of assessment" shall mean a zone of 18 assessment within the county's New Rochelle sanitary sewer district 19 established to allocate all or a portion of the costs of facilitating a 20 conveyance or lease of sewer system property by a city, town or village 21 to the county and a transfer of responsibilities for the operation, 22 maintenance and improvement thereof to the county sewer district. A 23 special transitional zone of assessment may overlap all or portions of 24 any zone of assessment established in the county's New Rochelle sanitary 25 sewer district to allocate the costs of the operation, maintenance and 26 improvement of the county's trunk sewers and wastewater treatment plants 27 and related facilities. 28 k. "Town sewer district" shall mean a sewer district governed by the 29 provisions of articles twelve or twelve-A of the town law or a benefited 30 area established to provide a sewer improvement pursuant to articles 31 three-A or twelve-C of such law. 32 l. "Village sewer district" shall mean a sewer district governed by 33 the provisions of article fourteen and section 17-1718 of the village 34 law. 35 2. Notwithstanding the provisions of any general, special or local 36 law, the county and a city, town or village may enter into, and take the 37 actions necessary to implement, sewer system consolidation agreements 38 under this section to facilitate the conveyance or lease to the county 39 of sewer system property and the transfer to the county of the responsi- 40 bilities of operation, maintenance and improvement of sewer system prop- 41 erty. Sewer system consolidation agreements shall include the following 42 provisions: 43 a. an identification of the sewer system property of the city, town or 44 village to be conveyed or leased to the county, the consideration, if 45 any, for such conveyance or lease and the conditions, if any, under 46 which the conveyance or lease could be reversed or canceled; 47 b. a description of any improvements of such property to be made by 48 the county, the estimated cost thereof and the plan for financing such 49 improvements; 50 c. determinations of whether the county shall undertake to establish 51 special transitional zones of assessment under terms and conditions as 52 may be agreed upon, and shall include a description and estimate of the 53 costs to be allocated to the special transitional zone of assessment and 54 a description of whether the costs allocated thereto shall be levied in 55 the same manner as other county charges or in the manner described in 56 section two hundred seventy or section two hundred seventy-one of this 
 S. 7927 3 1 article, and if pursuant to section two hundred seventy-one, whether and 2 under what circumstances such manner of levy is expected to be changed; 3 d. determinations of whether the county shall make a payment or 4 payments to the city, town or village in respect of city, town or 5 village debt service on indebtedness issued to finance sewer system 6 properties or whether the county may finance the cost of acquisition of 7 sewer system properties from cities, towns or villages through the issu- 8 ance of bonds or notes in accordance with the local finance law, and in 9 either case whether the city, town or village shall establish funds to 10 receive all or a portion of the proceeds thereof, as may be necessary or 11 convenient to facilitate such payments or as may be required by section 12 six-l of the general municipal law, and whether the city, town or 13 village shall call outstanding bonds for redemption at such times and 14 under such conditions as may be agreed to; 15 e. determinations of whether and to what extent the county and the 16 city, town or village shall indemnify each other for liabilities for 17 work performed or existing conditions; 18 f. determinations of whether employees of the city, town or village 19 shall be transferred to the county and become county employees under 20 such terms and conditions as such employees and the parties may agree, 21 subject to the rights and privileges of such employees under labor 22 agreements and applicable law, and whether employees of cities, towns 23 and villages not so transferred to the county may continue to be 24 employed by such cities, towns and villages to provide services to the 25 county sewer district under such terms as may be agreed upon; 26 g. estimates of capital cost of the sewer system property conveyed or 27 leased, which may include planning, design, acquisition and construction 28 costs of such property and improvements thereto, the costs of prepara- 29 tion of reports described in subdivision three of this section and the 30 sewer system consolidation agreement, and any other expenses incurred in 31 furtherance of the making of the sewer system consolidation agreement, 32 and the amounts of the capital cost to be charged against properties in 33 a special transitional zone of assessment, to be paid by the county 34 through a county sewer district or to be paid by the city, town or 35 village; 36 h. estimates of the operating expenses of the property conveyed or 37 leased under the sewer system consolidation agreement, and a statement 38 of the portions of the operating expenses to be annually charged against 39 properties in a special transitional zone of assessment, to be paid by 40 the county through a county sewer district or to be paid by the city, 41 town or village; 42 i. terms describing the actions necessary to amend the sewer system 43 consolidation agreement; and 44 j. terms describing the conditions under which the sewer system 45 consolidation agreement may be extended. 