Rates For Service

Sec. 1501.006. RATES FOR SERVICE. (a) The governing body of a municipality that issues bonds under this subchapter shall establish rates for sewer service in amounts sufficient to: (1) pay: (A) maintenance and operation expenses; (B) the bonds as they are scheduled to mature; and (C) interest on the bonds as it accrues; and (2) establish and maintain any fund provided in the ordinance authorizing the bonds. (b) Notwithstanding Subsection (a), the municipality may not, during the term of a contract for sewer service, increase the amount of the consideration for that service specified in the contract except: (1) as the contract provides; or (2) as the parties to the contract agree. Added by Acts 1999, 76th Leg., ch. 227, Sec. 1, eff. Sept. 1, 1999.