Community development districts.

2018
STATE OF WYOMING
18LSO-0492
ENGROSSED
2.1

SENATE FILE

NO.
SF0113

Community development districts.

Sponsored by:
Senator(s) Nethercott, Anselmi-Dalton, Christensen, Driskill, Kinskey, Pappas, Perkins and Rothfuss and Representative(s) Burkhart, Byrd, Henderson, Lindholm, Olsen, Stith and Zwonitzer

A BILL

for

AN ACT relating to cities and towns; authorizing municipalities to create community development districts as specified; specifying requirements; providing definitions; specifying duties and powers of community development districts and district boards of directors; authorizing assessments; specifying duties of municipalities; amending definitions; and providing for an effective date.

Be It Enacted by the Legislature of the State of Wyoming:

Section
1
.

W.S. 15
‑
12
‑
101 through 15
‑
12
‑
11
3
are created to read:

CHAPTER 12
COMMUNITY DEVELOPMENT DISTRICTS

15
‑
12
‑
101
.

Community Development District Act; short title.

This
article
may be known and may be cited as the "Community Development District Act."

15
‑
12
‑
10
2
.

Definitions.

(a)

As used in this act:

(i)

"Assessed value" means the total assessed value of real property within the district. Assessed value shall be determined from the last assessment roll of the county within which the district is located;

(ii)

"Board" means the board of directors of a community development district;

(iii)

"District" means a community development district as organized under the terms of this act;

(iv)

"Elector" or "voter" means a person who is a qualified elector or an owner of land in the proposed or established district, including any corporation, partnership or association owning land in the district provided the individual who casts the vote for a corporation, partnership or association presents the election judge with a written authorization to vote for the corporation, partnership or association. No person is a qualified elector who is under eighteen (18) years of age, a mentally incompetent person, or who has been convicted of a felony and his civil or voting rights have not been restored. In applying provisions of the Special District Elections Act of 1994 to this act, the terms "elector" or "voter" shall include qualified electors and landowners;

(v)

"General plan" means the plan described in W.S. 15
‑
12
‑
106,
and as the plan may be amended;

(v
i
)

"Governing body"
means, unless otherwise specified in this act, as defined in W.S. 15
‑
1
‑
101(a)(vi)
;

(v
i
i
)

"Improvement" means and includes buildings, structures and all facilities of a public nature
intended for public use, including but not limited to streets, sidewalks, curbs, gutters, bridges, alleys and other public ways, parks, recreational facilities, water, sewage, solid waste disposal and other sanitary systems and facilities,
broadband
and public utility upgrades, and with respect to the foregoing, such additional facilities or improvements that are necessary for the maintenance and functioning of improvements;

(vii
i
)

"Landowner" or "owner of land" means the person or persons holding a majority interest in the record fee title to one (1) or more parcels of real property or a person or the persons who are obligated to pay general property taxes under a contract to purchase real property;

(
i
x
)

"Municipality" means any incorporated or chartered city or town as established under Wyoming law;

(x)

"Service" means any of the following:

(A)

The operation and maintenance of improvements and any other service authorized by this act;

(B)

Snow removal;

(
C
)

The provision of
enhanced
t
ransportation services;

(
D
)

Contracting for
broadband
services;

(E
)

The provision of recreation services.

(x
i
)

"This act" means
W.S. 15
‑
12
‑
101 through 15
‑
12
‑
113
.

15
‑
12
‑
103
.

Districts authorized; general function.

(
a
)

Any area exclusively within the boundaries of a municipality may be formed into a community development district to perform any of the following functions:

(i)

Acquire, construct, operate and maintain improvements of local necessity and convenience;

(ii)

Obtain improvements and services by contracting for the same with any city, town, county or other entity;

(iii)

Furnish or perform any special local service that enhances the use or enjoyment of any improvement or facility
;

(
iv) Funds assessed under this act shall not be used to contract for broadband services unless the district is unserved as defined by the federal communications commission. The district shall not acquire ownership in any broadband facility funded pursuant to this act. For purposes of this subsection, broadband facility shall not include conduit. The district shall not utilize any funds procured pursuant to this act to provide its own broadband services in competition with private providers.

