HB317: HB317 Workforce and Residential Infrastructure District for Georgia Act; enact
2025-2026 Regular Session · Introduced version · Last action March 6, 2026
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House Bill 317
By: Representatives Stephens of the 164th, Smith of the 70th, Greene of the 154th, Williams
of the 168th, and Jackson of the 128th
A BILL TO BE ENTITLED
AN ACT
To amend Title 36 of the Official Code of Georgia Annotated, relating to local government,1
so as to provide for a short title; to provide legislative findings; to provide for definitions; to2
provide for establishment of community development districts; t o provide for boards of3
supervisors; to provide for budgets, reports, and reviews; to provide for disclosure of public4
financing; to provide for general and special powers; to provide for rules and regulations; to5
provide for issuance of bond anticipation notes; to provide for short-term borrowing; to6
provide for bonds; to provide for trust agreements; to provide for taxes and non-ad valorem7
assessments; to provide for tax liens; to provide for payment of taxes and redemption of tax8
liens by the district and sharing in proceeds of tax sale; to provide for enforcement by civil9
action; to provide for mandatory use of certain district facilities and services; to provide for10
fees, rentals, and charges, procedure for adoption and modifications, and minimum revenue11
requirements; to provide for recovery of delinquent charges; to provide for discontinuance12
of service; to provide for enforcement and penalties; to provid e for exemption of district13
property from execution; to provide for termination, contraction, or expansion of a district;14
to provide for sale of real estate within a district; to provid e for required disclosures to15
purchasers; to provide for notices of establishment; to provide for notices to service delivery16
providers; to provide for related matters; to provide for an ef fective date; to provide for17
contingent repeal; to repeal conflicting laws; and for other purposes.18
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BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:19
SECTION 1.20
Title 36 of the Official Code of Georgia Annotated, relating to local government, is amended21
by adding a new chapter to read as follows:22
"CHAPTER 9323
36-93-1.24
This chapter shall be known and may be cited as the 'Workforce and Residential25
Infrastructure District for Georgia Act.'26
36-93-2.27
The General Assembly finds that:28
(1) Independent districts are a legitimate alternative method available for use by the29
private and public sectors, as authorized by state law, to mana ge and finance basic30
services for community developments;31
(2) The exercise by any independent district of its powers as set forth by uniform general32
law should comply with all applicable governmental laws, rules, regulations, and policies33
governing planning and permitting of the development to be serviced by the district, to34
ensure that neither the establishment nor operation of such district is a zoning decision35
and that the district so established does not have any zoning o r permitting powers36
governing development;37
(3) The process of establishing a community development distri ct should be fair and38
based only on factors material to managing and financing the service delivery function39
of the district, so that any matter concerning permitting or planning of the development40
is not material or relevant; and41
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(4) It is the legislative intent and purpose, based upon and c onsistent with the General42
Assembly's findings of fact and declarations of policy, to authorize a uniform procedure43
by general law to establish community development districts as an alternative method to44
manage and finance basic services for community development. I t is further the45
legislative intent and purpose to provide by general law for th e uniform operation,46
exercise of power, and procedure for termination of any such di strict. It is further the47
purpose and intent of the General Assembly that a district created under this chapter not48
have or exercise any zoning or development permitting power, that the establishment of49
a community development district as provided in this chapter not be a zoning decision,50
and that all applicable planning and permitting laws, rules, re gulations, and policies51
control the development of the land to be serviced by the district. It is further the purpose52
and intent of the General Assembly that no debt or obligation o f a community53
development district constitutes a burden on any general purpos e local government54
without its consent.55
36-93-3.56
As used in this chapter, the term:57
(1) 'Assessable improvements' means, without limitation, any a nd all public58
improvements and community facilitie s that a district is empowe red to provide in59
accordance with this chapter.60
(2) 'Board' or 'board of supervisors' means the governing board of a district or, if such61
board has been abolished, the board, body, or commission succee ding to the principal62
functions thereof or to which the powers given to such board by this chapter have been63
given by law.64
(3) 'Bond' includes any general obligation bond, assessment bo nd, refunding bond,65
revenue bond, and other such obligation in the nature of a bond of a district as is provided66
for in this chapter and authorized to be issued under the Const itution and laws of this67
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state, including, but not limited to, any revenue bonds issued under Article 3 of Chapter68
82 of this title, the 'Revenue Bond Law.' Such term shall not include notes or other69
obligations of the district.70
(4) 'Community development district' or 'district' means a geo graphic area of71
development created pursuant to this chapter and limited to the performance of those72
specialized functions authorized by this chapter, the governing body of which is a board73
created and authorized to function specifically as prescribed i n this chapter for the74
financing of projects and the formation, powers, operation, dur ation, accountability,75
requirements for disclosure, and termination of which are as re quired by this chapter.76
Such term shall be considered a political subdivision of this state.77
(5) 'Cost,' when used with reference to any project, includes, but is not limited to:78
(A) The expenses of determining the feasibility or practicabil ity of acquisition,79
construction, or reconstruction;80
(B) The cost of surveys, estimates, plans, and specifications;81
(C) The cost of improvements;82
(D) Engineering, fiscal, and legal expenses and charges;83
(E) The cost of all labor, materials, machinery, and equipment;84
(F) The cost of all lands, properties, rights, easements, and franchises acquired;85
(G) Financing charges;86
(H) The creation of initial reserve and debt service funds;87
(I) Working capital;88
(J) Interest charges incurred or estimated to be incurred on money borrowed prior to89
and during construction and acquisition and for such reasonable period of time after90
completion of construction or acquisition as the board may determine;91
(K) The cost of issuance of bonds pursuant to this chapter;92
(L) The cost of any election held pursuant to this chapter and all other expenses of93
issuance of bonds;94
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(M) The discount, if any, on the sale or exchange of bonds;95
(N) Administrative expenses;96
(O) Such other expenses as may be necessary or incidental to t he acquisition,97
construction, or reconstruction of any project or to the financ ing thereof, or to the98
development of any lands within a district; and99
(P) Payments, contributions, dedications, fair share or concurrency obligations, and any100
other exactions required as a condition to receive any government approval or permit101
necessary to accomplish any district purpose.102
(6) 'District manager' means the manager of a district.103
(7) 'District road' means any public road as defined in paragr aph (24) of Code104
Section 32-1-3, excluding subparagraphs (E), (K), (P), and (Q) of such paragraph, that105
is located within a district.106
(8) 'Elector' means a landowner.107
(9) 'Equitably apportioned among the properties subject to suc h assessments,' with108
reference to assessments levied by a board, means that the burd en of the assessments109
shall be apportioned among the properties subject thereto based upon the values110
established in the most recent ad valorem tax reassessment of s uch properties certified111
by the county tax assessor or may be apportioned among the prop erties subject thereto112
in direct or approximate proportion to the receipt of services or benefits derived from the113
improvements or other activities for which the assessments are to be expended or may be114
apportioned in any other manner or combination of manners deeme d equitable by the115
board, including, but not limited to, the recognition of differ ential benefits which may116
reasonably be expected to accrue to new land development in con trast to lands and117
improvements already in existence at the time of creation of the community improvement118
district.119
(10) 'General obligation bonds' means bonds which are secured by, or provide for their120
payment by, the pledge, in addition to those special taxes levied for their discharge and121
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such other sources as may be provided for their payment or pledged as security under the122
resolution authorizing their issuance, of the full faith and cr edit and taxing power of a123
district and for payment of which recourse may be had against the general fund of such124
district.125
(11) 'General purpose local government' means a county, munici pal corporation, or126
consolidated government of the State of Georgia.127
(12) 'Landowner' means the owner of a freehold estate as appea rs by the deed record,128
including a trustee, a private corporation, and an owner of a c ondominium unit. Such129
term does not include a reversioner, remainderman, mortgagee, g rantee of a security130
deed, or any governmental entity, which shall not be counted and need not be notified of131
proceedings under this chapter. Such term shall also mean the owner of a ground lease132
from a governmental entity, which leasehold interest has a remaining term, excluding all133
renewal options, in excess of 30 years.134
(13) 'Project' means any development, improvement, property, u tility, facility, works,135
enterprise, or service existing on January 1, 2027, or thereafter undertaken or established136
under the provisions of this chapter. Such term shall not include an electric utility or a137
gas company as such terms are defined in Code Section 46-1-1 or a telecommunications138
company as such term is defined in Code Section 46-5-162.139
(14) 'Qualified elector' means a landowner within a district who, at the time such district140
was created, was not shown as a landowner for one or more parcels of real estate within141
