2006 New York Code - Giving Or Loaning Of Municipal Credit And Contracting Indebtedness Other Than For Municipal Purposes Prohibited.

 
    §  101.00  Giving  or  loaning  of  municipal  credit  and contracting
  indebtedness  other  than  for  municipal  purposes  prohibited.  a.  No
  municipality, school district or district corporation shall:
    1.  Give  or loan its credit to or in aid of any individual, or public
  or private corporation or association, or private undertaking, or
    2. Contract indebtedness except for the purposes of such municipality,
  school district or district corporation.
  Notwithstanding the foregoing provisions of this paragraph:
    1. If any  municipality  or  any  county  or  town  on  behalf  of  an
  improvement  district is authorized by a general law or by a special law
  (a) to provide a supply of water, in excess of its own needs,  for  sale
  to  any other public corporation or improvement district, (b) to provide
  facilities, in excess of its own needs, for  the  conveyance,  treatment
  and disposal of sewage, from any other public corporation or improvement
  district,  or (c) to provide facilities, in excess of its own needs, for
  drainage purposes from  any  other  public  corporation  or  improvement
  district,  the  indebtedness  contracted by the municipality for such an
  object or purpose shall be deemed to be for  a  county,  city,  town  or
  village purpose, as the case may be.
    2.  If  any two or more municipalities and county and town improvement
  districts are authorized by a general law or by a  special  law  (a)  to
  provide  for  a  common  supply  of water, (b) to provide for the common
  conveyance, treatment and disposal of sewage or (c)  to  provide  for  a
  common   drainage   system,  the  joint  indebtedness,  or  the  several
  indebtedness for a specific proportion of the cost,  contracted  by  the
  municipality  for  such an object or purpose shall be deemed to be for a
  county, city, town or village purpose, as the case may be.
    3. If any two or more municipalities and school districts  and  county
  and  town  improvement districts are authorized by a general law or by a
  special law to join together to provide any municipal facility, service,
  activity or undertaking which each  of  such  units  has  the  power  to
  provide  separately, the joint indebtedness, or the several indebtedness
  for a specific proportion of the cost, contracted by the municipality or
  school district for such an object or purpose shall be deemed to be  for
  county,  city, town, village or school district purpose, as the case may
  be.
    b. This section shall not be deemed to prevent:
    1. A county from contracting indebtedness for the following purposes:
    (a) Advancing to a city, town or school district, pursuant to law, the
  amount of unpaid taxes.
    (b) Financing tax refunds required to be made by section seven hundred
  twenty-six of the real property tax law.
    (c) Paying to the state the state tax levied against such county.
    2. A town from contracting indebtedness for the following purposes:
    (a) Advancing to a county or school district,  pursuant  to  law,  the
  amount of unpaid taxes.
    (b)  Paying  to  a  county  such  town's share of the state tax levied
  against such county if such town is required by law to levy and  collect
  such tax.
    3. A city from contracting indebtedness for the following purposes:
    (a)  Advancing  to  a  county or school district, pursuant to law, the
  amount of unpaid taxes.
    (b) Paying to a county such city's  share  of  the  state  tax  levied
  against  such county if such city is required by law to levy and collect
  such tax.
    4. A municipality from making such provision for  the  aid,  care  and
  support  of  the needy, including the aid, care and support of neglected
  and dependent children and of the needy sick, as may  be  authorized  by
  law.
    5.  A  county,  city  or town from providing, pursuant to law, for the
  care, support, maintenance and secular education of  inmates  of  orphan
  asylums,  homes  for dependent children or correctional institutions and
  of children placed in family homes by authorized agencies, whether under
  public or private control.
    6. A municipality or school district, when  authorized  by  law,  from
  using its credit for
    (a)  The  examination  or  inspection  of any school or institution of
  learning wholly or in  part  under  the  control  or  direction  of  any
  religious denomination, or in which any denominational tenet or doctrine
  is taught, or
    (b)  The  transportation  of  children  to  and  from  any  school  or
  institution of learning.
    7. A city, town or village from giving  or  loaning  its  credit  when
  authorized  to  do  so  by the legislature pursuant to the provisions of
  article eighteen of the state constitution.
    8. A county, city or town from increasing, pursuant  to  law,  pension
  benefits  payable  to  retired  members  of  a police department or fire
  department or to widows, dependent  children  or  dependent  parents  of
  members or retired members of a police department or fire department.
    9.  A  municipality,  school  district  or  district  corporation from
  increasing, pursuant to law, the amount of pension of any  member  of  a
  retirement system of the state, or of a subdivision of the state.
    10.  A  municipality,  school  district  or  district corporation from
  providing, pursuant to law, for the protection by insurance or otherwise
  against the hazards of unemployment, sickness and old age.
    11. A municipality or school district from providing, pursuant to law,
  for the education and support of the blind,  the  deaf,  the  mute,  the
  physically  handicapped  and  juvenile  delinquents  or  for  health and
  welfare services for all children.
    12. A city, town or village  from  expending  or  loaning  its  money,
  property  or credit as consideration for the effectuation of all or part
  of the public purpose provided for in sections eleven-a and thirty-six-a
  of the private housing finance law.
    13. A municipality from making loans of money or credit to or  in  aid
  of  any eligible corporation or association for the purpose of providing
  hospital or other facilities for the prevention, diagnosis or  treatment
  of  human  disease,  pain,  injury,  disability,  deformity  or physical
  condition, and for facilities incidental or appurtenant thereto, as  may
  be  authorized  by law pursuant to section seven of article seventeen of
  the state constitution.