65 ILCS 5/11-135-5
2021 Illinois Compiled Statutes|Chapter 65 - MUNICIPALITIES|65 ILCS 5/ - Illinois Municipal Code.|Article 11 - Corporate Powers and Functions

 (from Ch. 24, par. 11-135-5)Sec. 11-135-5.         Whenever bonds are issued under this Division 135 the  revenue received from the operation of the properties under the control  of the commission shall be set aside as collected and deposited in a  separate fund to be used only (1) in paying the cost of the operation  and maintenance of those properties, (2) in providing an adequate  depreciation fund, (3) in paying the principal of and interest upon the  revenue bonds issued by the commission, as provided by this Division  135, (4) to comply with the covenants of the ordinance or resolution authorizing  the issuance of such bonds, and (5) to carry out the corporate purposes  and powers of the commission.In case the commission has charge of the operation of a complete  waterworks system, including the distribution mains, the commission  shall establish rates and charges for water which shall be sufficient at  all times to pay the cost of operation and maintenance, to provide an adequate  depreciation fund, to pay the principal of and interest upon all  revenue bonds issued as provided by this Division 135, to comply with  the covenants of the ordinance or resolution authorizing the issuance of  such bonds, and to carry out the corporate purposes and powers of the commission.  Charges and rates shall be established, revised, and maintained by ordinance  and become payable as the commission may determine by ordinance.In case the commission has charge of the operation of a common source of  supply of water, the municipalities represented by the commission shall  contract with the commission for water.  These municipalities shall establish  such charges and rates for water supplied by them to consumers as will be  sufficient at all times (1) to pay the cost of operation and maintenance  of the respective waterworks systems (or waterworks and sewerage systems,  where combined) of the municipalities, (2) to provide an adequate depreciation  fund therefor, (3) to pay the principal of and interest on all  revenue bonds of the municipalities payable from the revenues of the waterworks  system (or combined waterworks and sewerage system), and (4) to pay the  charges and rates established by the commission for the sale of water by  the commission to those municipalities. The commission shall  establish such charges and rates for water supplied to those municipalities  as will be sufficient at all times (1) to pay the cost of operation and  maintenance of the common source of supply of water, (2) to provide an adequate  depreciation fund therefor, (3) to  pay the principal of and interest on the revenue bonds issued by the  commission, (4) to comply with the covenants of the ordinance or resolution  authorizing the issuance of such bonds, and (5) to carry out the corporate  purposes and powers of the commission, under the provisions of this Division  135.  Contracts  entered into between the commission and the specified municipalities shall  include covenants for the establishment of rates and charges as  provided in this section.Municipality contributions to the Illinois Municipal Retirement Fund,  by commissions created under this Division 135 which have been included  under that Fund, shall be considered a cost of operation and maintenance  for the purposes of this Section.Any holder of a bond or of any of its coupons, issued under this  Division 135, in any civil action, mandamus, or other proceeding, may  enforce and compel performance of all duties required by this Division  135 to be performed by such a commission or by any of the  municipalities, including the making of rates and charges, the  collecting of sufficient revenue, and the application thereof, as  provided in this Division 135.All contracts for the construction of a waterworks system or of a  common source of supply of water, or both, to be let by such a  commission, shall be entered into only after advertising for bids,  pursuant to a resolution to be adopted for that purpose by the  commission.  A notice inviting bids shall be published in a newspaper  published and having a general circulation in the county or counties in  which the municipalities represented by the commission are located, not  more than 30 nor less than 15 days in advance of the receipt of the  bids.  The notice shall be published at least twice.  In the resolution  directing the advertising for bids the commission also shall establish  all requirements necessary for the bidding, for the awarding of  contracts, and for the approval of contractors' faithful performance  bonds.    (Source: P.A. 82-641.)