§ 40-33-01 — Electric light, telephone, natural and artificial gas plants, pipelines and distribution systems, and power plants - Municipalities may purchase, erect, construct, maintain, sell, or lease

distribution systems, and power plants - Municipalities may purchase, erect, construct,
maintain, sell, or lease.
Any municipality may purchase, erect, construct, operate, maintain, enlarge, improve and
extend, or lease from any person or sell or lease to any person:
1. Any electric light and power plant, site, buildings, and equipment thereof.
2. Any electric distribution system and equipment thereof.
3. Any electric transmission line and equipment thereof.
4. Any telephone plant, equipment, and distribution system thereof.
5. Any waterworks, mains, and water distribution system and any equipment or
appliances connected therewith and any property related thereto, notwithstanding any
other provision of law.
6. Any heating system, gas or otherwise, and the buildings and equipment necessary to
furnish heat to the public buildings of the municipality and to the inhabitants of the
municipality.
7. Any natural or artificial gas pipeline transmission or distribution system or plants.
For purposes of subsection 5, the term "lease" includes any lease, sublease, purchase
agreement, lease-purchase agreement, installment purchase agreement, leaseback agreement,
or other contract, agreement, instrument, or arrangement pursuant to which any rights,
interests, or other property are transferred to, by, or from any party to, by, or from one or more
parties, and any related documents entered or to be entered, including any operating
agreement, service agreement, indemnity agreement, participation agreement, loan agreement,
or payment undertaking agreement. A lease obligation of a municipality under subsection 5 may
not exceed a term of ninety-nine years. A lease obligation of a municipality under subsection 5
does not constitute an indebtedness of the municipality or a pledge of the full faith and credit or
unlimited taxing resources of the municipality. Notwithstanding any other provision of law, a
municipality may solicit and accept one or more proposals for a lease transaction, including the
arrangement thereof, under subsection 5. The municipality, by resolution of its governing body
upon a majority vote of the members of the governing body, may accept a proposal that it
determines to be in the public interest. A lease under subsection 5, and any related documents
entered or to be entered, may be authorized by resolution of the governing body of the
municipality.