14,119 Appeal of Ocwieja, 38 Ed Dept Rep 70, Decision No. An individual or entity whose rights would be adversely affected by a determination of an appeal in favor of a petitioner is a necessary party and must be joined as such ( Appeal of Roberta, 38 Ed Dept Rep 690, Decision No. I need not address the merits of petitioner’s claims because I find that the appeal must be dismissed on procedural grounds. The library has submitted an answer alleging, among other things, that "275.3 of the Commissioner’s regulations does not authorize petitioner to serve an amended petition. Although petitioner did not obtain permission to file an amended petition, she served this pleading on the library on April 2, 2000. In reply, petitioner contends that the library is not a necessary party to this proceeding, but nevertheless, attaches a copy of an amended petition adding the library as a respondent. On the merits, respondent contends that the agreement is lawful and was executed to enable the library to obtain financing for a capital improvement that was duly approved by district voters. Respondent raises a number of procedural objections, contending that the library is a necessary party to this appeal that I should not entertain petitioner’s constitutional claims and that petitioner lacks standing to maintain the appeal. Petitioner requests that I find the agreement null and void. She alleges, among other things, that it constitutes a loan of school district funds to a private entity in violation of Article VIII, Section 2 of the New York State Constitution improperly fixes the amount of library taxes for the term of the revenue bond issue in violation of Education Law "259 and violates petitioner’s right to petition the district for a special meeting to ask district voters to consider the reduction or elimination of the tax levy for library purposes. Petitioner challenges the agreement on a variety of statutory and constitutional grounds. The trustee is obligated to use these funds to pay the principal and interest on the bonds as they become due. The agreement grants the trustee a security interest in these tax funds and requires the Town of Brookhaven to collect the taxes and pay them directly to the trustee for deposit in a "Tax Pledge Fund". In essence, the agreement provides that the district will levy taxes in an amount to be determined by the library as necessary to pay the principal and interest on the bonds, not exceeding $355,000 per year. To satisfy SCIDA’s requirement, the district entered into a "Tax Pledge Agreement" ("the agreement") with the library, the Town of Brookhaven and the United States Trust Company of New York, as trustee ("the trustee"). SCIDA apparently agreed to issue civic facility revenue bonds to finance the project only if it received assurance that the library would receive adequate funding to repay the bonds. Thereafter, the library sought funding from the Suffolk County Industrial Development Agency ("SCIDA"). On October 5, 1998, district voters approved a proposed capital project to expand the facilities and authorized the district to levy a tax, in an amount not to exceed $340,000 per year for a maximum period of twenty years, to pay for such project. In response to the heavy use of its facility, the library sought to expand. The district contracts annually with the South Country Library ("the library"), a free association library, for the provision of library services to district residents. Petitioner is a resident of the South Country Central School District ("the district"). MILLS, Commissioner.-Petitioner challenges action by the Board of Education of the South Country Central School District ("respondent") authorizing its president to execute a "Tax Pledge Agreement". Seaman, Esq., attorney for the South Country Library Van Nostrand & Martin, attorneys for respondent South Country School District, David S.
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