[HISTORY: Adopted by the Board of Trustees of the Village of Hamburg
2-7-2000 by L.L. No. 2-2000. Amendments noted where applicable.]
A.
Pursuant to § 10 of the Municipal Home Rule
Law, and § 360 of the General Municipal Law, the Incorporated Village
of Hamburg, County of Erie and State of New York, hereby enacts this chapter
to create the Village of Hamburg municipal electric utility.
B.
This chapter shall take effect on the filing of the approved
local law with the Secretary of State of New York, which shall be within five
days after its approval by a simple majority of the voters by mandatory referendum
at an election to be held to approve this chapter, pursuant to § 360
of the General Municipal Law.
A.
The Incorporated Village of Hamburg is a village duly
incorporated under the laws of the State of New York and the Trustees of the
Village of Hamburg are duly empowered, pursuant to § 360 of the
General Municipal Law of the State of New York, to form a municipal electric
utility for the village.
B.
It is essential for the well-being, livelihood and safety
of the residents and businesses of the village, and of the other consumers
of electric power in the village, including the village itself, and of their
families and guests, for the economic climate of the village, and for the
protection of private and public property within the village and the value
of that property, that the supply and distribution of electricity to the residents,
businesses and other consumers of electric power in the village, and the village
itself, be provided in a reliable manner and at a fair and reasonable cost.
C.
Whereas the Trustees have determined that the most reliable,
fair and economical way for the supply of electricity and electrical service
to be provided to the Village of Hamburg, its residents and businesses and
institutions, is by the creation of the Village of Hamburg municipal electric
utility, the Trustees of the Village of Hamburg hereby enact this chapter
for the intent and purpose of establishing a municipal electric utility pursuant
to § 360 of the General Municipal Law, and all of the powers and
duties thereunder.
The Village of Hamburg municipal electric utility shall acquire the
necessary plant and facilities, if any, and either establish necessary functions
for or procure contracts for the maintenance, service and billing of the electrical
energy system and utility, and a supply of electricity, such as are necessary
for the creation of the Hamburg municipal electric utility.
The proposed method of constructing, leasing, purchasing, or acquiring,
the plant and facilities for the municipal electric utility, together with
both the maximum and the estimated costs thereof, the method of furnishing
such service and the method of obtaining electrical supply, shall be as follows:
A.
Plant and facilities.
(1)
The Village of Hamburg municipal electric utility will
initially operate by the transportation and distribution of electricity through
the property of the New York State Electric and Gas Company (NYSEG) or such
other company owning wires, poles or other assets necessary for the transportation
and distribution of electricity by the Village of Hamburg municipal electric
utility to its customers, and then, after approval by the Board of Trustees,
will acquire, build or construct property necessary for the transportation
and distribution of the electric supply, and the servicing, operation and
maintenance thereof.
(2)
The Village of Hamburg municipal electric utility will
obtain, by purchase or condemnation, the electrical distribution system within
the boundaries of the village currently owned by the New York State Electric
and Gas Company (NYSEG), or other electric company operating in the village,
and will construct such additional infrastructure as may be needed to separate
itself from the NYSEG system, if necessary. The Village of Hamburg municipal
electric utility also may construct its own generating facilities to supply
electrical energy to its customers and, if necessary, in its discretion, may
construct new infrastructure instead of acquiring NYSEG property.
(3)
The initial cost of the commencement of the operation of the municipal electric utility will not exceed a maximum of $25,000. In the event that the Board of Trustees determines to acquire, build or construct the poles, wires and other assets necessary for the transportation and distribution of the supply of electricity, including the maintenance, operation and servicing thereof, the maximum and estimated cost of the items set forth in Subsection A(1) and (2) should be not more than $6,019,447. It shall be a condition of the operation of the municipal electric utility, and this chapter, that the Board of Trustees of the Village of Hamburg, prior to spending a cost of more than a total of $25,000 for the amounts stated in Subsection A(1) and (2), will submit the plan to another public referendum for approval.
(4)
The cost of the acquisition of the plant, facilities,
distribution system and any other costs that are necessary for the implementation
of the Village of Hamburg municipal electric utility shall be paid by the
issuance of a bond by the village for the useful life of the equipment and
facilities, and the longest maturity possible, which is expected to be 30
years.
(5)
The entire costs of the acquisition, construction, development,
implementation and operation of the Village of Hamburg municipal electric
utility, including the debt service of any financing that is created in order
to pay the costs thereof, including the long-term bond that is described herein,
as well as any other costs of the Hamburg municipal electric utility, will
be paid in the first instance from the revenues generated by the Village of
Hamburg municipal electric utility and will not have any effect on the general
budget or real estate taxes of the village.
B.
Service and maintenance of plant, facilities and distribution
system.
(1)
The Village of Hamburg municipal electric utility will
obtain service and maintenance for the infrastructure of the municipal electric
utility, and billing and management services, by obtaining contracts with
suitable and acceptable maintenance, service and billing companies. The contracts
will be supported wherever possible by a performance bond of an amount acceptable
to the village.
(2)
The village will also consider and retain the ability
and power to create its own maintenance and service and billing department,
including the equipment, materials and supplies required for that department,
in order to provide service and maintenance to the Village of Hamburg municipal
electric utility if the village deems it to be in its best interests to do
so.
C.
Electrical supply. The Village of Hamburg municipal electric
utility will obtain its supply of electricity either by contracting with a
utility or supplier, or by generating its own electricity or a combination
thereof.
A.
This chapter shall be subject to approval by a mandatory
referendum of the residents of the Incorporated Village of Hamburg, to be
conducted at an election or special election pursuant to and as set forth
in § 360 of the General Municipal Law of the State of New York,
the Election Law and Village Law of the State of New York.[1]
[1]
Editor's Note: This chapter was approved by a majority of the qualified
electors at the general election held 3-21-2000.
B.
The Village of Hamburg municipal electric utility shall
be effective and granted the full powers entitled to it by law on the date
of the approval by a simple majority of the referendum, except as otherwise
provided in this chapter for the approval by a second referendum, and the
filing of the chapter with the Secretary of State of New York.
