Section 111. Contracts

Two or more municipalities are hereby empowered to
  enter into a contract to provide for a common supply of water, including
  joint  acquisition,  construction,  operation  and   maintenance.   Such
  contract  shall provide for the method of acquisition or construction of
  the common supply; the management  and  operation  of  the  system;  the
  method   of   fixing  the  proportionate  share  of  each  participating
  municipality and of making contributions; the method  of  making  annual
  adjustments  of the proportionate shares of the annual cost and expense;
  the  method  of  collection  of  water  rates  and  other  charges,  and
  enforcement  thereof;  the  accumulation of reserves; the fixing of rate
  schedules and other charges;  the  adoption  of  rules  and  regulations
  covering  the  operation  of  the system and the conditions of sale; the
  adjudication of disputes and all other matters necessary  to  effectuate
  such an arrangement.