2012 -- H 8166 AS AMENDED

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LC02609

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2012

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A N A C T

AUTHORIZING THE ESTABLISHMENT OF THE ABBEY LANE COMMUNITY WATER

DISTRICT

     Introduced By: Representative Michael W. Chippendale

     Date Introduced: May 16, 2012

     Referred To: House Municipal Government

It is enacted by the General Assembly as follows:

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     SECTION 1. Local Act 87 as enacted in 2008 entitled “AN ACT TO INCORPORATE

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THE ABBEY LANE CONDOMINIUM ASSOCIATION, INC. WATER DISTRICT”, and Local

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Act 89 as enacted in 2009 in amendment thereof entitled “AN ACT RELATING TO THE

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ABBEY LANE COMMUNITY ASSOCIATION, INC. WATER DISTRICT” are here by

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repealed in their entirety.

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     SECTION 2. Creation - (a) There is created a body corporate and public and a political

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subdivision of the state, a special water district to be known as the Abbey Lane Community

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Water District water district established for the purpose of providing adequate water supply to the

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residents of said district and to others who may contract with the district for water supply. The

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District shall consist of the area or tract of land situated in the Town of Foster, Rhode Island,

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County of Providence bounded and described as follows: Tax Assessor’s Plat 17, Lot 47A shown

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on the tax assessor’s maps of the Town of Foster, these limits meaning and intending to include

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public and private streets, roads and thoroughfares listed and all public and privately held

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properties. The area within the boundaries described in this section shall be known as the Abbey

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Lane Community water district.

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     (b) The district is hereby constituted an independent public instrumentality and the

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exercise by the district of the powers conferred by this chapter shall be deemed and held to be the

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performance of an essential public function.

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      SECTION 3. Electors. - The inhabitants of the district registered to vote for town officers

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are electors of the district.

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     SECTION 4. Regular and special meetings - Voting. (a) The first meeting of the district

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may be called and run by any five (5) qualified electors. The first meeting shall be held on such

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date as shall be determined by the electors who called the meeting, taking into account the notice

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requirement of Section 4(b) hereof. The district shall hold a regular meeting on the first Thursday

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in May in every year, or at such intervals and on such dates as a majority of electors present at a

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regular meeting shall determine.

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     (b) Special meetings of the district shall be called by the clerk upon order of the board or

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upon written application of at least five (5) electors; and whenever the subject of imposing or

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increasing rates and fees or ordering a tax is to be acted on at any special meeting, the rates, fees

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or tax shall be mentioned in the notice. It is the duty of the clerk to fix a suitable place for the

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holding of all meetings, and to give notice of each meeting, both annual and special, by posting a

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notice in at least two (2) public places within the district at least ten (10) days before the meeting,

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and the notice shall contain a statement of the time and place when and where a meeting will be

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held for the purpose of correcting and canvassing the voting list to be used at the annual or special

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meeting, and it is the duty of the assessor of taxes of the district to canvass and correct the voting

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list in the same manner, as near as may be, or as provided by law for boards of canvassers.

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     (c) No vote, except upon an adjournment, or in the annual election of officers, shall be

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taken at any meeting of the district unless at least five (5) electors are present at the meeting. On

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demand of at least one-fifth (1/5) of the qualified electors of the district present at any meeting for

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a ballot on any question pending at the meeting, the ballot shall be allowed; and all votes except

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on motion to adjourn, or on amendment to any pending proposition, shall be required by the

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moderator to be so taken, that the votes affirmative and negative may be by him or her counted,

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and the results entered by the clerk on the minutes of the meeting.

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     (d) It is the duty of the clerk of the district to fix a suitable place within the district for the

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holding of meetings and for giving notice of subsequent meetings.

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     SECTION 5. Officers constituting board – Powers – Elections. – (a) The electors of the

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district shall at each annual meeting elect officers to serve until the next succeeding annual

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meeting in May and until their successors are elected and qualified, and the elected offices shall

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consist of a chairperson, a vice chairperson, and a clerk, whose duties and powers are within the

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district, as like officers proper for a district. The elected officers constitute the board, and the

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duties of the board are prescribed in this chapter. Any vacancy that may occur in any of the

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aforenarned elected offices between annual meetings shall be filled by some person to be chosen

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by the other members of the board to hold the office until the next annual meeting. The electors

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of the district may, at any meeting, adopt and ordain bylaws, and, from time to time, rescind or

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amend the bylaws, as they deem necessary and proper for the purposes of this chapter and not

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repugnant to it and not inconsistent with any other law; provided, that no greater penalty is

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inflicted by the board than is prescribed in Section 12; and provided, further, that the electors may

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appoint committees they deem necessary, and may fix the compensation of all officers, agents,

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employees, and committees of the district.

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     (b) The electors of the district shall elect officers at each annual meeting or at such

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intervals and on such dates as a majority of the electors present at a regular meeting shall

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determine, provided that elections shall be held not less than once every four (4) years. At the

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first meeting of the district, the one member shall be elected for a term ending the first Thursday

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in May, 2015, one member shall be elected for a term ending the first Thursday in May, 2014 and

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one member shall be elected for a term ending the first Monday in May, 2013. Thereafter,

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members of the board shall be elected for a term of office of three (3) years, or such other term as

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a majority of electors present at a regular meeting shall determine in order to conform with any

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changes to the frequency of elective meetings approved by the electors in conformity with this

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paragraph 3(a).

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     (c) For a person to become a candidate at any election under this section, that person

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must be a qualified elector.

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     (d) The general election laws shall govern elections under this section so far as applicable

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and consistent with the provisions of this chapter. Paper ballots may be used for the elections and

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the elections shall be at the expense of the district. The ballots shall contain no designation of

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party or political principle and there shall be no primaries or other preliminary

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     (e) All elections shall be at large. No vacancy in the membership of the board shall

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impair the right of a quorum to exercise the powers of the district. Two members of the board

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shall constitute a quorum and the affirmative vote of two member shall be necessary for any such

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action taken by vote of the board. Any such action shall take effect immediately unless otherwise

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provided and need not be published or posted.

