§ 139-49. Borrowing by local units for anticipated water supplies.
§139‑49. Borrowing by local units for anticipated water supplies.
(a) Any local unit mayissue bonds or other obligations in the manner provided by this section (andmay appropriate and expend funds derived therefrom) for the purpose offinancing all or any part of the cost of providing storage capacity foranticipated future or present water supply needs, in conjunction with anywatershed improvement work or project.
(b) Any two or morelocal units, each situated in whole or in part in the basin of the same riverin which a watershed improvement work or project is located, may issue bonds orother obligations for the purpose stated in subsection (a) of this section insuch amounts as constitute their proportionate parts, respectively, of theestimated cost of such a work or project. The governing bodies of said localunits shall jointly determine and agree upon the proportionate part of theestimated cost which each local unit is to bear, taking into consideration thetaxable resources of each local unit and such other economic and beneficialfactors as deemed pertinent and advisable, and such determination shall berecorded in the minutes of each such body.
(c) Such bonds or otherobligations of counties shall be issued pursuant to the Local Government FinanceAct, Chapter 159 of the General Statutes: Provided, the amount thereof shallconstitute a deduction from the gross debt under G.S. 159‑55(a)(2): Provided, further, the provisions of G.S. 159‑65(2) shall not apply tosuch bonds.
(d) Such bonds or otherobligations of municipalities shall be issued pursuant to the Local GovernmentFinance Act, Chapter 159 of the General Statutes, and the amount thereof shallconstitute a deduction from the gross debt under G.S. 159‑55(a)(2): Provided, such bonds may not be consolidated with bonds authorized by anotherordinance as provided in G.S. 159‑65(2).
(e) Notwithstanding anyother provisions of law, the Local Government Commission may sell any bonds orother obligations issued pursuant to this section to the United States ofAmerica, or any agency thereof, at private sale and without advertisement. Thefirst installment of principal of bonds or other obligations issued under thissection may be made payable not more than 10 years after the date of the bondsor obligations. Accrual of interest may be deferred not more than 10 years. Anysuch bonds or other obligations may contain appropriate provisions which willauthorize the initiation of payments of interest and installments of principalon the bonds on a date not later than 10 years from the date of such bonds orobligations, or on the date when the local unit shall begin to use such localwater supplies, whichever date shall occur first. The date on which such use oflocal water supplies begins shall be determined by the governing body of thelocal unit issuing such bonds or other obligations, which determination shallbe binding and conclusive.
(f) If the bonds orother obligations of one or more local units which have agreed upon theirproportionate part of the estimated cost, as provided for in subsection (b) ofthis section, are required by the laws or the Constitution to be submitted tothe voters of such local unit at an election and a majority of said votersvoting in said election vote against the issuance of such bonds, the bonds orother obligations of any other local unit which have been duly authorized maybe issued in whole or in part only when a sufficient number of local units haveagreed upon their proportionate part as provided in subsection (b) of thissection and have duly authorized their bonds or obligations so that the fullamount of such estimated cost may be paid.
(g) As used in thissection the following terms have the following meanings:
"Local unit" meansany county or municipality.
"Local watersupplies" include any municipal or county water supplies, whether or notthe purposes served by a particular storage facility financed under thissection initially include service to domestic or any other water supplycustomers.
"Costs" include the costof water storage capacity in a structure or facility (or other equivalent costsfor water supply purposes) and the cost of facilities for release or withdrawalof water stored for water supply purposes, as well as other installation costsof a structure or facility including costs of real and personal property,easements, options, or other interests in real property, and water rights,engineering and inspection fees, contract administration costs, and costs ofconveyance facilities for local water supplies. (1967, c. 987, s. 4; 1993, c.391, ss. 23, 33(a), (b).)