The text
DIVISION I. - LAWS 1920, CH. 2005, AS AMENDED#
Footnotes:
--- (2) --- Editor's note— This article contains Laws 1920, ch. 2005, as amended and reenacted in its entirety by Laws 1969, ch. 196, § 1. Sections 2 and 3 of said act provided as follows:
"Sec. 2. Nothing herein shall affect the validity of any action taken or assessments made pursuant to chapter 2005 of the acts of 1920 as amended prior to passage of this act. Assessments made prior to passage of this act shall be collected in the manner set forth in the prior law."
"Sec. 3. This act shall take effect upon its passage."
Prior to Laws 1969, ch. 196, said Laws 1920, § 2005 had been amended in part by Laws 1934, ch. 2169; Laws 1942, ch. 1183; and Laws 1952, ch. 2925. It was amended in its entirety by Laws 1969, ch. 107. Laws 1941, ch. 1112, which was superseded by Laws 1969, ch. 196, abolished the sewer commissioners under Laws 1920, ch. 2005, and substituted the council therefor.
Sec. 1. - Authorized.#
The town of West Warwick is hereby authorized and empowered to construct and maintain main drains or common sewers in any or all of the streets and highways of said town; to purchase all or any part of the drains now in said streets heretofore constructed by any party or parties; to acquire, construct and maintain works or plants for the proper treatment and disposal of sewage, and to acquire suitable sites for such works or plants. The cost and expense of such acquisition, construction, maintenance, and purchase shall be paid in the manner hereinafter provided.
The sewer commissioners who shall be the members of the town council as and are referred to herein as "said commissioners," are authorized to order any water supplier which services any person assessed by said commissioners pursuant to sections 5 and 6 to terminate the water supply service of any person for non-payment of sewer use fees, charges, pretreatment, non-compliance, and assessments. Said commissioners will abide by the rules and regulations of the Public Utilities Commission governing water shut-offs. Upon notification by said commissioners to terminate service, the water supplier shall within fourteen (14) days terminate said service and notify said commissioners that said termination has occurred. Upon notification by said commissioners, the water supplier shall restore the water supply in accordance with the water supplier's policy on water supply restoration.
The town of West Warwick shall indemnify and hold harmless the water suppliers from any damages incurred to any party as a result of any actions of the water supplier taken pursuant to the provisions of this section. The water supplier shall receive reimbursement from the town of West Warwick for any fees, charges, assessments, or costs incurred by the water supplier which are affiliated with the shut-off and restoration of service.
Said commissioners shall have the authority to assess any person any fees, charges and assessments affiliated with the shut-off and restoration of service. When service is provided to a residence occupied by a tenant, the tenant may, after paying the fees, charges, and assessments necessary in order to restore or prevent termination of service, deduct the amount paid from the rent due the landlord. The tenant shall provide the landlord with a copy of the receipt from said commissioners when making a deduction from the rent.
(Laws 1920, ch. 2005, § 1; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1; Laws 1994, ch. 118, § 1)
Sec. 2. - General powers of council.#
The town council of the town of West Warwick shall be vested with the power and authority to plan, acquire, construct, operate, maintain, extend, and improve a sewage disposal system for the town or any part or parts thereof. The town council shall also have power to employ a superintendent of sewers, to prescribe his duties, and to employ such other assistants and advisers as may be necessary. The town council from time to time shall fix the salaries of such employees.
(Laws 1920, ch. 2005, § 2; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 3. - Agreements authorized.#
When authorized by vote of its town council, the town of West Warwick may enter into agreements for periods not exceeding 40 years with the state or any other municipal or quasi-municipal corporation or any private party for the treatment or disposal by one party of sewage collected by the other, and the state, such other municipal or quasi-municipal corporations and private parties are authorized to enter into such contracts with the town.
