GENERAL MUNICIPAL LAW L. 1909, Ch. 29. "An Act relating to municipal corporations, constituting chapter twenty-four of the Consolidated Laws." (In effect February 17, 1909.) CHAPTER 24 OF THE CONSOLIDATED LAWS [Formerly L. 1892, Ch. 685, being chapter 17 of the General Laws.] Article 1. Short title; definitions (§§ 1, 2). 2. General municipal finances (§§ 3-20). 3. Report of financial condition (§§ 30-38). 4. Negligence and malfeasance of public officers; tax- 5. Powers, limitations and liabilities (§§ 70-37). 7. Trusts for parks and libraries in villages and towns 8. Gemeteries (§§ 160-163). 9. Regulation of use of bicycles and similar vehicles (§§ 180-182). 10. Firemen and policemen (§§ 200-207). 11. Acquisition of lands by the United States (§§ 210 212). 12. Railroad aid bonds (§§ 220-233). 13. Laws repealed; when to take effect (§§ 240, 241). ARTICLE 1 Short Title; Definitions Section 1. Short title. 2. Definitions. § 1. Short title. This chapter shall be known as the "General Municipal Law." Formerly L. 1892, ch. 685, § 1 part. Explanation. For location and disposition of former sections of the General Municipal Law see L. 1892, Ch. 685, in "Consolidated Schedule of Repeals," Vol. 7. §§ 2, 3 General Municipal Finances. Arts. 1, 2 § 2. Definitions. The term "municipal corporation," as used in this chapter, includes only a county, town, city and village. The term "governing board" includes the board of supervisors of a county, the town board of a town, the common council of a city, and the board of trustees of a village. General Municipal Finances Section 3. Limitation of indebtedness. 4. Investigation of expenditures of towns and villages. 5. Temporary loans. 6. Funded debt. 7. Payment of municipal bonds. 8. Funded and bonded debts. 9. Issuance of municipal bonds. 10. Registry of municipal bonds. 11. Conversion of coupon into registered bonds. 12. Defects not invalidating municipal bonds. 13. Municipal taxes of railroads payable to county treas urer. 14. Appointment of railroad commissioners. 15. Oath and undertaking of commissioners. 16. Abolition of office of railroad commissioners. 17. Exchange or sale of railroad stock and bonds. 18. Annual report of commissioners and payment of bonds. 19. Accounts and loans by commissioners. 20. Reissue of lost or destroyed bonds. § 3. Limitation of indebtedness. No county containing a city of more than one hundred thousand inhabitants, nor any such city shall contract any debt, the amount of which, exclusive of its outstanding debt, shall exceed a sum equal to five per centum of the aggregate valuation of the real property within its bounds, as assessed for state and county purposes upon the then last corrected assessment-roll, nor shall it contract any such debt if the amount thereof inclusive of its outstanding debts shall exceed a sum equal to ten per centum of such valuation. This section shall not be construed to prevent the issuing of certificates of indebtedness or revenue bonds issued in anticipation of the collection of taxes of amounts actually contained or to be contained in the taxes for the year when such certificates or revenue bonds are issued Art. 2 General Municipal Finances. $$ 4,5 and payable out of such taxes. Nor shall this section be construed to prevent the issuing of bonds to provide for the supply of water, but the term of the bonds issued to provide for the supply of water shall not exceed twenty years, and the sinking fund shall be created on the issuing of said bonds for their redemption by raising annually a sum which will produce an amount equal to the amount of the principal of said sum and interest of said bonds at their maturity. This section shall not apply to debts contracted for the purpose of retiring or paying any existing indebtedness pursuant to the provisions of this chapter. Formerly L. 1892, ch. 685, § 2, as am'd by L. 1893, ch. 349, § 1. § 4. Investigation of expenditures of towns and villages. If twenty-five freeholders in any town or village shall present to a justice of the supreme court of the judicial district in which such town or village is situated, an affidavit, stating that they are freeholders and have paid taxes on real property within such town or village within one year, that they have reason to believe that the moneys of such town or village are being unlawfully or corruptly expended, and the grounds of their belief, such justice, upon ten days' notice to the supervisor, and the officers of the town disbursing the funds to which such moneys belong, or the trustees and treasurer of the village, shall make a summary investigation into the financial affairs of such town or village, and the accounts of such officers, and, in his discretion, may appoint experts to make such investigation, and may cause the result thereof to be published in such manner as he may deem proper. The costs incurred in such investigation shall be taxed by the justice, and paid, upon his order, by the officers whose expendi tures are investigated, if the facts in such affidavit be substantially proved, and otherwise, by the freeholders making such affidavit. If such justice shall be satisfied that any of the moneys of such town or village are being unlawfully or corruptly expended, or are being appropriated for purposes to which they are not properly applicable, or are improvidently squandered or wasted, he shall forthwith grant an order restraining such unlawful