N.Y. Public Authorities Law § 1114-d*2: Water authority of North Shore

* § 1114-d. Water authority of North Shore. 1. A corporation known as

"water authority of North Shore" is hereby created for the purposes and

charged with the duties and having the powers provided in this title.

The authority shall be a corporate governmental agency constituting a

public benefit corporation and shall be a "public district" for the

purposes of section eighty-nine of the public service law. The authority

shall be governed by a board of directors consisting of six members. The

governing boards of the villages of Old Brookville, Sea Cliff, Roslyn

Harbor, and the City of Glen Cove shall each appoint one member. The

governing board of the Town of Oyster Bay shall appoint two members

representing the residents of the unincorporated hamlets of Glen Head

and Glenwood Landing who are serviced by the water authority of North

Shore. Each member shall serve for a period of two years. Each chief

executive officer shall file with the secretary of state a certificate

of appointment or reappointment of any member appointed or reappointed

by such chief executive within thirty days of the appointment or

reappointment. Members shall receive no compensation for their services

but shall be entitled to reimbursement of their necessary expenses,

including traveling expenses, incurred in the discharge of their duties.

Nothing in this section shall be construed as preventing a chief

executive officer of a municipality from appointing himself or herself

to be a member of the board of directors.

2. If the authority decides to enter into a contract to purchase or

otherwise acquire an interest in the New York American water service

corporation or to initiate a condemnation proceeding pursuant to the

eminent domain procedure law for the area it services within the water

authority of North Shore district, prior to entering into any contract

to purchase or otherwise acquire an interest in the New York American

water service corporation or the initiation of any condemnation

proceeding by the authority pursuant to the eminent domain procedure law

for the area it services within the water authority of North Shore

district, the authority shall provide ratepayers within the area

serviced by the New York American water service corporation and the

public with public forums for the expression and discussion of views

regarding such purchase, acquisition or condemnation of the New York

American water service corporation. The authority shall hold at least

one forum in each of the towns of North Hempstead, Oyster Bay, and city

of Glen Cove within the portions of the towns of North Hempstead and

Oyster Bay and the city of Glen Cove serviced by the New York American

water service corporation.

3. If the authority decides to enter into a contract to purchase or

otherwise acquire an interest in the New York American water service

corporation or to initiate a condemnation proceeding pursuant to the

eminent domain procedure law for the area it services within the water

authority of North Shore district, the authority is authorized to

provide registered voters within the area serviced by the New York

American water service corporation within the water authority of North

Shore district prior to entering into such contract to purchase or

otherwise acquire an interest in the New York American water service

corporation or the initiation of any condemnation proceeding by the

authority pursuant to the eminent domain procedure law for the area the

New York American water service corporation services within the water

authority of North Shore district, with a nonbinding referendum,

regarding whether the authority should enter into a contract to purchase

or otherwise acquire an interest in the New York American water service

corporation or initiate condemnation proceedings pursuant to the eminent

domain procedure law for the area it services within the water authority

of North Shore district. The proposition shall be placed on the ballot

and voted upon at a special election or a date to be determined by the

Nassau county board of elections.

4. Any one or more of the members of the board of directors may be an

official or an employee of a municipality situated within the district.

In the event that an official or an employee of such municipality shall

be elected as a member of the board of directors, acceptance or

retention of such appointment shall not be deemed a forfeiture of his or

her municipal office or employment, or incompatible therewith or affect

his or her tenure or compensation in any way.

5. No action shall be taken by the authority except pursuant to the

favorable vote of fifty-one percent of the total authorized voting

strength of the board of directors. The total authorized voting strength

of the board of directors shall be:

(a) The number of weighted votes possessed by each member of the board

of directors shall be determined in accordance with paragraphs (b), (c)

and (d) of this subdivision, except each member shall possess equal

weighted votes prior to the adjustment pursuant to paragraph (d) of this

subdivision;

(b) No action shall be taken by the authority except pursuant to the

favorable vote of at least: (i) fifty-one percent of the total

authorized voting strength of the board of directors; and (ii) three

members of the board of directors, at least two of whom shall be from

among the four members of the board of directors possessing the greatest

number of weighted votes;

(c) The vote of each member shall be equal to one hundred multiplied

by a fraction, the numerator of which shall be equal to the quantity of

water supplied by the authority to the owners, tenants, occupants and

other water users in the municipality from which such member was

appointed and the denominator of which shall be equal to the quantity of

water supplied by the authority to the owners, tenants, occupants and

other water users in all of the municipalities within the district; and

(d) Commencing on the first day of January, two thousand twenty-three,

and every four years thereafter, the authorized number of votes of each

member shall be adjusted in accordance with the formula set forth in

paragraph (c) of this subdivision to reflect the total quantity of water

supplied by the authority to owners, tenants, occupants and other water

users in each municipality within the district during the two calendar

years immediately preceding the date on which the adjustment is being

made.