(Laws 1920, § 2005, § 3; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 4. - Power of eminent domain.#
For the purposes of this act, the town of West Warwick may acquire land or other real property, or any interest, estate or right therein, by eminent domain by the methods prescribed by chapter 1 of title 24 of the general laws as it may be amended from time to time, provided that no property or interest, estate or right therein belonging to the state or any political subdivision shall be acquired without its consent and that no property or interest, estate or right therein belonging to or used by a public utility shall be acquired without the consent of the division of public utilities. Any damages which may be agreed upon or determined under said chapter, including any interest and other applicable charges, shall constitute a general obligation of the town, but such obligation shall not at any time be included in the debt of the town for the purpose of ascertaining its borrowing capacity.
(Laws 1920, ch. 2005, § 4; Laws 1934, ch. 2169, § 1; Laws 1942, ch. 1183, § 1; Laws 1952, ch. 2925, § 1; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 5. - Special assessments.#
The town council of the town of West Warwick shall, to the extent described below, assess the cost of any project or projects for the construction, completion, extension, enlargement, or improvement of the sewage disposal system upon the owners of the estates in the town which abut that portion of any street or highway in or along which any sewer constituting any portion of such project or projects may be located or which otherwise specially benefit from such project or projects. Such assessments may be made separately for each project or for several projects taken together. The cost to be assessed shall be that which is determined by the town council to provide particular rather than general benefit. Such assessments shall be just and equitable and may be based upon frontage or area within a specified reasonable distance from the street or highway or on assessed valuations or on any other factor affording a reasonable measure of benefits or upon any combination of the foregoing. The town council shall not make any particular assessment in excess of the benefit conferred and may make reasonable adjustments of such assessments against estates having a frontage upon more than one street or against estates which for any reason are unable to derive the normal benefits from the system.
Such assessments shall name the owners assessed, describe their estates and state the amounts of the assessments, but no error [of] omission in the name or description shall invalidate the assessment as long as either the owner or the estate is substantially identified. A copy of such assessments shall be recorded with the town clerk as a public record. From the date of delivery to the town clerk[,] the assessments and interest accruing thereon shall constitute a lien upon the respective estates on a parity with the lien for town taxes until paid in full. The collector of taxes of the town shall have the same rights to enforce such liens against the estates and to collect such assessments and interest from the owners as he has in the case of town taxes.
Prior to or forthwith after the delivery to the town clerk of a copy of such assessment, the collector of taxes shall cause notice to be sent to the owner of each estate assessed. The notice shall substantially identify the estate assessed, state the amount of the assessment and refer to the remedy available under this section. The notice shall be mailed postpaid and directed to the last known address of the addressee. If there are owners whose addresses are unknown, a similar notice covering the assessments against their estates shall be published in a newspaper of general circulation in the town and such published notice may be a single collective notice for all such owners. No irregularity in the notice required by this section shall excuse the non-payment of the assessment or affect its validity or any proceedings for the collection thereof as long as there is substantial compliance with the provisions hereof. No deficiency in the notice to the owner of an estate assessed shall excuse the non-payment by others of the assessments against their estates or affect the validity thereof or any proceedings for the collection thereof.
Any person aggrieved by any such assessment may within 90 days after the mailing or publication of notice to him file a petition for relief against the town as respondent in the superior court, and the clerk shall thereupon issue a citation to summon the town, and said petition and citation shall be subject to the provisions of section 44-5-29 of the general laws [G.L. 1956, § 45-5-29]. If the court finds such assessment invalid in whole or in part, it shall give judgement reducing the amount thereof or for a refund accordingly. The filing of such a petition shall not relieve the estate involved from the lien hereinabove provided for or prevent the assessment becoming due as provided in this section, but the final judgment of the court reducing such assessment in whole or in part shall reduce such lien and the amount due accordingly. The remedy provided in this paragraph shall be exclusive, and no action or proceeding questioning the validity of any such assessment shall be begun after the expiration of said 90-day period.
In the event an assessment is partially or wholly invalid, the town council may make a corrected assessment to replace the invalid assessment or portion. The corrected assessment shall be made in the same manner as an original assessment. The first installment of a corrected assessment shall be sufficient to compensate without interest for all installments which would have become due then or theretofore if the corrected assessment had been made at the time of the original assessment. The corrected assessment shall bear interest from the date notice of the corrected assessment was delivered to the town clerk.
