SB 98 — Creating incentives to consolidate local governments

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Red = new code to be enacted WEST virginia legislature regular session IntroducedCommittee Substitute for Senate Bill 98 By Senators Palumbo, Gaunch, Drennan, Takubo, and Beach [Introduced[Originating Januaryin 10,the 2018;Committee on Government Organization;

Referredreported toon theJanuary Committee17, on2018] Government  Organization]  A BILL to amend and reenact §7-11B-3, §7-11B-4 and §7-11B-7 of the Code of West Virginia, 1931, as amended;

and to amend said code by adding thereto a new section, designated §7A-2-5;§7A-2-5, all relating to incentives for consolidating local governments;

andamending tothe amenddefinitions and reenact §31-20-10a of saidcertain code,terms all relating to incentivesinclude formunicipalities consolidatingthat localsuccessfully governments;consolidated;

amendinggranting certainadditional termspowers to includegoverning bodies of municipalities that successfully consolidated;

authorizing municipalities that successfully consolidate additional powers related to creation of a development or redevelopment district;

and creating certain incentives for municipalities and counties that form metro governments by consolidation;consolidation.

and requiring the Division of Corrections to pay for regional jail bills of counties that consolidate from the point of a felony conviction, rather than after sentencing.

— “Agency” includes a municipality, a countycounty, or municipal development agency established pursuant to authority granted in section§7-12-1 one, article twelve of this chapter,code, a port authority, an airport authorityauthority, or any other entity created by this state or an agency or instrumentality of this state that engages in economic development activity or the Division of Highways.

Provided, That for any development or redevelopment district approved after the effective date of the amendments to this section enacted during the regular session of the Legislature in 2014, personal trailers, personal boats, personal campers, personal motor homes, personal ATVsATVs, and personal motorcycles having a tax situs within a development or redevelopment district are excluded from the base assessed value.

“Blighted area” means an area within the boundaries of a development or redevelopment district located within the territorial limits of a municipality or county in which the structures, buildingsbuildings, or improvements, by reason of dilapidation, deterioration, ageage, or obsolescence, inadequate provision for access, ventilation, light, air, sanitation, open spaces, high density of populationpopulation, and overcrowding or the existence of conditions which endanger life or property,property are detrimental to the public health, safety, moralsmorals, or welfare.

“Blighted area” includes any area which, by reason of the presence of a substantial number of substandard, slum, deteriorated or deteriorating structures, predominance of defective or inadequate street layout, faulty lot layout in relation to size, adequacy, accessibilityaccessibility, or usefulness, unsanitary or unsafe conditions, deterioration of site or other improvements, diversity of ownership, defective or unusual conditions of title or the existence of conditions which endanger life or property by fire and other causes, or any combination of such factors, substantially impairs or arrests the sound growth of a municipality, retards the provision of housing accommodations or constitutes an economic or social liability and is a menace to the public health, safety, moralsmorals, or welfare in its present condition and use, or any area which is predominantly open and which because of lack of accessibility, obsolete platting, diversity of ownership, deterioration of structuresstructures, or of site improvements, or otherwise, substantially impairs or arrests the sound growth of the community.

“Conservation area” means any improved area within the boundaries of a development or redevelopment district located within the territorial limits of a municipality or county in which fifty50 percent or more of the structures in the area have an age of thirty-five35 years or more.

A conservation area is not yet a blighted area but is detrimental to the public health, safety, moralsmorals, or welfare and may become a blighted area because of any one or more of the following factors:

Provided, That for any development or redevelopment district approved after the effective date of the amendments to this section enacted during the regular session of the Legislature in 2014, personal trailers, personal boats, personal campers, personal motor homes, personal ATVsATVs, and personal motorcycles having a tax situs within a development or redevelopment district are excluded from the current assessed value.

“Development office”Office” means the West Virginia Development Office created in §5B-2-1 of this code.

or (B) The development, redevelopment, revitalization or conservation of the project area whenever necessary to provide land for needed public facilities, public housing or industrial or commercial development or revitalization, to eliminate unhealthful, unsanitaryunsanitary, or unsafe conditions, to lessen density, mitigate or eliminate traffic congestion, reduce traffic hazards, eliminate obsolete or other uses detrimental to public welfare or otherwise remove or prevent the spread of blight or deterioration;

(A) Discourage commerce, industryindustry, or manufacturing from moving their operations to another state;

Provided, That any intergovernmental  agreement shall not be subject to provisions governing intergovernmental agreements set forth in other provisions of this code, including, but not limited to, §8-23-1 et seqseq. of this code, but shall be subject to the provisions of this article.

of this code, but shall be subject to the provisions of this article.