6. The powers of the authority shall be vested in and shall be

exercised by the board of directors at a meeting duly called and held.

Four members of the board of directors, who together are authorized to

cast a majority of the weighted vote, shall constitute a quorum. The

board of directors may delegate to one or more of its members, or to one

or more of the officers, agents or employees of the authority, such

powers and duties as it may deem proper.

7. The officers of the authority shall consist of a chairperson, vice

chairperson, deputy chairperson, treasurer, and secretary, who shall not

be members of the board of directors. The officers of the authority

shall be appointed by the board of directors. The board of directors may

appoint and at its pleasure remove an attorney and an engineer, which

positions, in addition to the officers above named, shall be in the

exempt class of the civil service and such additional officers and

employees as it may require for the performance of its duties, fix and

determine their qualifications, duties, compensations and terms of

office or tenure, subject to the provisions of the civil service law of

the state and such rules as the civil service commission may adopt and

make applicable to the authority. The authority may also from time to

time contract for expert professional services. The duties of the

officers shall be as follows:

(a) Chairperson. The chairperson shall be the chief executive officer

of the authority and it shall be the responsibility of the chairperson

to:

(i) preside at all meetings of the board of directors and of the

officers;

(ii) manage the water facility, the transmission facility and the

distribution system and to effectuate the decisions of the board of

directors;

(iii) exercise supervision over the conduct of the officers and

employees of the authority;

(iv) report annually to each customer, either by mail or by

publication once in a newspaper having general circulation within the

district; such report shall include but not be limited to the following

information:

(1) a brief financial account on operations of the water system

including, but not limited to, water rates, total revenues, operating

and maintenance expenses, and interest on bonds and notes;

(2) the population served by the authority;

(3) the number of wells, towers and other storage facilities operated

by the authority;

(4) the total pumpage of groundwater including the amount received

through interdistrict interconnections and the estimated amount lost

from the system;

(5) the single highest level from each well of each synthetic organic

chemical, nitrate and chloride constituent tested for by the authority

at any time during the year which exceeds the applicable county water

quality standard or guideline, that standard or guideline, the site of

each well at which each reported constituent was found, and the date on

which each reported constituent was analyzed;

(6) the highest level from each well of each synthetic organic

chemical, nitrate and chloride constituent tested for by the authority

at any time during the year which does not exceed the applicable county

water standard or guideline, but which contains a level equal to or

greater than two-thirds of the amount permitted before exceeding a

standard or guideline, that standard or guideline, the site of each well

at which each reported constituent was found and the date on which each

reported constituent was analyzed;

(7) once every five years, the highest level of any constituent

discovered within the distribution system which contains a level equal

to or greater than two-thirds of the amount permitted before exceeding a

standard or guideline, that standard or guideline, and the resulting

action taken by the authority;

(8) any well restricted, removed from service or otherwise limited in

its use and the cause for such action;

(9) any actions taken to secure new supplies or replace lost capacity;

(10) the types of treatment which the water receives before entering

the distribution system;

(11) any compliance activities required by regulations of the

department of environmental conservation or the department of health or

any local health department and any instances of noncompliance;

(12) the present condition of the distribution system and any

significant actions, as determined by the authority, to improve or

maintain the system;

(13) any special public services the authority provides during the

year; and

(14) information on water conservation measures customers can

implement, such as, but not limited to, retrofitting plumbing fixtures,

altering irrigation timing, using irrigation sensors, leak detection,

proper use of water-consuming appliances, daily conscientious use of

water and estimated savings of water, energy, and money, from use of

these measures;

(v) execute all contracts in the name of the authority;

(vi) institute, at the direction of the board of directors, all civil

actions in the name of the authority;

(vii) provide for the enforcement of all of the rules and regulations

of the authority and cause all violations thereof to be prosecuted;

(viii) sign orders to pay claims when authorized by the board of

directors;

(ix) sign checks in the absence or inability of the treasurer or

deputy treasurer, if any, when authorized by the board of directors; and

a certified copy of a resolution of the board of directors to that

effect shall be notice to the depository of such authorization;

(x) appoint, subject to the approval of the board of directors,

nonelected officers, counsel, accountants, and other financial advisors,

engineers and other technical advisors;

(xi) employ, promote and discharge managers, supervisors and

employees; and

(xii) take all other reasonable and necessary actions to carry out his

or her office as the chief executive of the authority. If the

chairperson has not been appointed as a member of the board of directors

of the authority pursuant to this section, such chairperson shall be

deemed an ex officio member of the board of directors. Such status shall

not carry with it the right to vote on matters coming before the board

of directors nor shall the presence of such chairperson be counted for

the purpose of determining a quorum.

