N.Y. Const. art. VIII, § 12: Further limitations on local powers of taxation and indebtedness

§ 12. It shall be the duty of the legislature, subject to the

provisions of this constitution, to restrict the power of taxation,

assessment, borrowing money, contracting indebtedness, and loaning the

credit of counties, cities, towns and villages, so as to prevent abuses

in taxation and assessments and in contracting of indebtedness by them.

Nothing in this article shall be construed to prevent the legislature

from further restricting the powers herein specified of any county,

city, town, village or school district to contract indebtedness or to

levy taxes on real estate. The legislature shall not, however, restrict

the power to levy taxes on real estate for the payment of interest on or

principal of indebtedness theretofore contracted.