or corrupt expenditure, or such other improper use of such moneys. Formerly L. 1892, ch. 685, § 3. § 5. Temporary loans. Moneys shall not be borrowed by a municipal corporation on temporary loan, except in anticipation of the taxes of the current fiscal year, and for the purposes for which such taxes are levied, and shall not be in excess of the amount of such taxes. Such loans shall always be made payable §§ 6-8 General Municipal Finances. Art. 2 within eight months, and in no case shall interest run on any such loan after such taxes are paid into the treasury of the corporation. Formerly L. 1892, ch. 685, § 4. § 6. Funded debt. A funded debt shall not be contracted by a municipal corporation, except for a specific object, expressly stated in the ordinance or resolution proposing it; nor unless such ordinance or resolution shall be passed by a two-third vote of all the members elected to the board or council adopting it, or submitted to, and approved by the electors of the town or county, or taxpayers of the village or city when required by law. Such ordinance or resolution shall provide for raising annually, by tax, a sum sufficient to pay the interest and the principal, as the same shall become due. Formerly L. 1892, ch. 685, § 5. § 7. Payment of municipal bonds. Where the bonds of a municipal corporation have been lawfully issued, and the payment of the principal or interest thereof shall not have been otherwise paid or provided for, the same shall be a charge upon such corporation, and shall be levied and assessed, collected and paid the same as other debts and charges. When for any reason any portion of the principal or interest due upon such bonds shall not have been paid, the same shall be assessed, levied and collected at the first assessment and collection of taxes by such corporation after such omission. Formerly L. 1892, ch. 685, § 6. § 8. Funded and bonded debts. The bonded indebtedness of a municipal corporation, including interest due or unpaid, or any part thereof, may be paid up or retired by the issue of the new substituted bonds for like amounts by the board of supervisors or supervisor, board, council or officers having in charge the payment of such bonds. Such new bonds shall only be issued when the existing bonds can be retired by the substitution of the new bonds therefor, or can be paid up by money realized by the sale of such new bonds. Where such bonded indebtedness shall become due within two years from the issue of such new bonds, such new bonds may be issued and sold to provide money in advance to pay up such existing bonds when they shall become due. Such new bonds shall contain a recital that they are issued pursuant to this section, which recital shall be conclusive evidence of their validity and of the regularity of the issue; shall be made payable not less than one or more than thirty years from their date; shall bear date and draw interest from the date of the payment of the existing bonds, or the receipt of the money to pay the same, at not exceeding the rate of five per centum per annum, payable quarterly, semi-annually or annually; and an amount equal to not less than two per centum of the whole amount of such new bonds may be payable each year after the issue thereof. Such new bonds shall be sold and negotiated at the best price obtainable, not less than their par value; shall be valid and binding on the municipal corporation issuing them. All bonds and coupons retired or paid shall be immediately canceled. A certificate shall be issued by the officer, board or body issuing such new bonds, stating the amount of existing bonds, and of the new bonds so issued, which shall be forthwith filed in the office of the county clerk. Except as provided in this section, new bonds shall not be issued in pursuance thereof, for bonds of a municipal corporation adjudged invalid by the final judgment of a competent court. A majority of the taxpayers of a town, voting at a general town meeting, or special town meeting duly called, may authorize the issue in pursuance of this section of new bonds for such invalid bonds, and each new bond so issued shall contain substantially the following recital: "The issue of this bond is duly authorized by a vote of the taxpayers of the said town," which shall be conclusive evidence of such fact. The payment, adjustment or compromise of a part of the bonded indebtedness of a municipal corporation shall not be deemed an admission of the validity or a recognition of any part of the bonded indebtedness of such municipal corporation not paid, adjusted or compromised. All bonds. of a municipal corporation, until payable, shall be exempt from taxation for town, county, municipal or state purposes. Formerly L. 1892, ch. 685, § 7, as am'd by L. 1893, ch. 122, § 1; L. 1893, ch. 466, § 1; L. 1897, ch. 54, § 1; L. 1901, ch. 333, § 1, and L. 1908, ch. 256, § 1. *9. Issuance of municipal bonds. Each bond issued by a municipal corporation shall be signed by each officer issuing the same, with the designation of his office; and the interest coupons attached thereto, if any, shall be signed by one of their number. Each such bond shall state the place of payment and, if no coupons are attached thereto, the name of the payee. Formerly L. 1892, ch. 685, § 8. § 10. Registry of municipal bonds. Each municipal corporation shall keep in the office of its clerk suitable books, in 8 omitted in original. |