N.Y. Const. art. VIII, § 11: Taxes for certain capital expenditures to be excluded from tax limitation

§ 11. (a) Whenever the city of New York is required by law to pay for

all or any part of the cost of capital improvements by direct budgetary

appropriation in any fiscal year or by the issuance of certificates or

other evidence of indebtedness (except serial bonds of an issue having a

maximum maturity of more than two years) to be redeemed in one of the

two immediately succeeding fiscal years, taxes required for such

appropriation or for the redemption of such certificates or other

evidence of indebtedness may be excluded in whole or in part by such

city from the tax limitation prescribed by section ten of this article,

in which event the total amount so required for such appropriation and

for the redemption of such certificates or other evidence of

indebtedness shall be deemed to be indebtedness to the same extent and

in the same manner as if such amount had been financed through

indebtedness payable in equal annual installments over the period of the

probable usefulness of such capital improvement, as determined by law.

The fiscal officer of such city shall determine the amount to be deemed

indebtedness pursuant to this section, and the legislature, in its

discretion, may provide that such determination, if approved by the

state comptroller, shall be conclusive. Any amounts determined to be

deemed indebtedness of any county, city, other than the city of New

York, village or school district in accordance with the provisions of

this section as in force and effect prior to January first, nineteen

hundred fifty-two, shall not be deemed to be indebtedness on and after

such date.

(b) Whenever any county, city, other than the city of New York,

village or school district which is coterminous with, or partly within,

or wholly within, a city having less than one hundred twenty-five

thousand inhabitants according to the latest federal census provides by

direct budgetary appropriation for any fiscal year for the payment in

such fiscal year or in any future fiscal year or years of all or any

part of the cost of an object or purpose for which a period of probable

usefulness has been determined by law, the taxes required for such

appropriation shall be excluded from the tax limitation prescribed by

section ten of this article unless the legislature otherwise provides.