Legal Documents of Gatlinburg

The provisions of this section shall apply only to water main extensions of 500 feet or less to areas where there is a demand for water service by the occupants of existing houses. This section shall in no event be applicable to land development projects and subdivision promotions, even though accompanied by the erection of occasional houses within areas.

Owners of property to be served by a proposed water main extension of the character to which this section applies shall pay to the department the regular charge for each connection desired immediately and shall also assume one minimum monthly bill for each 100 feet, or fraction thereof, of said proposed extension. The connection charge shall be paid and the agreement to pay the minimum monthly bill shall be signed before the work is begun. The department reserves the right to require an advance cash deposit as security for such minimum bill agreement in an amount not to exceed the estimated cost of the main extension.

Beginning with the completion of the water main extension, such persons shall pay to the department water bills at least equal to the minimum monthly charges agreed upon, until the obligation for the payment of such minimum monthly water bills shall have been assumed by other persons acceptable to the department. Where these minimum bill agreements require a minimum bill or bills in excess of the minimum bill prescribed by the regular rate schedule of the department, such excess portion of the minimum bill or bills shall be reduced by the amount of the minimum bill assumed by each additional customer who connects to the extension. Such reduction will be prorated among the persons liable for the excess minimum bills. No such reduction shall be made except during months when such new customer pays at least a minimum monthly water bill. (1976 Code, § 13-107)