Each assessment under this act shall be payable in equal annual installments over not less than twenty nor more than thirty years, as determined by the town council, upon a date fixed by the town council and shall bear interest from the date notice of the assessment was delivered to the town clerk until paid at a rate to be fixed at or prior to the assessment by the town council, provided that the whole assessment against any owner or estate may be paid without interest at any time prior to the due date of the first installment thereof, and provided further that the whole unpaid balance of any such assessment together with the interest accrued thereon to the date of payment may be paid at any time. Notwithstanding the foregoing provisions, the town council may provide for increasing the tentative amount of any assessment by a reasonable amount in lieu of interest upon the assumption that the assessment will be paid in annual installments when required and make the assessment in the aggregate amount of the tentative assessment plus such interest charge, which assessment shall be payable in equal annual installments upon a date fixed by the town council without further interest, provided that if any such assessment is paid in full before the expiration of the full term there shall be an equitable adjustment of the interest charge so that interest will be paid on the unpaid balance of the tentative assessment for the period up to such payment in full.
In the event of the subdivision of any estate subject to any such assessment by the conveyance of any part or parts thereof to a different owner, the town council may apportion the assessment or the unpaid part thereof among the new estates so created upon any basis which might then be used under this section for a new assessment and such basis need not be the same as that used for the assessment being apportioned. The apportioned assessment shall be payable at the same times and in the same amounts pro rata as the original assessment or unpaid part thereof. In all other respects the apportioned assessment shall be governed by the provisions of this section which would then apply to a new assessment. Upon the recording of the apportioned assessments, the original assessment shall be discharged.
All lands in the town of West Warwick held by religious corporations, and on which are located buildings which are used solely for the purposes of holding religious services therein, and all lands in said town held by cemetery corporations and used solely for cemetery purposes, shall be exempt from the payment of any and all assessments for the construction of sewers made in pursuance of the provisions of this act, so long as such lands shall be held and used solely for such purposes: provided that all assessments made on such lands for the construction and acquisition of sewers, under the provisions of this act, shall be and remain for thirty years a lien on said lands, without interest, and the town may enforce the collection of such assessments, whenever such lands or any portion thereof shall be abandoned for said purposes, in the same manner as other sewer assessments are collected or enforced.
(Laws 1920, ch. 2005, § 5; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 6. - Service charges.#
The town council of the town of West Warwick may fix and revise from time to time a schedule of sewer service charges for the sewer service furnished in the town for the purpose of paying the cost of maintaining, repairing and operating its sewage disposal system (including reserves for such purposes and for renewals and replacements), the principal and interest on all sewer bonds of the town when due, and any other expenses not otherwise provided for which may arise under this act, to the extent that moneys [monies] for the foregoing purposes are not otherwise provided.
Such charges shall be just and equitable and may be based upon the quantity of water used or the number and size of sewer connections made or the number and kind of plumbing fixtures installed on the estate or upon the number of persons residing or working in or otherwise connected therewith or upon any other factor affecting the use of or the value of the facilities and services furnished or upon any combination of such factors.
Such charges shall be assessed by the town council periodically against each estate connected with or using any part of the town's sewage disposal system in the name of the owner, tenant, or occupant, who shall be personally liable therefor, but no error or omission in such name or the description of such estate shall invalidate the assessment as long as either the owner, tenant or occupant of the estate is reasonably identified. Sewer service charges shall be payable upon a date fixed by the town council, and if not paid within thirty days thereafter they shall bear interest at the rate of eight per cent per annum from their due date until paid. A certificate signed by the collector of taxes of the town stating the amount of the delinquent charges, their due date, the name of the owner of the estate against which such charges were assessed and the name of the tenant or occupant if assessed to a tenant or occupant who is not the owner, and an identification of such estate shall be recorded with the town clerk as a public record. From and after the date of delivery to the town clerk and until the same are paid in full, such delinquent assessments together with the interest accruing thereon shall constitute a lien upon the respective estates on a parity with the lien for town taxes, and the collector of taxes shall have the same rights to enforce such liens and to collect such charges and interest as he has in the case of town taxes.
