§ 1504. Formation of new district. 1. A district superintendent may
organize a new school district out of the territory of one or more
school districts which are wholly within the geographic area served by
his board of cooperative educational services, whenever the educational
interests of the community require it. If there is an outstanding bonded
indebtedness chargeable against the district or districts out of the
territory of which such new district is organized, the district
superintendent shall apportion said indebtedness between such new
district and the remaining portion of the district or districts out of
which such new district is organized, according to the assessed
valuation thereof, and the portion of the indebtedness so apportioned
shall become a charge for principal and interest upon the respective
districts as though the same had been incurred by said districts
separately.

2. The district superintendents of two or more adjoining supervisory
districts, when public interests require it, may form a joint school
district out of the adjoining portions of their respective districts.

3. Any municipality situated wholly within one central or union free
school district but whose boundaries are not coterminous with the
boundaries of such school district may organize, pursuant to the
provisions of this subdivision, a new union free school district
consisting of the entire territory of such municipality whenever
required by the educational interests of the community.

a. No such new school district may be organized unless: (i) the
enrollment of the municipality seeking to organize such new school
district equals at least two thousand children, and is no greater than
sixty percent of the enrollment of the existing school district from
which such new school district will be organized; (ii) such new school
district would have an actual valuation per total wealth pupil unit at
least equal to the statewide average; and (iii) the enrollment of the
existing school district from which such new school district will be
organized equals at least two thousand children, excluding the residents
of such municipality.

b. No such new school district shall be organized unless the creation
of such new school district first shall have been approved by: (i) a
majority vote of the residents of a municipality seeking to organize
such new school district, provided that a vote of such residents shall
not be required if creation of the new school district has been approved
by a vote of at least two-thirds of the members of the local governing
body of the municipality of such municipality (ii) a majority vote of
the trustees or members of the boards of education of the existing
school district from which such new school district will be organized;
and (iii) a majority vote of the residents of such existing school
district, except that the residents of the municipality seeking to
organize the new school district shall not be entitled to participate in
such vote. Notwithstanding any provision of law to the contrary, a vote
of the residents of an existing school district shall not be required if
the creation of the new school district has been approved by a vote of
at least two-thirds of the trustees or members of the board of education
of such existing school district.

c. If a vote of the residents of a municipality is required, it shall
be the duty of the chief executive officer of the municipality seeking
to organize a new school district, pursuant to a resolution duly adopted
by the governing body of such municipality that the educational
interests of the community require the creation of a new school
district, to give public notice that a meeting of the qualified electors
of such municipality will be held at some convenient place within such
municipality to vote upon the question of creating such new school
district and to elect members of the board of education of such new
school district. Such notice shall specify the day, hour and place where
such meeting shall be held, which shall be not less than ten nor more
than thirty days after the posting or publication of such notice. Such
notice shall be published at least once before such meeting in a
newspaper circulated in such municipality, and in the event no newspaper
is circulated in such municipality, such notice shall be posted at least
ten days prior to such meeting in at least five conspicuous places in
such municipality.

d. If a vote of the residents of the existing school district (other
than the residents of the municipality seeking to organize the new
school district) is required, it shall be the duty of the trustees or
board of education of such existing school district to give public
notice that a meeting of the qualified electors of such district will be
held to vote upon the question of creating such new school district.
Such notice shall specify the day, hour and place where such meeting
shall be held, which shall be not less than ten nor more than thirty
days after the posting or publication of such notice. Such notice shall
be published at least once before such meeting in a newspaper circulated
in such district, and in the event no newspaper is circulated in such
district, such notice shall be posted at least ten days prior to such
meeting in at least five conspicuous places in such district. Such
meeting shall be held in accordance with the procedures of section one
thousand five hundred twenty-three of this article.

e. The clerk of the existing school district immediately shall file
with the district superintendent a certification of the vote of the
members of the board of education or board of trustees of the existing
school district and, if applicable, a certification of the vote of the
residents of such existing school district (other than the residents of
the municipality seeking to organize the new school district) and/or a
certification of the vote of the residents of such municipality. The
new union free school district consisting of the entire territory of
such municipality shall be deemed created immediately upon the filing of
such certifications, and the district superintendent immediately shall
issue an order altering the boundaries of the existing school district
accordingly, and shall file such order in accordance with section one
thousand five hundred six of this article.

f. If there is an outstanding bonded indebtedness chargeable against
the existing school district out of the territory of which such new
district is organized, the district superintendent shall apportion said
indebtedness between such new district and the remaining portion of the
district out of which such new district is organized, according to the
assessed valuation thereof, and the portion of the indebtedness so
apportioned shall become a charge for principal and interest upon the
respective districts as though the same had been incurred by said
districts separately.

g. For the purposes of this subdivision, the term "municipality" shall
mean a city, town or village, and the terms "enrollment," and "actual
valuation" and "total wealth pupil unit" shall have the same meaning as
those terms are defined in section three thousand six hundred two of
this chapter.