Sec. 1502.057. CHARGES FOR SERVICES. (a) A municipality shall impose and collect charges for services provided by a utility system in amounts at least sufficient to pay:
(1) all operating, maintenance, depreciation, replacement, improvement, and interest charges in connection with the utility system;
(2) for an interest and sinking fund sufficient to pay any public securities issued or obligations incurred for any purpose described by Section 1502.002 relating to the utility system; and
(3) any outstanding debt against the system.
(b) The rates charged for services provided by a utility system must be equal and uniform. A municipality may not allow any free service except for:
(1) municipal public schools; or
(2) buildings and institutions operated by the municipality.
(c) The board of trustees having management and control of a utility system located in a county contiguous to the Gulf of Mexico and bordering the United Mexican States may impose and collect the charges authorized under this section for services provided by the utility system.
Added by Acts 1999, 76th Leg., ch. 227, Sec. 1, eff. Sept. 1, 1999. Renumbered from Government Code Sec. 1502.059 and amended by Acts 1999, 76th Leg., ch. 1064, Sec. 22, eff. Sept. 1, 1999.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 341 (H.B. 2105), Sec. 2, eff. June 14, 2013.
Structure Texas Statutes
Subtitle J - Specific Authority for Municipalities to Issue Securities
Chapter 1502 - Public Securities for Municipal Utilities, Parks, or Pools
Subchapter B. Public Securities for Utility Systems, Parks, or Pools
Section 1502.051. Authority to Issue Public Securities
Section 1502.052. Pledge of Revenue
Section 1502.053. Grant of Franchise
Section 1502.054. Obligations Not Payable From Taxes
Section 1502.056. Operating Expenses as First Lien
Section 1502.057. Charges for Services
Section 1502.058. Limitation on Use of Revenue
Section 1502.059. Transfer of Revenue to General Fund
Section 1502.060. Use and Investment of Proceeds
Section 1502.061. Additional Obligations to Improve or Extend Utility System
Section 1502.063. Additional Authority of Municipality With a Population of 50,000 or More
Section 1502.064. Credit Agreement for Reserve Fund
Section 1502.065. Refunding Bonds
Section 1502.067. Records: Noncash Basis
Section 1502.068. Annual Report
Section 1502.069. Offenses; Penalty
Section 1502.070. Management and Control of Utility System
Section 1502.073. Notice to Governing Body Before Foreclosure or Other Action