Section 11-1124. Contracts for purchase and sale of water

1. The board of
  water commissioners may contract with the town board on  behalf  of  the
  town  or a water supply, fire alarm or fire protection district thereof,
  or with the board of  trustees  of  a  village  or  the  board  of  fire
  commissioners of a fire district, respectively, to furnish water for the
  extinguishment   of   fires,   including   the   furnishing,   erection,
  maintenance, care and replacement of fire  hydrants,  the  erection  and
  maintenance  of  markers  therefor,  and  the removal of snow and ice to
  provide access thereto, or for sanitary or other  public  purposes,  for
  any  period  not exceeding ten years. The amount payable each year under
  such a contract shall be raised as a part of the expenses of  such  town
  or water supply, fire alarm or fire protection district thereof, village
  or  fire  district, and paid to the treasurer of the village owning such
  system of water works. Nothing herein contained shall be deemed to alter
  or  remove  any  of  the   limitations,   restrictions   or   procedural
  requirements  provided  in  sections  one  hundred eighty-four-a and one
  hundred eighty-four-b of the town law.
    2. The board of water commissioners of any village maintaining its own
  water distribution system may contract in the name of such village  with
  any public corporation or improvement district which possesses the power
  to  sell  a  supply  of  water, for the purpose of purchasing all or any
  portion of the water supply of such village from such public corporation
  or improvement district for such period as may be deemed necessary,  but
  not  in  excess of forty years. The term "public corporation" as used in
  this subdivision shall mean a  public  corporation  as  defined  in  the
  general  corporations  law  and  also  any joint water works corporation
  formed under the provisions of chapter six  hundred  fifty-four  of  the
  laws of nineteen hundred twenty-seven, as amended.