(b)

A district shall not be formed to provide improvements and services defined by the municipality as basic and customarily available to residents of the municipality pursuant to W.S. 15
‑
1
‑
402(c)(iii)
, except
that
a
district may be formed to provide
such an
improvement
or

service
if the improvement or service
is
not in fact
available to residents of the proposed district
at the time of formation
. If a municipality subsequently provides an improvement or service that a district was created to provide, the district shall either:

(i)

Dissolve pursuant to W.S. 22
‑
29
‑
401 through 22
‑
29
‑
408
;
or

(ii)

Amend its general plan pursuant to W.S. 15
‑
12
‑
106(b) to provide other improvements or services in accordance with this act.

(c
)

A district is a separate entity and a political subdivision of the state.

15
‑
12
‑
104
.

Jurisdiction.

The governing body of a municipality shall hear proceedings
for the creation of community development districts within the municipality which unless specifically otherwise provided, shall be governed by the Special District Elections Act of 1994.

15
‑
12
‑
105
.

Creation of district; commencement by petition; hearing and election procedures.

(a)

Proceedings for the formation of a district shall commence by filing a petition addressed to the governing body of the municipality in which the land proposed to be included in the district is situated. A petition to form a district shall be signed by not less than twenty
‑
five percent (25%) of the persons owning land within the territory proposed to be included in the district, whose land in the proposed district has an assessed value of twenty
‑
five percent (25%) or more of the assessed value of
all of
the land within the proposed district. The petition shall be accompanied by a
general plan as described in W.S. 15
‑
12
‑
106 and a
filing fee of two hundred dollars ($200.00).

(b)

Upon receipt of a valid petition, the governing body of the municipality shall review the petition and hold a hearing on the formation of the district.
Upon request of the governing body, the petitioners may submit an amended petition that modifies the boundaries of the district. The
governing body shall call an election for the formation of the district and for the members of the board.
The election shall be at the expense of the district.

(c)

A hearing and election under subsection (b) of this section shall
be deemed waived
if one hundred percent (100%) of the landowners within the proposed district sign the petition
as originally prepared
and agree on
all of

the members of the board
.

(
d
)

The boundaries of the district shall be certified to the county assessor of the county in which the municipality is located within sixty (60) days after formation of the district.

15
‑
12
‑
106
.

District general plan.

(a)

A petition for the formation of a district under W.S. 15
‑
12
‑
105 shall be accompanied by a general plan. The general plan at a minimum shall include:

(i)

A description of the purposes of the district and how the purposes will be realized through the creation of the district;

(ii)

A description of any improvements anticipated by the general plan and how those improvements will be constructed, operated, maintained and financed and when the improvements are expected to be completed;

(iii)

A description of any services anticipated by the general plan and when the services are expected to be available;

(iv)

A description of the general duties and responsibilities of the district to be paid for from the mill lev
y assessed pursuant to this act
;

(v)

A statement that assessments will exist only for the
period of time
required to complete improvements and complete the duties and r
esponsibilities of the district at which time t
he district shall recommend to the municipality that the levy be discontinued. Upon receipt of a recommendation, the municipality shall submit the
proposal to discontinue the
levy
to the voters of the district pursuant to W.S. 15
‑
12
‑
112(c
);

(vi)

Any other information the district or the municipality deems appropriate for disclosure within the general plan.

(b)

The general plan may be amended under the following procedure:

(i)

A proposed amendment to the general plan shall be submitted by the board to the governing body of the municipality for consideration. If the governing body approves the amendment by resolution, the proposed amendment shall be delivered to the clerk of the municipality. The clerk shall mail the proposed amendment to every landowner in the district;

(ii)

Within thirty (30) days of the
date of

mailing the proposed amendment, any landowner in the district may object in writing to the proposed amendment and request a hearing before the governing body to offer objections to the proposed amendment;

(iii)

If no objection is filed or upon the governing body’s approval of the proposed amendment after a hearing on objections, the general plan as amended shall become the general plan of the district.

