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![handle is hein.nyscompop/nyscomo1990 and id is 1 raw text is: Opinion 90-1
Opinion 90-1
This opinion represents the views of the Office of the State Comptroller at the time it was
rendered. The opinion may no longer represent those views if, among other things, there have
been subsequent court cases or statutory amendments that bear on the issues discussed in
the opinion.
CONSTITUTIONAL LAW -- Gifts and Loans (gifts of moneys to public entities)
LOCAL LAWS -- Municipal Funds (authorizing gift of to another municipal corporation)
MUNICIPAL FUNDS -- Appropriations and Expenditures (use of commercial hazardous waste facility
assessments); (contributions to public entities - school district)
ENVIRONMENTAL CONSERVATION LAW, §27-0925; MUNICIPAL HOME RULE LAW, §10(1)(i):
Where a town imposes an assessment on the gross receipts of a commercial hazardous waste
facility, the proceeds must be paid into the town-wide general fund. A town by local law may authorize
a gift of an amount equal to a portion of these proceeds to a school district to develop a school district
playground if the town board determines that the playground will benefit town residents.
You ask whether the proceeds from the imposition of an assessment on the gross receipts of a
commercial hazardous waste facility must be applied to a town's general fund and used for town-wide
purposes. You also ask whether a portion of such proceeds may be given to a school district located
partly within the town to assist with the development of a school playground.
Environmental Conservation Law, §27-0925, as amended by chapter 674 of the Laws of 1989 (eff.
January 1, 1990), authorizes the legislative body of a city or town, by local law, to impose and provide
for the collection of an annual assessment of not more than 4% of the gross receipts of any
commercial hazardous waste facility which is located in the city or town (Environmental Conservation
Law, §27-0925[1]). In addition, school districts are authorized to impose an annual assessment of up
to 2% (Environmental Conservation Law, §27-0925[2][a][1]).
Environmental Conservation Law, §27-0925 does not specify the manner in which the proceeds from
an assessment imposed pursuant to that section are to be utilized. It is a general rule, however, that
unless a statute provides otherwise and except for revenues received as a result of a part-town
function or activity, revenues received by a town are credited to the general fund, town-wide (1980
Opns St Comp No. 80-784, p 214; see also 1979 Opns St Comp No. 79-614, unreported; 29 Opns St
Comp 1973, p 173; 1970 Opns St Comp No. 70-753 unreported; 22 Opns St Comp 1966, 579).
Section 27-0925 was enacted to compensate the host community for the existence of a permanent
disposal facility within its boundaries and to encourage the siting of new hazardous facilities (see
Memorandum in Support of Senate Bill No. 8895, enacted as L 1986 ch 812, New York
StateLegislative Annual, 1986, pp 339-340). In view of these purposes and since villages are not
authorized to impose assessments pursuant to section 27-0925 on their own behalf, it appears that
the legislature intended that the proceeds of any assessment imposed by a town should inure to the
benefit of residents of the town as a whole. Therefore, it is our opinion that when a town imposes an
assessment on the gross receipts of commercial hazardous waste facilities pursuant to section
27-0925, the proceeds must be paid into the town-wide general fund for use for any lawful town-wide
purpose or function.
As to whether a town may donate the proceeds of an assessment imposed pursuant to Environmental
Conservation Law, §27-0925 to a school district for the purpose of developing a school playground,
we note that General Municipal Law, §72-h authorizes towns to transfer real property without
consideration to, among other entities, school districts. Although there is no similar state statute
authorizing a gift of moneys from a town to a school district, local governments are authorized to
adopt local laws, not inconsistent with the Constitution or any general law, relating to their property,
affairs or government (Municipal Home Rule Law, §10[1 ][i]). This Office has expressed the opinion
that, pursuant to this authorization, a local government, by local law, may authorize a gift to another
public corporation in furtherance of a public purpose of the donor municipality (see, e.g., 1982 Opns
St Comp No. 82-342, p 434; 1982 Opns St Comp No. 82-164, p 173). In this regard, we note that
Article VIII, §1 of the State Constitution, which prohibits municipalities from giving or loaning any
Opinion 90-1](ViewImageLocal?handle=hein.nyscompop/nyscomo1990&div=1&collection=&method=preview&ext=.png&size=3)