Sewer Revenue BondsLeases
Section § 5060
This law allows districts that own or operate certain facilities, like water or sewage works, to make agreements with other cities, counties, or districts to share use of these facilities. However, these agreements must not reduce the effectiveness of the facilities, and they cannot last more than 15 years. The specific terms must be approved by ordinances of each entity involved, and the contracts shouldn't go against any rules set by the bond authorizations.
Section § 5061
This law allows a district's governing body to set and change rates for services provided to properties in a leased district. These rates can become a lien, or legal claim, on the serviced property's owner if not paid. The process for setting these rates and collecting the unpaid amounts is the same as what is used in districts where the service works are actually owned.
Section § 5062
This law explains that when connecting sewage systems between two districts, the necessary sewer construction can be handled by either or both districts, following the terms of their contract. The costs for the owner-district's part can be covered by bonds if the ordinance allows it.
Section § 5063
This law says that any income an owner-district gets from a contract can be considered part of the revenue for their works, if the ordinance allows it. The owner-district should subtract any amounts paid by the lessee-district per the contract terms from their total costs and expenses. However, they cannot charge users of the works unless the works were funded through bonds and the users gain extra benefits due to the contract. If so, any rates charged can only be enough to cover those extra benefits.