New York Consolidated Laws, General Municipal Law - GMU § 111. Contracts

Two or more municipalities are hereby empowered to enter into a contract to provide for a common supply of water, including joint acquisition, construction, operation and maintenance.  Such contract shall provide for the method of acquisition or construction of the common supply;  the management and operation of the system;  the method of fixing the proportionate share of each participating municipality and of making contributions;  the method of making annual adjustments of the proportionate shares of the annual cost and expense;  the method of collection of water rates and other charges, and enforcement thereof;  the accumulation of reserves;  the fixing of rate schedules and other charges;  the adoption of rules and regulations covering the operation of the system and the conditions of sale;  the adjudication of disputes and all other matters necessary to effectuate such an arrangement.