|SB 0037||Changes in the way neighborhood improvement districts are established|
|LR Number:||L0561.05C||Fiscal Note:||0561-05|
|Committee:||Local Government and Economic Development|
|Last Action:||05/13/99 - HCS Reported Do Pass H Commerce Committee||Journal page:|
|Title:||HCS SCS SB 37|
|Effective Date:||August 28, 1999|
HCS/SCS/SB 37 - This act makes changes in the way cities and counties establish Neighborhood Improvement Districts. Bonds may only be issued through a competitive bidding process. The proposed assessment formula shall be disclosed to the voters in any election upon an improvement. A separate question shall be placed on the ballot for any maintenance tax levy. Various provisions for maintenance cost assessments prior to bond retirement shall be made.
PETITIONS - Petitions for neighborhood improvement districts by property owners must be signed by at least two-thirds of the owners, as opposed to the owners of two-thirds of the area.
BOND LIMIT - The limit on bonds is changed from 10% of the valuation of all city or county property to 50% of the assessed value of the property in the district. An exception is made when all of the voters in the city or county vote on a proposal; then the bond limit would be 100% of the assessed value of the land in the proposed district. Kansas City, St. Louis City, and districts formed prior to January 1, 2000, are exempt from this provision.
ALTERNATIVE TAX - As an alternative to property assessments, the city or county may provide for an annual tax on property within the district to pay the interest and principal on bonds, to be paid off within 20 years. A maintenance tax of up to 20 cents per $100 assessed valuation may also be collected to offset maintenance costs.
This bill is similar to SB 505 (1998).