Chapter
270
2003
-- H 6506
Enacted
07/17/03
AN ACT
RELATING TO TOWNS AND CITIES
-- CREATING THE WEST GREENWICH WATER DISTRICT
Introduced
By: Representative Robert A. Watson
Date Introduced:
June 10, 2003
It is enacted by the General
Assembly as follows:
SECTION
1. Title 45 of the General Laws entitled "Towns and Cities" is hereby
amended by adding thereto the
following chapter:
CHAPTER
48.1
WEST GREENWICH WATER
DISTRICT
45-48.1-1.
Creation. -- (a) There is created a body corporate and public and a
political
subdivision of the state, a
special water district to be known as the West Greenwich water district
located in the town of West
Greenwich established for the purpose of providing adequate water
supply to the residents of said
district and to others who may contract with the district for water
supply. The district shall
consist of the area bounded by the following: A line two hundred fifty
(250) feet from either side of
Victory Highway, Route 102, commencing at the intersection of
Victory Highway and Sharpe
Street and Plain Meeting House Road and continuing south to Pole
84 and the intersection Victory
Highway and Linden Lane; a line two hundred fifty (250) feet on
either side of Brown's Corner
Road from Victory Highway and continuing to the intersection
Brown's Corner Road with Stubble
Brook Road and the W. Alton Jones Campus of the
University of Rhode Island; a
line two hundred fifty (250) feet on either side of Linden Lane,
Stratford Court and Kings
Daughter Court; a line two hundred fifty (250) feet on either side of
Regina Drive commencing at the
intersection of Linden Lane and continuing to the intersection of
Regina Drive with Heather Hollow
Road. The area within the boundaries described in this section
shall be known as the West
Greenwich water district.
(b)
The district is hereby constituted an independent public instrumentality and
the
exercise by the district of the
powers conferred by this chapter shall be deemed and held to be the
performance of an essential
public function. The district shall not be subject to the supervision of
the town or of any department, commission,
board, bureau or agency of the town except to the
extent and in the manner
provided in this chapter.
45-48.1-2.
Composition of board. -- Except as otherwise provided in this
chapter, the
powers of the district shall be
exercised by a board of three (3) members, each of whom shall be a
resident of the district. These
members shall be appointed by the town administrator of the town,
subject to approval by the town
council. The members shall be appointed and serve in office for
terms of one (1), two (2), and
three (3) years, respectively. Thereafter, the members shall be
appointed for a term of three
(3) years or, in the case of an appointment to fill a vacancy, for the
unexpired term, and until his or
her successor is appointed and qualified. A member shall hold
office until his or her
successor has been appointed and qualified. Any member of the board shall
be eligible for reappointment.
Any member of the board may be removed by the town council at
any time for cause shown. No vacancy
in the membership of the board shall impair the right of a
quorum to exercise the powers of
the district. Two (2) members of the board shall constitute a
quorum and the affirmative vote
of two (2) members shall be necessary for any action taken by
vote of the board. Any such
action shall take effect immediately unless otherwise provided and
need not be published or posted.
45-48.1-3.
Officers and employees of board. -- (a) The chairperson of the board
shall be
selected by the majority vote of
the members of the board. The board shall appoint a secretary
and a treasurer who may or may
not be members of the board.
(b)
The board may from time to time hire, transfer or otherwise appoint or employ
legal
counsel, financial advisors and
such other experts, engineers, agents, accountants, clerks, and
other consultants and employees
as it deems necessary and determine their duties.
45-48.1-4.
Compensation of board members. -- The members of the board shall
receive
no compensation for the
performance of their duties under this chapter. Each member may be
reimbursed for all reasonable
and necessary expenses incurred in the discharge of official duties
as approved by the board.
45-48.1-5.