the district on the ad valorem tax records of the county or counties in which such district142
is located.143
(15) 'Refunding bonds' means bonds issued to refinance outstanding bonds of any type144
and the interest and redemption premium thereon. Refunding bonds shall be issuable and145
payable in the same manner as bonds being refunded, except that no approval by the146
electorate shall be required in the case of refunding bonds which are general obligation147
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bonds if the conditions described in subparagraphs (e)(1)(A) through (e)(1)(D) of Code148
Section 36-82-1 are met.149
(16) 'Revenue bonds' means obligations of a district which are payable from revenues150
derived from sources other than ad valorem taxes on real or tan gible personal property151
and which do not pledge the full faith, credit, and taxing power of such district.152
(17) 'Revenues' means the proceeds of assessments, rates, fees, rentals, or other charges153
prescribed, fixed, established, and collected by a board for th e projects furnished by a154
district.155
(18) 'Service delivery provider' means a local government or local government authority156
that provides services to a designated area pursuant to Article 2 of Chapter 70 of this title.157
(19) 'Sewer system' means any plant, system, facility, or prop erty, and additions,158
extensions, and improvements thereto at any future time constructed or acquired as part159
thereof, useful or necessary or having the present capacity for future use in connection160
with the collection, treatment, purification, or disposal of se wage, including, without161
limitation, industrial wastes resulting from any process of industry, manufacture, trade,162
or business or from the development of any natural resource. W ithout limiting the163
generality of the foregoing, such term includes treatment plant s, pumping stations, lift164
stations, valves, force mains, intercepting sewers, laterals, pressure lines, mains, and all165
necessary appurtenances and equipment; all sewer mains, laterals, and other devices for166
the reception and collection of sewage from premises connected therewith; and all real167
and personal property and any interest therein, rights, easements, and franchises of any168
nature relating to any such system and necessary or convenient for operation thereof.169
(20) 'Water management and control facilities' means any lakes , canals, ditches,170
reservoirs, dams, levees, sluiceways, floodways, curbs, gutters, pumping stations, or any171
other works, structures, or facilities for the conservation, co ntrol, development,172
utilization, and disposal of water and any purposes appurtenant, necessary, or incidental173
thereto. Such term includes all real and personal property and any interest therein, rights,174
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easements, and franchises of any nature relating to any such fa cilities or necessary or175
convenient for the acquisition, construction, reconstruction, o peration, or maintenance176
thereof.177
(21) 'Water system' means any plant, system, facility, or prop erty or additions,178
extensions, or improvements thereto at any future time construc ted or acquired as part179
thereof, useful or necessary or having the present capacity for future use in connection180
with the development of sources, treatment, or purification and distribution of water. 181
Without limiting the generality of the foregoing, such term inc ludes dams, reservoirs,182
storage tanks, mains, lines, valves, hydrants, pumping stations, chilled water distribution183
systems, laterals, and pipes for the purpose of carrying water to the premises connected184
with such system and all rights, easements, and franchises of any nature relating to any185
such system and necessary or convenient for the operation thereof. Such water system186
shall be subject to the provisions of Part 5 of Article 3 of Ch apter 5 of Title 12, the187
'Georgia Safe Drinking Water Act of 1977.'188
36-93-4.189
(a) The exclusive and uniform method for the establishment of a community development190
district shall be pursuant to resolution or ordinance adopted b y the applicable general191
purpose local government or governments granting a petition for the establishment of a192
community development district as follows:193
(1)(A) If all of the land of the proposed district is solely w ithin the territorial194
jurisdiction of a municipal corporation, then the petition requ esting establishment of195
such district shall be filed by the petitioner with the general purpose local government196
of such municipal corporation and may be established by resolut ion or ordinance of197
such general purpose local government.198
(B) If all of the land of the proposed district is solely with in the unincorporated area199
of a county, then the petition requesting establishment of such district shall be filed by200
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the petitioner with the general purpose local government of suc h county and may be201
established by resolution or ordinance of such general purpose local government.202
(C) If all of the land of the proposed district is:203
(i) Within the territorial jurisdiction of two or more municipal corporations;204
(ii) Within both the territorial jurisdiction of one or more municipal corporations and205
the unincorporated area of one or more counties; or206
(iii) Within the unincorporated areas of two or more counties,207
then the petition requesting establishment of such district shall be filed by the petitioner208
with each applicable general purpose local government. A district established across209
county boundaries shall be required to maintain records, hold meetings and hearings,210
and publish notices only in the county where the majority of th e acreage within the211
district lies;212
(2) A petition for the establishment of a community development district shall contain:213
(A) A description of each property to be located within the boundaries of the district214
by metes and bounds description, plat or block and lot referenc e, rectangular survey215
system, or any combination thereof. Any real property within the external boundaries216
of the district which is to be excluded from the district shall be specifically described,217
and the last known address of all owners of such real property shall be listed. The218
petition shall also address the impact of the proposed district on any real property219
within the external boundaries of the district which is to be excluded from the district;220
(B) The written consent to the establishment of the district b y all landowners whose221
real property is to be included in the district or documentation demonstrating that the222
petitioner has control by deed, trust agreement, contract, or o ption of all of the real223
property to be included in the district, and when real property to be included in the224
district is owned by a governmental entity and subject to a gro und lease as described225
in paragraph (12) of Code Section 36-93-3, the written consent by such governmental226
entity;227
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(C) A designation of five persons to be the initial members of the board of supervisors,228
who shall serve in such office until replaced by elected members as provided in Code229
Section 36-93-5;230
(D) The proposed name of the district, and such name shall not be the same as the231
name of any existing city, county, or district, or any other local government entity in232
this state;233
(E) Based upon reasonably available data, an identification of the water and sewer234
facilities located within the district, if any;235
(F) Based upon reasonably available data, a description of the anticipated district236
projects, the proposed timetable for construction of the distri ct projects, and the237
estimated cost of construction. Such estimates shall be submitted in good faith but shall238
not be binding and may be subject to change;239
(G) A designation of the future general distribution, location, and extent of public and240
private uses of land proposed for the area within the district as shown on the applicable241
general purpose local government's comprehensive land use plan, if one has been242
adopted pursuant to Article 1 of Chapter 70 of this title;243
(H) Identification of any service delivery provider under Code Section 36-93-29 and244
the status of any such service delivery provider's decision regarding provision of service245
to the district;246
(I) A preliminary master plan; and247
(J) Based on the preliminary master plan submitted with the petition, a projection of248
the ad valorem tax impact on the applicable general purpose loc al governments and249
school districts in which the proposed district would be wholly or partially located;250
(3) A petitioner shall submit to the applicable general purpos e local government or251
governments an application fee to be established by the applicable general purpose local252
government or governments. Such application fee shall be in an amount reasonably253
determined by the applicable general purpose local government o r governments to be254
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necessary to defray the approximate cost of reviewing and evalu ating the application. 255
Upon request by a petitioner, the applicable general purpose lo cal government or256
governments shall meet to discuss a petitioner's application an d shall upon request257
provide a petitioner with a good faith estimate of an associate d application fee and the258
basis therefor;259
(4)(A) Each applicable general purpose local government shall conduct a public260
hearing to consider the relationship of the petition to the factors specified in paragraph261
(5) of this subsection. The public hearing shall be concluded within 90 days after the262
date the petition is filed unless an extension of time is requested by the petitioner and263
granted by such general purpose local government or unless such general purpose local264
government provides written notice to the petitioner that some reasonable additional265
period is necessary to complete review and evaluation of the application and the basis266
therefor. The hearing shall include oral and written comments on the petition pertinent267
to the factors specified in paragraph (5) of this subsection. The hearing shall be held268
at an accessible location in the county in which the community development district is269
to be located. The petitioner shall cause a notice of the hearing to be published in the270
legal organ of the applicable county, counties, municipality, or municipalities at least271
once a week for the four successive weeks immediately prior to the hearing. The notice272
shall give the time and place for the hearing, a description of the area to be included in273
the district, and any other relevant information which the appropriate general purpose274
local government or governments may require. All applicable ge neral purpose local275
governments and local boards of education and the general publi c shall be given an276