46 3. A city, town or village may prepare and furnish to the county a 47 report containing a map and a general description of the sewer system 48 property which is proposed to be leased or conveyed and a description of 49 its current condition. The report shall include the terms of any 50 outstanding indebtedness issued to finance acquisition or improvement of 51 such sewer system property and such additional information relevant to 52 the assessment of the costs of operation, maintenance and improvement of 53 such sewer system property as the county may request. Upon presentation 54 of such report the county legislature may refer the same to the commis- 55 sioner of environmental facilities for a plan and report with respect 56 thereto. If the county legislature refers the report to the commissioner 
 S. 7927 4 1 of environmental facilities, said commissioner shall thereupon prepare 2 and furnish to the county legislature a plan and report describing capi- 3 tal improvements, if any, to such sewer system property which the 4 commissioner of environmental facilities recommends be undertaken 5 following its conveyance or lease to the county. This plan and report 6 shall include the estimated costs thereof, together with an estimate of 7 the operating and maintenance costs of such property. The plan and 8 report shall also contain such other data and information as shall have 9 been requested by the county legislature or as may be determined by the 10 commissioner of environmental facilities to be appropriate under the 11 circumstances. Upon review of the plan and report, the county legisla- 12 ture may, if a majority of the county legislature approves the plan and 13 report, authorize the preparation of a draft sewer system consolidation 14 agreement and direct that such plan and report be furnished to the city, 15 town or village. The county and the city, town or village may then 16 prepare a draft sewer system consolidation agreement. The draft sewer 17 system consolidation agreement shall be presented to and approved as to 18 form by the county legislature and the governing body of the city, town 19 or village prior to the calling of a hearing under subdivisions seven 20 and five of this section, respectively. Such draft sewer system consol- 21 idation agreement shall not be binding nor shall it be executed until 22 after a public hearing and authorization by the county legislature and 23 the governing body of the city, town or village, as provided for in 24 subdivisions six and eight of this section. 25 4. In addition to existing authority to establish county sewer 26 districts or extensions, the county legislature, in furtherance of a 27 sewer system consolidation agreement, may establish a special transi- 28 tional zone of assessment in any county sewer district, and to the 29 extent such special transitional zone of assessment would fall in whole 30 or in part outside any county sewer district, may coincidentally estab- 31 lish a county sewer district encompassing such area or extend an exist- 32 ing county sewer district to encompass such area, in the manner herein- 33 after provided. Each special transitional zone of assessment shall have 34 boundaries coterminous with the area provided with a sewer system by any 35 city, town or village, for the purpose of facilitating the conveyance or 36 lease to the county all or a portion of the property of cities, towns or 37 villages relating to the collection and conveyance of sewage to county 38 trunk sewers and the transfer of all or a portion of the responsibil- 39 ities for the operation, maintenance and improvement thereof. 40 5. Following the approval of a draft sewer system consolidation agree- 41 ment, the governing body of the city, town or village shall hold a 42 public hearing on the draft sewer system consolidation agreement. Such 43 public hearing shall be called by such governing body, which shall 44 direct that notice thereof be published and posted not less than four- 45 teen days prior to the date set for such hearing. Such notice shall be 46 given, in the case of towns, in the manner prescribed in section one 47 hundred ninety-three of the town law, and in the case of cities and 48 villages, in the manner prescribed for general elections. Such notice 49 shall state in general terms that it is proposed to petition the county 50 legislature to enter into a sewer system consolidation agreement and, if 51 contemplated by the sewer system consolidation agreement, to establish 52 or extend a county sewer district or establish a special transitional 53 zone of assessment for the purpose of facilitating the conveyance or 54 lease of property to the county and its operation, maintenance and 55 improvement of such property, as set forth in the draft sewer system 56 consolidation agreement. Such notice shall generally identify the 