(c)

The board shall implement the general plan and unless oth
erwise specified in this act
shall have all powers necessary to implement the general plan.

(d)

The clerk of the district and the clerk of the municipality shall maintain the general plan and make the general plan available for inspection at their respective offices. Upon direction from the governing body of the municipality, the governing plan may also be recorded in the offices of the county clerk of the county wh
ere the district is located.

15
‑
12
‑
107
.

Powers of district.

(a)

Each district may:

(i)

Have and use a corporate seal;

(ii)

Sue and be sued, and be a party to suits, actions and proceedings;

(iii)

Enter into contracts
for the purpose of
providing any authorized improvements and the maintenance and operation thereof, or otherwise to carry out the purposes of the district;

(iv)

Accept from any public or private source grants, contributions and any other benefits available for use in furtherance of its purposes;

(v)

Borrow money and incur indebtedness and other obligations and evidence the same by ce
rtificates, notes or debentures
and issue bonds;

(vi)

Assess the costs of improvements within the district against the
real
property specially benefited upon a frontage, zone or other equitable basis, in accordance with benefits;

(vii)

Adopt
rules and regulations
not inconsistent with law;

(viii)

Establish and collect charges for the use of improvements and services provided by the district, including authority to change the amount or rate thereof, and to pledge the revenues therefrom for the payment of district indebtedness;

(ix)

Acquire and own or lease real or personal property, including easements and rights
‑
of
‑
way, within or without the district for district purposes;

(x)

Contract with other districts for common use of improvements and services for the benefit of the inhabitants of all contracting districts;

(xi
)

Provide all services
not customarily avail
able within the municipality and
necessary to protect the health and welfare of residents in the district and the value of
real
property therein
,
and to enter into agreements with any public or private agency, institution or person for the furnishing of such services;

(xii
)

Provide for recreation by means of parks, including but not limited to playgrounds, golf courses, swimming pools or recreation buildings;

(xiii
)

Provide for street lighting;

(x
i
v)

Provide for the opening, widening, extending, straightening and surfacing in whole or in part of any street and
maintenance, reconstruction, snow removal and clearance for the same or other roads and streets;

(xv)

Provide for the construction, maintenance, reconstruction and improvement of bridges, culverts, curbs, gutters, drains and works incidental to any street improvement;

(x
vi
)

Provide
enforcement of covenants, reservations and restrictions of record
;

(x
vii
)

E
stablish and collect charges for the use of any improvement to cover the cost of operating a
nd maintaining the improvement;

(x
viii
)

Contract for

broadband services in unserved areas as defined by the federal communications commission;

(x
i
x)

Do
any and all
other things necessary to carry out the purposes of the district.

15
‑
12
‑
10
8
.

District board of directors
; compensation
.

(a)

The district shall be managed and controlled by a board of directors consisting of
either three (3) or

five (5) voting
members
. The initial board members shall be elected
at the organizational election or by petition approved by one hundred
(100).

A simple majority of members
shall serve an initial term of two (2) years and the remaining members shall serve an initial term of four (4) years after formation of the district and until their successors are elected and qualified at the regular scheduled subsequent director election as provided in W.S. 22
‑
29
‑
112. Thereafter, members shall be elected for terms of four (4) years. A vacancy occurring on the board during the term of an original director or his successor shall be
filled as provided in the Special District Elections Act of 1994.

(b)

A member of the governing body of the municipality where the district is located shall serve as a nonvoting member on the board.
The nonvoting member shall be selected by a vote of the governing body.
The nonvoting member shall serve a term of four (4) years or until the member is no longer on the governing body of the municipality, whichever occurs first.
Vacancies under this subsection shall be filled by the governing body, which shall select a new member by vote.

(c
)

The members of the board shall serve without compensation but shall receive reimbursement for actual and necessary expenses incurred
in connection with
the performance of their duties.

15
‑
12
‑
109
.

I
ntent to provide for special assessment.

(a)

The board may
by written declaration
order improvements or services to be paid for by assessment. The
declaration
shall specify

all of
the following
:

(i)

The nature of the improvement or service proposed;

(ii)

The
property within the district
to be improved or served;

(iii)

The probable cost as shown by estimates of a qualified
person
;

(iv)

The time in which the cost will be payable;

(v)

The time when
a declaration
authorizing the improvements or services will be considered.