The collector of taxes shall cause notice of the assessment of such charges to be given to the owners and to the tenants and occupants assessed in the manner and with the effect provided above as to special assessments and the remedy provided above as to special assessments shall be applicable. In the event a charge is partially or wholly invalid, the town council may assess a corrected charge to replace the invalid charge or portion.
(Laws 1920, ch. 2005, § 6; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 7. - Regular laws authorized; violation, penalty; publication.#
The town council of the town of West Warwick may from time to time prescribe rules and regulations, effective within the town, regulating or requiring the connection of estates and buildings with sewers, and for inspection of the materials, the construction, alteration and use of all connections entering into such sewers, and may prescribe penalties not exceeding fifty dollars, for violation of each such rule or regulation, and each day such violation shall be permitted to exist shall constitute a separate offense. Such rules and regulations shall not be effective prior to their publication in a newspaper of general circulation in the town.
(Laws 1920, ch. 2005, § 7; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 8. - Pollution prohibited.#
The effluent from any system of sewerage or part thereof operated under the provisions of this act which may be discharged into any lake, stream or river shall be at all times of such a character as not to pollute or contaminate the waters of such lake, stream or river so as to be dangerous to the public health, and if the waters of any such lake, stream or river are used as a potable supply, such effluent shall be of such a character as not to pollute or contaminate such potable supply or to endanger the public health: Provided, however, that the duly authorized representatives of any city or town in this state dependent upon or making use of the waters of such lake, stream or river as a potable supply, may at any time, after thirty days' notice to said town of West Warwick that the use and maintenance of any system of sewerage provided herein is such as to be dangerous to the public health or to pollute or contaminate such potable supply, petition the superior court within and/or the county of Kent for a restraining order to prohibit said town from so using such lake, stream or river as to pollute or contaminate the waters thereof or be dangerous to the public health, and such court, after due investigation and hearing, may make such order as will effectually remove such pollution or contamination as may be found to be dangerous to the public health.
(Laws 1920, ch. 2005, § 8; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 9. - Bonds authorized.#
The Town of West Warwick is hereby empowered, in addition to authority previously granted, to issue bonds to an amount not exceeding sixteen million dollars ($16,000,000.00) from time to time under its corporate name and seal or a facsimile of such seal. In computing the aggregate amount of bonds which may be issued under the authority of this section, bonds or serial notes issued under this section prior to the effective date of Chapter 196 of the Public Laws of 1969 shall be excluded. The bonds of each issue shall mature in annual installments of principal, the first installment to be not later than three (3) years and the last installment not later than thirty (30) years after the date of the bonds. No installment of principal of any issue shall exceed any prior installment by more than six (6) per cent of the total principal amount of the issue.
(Laws 1920, ch. 2005, § 9; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1; Laws 1976, ch. 90; Laws 1977, ch. 161; Laws 1978, ch. 336, § 1)
Sec. 10. - Terms, form of bonds; how issued and sold.#
The bonds shall be signed by the town treasurer and by the manual or facsimile signature of the president of the town council and shall be issued and sold at not less than par and accrued interest in such amounts as the town council may determine. The manner of sale, denominations, maturities, interest rates and other terms, conditions and details of any bonds or notes issued under this act may be fixed by the resolution of the town council authorizing the issue or by separate resolution of the town council, or, to the extent provisions for these matters are not so made, they may be fixed by the officers authorized to sign the bonds or notes. The bonds of each issue shall bear interest at a rate or rates not exceeding six per cent per annum. Coupons shall bear the facsimile signature of the town treasurer. The proceeds derived from the sale of the bonds shall be delivered to the town treasurer, and such proceeds exclusive of premiums and accrued interest shall be expended (a) for the purposes set forth in section 1 and section 4 of the [this] act (exclusive of current operating and maintenance expenses), or (b) in payment of the principal of or interest on temporary notes issued under section 11 of this act, or (c) in repayment of advances under section 12 of this act. No purchaser of any bonds or notes under this act, however, shall be in any way responsible for the proper application of the proceeds derived from the sale thereof. The proceeds of bonds or notes issued under this act, any applicable federal or state assistance and the other moneys [monies] referred to in section 14 of this act shall be deemed appropriated for the purposes of this act without further action than that required by this act.