 S. 7927 5 1 particular sewer system proposed to be conveyed or leased, the proposed 2 improvements thereto, if any, and the estimated maximum cost thereof, 3 and shall describe the boundaries of the proposed, district, extension 4 or special transitional zone of assessment in a manner sufficient to 5 permit definite and conclusive identification of all parcels of property 6 included therein. Such notice shall also state where the draft sewer 7 system consolidation agreement is available for public inspection, and 8 shall set forth the time when and place where such hearing shall be 9 held. 10 6. If the governing board shall decide, after such public hearing and 11 upon the evidence given thereat, that it is in the public interest to 12 petition the county legislature to enter into the sewer system consol- 13 idation agreement pursuant to this section, it shall authorize the 14 supervisor of the town or mayor of the village or chief executive offi- 15 cer of a city as that term is defined in the local finance law, as the 16 case may be, to: 17 a. execute such petition and file the same with the clerk of the coun- 18 ty legislature; and 19 b. execute the sewer system consolidation agreement, if the county 20 elects to enter into the sewer system consolidation agreement. 21 Such petition shall generally identify the particular sewer system 22 proposed to be conveyed or leased and shall describe the boundaries of 23 the area served thereby in a manner sufficient to permit definite and 24 conclusive identification of all parcels of property included therein. 25 7. Upon receipt of such petition and after the approval of the form of 26 the draft sewer system consolidation agreement, the county legislature 27 may call a public hearing to enter into the sewer system consolidation 28 agreement and, if contemplated thereby, to establish a special transi- 29 tional zone of assessment or establish or extend a county sewer 30 district. Notice of such public hearing shall be given not less than 31 fourteen days prior to the date of the hearing in the manner prescribed 32 in section two hundred fifty-four of this article. In addition, a copy 33 of such notice shall be served upon or mailed to the city, town or 34 village which presented such petition not less than fourteen days prior 35 to the day set therein for such hearing. Such notice shall contain: 36 a. a general description of the sewer system property proposed to be 37 conveyed or leased; 38 b. a description of the boundaries of any proposed district, extension 39 or special transitional zone of assessment in a manner sufficient to 40 permit definite and conclusive identification of all parcels of property 41 included therein; 42 c. the estimated maximum amount to be expended for proposed improve- 43 ments; 44 d. a statement of the proposed manner of assessing costs allocable to 45 the special transitional zone of assessment, indicating whether it is 46 proposed to levy assessments pursuant to the charter in the same manner 47 as county charges or as described in section two hundred seventy or 48 section two hundred seventy-one of this article; 49 e. a statement of whether and to what extent the county sewer district 50 will assume the payment of outstanding obligations, contracts and other 51 indebtedness of the city, town or village for the purposes of or in 52 relation to the sewer system proposed to be conveyed or leased; 53 f. shall state where the draft sewer system consolidation agreement is 54 available for public inspection; and 
 S. 7927 6 1 g. shall specify the time when and place where the county legislature 2 will meet to consider the matter and to hear all parties interested 3 therein concerning the same. 4 8. If, based upon the evidence presented at such public hearing and 5 after due consideration of the petition, the plan and report of the 6 commissioner of environmental facilities and other data provided to it, 7 the county legislature shall determine that it is in the public interest 8 to enter into the sewer system consolidation agreement, it shall by 9 majority vote adopt an act authorizing the execution of the sewer system 10 consolidation agreement. If the county legislature shall determine that 11 it is not in the public interest to enter into the sewer system consol- 12 idation agreement, it shall adopt an act so stating and terminating the 13 proceedings with respect thereto. The parties to a sewer system consol- 14 idation agreement may from time to time amend the sewer system consol- 15 idation agreement, provided that, if an amendment would a. increase the 16 estimated capital cost to be assessed against properties in a special 17 transitional zone of assessment for the improvements proposed in the 18 sewer system consolidation agreement; b. increase the share of operation 19 and maintenance costs to be annually assessed against a special transi- 20 tional zone of assessment; or c. eliminate from or add parcels to a 21 special transitional zone of assessment, the amendment may be authorized 22 only after public hearings held by each party in the same manner as the 23 original sewer system consolidation agreement following determinations 24 by the parties that such amendment is in the public interest after hear- 25 ings held as required for the original sewer system consolidation agree- 26 ment. Notwithstanding the provisions of sections two hundred fifty-six, 27 two hundred fifty-eight and two hundred sixty-eight of this article, or 28 any other law, no act adopted pursuant to this section shall be subject 29 to permissive referendum, nor shall the permission of the state comp- 30 troller be required to establish or extend a district pursuant hereto or 31 to create a special transitional zone of assessment in any county sewer 32 district, or, from time to time, to increase and improve the facilities 33 of any county sewer district in the county of Westchester. Nothing in 34 this section shall modify the special acts of the legislature and local 35 laws of the county of Westchester governing county sewer districts and 36 the assessments made and taxes levied in connection therewith, and the 37 county of Westchester may continue to operate county sewer districts in 38 conformity therewith, irrespective of whether the county sewer district 39 has undertaken to own, operate, maintain or improve sewers which are not 40 trunk sewers pursuant to this section or otherwise undertakes to provide 41 sewage collection and conveyance facilities in addition to trunk sewers. 