§ 17-1905. Operation and maintenance of sewage treatment works.

1. As used in this section:

a. "Operation and maintenance" means and includes all direct costs for
labor, direct supervision, vehicles, vessels, supplies, materials, fuel,
lubricants, power, and similar costs, the direct costs charged against
labor such as retirement, social security, and insurance, and such other
charges as real property and school taxes and special assessments and ad
valorem levies on sewage treatment works located outside of the
corporate limits of the municipality, insurance premiums on sewage
treatment plant structures, and equipment. It shall not include any
administrative, legislative or overhead costs other than as outlined
above, costs of indirect supervision or costs of any capital
improvements.

b. "Sewage treatment works" means and includes the structures,
equipment, vehicles, vessels, and appurtenances of local government used
exclusively for the treatment of sewage and for the disposal of sludge
resulting from sewage treatment. Sewage treatment works shall also
include outlet sewers, overflow structures on sewer systems, diversion
chambers on intercepting sewers, and pumping stations which have
replaced a sewage treatment plant or plants. Such treatment works shall
not include any other sewers, nor any properties used in whole or in
part for the administration of sewage treatment works unless such
properties are on the site of, and an integral part of, the sewage
treatment plant.

c. "Qualifications for state assistance to municipalities" means and
includes submission by the municipality of (1) audited costs of sewage
treatment plant operation, (2) standard reports with respect to such
plant performance and effect on receiving waters, (3) evidence that the
sewage treatment plant is under the supervision of an operator qualified
pursuant to section f of chapter 11 of the State Sanitary Code, (4)
evidence that the sewage from the tributary area reaches such sewage
treatment plant for processing, within practical limitations, (5)
evidence that such sewage treatment plant is and has been constructed in
substantial compliance with the plans approved by and on file with the
commissioner or with approved amendments thereto. The burden of proof to
establish qualifications for state assistance rests with the
municipality.

d. "Municipality" means a county, city, town, village or district
corporation, or a county or town on behalf of a special improvement
district, which operates and maintains sewage treatment works, or a city
on behalf of a sewer authority now existing in such city which operates
and maintains sewage treatment works, or any of the foregoing in cases
in which the sewage treatment works is operated and maintained by the
New York State Environmental Facilities Corporation pursuant to
subdivision 1 of section 1285 of the Public Authorities Law, or the New
York state pure waters authority acting pursuant to subdivision 3 of
section 1285 of the Public Authorities Law.

2. The commissioner shall apportion and approve for payment state
assistance to each municipality which, by itself or in cooperation with
one or more other municipalities or other governments, operates and
maintains or is responsible for the payment of expenses for operation
and maintenance of sewage treatment works during all or part of a fiscal
year of such municipality, in accordance with qualifications for state
assistance applicable to the operation and maintenance of such works.
Where a special or improvement district or a sewer authority operates
and maintains sewage treatment works, state assistance paid to a county,
city or town on behalf of such district or authority shall be credited
by such county, city or town to such district or authority. Such state
assistance, when apportioned among the municipalities applying, shall be
for not more than one-third of the amount approved by the commissioner
as having been duly expended by the municipality for such operation and
maintenance during each of the two successive fiscal years of the
municipality beginning with its fiscal year commencing on or after June
1, 1974 and for one-fourth of such amount expended by the municipality
during each of the following five successive fiscal years of the
municipality beginning with its fiscal year commencing on or after June
1, 1976, for thirty-three and one-third percent of such amount expended
by the municipality for its fiscal year commencing between June 1, 1981
and May 31, 1982, for one-third of such amount expended by the
municipality for its fiscal year commencing between June 1, 1982 and May
31, 1983, for one-third of such amount expended by the municipality for
its fiscal year commencing between June 1, 1983 and May 31, 1984, for
one-third of such amount expended by the municipality for its fiscal
year commencing between June 1, 1984 and May 31, 1985, for one-third of
such amount expended by the municipality for its fiscal year commencing
between June 1, 1985 and May 31, 1986, for one-third of such amount
expended by the municipality for its fiscal year commencing between June
1, 1986 and May 31, 1987, for one-third of such amount expended by the
municipality for its fiscal year commencing between June 1, 1987 and May
31, 1988 and for one-third of such amount expended by the municipality
for its fiscal year commencing between June 1, 1988 and May 31, 1989.
Provided further, however, if the amount appropriated by the legislature
to meet the requirements of this section is insufficient to make the
full payments required herein, the amounts to be paid to municipalities
pursuant to this section shall be proportionately reduced. Such state
assistance shall be paid on account of such expenditures after the
termination of the fiscal year of the municipality and after the
commissioner shall have determined, in accordance with this section;

a. The total of such expenditures properly attributable to operation
and maintenance, and

b. That such operation and maintenance complied with the applicable
qualifications for state assistance.
All payments of such state assistance shall be made after audit by and
upon warrant of the comptroller on vouchers approved by the
commissioner.

3. A municipality applying for state assistance pursuant to this
section shall submit to the commissioner within sixty days after the
termination of a fiscal year of the municipality an application in such
form and containing such information as the commissioner shall require
in order to effectuate the purposes of this section and to perform his
functions, powers and duties thereunder.

4. In administering and enforcing the provisions of this section the
commissioner shall:

a. Annually furnish an estimate to the director of the budget of the
amount required to be included in the executive budget for state
assistance payable under this section and for such purpose shall have
power to require municipalities to file advance estimates of the amounts
of state assistance estimated to be payable to them under this section
during the next fiscal year of the state.

b. Deny state assistance to any municipality which fails to operate
and maintain its sewage treatment works in accordance with
qualifications for state assistance applicable to such works.

c. Make an annual inspection of operating conditions and results,
including the collection of necessary flow and analytical data and
sampling, at each sewage treatment plan for the maintenance and
operation of which state assistance is granted pursuant to this section.

d. Promulgate such rules and regulations pursuant to subdivision 3 of
section 17-0303 as may be necessary, proper or desirable to carry out
effectively the provisions of this section, including, but not limited
to, standards of operating efficiency for sewage treatment works, based
on the best usage of the receiving waters, type of treatment provided,
and available dilution.

e. On or before May first, nineteen hundred seventy-five, the
commissioner shall present to the governor and the legislature a study
of the system of state assistance payable under this section. The study
shall describe the effect the provision of this state assistance has had
on the quality and efficiency of the treatment of sewage by
municipalities. It shall also evaluate the effect that would be achieved
by changing the type and level of assistance provided. In evaluating
these alternatives, it shall consider among other possible courses, the
possibilities of providing aid in relation to the level of removal of
pollutants achieved, and of providing aid for certain items not now
included in approvable operating costs such as repairs and
rehabilitation of facilities, and of providing more or less state
assistance for the various types of expenses. It shall also evaluate
such other aspects of the program as shall be necessary to provide a
clear picture of the current effectiveness of the program, how it may be
improved, what the annual costs of such improvements may be and whether
such current or proposed expenditures do in fact provide a commensurate
value to the state. Such study shall contain the commissioner's
recommendations for the continuation, elimination or modification of the
system of state assistance payable under this section.