MISSISSIPPI LEGISLATURE

1997 Regular Session

To: Local and Private Legislation; Public Utilities

By: Representative Holden

AN ACT TO AUTHORIZE THE GOVERNING AUTHORITIES OF THE CITY OF GRENADA IN GRENADA COUNTY, MISSISSIPPI, TO EXPAND ITS WATER AND SEWER SYSTEM WITHIN A CERTAIN DISTANCE OUTSIDE THE CORPORATE LIMITS OF THE CITY OF GRENADA AND TO ACQUIRE THE ASSETS OF ANY EXISTING WATER AND SEWER SYSTEM OPERATING IN SUCH AREA; AND FOR RELATED PURPOSES. 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. (1) Notwithstanding any provisions of Section 21-27-39, Mississippi Code of 1972, to the contrary, the governing authorities of the City of Grenada in Grenada County, Mississippi, in their discretion, may construct, expand, operate and maintain the water and sewer system of the City of Grenada for a distance not to exceed twenty-five (25) miles from the corporate limits of the City of Grenada, whether such area is within or without Grenada County, Mississippi. However, except for any proposed purchase and agreement existing on the effective date of House Bill No. 1832, 1997 Regular Session, between the City of Grenada and the Grenada County Board of Supervisors to purchase the Grenada County Water and Sewer District (Bogue Basin), if the area is outside Grenada County, Mississippi, the board of supervisors or governing authorities, or both, of the affected governmental entity must consent to such construction or expansion, or both, in order for such action to occur within the affected jurisdiction. Whenever such water and sewer service is furnished to any consumer residing outside the corporate limits of the City of Grenada, the consumer may not be charged at a rate greater than twice the rate charged for the same service within the corporate limits of the City of Grenada.

(2) In connection with the construction, expansion, operation and maintenance of its water and sewer system within the area authorized under subsection (1), the City of Grenada may acquire by agreement all or a portion of the assets of any utility district or other entity or organization operating a water and sewer system within such area, and the utility district, entity or organization may sell all or any portion of its facilities and assets to the City of Grenada to the extent such transaction is consistent with the outstanding obligations, covenants and agreements of the utility district, entity or organization. To accomplish such acquisition, the governing authorities of the City of Grenada may issue bonds pursuant to Sections 21-27-11 through 21-27-69, Mississippi Code of 1972, or may assume all or any of the outstanding indebtedness of such utility district, entity or organization.

(3) The authority conferred by this act shall not be construed as an exemption from the provisions of Section 77-3-1 et seq., Mississippi Code of 1972, as to the requirements for obtaining a Certificate of Public Convenience and Necessity, the jurisdiction of the Public Service Commission to regulate rates or any other provisions of that law.

SECTION 2. This act shall take effect and be in force from and after its passage.