42 9. As part of the implementation of the sewer system consolidation 43 agreement, the county may adopt an act to establish a special transi- 44 tional zone of assessment or establish or extend a county sewer 45 district, which act shall include the following: 46 a. an accurate description of the boundaries of any such district, 47 extension, or special transitional zone of assessment in a manner suffi- 48 cient to permit definite and conclusive identification of all parcels of 49 property included therein, provided, however, if such district, exten- 50 sion or special transitional zone of assessment is coterminous with a 51 city, town or village it shall be a sufficient compliance with this 52 paragraph to so state without describing the boundaries of such city, 53 town or village; 54 b. a general description of the sewer system property to be conveyed 55 or leased to the county in accordance with the sewer system consol- 56 idation agreement; 
 S. 7927 7 1 c. a determination as to whether assessments for district purposes 2 will be levied pursuant to the charter in the same manner as county 3 charges or as described in section two hundred seventy or section two 4 hundred seventy-one of this article in accordance with the notice of the 5 public hearing held pursuant to subdivision seven of this section; 6 d. a determination as to the effective date or dates for the convey- 7 ance or lease of the property described in accordance with paragraph b 8 of this subdivision, having due regard to the fiscal year of the county 9 and the city, town or village concerned and the availability of funds 10 for the operation, maintenance and improvement of the sewer system by 11 the county; 12 e. a determination assuming responsibility for the payment of all or 13 the agreed portion of all obligations, contracts and other indebtedness 14 of the city, town or village, as the case may be, incurred for the 15 purposes of or in relation to the sewer system property to be conveyed 16 or leased which shall be outstanding as of the effective date of such 17 conveyance or lease, the exact amount and details thereof to be subject 18 to future determination by agreement in such manner as may be provided 19 therein; and 20 f. such other terms, conditions and provisions with respect to the 21 establishment of such district and such conveyance or lease, not incon- 22 sistent with the provisions of this section, as the county legislature 23 may determine to be necessary or desirable under the circumstances. 24 10. The clerk of the county legislature, within ten days after the 25 adoption thereof, shall file a certified copy of such act with the clerk 26 of the city, town or village concerned, who shall present the same to 27 the governing board at the next meeting thereof. Such governing board 28 shall thereupon proceed to adopt such resolutions or ordinances and take 29 such other action as shall be necessary or convenient to effectuate a 30 conveyance or lease of sewer system property to the county in accordance 31 with the provisions of this section and such act. In addition, in the 32 case of a town or a village sewer district, and if so provided in an 33 agreement with the county, the governing board may adopt an order 34 dissolving such district effective as of the date of such conveyance or 35 lease, a certified copy of which shall be recorded in the office of the 36 county clerk, or, if such district is not to be dissolved, the governing 37 board may adopt an order describing the remaining functions and respon- 38 sibilities of the district. 39 11. All or an agreed upon portion of assessments levied by, or fees, 40 rates, rents or other charges due or moneys owing to a city, town or 41 village with respect to any sewer system and remaining unpaid as of the 42 effective date of the conveyance or lease thereof to a county district 43 pursuant to this section shall be collected by the city, town or village 44 concerned in the same manner as if such conveyance or lease had not been 45 made, and upon receipt shall be paid over to the county commissioner of 46 finance to be applied for the purposes of such county sewer district. 47 12. a. The principal of and interest on all outstanding bonds and 48 notes of a city, town or village issued to pay all or part of the cost 49 of any sewer system conveyed or leased to a county district pursuant to 50 this section shall continue to be paid when due by such city, town or 51 village, and, if a sewer system consolidation agreement with the county 52 so provides, from moneys provided for such purpose by the county from 53 county district funds raised or appropriated therefor. If the county has 54 agreed to make such payments, the county commissioner of finance shall 55 from time to time pay such moneys to the fiscal officer of such city, 56 town or village sufficiently in advance to permit the payment of all or 
