17-901 Utilities; service; contracts for sale; when authorized. - Nebraska Statutes

17-901. Utilities; service; contracts for sale; when authorized.Any city of the second class or village is hereby authorized and empowered to enter into a contract for the furnishing of electricity, power, steam or other product of any system or plant, owned and operated by such city or village, to any person or corporation, if the furnishing of such electricity, power, steam or other product shall not interfere with the proper purposes for which the lighting, heating, waterworks or other plant of such city or village was intended. SourceLaws 1907, c. 19, § 1, p. 132; R.S.1913, § 5142; Laws 1917, c. 104, § 1, p. 275; Laws 1919, c. 49, § 1, p. 142; C.S.1922, § 4317; C.S.1929, § 17-508; R.S.1943, § 17-901.AnnotationsWhere village without authority makes a contract with power company to furnish electric current to village and its people by ordinance, at a definite rate for twenty-five years, and thereafter the Legislature empowered it to make such contracts, the company is estopped to claim the contracts were ultra vires when made. Village of Davenport v. Meyer Hydro-Electric Power Co., 110 Neb. 367, 193 N.W. 719 (1923).Where city without statutory authority makes contract with power company for electric current for a definite time and rate, and thereafter Legislature empowers it to make such contracts, the power company is estopped to claim such contract is ultra vires, and will be compelled to complete it. Central Power Co. v. Central City, 282 F. 998 (8th Cir. 1922).