Section 99-D. Planning for future capital improvements

1.  Notwithstanding
  the provisions of any general, special or local law, the governing board
  or  other  appropriate  authority  of  a  municipal  corporation, school
  district or  district  corporation  may  authorize  the  preparation  of
  surveys,  preliminary  plans  and  detailed  plans,  specifications  and
  estimates necessary for planning for a capital improvement which  it  is
  contemplated  might  be undertaken in the future and may provide for the
  manner in which the cost thereof shall be financed, subject, however, to
  the  applicable  provisions  of  any  general,  special  or  local   law
  respecting the issuance of bonds or notes.
    2. Where the cost of such advance planning of a capital improvement is
  financed  by the issuance of bonds or capital notes and where the period
  of probable usefulness specified by subdivision sixty-two of paragraph a
  of section 11.00 of the local finance law is applicable,  the  municipal
  corporation,  school  district  or  district  corporation shall not have
  power to authorize the undertaking of the capital improvement  until  at
  least  one  year  after  the  original  issuance  of  such  obligations;
  provided, however, that when bond anticipation  notes  shall  have  been
  issued  prior to such bonds, such one year period shall be computed from
  the date of such bond anticipation notes.
    3. The total amount of bonds or capital notes which may be  authorized
  in  any  fiscal  year  of  the municipal corporation, school district or
  district corporation to finance such advance planning pursuant  to  this
  section shall not exceed the maximum amount of budget notes which it may
  issue  in  such year pursuant to subdivision two or subdivision three of
  paragraph a of section 29.00 of the local finance law, as the  case  may
  be,  provided,  however,  that  for  the  purposes  of this subdivision,
  amounts which are to be paid in  the  first  instance  from  improvement
  district  assessments  shall be included in computing "the amount of the
  annual budget" of a town or a county in accordance with section 29.00 of
  such law.
    4. If the advance  planning  is  undertaken  for  the  purpose  of  an
  existing  or  proposed  county  or  town  improvement  district,  or any
  extension thereof, the existing district, or the proposed district  when
  created,  or  the  extension thereof, shall reimburse the county or town
  for the cost of such advance planning, including  any  interest  on  any
  obligations  issued to finance such cost. The amount so reimbursed shall
  be applied first to the payment of any outstanding obligations issued to
  finance such expenditure.