 S. 7927 8 1 the agreed upon portion of such principal and interest when due. All 2 other obligations and contract liabilities of a city, town or village 3 assumed by the county in a sewer system consolidation agreement shall be 4 paid directly from funds of the county in the same manner as other coun- 5 ty sewer district claims. 6 b. If bonds have been authorized by a city, town or village pursuant 7 to the local finance law to pay all or a part of the cost of the acqui- 8 sition, construction or reconstruction of or addition to a sewer system 9 or the replacement of equipment, machinery, apparatus or furnishings 10 therefor, and in anticipation of the issuance of such bonds such city, 11 town or village has issued a bond anticipation note or notes or has 12 otherwise contracted indebtedness to be paid from the proceeds of such 13 bonds, and prior to the issuance of such bonds and the payment of such 14 note or notes or other indebtedness, such sewer system has been conveyed 15 or leased to the county pursuant to this section, the county may issue 16 its bonds for the object or purpose of paying such note or notes or 17 other indebtedness. The period of probable usefulness of the object or 18 purpose for which such bonds may be issued by the county pursuant to 19 this subdivision shall be the same as the period of probable usefulness 20 specified in paragraph a of section 11.00 of the local finance law for 21 the object or purpose for which the bonds were authorized by such city, 22 town or village prior to such transfer. Such period shall be that which 23 was in effect at the time of such transfer unless such period has been 24 subsequently shortened, in which event the shorter period in effect at 25 the time of the issuance of the bonds by the county shall apply. For the 26 purposes of paragraphs b, b-1 and c of section 21.00 of the local 27 finance law, the date of the earliest bond anticipation note issued by 28 such city, town or village shall be considered as the date of the earli- 29 est bond anticipation note issued in anticipation of the bonds issued by 30 the county for the object or purpose. Except as herein provided, such 31 bonds shall be authorized and issued by the county in accordance with 32 the provisions of the local finance law. 33 c. If, at the time of such transfer, the city, town or village has 34 outstanding bonds issued to finance the conveyed or leased sewer system 35 property, the county may issue refunding bonds under and subject to the 36 provisions of section 90.10 of the local finance law or section 90.00 of 37 the local finance law, except, if the bonds to be refunded are refunding 38 bonds, for paragraph I thereof, to pay the principal, interest and 39 redemption premium of the bonds of the city, town or village of the 40 bonds to be refunded, with savings to the county calculated as if the 41 principal, interest and redemption premium on the bonds to be refunded 42 were to be considered bonds of the county. 43 13. The county legislature, and each city, town and village, are here- 44 by authorized to adopt all such further acts and to take or direct all 45 such additional proceedings as may be necessary or desirable to effectu- 46 ate the purposes and intent of this section. 47 14. The county, cities, towns and villages may expend capital funds to 48 conduct evaluations, surveys and analysis of county sewer facilities and 49 the sewer facilities of cities, towns and villages in the county which 50 may be useful in identifying whether or not the conveyance or lease of 51 particular city, town or village sewer facilities to the county would be 52 in the public interest and in planning, structuring and negotiating a 53 conveyance or lease of city, town or village facilities to the county, 54 and the county may elect to reimburse such costs incurred by cities, 55 towns or villages and to allocate the costs thereof. All of such costs 56 not paid from current funds may be financed by the county as part of the 
 S. 7927 9 1 cost of the acquisition of facilities by the county, irrespective of 2 whether any such acquisition is subsequently completed. 3 15. The provisions of section one hundred nineteen-o of the general 4 municipal law shall apply to sewer system consolidation agreements made 5 under this section, except that, irrespective of the term limits set 6 forth in section one hundred nineteen-o of the general municipal law, 7 such agreements may have terms which extend for up to fifty years and 8 which may be renewed periodically as provided therein for a term not 9 exceeding fifty years. The expiration of any such agreements shall not 10 affect actions completed under such agreements, including the conveyance 11 or lease of property or any change in the status of employees trans- 12 ferred to the county pursuant thereto. This section does not replace or 13 diminish the authority of the county and cities, towns and villages in 14 the county to make agreements under section one hundred nineteen-o of 15 the general municipal law in addition to the sewer system consolidation 16 agreements authorized by this section. 17 § 2. This act shall take effect immediately.