opportunity to appear at the hearing and present oral or writte n comments on the277
petition. The petitioner shall provide a copy of the petition to any other general purpose278
local governments whose boundaries would be contiguous with any portion of the279
district's proposed boundaries, and to each local board of education in the jurisdiction280
of which the proposed district would be wholly or partially located, at the same time as281
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submittal to the applicable general purpose local governments s ubmitted to for282
establishment.283
(B) If published in the print edition of a newspaper, the adve rtisement shall not be284
placed in the portion of the newspaper where legal notices and classified advertisements285
appear. The advertisement shall be published in the legal orga n of the applicable286
county, counties, municipality, or municipalities.287
(C) The county or municipality holding such public hearing may by resolution express288
its support of, or objection to the granting of, the petition. A resolution shall base any289
objection to the granting of the petition upon the factors specified in paragraph (5) of290
this subsection;291
(5) In making its determination to grant or deny a petition fo r the establishment of a292
community development district, the applicable general purpose local government shall293
consider the record of the public hearing and:294
(A) Whether all statements contained within the petition have been found to be true295
and correct;296
(B) Whether the proposed district projects are consistent or i nconsistent with any297
applicable element or portion of the applicable general purpose local government's298
comprehensive plan adopted pursuant to Article 1 of Chapter 70 of this title or an299
existing service delivery agreement pursuant to Article 2 of Chapter 70 of this title;300
(C) Whether the area of land within the proposed district is o f sufficient size, is301
sufficiently compact, and is sufficiently contiguous to be developable as one functional302
interrelated community;303
(D) Whether the district is the best alternative available for delivering community 304
development services and facilities to the area that will be served by the district;305
(E) Whether the community development services and facilities of the district will be306
incompatible with the capacity and uses of existing local and r egional community307
development services and facilities, including existing educational facilities, provided308
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that, as a condition for approval of creation, the district sha ll submit a proposed309
postdevelopment storm-water management system plan and shall plan for sewer service310
to be made available to all buildings within the district;311
(F) Whether the creation of the district is compatible with th e applicable general312
purpose local government in general and will supplement rather than be a detriment to313
the general population; and314
(G) Whether the district will result in an increase in taxes paid by existing taxpayers in315
the county or municipality residing outside the district;316
(6) No applicable general purpose local government shall adopt any resolution or317
ordinance which would expand, modify, or delete any provision o f this chapter. No318
community development district shall be established that includes within its boundaries319
any property already included within the boundaries of a commun ity improvement320
district existing pursuant to Article IX, Section VII of the Co nstitution of the State of321
Georgia without the express written consent of such community i mprovement district. 322
A resolution or ordinance establishing a community development district shall only323
include the matters provided for in paragraph (7) of this subsection unless the applicable324
general purpose local government consents to any of the optional powers under paragraph325
(2) of Code Section 36-93-10 at the request of the petitioner; and326
(7) Any resolution or ordinance establishing a community development district shall only327
contain the following:328
(A) A description of the property to be located within the boundaries of the district by329
metes and bounds description, plat or block and lot reference, rectangular survey330
system, or any combination thereof, and any real property withi n the external331
boundaries of the district which is to be excluded;332
(B) The names of five persons designated to be the initial mem bers of the board of333
supervisors;334
(C) The name of the district; and335
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(D) Other information required or authorized by this chapter.336
(b) A district created pursuant to this chapter is not a gener al purpose local government337
and specifically shall not be included in the term 'local government' as that term is defined338
in Code Section 36-70-2, and the creation of a district shall n ot override any agreement339
entered into between local governing authorities pursuant to Article 2 of Chapter 70 of this340
title or any other provision of law.341
(c) The powers granted to a district pursuant to paragraph (2) of Code Section 36-93-10342
may be exercised by a board upon execution of an agreement between such board and the343
applicable general purpose local government or governments. Su ch agreement shall344
include reasonable terms, including, but not limited to, describing the services and facilities345
to be provided within the district and the source of funding for such services and facilities. 346
If such agreement is amended, the amendment or amendments shall be agreed to by mutual347
consent of the board and the applicable general purpose local government or governments.348
36-93-5.349
(a) A board shall exercise the powers granted to a district pursuant to this chapter. A board350
shall consist of five members. Except as otherwise provided in this Code section, each351
member shall hold office for a term of two years or four years, as provided in this Code352
section, and until a successor is chosen and qualified. The members of a board shall be at353
least 18 years old, residents of this state, and citizens of the United States. The provisions354
of Code Section 45-10-3 shall apply to all members of a board w ho are elected pursuant355
to this Code section and their successors.356
(b)(1) Within 90 days following the effective date of the reso lution or ordinance357
establishing a district, there shall be held a meeting of the landowners of such district for358
the purpose of electing five supervisors for such district. The petitioner shall cause notice359
of the landowners' meeting to be published once a week for two consecutive weeks in the360
legal organ of the applicable county or municipality, the last day of such publication to361
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be not fewer than 14 days nor more than 28 days before the date of the election. The362
landowners, when assembled at such meeting, shall organize by electing a chairperson363
who shall conduct the meeting. The chairperson may be any pers on present at the364
meeting. If the chairperson is a landowner or proxy holder of a landowner, he or she may365
nominate candidates and make and second motions.366
(2) At such meeting, each landowner shall be entitled to cast one vote per acre of land367
owned by him or her and located within the district for each pe rson to be elected. A368
landowner may vote in person or by proxy in writing. Each proxy shall be signed by one369
of the legal owners of the property for which the vote is cast and shall contain the typed370
or printed name of the individual who signed the proxy; the str eet address, legal371
description, or tax parcel identification number of the property entitling such landowner372
to vote; and the number of authorized votes. If the proxy authorizes more than one vote,373
each property entitling the landowner to vote shall be listed and the number of acres of374
each property shall be included. The signature on a proxy need not be notarized. A375
fraction of an acre shall be treated as one acre, entitling the landowner to one vote with376
respect thereto. For purposes of determining voting interests, platted lots shall be counted377
individually and rounded up to the nearest whole acre. The acreage of platted lots shall378
not be aggregated for determining the number of voting units held by a landowner or a379
landowner's proxy. The two candidates receiving the highest nu mber of votes shall be380
elected for terms of four years, and the three candidates receiving the next largest number381
of votes shall be elected for terms of two years, with the term of office for each successful382
candidate commencing upon election. The members of the first b oard elected by383
landowners shall serve their respective four-year or two-year terms; provided, however,384
that the next election by landowners shall be held on the first Tuesday in November. 385
Thereafter, there shall be an election of supervisors for the d istrict every two years in386
November on a date established by the board and noticed pursuan t to paragraph (1) of387
this subsection. The second and subsequent landowners' election shall be announced at388
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a public meeting of the board at least 90 days prior to the date of the landowners' meeting389
and shall also be noticed pursuant to paragraph (1) of this sub section. Instructions on390
how all landowners may participate in the election, along with sample proxies, shall be391
provided during the board meeting that announces the landowners ' meeting. The two392
candidates receiving the highest number of votes shall be elected to serve for a four-year393
term, and the remaining candidate elected shall serve for a two-year term.394
(c)(1) Commencing six years after the initial appointment of members or, for a district395
exceeding 5,000 acres in area, ten years after the initial appo intment of members, the396
position of each member whose term has expired shall be filled by a qualified elector of397
the district, elected by the qualified electors of the district. If, in the sixth year after the398
initial appointment of members, or in the tenth year after such initial appointment for399
districts exceeding 5,000 acres in area, there are not at least 250 qualified electors in the400
district, or there are not at least 500 qualified electors in a district exceeding 5,000 acres,401
members of the board shall continue to be elected by landowners.402
(2) After the sixth or tenth year, once a district reaches 250 or 500 qualified electors,403
respectively, the positions of two board members whose terms are expiring shall be filled404
by qualified electors of the district, elected by the qualified electors of the district for405
four-year terms. The remaining board member whose term is expiring shall be elected406
for a four-year term by the landowners and is not required to b e a qualified elector. 407
Thereafter, as terms expire, board members shall be qualified electors elected by qualified408
electors of the district for terms of four years.409