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     SECTION 6. Officers and employees of board. - (a) The chairperson of the board shall be

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selected by the majority vote of the members of the board. Appointed officers shall consist of a

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treasurer, a tax collector and a tax assessor, which shall be appointed in the manner provided in

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the district’s bylaws. The treasurer, tax collector and the tax assessor shall not be members of the

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board. The treasurer, tax collector and tax assessor need not be qualified electors of the district

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and may receive such compensation as set forth in the bylaws. Appointed officers may hold more

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than one office.

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     (b) The board may from time to time hire, transfer or otherwise appoint or employ legal

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counsel, financial advisors and such other experts, engineers, agents, accountants, clerks, and

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other consultants and employees as it deems necessary and determine their duties.

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     SECTION 7. Compensation of board members. - Other than as described in the following

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sentence, the members of the board shall receive no compensation for the performance of their

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duties under this chapter. Each member may be reimbursed for all reasonable and necessary

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expenses incurred in the discharge of official duties as approved by the district.

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     SECTION 8. Powers. - The board shall have all the rights and powers necessary or

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convenient to carry out and effectuate this chapter, including, but without limiting the generality

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of the foregoing, the rights and powers:

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     (a) To adopt by-laws for the regulation of its affairs and the conduct of its business, to

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promulgate rules, regulations and procedures in connection with the performance of its functions

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and duties and to fix, enforce and collect penalties for the violation thereof;

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     (b) To adopt an official seal and alter the same at pleasure;

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     (c) To maintain an office at such place or places as it may determine;

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     (d) To apply for, receive, accept, administer, expend and comply with the conditions,

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obligations and requirements respecting any grant, gift, loan, including without limitation any

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grant, gift or loan from agencies of local, state and federal governments, donation or

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appropriation of any property or money in aid of the purpose of the district and to accept

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contributions of money, property, labor or other things of value;

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     (e) To acquire by purchase, lease, lease-purchase, sale and leaseback, gift or devise, or to

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obtain options for the acquisition of, any water or water rights and any other property, real or

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personal, tangible or intangible, or any interest therein, in the exercise of its powers and the

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performance of its duties;

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     (f) To sell, lease, mortgage, exchange, transfer or otherwise dispose of, or to grant

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options for any such purposes with respect to, any water, water rights, and any other property,

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real or personal, tangible or intangible, or any interest therein.

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     (g) To enter onto any land to make surveys, borings, soundings and examinations

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thereon, provided that said district shall make reimbursements for any injury or actual damage

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resulting to such lands and premises caused by any act of its authorized agents or employees and

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shall so far as possible restore the land to the same condition as prior to making of such surveys,

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town of Foster, to acquire by eminent domain any interest in real property within the district in

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the name of the district in accordance with the provisions of this chapter.

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     (h) To purchase water in bulk or by volume, and to sell water to, any person, private or

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public corporation or public instrumentality or municipality, the state and the federal government;

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     (i) To construct, improve, extend, enlarge, maintain and repair the water works system;

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     (j) To pledge or assign any money, fees, charges, or other revenues of the district and any

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proceeds derived by the district from the sale of property, insurance or condemnation awards;

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     (k) To borrow money and incur indebtedness and issue its bonds and notes as hereinafter

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provided;

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     (1) To make contracts of every name and nature and to execute and deliver all

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instruments necessary or convenient for carrying out any of its purposes;

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     (m) To establish public hydrants in public places as it may see fit and prescribe for what

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purposes the public hydrants are used, all of which it may change in its discretion;

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     (n) To enter into contracts and agreements with municipalities in all matters necessary,

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convenient or desirable for carrying out the purposes of this chapter including, without limiting

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the generality of the foregoing, collection of revenue, data processing, elections and other matters

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of management, administration, construction and operation;

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     (o) To sue and be sued and to prosecute and defend actions relating to its properties and

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affairs; provided that only property of the district other than revenues pledged to the payment of

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bonds and notes shall be subject to attachment or levied upon execution or otherwise;

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     (p) To lend money for its purposes, invest and reinvest its funds and at its option to take

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and hold real and personal property as security for the funds so loaned or invested;

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     (q) To do all things necessary, convenient or desirable for carrying out the purposes of

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this chapter or the powers expressly granted or necessarily implied in this chapter, including

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entering into agreements with other cities, towns or districts to provide for the joint operation of

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water supply activities;

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     (r) Consistent with the constitution and laws of the state, the board shall have such other

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powers, including all powers pertaining to the water works system not inconsistent herewith, as

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may be necessary for or incident to carrying out the foregoing powers and the accomplishment of

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the purposes of this chapter; provided, however, that nothing in this chapter shall impose any duty

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on the district to maintain groundwater levels within or without the boundaries of the district.

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     SECTION 9. Additional powers and limitations. - In addition to the powers of the board

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otherwise provided herein, the board shall have the following powers and shall be subject to the

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following limitations:

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     (a) The board is authorized and empowered to fix, revise, charge, collect and abate fees,

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rates, rents, assessments, delinquency charges and other charges for water, and other services,

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facilities and commodities furnished or supplied by it including penalties for violations of such

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regulations as the board may from time to time promulgate under this chapter. Fees, rates, rents,

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assessments, delinquency charges and other charges of general application shall be adopted and

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revised by the board in accordance with procedures to be established by the board for assuring

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that interested persons are afforded notice and an opportunity to present data, views and

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arguments. Such fees, rates, rents, assessments and other charges may be based on the quantity f

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water used or the number and kind of water connections made, or the number and kind of

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plumbing fixtures installed on the estate, or upon the number or average number of persons

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residing or working in or otherwise connected with the estate, or upon any other factor affecting

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the use of or the value or cost of the water and water facilities furnished, or upon any combination

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of these factors. The board shall hold at least one public hearing on its schedule of fees, rates and

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charges or any revision thereof prior to adoption, notice of which shall be published in a

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newspaper of substantial circulation in the district at least one month in advance of the hearing.

