(a) It is the policy of the State to authorize each county and municipality to displace or limit competition in the area of water and sewerage systems to: (1) assure delivery of adequate, economical, and efficient water and sewerage services; (2) avoid duplication of water and sewerage facilities; (3) control disease and provide for the public health and safety; (4) prevent environmental degradation; (5) protect natural resources; (6) use the public right-of-way efficiently; and (7) promote the general welfare by providing adequate water and sewerage systems. (b) (1) Notwithstanding any anticompetitive effect, a county or municipality may: (i) grant one or more franchises or enter into contracts for water or sewerage systems on an exclusive or nonexclusive basis; (ii) impose franchise fees; (iii) establish charges and rates applicable to the franchise; and (iv) adopt rules, regulations, and licensing requirements for the operation of the franchise. (2) If another law grants a county or municipality the authority to operate water and sewerage systems, the county or municipality shall operate the systems without regard to any anticompetitive effect.
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