12-5501. Privatization of public services; definitions.
12-5501
12-5501. Privatization of public services; definitions.
As used in this act:
(a) "Capital intensive public service" means a public service which
requires the investment of capital by a private contractor in physical
facilities which would be amortized over a period exceeding one year;
(b) "public service" means (1) the collection,
transportation, processing, recycling or disposal of solid wastes
or (2) the acquisition, treatment or distribution of water;
(c) "municipality" means any city or county or two or more cities or
counties acting jointly;
(d) "private contractor" means one or more persons who are not a
municipality;
(e) "service agreement" means any contract between a municipality and a
private contractor under which the private contractor agrees to furnish to the
municipality or to any other user a capital intensive public service
and the municipality agrees to pay or cause to be paid to the
private contractor a service fee for such service setting forth the terms
and conditions thereof;
(f) "service fee" means the payment the municipality is required under
the service agreement to make, or cause to be made, to the private contractor,
including payments made by third parties to the private contractor for products
or services and credited against payments the municipality otherwise would
have to make or cause to be made under the service agreement;
(g) "user" means the municipality and all other persons who use the
capital intensive public service furnished by the private contractor.
History: L. 1990, ch. 64, § 1; July 1.