WILLIAM DONALD SCHAEFER, Governor                         Ch. 196

(b)     As soon as possible after receipt of a duly authorized request from a
municipality or person, the Service shall draft a proposed contract with the municipality
or person in accordance with the provisions of this subtitle specifying the type of project
to be provided, whether or not a service district will be established, the boundaries and
effective date of any service district, and the terms, conditions, and costs under which the
project will be provided. Upon execution of the contract, the Service as soon as possible
shall establish any service district provided for in the contract and provide, maintain, and
operate the necessary project.

(c)     The charges levied against a service district shall be reduced by the full
amount of federal and State grants which the Service receives and is entitled to retain to
defray the cost of any project within the service district.

(d)     Existing facilities providing service of the type requested, including all rights,
easements, laboratory facilities, vehicles, records, and all other property, equipment, and
furnishings necessary and normally associated with the operation of the facility, shall be
transferred to the sole ownership of the Service on the date a service district comes into
existence unless the Service determines that it not be so transferred. Compensation for
existing projects may be based on the original cost of the project minus an allowance for
depreciation, or on other terms and conditions satisfactory to the municipality or person
transferring the project. All costs and obligations assumed by the Service incidental to the
transfer of ownership shall be included in the charge levied against the service district.

(e)     At the request of any person or municipality having the responsibility for the
collection of liquid waste or solid waste, the Service may enter into a contract to provide
management and operation of waste collection services in any service district as an
adjunct to the mandatory provision of projects as set forth in subsections (a) through (d)
of this section, if (1) as a condition to the provision of management and operation of
waste collection services, the municipality or person enters into a contract upon terms the
Service determines reasonable; and (2) the Service and the municipality or person
requesting collection services determines by agreement from time to time the charges
including the amount and frequency of payments to the Service.

3-108.

(a) In calculating charges for water supply [and waste management contracts],
WASTEWATER PURIFICATION AND SOLID WASTE DISPOSAL PROJECTS OR SERVICES
[and] OR in determining the [local] costs to be levied against a service district
established pursuant to this subtitle, the Service shall require that the charges reflect the
full costs of projects. The charges and costs to be levied against any particular
municipality or person located within a service district shall take account of the value and
capacity of any existing facility transferred by the municipality or person to the Service,
and the costs and obligations assumed by the Service incidental to the transfer of the
facility. To the extent deemed reasonable and practicable by the Service, charges for
[waste management] PROJECTS OR SERVICES also shall be based on but not necessarily
limited to a formula reflecting the volume and characteristics of the wastes as they
influence transportation, purification, final disposal, and time pattern of discharge.

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