Powers. -- The board shall have all the rights and powers necessary
or
convenient to carry out and
effectuate this chapter, including, but without limiting the generality
of the foregoing, the rights and
powers:
(a)
to adopt bylaws for the regulation of its affairs and the conduct of its business,
to
promulgate rules, regulations
and procedures in connection with the performance of its functions
and duties and to fix, enforce
and collect penalties for the violation thereof;
(b)
to adopt an official seal and alter the same at pleasure;
(c)
to maintain an office at such place or places as it may determine;
(d)
to apply for, receive, accept, administer, expend and comply with the
conditions,
obligations and requirements
respecting any grant, gift, loan, including without limitation any
grant, gift or loan from
agencies of local, state and federal governments, donation or
appropriation of any property or
money in aid of the purposes of the district and to accept
contributions of money, property,
labor or other things of value;
(e)
to acquire by purchase, lease, lease-purchase, sale and leaseback, gift or
devise, or to
obtain options for the
acquisition of any water or water rights and any other property, real or
personal, tangible or
intangible, or any interest therein, in the exercise of its powers and the
performance of its duties;
(f)
to sell, lease, mortgage, exchange, transfer to otherwise dispose of, or to
grant options
for any such purposes with respect
to, any water, water rights, and any other property, real or
personal, tangible or
intangible, or any interest therein;
(g)
to enter onto any land to make surveys, borings, soundings and examinations
thereon,
provided that said district
shall make reimbursements for any injury or actual damage resulting to
such lands and premises caused
by any act of its authorized agents or employees and shall so far
as possible restore the land to
the same condition as prior to the making of such surveys, borings,
soundings and examinations; and
to acquire by eminent domain any interest in real property
within the district in the name
of the district in accordance with the provisions of this chapter;
(h)
to purchase water in bulk or by volume, and to sell water to, any person,
private or
public corporation or public
instrumentality or municipality, the state and the federal government;
(i)
to plan, construct, improve, extend, enlarge, maintain and repair the water
works
system;
(j)
to pledge or assign any money, fees, charges, or other revenues of the district
and any
proceeds derived by the district
from the sale of property, insurance or condemnation awards;
(k)
to borrow money and incur indebtedness and issue its bonds and notes as
hereinafter
provided;
(l)
to make contracts of every name and nature and to execute and deliver all
instruments
necessary or convenient for
carrying out any of its purposes;
(m)
to establish public hydrants in public places as it may see fit and prescribe
for what
purposes the public hydrants are
used, all of which it may change in its discretion;
(n)
to enter into contracts and agreements with the town in all matters necessary,
convenient or desirable for
carrying out the purposes of this chapter including, without limiting
the generality of the foregoing,
collection of revenue, data processing, and other matters of
management, administration and
operation;
(o)
to sue and be sued and to prosecute and defend actions relating to is
properties and
affairs; provided that only
property of the district other than revenues pledged to the payment of
bonds and notes shall be subject
to attachment or levied upon execution or otherwise;
(p)
to lend money for its purposes, invest and reinvest its funds and at its option
to take
and hold real and personal
property as security for the funds so loaned or invested;
(q)
to do all things necessary, convenient or desirable for carrying out the
purposes of this
chapter or the powers expressly
granted or necessarily implied in this chapter, including entering
into agreements with other
cities, towns or districts to provide for the joint operation of water
supply activities;
(r)
consistent with the constitution and laws of the state, the district shall have
such other
powers, including all powers
pertaining to the water works system not inconsistent herewith, as
may be necessary for or incident
to carrying out the foregoing powers and the accomplishment of
the purposes of this chapter;
provided, however, that nothing in this chapter shall impose any duty
on the district to maintain
groundwater levels within or without the boundaries of the district.
45-48.1-6.
Additional powers and limitations. -- In addition to the powers of
the district
otherwise provided herein, the
district shall have the following powers and shall be subject to the
following limitations:
(a)
The district is authorized and empowered to fix, revise, charge, collect and
abate fees,
rates, rents, assessments,
delinquency charges and other charges for water, and other services,
facilities and commodities
furnished or supplied by it including penalties for violations of such
regulations as the district may
from time to time promulgate under this chapter. Fees, rates, rents,
assessments, delinquency charges
and other charges of general application shall be adopted and
revised by the district in
accordance with procedures to be established by the district for assuring
that interested persons are
afforded notice and an opportunity to present data, views and
arguments. Such fees, rates,
rents, assessments and other charges may be based on the quantity of
water used or the number and
kind of water connections made, or the number and kind of
plumbing fixtures installed on
the estate, or upon the number or average number of persons
residing or working in or
otherwise connected with the estate, or upon any other factor affecting
the use of or the value or cost
of the water and water facilities furnished, or upon any combination
of these factors. The district
shall hold at least one (1) public hearing on its schedule of fees, rates
and charges or any revision thereof
prior to adoption, notice of which shall be published in a
newspaper of substantial
circulation in the district at least one (1) month in advance of the
hearing. No later than the date
of such publication the district shall make available to the public
the proposed schedule of fees,
rates and charges. Fees, rates, rents, assessments, abatements and
other charges established by the
district shall not be subject to supervision or regulation by any
department, division, district,
board, bureau, or agency of the state or any of its political
subdivisions, including, without
limitation, the public utilities commission and the division of
public utilities pursuant to
chapters 1-5 of title 39 of the general laws.
(b)
The fees, rates, rents, assessments and other charges established by the
district in
accordance with paragraph (a)
shall be so fixed and adjusted in respect to the aggregate thereof so
as to provide revenues at least
sufficient (i) to pay the current expenses of the district, (ii) to pay
the principal of, premium, if
any, and interest on bonds, notes, or other evidences of indebtedness
issued by the district under
this chapter as the same become due and payable, (iii) to create and
maintain such reasonable
reserves as may be reasonably required by any trust agreement or
resolution securing bonds and
notes, (iv) to provide funds for paying the cost of all necessary
repairs, replacements and
renewals of the water works system, and (v) to pay or provide for any
amounts which the district may
be obligated to pay or provide for by law or contract including
any resolution or contract with
or for the benefit of the holders of its bonds and notes.
