Section 9-635 - Contracts to buy and sell services. - Maryland Statutes

§ 9-635. Contracts to buy and sell services.
 

(a)  Definitions.-  

(1) In this section the following words have the meanings indicated. 

(2) (i) "Contracting party" means the other party to a contract made by a district under this section. 

(ii) "Contracting party" includes: 

1. A person; 

2. A county of this State or any other state; 

3. A municipal corporation of this State or any other state; 

4. This State or any other state; 

5. The United States; 

6. Any instrumentality of this State, any other state, or the United States; and 

7. Another district of this State or any other state. 

(3) "Contracting party's system" means any of the following systems owned or operated by a contracting party: 

(i) A sewerage system. 

(ii) A solid waste acceptance facility. 

(iii) A solid waste disposal system. 

(iv) A water system. 

(b)  Permitted contracts.- If its sanitary commission approves, a district may make a contract with a contracting party: 

(1) To buy services from the contracting party's system; 

(2) To use the facilities of the contracting party's system; or 

(3) To allow a contracting party or its customers to use the services or facilities of the district. 

(c)  Terms of contract.- Any contract made under this section: 

(1) Shall require that the fees, rates, or charges collected under the contract be sufficient to pay the obligations of the contracting party; and 

(2) May allow a contracting party to collect from its customers the fees, rates, or charges due under the contract. 

(d)  Protection of bondholders.- A contract made under this section is for the benefit of holders of the district's bonds. 
 

[An. Code 1957, art. 43, § 650; 1982, ch. 240, § 2; 1985, ch. 327.]