71-5324. Loans; requirements.

296 words·~1 min read·/ne/chapter-71/71-5324

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)All loans made under the Drinking Water State Revolving Fund Act shall be made only to owners of public water systems that:

(a)Meet the requirements of financial, technical, and managerial capability set by the department;

(b)Pledge sufficient revenue sources for the repayment of the loan if such revenue may by law be pledged for that purpose;

(c)In the case of a privately owned public water system, pledge sufficient revenue, collateral, or other security for the repayment of the loan;

(d)Agree to maintain financial records according to generally accepted government accounting principles and to conduct an audit of the financial records according to generally accepted government auditing standards; and

(e)Provide a written assurance, signed by an attorney holding an active license to practice in the State of Nebraska, that the recipient has proper title, easements, and rights-of-way to the property on or through which the safe drinking water project is to be constructed or extended.

(2)Loans made for the construction of a safe drinking water project shall be made only to owners of public water systems which meet the conditions of subsection

(1)of this section and, in addition, that:

(a)Require the contractor of the project to post separate performance and payment bonds or other security approved by the department in the amount of the bid;

(b)Provide a written notice of completion and start of operation of the safe drinking water project;

(c)Employ a registered professional engineer to provide and be responsible for engineering services on the project such as an engineering report, construction contract documents, observation of construction, and startup services; and

(d)Agree to operate and maintain the safe drinking water project so that it will function properly over the structural and material design life.