(c)
In order to provide for the collection and enforcement of its fees, rates, rents,
assessments and other charges,
the district is hereby granted all the powers and privileges with
respect to such collection and
enforcement held by a town of liens for unpaid taxes. In addition to
the other enforcement powers and
remedies provided in this chapter, if any fees, rates, rents,
assessments or other charges
billed by the district against any premises which are connected with
the water works system remain
unpaid for a period of more than sixty (60) days from the due date
thereof, and following such
period notice and demand have been posted on such premises and
have been given to the owner of
said premises, by registered or certified mail addressed to said
premises and to the address of
said owner as shown on the records of the assessor of the town and
to occupants of said premises by
mail, to pay the same within fifteen (15) days from the date of
mailing of said notice, and such
fees, rates, rents, assessments or other charges remain unpaid, the
district shall have the power and
is hereby authorized to shut off the supply of water to said
premises until said fees, rates,
rents, assessments or other charges and penalties are paid, together
with interest thereon at the
applicable rate and the standard charge of the district for restoring
water service to said premises.
(d)
In the month of January of each year the board shall make an annual report to
the
town council of the town of its
activities for the preceding fiscal year and a copy of the annual
report shall be submitted to the
Water Resources Board and the department of health by February
1. Each report shall set forth a
complete operating and financial statement covering its operations
during the year. The district shall
cause the books, records and accounts of the district to be
reviewed or audited by a
certified public accountant.
45-48.1-7.
Exclusive authority for water distribution -- Contracts. -- (a) The
district is
authorized to obtain and
maintain for the district a supply of water for the extinguishing of fire
and for distribution to the
inhabitants of the district, for domestic use and for other purposes, and
may obtain that water by the
establishment of its own works, or by contracting for it as provided
in subsection (c), or in any
other manner that the district may deem necessary and proper, and is
not inconsistent with law. The
district may also furnish water to inhabitants of the towns outside
of the boundaries of the
district. If the district undertakes to distribute the water so obtained, it
shall have the exclusive right
to it, and may maintain an action against any person for using the
water without the consent of the
district, and may regulate the distribution and use of the water
within and without the district.
Nothing is this section, or any other section of this chapter, shall
be construed as giving to the
district an exclusive franchise to furnish water outside of the
boundaries of the district.
(b)
Without limiting the generality of the previous provisions as to fees, rates,
rents,
assessments and charges, any
contract for the sale of water to inhabitants of a town outside of the
boundaries of the district may
be recorded in the same manner as a deed of land, and, upon the
recording, the obligations of
the owner of the real property involved are a lien on the property and
the lien is enforceable in the
same manner as taxes assessed on real estate are by law collected.
(c)
The district is authorized to contract, for periods not exceeding forty (40)
years, with
the state, any other municipal
or quasi-municipal corporation, or with the owners of any privately
owned water system for the
purchase or sale of water or for the use of water facilities, and the
state, the other municipal or
quasi-municipal corporations, and the owners of privately owned
water systems are authorized to
enter into contracts with the district. Notwithstanding section 39-
1-2(20) of the general laws, neither
the district nor its governing body shall be deemed to be a
public utility, and the district
and its governing body shall not be subject to chapters 1 through 5
of title 39 of the general laws.
45-48.1-8.
Condemnation power. -- (a) If for any of the purposes of this act,
the district
shall find it necessary to
acquire any real property, whether for immediate or future use, the
district may find and determine
that such property, whether a fee simple absolute or a lesser
interest, is required for the
acquisition, construction or operation of a water supply facility, and
upon such determination, the
said property shall be deemed to be required for such public use
until otherwise determined by
the district; and with the exceptions hereinafter specifically noted,
the said determination shall not
be affected by the fact that such property has theretofore been
taken for, or is then devoted
to, a public use; but the public use in the hands or under the control
of the district shall be deemed
superior to the public use in the hands of any other person,
association or corporation;
provided further, however, that no real property or interest, estate or
right therein belonging to the
state shall be acquired without consent of the state; and no real
property or interest, estate or
right therein belonging to any municipality shall be acquired
without the consent of such
municipality.
(b)
The district may proceed to acquire and is hereby authorized to and may proceed
to
acquire such property, whether a
fee simple absolute or a lesser interest, by the exercise of the
right of eminent domain in the
manner prescribed in this act.
(c)
Nothing herein contained shall be construed to prohibit the district from
bringing any
proceedings to remove a cloud on
title or such other proceedings as it may, in its discretion, deem
proper and necessary, or from
acquiring any such property by negotiation or purchase.
(d)
The necessity for the acquisition of property under this act shall be
conclusively
presumed upon the adoption by
the district of a vote determining that the acquisition of such
property or any interest therein
described in such vote is necessary for the acquisition,
construction or operation of a water
supply facility. Within six (6) months after its passage, the
district shall cause to be filed
in the appropriate land evidence records a copy of its vote together
with a statement signed by the
chairperson or treasurer of the district that such property is taken
pursuant to this act, and also a
description of such real property indicating the nature and extent of
the estate or interest therein
taken as aforesaid and a plat thereof, which copy of the vote and
statement of the chairperson or
treasurer shall be certified by the secretary of the district and the
description and plat shall be
certified by the city or town clerk for the city or town within which
the real property lies.