(3) On or before June 1 of each year, the board shall determine the number of qualified410
electors in the district as of the immediately preceding April 15. The board shall use and411
rely upon the official records maintained by the election super intendent and property412
appraiser or tax collector in each applicable county in making such determination. Such413
determination shall be made at a properly noticed meeting of the board and shall become414
a part of the official minutes of the district.415
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(4) The board shall organize district elections which shall be held at a meeting of the416
landowners of the district. Notice of the meeting and the election of board members shall417
be published once a week for two consecutive weeks in the legal organ of the applicable418
county, counties, municipality, or municipalities and the last day of such publication shall419
be not fewer than 14 days nor more than 28 days before the meeting; provided, however,420
that such notice shall not be published in the area reserved for legal advertisements. The421
chairperson of the board shall conduct the meeting. If the cha irperson is a qualified422
elector or proxy holder for a qualified elector or landowner, h e or she may nominate423
candidates and make and second motions.424
(d) Each qualified elector and landowner shall be entitled to vote commensurate with his425
or her ownership interest in the district. At a district elect ion, each qualified elector and426
landowner shall be entitled to cast one vote per acre of land owned by him or her, located427
within the district, for each member to be elected by landowner s or qualified electors as428
provided in this subsection; provided, however, that a qualified elector shall not cast a vote429
representing any land currently used or identified for future u se of district facilities,430
infrastructure, or other district specific purposes including c ommon areas. No qualified431
elector shall cast votes representing more than 15 percent of t he available votes. A432
qualified elector or landowner may vote in person or by a properly executed written proxy. 433
Each proxy shall be signed by one of the landowners of the property for which the vote is434
cast and shall contain the typed or printed name of the individual who signed the proxy; the435
street address, legal description, or tax parcel identification number of the property entitling436
such landowner to vote; and the number of authorized votes. If the proxy authorizes more437
than one vote, each property entitling such landowner to vote shall be listed and the number438
of acres of each property shall be included. The signature on a proxy need not be439
notarized. A fraction of an acre shall be treated as one acre, entitling the qualified elector440
to one vote with respect thereto. In the event that an acre or a fraction of an acre is jointly441
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owned, only one such owner shall be entitled to vote as a qualified elector. Nominees for442
the board shall be elected by a majority of votes cast in accordance with this subsection.443
(e) Elections of board members shall be nonpartisan. Board members shall assume their444
office immediately upon their election.445
(f) Members of the board shall be known as supervisors and shall hold office for the terms446
for which they were elected or appointed and until their succes s o r s a r e c h o s e n a n d447
qualified. If, during the term of office, a vacancy occurs, th e remaining members of the448
board shall fill the vacancy by an appointment for the remainder of the unexpired term.449
(g) A majority of the members of the board cons titutes a quorum for the purposes of450
conducting its business and exercising its powers and for all other purposes. Action taken451
by the district shall be upon a vote of a majority of the members present unless general law452
or a rule of the district requires a greater number.453
(h) As soon as practicable after each election or appointment, the board shall organize by454
electing one of its members as chairperson and by electing a secretary, who need not be a455
member of the board, and such other officers as the board may deem necessary.456
(i) The board shall keep a permanent record book entitled 'Rec ord of Proceedings of457
(Name of District) Community Development District,' in which shall be recorded minutes458
of all meetings, resolutions, proceedings, certificates, bonds given by all employees, and459
any and all corporate acts. The record book and any other docu ments shall be open to460
inspection and governed by the provisions of Article 4 of Chapt er 18 of Title 50. The461
record book shall be kept at the office or other regular place of business maintained by the462
board in the county or municipality in which the district is located.463
(j) Each supervisor shall be entitled to receive for his or he r services an amount not to464
exceed $200.00 per meeting of the board of supervisors, not to exceed $4,800.00 per year465
per supervisor, or an amount established by the qualified elect ors at a referendum. In466
addition, each supervisor may receive travel and per diem expen ses as approved by the467
board and as otherwise allowed by law. All meetings of the boa rd shall be open to the468
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public and governed by the provisions of Chapter 14 of Title 50. The board shall hold at469
least one annual meeting on the same date every year, such date to be published as part of470
the resolution or ordinance creating the district. The meeting shall begin no earlier than471
6:00 P.M. nor later than 7:00 P.M. and shall address issues related to the district, including,472
but not limited to, current projects, district finances, and po tential future projects. In473
addition, the board shall make available to any person upon request a report of the names474
and contact information of the board members, their employers, and their relationships to475
other members of the board and to any officer or employee of the developer.476
36-93-6.477
(a) A board shall employ, and fix the compensation of, a district manager. Such district478
manager shall have charge and supervision of the works of the d istrict and shall be479
responsible for preserving and maintaining any improvement or f acility constructed or480
erected pursuant to the provisions of this chapter, for maintai ning and operating the481
equipment owned by the district, and for performing such other duties as may be prescribed482
by the board. It shall not be a conflict of interest for a boa rd member or the district483
manager or another employee of the district to be a stockholder, officer, or employee of a484
landowner or of an entity affiliated with a landowner or to vote on matters affecting such485
landowner or affiliated entity. A board member or an employee of a district does not abuse486
his or her position if the board member or employee commits an act or omission that is487
otherwise authorized under this subsection. A district manager may hire or otherwise488
employ and terminate the employment of such other persons, including, without limitation,489
professional, supervisory, and clerical employees, as may be necessary and authorized by490
the board. The compensation and other conditions of employment of the officers and491
employees of the district shall be as provided by the board.492
(b) A board shall designate a person who is a resident of this state, but not a current493
member of the board, as treasurer of a district, who shall have charge of the funds of the494
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district. Such funds shall be disbursed only upon the order, or pursuant to the resolution,495
of the board by warrant or check countersigned by the treasurer and by such other person496
as may be authorized by the board. A board may give the treasurer such other or additional497
powers and duties as the board deems appropriate and may fix hi s or her compensation. 498
A board may require the treasurer to give a bond in such amount, on such terms, and with499
such sureties as deemed satisfactory by the board to secure the performance by the500
treasurer of his or her powers and duties. The financial records of a board shall be audited501
by an independent certified public accountant at least once a year. The results of such audit502
shall be recorded in the district's record book and made available to the public pursuant to503
subsection (i) of Code Section 36-93-5. A district shall file its audits annually with the504
Department of Audits and Accounts. A district shall comply wit h and be subject to the505
audit requirements of Code Section 36-81-7.506
(c) A board is authorized to select as a depository for its fu nds any commercial bank or507
trust company, mutual savings bank, savings and loan associatio n, or building and loan508
association existing under the laws of this state or of the United States upon such terms and509
conditions as to the payment of interest by such depository upon the funds so deposited as510
such board deems just and reasonable.511
36-93-7.512
(a) The fiscal year for each district shall be July 1 to June 30.513
(b)(1) On or before March 15 of each year, the district manager shall prepare a proposed514
budget for the ensuing fiscal year to be submitted to the board for board approval. The515
proposed budget shall include at the direction of the board an estimate of all necessary516
expenditures of the district for the ensuing fiscal year and an estimate of income to the517
district from assessments and other revenues provided for in this chapter. The board shall518
consider the proposed budget item by item and may either approv e the budget as519
proposed by the district manager or modify the same in part or in whole. The board shall520
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indicate its approval of the budget by resolution, which resolu tion shall provide for a521
hearing on the budget as approved. Notice of the hearing on th e budget shall be522
published in the legal organ of the applicable county, counties , municipality, or523
municipalities once a week for two consecutive weeks, except that the first publication524
shall be not fewer than 15 days prior to the date of the hearing. The notice shall further525
contain a designation of the day, time, and place of the public hearing. At the time and526
place designated in the notice, the board shall hear all object ions to the budget as527
proposed and may make such changes as the board deems necessary. At the conclusion528
of the budget hearing, the board shall, by resolution, adopt the budget as finally approved529
by the board. The budget shall be adopted prior to July 1 of each year.530
(2) At least 60 days prior to adoption of the budget, a board shall submit to the applicable531
general purpose local government or governments, for purposes o f disclosure and532
information only, the proposed annual budget for the ensuing fi scal year and any533
proposed long-term financial plan or program of the district for future operations.534
