§ 51.001  FUNDING AND OPERATION.
   (A)   The city owns and operates the City Water Department through the Board of Public Works and the Manager of the Board of Public Works.
   (B)   The City Council, for the purpose of purchasing, construction and maintaining waterworks, mains or any portions of extensions of waterworks or water supply, may borrow money or issue bonds, as provided by the laws of the state, including, but not limited to, Neb. RS 17-534, as amended or superseded, and the city may levy and collect a general tax, in the same manner as other municipal taxes are levied and collected, in an amount sufficient to pay the interest and principal of the bonds, as the same mature, upon the assessed value of all the taxable property within the city, except intangible property, as shown upon the assessment rolls, in addition to the sum authorized to be levied under Neb. RS 17-506, as amended or superseded. All taxes raised by a levy shall be retained in a fund known as the Water Fund, and shall, at all times, remain in the custody of the City Treasurer.
   (C)   In lieu of the issuance of general obligation bonds, or the levying of taxes upon property, as by law provided, the city may construct, purchase or otherwise acquire a waterworks plant or a water system, either within or without the corporate limits of the city, and real and personal property needed or useful in connection therewith, and pay the cost thereof by pledging and hypothecating the revenue and earnings of any waterworks plant or water system owned or to be owned by the city, and may issue and sell revenue bonds or debentures, the revenue bonds or debentures to be a lien only upon the waterworks plant or water system, and enter into the contracts in connection therewith as may be proper and necessary; provided that, the city shall not hypothecate the revenue and earnings of any waterworks plant or water system, nor issue revenue bonds or debentures, as herein authorized, until the proposition relating thereto has been submitted to and approved by the qualified voters of the city as provided by the laws of the state, including, but not limited to, Neb. RS 17-905, for a vote of the electors, however, shall not apply when the city seeks to pledge or hypothecate the revenues and earnings of any waterworks plant or water system owned or be to owned by the city, or issue revenue bonds or debentures, solely for the maintenance, extension or enlargement of any waterworks plant or water system owned by the city.
   (D)   Pursuant to Neb. RS 18-1803, as amended or superseded, the city shall have the power to issue revenue bonds for the purpose of acquiring, constructing, reconstructing, improving, extending, equipping or operating any city water facility, within or without its corporate limits, and for any purpose necessary or incidental to any of the foregoing and for the purpose of refunding any bonds and for the purpose of refunding any general obligation bonds of the city issued to construct part or all of the city water facilities, including refunding any general obligation bonds which may have been issued to refund any bonds issued to construct part or all of the city water facilities. General provisions relating to the form, sale, issuance and other matters concerning revenue bonds issued pursuant to Neb. RS 18-1803, as amended or superseded, shall be as provided by the laws of the state, including, but not limited to, Neb. RS 18-1804, amended or superseded. Any ordinance authorizing revenue bonds issued pursuant to Neb. RS 18-1803, may contain the covenants and provisions to protect and safeguard the security of the holders of the bonds as shall be deemed necessary to assure the prompt payment of the principal thereof and the interest thereon. The covenants and provisions may establish or provide for, but shall not be limited to, the payment of interest on the bonds from the proceeds thereof for the period as the City Council deems advisable, the creation of reserve funds from bond proceeds, revenue from the facility for or with respect to which the bonds were issued; the operation, maintenance, management, accounting and auditing procedures to be followed in the operation of the facility; and the conditions under which any trustee or bondholders committee shall be entitled to the appointment of a receiver to take possession of the facility, to manage it, and receive and apply revenue from the facility. Whenever, pursuant to Neb. RS 18-1803, as amended or superseded, the City Council shall have issued any revenue bonds, the City Council shall establish, maintain, revise and collect charges and rates, throughout the life of the bonds, at least sufficient to provide for all costs associated with the ownership, operation, maintenance, renewal and replacement of the facility for or with respect to which the bonds were issued, the payment of the principal and interest on all indebtedness incurred with respect thereto and to provide adequate reserves therefore, to maintain the coverage for the payment of the indebtedness as the City Council may deem advisable, to maintain other reserves as provided in the ordinances authorizing the issuance of the bonds and to carry out the provisions of the ordinances.
   (E)   The City Council for the purpose of paying for extensions and improvements of any public utilities consisting of a waterworks plant, water system, sanitary sewer system, gas plant, gas system, electric light and power plant or electric distribution system, may, as provided by the laws of the state, including, but not limited to, Neb. RS 19-1305 through 19-1307, as amended or superseded, issue and sell combined revenue bonds, securing the payment thereof by pledging and hypothecating the revenue and earnings of any two or more of the public utilities, and may enter into the contracts in connection therewith as may be necessary or proper.
   (F)   The City Council, for the purpose of paying the expense of maintaining a system of hydrants in connection with the water plant and pumping and supplying through them water for public purposes, is authorized and empowered to provide a fund, upon the presentation to the City Council of a petition signed by 60% of the legal voters of the city, in addition to the General Fund of the city, by making a levy, at the time authorized by law, not exceeding the maximum limits therefor as prescribed by state law upon the assessed value of all the taxable property of the city, except intangible property, as provided by the laws of the state, including, but not limited to, Neb. RS 17-545 and 17-546, as amended or superseded.
   (G)   The expense of erecting, locating and constructing reservoirs and hydrants for the purpose of fire protection, and the expense of constructing and laying water mains, pipes or the parts thereof as may be just and lawful, may be assessed upon and collected from the property and real estate especially benefitted thereby, if any, in such manner as may be provided for the making of special assessments for other public improvements in the city.
   (H)   The city shall have the right and power to tax, assess and collect from the inhabitants thereof the tax, rent or rates for the use and benefit of water used or supplied to them by the waterworks, mains, portion or extension of any system of waterworks or water supply as the City Council shall deem just or expedient.
   (I)   The City Water Department shall be under the complete control, charge and management of the Board of Public Works. The Board of Public Works shall have the power to operate the City Water Department and to exercise all powers conferred by law upon the city for the operation and government of the Department to the same extent, in the same manner and under the same restrictions as the City Council could do, except, however, the Board of Public Works shall not make any expenditure or contract any indebtedness, other than for ordinary running expenses, exceeding in amount $20,000, without first obtaining the approval of the City Council. The Manager of the Board of Public Works shall have the immediate supervision and control over the City Water Department and shall be primarily responsible for the economic management and prudent operation thereof. No money shall be expended for improvements, repairs or extensions of the city waterworks system, except upon recommendation of the Manager of the Board of Public Works. All contracts for the construction of a system of waterworks, water mains or extensions of any system of waterworks or water supply owned by the city, or any portion thereof, shall be let to the lowest responsible bidder therefore, and upon not less than 20 days published notice of the terms and conditions upon which the contract is to be let having been given by publication in a newspaper published in the city, and if no newspaper is published therein, then in some newspaper published in the county; provided, in all cases, the City Council shall have the right to reject any and all bids that may not be satisfactory to them.
   (J)   Before any project is advertised for bids or approved for construction, the plans and specifications shall first be approved by the Board of Public Works, as well as any appropriate state agencies.
(Prior Code, § 3-701)  (Ord. 13-02, passed 9-9-2002)
Statutory reference:
   Related provisions, see Neb. RS 17-531, 17-533, 17-534, 17-538, 17-539, 17-541, 17-543, 17-545, 17-546, 17-802, 17-905, 18-1803 through 18-1805, 19-1305 through 19-1307