Issue Revenue Bonds for Waterwork Improvements

Home Browse Search

holder of the bonds shall have the right at all reasonable times to inspect the waterworks and the records, accounts and data of the City relating thereto. Sec. 11. The City shall, to the fullest extent permitted by law, establish, maintain and collect reasonable and just rates and charges for the services and facilities afforded by said waterworks which will provide revenues at least sufficient to pay the reasonable and proper cost of the maintenance and operation of the waterworks, to provide a proper and reasonable depreciation account, and to pay the principal of and interest on the bonds as the same become due, and provide a sur- plus or margin of ten per cent (10%) of the principal and interest due each year, which shall be cumulative. So long as any of the bonds herein authorized are outstanding, none of the facilities and services afforded by said waterworks shall be furnished without a reasonable and just charge being made therefor. The reasonable value of any facility or service rendered to the City, or to any department, agency or instrumentality thereof, including the use of water for hydrants for fire protection or for any other purpose, shall be charged against the City and shall be paid for as the charges accrue, and the revenues so received shall be deemed to be revenues derived from the operation of the waterworks and shall be used and accounted for in the soma manner as other revenues derived from the operation of the waterworks; provided, however, that the payment of such charges against the City may be emitted to the extent permitted by law so long as the revenues derived from the operation of the waterworks are sufficient to pay the cost of operation, to provide for the payment of the principal and interest of the bonds herein authorized, to maintain the waterworks in good operating condition, and to provide for a proper depreciation fund. Sec. 12. For the purpose of further safeguarding the interests 14 -