HB 1586 -- Reorganized Common Sewer Districts

Sponsor:  Cooper (120)

This bill establishes notice and procedural requirements for the
new formation of a reorganized common sewer district and the
conversion of a current sewer district into a reorganized common
sewer district.

For new districts, incorporation must be approved by two-thirds
of the voters in the district unless the petitioners specify that
the organization is without the authority to issue general
obligation bonds.  In that case, incorporation must only be
approved by a simple majority of voters in the district.
Property owners with land contiguous or reasonably close to a
reorganized district may petition the board to become part of the
reorganized district.  The board may petition the circuit court
for an amended decree of incorporation to allow the district to
engage in the construction, maintenance, and operation of water
supply and distribution facilities which serve 10 or more
separate properties in the district, if the properties meet
certain criteria.

To convert an existing common sewer district into a reorganized
common sewer district, a petition must be filed with the circuit
court after the governing body of the district has made a
determination that the reorganization is in the best interest of
the district.  The bonded indebtedness and security interests of
creditors of any common sewer district which converts to a
reorganized common sewer district cannot be affected by the
conversion.

The board of any reorganized sewer district cannot levy taxes or
issue general obligation bonds unless authorized by the voters.
The total amount of general obligation bonds cannot exceed 10% of
the assessed valuation of all taxable tangible property located
in the district.  Districts may create sanitary sewer improvement
areas and impose assessments and user fees on the property
benefitted by the improvement project.

Anyone who knowingly makes false statements in any filing with a
district or tampers with a monitoring device is subject to a fine
of $1,000 per violation per day for the first violation and
$3,000 per violation per day for the second violation.  Third and
subsequent violations are class D felonies.

Missouri House of Representatives
92nd General Assembly, 2nd Regular Session
Last Updated September 23, 2004 at 11:15 am