SECTION 10.11.  SALES OF WATER, SEWER AND ANY OTHER SERVICES.
   (a)   The City Council shall have the power and authority to sell and distribute water, and to sell and provide sewer and any other service to any person, firm or corporation outside the limits of the City of Freeport, and to permit them to connect with said system under contract with the City, under such terms and conditions as may appear to be for the best interests of the City; provided the charges fixed for such services outside the City limits shall be reasonable when considered in the light of all circumstances to be determined by the City Council.
   (b)   The City Council shall have the power and authority to prescribe the kind of water or sewer pipes used within or beyond the limits of the City of Freeport where it furnishes the service, and to inspect the same and require them to be kept in good order and condition at all times and to make such rules and regulations as shall be necessary and proper, and prescribe penalties for noncompliance with same.