Section 15-1735. Contracts extending beyond license period

1. Whenever the public interest requires or justifies the execution by
  a  licensee  whose  license covers any state property, or who uses water
  that cannot be lawfully used without the consent  of  the  state,  of  a
  contract  for  the  sale  and  delivery  of power for a period extending
  beyond the terms of the license, such a contract  may  be  entered  into
  with  the  approval of the department and the Public Service Commission,
  in which event the duty to perform such contract after the expiration of
  the license period shall devolve upon the person or corporation to  whom
  or  which  a new license covering the property of the former licensee is
  issued, and such new license shall so provide.
    2. A licensee making such a contract shall not be liable thereon after
  the expiration of his license, if it cover any state property or the use
  of water subject to state control, unless the new license is  issued  to
  him.  No  such  licensee  without the written approval of the department
  shall enter into any contract for the sale or delivery of  power  for  a
  term  or  period extending beyond the time fixed for the revision of the
  change or rental payable under his license.