(a) An authority has all powers necessary to accomplish the purposes of this part (excluding the power to levy and collect taxes) including, but not limited to, the following:
Terms Used In Tennessee Code 68-221-607
Authority: means a water and wastewater treatment authority created pursuant to this part. See Tennessee Code 68-221-603
Bonds: includes notes, interim certificates or other obligations of an authority. See Tennessee Code 68-221-603
Contract: A legal written agreement that becomes binding when signed.
Creating governmental entity: means any city, metropolitan government or county which creates an authority pursuant to this part. See Tennessee Code 68-221-603
Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
Gift: A voluntary transfer or conveyance of property without consideration, or for less than full and adequate consideration based on fair market value.
Lands: includes lands, tenements and hereditaments, and all rights thereto and interests therein, equitable as well as legal. See Tennessee Code 1-3-105
Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
Participating governmental entity: means any utility district, metropolitan government, city, town or county. See Tennessee Code 68-221-603
Treatment works: means any devices and systems used in the storage, treatment, recycling and reclamation of sewage or industrial wastes of a liquid nature to restore and maintain the chemical, physical and biological integrity of the state's waters, or any devices and systems used in the treatment and distribution of water, including intercepting sewers, outfall sewers, sewage collection systems, water storage facilities, water transmission lines, pumping, power and other equipment, and their appurtenances, extensions, improvements, remodeling, additions and alterations thereof. See Tennessee Code 68-221-603
United States: includes the District of Columbia and the several territories of the United States. See Tennessee Code 1-3-105
(1) Have perpetual succession, sue and be sued, and adopt a corporate seal;(2) Plan, establish, acquire, construct, improve and operate one (1) or more treatment works within or without the creating and participating governmental entities and within this state and within any adjoining state;(3) Acquire real or personal property or any interest therein by gift, lease or purchase, for any of the purposes herein provided; and to sell, lease or otherwise dispose of any such property;(4) Enter into agreements with the creating governmental entity or with participating governmental entities, to acquire by lease, gift, purchase or otherwise, any treatment works, or property related thereto, of such governmental entity and operate such treatment works as a part of its treatment works; or enter into agreements with participating governmental entities providing for the operation by the authority of the treatment works, or any portion thereof, owned by any participating governmental entity;(5) Enter into agreements with the creating governmental entity and participating governmental entities with respect to the manner of transfer of treatment works employees of such governmental entities to the authority, and with respect to the retention by such employees of existing civil service status and accrued pension, disability, hospitalization and death benefits;(6) Enter into, by contract with the creating governmental entity or otherwise, a plan of civil service for employees of the authority;(7) Enter into, by contract with the creating governmental entity or otherwise, a plan for pension, disability, hospitalization and death benefits for the officers and employees of the authority;(8) Make application directly to the proper federal, state, county and municipal officials and agencies, or to any other source, public or private, for loans, grants, guarantees or other financial assistance in aid of treatment works operated by it, and accept the same;(9) Make studies and recommend to the appropriate commissions and legislative bodies of the creating and participating governmental entities, zoning changes in the area of any treatment works operated by the authority;(10) Have control of its treatment works with the right and duty to establish and charge fees, rates and other charges, as set out herein, and collect revenues therefrom, not inconsistent with the rights of the holders of its bonds;(11) Appoint an executive director, and confirm or reject the executive director’s appointments of a secretary, a treasurer, an auditor, legal counsel and a chief engineer; prescribe their duties and qualifications; and fix their compensation;(12) Use in the performance of its functions the officers, agents, employees, services, property, facilities, records, equipment, rights and powers of the creating governmental entity or any participating governmental entity, with the consent of any such governmental entity, and subject to such terms and conditions as may be agreed upon;(13) Enter such lands, waters or premises as in the judgment of the authority may be necessary for the purpose of making surveys, soundings, borings and examinations to accomplish any purpose authorized by this part, the authority to be liable for actual damage done;(14) Designate an independent certified public accountant firm to do an annual post audit of all books, accounts and records of the authority and issue a public report thereon;(15) Adopt by majority vote of the board the purchasing procedures for utility districts as defined in title 7, chapter 82, part 8;(16) Adopt by majority vote of the board, regulations, including, but not limited to, requirements for the posting of performance bonds and maintenance bonds, governing the operation and maintenance of nontraditional sewage disposal systems. The phrase “nontraditional sewage disposal systems” does not include subsurface sewage disposal systems that are subject to the permitting requirements of part 4 of this chapter, nor to wastewater collection and disposal systems that are owned or operated by a governmental entity. The Water Quality Control Act, compiled in title 69, chapter 3, and regulations adopted thereunder, shall prevail over any such regulations of an authority in the event of a conflict; provided, that the authority may adopt regulations that are more stringent than the Water Quality Control Act and regulations promulgated thereunder, if a copy of such regulations is filed with the department;(17) Promulgate rules for the installation and maintenance of grease interceptors, the regulation of sewer discharges from industrial facilities, and the inspection and maintenance of private or public service laterals;(18) Promulgate rules that impose on a customer base, region, neighborhood, basin, or area an obligation on customers, occupants, or property owners to inspect their own respective service laterals and make necessary repairs. The authority may apply specific requirements on one (1) customer base, region, neighborhood, or basin at a time due to environmental concerns, the need for repairs, internal budgeting, scheduling, and limited resources of the authority necessitating the authority to focus on one (1) area at a time;(19)(A) Promulgate rules that impose penalties for failure to comply with the authority’s rules, not to exceed:
(i) Five (5) times the fees avoided; or(ii) Three (3) times the cost of cleanup, repair, enforcement, and damages, including costs incurred by the authority to make repairs or perform other work necessitated by the failure of a property owner to fulfill its obligations under applicable laws or the authority’s rules. For purposes of this subdivision (a)(19)(A)(ii), a property owner’s obligations under applicable laws or the authority’s rules includes, but is not limited to, the obligations to maintain service laterals and comply with regulations for controlling fats, oils, and grease;(B) Promulgate rules that authorize shutting off water and sewage usage until a property owner or occupant complies with the authority’s rules or pays any penalties imposed by the authority. The authority may impose a penalty against the owner or occupant of a property but shall not impose a penalty against an owner or occupant of property for a violation caused by a previous owner or occupant of the property; and(20) Promulgate any other rules necessary to effectuate the purposes of this part, or to comply with the requirements of rules of the department of environment and conservation, regulations of the United States environmental protection agency, or consent decrees.(b) All personnel employed by the board of commissioners of any water and wastewater authority under this chapter, including, but not limited to, the commissioners themselves, are prohibited from receiving any money or other goods or services of value of any sort as a result of any agreement, contractual or otherwise, for the installation of water and wastewater service within the bounds of the district; and further, those persons are also prohibited from receiving any moneys or other goods or services of value of any sort as a result of any agreement, contractual or otherwise, for the sale of any materials to be installed within the bounds of the district as water and wastewater service.(c) Any authority created pursuant to this part may notify the appropriate permitting department when water and wastewater services provided to a business currently permitted pursuant to the Tennessee Retail Food Safety Act, compiled in title 53, chapter 8, or the Tennessee Food Safety Act, compiled in chapter 14, part 7 of this title, are discontinued for a violation of the authority’s rules, regulations, or policies. This subsection (c) shall apply to all counties in which an authority has been created as of July 1, 2016.(d) No municipality or county government entity within the service area of a sewer authority created under this title may issue:
(1) A building permit or a demolition permit prior to a sewer permit being issued by the sewer authority; or(2) A certificate of occupancy prior to a sewer permit being finalized by the sewer authority.
