Text: SSB00258 Text: SSB00260 Text: SSB00200 - SSB00299 Text: SSB Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. NEW SECTION. 357H.1 RURAL IMPROVEMENT ZONES. 1 2 The board of supervisors of a county shall designate an 1 3 unincorporated area of the county a rural improvement zone 1 4 upon receipt of a petition pursuant to section 357H.2 and upon 1 5 the board's determination that the area is in need of 1 6 improvements. For purposes of this chapter, "improvements" 1 7 means dredging, sewer installation, water quality systems, 1 8 land acquisition, installation, and related improvements. 1 9 For purposes of this chapter, "board" means the board of 1 10 supervisors of the county. 1 11 Sec. 2. NEW SECTION. 357H.2 PETITION FOR PUBLIC HEARING. 1 12 1. The board shall, on the petition of twenty-five percent 1 13 of the residents of a proposed rural improvement zone, if the 1 14 assessed valuation of the property owned by the petitioners 1 15 represents at least twenty-five percent of the total assessed 1 16 value of the proposed zone, hold a public hearing concerning 1 17 the establishment of a proposed zone. The petition shall 1 18 include a statement containing the following information: 1 19 a. The need for the proposed zone. 1 20 b. A description of the boundaries of the proposed zone. 1 21 c. The approximate number of families in the proposed 1 22 zone. 1 23 2. The board may require the petitioners to post a bond 1 24 conditioned upon the payment of all costs and expenses 1 25 incurred in the proceedings if the zone is not established. 1 26 Sec. 3. NEW SECTION. 357H.3 TIME OF PUBLIC HEARING. 1 27 The public hearing required in section 357H.2 shall be held 1 28 within thirty days of the presentation of the petition. 1 29 Notice of hearing shall be given by publication as provided in 1 30 section 331.305. 1 31 Sec. 4. NEW SECTION. 357H.4 HEARING ON PETITION 1 32 ACTION BY BOARD. 1 33 At the public hearing required in section 357H.3, the board 1 34 may consider the boundaries of a proposed rural improvement 1 35 zone, whether the boundaries shall be as described in the 2 1 petition or otherwise, and for that purpose may amend the 2 2 petition and change the boundaries of the proposed zone as 2 3 stated in the petition. The board may adjust the boundaries 2 4 of a proposed zone as needed to exclude land that has no 2 5 reasonable likelihood of benefit from inclusion in a rural 2 6 improvement zone. However, the boundaries of a proposed zone 2 7 shall not be changed to incorporate property which is not 2 8 included in the original petition. 2 9 Within ten days after the hearing, the board shall 2 10 establish the rural improvement zone by resolution or disallow 2 11 the petition. However, the zone shall not include any area 2 12 which is part of an urban renewal area under chapter 403. 2 13 Sec. 5. NEW SECTION. 357H.5 ELECTION OF CANDIDATES FOR 2 14 TRUSTEES. 2 15 When a preliminary plat has been approved by the board, an 2 16 election shall be held within the rural improvement zone 2 17 within sixty days to choose candidates for the offices of 2 18 trustees of the zone. Notice of the election shall be given 2 19 as provided in section 357H.3. 2 20 Sec. 6. NEW SECTION. 357H.6 TRUSTEES TERM AND 2 21 QUALIFICATION. 2 22 The election of trustees of a rural improvement zone shall 2 23 take place at a special election on ballots which shall not 2 24 reflect a nominee's political affiliation. Nomination shall 2 25 be made by petition in accordance with chapter 45. The 2 26 petition form shall be furnished by the county commissioner of 2 27 elections, signed by eligible electors of the rural 2 28 improvement zone equal in number to one percent of the vote 2 29 cast within the zone for governor in the last previous general 2 30 election, and shall be filed with the county commissioner of 2 31 elections. A plurality shall be sufficient to elect the three 2 32 trustees of the rural improvement zone, and no primary 2 33 election for that office shall be held. At the original 2 34 election, one trustee shall be elected for one year, one for 2 35 two years, and one for three years. The terms of the 3 1 succeeding trustees are for three years. The trustees must be 3 2 residents of the zone. Vacancies on the board shall be filled 3 3 by appointment by the remaining trustees. 3 4 Sec. 7. NEW SECTION. 357H.7 BOARD OF TRUSTEES POWER. 3 5 The trustees of a rural improvement zone elected pursuant 3 6 to section 357H.6 shall constitute the board of trustees of 3 7 the zone and shall manage and control the affairs, property, 3 8 and facilities of the zone. The board of trustees shall elect 3 9 a president, a clerk, and a treasurer from its membership. 