Section 24-360. Water supply to municipalities other than New York city; connections; charges; regulations; quantity to be taken

a. It shall  be  lawful  for  any of the municipal corporations or water districts in the
  counties of  Ulster,  Greene,  Delaware,  Schoharie,  Sullivan,  Orange,
  Westchester  and  Putnam, and for the village of Deposit in the counties
  of Delaware and Broome, to take and receive from any of the  reservoirs,
  aqueducts,  conduits, streams or pipes of the city a supply of water for
  the uses and purposes of such municipal corporations or water  districts
  or  village  and  to  that  end  such  municipal  corporations  or water
  districts are, and each of them is, and such village also is, authorized
  and empowered to lay  the  necessary  mains,  pipes,  valves,  hydrants,
  supply  pipes  and  other  necessary  appurtenances  for the use of such
  water, without the consent of any board, officer, bureau, or  department
  of the state or any subdivision thereof.
    b.  The connections with such reservoirs, aqueducts, conduits, streams
  or pipes shall be made at the expense of such  municipalities  or  water
  districts.  They  shall  pay  to the city such fair and reasonable water
  charges or rates as may be  agreed  upon  between  the  commissioner  of
  environmental   protection   and   the  authorities  of  such  municipal
  corporations or water districts  or  as  from  time  to  time  upon  the
  application  of  either  party  shall  be  fixed  by  the New York state
  department of environmental conservation,  which  department  is  hereby
  given  power  to  fix  such  fair  and reasonable charges or rates after
  hearing all parties interested. The expenses of  any  such  hearing  and
  decision  by the New York state department of environmental conservation
  shall be paid by  the  applicant.  Bills  for  such  expenses  shall  be
  certified  by such department to the applicant and paid by the applicant
  directly to the  claimant  within  thirty  days  of  the  date  of  such
  certification.
    c.  Such  charges  or  rates shall not, however, exceed the charges or
  rates now charged by the city to persons using water in that city.  Such
  fair and reasonable charges or rates shall be determined on the basis of
  the  actual total cost of the water to the city after deducting from the
  total cost all construction costs and expenses of operation, maintenance
  and carrying charges incurred within the corporate limits of the city in
  connection with the distribution and delivery of the water  within  such
  limits.  Such charges or rates fixed by the New York state department of
  environmental conservation shall be subject to  review  by  the  supreme
  court.
    d.  Any  such municipal corporation or water district desiring to take
  and receive water under  the  provisions  of  this  section  shall  make
  application  to the commissioner of environmental protection in writing,
  showing the place and manner in  which  it  is  proposed  to  make  such
  connections.  Such commissioner shall have exclusive jurisdiction in the
  premises, to the exclusion  of  any  other  board,  officer,  bureau  or
  department of the state or any subdivision thereof. It shall be the duty
  of  the  commissioner  to  grant  a  permit  or  authorization  for such
  connections, under  reasonable  rules  and  regulations,  including  the
  installation  of  proper  meters  or  other devices for ascertaining the
  quantity of water thus taken.
    e. The daily quantity of water which may be taken and received by  any
  municipal  corporation  or  water  district under the provisions of this
  section shall not exceed the  quantity  calculated  by  multiplying  the
  number  of  its inhabitants as shown by the last preceding census of the
  United States or the last state or  official  municipal  census  by  the
  daily per capita consumption in the city of New York.