Establishes septic system replacement loan programs; defines terms; authorizes the legislative body of any municipal corporation to establish a septic system replacement loan program to make loans to the owners of real property located within the municipal corporation to finance the installation of septic system projects.
STATE OF NEW YORK
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S. 8255 A. 10444
SENATE - ASSEMBLY
April 23, 2018
___________
IN SENATE -- Introduced by Sen. LAVALLE -- read twice and ordered print-
ed, and when printed to be committed to the Committee on Local Govern-
ment
IN ASSEMBLY -- Introduced by M. of A. THIELE -- read once and referred
to the Committee on Local Governments
AN ACT to amend the general municipal law in relation to authorizing
municipal corporations to establish septic system replacement loan
programs
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The general municipal law is amended by adding a new arti-
2 cle 5-M to read as follows:
3 ARTICLE 5-M
4 MUNICIPAL SEPTIC SYSTEM REPLACEMENT LOAN PROGRAM
5 Section 119-hh. Legislative findings and declaration.
6 119-ii. Definitions.
7 119-jj. Municipal septic system replacement loan program.
8 § 119-hh. Legislative findings and declaration. The legislature finds
9 and declares that it is the policy of the state to promote improved
10 water quality across the state; and that to achieve such policy and
11 goals the state must promote the deployment of enhanced treatment tech-
12 nologies, including advanced nitrogen removal systems, to significantly
13 and quantifiably reduce environmental and/or public health impacts asso-
14 ciated with effluent from a cesspool or septic system to groundwater
15 used for drinking water, or a threatened or an impaired waterbody
16 throughout the state; and that municipalities would fulfill an important
17 public purpose by providing loans to property owners for the installa-
18 tion of such enhanced treatment technologies.
19 § 119-ii. Definitions. As used in this section, the following words
20 and terms shall have the following meanings:
21 1. "Cesspool" means a drywell that receives untreated sanitary waste
22 containing human excreta, which sometimes has an open bottom and/or
23 perforated sides.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD15333-01-8
S. 8255 2 A. 10444
1 2. "Septic system" means a system that provides for the treatment
2 and/or disposition of the combination of human and sanitary waste with
3 water not exceeding one thousand gallons per day, serving a single
4 parcel of land.
5 3. "Septic system project" means the replacement of a cesspool with a
6 septic system, the installation, replacement or upgrade of a septic
7 system or septic system components, or installation of enhanced treat-
8 ment technologies, including an advanced nitrogen removal system, to
9 significantly and quantifiably reduce environmental and/or public health
10 impacts associated with effluent from a cesspool or septic system to
11 groundwater used as drinking water, or a threatened or an impaired
12 waterbody.
13 § 119-jj. Municipal septic system replacement loan program. 1. The
14 legislative body of any municipal corporation may, by local law, estab-
15 lish a septic system replacement loan program.
16 2. Such program may make loans to the owners of real property located
17 within the municipal corporation to finance the installation of septic
18 system projects. The municipal corporation may establish priority areas
19 for such loans in order to maximize environmental and public health
20 benefits.
21 3. Each such local law establishing the septic system replacement loan
22 program shall provide for the criteria for making such loans and the
23 terms and conditions for repayment of such loans.
24 4. Every loan made under the septic system replacement loan program
25 shall be repaid over a term not to exceed ten years. The municipal
26 corporation shall set a fixed rate of interest for the repayment of the
27 principal amount of each loan at the time the loan is made.
28 5. The principal amount of each such loan, excluding interest, shall
29 not exceed the actual cost of installing the septic system project,
30 including the costs of necessary equipment, materials, and labor.
31 6. No such loan shall be made for a septic system replacement project
32 unless such system is approved by the local department of health.
33 7. The loan made under the septic system replacement loan program
34 shall constitute a lien upon the real property benefitted by such loan.
35 8. The municipal corporation may require the loan made under the
36 septic system loan program to be repaid by the property owner through a
37 charge on the real property benefitted by such loan. Such charge shall
38 be on the real property and shall be levied and collected at the same
39 time and in the same manner as municipal taxes, provided that such
40 charge shall be separately listed on the tax bill, and provided further
41 that in the event such charge should not be paid in a timely manner, no
42 other municipal corporation shall be required to credit or otherwise
43 guarantee the amount of such unpaid charge to the municipal corporation
44 which authorized the loan, notwithstanding any provision of law to the
45 contrary.
46 § 2. Severability. The provisions of this act shall be severable and
47 if any portion thereof or the applicability thereof to any person or
48 circumstances shall be held invalid, the remainder of this act and the
49 application thereof shall not be affected thereby.
50 § 3. This act shall take effect immediately.