N.Y. Village Law § 3-306: Official undertakings

§ 3-306 Official undertakings. The board of trustees on behalf of the

village or the board in control of a village owned utility plant shall

post an official undertaking in such sum and form, and with such

sureties as the board of trustees or the board in control of the village

owned utility plant shall direct and approve for the treasurer, clerk,

village justice, acting village justice, and such other officers and

employees as may be required by the board of trustees, or by the board

in control of a village owned utility plant. The board of trustees may

by resolution determine that such undertaking shall be executed by a

surety company authorized to transact business in this state and that

the expense thereof shall be a charge upon the village. The board in

control of a village owned utility plant may by resolution determine

that such undertaking shall be executed by a surety company authorized

to transact business in this state and that the expense thereof shall be

paid from the proceeds of the operation of such utility plant.