Be it enacted by the Senate and House of Representatives
in General Court assembled, and by the authority of the same,
SECTION 1. Notwithstanding the provisions of chapter forty-four of the General Laws, or any other general or special law to the contrary, the maturities of bonds or notes issued by the town of Southbridge for acquisition and establishment of a water supply system and related facilities and other costs incidental to such acquisition and establishment shall either be arranged so that for each issue the annual combined payments of principal and interest payable in each year shall be as nearly equal as practicable in the opinion of the town treasurer, or be arranged in accordance with a schedule providing for a more rapid amortization of principal; provided, however, that the first annual payment may be deferred to the extent permitted by section nineteen of said chapter forty-four. Project costs to be financed by the issue of the bonds or notes may include interest incurred, including interest incurred on any bonds or notes issued prior to the effective date of this act, for a period of up to twelve months after the date of the original borrowing or, if later, twelve months after the town's acquisition of the property of the Southbridge Water Supply Company. Any net earnings derived from investment of the proceeds of the bonds or notes may be expended by the town treasurer to pay interest on the bonds or notes but otherwise shall be used only for construction, equipping, operation or maintenance of the town's water supply system and related facilities. Except as otherwise provided in this act, indebtedness incurred by the town for the project shall be subject to the applicable provisions of said chapter forty-four. User charges shall be set at a level sufficient with other water system revenues to pay all the costs of water system operations and debt service.
SECTION 2. The town of Southbridge is hereby authorized to enter into an agreement or agreements with any public or private entity for the management and operation of all or a portion of the water supply system of said town, the sewer system of said town and related facilities. Any such agreement shall provide for a term not to exceed three years, but may be renewed from time to time.
SECTION 3. This act shall take effect upon its passage.