City sewer and water franchise authorized.

Notwithstanding section 364.2, subsection 4 , paragraph “a” , for the purposes of obtaining or qualifying for federal funding, a city may grant a franchise to a rural water district incorporated under this chapter or chapter 504 , for a term of not more than forty years. In addition to the franchises listed in section 364.2, subsection 4 , paragraph “a” , a city may grant a franchise to a rural water district incorporated under this chapter or chapter 504 , to erect, maintain, and operate plants and systems for sewer services. All provisions of section 364.2 shall otherwise apply to a franchise granted to a rural water district. 94 Acts, ch 1137, §1 ; 2004 Acts, ch 1049, §191 ; 2004 Acts, ch 1175, §393 Referred to in §364.2