Village of Hempstead, NY
Nassau County
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Table of Contents
Table of Contents
[HISTORY: Adopted by the Board of Trustees of the Village of Hempstead 9-2-1997 by L.L. No. 9-1997.[1] Amendments noted where applicable.]
[1]
Editor's Note: Said local law was submitted to a mandatory referendum and received the affirmative vote of a majority of the qualified electors at a special election held on 12-9-1997.
A. 
Enactment; effective date.
(1) 
Enactment. Pursuant to § 10 of the Home Rule Law and § 360 of the General Municipal Law, the Incorporated Village of Hempstead, County of Nassau and State of New York, hereby enacts this chapter to create the Village of Hempstead Municipal Electric Utility.
(2) 
Effective date. 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.
B. 
Intent.
(1) 
Whereas the Incorporated Village of Hempstead is a Village duly incorporated under the laws of the State of New York;
(2) 
Whereas the Trustees of the Village of Hempstead 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;
(3) 
Whereas 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;
(4) 
Whereas the Trustees have determined that the most reliable, fair and economical way for the supply of electricity and electrical services to be provided to the Village of Hempstead, its residents and businesses and institutions is by the creation of the Village of Hempstead Municipal Electric Utility, the Trustees of the Village of Hempstead 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.
A. 
The Village of Hempstead Municipal Electric Utility shall acquire the necessary plant and facilities 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 is necessary for the creation of the Hempstead Municipal Electric Utility.
B. 
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:
(1) 
Plant and facilities.
(a) 
The Village of Hempstead Municipal Electric Utility will obtain by purchase or condemnation the electrical distribution system within the boundaries of the Village currently owned by the Long Island Lighting Corporation ("LILCO") and will construct such additional infrastructure as may be needed to separate itself from the LILCO system. The Village of Hempstead Municipal Electric Utility also may construct its own generating facilities to supply electrical energy to its customers and, in its discretion, may construct new infrastructure instead of acquiring LILCO property.
(b) 
The maximum and estimated cost of the items set forth in Subsection B(1)(a) hereof should be $56,750,000.
(c) 
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 Hempstead 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.
(d) 
The entire cost of the acquisition, construction, development, implementation or operation of the Village of Hempstead 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 Hempstead Municipal Electric Utility, will be paid in the first instance from the revenues generated by the Village of Hempstead Municipal Electric Utility and will not have any effect on the general budget or real estate taxes of the Village.
(2) 
Service and maintenance of plant, facilities and distribution system.
(a) 
The Village of Hempstead Municipal 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.
(b) 
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 Hempstead Municipal Electric Utility if the Village deems it to be in the best interests to do so.
(3) 
Electrical supply. The Village of Hempstead 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 Hempstead, 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 the Village Law of the State of New York.
B. 
The Village of Hempstead Municipal 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 and the filing of this chapter with the Secretary of State of New York.[1]
[1]
Editor's Note: This local law was submitted to a mandatory referendum and received the affirmative vote of a majority of the qualified electors at a special election held on 12-9-1997.