(Laws 1920, ch. 2005, § 10; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 11. - Temporary notes.#
The town council of the town of West Warwick may authorize the issue from time to time of interest bearing or discounted notes in anticipation of the authorization or issue of bonds under section 10 of this act or in anticipation of the receipt of federal or state aid for the purposes of this act. The amount of original notes issued in anticipation of bonds may not exceed the amount of bonds which may be issued under this act and the amount of original notes issued in anticipation of federal or state aid may not exceed the amount of available federal or state aid as estimated by the town treasurer. Temporary notes issued hereunder shall be signed by the town treasurer and by the president of the town council and shall be payable within three years from their respective dates, but the principal of and interest on notes issued for a shorter period may be renewed or paid from time to time by the issue of other notes hereunder, provided the period from the date of an original note to the maturity of any note issued to renew or pay the same debt or the interest thereon shall not exceed three years.
(Laws 1920, ch. 2005, § 11; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 12. - Advances authorized.#
Pending any authorization or issue of bonds hereunder or pending or in lieu of any authorization or issue of notes hereunder, the town treasurer, with the approval of the town council, may apply funds in the general treasury of the town to the purposes specified in section 10 of this act, such advances to be repaid without interest from the proceeds of bonds or notes subsequently issued or from the proceeds of applicable federal or state assistance or from other available funds.
(Laws 1920, ch. 2005, § 12; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 13. - Investment of proceeds pending expenditure.#
Any proceeds of bonds or notes issued hereunder or of any applicable federal or state assistance, pending their expenditure, may be deposited or invested by the town treasurer in demand deposits, time deposits or savings deposits in banks which are members of the Federal Deposit Insurance Corporation or in obligations issued or guaranteed by the United States of America or by any agency or instrumentality thereof or by the State of Rhode Island or as may be provided in any other applicable law of the State of Rhode Island.
(Laws 1920, ch. 2005, § 13; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 14. - Application of accrued interests, premiums, profits.#
Any accrued interest received upon the sale of bonds or notes hereunder shall be applied to the payment of the first interest due thereon. Any premiums arising from the sale of bonds or notes hereunder, any net earnings or profits realized from the deposit or investment of funds hereunder and any balance of bond or note proceeds remaining after completion of the projects shall, in the discretion of the town treasurer, be applied to the cost of preparing, issuing and marketing bonds or notes hereunder to the extent not otherwise provided, to the payment of the cost of the projects or the cost of additional improvements coming within the description of the projects in section 1, to the payment of the principal of or interest on bonds or notes issued hereunder or to any one or more of the foregoing. The cost of preparing, issuing, and marketing bonds or notes hereunder may also, in the discretion of the town treasurer, be met from bond or note proceeds exclusive of premium and accrued interest or from other moneys [monies] available therefor. In exercising any discretion under this section, the town treasurer shall be governed by any instructions adopted by the town council.
(Laws 1920, ch. 2005, § 14; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 15. - Effect of debts; amortization.#
All bonds and notes issued under this act and the debts evidenced thereby shall be obligatory on the town of West Warwick in the same manner and to the same extent as other debts lawfully contracted by it and shall be excepted from the operation of Section 45-12-2 of the General Laws [G.L. 1956, § 45-12-2]. No such obligation shall at any time be included in the debt of the town for the purpose of ascertaining its borrowing capacity. The town shall annually appropriate a sum sufficient to pay the principal and interest coming due within the year on bonds and notes issued hereunder to the extent that moneys [monies] therefor are not otherwise provided. In order to provide such sum in each year and notwithstanding any provision of law to the contrary, all taxable property in the town shall be subject to ad valorem taxation by the town without limitation as to rate or amount, except that the rate of taxation on intangibles shall be limited as provided in Section 44-5-6 of the General Laws [G.L. 1956, § 44-5-6].
