Arkansas Code § 14-234-503 - Authority for Joint Undertaking

(a) Any two (2) or more municipalities in the State of Arkansas may join in the purchase or construction of a waterworks system for each of the municipalities, execute the joint obligation of the several municipalities, and secure the payment thereof by a joint pledge of the net revenues derived from the operation of the several waterworks systems until the obligations, principal and interest, shall be fully paid, as provided in this subchapter.

(b) (1) Any city of the first class having a city manager form of government and divided by a state line shall have the authority to join in the purchase, construction, and operation of a waterworks system with the adjoining city in another state for each of the municipalities, and to execute an agreement for the joint obligation of the municipalities and secure the payment thereof by a joint pledge of the net revenues derived from the operation of the waterworks systems.

(2) The municipalities shall employ a joint manager for the operation of the waterworks system who shall be hired by the city managers of the municipalities and who shall serve under the direct supervision of the city managers jointly.

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Last modified: November 15, 2016