247.170. Detachment of part of district included in city--conditions--procedure--election.
Detachment of part of district included incity--conditions--procedure--election.
247.170. 1. Whenever any city owning a waterworks or water supplysystem extends its corporate limits to include any part of the area in apublic water supply district, and the city and the board of directors ofthe district are unable to agree upon a service, lease or sale agreement,or are unable to proceed under section 247.160, then upon the expiration ofninety days after the effective date of the extension of the city limits,that part of the area of the district included within the corporate limitsof the city may be detached and excluded from the district in the followingmanner:
(1) A petition to detach and exclude that part of the public watersupply district lying within the corporate limits of the city as suchlimits have been extended, signed by not less than five percent of theregistered voters who are patrons of the water supply district, or twentyregistered voters that are patrons of each subdistrict, whichever is less,shall be filed in the circuit court of the county in which the district wasoriginally organized.
(2) The court, being satisfied as to the sufficiency of the petition,shall call a special election of the voters of the district at whichelection the proposal to detach and exclude the part of the district lyingwithin the corporate limits of the city shall be submitted to the voters inthe entire district for a vote thereon. The election shall be conductedwithin the district by the election authority.
(3) The ballot shall briefly state the question to be voted on.
(4) In order to approve the detachment and exclusion of any part ofthe area in a public water supply district, the proposal shall require theapproval of not less than a majority of the voters voting thereon.
(5) The election authorities shall thereafter promptly certify theresult to the circuit court. The court, acting as a court of equity, shallthereupon without delay enter a decree detaching and excluding the area inquestion located within the corporate limits of the city from the publicwater supply district; except that before the decree detaching andexcluding the area becomes final or effective, the city shall show to thecourt that it has assumed and agreed to pay in lump sum or in installmentsnot less than that proportion of the sum of all existing liquidated generalobligations and of all unpaid revenue bonds and interest thereon to date ofthe water supply district as the assessed valuation of the real andtangible personal property within the area sought to be detached andexcluded bears to the assessed valuation of all of the real and tangiblepersonal property within the entire area of the district, according to theofficial county assessment of property as of December thirty-first of thecalendar year next preceding the date of the election, and in additionthereto that the city has assumed and agreed to assume or pay in a lump sumall contractual obligations of the water district that are greater thantwenty-five thousand dollars for debt that pertains to infrastructure,fixed assets or obligations for the purchase of water, and to pay the courtcosts.
(6) The decree shall thereupon vest in the city the absolute title,free and clear of all liens or encumbrances of every kind and character, toall tangible real and personal property of the public water supply districtlocated within the part of the district situated within the corporatelimits of the city with full power in the city to use and dispose of thetangible real and personal property as it deems best in the publicinterest.
(7) If the proposal fails to receive the approval of the voters thequestion may be again presented by another petition and again voted on, butnot sooner than six months.
(8) Any and all sums paid out by the city under this section, otherthan the costs of the election, shall be administered by the circuit courtfor the benefit of the holders of the then existing and outstanding bondsof the district, and the remainder of such sums, if any, shall be deliveredto the district to be expended in the operation, maintenance andimprovement of its water distribution system.
2. Upon the effective date of any final order detaching and excludingany part of the area of any public water supply district, or leasing,selling or conveying any of the water mains, plant or equipment therein,the circuit court may, in the public interest, change the boundaries of thepublic water supply district and again divide or redivide the district intosubdistricts for the election of directors in conformity with theprovisions of section 247.040, without further petition being filed withthe court so to do.
(L. 1949 p. 255 § 12637.1, A.L. 1957 p. 581, A.L. 1978 H.B. 971, A.L. 1995 H.B. 484, et al., A.L. 2000 S.B. 741, A.L. 2003 H.B. 511)