(3) Any applicable general purpose local government may review the proposed annual535
budget and any long-term financial plan or program and may submit written comments536
to a board for its assistance and information in adopting its a nnual budget and any537
long-term financial plan or program.538
36-93-8.539
(a) A district shall take affirmative steps to provide for the full disclosure of information540
relating to the public financing and maintenance of improvement s to real property541
undertaken by a district. Such information shall be made available to all existing residents,542
and to all prospective residents, of the district. A district shall furnish each developer of543
a residential development within the district with sufficient copies of that information to544
provide each prospective initial purchaser of property in that development with a copy, and545
any developer of a residential development within the district, when required by law to546
H. B. 317
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provide a public offering statement, shall include a copy of such information relating to the547
public financing and maintenance of improvements in the public offering statement.548
(b) The Department of Community Affairs shall keep a current l ist of districts and their549
disclosures pursuant to this chapter and shall make such studies and reports and take such550
actions as it deems necessary.551
36-93-9.552
A district shall have, and a board may exercise, the following powers:553
(1) To sue and be sued in the name of the district; to adopt and use a seal and authorize554
the use of a facsimile thereof; to acquire, by purchase, gift, devise, or otherwise, and to555
dispose of, real and personal property, or any estate therein;556
(2) To make and execute contracts and other instruments necessary or convenient to the557
exercise of its powers. All public works contracts shall be made in accordance with the558
provisions of Chapter 91 of this title. All contracts let by t he board for any goods,559
supplies, or materials to be purchased shall be made in accorda nce with the provisions560
of this title applicable to general purpose local governments. The bid of the lowest561
responsive and responsible bidder for contracts for purchase of any goods, supplies, or562
materials shall be accepted unless all bids are rejected because the bids are too high or the563
board determines it is in the best interests of the district to reject all bids. The board may564
require such bidders to furnish bonds with a responsible surety to be approved by the565
board. Contracts for the operation, maintenance, and managemen t of district projects566
shall contain the following provisions:567
(A) With the exception of contracts with the federal government, the state, a state or568
local authority, a local board of education, or a political sub division of the state, any569
district contract shall terminate absolutely and without further obligation on the part of570
the district at the close of the calendar year in which it was executed and at the close of571
H. B. 317
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25 LC 44 2966
each succeeding calendar year for which it may be renewed as pr ovided in this Code572
section; and573
(B) The contract may provide for automatic renewal unless positive action is taken by574
the district to terminate such contract, and the nature of such action shall be determined575
by the district and specified in the contract;576
(3) To contract for the services of consultants to perform planning, engineering, legal,577
or other appropriate services of a professional nature. Such contracts shall be subject to578
public bidding or competitive negotiation requirements if otherwise required by law;579
(4) To borrow money and accept gifts; to apply for and use grants or loans of money or580
other property from the United States, the state, a general purpose local government, or581
any person for any district purposes and enter into agreements required in connection582
therewith; and to hold, use, and dispose of such moneys or prop erty for any district583
purposes in accordance with the terms of the gift, grant, loan, or agreement relating584
thereto;585
(5) To adopt resolutions and orders prescribing the powers, duties, functions, and ethical586
requirements of the officers of the district; the conduct of the business of the district; the587
maintenance of records; and the form of certificates evidencing assessment liens and all588
other documents and records of the district. The board may also adopt resolutions with589
respect to any of the projects of the district and define the a rea to be included therein. 590
The board may also adopt resolutions which may be necessary for the conduct of district591
business;592
(6) To maintain an office at such place or places as it may designate within a county in593
which the district is located;594
(7) To hold, control, and acquire by donation or purchase, or dispose of, any public595
easements, dedications to public use, platted reservations for public purposes, or596
reservations for those purposes authorized by this chapter and to make use of such597
easements, dedications, or reservations for any of the purposes authorized by this chapter;598
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(8) To lease as lessor or lessee to or from any person, firm, corporation, association, or599
body, public or private, any projects of the type that the district is authorized to undertake600
and facilities or property of any nature for the use of the district to carry out any of the601
purposes authorized by this chapter;602
(9) To borrow money and issue bonds, certificates, warrants, notes, or other evidence of603
indebtedness as provided in this Code section; to levy such taxes and special assessments604
as may be authorized; and to charge, collect, and enforce fees and other user charges. 605
The district may incur debt without regard to the requirements of Article IX, Section V606
of the Constitution or any other provision of law prohibiting or restricting the borrowing607
of money or the creation of debt by political subdivisions of this state. Debt of the district608
may be backed by the full faith and credit of the district but shall not be an obligation of609
the state, the applicable general purpose local government or governments, or any local610
government or other unit of government of this state;611
(10) To raise, by user charges or fees authorized by resolution of the board, amounts of612
money which are necessary for the conduct of the district activities and services and to613
enforce their receipt and collection in the manner prescribed b y resolution not614
inconsistent with law;615
(11) To cooperate with, or contract with, other governmental a gencies as may be616
necessary, convenient, incidental, or proper in connection with any of the powers, duties,617
or purposes authorized by this chapter;618
(12) To assess, levy, impose, collect, and enforce upon lands in the district ad valorem619
taxes as provided by this chapter;620
(13) To determine, order, levy, impose, collect, and enforce special assessments pursuant621
to this chapter;622
(14) To exercise all of the powers necessary, convenient, inci dental, or proper in623
connection with any of the powers, duties, or purposes authoriz ed by this chapter,624
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including any power granted by the laws of this state to public or private corporations625
which is not in conflict with this chapter or with the purposes of the district; and626
(15) To exercise such special powers as may be authorized by this chapter.627
36-93-10.628
A district shall have, and a board may exercise, subject to the regulatory jurisdiction and629
permitting authority of all applicable general purpose local go vernments, and other630
governmental bodies, agencies, and special districts having authority with respect to any631
area included therein, any or all of the following special powe rs relating to public632
improvements and community facilities authorized by this chapter:633
(1) To finance, fund, plan, establish, acquire, construct or reconstruct, enlarge or extend,634
equip, operate, and maintain systems, facilities, and basic infrastructures for the following635
purposes, provided that such systems, facilities, and basic inf rastructures shall be built636
according to the then-current specifications applicable to or within the jurisdiction or the637
service area of the service delivery provider in which such systems, facilities, and basic638
infrastructures are to be located and the district shall be subject to Chapter 9 of Title 25639
and other provisions of state or federal law that are generally applicable to government640
entities providing the same infrastructure, facility, or service as the district, and provided,641
further, that exercising such powers shall constitute an essential governmental function642
for a public purpose:643
(A) Water management and control for the lands within the dist rict and to connect644
some or any of such facilities with roads and bridges;645
(B) Water supply, sewer, and waste-water management, reclamation, and reuse or any646
combination thereof, and to construct and operate connecting in tercepting or outlet647
sewers and sewer mains and pipes and water mains, conduits, or pipelines in, along, and648
under any street, alley, highway, or other public place or ways; to connect such mains,649
conduits, and pipelines with existing infrastructure upon entering into an agreement to650
H. B. 317
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do so with the owner of such existing infrastructure; and to di spose of any effluent,651
residue, or other byproducts of such system or sewer system. S uch sewerage or652
sewerage system shall have the same rights, duties, and obligations as publicly owned653
treatment works that discharge treated waste water;654
(C) Bridges or culverts that may be needed across any drain, d itch, canal, floodway,655
holding basin, excavation, public highway, tract, grade, fill, or cut and roadways over656
levees and embankments, and to construct any and all of such works and improvements657
across, through, or over any public right-of-way, highway, grade, fill, or cut;658
(D)(i) District roads equal to or exceeding the applicable specifications of the county659
in which such district roads are located; roads and improvement s to existing public660
roads that are owned by or conveyed to the applicable general p urpose local661
government, the state, or the federal government; sidewalks; bi ke paths; walking662
trails; street lights; alleys; landscaping; hardscaping; and th e undergrounding of663
electric utility lines.664
(ii) Buses, trolleys, transit shelters, ridesharing facilities and services, parking665
improvements, and related signage;666
(E) Investigation and remediation costs associated with the cl eanup of actual or667
perceived environmental contamination within the district under the supervision or668
direction of a competent governmental authority unless the expenditure of investigation669