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No later than the date of such publication the board shall make available to the public the

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proposed schedule of fees, rates and charges. Fees, rates, rents, assessments, abatements and other

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charges established by the board shall not be subject to supervision or regulation by any

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department, division, district, board, bureau, or agency of the state or any of its political

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subdivisions, including, without limitation, the public utilities commission and the division of

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public utilities pursuant to chapters 1-5 of title 39 of the general laws

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     (b) The fees, rates, rents, assessments and other charges established by the board in

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accordance with paragraph (a) shall be so fixed and adjusted in respect to the aggregate thereof so

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as to provide revenues, which, when added to taxes, if any, collected pursuant to Section 12

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hereof, are at least sufficient (i) to pay the current expenses of the district, (ii) to pay the principal

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of, premium, if any, and interest on bonds, notes, or other evidences of indebtedness issued by the

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district under this chapter as the same become due and payable, (iii) to create and maintain such

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reasonable reserves as may be reasonably required by any trust agreement or resolution securing

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bonds and notes, (iv) to provide funds for paying the cost of all necessary repairs, replacements

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and renewals of the water works system and (v) to pay or provide for any amounts which the

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district may be obligated to pay or provide for by law or contract including any resolution or

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contract with or for the benefit of the holders of its bonds and notes.

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      (c) In order to provide for the collection and enforcement of its fees, rates, rents,

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assessments and other charges, the board is hereby granted all the powers and privileges with

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respect to such collection and enforcement held by a town of liens for unpaid taxes.

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     In order to provide for the collection and enforcement of its fees, rates, rents, assessment

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and other charges, the board is hereby granted all the powers and privileges with respect to such

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collection and enforcement held by a town of liens for unpaid taxes.

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     In addition to the other enforcement powers and remedies provided in this chapter, if any

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fee, rates, rents, assessments or other charges billed by the board against any premises which are

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connected with the water works system remain unpaid for a period of more than sixty (60) days

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from the due date thereof, and following such period notice and demand have been posted on

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such premises and have been given to the owner of said premises, by registered or certified mail

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addressed to said premises and to the address of said owner as shown on the records of the

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assessor of the municipality where premises is located and to occupants of said premises by mail,

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to pay the same within fifteen (15) days from the date of mailing of said notice, and such fees,

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rates, rents, assessments or other charges remain unpaid, the board shall have the power and is

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hereby authorized to shut off the supply of water to said premises until said fees, rates, rents,

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assessments or other charges and penalties are paid, together with interest thereon at the

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applicable rate and the standard charge of the district for restoring water service to said premises.

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     (d) Not later than one hundred eighty (180) days following the end of the district’s fiscal

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year, the board shall make an annual report to the district of its activities for the preceding fiscal

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year. Each report shall set forth a complete operating and financial statement covering its

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operations during the year. The board shall cause the books, records and accounts of the district to

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be reviewed or audited by a certified public accountant.

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     SECTION 10. Exclusive authority for water distribution - Contracts. - (a) The board is

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authorized to obtain and maintain for the district a supply of water for the extinguishing of fire

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and for distribution to the inhabitants of the district, for domestic use and for other purposes, and

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may obtain that water by the establishment of its own works, or by contracting for it as provided

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in subsection (c), or in any other manner that the board may deem necessary and proper, and is

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not inconsistent with law. The district may also furnish water to inhabitants of municipalities

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outside of the boundaries of the district. If the district undertakes to distribute the water so

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obtained, it shall have the exclusive right to it, and may maintain an action against any person for

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using the water without the consent of the board, and may regulate the distribution and use of the

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water within and without the district. Nothing in this section, or any other section of this chapter,

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shall be construed as giving to the district an exclusive franchise to furnish water outside of the

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boundaries of the district.

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     (b) Without limiting the generality of the previous provisions as to fees, rates, rents,

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assessments and charges, any contract for the sale of water to inhabitants outside of the

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boundaries of the district may be recorded in the same manner as a deed of land, and, upon the

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recording, the obligations of the owner of the real property involved are a lien on the property and

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the lien is enforceable in the same manner as taxes assessed on real estate are by law collected.

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     (c) The board is authorized to contract, for periods not exceeding forty (40) years, with

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the state, any other municipal or quasi-municipal corporation, or with the owners of any privately

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owned water system for the purchase or sale of water or for the use of water facilities, and the

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state, the other municipal or quasi-municipal corporations, and the owners of privately owned

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water systems are authorized to enter into contracts with the district. Notwithstanding Section 39-

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1-2(20) of the general laws, neither the district nor its governing body shall be deemed to be a

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public utility, and the district and its governing body shall not be subject to chapters 1-5 of title

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39 of the general laws.

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     SECTION 11. Condemnation Power. - (a) If for any of the purposes of this act, the board

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shall find it necessary to acquire any real property within the district and within the town of

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Foster, whether for immediate or future use, the district may find and determine that such

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property, whether a fee simple absolute or a lesser interest, is required for the acquisition,

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construction or operation of a water supply facility, and upon such determination, the said

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property shall be deemed to be required for such public use until otherwise determined by the

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board; and with the exceptions hereinafter specifically noted, the said determination shall not be

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affected by the fact that such property has theretofore been taken for, or is then devoted to, a

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public use; but the public use in the hands or under the control of the district shall be deemed

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superior to the public use in the hands of any other person, association or corporation; provided

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further, however, that no real property or interest, estate or right therein belonging to the state

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shall be acquired without consent of the state; and no real property or interest, estate or right

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therein belonging to any municipality shall be acquired without the consent of such municipality.

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     (b) The board may proceed to acquire and is hereby authorized to and may proceed to

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acquire such property, within the district and within the town of Foster, whether a fee simple

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absolute or a lesser interest, by the exercise of the right of eminent domain in the manner

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prescribed in this act.

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     (c) Nothing herein contained shall be construed to prohibit the board from bringing any

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proceedings to remove a cloud on title or such other proceedings as it may, in its discretion, deem

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proper and necessary, or from acquiring any such property by negotiation or purchase.

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     (d) The necessity for the acquisition of property under this act shall be conclusively

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presumed upon the adoption of a vote by the board and a vote of the Foster town council

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determining that the acquisition of such property or any interest therein described in such vote is

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necessary for the acquisition, construction or operation of a water supply facility. Within six (6)

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months after the passage of the vote of the town council, the board shall cause to be filed in the

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appropriate land evidence records a copy of the two votes together with a statement signed by the

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chairperson of the district that such property is taken pursuant to this act, and also a description of

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such real property indicating the nature and extent of the estate or interest therein taken as

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aforesaid and a plat thereof, which copies of the votes and statement of the chairperson shall be

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certified by the clerk of the district and the description and plat shall be certified by the Foster

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town clerk.