15
‑
12
‑
1
10
.

Notice of
declaration
; hearing; objections.

(a)

At the request of the board the governing body shall
,
by advertisement once in a newspaper of general circulation in the municipality where the district is located,
provide notice
to the owners of the property to be assessed

that specifies

all of
the following
:

(i)

The nature of the improvement or service proposed;

(ii)

The
property within the district
to be improved or served;

(iii)

The probable cost of the improvement or service;

(iv)

The time at which the cost will be payable;

(v)

The time when
a declaration
authorizing the improvements or services will be considered by the board;

(vi)

That maps, estimates and schedules showing the approximate amounts to be assessed and all
declarations,
resolutions and proceeding
s are on file and may be
examined at the office of the governing b
ody or other designated place;

(vii)

That all complaints and objections concerning the proposed improvement or service by owners of
real
property subject to assessment will be heard and considered by the board before final action, under the provisions of the Wyoming Administrative Procedure Act.

(b)

If objections to the improvement or service are made by owners or agents
representing owners of land
subject to
fifty percent (5
0%) or more of the projected dollar assessments the improvement or service shall not be authorized and a new
declaration
for the same or a similar purpose encompassing
lands subject to
objections shall not be considered within one (1) year thereafter.

15
‑
12
‑
111
.

Notice of apportionment; assessment roll.

(a)

A copy of the
declaration
as finally adopted shall be recorded by the clerk of the governing body. The
clerk of the governing body
shall within sixty (60) days after the adoption of the
declaration
by written notice, mailed or otherwise delivered, notify each owner of
land
to be assessed of the amount of assessment, the purpose for which the levy is made, the
assessment
against each lot or parcel of land, and the date it becomes delinquent.

(b)

The
clerk of the governing body shall prepare an assessment roll as specified in title 15, chapter 6, article 4 of the Wyoming statutes.

15
‑
12
‑
112
.

Duty of
municipal officials
to levy and collect assessments
; administrative deduction
.

(a)

The
treasurer or clerk of the municipality where the district is located
shall levy
and collect
assessments
in the manner provided
for assessments
in title 15, chapter
6
, article
4
of the Wyoming statutes, except
that the
payment of the collections shall be made monthly to the treasurer of the district and paid into its depository to the credi
t of the district.

(
b
)

Assessments levied and collected to provide services pursuant to this act shall
remain in effect until a petition to discontinue the
assessment
, signed by not less than
fifty percent (5
0%) of the voters of the district, is received by the governing body of the municipality where the district is located, at which time the proposal to discontinue the
assessment
shall be submitted to the voters of the district at the expense of
the
district
at the next general election. If the proposition to discontinue the
assessment
is defeated, the proposition shall not again be submitted to the electors for at least twenty
‑
three (23) months.

(c)

The municipality may deduct up to one percent (1%) of the amount of collections to cover all administrative expenses and costs attribut
able
to performing its duties under this section.

15
‑
12
‑
113
.

Rules and regulations; enforcement.

The board may adopt reasonable rules and regulations not inconsistent with law for the government and control of the district organization and to facilitate the collection of
taxes,
assessment
s
or charges. All rules and regulations adopted pursuant to this section shall be promulgated in accordance with the Wyoming Administrative Procedure Act and filed with the clerk of the governing body for the municipality in which the district is located.

Section 2
.

W.S. 15
‑
1
‑
101(a)(intro) and (xv) is amended to read:

15
‑
1
‑
101
.

Definitions.

(a)

As used in W.S. 15
‑
1
‑
101 through
15
‑
11
‑
302
15
‑
12
‑
11
3
:

(xv)

"This act", unless otherwise specified, means W.S. 15
‑
1
‑
101 through
15
‑
11
‑
302
15
‑
12
‑
11
3
.

Section
3
.

This act is effective
immediately upon completion of all acts necessary for a bill to become law as provided by Article 4, Section 8 of the Wyoming Constitution.

(END)

1
SF0113