12-817b. Contracts with U.S. government or agencies for water supplies; subject to future nullification if state assumes certain financial obligations.
12-817b
12-817b. Contracts with U.S. government or agencies for water
supplies; subject to future nullification if state assumes certain
financial obligations.
Any two or more cities may enter into contracts or a single contract
with the United States government or any agency thereof for a water supply
or part thereof for any one or more of such contracting cities. Any such
contract may provide that water shall be supplied and paid for in quotas
which are automatically adjusted for population changes in such cities, or
for other agreed amounts, from storage facilities or reservoirs of the
United States government. Any such contract or contracts may provide for
payment by such cities to the United States government for such water
supply and may designate the manner in which payment obligations shall be
shared among such cities.
Such contracts may run for any term not exceeding fifty (50) years:
Provided, Every such contract shall contain a provision that in the
event the state, through duly authorized officers, at any time declares
such contract to be void, it shall immediately thereafter be void and of no
effect, however, the state shall at the same time become liable for and
assume the financial obligations of such contract for any cost
reimbursement and maintenance expense which is provided under such contract
to be paid by such municipalities to the United States government or any
agency thereof, and such financial obligations shall become due at the same
time and in the same amount as provided in such contract for payment by
such municipalities: Provided further, Every such contract shall
contain a provision that in the event that such contract is declared void
pursuant to the provisions of this section, such contracting cities shall
pay to the state sums of money equal to the sums of money that the state
pays to the federal government as a result of such declaration, and such
cities shall thereupon have rights to water similar to their rights to
water under such voided contract.
History: L. 1963, ch. 78, § 2; April 23.