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     (e) Forthwith thereafter the board shall cause to be filed in the superior court in and for

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the county within which the real property lies a statement of the sum of money estimated to be

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just compensation for the property taken, and shall deposit in said superior court to the use of the

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persons entitled thereto the sum set forth in such statement. The board shall satisfy the court that

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the amount so deposited with the court is sufficient to satisfy the just claims of all persons having

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an estate or interest in such real property. Whenever the board satisfies the court that the claims of

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all persons interested in the real property taken have been satisfied, the unexpended balance shall

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be ordered repaid forthwith to the district.

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     (f) Upon the filing of the copy of the votes, statement, description and plat in the land

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evidence records and upon the making of the deposit in accordance with the order of the superior

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court, title to said real property in fee simple absolute or such lesser estate or interest therein

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specified in said resolution shall vest in the district, and said real property shall be deemed to be

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condemned and taken for the use of the district and the right to just compensation for the same

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shall vest in the persons entitled thereto, and the district thereupon may take possession of said

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real property. No sum so paid into the court shall be charged with clerks’ fees of any nature.

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     (g) After the filing of the copy of the votes, statement, description and plat, notice of the

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taking of such land or other real property shall be served upon the owners or persons having any

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estate or interest in such real property by the sheriff or his deputies of the county in which the real

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estate is situated by leaving a true and attested copy of the vote, statement, description and plat

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with each of such persons personally, or at the last and usual place of abode in this state with

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some person living there, and in case of any such persons are absent, from this state and have no

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last and usual place of abode therein occupied by any person, such copy shall be left with the

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person or persons, if any, in charge of, or having possession of such real property taken of such

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absent persons, and another copy thereof shall be mailed to the address of such person as shown

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on the records of the assessor of the municipality where the premises is located.

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     (h) After the filing of such votes, description and plat, the board shall cause a copy of the

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vote and description to be published in some newspaper having general circulation in the town of

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Foster at least once a week for three (3) successive weeks.

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     (i) If any party shall agree with the board upon the price to be paid for the value of the

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real property so taken and of appurtenant damage to any remainder or for the value of his estate,

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right or interest therein, the court, upon application of the parties in interest, may order that the

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sum agreed upon be paid forthwith from the money deposited, as the just compensation to be

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awarded in said proceedings; provided, however, that no payment shall be made to any official or

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employee of the district for any property or interest therein acquired from such official or

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employee unless the amount of such payment is determined by the court to constitute just

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compensation to be awarded in said proceedings.

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     (j) Any owner of, or person entitled to any estate or right in, or interested in any part of

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the real property so taken, who cannot agree with the board upon the price to be paid for his

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estate, right or interest in such real property so taken and the appurtenant damage to the

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remainder, may, within three (3) months after personal notice of said taking, or if he has no

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personal notice, may within one year from the time the sum of money estimated to be just

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compensation is deposited in the superior court to the use of the persons entitled thereto, apply by

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petition to the superior court for the county in which said real property is situated, setting forth

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the taking of his land or his estate or interest therein and paying for an assessment or damages by

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the court or by a jury. Upon the filing of such petition the court shall cause twenty (20) days’

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notice of the pendency thereof to be given to the district by serving the chairperson of the district

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with a certified copy thereof.

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     (k) After the service of such notice the court may proceed to the trial thereof. Such trial

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shall be conducted as other civil actions at law are tried. Such trial shall determine all questions of

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fact relating to the value of such real property, and any estate or interest therein, and the amount

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thereof and the appurtenant damage to any remainder and the amount thereof, and such trial and

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decision or verdict of the court or jury shall be subject to all rights to except to rulings, to move

10-25

for new trial, and to appeal, as are provided by law. Upon the entry of judgment in such

10-26

proceedings execution shall be issued against the money so deposited in court and in default

10-27

thereof against any other property of the district.

10-28

     (l) In case two (2) or more petitioners make claim to the same real property, or to any

10-29

estate or interest therein, or to different estates or interests in the same real property, said court

10-30

shall, upon motion, consolidate their several petitions for trial at the same time, and may frame all

10-31

necessary issues for the trial thereof.

10-32

     (m) If any real property or any estate or interest therein, in which any infant or other

10-33

person not capable in law to act in his own behalf is interested, is taken under the provisions of

10-34

this act, said superior court, upon the filing therein of a petition by or in behalf of such infant or

11-1

person or by the board may appoint a guardian ad litem for such infant or other person. Guardians

11-2

may, with the advice and consent of said superior court, and upon such terms as said superior

11-3

court may prescribe, release to the district all claims for damages for the land of such infant or

11-4

other person or for any such estate or interest therein. Any lawfully appointed, qualified and

11-5

acting guardian or other fiduciary of the estate of any such infant or other person, with the

11-6

approval of the court of probate within this state having jurisdiction to authorize the sale of lands

11-7

and properties within this state of such infant or other person, may before the filing of any such

11-8

petition, agree with such infant or other person for any taking of his real property or of his interest

11-9

or estate therein, and may upon receiving such amount, release to the district all claims for

11-10

damages for such infant or other person for such taking.

11-11

     (n) In case any owner of or any person having an estate or interest in such real property

11-12

shall fail to file his petition as above provided, the superior court for the county in which the real

11-13

property is situated, in its discretion, may permit the filing of such petition within one year

11-14

subsequent to the year following the time of the deposit in the superior court of the sum of money

11-15

estimated to be just compensation for the property taken; provided, such person shall have had no

11-16

actual knowledge of the taking of such land in season to file such petition; and provided, no other

11-17

person or persons claiming to own such real property or estate or interest therein shall have been

11-18

paid the value thereof; and provided, no judgment has been rendered against the district for the

11-19

payment of such value to any other person or persons claiming to own such real estate.

11-20

     (o) If any real property or any estate or interest therein is unclaimed or held by a person

11-21

or persons whose whereabouts are unknown, after making inquiry satisfactory to the superior

11-22

court for the county in which the real property lies, the board, after the expiration of two (2) years

11-23

from the first publication of the copy of the votes, statement and description, may petition such

11-24

court that the value of the estate or interest or such unknown person or persons be determined.

