Section 2564. Local school board districts

1. The board of education of
  the city school district of the city of New  York,  by  resolution  duly
  adopted, shall divide the city school district into such number of local
  school  board  districts  as such board in its discretion may determine.
  The board of education may from time to time  alter  the  boundaries  of
  such  districts,  consolidate two or more districts or parts thereof, or
  divide any such district or districts as it  shall  consider  necessary.
  For   the   purposes   of   this   section,  a  school  decentralization
  demonstration project in existence  on  April  first,  nineteen  hundred
  sixty-eight shall be deemed to be a local school board district.
    2.  Such  board  of  education,  upon  the establishment of such local
  school board districts, shall have the power to appoint, or provide  for
  the  election  of,  and remove at its pleasure, a local school board for
  each such local school board  district,  which  shall  consist  of  such
  number of members as the board shall determine from time to time.
    3.  The  board  of  education, with the approval of the regents, shall
  have the power to delegate to such local school boards any or all of its
  functions,  powers,  obligations  and  duties  in  connection  with  the
  operation  of  the  schools and programs under its jurisdiction, and may
  modify or rescind any function, power, obligation and duty so delegated.
    4. In accordance with rules and regulations to be promulgated  by  the
  board of education, each such local school board shall have the power to
  employ  a local superintendent of schools upon such terms and conditions
  as such local school board shall determine. Such employment shall be  by
  contract  at  an  annual  rate  of  compensation not in excess of thirty
  thousand dollars.