N.Y. General Municipal Law § 6-q: Intermunicipal agreement for a joint capital reserve fund in the county of Tompkins

§ 6-q. Intermunicipal agreement for a joint capital reserve fund in

the county of Tompkins. 1. As used in this section:

a. "Capital improvement" shall have the same meaning as such term is

defined in section six-c of this article.

b. "Commission" shall mean the Southern Cayuga Lake intermunicipal

water commission, as established by an intermunicipal agreement among

the member municipalities, pursuant to section one hundred nineteen-o of

this chapter, for the purposes of constructing and operating a water

filtration plant, storage facilities and transmission facilities in the

county of Tompkins, among other purposes.

c. "Equipment" shall have the same meaning as such term is defined in

section six-c of this article.

d. "Member municipalities" shall mean the villages of Cayuga Heights

and Lansing, the towns of Dryden, Ithaca and Lansing, and any other

village or town electing to enter into the intermunicipal agreement

establishing the Southern Cayuga Lake intermunicipal water commission.

2. Notwithstanding any other provision of law to the contrary, the

member municipalities may, by intermunicipal agreement, establish a

joint capital reserve fund, for the Southern Cayuga Lake intermunicipal

water district, to provide for the financing of all or part of the cost

of:

a. the construction, reconstruction or acquisition of a specific

capital improvement or the acquisition of a specific item or specific

items of equipment;

b. the construction, reconstruction or acquisition of a type of

capital improvement or the acquisition of a type of equipment; or

c. a combination of specific and types of capital improvements and

equipment.

3. Any agreement establishing such capital reserve fund shall be

approved by all of the member municipalities.

4. The member municipalities shall determine by agreement:

a. the maximum amount to be deposited in such capital reserve fund;

b. the manner in which such capital reserve fund shall be funded which

may include contributions from each member municipality or retention and

dedication to such fund of surplus revenues generated by the operation

of the jointly owned water, storage and transmission facilities; and

c. the manner in which, and the capital improvements and/or equipment

for which the provisions of the local finance law, the moneys in such

capital reserve fund may be expended.

5. Any funds deposited in such capital reserve fund shall be properly

deposited in a separate fund or funds in depositories and properly

secured in accordance with the provisions of the local finance law

governing the deposits and investments of municipal funds. If the

agreement establishing such fund so authorizes, the funds deposited may

be held in one or more separate accounts in the name of the commission

provided that the person or persons authorized to withdraw funds are

chief fiscal officers of one or more of the member municipalities and

are fully bonded. Otherwise such funds shall be held in a separate

account jointly in the name of all member municipalities or, if the

member municipalities agree, in the name of one of the member

municipalities for the benefit of all of the member municipalities.

6. Except as otherwise expressly provided in this section, the

deposit, investment, accrual of interest, expenditure, maintenance of

records and other matters relating to the capital reserve shall be

governed by the provisions of section six-c of this article.