Section 98
SEC. 98. City acquisition and operation of utilities.&mdashThe city may own and operate any gas, water, heat, power, light, telephone or other public utility for supplying its own needs for utility service or for supplying utility service to private consumers, or both. It may construct all facilities reasonably needed for that purpose and may acquire by purchase, condemnation or otherwise, any existing utility properties so needed; but no proceedings to acquire any such public utility shall be consumated unless the city has the money in the treasury to pay for the acquisition or has made provision for paying for, the property proposed to be acquired. Subject to the provisions of any applicable Jaw or Public Service Commission regulations, the City Council may fix rates, fares, and prices for city-owned or operated utilities, but such rates, fares and prices shall be just and reasonable. In like manner, the council may prescribe the time and manner in which payments for all such services shall be made, and may make such other regulations as may be necessary, and prescribe penalties for violation of such regulations. The City Council may, in lieu of providing for the local production of gas, electricity, water, and other utilities, purchase the same in bulk and resell them to local consumers at such rates as it may fix in accordance with law. The City Council may, if the public interest will be served thereby, contract with any responsible person, partnership, or corporation, for the operation of any utility owned by the city, upon the basis of the highest and best bid therefor, and upon such terms and conditions as the council may provide; but the terms and conditions, other than the amount of the annual rental, shall be clearly set forth in an ordinance authorizing the taking of bids on the proposed lease, which ordinance shall not be adopted by the council until thirty days after its construction and shall not in the meantime be amended or modified.