If the three-mile area referred to in § 50.48 is extended as a result of annexation, consolidation, or incorporation after July 1, 1989, and the municipality elects to provide service to any person receiving service from a rural water system residing within the newly extended three-mile area, the municipality shall purchase the facilities of the rural water system which were required and used to provide service to such person. The purchase price shall be determined pursuant to § 50.47. The provisions of § 50.46 are applicable to all persons seeking water service in the newly extended area from and after the effective date of such extension.
(SDCL § 9-47-25)
§ 50.50 ELECTION TO PROVIDE SERVICE TO THOSE OUTSIDE THREE-MILE AREA.
If a municipality elects to provide water service to any person being served by a rural water system and located more than three miles from the municipal boundaries, the municipality shall purchase the facilities of the rural water system which were required and used to provide service to such person. The purchase price shall be determined pursuant to § 50.47.
(SDCL § 9-47-26)