2006 New York Code - Condemnation Of Real Property.

 
    §  45.  Condemnation of real property. Any such corporation shall have
  the right to acquire real estate, or any interest therein, necessary for
  the purposes of its incorporation, and the right to lay,  relay,  repair
  and maintain conduits and water pipes with connections and fixtures, in,
  through  or  over the lands of others, the right to intercept and divert
  the flow of waters from the lands of riparian owners, and  from  persons
  owning or interested in any waters, and the right to prevent the flow of
  drainage  of noxious or impure matters from the lands of others into its
  reservoirs or sources of supply. If any such corporation, which has made
  a contract with any city, town or village or with any of the inhabitants
  thereof for the supply of pure and  wholesome  water  as  authorized  by
  section  forty-two,  shall be unable to agree upon the terms of purchase
  of any such property or rights, it may acquire the same by condemnation.
  But no such corporation shall have power to take or use water  from  any
  of  the canals of this state, or any canal reservoirs as feeders, or any
  streams which have been taken by the state for the purpose of  supplying
  the canals with water.