Georgia Code
Chapter 30 - General Provisions
§ 36-30-3. Ordinances of a Council Not to Bind Succeeding Councils; Exceptions

(2) Any such contract which is for a term in excess of two years shall include commercially reasonable provisions under which the rates, fees, or other charges shall be adjusted with respect to inflationary or deflationary factors affecting the provision of the utility service in question; and
(3) Any such contract shall include commercially reasonable provisions relieving the municipal corporation from its obligations under the contract in the event that the municipal corporation’s ability to comply with the contract is impaired by war, natural disaster, catastrophe, or any other emergency creating conditions under which the municipal corporation’s compliance with the contract would become impossible or create a substantial financial burden upon the municipal corporation or its taxpayers.
History. Civil Code 1895, § 743; Civil Code 1910, § 892; Code 1933, § 69-202; Ga. L. 1979, p. 521, § 1; Ga. L. 1982, p. 2107, § 36; Ga. L. 1986, p. 841, § 1; Ga. L. 1987, p. 3, § 36; Ga. L. 1987, p. 175, § 1; Ga. L. 1987, p. 275, § 1; Ga. L. 1989, p. 1287, § 1; Ga. L. 1990, p. 286, § 1; Ga. L. 1991, p. 989, § 1; Ga. L. 1998, p. 1113, § 2; Ga. L. 2019, p. 605, § 2/SB 95.
The 2019 amendment, effective July 1, 2019, rewrote paragraph (d)(1), which read: “No such contract shall be for a term in excess of ten years;”.
History of Code section.
This Code section is derived from the decision in Williams v. City Council, 68 Ga. 816 (1882).
Cross references.
Constitutional provisions placing limitations on debt which may be incurred by a county, municipality, or political subdivision, Ga. Const. 1983, Art. IX, Sec. V, Para. I.
Code Commission notes.
Pursuant to Code Section 28-9-5, in 1986, “United States” was substituted for “United State” in subsection (c).
Law reviews.
For article, “Local Government and Contracts that Bind,” see 3 Ga. L. Rev. 546 (1969).
For article, “Binding Contracts in Georgia Local Government Law: Recent Perspectives,” see 11 Ga. St. B. J. 148 (1975).
For article discussing the origin and construction of Georgia statute concerning the authority of a council to bind its successors, see 14 Ga. L. Rev. 239 (1980).
For annual survey of local government law, see 38 Mercer L. Rev. 289 (1986).
For article, “Binding Contracts in Georgia Local Government Law: Configurations of Codification,” see 24 Ga. L. Rev. 95 (1989).
For note on 1990 amendment of this Code section, see 7 Ga. St. U. L. Rev. 324 (1990).
For article, “The Georgia Supreme Court and Local Government Law: Two Sheets to the Wind,” see 16 Ga. St. U. L. Rev. 361 (1999).
For article, “Local Government Litigation: Some Pivotal Principles,” see 55 Mercer L. Rev. 1 (2003).
For annual survey of local government law, see 56 Mercer L. Rev. 351 (2004).
For annual survey of local government law, see 57 Mercer L. Rev. 289 (2005).
For survey article on local government law, see 60 Mercer L. Rev. 263 (2008).
For annual survey on local government law, see 64 Mercer L. Rev. 213 (2012).
For survey article on local government law, see 67 Mercer L. Rev. 147 (2015).