and remediation costs benefit any person who is a landowner wit hin the district and670
who caused or contributed to the contamination;671
(F) Conservation areas, mitigation areas, and wildlife habitat s, including the672
maintenance of any plant or animal species, and any related interest in real or personal673
property, including green spaces and common areas;674
(G) Any other project within or outside the boundaries of a district consistent with the675
applicable general purpose local government's comprehensive plan;676
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(H) Parks and facilities for indoor and outdoor recreational, cultural, and educational677
uses; and678
(I) Security, including, but not limited to, guardhouses, fenc es and gates, electronic679
intrusion-detection systems, and patrol cars, when authorized by proper governmental680
agencies, except that the district shall not exercise any police power but may contract681
with the applicable general purpose local government agencies for an increased level682
of such services within the district boundaries; provided, howe ver, that this683
subparagraph shall not prohibit a district from contracting wit h a towing operator to684
remove a vehicle or vessel from a district owned facility or pr operty if otherwise685
authorized;686
(2) To finance, fund, plan, establish, acquire, construct or reconstruct, enlarge or extend,687
equip, and maintain additional systems, facilities, and basic i nfrastructures for the688
following purposes, provided that such systems, facilities, and basic infrastructures shall689
be built according to the then-current specifications applicabl e to or within the690
jurisdiction or the service area of the service delivery provid er in which such systems,691
facilities, and basic infrastructures are to be located, and provided, further, that exercising692
such powers shall constitute an essential governmental function for a public purpose:693
(A) Fire prevention and control, including fire stations, wate r mains and plugs, fire694
trucks, and other vehicles and equipment when authorized by the service delivery695
provider and pursuant to a written agreement with such service delivery provider;696
(B) School buildings and related structures which may be leased, sold, or donated for697
use in the public educational system when authorized by the local board of education;698
(C) Control and elimination of pests of public health importance; and699
(D) Waste collection and disposal when authorized by the servi ce delivery provider700
and pursuant to a written agreement with such service delivery provider;701
(3) To adopt and enforce appropriate resolutions in connection with the provision of one702
or more services through its projects; and703
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(4) To demolish buildings or other facilities located within a district and to redevelop704
areas located in a district where authorized by the applicable general purpose local705
government.706
36-93-11.707
In addition to such authority as provided elsewhere in this chapter, a district may adopt and708
enforce reasonable rules and regulations to:709
(1) Secure and maintain safe, sanitary, and adequate plumbing installations, connections,710
and appurtenances as subsidiary parts of its sanitary sewer system;711
(2) Preserve the sanitary condition of all water controlled by the district;712
(3) Prevent waste or the unauthorized use of water controlled by the district;713
(4) Provide and regulate a safe and adequate freshwater distribution system; and714
(5) Regulate activities on any land or any easement owned or controlled by the district;715
provided, however, that the applicable general purpose local government shall retain all716
home rule and police powers, including, but not limited to, code enforcement, regulatory717
authority, zoning powers, and land use control powers under the laws of this state.718
36-93-12.719
In addition to the other powers provided for in this chapter, and not in limitation thereof,720
a district shall have the power, at any time, and from time to time, to borrow money for the721
purposes for which such bonds are to be issued in anticipation of the receipt of the proceeds722
of the sale of such bonds and to issue bond anticipation notes and to renew from time to723
time any such notes by the issuance of new notes, whether the notes to be renewed have724
matured. A district may issue such bond anticipation notes onl y to provide funds which725
otherwise would be provided by the issuance of the bonds. Bond anticipation notes shall726
not be issued in an amount exceeding the par value of the bonds in anticipation of which727
they are to be issued. Bond anticipation notes may be authoriz ed, sold, executed, and728
H. B. 317
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25 LC 44 2966
delivered in the same manner as bonds. As with its bonds, bond anticipation notes may be729
sold at either public or private sale or, if such notes are renewal notes, may be exchanged730
for notes then outstanding on such terms as the board shall determine. Any resolution or731
resolutions authorizing notes of a district or any issue thereof may contain any provisions732
which the district is authorized to include in any resolution or resolutions authorizing bonds733
of the district or any issue thereof and which the district is authorized to include in any734
bonds. Such notes shall be paid from the proceeds of such bonds when issued.735
36-93-13.736
A district at any time may obtain loans, in such amount and on such terms and conditions737
as a board may approve, for the purpose of paying any of the expenses of the district or any738
costs incurred or that may be incurred in connection with any of the projects of the district739
and related operation and maintenance costs of the projects of the district. Such loans shall740
bear such interest as the board may determine and may be payable from and secured by a741
pledge of such funds, revenues, taxes, and assessments as the board may determine, subject742
to the provisions contained in any proceeding under which bonds were theretofore issued743
and are then outstanding; provided, however, that the board shall disclose the interest rate744
or rates payable on such loans and shall notify each property owner of his or her share of745
such costs as will be repaid on such loan or loans.746
36-93-14.747
(a) Bonds, notes, or other obligations issued by a district shall be paid from revenues and748
other property pledged to pay such bonds, notes, or other obligations. In the event a district749
defaults on its obligations, landowners shall only be responsible for such obligations that750
are associated with their property and not the obligations of the district as a whole or the751
obligations of any other landowner. Landowners shall have the right to satisfy or make752
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25 LC 44 2966
arrangements to satisfy the proportionate share of obligations related to the district and any753
related reasonable interest.754
(b) Bonds may be sold in blocks or installments at different t imes, or an entire issue or755
series may be sold at one time. Bonds may be sold at public or private sale after such756
advertisement, if any, as the board may deem advisable. Bonds may be sold or exchanged757
for refunding bonds. Revenue bonds may be delivered by the dis trict as payment of the758
purchase price of any project or part thereof, or a combination of projects or parts thereof,759
or as the purchase price or exchange for any property, real, personal, or mixed, including760
franchises or services rendered by any contractor, engineer, or other person, all at one time761
or in blocks from time to time, in such manner and upon such te rms as the board in its762
discretion shall determine. The price or prices for any bonds sold, exchanged, or delivered763
may be:764
(1) The money paid for the bonds;765
(2) The principal amount, plus accrued interest to the date of redemption or exchange,766
or outstanding obligations exchanged for refunding bonds; or767
(3) In the case of revenue bonds, the amount of any indebtedness to contractors or other768
persons paid with such bonds, or the fair value of any properties exchanged for the bonds,769
as determined by the board.770
(c) Any general obligation bonds or revenue bonds may be autho rized by resolution or771
resolutions of a board which shall be adopted by a majority of all the members thereof then772
in office. Such resolution or resolutions may be adopted at the same meeting at which they773
are introduced and need not be published or posted. A board may, by resolution, authorize774
the issuance of bonds and fix the aggregate amount of bonds to be issued, the purpose or775
purposes for which the moneys derived therefrom shall be expend ed, including, but not776
limited to, payment of costs as defined in this chapter; the rate or rates of interest, which777
may be fixed or may fluctuate or otherwise change from time to time or be subject to778
interest rate hedge arrangements; the denomination of the bonds; whether or not the bonds779
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25 LC 44 2966
are to be issued in one or more series; the date or dates of maturity, which shall not exceed780
30 years from their respective dates of issuance; the medium of payment; the place or781
places within or without the state where payment shall be made; registration privileges;782
redemption terms and privileges, whether with or without premiu m; the manner of783
execution; the form of the bonds, including any interest coupons to be attached thereto; the784
manner of execution of bonds and coupons; and any and all other terms, covenants, and785
conditions thereof and the establishment of revenue or other fu nds. A resolution786
authorizing the issuance of the bonds may delegate to such offi cers charged with the787
responsibility of issuing such bonds the authority to set the f inal terms, conditions, and788
details thereof, including the interest rate or rates and matur ity, within reasonable789
parameters established and set forth in such resolution.790
(d) Pending the preparation of definitive bonds, a board may issue interim certificates or791
receipts or temporary bonds, in such form and with such provisi ons as such board may792
determine, exchangeable for definitive bonds when such bonds have been executed and are793
available for delivery. A board may also provide for the replacement of any bonds which794
become mutilated, lost, or destroyed.795
(e) Any bond issued under this chapter or any temporary bond, in the absence of an796
express recital on the face thereof that it is nonnegotiable, s hall be fully negotiable and797
shall be and constitute a negotiable instrument within the meaning and for all purposes of798
the law merchant and the laws of the state.799
(f) A board may make such provision with respect to the defeasance of the right, title, and800
interest of the holders of any of the bonds and obligations of a district in any revenues,801
