MUNICIPAL SERVICE DISTRICTS/STATUTORY CHANGES.

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View NCGA Bill Details2015-2016 Session
House Bill 1023 (Public) Filed Tuesday, May 3, 2016
AN ACT PROVIDING THAT (I) A MUNICIPAL SERVICE DISTRICT MAY BE DEFINED BY THE CITY COUNCIL UPON RECEIPT OF A PETITION FROM REAL PROPERTY OWNERS; (II) A CITY MAY EXCLUDE PROPERTY FROM A MUNICIPAL SERVICE DISTRICT PRIOR TO OR AFTER THE CREATION OF THE DISTRICT IF THE PROPERTY DOES NOT BENEFIT FROM THE SERVICES, FACILITIES, OR FUNCTIONS OF THE DISTRICT; (III) A MUNICIPAL SERVICE DISTRICT MAY BE DEFINED, EXTENDED, CONSOLIDATED, AND ABOLISHED ONLY BY ORDINANCE; AND (IV) A CONTRACT FOR SERVICES IN A MUNICIPAL SERVICE DISTRICT WITH A PRIVATE AGENCY SHALL INCLUDE A REQUIREMENT THAT THE AGENCY REPORT THE IDENTITY OF ANY SUBCONTRACTORS, AS RECOMMENDED BY THE LRC COMMITTEE ON MUNICIPAL SERVICE DISTRICTS.
Intro. by Davis.

Status: Ch. SL 2016-8 (House Action) (Jun 1 2016)

SOG comments (1):

Identical bill

Identical to S 803, filed 5/3/16.

Bill History:

H 1023/S.L. 2016-8

Bill Summaries:

  • Summary date: Jun 3 2016 - View Summary

    AN ACT PROVIDING THAT (I) A MUNICIPAL SERVICE DISTRICT MAY BE DEFINED BY THE CITY COUNCIL UPON RECEIPT OF A PETITION FROM REAL PROPERTY OWNERS; (II) A CITY MAY EXCLUDE PROPERTY FROM A MUNICIPAL SERVICE DISTRICT PRIOR TO OR AFTER THE CREATION OF THE DISTRICT IF THE PROPERTY DOES NOT BENEFIT FROM THE SERVICES, FACILITIES, OR FUNCTIONS OF THE DISTRICT; (III) A MUNICIPAL SERVICE DISTRICT MAY BE DEFINED, EXTENDED, CONSOLIDATED, AND ABOLISHED ONLY BY ORDINANCE; AND (IV) A CONTRACT FOR SERVICES IN A MUNICIPAL SERVICE DISTRICT WITH A PRIVATE AGENCY SHALL INCLUDE A REQUIREMENT THAT THE AGENCY REPORT THE IDENTITY OF ANY SUBCONTRACTORS, AS RECOMMENDED BY THE LRC COMMITTEE ON MUNICIPAL SERVICE DISTRICTS. Enacted June 1, 2016. Effective June 1, 2016.


  • Summary date: May 3 2016 - View Summary

    Amends GS 160A-536(d), concerning contracts for cities to provide services, facilities, functions, or promotional and development activities to municipal service districts with its own forces, through a contract with another governmental agency, private agency, or a combination, to require to be included in the contract the appropriate accounting for city moneys to be used for a service district, including the name, location, purpose, and amount paid to any person(s) with whom the private agency contracted to perform or complete any purpose for which the city moneys were used for that service district.  Effective when this act becomes law and applies only to contracts entered into on or after that date.

    Amends GS 160A-537, Definitions of service districts, to add a new subsection (a1) that provides for "petition to define district," and new subsection (c1) that provides for "exclusion from district," both of which can be done by city ordinance.  Adds new subsection (f) providing that no ordinance defining a service district as provided for in this statute can be finally adopted until it has been passed at two meetings of the city council by majority vote of the voting members present, and that no service district can be defined except by ordinance. Eliminates subsection (e), establishing provisions for the case of a resolution defining a service district.  

    Amends GS 160A-438 to add a new subsection (e1) establishing that no ordinance annexing territory to a service district as provided for in this statute can be finally adopted until it has been passed at two meetings of the city council by majority vote of the voting members present, and no territory can be annexed to a service district except by ordinance.  Adds new title to subsection (f), Historic District Boundaries Extension. Requires a city to annex territory to a service district through an ordinance (was, through a resolution).

    Amends GS 160A-538.1 to add a new subsection (a1) allowing a property owner to submit a written request to the city council to remove the owner's tract or parcel of land from a service district, and directs that upon this request, the city council must hold a public hearing as required by subsection (a), and may by ordinance redefine the service district by removing the property owner's tract or parcel if the city council finds that the tract or parcel is not in need of the services, facilities, or functions of the service district to a demonstrably greater extent than the remainder of the city.  Adds new subsection (b1) establishing that no ordinance reducing a service district as provided for in this statute can be finally adopted until it has been passed at two meetings of the city council by majority vote of the voting members present, and that no service district can be reduced except by ordinance, similar to GS 160A-537(f) and GS 160A-438(e1), as amended.  Adds new title to subsection (b), Effective Date, and subsection (c), Historic District Boundaries Reduction. Service districts are to be consolidated by ordinance instead of by a resolution.

    Amends GS 160A-539 to add a new subsection (e) establishing that no ordinance consolidating two or more service districts as provided for in subsection (a) of this statute can be finally adopted until it has been passed at two meetings of the city council by majority vote of the voting members present, and that no service districts can be consolidated except by ordinance, similar to GS 160A-537(f), GS 160A-438(e1), and GS 160A-538.1(b1), as amended. Service districts are to be consolidated by ordinance instead of by a resolution.

    Makes conforming changes to subsections GS 160A-537, GS 160A-538, GS 160A-538.1, GS 160A-539, and GS 160A-541 to replace references to city resolution with city ordinance.