State Codes and Statutes

Statutes > Arkansas > Title-14 > Subtitle-14 > Chapter-233 > 14-233-114

14-233-114. Contracts with municipalities or counties -- Rates, fees, and charges -- Pledges.

(a) Any municipality or county that is a member of a sanitation authority may contract with the authority to utilize any project upon any terms and conditions as are deemed necessary, convenient, or desirable by the municipality or county and the authority including without limitation agreements on the part of the municipality or county for any period of time:

(1) To deliver all solid waste collected by or on behalf of the municipality or county to a particular project for disposal, treatment, or other handling;

(2) To prohibit by ordinance or other legal means the disposal, treatment, or other handling of solid waste within the corporate boundaries of the municipality or county by persons other than the sanitation authority or any person designated by the sanitation authority; and

(3) To deliver all or a certain amount of wastewater, sludge, or treated effluent from its sewer system to the project.

(b) Any municipality or county that is a member of a sanitation authority may:

(1) Require by ordinance or other legal means that solid waste generated or collected within the corporate boundaries of the municipality or county be delivered to a particular project for disposal, treatment, or other handling;

(2) Prohibit by ordinance or other legal means the collection, disposal, treatment, or other handling of solid waste within the corporate boundaries of the municipality or county by persons other than the municipality or county, the sanitation authority, or any persons designated by the municipality or county or the sanitation authority;

(3) Provide by ordinance or other legal means that no person other than as may be designated by the municipality or county or the sanitation authority shall engage in the collection or utilization of solid waste within the corporate boundaries of the municipality or county that would be competitive with the purposes or activities of the sanitation authority as provided in this chapter; and

(4) Covenant in connection with the issuance of bonds, notes, or other evidence of indebtedness to adopt any ordinance described in subdivisions (b)(1)-(3) of this section and that any ordinance so adopted shall remain in full force and effect and shall be enforced so long as any bonds, notes, or other evidences of indebtedness remain outstanding.

(c) A sanitation authority is authorized to fix, charge, and collect rates, fees, and charges for disposal, treatment, or other handling of solid waste, wastewater, sludge, or treated effluent at a project. If duly authorized by the municipal or county members of a sanitation authority, the sanitation authority may implement the collection procedures through the personal property tax system provided for by 8-6-211 or 8-6-212. For as long as any bonds are outstanding and unpaid, the rates, fees, and charges shall be so fixed by the authority as to provide revenues sufficient:

(1) To pay all costs of and charges and expenses in connection with the proper operation and maintenance of its projects and all necessary repairs, replacements, or renewals thereof;

(2) To pay when due the principal of, premium, if any, and interest on all bonds, including bonds subsequently issued for additional projects, payable from the revenues;

(3) To create and maintain reserves as may be required by any resolution or trust indenture authorizing or securing bonds; and

(4) To pay any and all amounts that the sanitation authority may be obligated to pay from project revenues by law or contract.

(d) Any pledge made by a sanitation authority pursuant to this chapter shall be valid and binding from the date the pledge is made. The revenues pledged and then held or thereafter received by the sanitation authority or any fiduciary on its behalf shall immediately be subject to the lien of the pledge without any physical delivery thereof or further act. The lien of the pledge shall be valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the sanitation authority without regard to whether such parties have notice thereof.

(e) The resolution, trust indenture, or other instrument by which a pledge is created need not be filed or recorded in any manner.