(e)
Forthwith thereafter the district shall cause to be filed in the superior court
in and for
the county within which the real
property lies a statement of the sum of money estimated to be
just compensation for the
property taken, and shall deposit in said superior court to the use of the
persons entitled thereto the sum
set forth in such statement. The district shall satisfy the court that
the amount so deposited with the
court is sufficient to satisfy the just claims of all persons having
an estate or interest in such
real property. Whenever the district satisfies the court that the claims
of all persons interested in the
real property taken have been satisfied, the unexpended balance
shall be ordered repaid
forthwith to the district.
(f)
Upon the filing of the copy of the vote, statement, description and plat in the
land
evidence records and upon the
making of the deposit in accordance with the order of the superior
court, title to said real
property in fee simple absolute or such lesser estate or interest therein
specified in said resolution
shall vest in the district, and said real property shall be deemed to be
condemned and taken for the use
of the district and the right to just compensation for the same
shall vest in the persons
entitled thereto, and the district thereupon may take possession of said
real property. No sum so paid
into the court shall be charged with clerks’ fees of any nature.
(g)
After the filing of the copy of the vote, statement, description and plat,
notice of the
taking of such land or other
real property shall be served upon the owners or persons having any
estate or interest in such real
property by the sheriff or his/her deputies of the county in which the
real estate is situated by
leaving a true and attested copy of the vote, statement, description and
plat with each of such persons
personally, or at the last and usual place of abode in this state with
some person living there, and in
case of any such persons are absent from this state and have no
last and usual place of abode therein
occupied by any person, such copy shall be left with the
person or persons, if any, in
charge of, or having possession of such real property taken of such
absent persons, and another copy
thereof shall be mailed to the address of such person, if the
same is known to the officer
serving such notice.
(h)
After the filing of such vote, description and plat, the district shall cause a
copy of the
vote and description to be
published in some newspaper having general circulation in the city or
town in which the real property
lies at least once a week for three (3) successive weeks.
(i)
If any party shall agree with the district upon the price to be paid for the
value of the
real property so taken and of
appurtenant damage to any remainder or for the value of his/her
estate, right or interest
therein, the court, upon application of the parties in interest, may order that
the sum agreed upon be paid
forthwith from the money deposited, as the just compensation to be
awarded in said proceedings;
provided, however, that no payment shall be made to any official or
employee of the district for any
property or interest therein acquired from such official or
employee unless the amount of
such payment is determined by the court to constitute just
compensation to be awarded in
said proceedings.
(j)
Any owner of, or person entitled to any estate or right in, or interested in
any part of
the real property so taken, who
cannot agree with the district upon the price to be paid for his/her
estate, right or interest in
such real property so taken and the appurtenant damage to the
remainder, may, within three (3)
months after personal notice of said taking, or if he/she has no
personal notice, may within one
(1) year from the time the sum of money estimated to be just
compensation is deposited in the
superior court to the use of the persons entitled thereto, apply by
petition to the superior court
for the county in which said real property is situated, setting forth
the taking of his/her land or
his/her estate or interest therein and paying for an assessment or
damages by the court or by a
jury. Upon the filing of such petition the court shall cause twenty
(20) days’ notice of the
pendency thereof to be given to the district by serving the chairperson or
treasurer of the district with a
certified copy thereof.
(k)
After the service of such notice the court may proceed to the trial thereof.
Such trial
shall be conducted as other
civil actions at law are tried. Such trial shall determine all questions of
fact relating to the value of
such real property, and any estate or interest therein, and the amount
thereof and the appurtenant
damage to any remainder and the amount thereof, and such trial and
decision or verdict of the court
or jury shall be subject to all rights to except to rulings, to move
for new trial, and to appeal, as
are provided by law. Upon the entry of judgment in such
proceedings execution shall be
issued against the money so deposited in court and in default
thereof against any other
property of the district.
(l)
In case two (2) or more petitioners make claim to the same real property, or to
any
estate or interest therein, or
to different estates or interests in the same real property, said court
shall, upon motion, consolidate
their several petitions for trial at the same time, and may frame all
necessary issues for the trial
thereof.
(m)
If any real property or any estate or interest therein, in which any infant or
other
person not capable in law to act
in his/her own behalf is interested, is taken under the provisions
of this act, said superior
court, upon the filing therein of a petition by or in behalf of such infant
or person or by the district may
appoint a guardian ad litem for such infant or other person.
Guardians may, with the advice
and consent of said superior court, and upon such terms as said
superior court may prescribe,
release to the district all claims for damages for the land of such
infant or other person or for
any such estate or interest therein. Any lawfully appointed, qualified
and acting guardian or other
fiduciary of the estate of any such infant or other person, with the
approval of the court of probate
within this state having jurisdiction to authorize the sale of lands
and properties within this state
of such infant or other person, may before the filing of any such
petition, agree with such infant
or other person for any taking of his/her real property or of his/her
interest or estate therein, an
may upon receiving such amount, release to the district all claims for
damages for such infant or other
person for such taking.
