Code of Alabama
Article 1 - General Provisions.
Section 11-50-5 - Construction, Purchase, Operation, etc., of Waterworks and Water Supply Plants and Systems and Expenditure of Municipal Funds Therefor.

(a) Any municipality in this state may construct, purchase, operate, maintain, enlarge, extend, and improve waterworks plants and systems or any part or parts thereof, whether located within or without or partly within and partly without the corporate limits of such municipality. Such plants and systems may be purchased subject to encumbrances and to contracts to furnish water therefrom, the payment and performance of which may be assumed. Any municipality in this state may furnish and distribute, under contract, water to persons, firms, and corporations in such municipality and to persons, firms, and corporations in the territory surrounding such municipality, whether or not the territory surrounding such municipality is contiguous thereto.
(b) Without limiting the generality of any of the language contained in subsection (a) of this section, any municipality in this state may construct, purchase, operate, maintain, enlarge, extend, and improve water supply plants and systems, whether located wholly within or wholly without or partly within and partly without the corporate limits of such municipality, and may sell and deliver water therefrom to public corporations for ultimate distribution to the inhabitants of such municipality and to the inhabitants of the territory surrounding such municipality, whether or not the territory surrounding such municipality is contiguous thereto.
(c) The construction, purchase, operation, maintenance, enlargement, extension, and improvement of waterworks plants and systems, including water supply plants and systems, and any part or parts of any thereof are hereby declared to be purposes for which any municipality in this state is authorized to expend funds.

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Structure Code of Alabama

Code of Alabama

Title 11 - Counties and Municipal Corporations.

Title 2 - Provisions Applicable to Municipal Corporations Only.

Chapter 50 - Public Utilities.

Article 1 - General Provisions.

Section 11-50-1 - Establishment, Purchase, etc., of Waterworks, Gas or Electric Plants by Municipalities Generally; Contracts for Furnishing of Water, Gas, or Electricity; Regulation of Gas, Electricity, and Water Rates and Quality.

Section 11-50-1.1 - Acquisition of Certain Waterworks Systems Only With Consent of Governing Board of Corporation or Association Operating Same.

Section 11-50-2 - Acquisition of Power Lines and Rights-of-Way, etc., Incident Thereto.

Section 11-50-3 - Sale of Water and Power to Other Municipalities.

Section 11-50-4 - Condemnation of Sources of Water, Watersheds, Rights-of-Way, etc., to Secure Water Supply.

Section 11-50-5 - Construction, Purchase, Operation, etc., of Waterworks and Water Supply Plants and Systems and Expenditure of Municipal Funds Therefor.

Section 11-50-6 - Issuance of Bonds for Payment for Waterworks Plants, etc., Purchased; Security for Bonds; Provision in Purchase Agreement as to Disposition of Revenues From Plants, Etc.

Section 11-50-6.1 - Referendum on Issuing Obligations to Construct Hydroelectric Generating Facility in Class 5 Municipality.

Section 11-50-7 - Provision in Purchase Agreement as to Franchise Right of Purchaser at Foreclosure Sale.

Section 11-50-8 - Execution of Mortgages or Deeds of Trust as Security for Debts, etc., Incurred in Construction, Acquisition, etc., of Waterworks, Electric Lighting, or Power Plants, Etc.

Section 11-50-9 - Terms, Covenants, etc., in Mortgages or Deeds of Trust Generally.

Section 11-50-10 - Provision in Mortgages or Deeds of Trust as to Franchise Right, etc., of Purchaser at Foreclosure Sale.

Section 11-50-11 - Provision in Mortgages or Deeds of Trust as to Disposition of Revenues, etc., From Plants, Rates, and Charges, Etc.

Section 11-50-12 - Combination of Electric Light and Power Plants, etc., and Waterworks Plants, etc.; Use of Electric Light and Power Plants, etc., and Disposition of Revenues Therefrom.

Section 11-50-13 - Transfer of Waterworks, Sewer, Electric, and Gas Plants, etc., to Boards Organized and Incorporated to Own and Operate Same.

Section 11-50-14 - Agreements With Boards; Conditions, etc., in Instruments of Transfer as to Control, Operation, etc., of Plants, etc., by Boards; Powers of Boards as to Conveyance, etc., of Title to Plants.

Section 11-50-15 - Fees of Directors.

Section 11-50-16 - Employment of Mayor or President of Board of Commissioners of Certain Municipalities as Superintendent of Light, Water, Sewer or Gas Systems, etc.; Duties and Compensation; Validation of Prior Employment, Etc.

Section 11-50-17 - Payment of Interest by Waterworks Boards in Class 1 Municipalities on Customer Security Deposits.