§ 1048-k. Tax exemption of the water board property and activities.
1. It is hereby determined that the creation of a water board and the
carrying out of its corporate purposes is in all respects for the
benefit of the city and is a public purpose and the water board shall be
regarded as performing a governmental function in the exercise of the
powers conferred upon it by this title and shall not be required to pay
any taxes, special ad valorem levies or special assessments upon any
real property owned by it or any filing, recording or transfer fees or
taxes in relation to instruments filed, recorded or transferred by it or
on its behalf. The water board shall be deemed a public authority for
the purposes of section four hundred twelve of the real property tax
law.

2. Notwithstanding the provisions of subdivisions one and four of this
section, any real property of the water board located outside the
boundaries of the city, shall be exempt from the payment of taxes,
special ad valorem levies and special assessments only if and to the
extent that such real property would have been exempt if owned by the
city.

3. Notwithstanding any provision in this section to the contrary, the
water board may pay, or may enter into agreements with any municipality
to pay, a sum or sums, annually or otherwise, or to provide other
considerations to such municipality, with respect to real property of
the water board located within such municipality and provided that any
such payment or agreement to pay shall be subject to approval by the
authority.

4. The water board shall not be required to pay any taxes or other
governmental fees or charges, whether imposed by the state or any
municipality, including without limitation franchise taxes, sales taxes
or other excise taxes, or any other tax or charge upon its property or
activities or upon any of its revenues or other income.