(n)
In case any owner of or any person having an estate or interest in such real
property
shall fail to file his/her
petition as above provided, the superior court for the county in which the
real property is situated, in
its discretion, may permit the filing of such petition within one (1)
year subsequent to the year
following the time of the deposit in the superior court of the sum of
money estimated to be just
compensation for the property taken; provided, such person shall have
had no actual knowledge of the
taking of such land in season to file such petition; and provided,
no other person or persons claiming
to own such real property or estate or interest therein shall
have been paid the value
thereof; and provided, no judgment had been rendered against the
district for the payment of such
value to any other person or persons claiming to own such real
estate.
(o)
In any real property or any estate or interest therein is unclaimed or held by
a person
or persons whose whereabouts are
unknown, after making inquiry satisfactory to the superior
court for the county in which the
real property lies, the district, after the expiration of two (2)
years from the first publication
of the copy of the vote, statement and description, may petition
such court that the value of the
estate or interest or such unknown person or persons be
determined. After such notice by
publication to such person or persons as the court in its
discretion may order, and after
hearing on said petition, the court shall fix the value of said estate
or interest and shall order said
sum to be deposited in the registry of such court in a special
account to accumulate for the
benefit of the person or persons, if any, entitled thereto. The
receipt of the clerk of the
superior court therefor shall constitute a discharge of the district from
all liability in connection with
such taking. When the person entitled to the money deposited
shall have satisfied the
superior court of his/her right to receive the same, the court shall cause it
to be paid over to him/her, with
all accumulations thereon.
(p)
The superior court shall have power to make such orders with respect to
encumbrances, liens, taxes and
other charges on the land, if any, as shall be just and equitable.
(q)
Whenever in the opinion of the district a substantial saving in the cost of
acquiring
title can be effected by
conveying other real property, title to which is in the district, to the person
or persons from whom the estate
or interest in real property is being purchased or taken, or by the
construction or improvement by
the district of any work or facility upon the remaining real
property of the person or
persons from whom the estate or interest in real property is being
purchased or taken, the district
shall be and hereby is authorized to convey such other real
property to the person or
persons from whom the estate or interest in real property is being
purchased or taken and to
construct or improve any work or facility upon the remaining land of
such person or persons.
(r)
At any time during the pendency of any proceedings for the assessment of
damages
for property or interests
therein taken or to be taken by eminent domain by the district, the district
or any owner may apply to the
court for an order directing an owner or the district, as the case
may be, to show cause why
further proceedings should not be expedited, and the court may upon
such application make an order
requiring that the hearings proceed and that any other steps be
taken with all possible
expedition.
45-48.1-9.
Construction and maintenance of pipes, aqueducts and other structures –
Tax exemption. -- The district may within and without the district,
and within the limits of the
town of West Greenwich, and
without the consent of the town, drive, lay, make, construct, and
maintain pipes, aqueducts,
conduits, machinery, or other equipment or appliances, or authorize
the construction and maintenance
to be done, and regulate their use; and may carry any works to
be constructed, or authorized to
be constructed by it, over or under any highway, turnpike,
railroad, or street, in any
manner so as not to permanently obstruct or impede travel; and may
enter upon and dig up any
highway, turnpike, road or street for the purpose of laying down pipes
or building aqueducts, upon or
beneath the surface or for the purpose of repairing the pipes or
aqueducts, and, if in the course
of making, constructing, or repairing, any pipe, conduit, or other
structure lawfully located in a
highway, turnpike, road, or street is damaged, or if the location of
the pipe, conduit, or other
structure is changed, the district shall reimburse the owner of the pipe,
conduit, or other structure for
the damage, or for the expense of the change of location. The
district shall restore the
highway, turnpike, road, or street so dug up, to as good a condition as
before the work was done.
45-48.1-10.
Issuance of bonds and notes. -- For the purpose of raising money to
carry
out the provisions of this chapter,
the district is authorized and empowered to issue bonds and
notes in anticipation of bonds.
