85-1-510. Sale of power and allocation of revenue. (1) If the operator of a small-scale hydroelectric generation facility under this chapter and a public utility or an electric cooperative are unable to mutually agree to a contract for the sale of electricity or a price for the electricity purchased by the utility or electric cooperative, the public service commission shall require the utility or electric cooperative to purchase the power under rates and terms established as provided in 85-1-511 through 85-1-513.

(2) The revenue derived from hydroelectric power generation under this part must be deposited in the state water project hydroelectric power generation special revenue account created under 85-1-220. The funds in the account must be used to repair and rehabilitate state-owned water projects and works and to pay the cost of financing those activities.