Utah Code § 73-10d-6

more than 10 years after project begins operation.
(1) If a municipality or county issues bonds to finance the cost of a privatization project and the
bonds mature more than 10 years after the privatization project begins operation, the political
subdivision contracting with a private owner/operator for the services of the privatization project
shall assure that the minimum level of services under contract, payment for the services, and
the supply of drinking water, water, or wastewater required in connection with the provision
of those services will be sufficient to generate enough income, after payment of operating
expenses, to fund reserves for repair and replacement, and to discharge any other obligation of
the political subdivision to the private owner/operator under any agreement, and together with
all other sources of revenue pledged for payment of the bonds, to pay all principal and interest
on the bonds during the term of the bonded indebtedness. The assurance may take the form
of:
(a) long-term agreements, at least equal to the period of the bonded indebtedness, with other
political subdivisions or other persons; or
(b) ordinances, franchises, or other forms of regulation requiring sufficient quantities of drinking
water, water, or wastewater.

(2) The supervising agency shall establish rules for periodic reporting by any political subdivision
that establishes ordinances, franchises, or other forms of regulation under Subsection (1)
and Subsection 73-10d-4(3). The reports shall include information about the services being
provided by the privatization project and whether the charges made for those services together
with all other sources of revenue pledged for the payment of principal and interest on the
bonds, are sufficient to meet the debt service on the bonds.

‹ Prev All Utah sections Next ›

Lexace provides legal information, not legal advice, and no attorney–client relationship is created. Statute text is provided for general information and may not reflect the most recent amendments; verify against the official state code.