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(65 ILCS 5/11-124-1) (from Ch. 24, par. 11-124-1)
Sec. 11-124-1. Contracts for supply of water.
(a) The corporate authorities of each municipality may contract
with any person, corporation, municipal corporation, political subdivision,
public water district or any other agency for a supply of water. Any such
contract entered into by a municipality shall provide that payments to be
made thereunder shall be solely from the revenues to be derived from the
operation of the waterworks system of the municipality, and the contract
shall be a continuing valid and binding obligation of the municipality
payable from the revenues derived from the operation of the waterworks
system of the municipality for the period of years, not to exceed 40, as may
be provided in such contract. Any such contract shall not be a debt within the
meaning of any constitutional or statutory limitation. No prior appropriation
shall be required before entering into such a contract and no appropriation
shall be required to authorize payments to be made under the terms of any
such contract notwithstanding any provision in this Code to the contrary.
(b) Payments to be made under any such contract shall be an
operation and
maintenance expense of the waterworks system of the municipality. Any such
contract made by a municipality for a supply of water may contain provisions
whereby the municipality is obligated to pay for such supply of water
without setoff or counterclaim and irrespective of whether such supply of
water is ever furnished, made available or delivered to the municipality or
whether any project for the supply of water contemplated by any such
contract is completed, operable or operating and notwithstanding
any suspension, interruption, interference, reduction or curtailment of the
supply of water from such project. Any such contract may provide that if
one or more of the other purchasers of water defaults in the payment of its
obligations under such contract or a similar contract made with the
supplier of the water, one or more of the remaining purchasers party to
such contract or such similar contract shall be required to pay for all or
a portion of the obligations of the defaulting purchasers.
(c) Payments to
be made under any such contract with a municipal joint action water
agency under the Intergovernmental Cooperation Act shall be an operation and
maintenance expense of the waterworks system of the municipality. Any such
contract made by a municipality for a supply of water with a municipal
joint action water agency under the provisions of the Intergovernmental
Cooperation Act may contain provisions
whereby the municipality is obligated to pay for such supply of water
without setoff or counterclaim and irrespective of whether such supply of
water is ever furnished, made available or delivered to the municipality or
whether any project for the supply of water contemplated by any such
contract is completed, operable or operating and notwithstanding
any suspension, interruption, interference, reduction or curtailment of the
supply of water from such project. Any such contract with a municipal
joint action water agency may provide that if
one or more of the other purchasers of water defaults in the payment of its
obligations under such contract or a similar contract made with the
supplier of the water, one or more of the remaining purchasers party to
such contract or such similar contract shall be required to pay for all or
a portion of the obligations of the defaulting purchasers.
The changes in this Section made by these amendatory Acts of 1984 are
intended to be declarative of existing law.
(d) A municipality with a water supply contract with a county
water commission organized pursuant to the Water Commission Act of 1985
shall provide water to unincorporated areas of that home county in accordance
with the terms of this subsection. The provision of water by the municipality
shall be in accordance with a mandate of the home county as provided
in Section 0.01 of the Water Commission Act of 1985.
A home rule unit may not provide water
in a manner that is inconsistent with the provisions of this
amendatory Act of the 93rd General Assembly. This subsection is a limitation
under subsection (i) of Section 6 of Article VII of the Illinois Constitution
on the concurrent exercise by home rule units of powers and functions exercised
by the State.
(Source: P.A. 95-331, eff. 8-21-07.)
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