11-25

After such notice by publication to such person or persons as the court in its discretion may order,

11-26

and after hearing on said petition, the court shall fix the value of said estate or interest and shall

11-27

order said sum to be deposited in the registry of such court in a special account to accumulate for

11-28

the benefit of the person or persons, if any, entitled thereto. The receipt of the clerk of the

11-29

superior court therefor shall constitute a discharge of the district from all liability in connection

11-30

with such taking. When the person entitled to the money deposited shall have satisfied the

11-31

superior court of his right to receive the same, the court shall cause it to be paid over to him, with

11-32

all accumulations thereon.

11-33

     (p) The superior court shall have power to make such orders with respect to

11-34

encumbrances, liens, taxes and other charges on the land, if any, as shall be just and equitable.

12-1

     (q) Whenever in the opinion of the board a substantial saving in the cost of acquiring title

12-2

can be effected by conveying other real property, title to which is in the district, to the person or

12-3

persons from whom the estate or interest in real property is being purchased or taken, or by the

12-4

construction or improvement by the district of any work or facility upon the remaining real

12-5

property of the person or persons from whom the estate or interest in real property is being

12-6

purchased or taken, the board shall be and hereby is authorized to convey such other real property

12-7

to the person or persons from whom the estate or interest in real property is being purchased or

12-8

taken and to construct or improve any work or facility upon the remaining land of such person or

12-9

persons.

12-10

     (r) At any time during the pendency of any proceedings for the assessment of damages

12-11

for property or interests therein taken or to be taken by eminent domain by the district, the board

12-12

or any owner may apply to the court for an order directing an owner or the board, as the case may

12-13

be, to show cause why further proceedings should not be expedited, and the court may upon such

12-14

application make an order requiring that the hearings proceed and that any other steps be taken

12-15

with all possible expedition.

12-16

     SECTION 12. Construction and maintenance of pipes, aqueducts, and other structures —

12-17

Tax exemption. - The board may within and without the district, and without the consent of any

12-18

municipality, drive, lay, make, construct, and maintain pipes, aqueducts, conduits, machinery, or

12-19

other equipment or appliances, or authorize the construction and maintenance to be done, and

12-20

regulate their use; and may carry any works to be constructed, or authorized to be constructed by

12-21

it, over or under any highway, turnpike, railroad, or street, in any manner so as not to permanently

12-22

obstruct or impede travel; and may enter upon and dig up any highway, turnpike, road, or street

12-23

for the purpose of laying down pipes or building aqueducts, upon or beneath the surface or for the

12-24

purpose of repairing the pipes or aqueducts, and, if in the course of the making, constructing, or

12-25

repairing, any pipe, conduit, or other structure lawfully located in a highway, turnpike, road, or

12-26

street is damaged, or if the location of the pipe, conduit, or other structure is changed, the district

12-27

shall reimburse the owner of the pipe, conduit, or other structure for the damage, or for the

12-28

expense of the change of location. The board shall restore the highway, turnpike, road, or street so

12-29

dug up, to as good a condition as before the work was done. In connection with construction in

12-30

any municipality, the board shall obtain such consents, approvals and permits as shall be required

12-31

by the municipality for such construction.

12-32

     SECTION 13. Taxes - Assessments - Penalty for nonpayment. - The qualified electors of

12-33

the district, at any of the meetings of the district, have power to order taxes, and provide for

12-34

assessing and collecting the taxes on the ratable real estate and tangible personal property of the

13-1

district, as they deem necessary for the purpose of obtaining and maintaining a supply of water

13-2

and distributing the water for the extinguishing of fire; for power, domestic, and other uses; for

13-3

establishing and maintaining and constructing water works and driving wells, and operating the

13-4

water works and wells; for acquiring and leasing real estate and other property and property rights

13-5

necessary for a water supply, and laying and maintaining pipes, conduits, aqueducts, and other

13-6

structures connected with them, and purchasing implements, machinery, and other appliances; for

13-7

the payment of the current expenses of district; for the payment of officers, employees, and other

13-8

agents as the board is authorized to elect, appoint, or otherwise choose under this act; and for the

13-9

payment of any indebtedness that has been or may be incurred by the district; and the taxes so

13-10

ordered shall be assessed by the assessor of the district on the taxable inhabitants and the property

13-11

in the district according to the last valuation made by the assessor of the district on the taxable

13-12

inhabitants and the property in the district according to the last valuation made by the Foster tax

13-13

assessor, next previous to the assessment, adding, however, any taxable property which may have

13-14

been omitted by the town assessor or afterwards acquired, using the assessed valuation made by

13-15

the Foster tax assessor. In all cases where the town assessor has included property within and

13-16

without the district in one valuation, the assessor of the district shall make an equitable valuation

13-17

of that portion of the property lying within the district; and in the assessing and collecting of the

13-18

taxes proceedings shall be had by the officers of the district, as near as may be, as are required to

13-19

be held by the officer of the town in assessing and collecting town taxes. All taxes assessed

13-20

against any person in the district shall constitute a lien upon his or her real estate therein for a

13-21

period of 3 years after the assessment, and if the real estate be not alienated, then until the taxes

13-22

are collected, as provided in chapter 9-1, et seq., of title 44 of the general laws. The collector of

13-23

taxes for the district shall, for the purpose of collecting taxes assessed by the district, have the

13-24

same powers and authority as are now by law conferred on collectors of taxes for towns in this

13-25

state. The qualified electors of the district may provide for a deduction, from the tax assessed

13-26

against any person if paid by an appointed time, or for a penalty, by way of percentage on the tax

13-27

if not paid at the appointed time, not exceeding twelve percent (12%) per annum, as they deem

13-28

necessary to insure punctual payment.

