65 ILCS 5/11-136-5
2021 Illinois Compiled Statutes|Chapter 65 - MUNICIPALITIES|65 ILCS 5/ - Illinois Municipal Code.|Article 11 - Corporate Powers and Functions

 (from Ch. 24, par. 11-136-5)Sec. 11-136-5.         Whenever bonds are issued under this Division 136 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, and (3) in paying the principal of and interest upon  the revenue bonds issued by the commission, as provided by this Division  136.In case the commission has charge of the operation of a complete  waterworks system or sewer system including the distribution mains, the  commission shall establish rates and charges for water or sewer service  or both which shall be sufficient at all times to pay the cost of  operation and maintenance, to provide an adequate depreciation fund, and  to pay the principal of and interest upon all revenue bonds issued as  provided by this Division 136.  The rates for water and sewer service  need not be the same nor do rates for the same type of service have to  be identical in the several municipalities constituting the commission  but shall be equitably based upon the net plant account and the expenses  of operation in each municipality.  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 sources of  supply of water, the municipalities specified in Section 11-136-1  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 of the municipalities, (2) to provide an adequate  depreciation fund therefor, and (3) to pay the charges and rates  established by the commission for the sale of water by the commission to  those municipalities, and 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, and (3) to pay the principal of and interest  on the revenue bonds issued by the commission, under the provisions of  this Division 136.  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 136 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 136, in any civil action, mandamus, or other proceedings, may  enforce and compel performance of all duties required by this Division  136 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 136.All contracts for the construction of a waterworks system or sources  of supply of water, or sewer systems, or any combination thereof, 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. 80-425.)