“Obligations” or “tax increment financing obligations” means bonds, loans, debentures, notes, special certificatescertificates, or other evidences of indebtedness issued by a county commission or municipality pursuant to this article to carry out a development or redevelopment project or to refund outstanding obligations under this article.

“Person” means any natural person, and any corporation, association, partnership, limited partnership, limited liability companycompany, or other entity, regardless of its form, structurestructure, or nature, other than a government agency or instrumentality.

“Project” means any capital improvement, facility or both, as specifically set forth and defined in the project plan, requiring an investment of capital including, but not limited to, extensions, additionsadditions, or improvements to existing facilities, including water or wastewater facilities, and the remediation of contaminated property as provided for in article§22-22-1 twenty-two,et chapterseq. twenty-two of this code, but does not include performance of any governmental service by a county or municipal government.

of this code, but does not include performance of any governmental service by a county or municipal government.

(A) Capital costs, including, but not limited to, the actual costs of the construction of public works or improvements, capital improvements and facilities, new buildings, structures and fixtures, the demolition, alteration, remodeling, repair or reconstruction of existing buildings, structures and fixtures, environmental remediation, parking and landscaping, the acquisition of equipment and site clearing, gradinggrading, and preparation;

(D) Professional service costs including, but not limited to, those costs incurred for architectural planning, engineeringengineering, and legal advice and services;

(6) Enter into any contracts or agreements, including, but not limited to, agreements with project developers, consultants, professionals, financing institutions, trusteestrustees, and bondholders determined by the county commission to be necessary or convenient to implement the provisions and effectuate the purposes of project plans;

The rules and procedures set forth in chapter fifty-four54 of this code shall govern all condemnation proceedings authorized in this article;

(10) Clear and improve property acquired by the county commission pursuant to the project plan and construct public facilities on it or contract for the construction, development, redevelopment, rehabilitation, remodeling, alterationalteration, or repair of the property;

(11) Cause parks, playgrounds or water, sewer or drainage facilities or any other public improvements, including, but not limited to, fire stations, community centerscenters, and other public buildings, which the county commission is otherwise authorized to undertake to be laid out, constructed or furnished in connection with the development or redevelopment project.

When the public improvement of the county commission is to be located, in whole or in part, within the corporate limits of a municipality, the county commission shall consult with the Mayormayor and the governing body of the municipality regarding the public improvement and shall pay for the cost of the public improvement from the tax increment financing fund;

Provided, That when the public way or sidewalk is located within a municipality, the governing body of the municipality shall consent to the same and if the public way is a state road, the consent of the commissionerCommissioner of highwaysHighways shall be necessary;

(18) Adopt orders, ordinances or bylaws or repeal or modify such ordinances or bylaws or establish exceptions to existing ordinances and bylaws regulating the design, constructionconstruction, and use of buildings within the development or redevelopment district created by a county commission or governing body of a municipality under this article;

(19) Enter orders, adopt bylawsbylaws, or repeal or modify such orders or bylaws or establish exceptions to existing orders and bylaws regulating the design, constructionconstruction, and use of buildings within the development or redevelopment district created by a county commission or governing body of a municipality under this article;

(20) Sell, mortgage, lease, transfertransfer, or dispose of any property or interest therein, by contract or auction, acquired by it pursuant to the project plan for development, redevelopmentredevelopment, or rehabilitation in accordance with the project plan;

When two or more county commissions,commissions or municipalities, or any combination thereof, established the development or redevelopment district, the government entities shall enter into one or more intergovernmental agreements regarding administration of the development or redevelopment district and the handling of its affairs;

(2) The notice shall include the time, placeplace, and purpose of the public hearing, describe in sufficient detail the tax increment financing plan, the proposed boundaries of the development or redevelopment district and, when a development or redevelopment project plan is being proposed, the proposed tax increment financing obligations to be issued to finance the development or redevelopment project costs.

(3) Prior to the first day of publication, a copy of the notice shall be sent by first-classfirst class mail to the director of the Developmentdevelopment Officeoffice and to the chief executive officer of all other local levying bodies having the power to levy taxes on real and tangible personal property located within the proposed development or redevelopment district.

(c) After the public hearing, the county commission, or the governing body of the municipality, shall finalize the boundaries of the development or redevelopment district, the development or redevelopment project plan, or both, and submit the same to the directorDirector of the Development Office for his or her review and approval.