§ 5. In ascertaining the power of a county, city, town or village to\ncontract indebtedness, there shall be excluded:\n A. Certificates or other evidences of indebtedness (except serial\nbonds of an issue having a maximum maturity of more than two years)\nissued for purposes other than the financing of capital improvements and\ncontracted to be redeemed in one of the two fiscal years immediately\nsucceeding the year of their issue, and certificates or other evidences\nof indebtedness issued in any fiscal year in anticipation of (a) the\ncollection of taxes on real estate for amounts theretofore actually\nlevied and uncollected or to be levied in such year and payable out of\nsuch taxes, (b) moneys receivable from the state which have theretofore\nbeen apportioned by the state or which are to be so apportioned within\none year after their issue and (c) the collection of any other taxes due\nand payable or to become due and payable within one year or of other\nrevenues to be received within one year after their issue; excepting any\nsuch certificates or other evidences of indebtedness or renewals thereof\nwhich are not retired within five years after their date of original\nissue.\n B. Indebtedness heretofore or hereafter contracted to provide for the\nsupply of water.\n C. Indebtedness heretofore or hereafter contracted by any county,\ncity, town or village for a public improvement or part thereof, or\nservice, owned or rendered by such county, city, town or village,\nannually proportionately to the extent that the same shall have yielded\nto such county, city, town or village net revenue; provided, however,\nthat such net revenue shall be twenty-five per centum or more of the\namount required in such year for the payment of the interest on,\namortization of, or payment of, such indebtedness. Such exclusion shall\nbe granted only if the revenues of such public improvement or part\nthereof, or service, are applied to and actually used for payment of all\ncosts of operation, maintenance and repairs, and payment of the amounts\nrequired in such year for interest on and amortization of or redemption\nof such indebtedness, or such revenues are deposited in a special fund\nto be used solely for such payments. Any revenues remaining after such\npayments are made may be used for any lawful purpose of such county,\ncity, town or village, respectively.\n Net revenue shall be determined by deducting from gross revenues of\nthe preceding year all costs of operation, maintenance and repairs for\nsuch year, or the legislature may provide that net revenue shall be\ndetermined by deducting from the average of the gross revenues of not to\nexceed five of the preceding years during which the public improvement\nor part thereof, or service, has been in operation, the average of all\ncosts of operation, maintenance and repairs for the same years.\n A proportionate exclusion of indebtedness contracted or proposed to be\ncontracted also may be granted for the period from the date when such\nindebtedness is first contracted or to be contracted for such public\nimprovement or part thereof, or service, through the first year of\noperation of such public improvement or part thereof, or service. Such\nexclusion shall be computed in the manner provided in this section on\nthe basis of estimated net revenue which shall be determined by\ndeducting from the gross revenues estimated to be received during the\nfirst year of operation of such public improvement or part thereof, or\nservice, all estimated costs of operation, maintenance and repairs for\nsuch year. The amount of any such proportionate exclusion shall not\nexceed seventy-five per centum of the amount which would be excluded if\nthe computation were made on the basis of net revenue instead of\nestimated net revenue.\n Except as otherwise provided herein, the legislature shall prescribe\nthe method by which and the terms and conditions under which the\nproportionate amount of any such indebted
‹ Prev All New York sections Next ›
Lexace provides legal information, not legal advice, and no attorney–client relationship is created. Statute text is provided for general information and may not reflect the most recent amendments; verify against the official state code.