(Laws 1920, ch. 2005, § 15; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 16. - Validity of debts not affected by change in affairs.#
Any bonds or notes issued under the provisions of this act and coupons on any bonds, if properly executed by officers of the town in office on the date of execution, shall be valid and binding according to their terms notwithstanding that before the delivery thereof and payment therefor any or all of such officers shall for any reason have ceased to hold office.
(Laws 1920, ch. 2005, § 16; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 17. - Federal, state assistance.#
The Town of West Warwick, acting by its town council, is authorized to apply for, contract for and expend any federal or state advances or other grants or assistance which may be available for the purposes of this act, and any such expenditures may be in addition to other moneys [monies] provided in this act. To the extent of any inconsistency between any law of this state and any applicable federal law or regulation, the latter shall prevail. Federal and state advances, with interest where applicable, whether contracted for prior to or after the effective date of this act, may be repaid as a cost of the projects under section 10 of this act.
(Laws 1920, ch. 2005, § 17; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 18. - Compliance with constitution.#
In all matters related to the purposes of this act, including without limitation and where applicable, the condemnation of any land or interest in land and the levy and collection of assessments or other charges on account of the projects, all steps shall be taken which are necessary to meet constitutional requirements whether or not such steps are required by statute. The validity of bonds and notes issued hereunder shall in no way depend upon the validity or occurrence of any action required by the preceding sentence or of any other action not specifically required herein for the issue of such bonds or notes.
(Laws 1920, ch. 2005, § 18; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1)
Sec. 19. - Approval of bonds by electors.#
Notwithstanding the foregoing provisions, no bonds in excess of $12,000,000.00 heretofore authorized under said Chapter 2005 shall be issued in excess of amounts approved from time to time by vote of a majority of the electors present and voting on the question at an annual or special financial town meeting. A vote not to approve an amount of bonds under Chapter 2005 shall not preclude any later vote to approve the same or a different amount.
(Laws 1920, ch. 2005, § 19; Laws 1969, ch. 107, § 1; Laws 1969, ch. 196, § 1; Laws 1972, ch. 107, § 1; Laws 1977, ch. 161, § 2)
Sec. 20. - Agreements for use by adjoining municipalities.#
The Town of West Warwick and any municipality or municipalities bordering said town are hereby authorized to enter into agreements for the purpose of providing for the common use of the West Warwick sewer system and said town of West Warwick and such bordering municipalities may do everything necessary and proper to carry out this authority.
(Laws 1973, ch. 37, § 1)
Sec. 21. - Assessments and charges allowed by recorded contract constitute lien.#
Whenever the town council, pursuant to said act, enters into a contract in accordance with said act, and the contract is recorded in the city or town clerk's office, any sewer assessment allowed to be levied by the Town of West Warwick and any operation and maintenance or user charges allowed to be levied by the Town of West Warwick shall constitute a lien upon said subject properties in parity with the lien for town taxes, and upon default, said properties may be sold by the Town of West Warwick for the enforcement of said lien by the same procedures as if land were situated within the Town of West Warwick, and said sale being conducted within the Town of West Warwick as if said property were located herein.
(Laws 1983, ch. 10, § 1)
Secs. 22—30. - Reserved.#
DIVISION II. - LAWS 1979, CH. 82, AS AMENDED#
Sec. 31. - Bonds authorized.#
The town of West Warwick is hereby empowered, in addition to authority previously granted by Chapter 2005 of the Public Laws of 1920, as amended, to issue bonds to an amount not exceeding $4,500,000.00 from time to time under its corporate name and seal or a facsimile of such seal. The bonds of each issue may be issued in the form of serial bonds and or term bonds or a combination thereof and shall be payable, either by the maturity of principal in the case of serial bonds or by mandatory serial redemption in the case of term bonds, in annual installments of principal, the first installment to be not later than five (5) years and the last installment not later than thirty (30) years after the date of the bonds; provided no installment of principal of any issue shall exceed any prior installment by more than seven and one-half (7 1/2) per cent of the total principal amount of the issue.