13-29

     SECTION 14. Issuance of bonds and notes. - For the purpose of raising money to carry

13-30

out the provisions of this chapter, the board is authorized and empowered to issue bonds and

13-31

notes in anticipation of bonds. Such bonds and notes may be issued hereunder as general

13-32

obligations of the district or as special obligations payable solely from particular funds. Without

13-33

limiting the generality of the foregoing, such bonds and notes may be issued to pay or refund

13-34

notes issued in anticipation of the issuance of bonds, to pay the cost of any acquisition, extension,

14-1

(40) years from their dates of issue, as may be determined by the board of the district, and may be

14-2

made redeemable before maturity at a price or prices and under terms and conditions that may be

14-3

fixed by the board of the district prior to the issue of the bonds. The board shall determine the

14-4

form of the bonds and notes, including interest coupons, if any, to be attached to them, and the

14-5

manner of their execution, and shall fix the denomination or denominations of the bonds and

14-6

notes and the place or places of payment of the principal and interest, which may be at any bank

14-7

or trust company within or without the state. The bonds shall bear the seal of the district or a

14-8

facsimile of the seal. In case any officer whose signature or a facsimile of whose signature shall

14-9

appear on any notes, bonds or coupons shall cease to be such officer before the delivery thereof,

14-10

such signature or such facsimile shall nevertheless be valid and sufficient for all purposes as if

14-11

such officer had remained in office until after such delivery. The board may also provide for

14-12

authentication of bonds or notes by a trustee or fiscal agent. Bonds may be issued in bearer or in

14-13

registered form, or both, and, if notes, may be made payable to bearer or to order, as the district

14-14

may determine, and provision may be made for the registration of any coupon bonds as to

14-15

principal alone and also as to both principal and interest, for the reconversion into coupon bonds

14-16

of bonds registered as to both principal and interest and for the interchange of bonds registered as

14-17

to both principal and interest and for the interchange of registered and coupon bonds. The issue of

14-18

notes shall be governed by the provisions of this chapter relating to the issue of bonds in

14-19

anticipation of bonds as the same may be applicable. Notes issued in anticipation of the issuance

14-20

of bonds including any renewals, shall mature no later than five (5) years from the date of the

14-21

original issue of such notes. The board may by resolution delegate to any member of the board or

14-22

any combination of them the power to determine any of the matters set forth in this section

14-23

including the power to award such bonds or notes to a purchaser or purchasers at public sale. The

14-24

board may sell bonds and notes of the district in such manner, either at public or private sale, for

14-25

such price, at such rate or rates of interest, or at such discount in lieu of interest, as it may

14-26

determine will best effect the purposes of this chapter.

14-27

     The district may issue interim receipts or temporary bonds, with or without coupons

14-28

exchangeable for definitive bonds when such bonds shall have been executed and are available

14-29

for delivery. The board may also provide for the replacement of any bonds which shall have been

14-30

destroyed or lost.

14-31

     SECTION 15. Issuance of notes in anticipation of revenue or receipt of grants or other

14-32

aid. - The board may also provide by resolution for the issuance from time to time of temporary

14-33

notes in anticipation of the revenues to be collected or received by the district in any year, or in

14-34

anticipation of the receipt of federal, state or local grants or other aid. Notes issued in anticipation

15-1

of revenues, including any renewals thereof, shall mature no later than one year from their

15-2

respective dates, and that notes issued in anticipation of federal, state or local grants or other aid

15-3

including any renewals thereof, shall mature no later than three (3) years from their respective

15-4

dates. The issue of such notes shall be governed by the provisions of this chapter relating to the

15-5

issue of bonds or other notes as the same may be applicable.

15-6

     SECTION 16. Payment of bonds and notes. - The principal of, premium, if any, and

15-7

interest on all bonds and notes issued under the provisions of this chapter, unless otherwise

15-8

provided herein, shall be general obligations of the district or shall be payable solely from the

15-9

funds provided therefor from revenues as herein provided.

15-10

     In the discretion of the board, any bonds and notes issued hereunder may be secured by a

15-11

resolution of the board or by a trust agreement between the district and a corporate trustee, which

15-12

may be any trust company or bank having the powers of a trust company within or without the

15-13

state, and such trust agreement shall be in such form and executed in such manner as may be

15-14

determined by the board. Such trust agreement or resolution may pledge or assign, in whole or in

15-15

part, the revenues and other moneys held or to be received by the district, including the revenues

15-16

from any facilities already existing when the pledge or assignment is made, and any contract or

15-17

other rights to receive the same, whether then existing or thereafter coming into existence and

15-18

whether then held or thereafter acquired by the district, and the proceeds thereof. Such trust

15-19

agreement or resolution may contain such provisions for protecting and enforcing the rights,

15-20

security and remedies of the bondholders or noteholders as may, in the discretion of the board, be

15-21

reasonable and proper and not in violation of law, including, without limiting the generality of the

15-22

foregoing, provisions defining defaults and providing for remedies in the event thereof which

15-23

may include the acceleration of maturities and covenants setting forth the duties of, and

15-24

limitations on, the district in relation to the acquisition, construction, improvement, enlargement,

15-25

alteration, equipping, furnishing, maintenance, use, operation, repair, insurance and disposition of

15-26

the water works system, or other property of the district, the custody, safeguarding, investment

15-27

and application of moneys, the issue of additional or refunding bonds and notes, the fixing,

15-28

revision and collection of fees, rates, rents, assessments or other charges, the use of any surplus

15-29

bond and note proceeds, the establishment of reserves, and the making and amending of

15-30

contracts.

15-31

     In the discretion of the board any bonds or notes issued under authority of this chapter,

15-32

may be issued in the form of lines of credit, loans, or other banking arrangements and under such

15-33

terms and conditions, not inconsistent with this chapter, and under such agreements with the

15-34

purchasers or makers thereof, as the board may determine to be in the best interest of the district.

16-1

In addition to other security provided herein or otherwise by law, bonds or notes issued by the

16-2

district under any provision of this chapter may be secured, in whole or in part, by insurance or

16-3

letters or lines of credit or other credit facilities, and the board may pledge or assign any of its

16-4

revenues as security for the reimbursement by the district to the issuers of such insurance, letters

16-5

or lines of credit or other credit facilities of any payments made under the insurance or letters or

16-6

lines of credit or other credit facilities.

16-7

     It shall be lawful for any bank or trust company to act as a depository or trustee of the

16-8

proceeds of bonds, notes, revenues or other moneys under any such trust agreement or resolution

16-9

and to furnish such indemnification or to pledge such securities and issue such letters of credit as

16-10

may be required by the district. Any pledge of revenues or other property made by the board

16-11

under this chapter shall be valid and binding and shall be deemed continuously perfected from the

16-12

time when the pledge is made; the revenues, moneys, rights and proceeds so pledged and then

16-13

held or thereafter acquired or received by the district shall immediately be subject to the lien of

16-14

such pledge without any physical delivery or segregation thereof or further act; and the lien of

16-15

any such pledge shall be valid and binding against all parties having claims of any kind in tort,

16-16

contract or otherwise against the district, irrespective of whether such parties have notice thereof.