funds, or other properties by which such bonds are secured as s uch board deems802
appropriate and, without limitation on the foregoing, may provide that when such bonds803
or obligations become due and payable or shall have been called for redemption and the804
whole amount of the principal and interest and premium, if any, due and payable upon the805
bonds or obligations then outstanding shall be held in trust for such purpose and provision806
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25 LC 44 2966
shall also be made for paying all other sums payable in connect ion with such bonds or807
other obligations, then and in such event the right, title, and interest of the holders of the808
bonds in any revenues, funds, or other properties by which such bonds are secured shall809
thereupon cease, terminate, and become void; and the board may apply any surplus in any810
sinking fund established in connection with such bonds or oblig ations and all balances811
remaining in all other funds or accounts other than money held for the redemption or812
payment of the bonds or other obligations to any lawful purpose of the district as the board813
shall determine.814
(g) If the proceeds of any bonds are less than the cost of com pleting the project in815
connection with which such bonds were issued, a board may autho rize the issuance of816
additional bonds, upon such terms and conditions as the board m ay provide in the817
resolution authorizing the issuance thereof, but only in compliance with the resolution or818
other proceedings authorizing the issuance of the original bonds.819
(h) A board is authorized to provide by resolution for the issuance of bonds of the board820
for the purpose of funding or refunding any bonds issued under the provisions of this821
chapter and then outstanding, together with accrued interest thereon and premium, if any. 822
The issuance of such funding or refunding bonds, the maturities and all other details823
thereof, the rights of the holders thereof, and the duties of the board in respect to the same824
shall be governed by the provisions of this chapter insofar as the same may be applicable. 825
A district shall have the power to issue bonds to provide for the retirement or refunding of826
any bonds or obligations of the district that at the time of such issuance are or subsequently827
thereto become due and payable, or that at the time of issuance have been called or are or828
will be subject to call for redemption within ten years thereafter, or the surrender of which829
can be procured from the holders thereof at prices satisfactory to the board. Refunding830
bonds may be issued at any time when in the judgment of a board such issuance will be831
advantageous to the district. A board may by resolution confer upon the holders of such832
refunding bonds all rights, powers, and remedies to which the holders would be entitled if833
H. B. 317
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25 LC 44 2966
they continued to be the owners and had possession of the bonds for the refinancing of834
which such refunding bonds are issued, including, but not limited to, the preservation of835
the lien of such bonds on the revenues of any project or on ple dged funds, without836
extinguishment, impairment, or diminution thereof. The provisi ons of this chapter837
pertaining to bonds of a district shall, unless the context oth erwise requires, govern the838
issuance of refunding bonds, the form and other details thereof , the rights of the holders839
thereof, and the duties of the board with respect thereto.840
(i)(1) Revenue bonds may be secured by, or payable from, the gross or net pledge of the841
revenues to be derived from any project or combination of projects; from the rates, fees,842
or other charges to be collected from the users of any project or projects; from any843
revenue-producing undertaking or activity of a district; from special assessments; or from844
any other source or pledged security. Such bonds shall not constitute an indebtedness of845
a district, and the approval of the qualified electors shall no t be required unless such846
bonds are additionally secured by the full faith and credit and taxing power of a district.847
(2) Any two or more projects may be combined and consolidated into a single project848
and may hereafter be operated and maintained as a single projec t. The revenue bonds849
authorized in this chapter may be issued to finance any one or more of such projects,850
regardless of whether such projects have been combined and consolidated into a single851
project. If a board deems it advisable, the proceedings authorizing such revenue bonds852
may provide that a district may thereafter combine the projects then being financed or853
theretofore financed with other projects to be subsequently financed by the district and854
that revenue bonds to be thereafter issued by the district shal l be on parity with the855
revenue bonds then being issued, all on such terms, conditions, and limitations as shall856
have been provided in the proceeding which authorized the original bonds.857
(j)(1) A district shall have the power from time to time to issue general obligation bonds858
to finance or refinance capital projects or to refund outstandi ng bonds in an aggregate859
principal amount of general bonds outstanding at any one time not in excess of 35 percent860
H. B. 317
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25 LC 44 2966
of the assessed value of the taxable property within the district as shown on the pertinent861
tax records at the time of the authorization of the general obligation bonds for which the862
full faith and credit of the district is pledged. Except for refunding bonds that satisfy the863
conditions described in subparagraphs (e)(1)(A) through (e)(1)( D) of Code864
Section 36-82-1, no general obligation bonds shall be issued unless the bonds are issued865
to finance or refinance a capital project and the issuance has been approved at an election866
within the district held in the same manner and under the same rules and regulations that867
elections for officers of the general purpose local government wherein the district's land868
lies are held. Such election shall be called to be held in the district by the board of869
elections of the county wherein a majority of the district's land lies upon the request of870
the board of the district. The expenses of calling and holding such election shall be at the871
expense of the district, and the district shall reimburse the c ounty for any expenses872
incurred in calling or holding such election.873
(2) A district may pledge its full faith and credit for the pa yment of the principal and874
interest on such general obligation bonds and for any reserve funds provided therefor and875
may unconditionally and irrevocably pledge itself to levy ad valorem taxes on all taxable876
property in the district, to the extent necessary for the payme nt thereof, without877
limitations as to rate or amount.878
(3) If a board determines to issue general obligation bonds fo r more than one capital879
project, the approval of the issuance of the bonds for each and all such projects may be880
submitted to the electors on one and the same ballot. The fail ure of the electors to881
approve the issuance of bonds for any one or more capital proje cts shall not defeat the882
approval of bonds for any capital project which has been approved by the electors.883
(4) In arriving at the amount of general obligation bonds permitted to be outstanding at884
any one time pursuant to paragraph (1) of this subsection, there shall not be included any885
general obligation bonds which are additionally secured by the pledge of:886
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25 LC 44 2966
(A) Special assessments levied in an amount sufficient to pay the principal and interest887
on the general obligation bonds so additionally secured, which assessments have been888
equalized and confirmed by resolution of the board;889
(B) Revenues determined by the board to be sufficient to pay the principal and interest890
on the general obligation bonds so additionally secured; or891
(C) Any combination of assessments and revenues described in s ubparagraphs (A)892
and (B) of this paragraph.893
(k)(1) Notwithstanding any provisions of any other law to the contrary, all bonds issued894
under the provisions of this chapter shall constitute legal investments for savings banks,895
banks, trust companies, insurance companies, executors, adminis trators, trustees,896
guardians, and other fiduciaries and for any board, body, agency, instrumentality, county,897
municipality, or other political subdivision of the state and shall be and constitute security898
which may be deposited by banks or trust companies as security for deposits of state,899
county, municipal, or other public funds or by insurance compan ies as required or900
voluntary statutory deposits.901
(2) Any bonds issued by a district shall be incontestable in t he hands of bona fide902
purchasers or holders for value and shall not be invalid becaus e of any irregularity or903
defect in the proceedings for the issue and sale thereof.904
(l) Any resolution authorizing the issuance of bonds may conta in such covenants as a905
board deems advisable, and all such covenants shall constitute valid and legally binding906
and enforceable contracts between a district and the bondholders, regardless of the time of907
issuance thereof. Such covenants may include, without limitation, covenants concerning908
the disposition of the bond proceeds; the use and disposition o f project revenues; the909
pledging of revenues, taxes, and assessments; the obligations of the district with respect to910
the operation of the project and the maintenance of adequate project revenues; the issuance911
of additional bonds; the appointment, powers, and duties of tru stees and receivers; the912
acquisition of outstanding bonds and obligations; restrictions on the establishment of913
H. B. 317
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25 LC 44 2966
competing projects or facilities; restrictions on the sale or d i s p o s a l o f t h e a s s e t s a n d914
property of the district; the priority of assessment liens; the p r i o r i t y o f c l a i m s b y915
bondholders on the taxing power of the district; the maintenance of deposits to assure the916
payment of revenues by users of district facilities and service s; the discontinuance of917
district services by reason of delinquent payments; acceleration upon default; the execution918
of necessary instruments; and the procedure for amending or abrogating covenants with the919
bondholders and such other covenants as are deemed necessary or desirable for the security920
of the bondholders.921
(m)(1) All bonds issued under this chapter shall be validated pursuant to the procedures922
set forth in Article 3 of Chapter 82 this title, the 'Revenue Bond Law.' Bonds shall bear923
a certificate of validation. In the case where property within a district is within multiple924
jurisdictions, validation shall occur in the jurisdiction withi n which the majority of the925
