(a) The authority may contract with a user of water inside or outside the authority for services for which the authority may charge, including standby service and delivery of water.
(b) The authority may contract with any person in the manner provided by Section 552.020, Local Government Code, for:
(1) constructing:
(A) reservoirs;
(B) dams;
(C) water supply lines; and
(D) water purification and pumping facilities; and
(2) furnishing water supply service.
(c) A contract under Subsection (b) may provide for the operation, maintenance, and ownership of property subject to the contract.