16-17

Neither the resolution, any trust agreement nor any other agreement by which a pledge is created

16-18

need be filed or recorded except in the records of the district.

16-19

     Any holder of a bond or note issued by the district under the provisions of this chapter or

16-20

of any of the coupons appertaining thereto and any trustee under a trust agreement or resolution

16-21

securing the same, except to the extent the rights herein given may be restricted by such trust

16-22

agreement or resolution securing the same, may bring suit upon the bonds or notes or coupons

16-23

and may, either at law or in equity, by suit, action, mandamus, or other proceedings for legal or 2

16-24

equitable relief, including proceedings for the appointment of a receiver to take possession and

16-25

control of the business and properties of the district, to operate and maintain the same, to make

16-26

any necessary repairs, renewals and replacements in respect thereof and to fix, revise and collect

16-27

fees and charges, protect and enforce any and all rights under such trust agreement, resolution or

16-28

6 other agreement, and may enforce and compel the performance of all duties required by this act

16-29

or by such trust agreement or resolution to be performed by the board or by any officer of the

16-30

district.

16-31

      SECTION 17. Refunding bonds and notes. - The board may issue refunding bonds and

16-32

notes for the purpose of paying any of its bonds or notes at maturity or upon acceleration or

16-33

redemption. Refunding bonds and notes may be issued at such time prior to the maturity or

16-34

redemption of the refunded bonds or notes as the board deems to be in the public interest.

17-1

Refunding bonds and notes may be issued in sufficient amounts to pay or provide the principal of

17-2

the bonds or notes being refunded, together with any redemption premium thereon, any interest

17-3

accrued or to accrue to the date of payment of such bonds or notes, the expenses of issue of

17-4

refunding bonds or notes, the expenses of redeeming bonds or notes being refunded and such

17-5

reserves for debt service or other capital or current expenses from the proceeds of such refunding

17-6

bonds or notes as may be required by a trust agreement or resolution securing bonds or notes. The

17-7

issue of refunding bonds or notes, the maturities and other details thereof, the security therefor,

17-8

the rights of the holders thereof, and the rights, duties and obligations of the district in respect of

17-9

the same shall be governed by the provisions of this chapter relating to the issue of bonds or notes

17-10

other than refunding bonds or notes insofar as the same may be applicable.

17-11

     SECTION 18. Defeasance of bonds or notes. - The board may at any time deposit with a

17-12

trustee, a sum sufficient, with amounts then on deposit, including the debt service reserve fund, to

17-13

purchase direct or guaranteed obligations of the United States of America which are adequate to

17-14

pay the entire principal amount of the bonds or notes of a series, together with the interest to

17-15

maturity, or to an applicable redemption date specified by the board to the trustee an any

17-16

applicable redemption premium; or the board may deposit direct or guaranteed obligations of the

17-17

United States of America in lieu of money for the purchase. The obligations are deemed adequate

17-18

if the principal and interest payable on them are sufficient to pay the previously mentioned sums

17-19

when due. Upon any deposit of money and a request by the board, the trustee shall purchase

17-20

direct or guaranteed obligations of the United States of America. When adequate direct or

17-21

guaranteed obligations of the United States of America are held by the trustee pursuant to this

17-22

section, the bond resolution or indenture shall cease to be in effect with respect to such series of

17-23

bonds or notes. The obligations and their proceeds shall be held in trust for the benefit of the

17-24

bondholders or noteholders, and the trustee shall, on behalf of the district, call bonds or notes for

17-25

redemption on the applicable redemption date. Any compensation or expenses of the trustee in

17-26

carrying out this section shall be paid by the district, and any surplus funds held by the

17-27

     SECTION 19. Credit of state and municipality not pledged. - Bonds, notes and other

17-28

evidences of indebtedness issued or entered into under the provisions of this chapter shall not be

17-29

deemed to be a debt or a pledge of the faith and credit of the state or of any city or town, but shall

17-30

be payable solely from the revenues of the district. All bonds, notes and other evidences of

17-31

indebtedness, shall contain on the face thereof a statement to the effect that neither the state nor

17-32

any city or town shall be obligated to pay the same and that neither the faith and credit nor the

17-33

taxing power of the state or of any city or town is pledged to the payment of the principal of or

17-34

interest on such bonds or notes. Each bond or note shall also recite whether it is a general

18-1

obligation of the district or a special obligation thereof payable solely from particular funds

18-2

pledged to its payment.

18-3

     SECTION 20. Moneys received deemed to be trust funds. - All moneys received pursuant

18-4

to the provisions of this chapter, whether as proceeds from the issue of bonds or notes or as

18-5

revenues or otherwise, shall be deemed to be trust funds to be held and applied solely as provided

18-6

in this chapter.

18-7

     SECTION 21. Bonds eligible for investment. - Bonds and notes issued under the

18-8

provisions of this chapter are hereby made securities in which all public officers and public

18-9

bodies of the state and its political subdivisions, all insurance companies, trust companies in their

18-10

commercial departments, savings banks, co-operative banks, banking associations, investment

18-11

companies, executors, administrators, trustees and other fiduciaries may properly and legally

18-12

invest funs, including capital in their control or belonging to them. Such bonds and notes are

18-13

hereby made securities which may be deposited with and received by any state or municipal

18-14

officer or any agency or political subdivision, of the state for any purpose for which the deposit of

18-15

bonds or obligations of the state is now or may hereafter be authorized by law.

18-16

     SECTION 22. Bonds and notes issued without consent of other entities - Bonds and

18-17

notes may be issued under this chapter without obtaining the consent of any department, division,

18-18

commission, board, bureau or agency of the state or any municipality, including the public

18-19

utilities commission and the division of public utilities pursuant to Chapters 1-5 of title of the

18-20

general laws, and without any other proceedings or the happening of any other conditions or

18-21

things than those proceedings, conditions or things which are specifically required therefor by

18-22

this chapter, and the validity of and security for any bonds and notes issued by the district shall

18-23

not be affected by the existence or nonexistence of any such consent or other proceedings,

18-24

conditions or things.