(Laws 1979, ch. 82, § 1; Laws 1980, ch. 151, § 1)
Sec. 32. - Terms, forms of bonds; how issued and sold.#
The bonds shall be signed by the town treasurer and by the manual or facsimile signature of the president of the town council and shall be issued and sold at not less than par and accrued interest in such amounts as the town council may authorize. The manner of sale, denominations, maturities, interest rates and other terms, conditions and details of any bonds or notes issued under this act may be fixed by the proceedings of the town council authorizing the issue or by separate resolution of the town council or, to the extent provisions for these matters are not so made, they may be fixed by the officers authorized to sign the bonds or notes. Interest coupons (if any) shall bear the facsimile signature of the town treasurer. The proceeds derived from the sale of the bonds shall be delivered to the town treasurer, and such proceeds exclusive of premiums and accrued interest shall be expended (a) for planning, acquiring, constructing, operating, maintaining, extending and improving a sewage disposal system for the town, or any part or parts thereof, as provided in Chapter 2005 of the Public Laws of 1920, as amended, or (b) in payment of the principal of or interest on temporary notes issued under section 33 or (c) in repayment of advances under section 34. No purchaser of any bonds or notes under this act shall be in any way responsible for the proper application of the proceeds derived from the sale thereof. The proceeds of bonds or notes issued under this act, any applicable federal or state assistance and the other moneys [monies] referred to in section 36 shall be deemed appropriated for the purposes of this act without further action than that required by this act.
(Laws 1979, ch. 82, § 2; Laws 1980, ch. 151, § 2)
Sec. 33. - Temporary notes.#
The town council may be [by] resolution authorize the issue from time to time of interest bearing or discounted notes in anticipation of the issue of bonds under section 32 or in anticipation of the receipt of federal or state aid for the purposes of this act. The amount of original notes issued in anticipation of bonds may not exceed the amount of bonds which may be issued under this act and the amount of original notes issued in anticipation of federal or state aid may not exceed the amount of available federal or state aid as estimated by the town treasurer. Temporary notes issued hereunder shall [be] signed by the town treasurer and by the president of the town council and shall be payable within five (5) years from their respective dates, but the principal of and interest and notes issued for a shorter period may be renewed or paid from time to time by the issue of other notes hereunder, provided the period from the date of an original note to the maturity of any notice issued to renew or pay the same debt or the interest thereon shall not exceed five (5) years.
(Laws 1979, ch. 82, § 3; Laws 1980, ch. 151, § 3)
Sec. 34. - Advances authorized.#
Pending any authorization or issue of bonds hereunder or pending or in lieu of any authorization or issue of notes hereunder, the town treasurer, with the approval of the town council, may, to the extent that bonds or notes may be issued hereunder, apply funds in the treasury of the town to the purposes specified in section 32, such advances to be repaid without interest from the proceeds of bonds or notes subsequently issued or from the proceeds of applicable federal or state assistance or from other available funds.
(Laws 1979, ch. 82, § 4; Laws 1980, ch. 151, § 4)
Sec. 35. - Investment of proceeds pending expenditure.#
Any proceeds of bonds or notes issued hereunder or of any applicable federal or state assistance, pending their expenditure, may be deposited or invested by the town treasurer in demand deposits, time deposits or savings deposits, in banks which are members of the Federal Deposit Insurance Corporation or in obligations issued or guaranteed by the United States of America or by any agency or instrumentality thereof or as may be provided in any other applicable law of the state of Rhode Island.
