(A) It is hereby determined to be desirable and necessary, for the public health, safety and welfare of the village, that the water supply system of the village be operated on a public utility rate basis.
(B) Definitions.
(1) Whenever the words THE SYSTEM are referred to in this section, they shall be understood to mean the complete water supply system of the village, including all water mains, pumps, wells, storage tanks, valves, hydrants, treatment facilities, and all other facilities used or useful in collection, treatment and distribution, including appurtenances thereto and including extensions and improvements thereto which may hereafter be acquired.
(2) Whenever the words REVENUES and NET REVENUES are used in this section, they
shall be understood to have the meanings as defined in Public Act 94 of 1933, being M.C.L.A. §§141.103 et seq., as amended.
(C) The operation, maintenance, alteration, repair and management of the system shall be under the supervision and control of the Village Council. The Village Council may employ such person or persons in such capacity or capacities as it deems advisable to carry on the efficient management and operation of the system and may make such rules, orders and regulations as it deems advisable and necessary to assure the efficient management and operation of the system.
(D) Rates to be charged for service furnished by the system shall be as follows:
(1) Establishment of water rates. The rates for water service charges are to be established by resolution of the Village Council, and may be established separately from time to time as necessary to ensure sufficiency of revenues in meeting the expenses of the water system. Rates need not be uniform for separate water supply districts.
(2) Special rates. For miscellaneous or special services for which a special rate shall be established, such rates shall be fixed by the Village Council.
(3) Billing. Bills will be rendered quarterly at the same time as the village sewer billings and shall bear the same payment and penalty provisions as the sewer bills.
(4) Enforcement.
(a) The charges for services which are under the provisions of Public Act 94 of 1933, § 21, being M.C.L.A. § 141.121, as amended, are made a lien on all premises served thereby, unless notice is given that a tenant is responsible, are hereby recognized to constitute such lien, and whenever any such charge against any parcel of property shall be delinquent for six months, the village official or officials in charge of the collection thereof shall certify annually, on March 1 of each year, to the tax assessing officer of the village the facts of such delinquency whereupon such charge shall be by him or her entered upon the next tax roll as a charge against such premises and shall be collected and the lien thereof enforced in the manner as general village taxes against such premises are collected and the lien thereof enforced. Where notice is given that a tenant is responsible for such charges and the service as provided by M.C.L.A. § 141.121, no further service shall be rendered to such premises until a cash deposit shall have been made as security for payment of such charges and service.
(b) In addition to the foregoing, the village shall have the right to shut off water service to any premises for which charges for water service are more than three months delinquent, and such service shall not be reestablished until all delinquent charges and penalties and a turn-on charge, to be specified by the Village Council, have been paid. Further, such charges and penalties may be recovered by the village by court action.
(E) No free service shall be furnished by the system to any person, firm or corporation, or other legal entity, public or private, or to any public agency or instrumentality.
(F) The rates hereby fixed shall be estimated to be sufficient to provide for the payment of the expenses of administration and operation, such expenses for maintenance of the system as are necessary to preserve the same in good repair and working order, to provide for the payment of bonds of the village issued to improve the system, and to provide for such other expenditures and funds for the system as this section may require. Such rates shall be fixed and revised from time to time as may be necessary to produce these amounts.
(G) The system shall be operated on the basis of a fiscal year corresponding with that of the village sewer system.
(H) The revenues of the system shall be set aside and collected and deposited in a separate depository account in a designated bank duly qualified to do business in Michigan, in an account to be designated Water System Receiving Fund (hereinafter, for brevity, referred to as the Receiving Fund), and the revenues so deposited shall be managed in a manner as deemed by the Village Council to be appropriate and in the best interest of the system.
(I) Moneys in any fund or account established by the provisions of this section may be invested in obligations of the United States of America, in the manner and subject to the limitations provided in Public Act 94 of 1933, being M.C.L.A. §§ 141.101 et seq., as amended. In the event such investments are made, the securities representing the same shall be kept on deposit with the bank or trust company having on deposit the fund or funds from which such purchase was made. Income received from such investments shall be credited to the fund from which the investments were made.
(Ord. passed 3-12-07)