18-25

      SECTION 23. Tax exemption. - The district and all its revenues, income and real and

18-26

personal property shall be exempt from taxation and from betterments and special assessments

18-27

and the district shall not be required to pay any tax, excise or assessment to or for the state or any

18-28

of its political subdivisions; provided, however, that the board is authorized to enter into

18-29

agreements to make annual payments in lieu of taxes with respect to property of the district

18-30

located outside the district. Bonds and notes issued under this act and their transfer and the

18-31

income therefrom, including any profit made on the sale or exchange thereof, shall at all times be

18-32

exempt from taxation by the state and all political subdivisions of the state. The district shall not

18-33

be required to pay any transfer tax of any kind on account of instruments recorded by it or on its

18-34

behalf.

19-1

     SECTION 24. Malicious damage - Civil and criminal penalties. - If any person

19-2

maliciously or wantonly destroys or damages any hydrant, pipe, aqueduct, conduit, machinery,

19-3

equipment, appliance, or other property of the district used for the purposes provided for in this

19-4

chapter, that person, whether principal or accessory, forfeits to the district, to be recovered by an

19-5

action of trespass o the case, treble the amount of damages which appear to have been sustained,

19-6

and shall also be liable to indictment, and upon conviction, shall be fined not more than one

19-7

thousand dollars ($1,000) or imprisoned not more than one year, or shall suffer both fine and

19-8

imprisonment.

19-9

     SECTION 25. Records; reports; inspection. - The district shall at all times keep flail and

19-10

accurate accounts of its receipts, expenditures, disbursements, assets and liabilities, which shall

19-11

be open to inspection by any officer or duly appointed agent of the state.

19-12

     SECTION 26. Termination or dissolution of district. - Upon termination or dissolution of

19-13

the district, the title to all finds and other properties owned by it which remain after payment of

19-14

all bonds and notes and other obligations of the district shall vest in the town of Foster.

19-15

      SECTION 27. Inconsistent laws or ordinances inoperative. - Except as otherwise

19-16

provided herein, any provisions of any special law and part of any special law and all ordinances

19-17

and parts of ordinances pertaining to the water works system which are inconsistent with the

19-18

provisions of this chapter shall be inoperative and cease to be effective.

19-19

      SECTION 28. Provisions of act controlling. - The provisions of this chapter shall be

19-20

deemed to provide an exclusive, additional, alternative and complete method for the doing of the

19-21

things authorized hereby and shall be deemed and construed to be supplemental and additional to,

19-22

and not in derogation of, powers conferred upon the district by law; provided, however, that

19-23

insofar as the provisions of this chapter are inconsistent with the provisions of any general or

19-24

special law, administrative order or regulation, or law of any municipality, the provisions of this

19-25

chapter shall be controlling.

19-26

     SECTION 29. Pledge not to alter rights of district. - The state does hereby pledge to and

19-27

agree with the holders of the bonds, notes, and other evidences of indebtedness of the district that

19-28

the state will not limit or alter rights hereby vested in the district until the bonds, notes, or other

19-29

evidences of indebtedness, together with interest thereon, with interest on any unpaid installment

19-30

of interest and all costs and expenses in connection with any actions or proceedings by or on

19-31

behalf of the bondholders and noteholders, are fully met and discharged. All action of the Abbey

19-32

Lane Community Association Inc. Water District taken pursuant to this act becoming effective

19-33

and hereby ratified and confirmed.

20-34

     SECTION 30. Construction of act. – This chapter, being necessary for the welfare of the

20-35

district and its inhabitants, shall be liberally construed to effect the purpose hereof.

20-36

     SECTION 31. Severability. – This chapter shall be construed in all respects to meet all

20-37

constitutional requirements. In carrying out the purposes and provisions of this chapter, all steps

20-38

shall be taken which are necessary to meet constitutional or other legal requirements whether or

20-39

not these steps are expressly required by statute. If, after the application of the provisions of this

20-40

section, any of the provisions of this chapter, or its application to any circumstances, shall be held

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unconstitutional by any court of competent jurisdiction, that decision shall not affect or impair the

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validity of the application of those provisions to other circumstances or the validity of any of the

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other provisions of this chapter.

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      SECTION 32. Open meetings law “Access to Public Records”. - The district shall be

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subject to chapter 46 of title 42 of the general laws entitled ‘Open Meetings.” “Open Meetings.”

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The district shall be subject to chapter 2 of title 38 of the general laws entitled “Access to Pubic

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Records”.

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      SECTION 33. The first meeting shall be called by any five (5) qualified electors of the

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district for purposes of this Section 33 and shall be held at such time and place as is specified in

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the notice of the call of the meeting, provided that said date shall occur not later than twelve

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months from the date of the passage of this act. A vote by ballot shall be taken at said first

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meeting upon the proposition, “Shall the Abbey Lane Community Water District be established

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according to the act of incorporation passed by the general assembly of the state?” If a majority of

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the persons so voting shall vote in the affirmative then said Abbey Lane Community Water

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District shall be established according to the provisions of this act, but if a majority of the persons

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so voting shall vote in the negative, then this act shall become null and void. Said first meeting

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shall be organized election of a moderator, a clerk, and a committee of three (3) persons, qualified

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electors in the district for purposes of this Section 33, who shall act at the meeting as a board of

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canvassers. Said board of canvassers shall be provided by the board of canvassers of the town of

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Foster with lists of the persons who are registered voters within the district and such persons shall

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be the qualified electors of the district for the purposes of this Section 33. The name of any

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person whose right to vote at said meeting is challenged shall be referred by the moderator to the

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committee who shall forthwith determine the question as to whether said person is qualified to

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vote and take part in the proceedings of the meeting and shall so report forthwith to said

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moderator. At said meeting said district after acceptance of the act may proceed to adopt bylaws

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and effect a permanent organization or it may adjourn to a date determined by vote.

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     SECTION 34. Sections 33 and 34 of this act shall take effect upon the passage of the act.

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The remainder of this act shall take effect upon the approval of a majority of those voting on the

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question as prescribed by section 33.

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LC02609

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

AUTHORIZING THE ESTABLISHMENT OF THE ABBEY LANE COMMUNITY WATER

DISTRICT

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     This act would authorize the establishment of the Abbey Lane Community Water

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District.

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      Sections 33 and 34 of this act would take effect upon the passage of the act. The

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remainder of this act would take effect upon the approval of a majority of those voting on the

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question as prescribed by section 33.

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LC02609

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