(Laws 1979, ch. 82, § 5; Laws 1980, ch. 151, § 5)
Sec. 36. - Application of accrued interests, premiums, profits.#
Any accrued interest received upon the sale of bonds or notes hereunder shall be applied to the payment of the first interest due thereon. Any premiums arising from the sale of bonds or notes hereunder shall, in the discretion of the town treasurer be applied to the cost of preparing, issuing, and marketing bonds or notes hereunder to the extent not otherwise provided, to the payment of the cost of the projects, to the payment of the principal of or interest on bonds or notes issued hereunder or to any one or more of the foregoing. The cost of preparing, issuing, and marketing bonds or notes hereunder may also, in the discretion of the town treasurer, be made from bond or note proceeds exclusive of premium and accrued interest or from other moneys [monies] available thereof. Any balance of bond or note proceeds remaining after payment of the cost of the projects and the cost of preparing, issuing, and marketing bonds or notes hereunder, shall be applied to the payment of the principal of or interest on bonds or notes issued hereunder. Any earnings or net profit realized from the deposit or investment of funds hereunder, shall upon receipt be added to and dealt with as part of the revenues of the town from property taxes or, in the discretion of the town treasurer, shall upon receipt be added to and dealt with as part of the revenues of the town from sewer use charges. In exercising any discretion under this section, the town treasurer shall be governed by any instructions adopted by resolution of the town council.
(Laws 1979, ch. 82, § 6; Laws 1980, ch. 151, § 6)
Sec. 37. - Effect of debts; amortization.#
All bonds and notes issued under this act and the debts evidenced thereby shall be obligatory on the town in the same manner and to the same extent as other debts lawfully contracted by it and shall be excepted from the operation of section 45-12-2 of the General Laws [G.L. 1956, § 45-12-2]. No such obligation shall at any time be included in the debt of the town for the purpose of ascertaining its borrowing capacity. The town shall annually appropriate a sum sufficient to pay the principal and interest coming due within the year on bonds and notes issued hereunder to the extend [extent] that moneys [monies] therefor are not otherwise provided. If such sum is not appropriated, it shall nevertheless be added to the annual tax levy. In order to provide such sum in each year and notwithstanding any provision of law to the contrary, all taxable property in the town shall be subject to ad valorem taxation by the town without limitation as to rate or amount.
(Laws 1979, ch. 82, § 7; Laws 1980, ch. 151, § 7)
Sec. 38. - Validity of debts not affected by change in office.#
Any bonds or notes issued under the provisions of this act and coupons on any bonds, if properly executed by officers of the town in office on the date of execution, shall be valid and binding according to their terms notwithstanding that before the delivery thereof and payment therefor any or all of such officers shall for any reason have ceased to hold office.
(Laws 1979, ch. 82, § 8; Laws 1980, ch. 151, § 8)
Sec. 39. - Federal, state assistance.#
The town, acting by resolution of its town council, is authorized to apply for, contract for and expend any federal or state advances or other grants or assistance which may be available for the purposes of this act, and any such expenditures may be in addition to other moneys [monies] provided in this act. To the extent of any inconsistency between any law of this state and any applicable federal law or regulation, the latter shall prevail. Federal and state advances, with interests where applicable, whether contracted for prior to or after the effective date of this act, may be repaid as project costs under section 32.
(Laws 1979, ch. 82, § 9; Laws 1980, ch. 151, § 9)
Sec. 40. - Compliance with constitution.#
Bonds and notes may be issued under this act without obtaining the approval of any governmental agency or the taking of any proceedings or the happening of any conditions except as specifically required by this act for such issue. In carrying out any project financed in whole or in part under this act, including where applicable the condemnation of any land or interest in land, and in the levy and collection of assessments or other charges permitted by law on account of any such project, all action shall be taken which is necessary to meet constitutional requirements whether or not such action is otherwise required by statute; but the validity of bonds and notes issued hereunder shall in no way depend upon the validity or occurrence of such action.
(Laws 1979, ch. 82, § 10; Laws 1980, ch. 151, § 10)
Sec. 41. - Bonds, notes, transfer, income exempt from taxation.#
Notwithstanding any provision of law to the contrary, any bonds or notes issued under this act, their transfer, and the income thereon (including any profits made on the sale thereof) shall at all times be exempt from taxation by the state of Rhode Island or any subdivision thereof other than estate and succession taxes.
(Laws 1979, ch. 82, § 11; Laws 1980, ch. 151, § 11)
Sec. 42. - Effective date.#
This act shall take effect upon passage.
(Laws 1979, ch. 82, § 13; Laws 1980, ch. 151, § 12)