Such bonds and notes may be issued hereunder as general
obligations of the district or
as special obligations payable solely from particular funds. Without
limiting the generality of the
foregoing, such bonds and notes may be issued to pay or refund
notes issued in anticipation of
the issuance of bonds, to pay the cost of any acquisition, extension,
enlargement, or improvement of
the water works system, to pay expenses of issuance of the
bonds and the notes, to provide
such reserves for debt service, repairs, and replacements or other
costs or current expenses as may
be required by a trust agreement or resolution securing bonds or
notes of the district, or for
any combination of the foregoing purposes. The bonds of each issue
shall be dated, bear interest at
a rate or rates, and mature at a time or times not exceeding forty
(40) years from their dates of
issue, as may be determined by the officers of the district, and may
be made redeemable before
maturity at a price or prices and under terms and conditions that may
be fixed by the officers of the
district prior to the issue of the bonds. The officers of the district
shall determine the form of the
bonds and notes, including interest coupons, if any, to be attached
to them, and the manner of their
execution, and shall fix the denomination or denominations of
the bonds and notes and the
place or places of payment of the principal and interest, which may
be at any bank or trust company
within or without the state. The bonds shall bear the seal of the
district or a facsimile of the
seal. In case any officer whose signature or a facsimile of whose
signature shall appear on any notes,
bonds or coupons shall cease to be such officer before the
delivery thereof, such signature
or such facsimile shall nevertheless be valid and sufficient for all
purposes as if he/she had
remained in office until after such delivery. The district may also
provide for authentication of
bonds or notes by a trustee or fiscal agent. Bonds may be issued in
bearer or in registered form, or
both, and, if notes, may be made payable to bearer or to order, as
the district may determine, and
provision may be made for the registration of any coupon bonds
as to principal alone and also
as to both principal and interest, for the reconversion into coupon
bonds of bonds registered as to
both principal and interest and for the interchange of bonds
registered as to both principal
and interest and for the interchange of registered and coupon
bonds. The issue of notes shall
be governed by the provisions of this chapter relating to the issue
of bonds in anticipation of
bonds as the same may be applicable. Notes issued in anticipation of
the issuance of bonds including
any renewals, shall mature no later than five (5) years from the
date of the original issue of
such notes. The district may by resolution delegate to any member of
the district or any combination
of them the power to determine any of the matters set forth in this
section including the power to
award such bonds or notes to a purchaser or purchasers at public
sale. The district may sell its
bonds and notes in such manner, either at public or private sale, for
such price, at such rate or
rates of interest, or at such discount in lieu of interest, as it may
determine will best effect the
purposes of this chapter.
The
district may issue interim receipts or temporary bonds, with or without
coupons,
exchangeable for definitive
bonds when such bonds shall have been executed and are available
for delivery. The district may
also provide for the replacement of any bonds which shall have
become mutilated or shall have
been destroyed or lost.
45-48.1-11.
Issuance of notes in anticipation of revenue or receipt of grants or other
aid. -- The district may also provide by resolution for
the issuance from time to time of temporary
notes in anticipation of the
revenues to be collected or received by the district in any year, or in
anticipation of the receipt of
federal, state or local grants or other aid. Notes issued in
anticipation of revenues,
including any renewals thereof, shall mature no later than one (1) year
from their respective dates, and
that notes issued in anticipation of federal, state or local grants or
other aid including any renewals
thereof, shall mature no later than three (3) years from their
respective dates. The issue of such
notes shall be governed by the provisions of this chapter
relating to the issue of bonds
or other notes as the same may be applicable.
45-48.1-12.
Payment of bonds and notes. -- The principal of premium, if any, and
interest on all bonds and notes
issued under the provisions of this chapter, unless otherwise
provided herein, shall be
general obligations of the district or shall be payable solely from the
funds provided therefor from
revenues as herein provided.
In
the discretion of the board, any bonds and notes issued hereunder may be
secured by a
resolution of the board or by a
trust agreement between the district and a corporate trustee, which
may be any trust company or bank
having the powers of a trust company within or without the
state, and such trust agreement
shall be in such form and executed in such manner as may be
determined by the district. Such
trust agreement or resolution may pledge or assign, in whole or
in part, the revenues and other
moneys held or to be received by the district, including the
revenues from any facilities
already existing when the pledge or assignment is made, and any
contract or other rights to
receive the same, whether then existing or thereafter coming into
existence and whether then held
or thereafter acquired by the district, and the proceeds thereof.
Such trust agreement or
resolution may contain such provisions for protecting and enforcing the
rights, security and remedies of
the bondholders or noteholders as may, in the discretion of the
district, be reasonable and
proper and not in violation of law, including, without limiting the
generality of the foregoing,
provisions defining defaults and providing for remedies in the event
thereof which may include the acceleration
of maturities and covenants setting forth the duties of,
and limitations on, the district
in relation to the acquisition, construction, improvement,
enlargement, alteration,
equipping, furnishing, maintenance, use, operation, repair, insurance, and
disposition of the water works
system, or other property of the district, the custody, safeguarding,
investment and application of
moneys, the issue of additional or refunding bonds and notes, the
fixing, revision and collection
of fees, rates, rents, assessments, or other charges, the use of any
surplus bond and note proceeds,
the establishment of reserves, and the making and amending of
contracts.
In
the discretion of the board, any bonds or notes issued under authority of this
chapter,
may be issued by the district in
the form of lines of credit, loans, or other banking arrangements
and under such terms and
conditions, not inconsistent with this chapter, and under such
agreements with the purchasers
or makers thereof, as the board may determine to be in the best
interest of the district. In
addition to other security provided herein or otherwise by law, bonds or
notes issued by the district
under any provision of this chapter may be secured, in whole or in
part, by insurance or letters or
lines of credit or other credit facilities, and the district may pledge
or assign any of its revenues as
security for the reimbursement by the district to the issuers of
such insurance, letters or lines
of credit or other credit facilities of any payments made under the
insurance or letters or lines of
credit or other credit facilities.