3 10 The trustees may authorize construction, reconstruction, or 3 11 repair of improvements within the zone following procedures 3 12 set out in section 331.341. For these purposes, the trustees 3 13 may purchase material, employ personnel, acquire real estate 3 14 and interests in real estate, and perform all other acts 3 15 necessary to properly maintain and operate the zone. The 3 16 trustees are allowed necessary expenses in the discharge of 3 17 their duties, but they shall not receive a salary. 3 18 Sec. 8. NEW SECTION. 357H.8 CERTIFICATES. 3 19 To provide funds for the payment of the costs of 3 20 improvement projects, the board of trustees may borrow money 3 21 and issue and sell certificates payable from a sufficient 3 22 portion of the future receipts of tax revenue authorized 3 23 pursuant to section 357H.9 and the standby tax in subsection 4 3 24 of this section. The receipts shall be pledged to the payment 3 25 of principal of and interest on the certificates. 3 26 1. Certificates may be sold at public sale or at private 3 27 sale at par, premium, or discount at the discretion of the 3 28 board of trustees. Chapter 75 does not apply to the issuance 3 29 of these certificates. 3 30 2. Certificates may be issued with respect to a single 3 31 improvement project or multiple projects and may contain terms 3 32 or conditions as the board of trustees may provide by 3 33 resolution authorizing the issuance of the certificates. 3 34 3. Certificates issued to refund other certificates may be 3 35 sold at public sale or at private sale as provided in this 4 1 section with the proceeds from the sale to be used for the 4 2 payment of the certificates being refunded. The refunding 4 3 certificates may be exchanged in payment and discharge of the 4 4 certificates being refunded, in installments at different 4 5 times, or an entire issue or series at one time. Refunding 4 6 certificates may be sold or exchanged at any time on, before, 4 7 or after the maturity of the outstanding certificates to be 4 8 refunded, may be issued for the purpose of refunding a like, 4 9 greater, or lesser principal amount of certificates, and may 4 10 bear a rate of interest higher or lower than, or equivalent to 4 11 the rate of interest on certificates being renewed or 4 12 refunded. 4 13 4. To further secure the payment of the certificates, the 4 14 board of trustees shall, by resolution, provide for the 4 15 assessment of an annual levy of a standby tax upon all taxable 4 16 property within the rural improvement zone. A copy of the 4 17 resolution shall be sent to the county auditor. The revenues 4 18 from the standby tax shall be deposited in a special fund and 4 19 shall be expended only for the payment of principal of and 4 20 interest on the certificates issued as provided in this 4 21 section, when the receipt of tax revenues pursuant to section 4 22 357H.9 is insufficient. If payments are necessary and made 4 23 from the special fund, the amount of the payments shall be 4 24 promptly repaid into the special fund from the first available 4 25 payments received which are not required for the payment of 4 26 principal of or interest on certificates due. No reserves may 4 27 be built up in the special fund in anticipation of a projected 4 28 default. The board of trustees shall adjust the annual 4 29 standby tax levy for each year to reflect the amount of 4 30 revenues in the special fund and the amount of principal and 4 31 interest which is due in that year. 4 32 5. Before certificates are issued, the board of trustees 4 33 shall publish a notice of its intention to issue the 4 34 certificates, stating the amount, the purpose, and the 4 35 improvement project or projects for which the certificates are 5 1 to be issued. A person may, within fifteen days after the 5 2 publication of the notice, appeal the decision of the board of 5 3 trustees in proposing to issue the certificates to the 5 4 district court in the county in which the rural improvement 5 5 zone exists. The action of the board of trustees in 5 6 determining to issue the certificates is final and conclusive 5 7 unless the district court finds that the board of trustees has 5 8 exceeded its legal authority. An action shall not be brought 5 9 which questions the legality of the certificates, the power of 5 10 the board of trustees to issue the certificates, the 5 11 effectiveness of any proceedings relating to the authorization 5 12 of the project, or the authorization and issuance of the 5 13 certificates after fifteen days from the publication of the 5 14 notice of intention to issue. 5 15 6. The board of trustees shall determine if revenues are 5 16 sufficient to secure the faithful performance of obligations. 5 17 Sec. 9. NEW SECTION. 