*Sec. 7.__Number of trustees; terms.__The board of trustees of the district is composed of 3 trustees.__A trustee must be a resident of the district and reside in a household to which the district's service is provided.__Trustees are elected to 3-year terms in accordance with the Maine Revised Statutes, Title 35-A, section 6410, subsection 1.

Sec. 4. P&SL 1977, c. 99, §8, 5th ¶ is repealed and the following enacted in its place:

Notwithstanding the Maine Revised Statutes, Title 35-A, section 6410, subsection 7, the compensation of the trustees and the treasurer of the board of trustees is determined by the board of trustees.

Sec. 5. P&SL 1977, c. 99, §12, as amended by P&SL 1997, c. 42, §§1 and 2 and affected by §3, is repealed and the following enacted in its place:

*Sec. 12.__Debt limit.__For accomplishing the purposes of this Act, and for any other expenses that may be necessary for the carrying out of those purposes, the district, through its trustees, is authorized to borrow money temporarily and to issue for the money its negotiable notes; and for the purpose of renewing and refunding the indebtedness created, of paying any necessary expenses and liabilities incurred under the provisions of this Act, including organizational and other necessary expenses and liabilities, whether incurred by the district or the municipality, the district being authorized to reimburse the municipality for any such expenses incurred by it, and in acquiring properties, paying damages, laying pipes, mains, aqueducts and conduits, constructing, maintaining and operating a water plant or system and making renewals, additions, extensions and improvements to the same, and to cover interest payments during the period of construction, the district, through its trustees, is also authorized to issue, from time to time, bonds, notes or other evidences of indebtedness of the district in one series or in separate series and to make subsequent renewals of the bonds, notes or other evidences of indebtedness, the amount or amounts, not exceeding the sum of $1,500,000 outstanding at any one time, bearing interest at such rate or rates, and having such terms and provisions as the trustees determine; except that, in the case of a vote by the trustees to authorize bonds or notes to pay for the acquisition of property, for the cost of a water system or part of a water system, for renewal or additions or for other improvements in the nature of capital costs, the estimated

cost of which, singly or in the aggregate included in any one financing is $30,000 or more, or for renewing or refunding existing indebtedness, notice of the proposed debt and of the general purpose or purposes for which it was authorized must be given by the clerk by publication at least once in a newspaper having a general circulation in the Town of Vinalhaven.

Notwithstanding any other provision of this section, the district, through its trustees, may issue bonds, notes or other evidences of indebtedness in amounts exceeding $1,500,000 at any one time if a greater debt limit is established by referendum in accordance with the Maine Revised Statutes, Title 35-A, section 6413.__The district may not have outstanding at any one time bonds, notes or other evidences of indebtedness in amounts exceeding any debt limit established by referendum in accordance with Title 35-A, section 6413.

Sec. 6. Transition; trustees in office. Trustees of the Vinalhaven Water District in office on the effective date of this Act may continue in office for the remainder of their terms. When the term of office of a trustee expires, that trustee's successor is appointed in accordance with Private and Special Law 1977, chpater 99, section 7.

Emergency clause. In view of the emergency cited in the preamble, this Act takes effect when approved.

SUMMARY

This bill amends the charter of the Vinalhaven Water District.