(b) Vice chairperson. The vice chairperson shall perform all duties

delegated to him or her by the chairperson and, in the absence or during

the disability of the chairperson, the vice chairperson shall act as

chairperson.

(c) Deputy chairperson. The deputy chairperson shall perform all

duties delegated to him or her by the chairperson or the vice

chairperson.

(d) Secretary. (i) The secretary shall be the recording and

corresponding officer of the authority and the custodian of the records

of the authority.

(ii) The secretary shall prepare and send required notices of all

meetings when directed to do so by the chairperson or by the written

request of four members who have specified the issues to be discussed at

the meeting.

(iii) In the absence or disability of the secretary, the chairperson

may appoint a temporary secretary.

(e) Treasurer. (i) The treasurer shall have custody of all moneys

belonging to the authority and keep accounts of all receipts and

expenditures in conformance with a uniform system of accounts formulated

and prescribed by the comptroller pursuant to section thirty-six of the

general municipal law.

(ii) The treasurer shall execute a bond, conditioned upon the faithful

performance of the duties of his or her office, the amount and

sufficiency of which shall be approved by the board of directors and the

premium therefor shall be paid by the authority.

(iii) The treasurer shall deposit, within ten days after receipt

thereof, in the name of the authority, in one or more banks, and/or

trust companies, designated by the board of directors, all moneys

received by him or her.

(iv) The treasurer may sign checks with the facsimile signature of the

treasurer, as reproduced by a machine or device commonly known as a

checksigner, when authorized by the board of directors.

(v) The treasurer shall pay out moneys from the authority treasury

only as authorized by the board of directors and by law. All such

payments, except as may be authorized by the board of directors for a

petty cash account, shall be by check.

(vi) The treasurer shall issue a report on the finances of the

authority at each regular meeting of the board of directors.

(vii) The treasurer shall file in the office of the authority, within

sixty days after the end of the fiscal year, a statement showing in

detail all revenues and expenditures during the previous fiscal year and

the outstanding indebtedness of the authority as of the end of the

fiscal year. The members shall, within ten days, cause to be published

once in a newspaper having general circulation within the district, a

notice that the annual financial statement has been filed and is

available for inspection or a summary of such statement in a form

approved by the comptroller, with an endorsement thereon that details

thereof are on file in the office of the authority. The members shall

cause to be audited by a certified public accountant engaged for that

purpose, such report and supporting records.

8. The terms of the chairperson, vice chairperson and deputy

chairperson first appointed shall be staggered, the chairperson first

appointed shall serve for a period of four years, the vice chairperson

first appointed shall serve for a period of three years and the deputy

chairperson first appointed shall serve for a period of two years;

thereafter their successors shall serve for terms of four years. The

remaining officers shall each serve terms of one year. The board of

directors shall have the right, at any time, to extend any such term,

for a period of months, to provide that such term terminates

contemporaneously with the end of the fiscal year of the authority.

9. The officers of the authority shall receive such compensation for

their services as shall be fixed by the board of directors and shall be

reimbursed for all necessary and actual expenses incurred in connection

with their duties as such officers and in connection with the carrying

out of the purposes of this title.

10. The authority and its corporate existence shall continue until

terminated by law; provided, however, that no such law shall take effect

so long as the authority shall have bonds or other obligations

outstanding unless adequate provision has been made for the payment or

satisfaction thereof. Upon termination of the existence of the

authority, all of the rights and properties of the authority then

remaining shall pass to and vest in the municipalities within the

district. Such property shall be apportioned and distributed among the

municipalities within the district in direct proportion to their

weighted voting on the date of the termination of the authority.

11. In addition to any powers granted to it by law, the governing body

of each of the municipalities within the district, from time to time,

may appropriate sums of money to defray project costs or any other costs

and expenses of the authority. Subject to the rights of bondholders,

each governing body may determine if the moneys so appropriated shall be

subject to repayment by the authority to the municipalities, and in such

event, the manner and time or times for such repayment.

12. Neither the public service commission nor any other board or

commission of like character, shall have jurisdiction over the authority

in the management and control of its properties or operations or any

power over the regulation of rates fixed or charges collected by the

authority.

13. It is hereby determined and declared that the authority and the

carrying out of its powers, purposes and duties are in all respects for

the benefit of the people of the municipalities within the district and

state, for the improvement of their health, welfare and prosperity and

that the said purposes are public purposes and that the authority is and

will be performing an essential governmental function in the exercise of

the powers conferred upon it by this title.

* NB There are 2 § 1114-d's