357H.9 INCREMENTAL PROPERTY TAXES. 5 18 The board of trustees shall provide by resolution that 5 19 taxes levied on the taxable property in a rural improvement 5 20 zone each year by or for the benefit of the state, city, 5 21 county, school district, or other taxing district after the 5 22 effective date of the resolution shall be divided as provided 5 23 in section 403.19, subsections 1 and 2, in the same manner as 5 24 if the taxable property in the rural improvement zone was 5 25 taxable property in an urban renewal area and the resolution 5 26 was an ordinance within the meaning of those subsections. The 5 27 taxes received by the board of trustees shall be allocated to, 5 28 and when collected be paid into, a special fund and may be 5 29 irrevocably pledged by the trustees to pay the principal of 5 30 and interest on the certificates issued by the trustees to 5 31 finance or refinance, in whole or in part, an improvement 5 32 project. As used in this section, "taxes" includes, but is 5 33 not limited to, all levies on an ad valorem basis upon land or 5 34 real property located in the rural improvement zone. 5 35 For the purposes of dividing taxes under this section in 6 1 order to finance an improvement project, the board of trustees 6 2 may declare that the applicable assessment roll for purposes 6 3 of paragraph "a" of section 403.19, subsection 1, shall be the 6 4 assessment roll as of January 1, 1995. If this declaration is 6 5 made for an improvement project, the division of revenue under 6 6 section 403.19 for the improvement project shall be limited to 6 7 tax collections for five fiscal years beginning with the first 6 8 fiscal year after the year in which the board of trustees 6 9 first certifies to the county auditor the amount of any loans, 6 10 advances, indebtedness, or bonds which qualify for payment 6 11 from the division of the revenue in connection with the 6 12 improvement project. 6 13 Sec. 10. NEW SECTION. 357H.10 DISSOLUTION OF ZONE. 6 14 The rural improvement zone shall be dissolved upon the 6 15 adoption of a resolution of the board of trustees which 6 16 specifies that all improvements have been made in the zone and 6 17 all indebtedness has been paid. Upon dissolution of the zone, 6 18 all assets shall be returned to the property owners. Any 6 19 improvements and real property purchased shall be transferred 6 20 by the trustees to the property owners. Any excess tax 6 21 revenues shall be redistributed to the taxing districts by 6 22 which the taxes were imposed, if raised pursuant to section 6 23 357H.9. If the tax revenues were raised pursuant to section 6 24 357H.8, subsection 4, the revenues shall be applied as a tax 6 25 credit for property owners of the zone. 6 26 EXPLANATION 6 27 The bill allows a county to designate an unincorporated 6 28 area of the county as a rural improvement zone upon petition 6 29 of 25 percent of the residents who represent at least 25 6 30 percent of the taxable value of property to be located in the 6 31 proposed zone and upon determination of a need for 6 32 improvements in the proposed zone. Improvements include 6 33 dredging, sewer installation, water quality systems, land 6 34 acquisition, installations, and related improvements. The 6 35 bill provides that a hearing shall be held on the designation 7 1 of the proposed area as a rural improvement zone. Upon 7 2 approval by the county of the area as a rural improvement 7 3 zone, an election shall be held to choose a board of trustees 7 4 who have the authority to act in the zone. The trustees will 7 5 determine the improvement projects and are authorized to issue 7 6 certificates of indebtedness to pay for the projects' costs. 7 7 The principal and interest of the certificates will be paid in 7 8 the same manner as projects are paid for in tax increment 7 9 financing districts, i.e., the city, county, or school 7 10 district taxes imposed on the increase in taxable valuations 7 11 in the zone will be paid to the board of trustees. However, 7 12 the trustees have an option under the tax increment financing 7 13 provision of using valuations established as of January 1, 7 14 1995, for the tax base. This option could only be done for 7 15 five years. The board of trustees also has an annual standby 7 16 tax that it may levy if needed. A rural improvement zone 7 17 shall cease upon passage of a resolution by the trustees that 7 18 all improvements needed have been made and all indebtedness 7 19 has been paid. 7 20 LSB 2753XC 77 7 21 mg/sc/14
Text: SSB00258 Text: SSB00260 Text: SSB00200 - SSB00299 Text: SSB Index Bills and Amendments: General Index Bill History: General Index
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