12-825j.   Municipalities owning or operating utility; contracts for purchaseof water, gas or electricity.(a) Any municipality which owns or operates, or which hereafter owns oroperates, a utility furnishing water, gas or electricity is hereby authorizedand empowered to enter into contracts for the purchase of water, gas orelectricity from any person, firm, corporation or other municipality, uponsuch terms and conditions as may be deemed necessary and reasonable by thegoverning body of such municipality. Any such contract may include an agreementfor the purchase of water, gas or electricity not actually received. Nosuch contract shall be made for a period in excess of forty (40) years,but renewal options in favor of the purchasing municipality may be includedtherein. Nothing in this section shall be construed to authorize the levyof a tax by any municipality entering a contract as herein provided.

      (b)   As used in this act, the term "municipality" shall mean and includeany city, county or township.

      History:   L. 1976, ch. 67, § 1; July 1.