It
shall be lawful for any bank or trust company to act as a depository or trustee
of the
proceeds of bonds, notes,
revenues, or other moneys under any such trust agreement or resolution
and to furnish such
indemnification or to pledge such securities and issue such letters of credit
as
may be required by the district.
Any pledge of revenues or other property made by the district
under this chapter shall be
valid and binding and shall be deemed continuously perfected from the
time when the pledge is made;
the revenues, moneys, rights and proceeds so pledged and then
held or thereafter acquired or
received by the district shall immediately be subject to the lien of
such pledge without any physical
delivery or segregation thereof or further act; and the lien of
any such pledge shall be valid
and binding against all parties having claims of any kind in tort,
contract or otherwise against the
district, irrespective of whether such parties have notice thereof.
Neither the resolution, any
trust agreement nor any other agreement by which a pledge is created
need be filed or recorded except
in the records of the district.
Any
holder of a bond or note issued by the district under the provisions of this
chapter or
of any of the coupons
appertaining thereto and any trustee under a trust agreement or resolution
securing the same, except to the
extent the rights herein given may be restricted by such trust
agreement or resolution securing
the same, may bring suit upon the bonds or notes or coupons
and may, either at law or in
equity, by suit, action, mandamus or other proceedings for legal or
equitable relief, including
proceeding for the appointment of a receiver to take possession and
control of the business and
properties of the district, too operate and maintain the same, to make
any necessary repairs, renewals
and replacements in respect thereof and to fix, revise and collect
fees and charges, protect and
enforce any and all rights under such trust agreement, resolution or
other agreement, and may enforce
and compel the performance of all duties required by this act
or by such trust agreement or
resolution to be performed by the district or by any officer thereof.
45-48.1-13.
Refunding bonds and notes. -- The district may issue refunding bonds
and
notes for the purpose of paying
any of its bonds or notes at maturity or upon acceleration or
redemption. Refunding bonds and
notes may be issued at such time prior to the maturity or
redemption of the refunded bonds
or notes as the district deems to be in the public interest.
Refunding bonds and notes may be
issued in sufficient amounts to pay or provide the principal of
the bonds or notes being
refunded, together with any redemption premium thereon, any interest
accrued or to accrue to the date
of payment of such bonds or notes, the expenses of issue of
refunding bonds or notes, the
expenses of redeeming bonds or notes being refunded and such
reserves for debt service or
other capital or current expenses from the proceeds of such refunding
bonds or notes as may be
required by a trust agreement or resolution securing bonds or notes.
The issue of refunding bonds or
notes, the maturities and other details thereof, the security
therefor, the rights of the
holders thereof, and the rights, duties and obligations of the district in
respect of the same shall be
governed by the provisions of this chapter relating to the issue of
bonds or notes other than
refunding bonds or notes insofar as the same may be applicable.
45-48.1-14.
Defeasance of bonds or notes. -- The district may at any time
deposit with a
trustee, a sum sufficient, with
amounts then on deposit, including the debt service reserve fund, to
purchase direct or guaranteed
obligations of the United States of America which are adequate to
pay the entire principal amount
of the bonds or notes of a series, together with the interest to
maturity, or to an applicable
redemption date specified by the district to the trustee and any
applicable redemption premium;
or the district may deposit direct or guaranteed obligations of the
United States of America in lieu
of money for their purchase. The obligations are deemed
adequate if the principal and
interest payable on them are sufficient to pay the previously
mentioned sums when due. Upon
any deposit of money and a request by the district, the trustee
shall purchase direct or
guaranteed obligations of the United States of America. When adequate
direct or guaranteed obligations
of the United States of America are held by the trustee pursuant
to this section, the bond
resolution or indenture shall cease to be in effect with respect to such
series of bonds or notes. The
obligations and their proceeds shall be held in trust for the benefit
of the bondholders or
noteholders, and the trustee shall, on behalf of the district, call bonds or
notes for redemption on the
applicable redemption date. Any compensation or expenses of the
trustee in carrying out this
section shall be paid by the district, and any surplus funds held by the
trustee under this section shall
be remitted by the trustee to the district.
45-48.1-15.
Credit of state and municipality not pledged. -- Bonds, notes and
other
evidences of indebtedness issued
or entered into under the provisions of this chapter shall not be
deemed to be a debt or a pledge
of the faith and credit of the state or of any city or town, but shall
be payable solely from the
revenues of the district. All bonds, notes and other evidences of
indebtedness, shall contain on
the face thereof a statement to the effect that neither the state nor
any city or town shall be
obligated to pay the same and that neither the faith and credit nor the
taxing power of the state or of
any city or town is pledged to the payment of the principal of or
interest on such bonds or notes.
Each bond or note shall also recite whether it is a general
obligation of the district or a
special obligation thereof payable solely from particular funds
pledged to its payment.
45-48.1-16.
Moneys received deemed to be trust funds. -- All moneys received
pursuant to the provisions of
this chapter, whether as proceeds from the issue of bonds or notes or
as revenues or otherwise, shall
be deemed to be trust funds to be held and applied solely as
provided in this chapter.
45-48.1-17.
