§ 1232. General provisions—Article I A. Statement of policy. It is recognized that in certain cases municipalities in New Hampshire and Vermont may, in order to avoid duplication of cost and effort, and in order to take advantage of economies of scale, find it necessary or advisable to enter into agreements whereby joint public water supply facilities are erected and maintained. The states of New Hampshire and Vermont recognize the value of and need for such agreements, and adopt this compact in order to authorize their establishment. B. Requirement of congressional approval. This compact shall not become effective until approved by the U.S. Congress. C. Definitions. 1. “Public water supply facilities” shall mean publicly owned water supply sources, storage, treatment, transmission, and distribution facilities and ancillary facilities regardless of whether or not the same qualify for federal or state construction grants-in-aid. 2. “Municipalities” shall mean cities, towns, village districts, or other incorporated units of local government possessing authority to construct, maintain, and operate public water supply facilities and to raise revenue therefor by bonding and taxation, that may legally impose and collect user charges and impose and enforce regulatory control upon users of public water supply facilities. 3. “Water supply agency” shall mean the agencies within New Hampshire and Vermont possessing regulating authority over the construction, maintenance, and operation of public water supply facilities and the administration of grants-in-aid from their respective state for the construction of such facilities. 4. “Governing body” shall mean the legislative body of the municipality.
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