(a) A governmental entity may charge a fee to any person for using a service or facility provided by a utility operated by the governmental entity and provided under a contract with the authority, including a fee for:
(1) water charges;
(2) sewage charges;
(3) solid waste disposal system fees and charges, including garbage collection or handling fees; and
(4) other fees or charges.
(b) The governmental entity may use and pledge a sufficient amount of the money collected under Subsection (a) to make a payment to the authority as required under a contract with the authority and may covenant to do so in an amount sufficient to make a payment to the authority when due.

Terms Used In Texas Special District Local Laws Code 3503.152

  • Contract: A legal written agreement that becomes binding when signed.
  • Person: includes corporation, organization, government or governmental subdivision or agency, business trust, estate, trust, partnership, association, and any other legal entity. See Texas Government Code 311.005

(c) A payment, if the parties agree in the contract, is an expense of operation of the facilities or utility operated by the governmental entity.