Bonds eligible for investment. -- Bonds and notes issued under the
provisions of this chapter are
hereby made securities in which all public officers and public
bodies of the state and its
political subdivisions, all insurance companies, trust companies in their
commercial departments, savings
banks, co-operative banks, banking associations, investment
companies, executors,
administrators, trustees and other fiduciaries may properly and legally
invest funds, including capital
in their control or belonging to them. Such bonds and notes are
hereby made securities which may
properly and legally be deposited with and received by any
state or municipal officer or
any agency or political subdivision, of the state for any purpose for
which the deposit of bonds or
obligations of the state is now or may hereafter be authorized by
law.
45-48.1-18.
Bonds and notes issued without consent of other entities. -- Bonds
and
notes may be issued under this
chapter without obtaining the consent of any department, division,
commission, board, bureau or
agency of the state or the town, including the public utilities
commission and the division of
public utilities pursuant to chapters 1 through 5 of title 39 of the
general laws, and without any
other proceedings or the happening of any other conditions or
things than those proceedings,
conditions or things which are specifically required therefor by this
chapter, and the validity of and
security for any bonds and notes issued by the district shall not be
affected by the existence or
nonexistence of any such consent or other proceedings, conditions or
things.
45-48.1-19.
Tax exemption. – Except as may be required by chapter 46-15.3 of the
general laws, the district and
all its revenues, income and real and personal property shall be
exempt from taxation and from
betterments and special assessments and the district shall not be
required to pay any tax, excise
or assessment to or for the state or any of its political subdivisions;
provided, however, that the
district is authorized to enter into agreements to make annual
payments in lieu of taxes with
respect to property of the district located outside the town. Bonds
and notes issued by the district
and their transfer and the income therefrom, including any profit
made on the sale or exchange thereof,
shall at all times be exempt from taxation by the state and
all political subdivisions of
the state. The district shall not be required to pay any transfer tax of
any kind on account of
instruments recorded by it or on its behalf.
45-48.1-20.
Malicious damage – Civil and criminal penalties. -- If any person
maliciously or wantonly destroys
or damages any hydrant, pipe, aqueduct, conduit, machinery,
equipment, appliance, or other property
of the district used for the purposes provided for in this
chapter, that person, whether
principal or accessory, forfeits to the district, to be recovered by an
action of trespass on the case,
treble the amount of damages which appear to have been sustained,
and shall also be liable to
indictment, and, upon conviction, shall be fined not more than one
hundred dollars ($100) or
imprisoned not more than one (1) year, or shall suffer both fine and
imprisonment.
45-48.1-21.
Records – Reports -- Inspection. -- The district shall at all times
keep full
and accurate accounts of its
receipts, expenditures, disbursements, assets and liabilities, which
shall be open to inspection by
any officer or duly appointed agent of the state or the town.
45-48.1-22.
Termination or dissolution of district. -- Upon termination or
dissolution
of the district, the title to
all funds and other properties owned by it which remain after payment
of all bonds and notes and other
obligations of the district shall vest in the town.
45-48.1-23.
Inconsistent laws or ordinances inoperative. -- Except as otherwise
provided herein, any provisions
of any special law and part of any special law and all ordinances
and parts of ordinances
pertaining to the water works system which are inconsistent with the
provisions of this chapter shall
be inoperative and cease to be effective.
45-48.1-24.
Provisions of act controlling. -- The provisions of this chapter
shall be
deemed to provide an exclusive,
additional, alternative and complete method for the doing of the
things authorized hereby and
shall be deemed and construed to be supplemental and additional to,
and not in derogation of, powers
conferred upon the district by law; provided, however, that
insofar as the provisions of
this chapter are inconsistent with the provisions of any general or
special law, administrative
order or regulation, or law of the town, the provisions of this chapter
shall be controlling.
45-48.1-25.
Pledge not to alter rights of district. -- The state does hereby
pledge to and
agree with the holders of the
bonds, notes, and other evidences of indebtedness of the district that
the state will not limit or
alter rights hereby vested in the district until the bonds, notes, or other
evidences of indebtedness,
together with interest thereon, with interest on any unpaid installment
of interest and all costs and
expenses in connection with any actions or proceedings by or on
behalf of the bondholders and noteholders,
are fully met and discharged.
45-48.1-26.
Construction of act. -- This chapter, being necessary for the
welfare of the
district and its inhabitants,
shall be liberally construed to effect the purposes hereof.
45-48.1-27.
Severability. -- This chapter shall be construed in all respects to
meet all
constitutional requirements. In
carrying out the purposes and provisions of this chapter, all steps
shall be taken which are necessary
to meet constitutional or other legal requirements whether or
not these steps are expressly
required by statute. If, after the application of the provisions of this
section, any of the provisions
of this chapter, or its application to any circumstances, shall be held
unconstitutional by any court of
competent jurisdiction, that decision shall not affect or impair the
validity of the application of
those provisions to other circumstances or the validity of any of the
other provisions of this chapter.
SECTION 2. This act shall take effect upon
passage.
=======
LC03424
=======