property of the district lies. The signature of the clerk of the superior court may be made926
on the certificate of validation of such bonds by facsimile or by manual execution, stating927
the date on which such bonds were validated.928
(2) In lieu of specifying the rate or rates of interest which such bonds are to bear and the929
principal amount and maturities of such bonds, the notice to th e district attorney; the930
notice to the public of the time, place, and date of the validation hearing; and the petition931
and complaint for validation shall state that the bonds when is sued will bear interest at932
a rate not exceeding a maximum per annum rate of interest which may be fixed or may933
fluctuate or otherwise change from time to time, and that the principal amount will not934
exceed an amount specified in and the final maturity date will not be later than a date935
specified in such notices, petition, and complaint or may state that, in the event the bonds936
are to bear different rates of interest for different maturity dates, none of such rates will937
exceed the maximum rate so specified which may be fixed or may fluctuate or otherwise938
change from time to time; provided, however, that nothing in this Code section shall be939
construed as prohibiting or restricting the right of a board to sell such bonds at a discount,940
H. B. 317
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25 LC 44 2966
even if in doing so the effective interest cost resulting there from would exceed the941
maximum per annum interest rate specified in such notices and i n the petition and942
complaint.943
(n) This chapter constitutes full and complete authority for the issuance of bonds and the944
exercise of the powers of a district provided in this chapter. No procedures or proceedings,945
publications, notices, consents, approvals, orders, acts, or things by a board, or any board,946
officers, commission, department, agency, or instrumentality of a district, other than those947
required by this chapter, shall be required to perform anything under this chapter, except948
that the issuance or sale of bonds pursuant to the provisions o f this chapter shall comply949
with the general law requirements applicable to the issuance or sale of bonds by a district. 950
Nothing in this chapter shall be construed to authorize a district to utilize bond proceeds951
to fund the ongoing operations of such district.952
(o) The state pledges to the holders of any bonds issued under this chapter that it will not953
limit or alter the rights of a district to own, acquire, constr uct, reconstruct, improve,954
maintain, operate, or fulfill the terms of any agreement made w ith the holders of such955
bonds or other obligations and that it will not in any way impair the rights or remedies of956
such holders. Any limitations with respect to interest rates found in Article 3 of Chapter957
82 of this title, the 'Revenue Bond Law,' or the usury laws of this state shall not apply to958
obligations issued under this chapter.959
(p) All bonds, notes, and other obligations issued under this chapter and interest paid and960
all fees, charges, and other revenues derived by a district from the projects provided by this961
chapter are exempt from all taxes of the state or of any politi cal subdivision, agency, or962
instrumentality thereof.963
(q) A default on the bonds or obligations of a district shall not constitute a debt or964
obligation of a general purpose local government or the state.965
H. B. 317
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25 LC 44 2966
36-93-15.966
Any issuance of bonds may be secured by a trust agreement by and between a district and967
a corporate trustee or trustees, which may be any trust company or bank having the powers968
of a trust company within or without this state. A resolution authorizing the issuance of969
the bonds or such trust agreement may pledge the revenues to be received from any970
projects of a district and may contain such provisions for prot ecting and enforcing the971
rights and remedies of the bondholders as the board approves, including, without limitation,972
covenants setting forth the duties of the district in relation to the acquisition, construction,973
reconstruction, improvement, maintenance, repair, operation, and insurance of any projects;974
the fixing and revising of the rates, fees, and charges; and the custody, safeguarding, and975
application of all moneys and for the employment of consulting engineers in connection976
with such acquisition, construction, reconstruction, improvement, maintenance, repair, or977
operation. It shall be lawful for any bank or trust company wi thin or without this state978
which may act as a depository of the proceeds of bonds or of re venues to furnish such979
indemnifying bonds or to pledge such securities as may be requi red by a district. Such980
resolution or trust agreement may set forth the rights and remedies of the bondholders and981
of the trustee, if any, and may restrict the individual right of action by bondholders. The982
rights and remedies of bondholders shall be subject to the limitation specified in subsection983
(a) of Code Section 36-93-14. A board may provide for the paym ent of proceeds of the984
sale of the bonds and the revenues of any project to such officer, board, or depository as985
it may designate for the custody thereof and may provide for the method of disbursement986
thereof with such safeguards and restrictions as it may determine. All expenses incurred987
in carrying out the provisions of such resolution or trust agreement may be treated as part988
of the cost of operation of the project to which such trust agreement pertains.989
H. B. 317
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25 LC 44 2966
36-93-16.990
(a) A board shall have the power to impose and collect assessm ents on all taxable real991
property in a district to construct and maintain district projects and to pay the costs thereof;992
to pay the principal of, and interest on, any bonds of a distri ct; and to provide for any993
sinking or other funds established in connection with any such bonds. The district project994
assessment shall be in addition to all other assessments provided for by law. The amount995
of the assessment shall be determined by the board based upon a report of the district's996
engineer and shall be equitably apportioned among the propertie s subject to such997
assessments. Such assessments shall be a lien on the property against which imposed until998
paid and shall be enforceable in like manner as taxes in the applicable general purpose local999
government, or as otherwise provided by law.1000
(b)(1) A board may impose and collect a maintenance and operation special assessment1001
on all taxable real property in a district to maintain, operate, or preserve the facilities and1002
projects of the district and to pay the costs thereof; to pay the principal of, and interest on,1003
any obligations of a district; and to provide for any sinking or other funds established in1004
connection with any such obligations. The amount of the assessment shall be determined1005
by the board based upon the operation and maintenance needs of the district and shall be 1006
equitably apportioned among the properties subject to such assessments.1007
(2) Maintenance and operation special assessments shall be a lien on the property against1008
which imposed until paid and shall be enforceable in like manne r as taxes in the1009
applicable general purpose local government, or as otherwise provided by law.1010
(c) Any assessment imposed pursuant to this Code section may b e collected by the1011
applicable general purpose local government using the methods a nd procedures as1012
designated by the tax authority of the applicable general purpose local government. Such1013
tax authority may provide disclosure regarding any special assessment, ad valorem tax, or1014
fee attributable to the district. Delinquent assessments shall bear the same interest and1015
penalties as ad valorem taxes of the applicable general purpose local government and may1016
H. B. 317
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25 LC 44 2966
be enforced and collected in the same manner. The applicable g eneral purpose local1017
government may retain a fee to reimburse the actual increased c osts of preparing and1018
mailing notices to collect such assessments for the board. The remaining proceeds shall1019
be transmitted by the applicable general purpose local government to the board and shall1020
be expended by the board only for the purposes authorized in this chapter.1021
(d) A board shall impose the assessments provided for in this Code section between1022
January 1 and August 1 of each calendar year and shall notify in writing the tax authority1023
of the applicable general purpose local government by a date to be determined by the1024
applicable general purpose local government and such general purpose local government1025
shall include the assessment on its regular ad valorem tax bills. In the event assessments1026
are imposed at an amount based on property valuation, a board s hall use the assessed1027
values of property contained in the tax digest approved by the county to determine the1028
amount applicable to each property assessment.1029
(e) If a parcel of real property is removed from a district or assessment becomes otherwise1030
inapplicable to such parcel of real property, it shall continue to bear its assessment burden1031
then extant until paid, including upon such event for bonded indebtedness of a district then1032
outstanding until any bonded indebtedness then outstanding is paid or refunded.1033
(f) Each property subject to fees or assessments imposed by a board for any public facility1034
that is also subject to impact fees levied by the applicable ge neral purpose local1035
government shall receive a credit equal to the present value of all fees and assessments1036
toward any impact fee as may be levied by the applicable genera l purpose local1037
government against said property for system improvements which are in the same category1038
as said public facility in accordance with Chapter 71 of this title, the 'Georgia Development1039
Impact Fee Act.'1040
(g) All bonds, notes, and other obligations issued according t o this chapter and interest1041
paid and all fees, charges, and other revenues derived by a dis trict from the projects1042
H. B. 317
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25 LC 44 2966
provided by this chapter are exempt from all taxes of the state or of any political1043
subdivision, agency, or instrumentality thereof.1044
(h) With the exception of maintenance and operation special as sessments, district1045
assessments may be made payable in no more than 30 yearly installments.1046
(i) An elected board shall have the power to levy and assess an ad valorem tax on all the1047
taxable property in a district to construct, operate, and maintain assessable improvements;1048
to pay the principal of, and interest on, any general obligatio n bonds of a district; and to1049
provide for any sinking or other funds established in connection with any such bonds. The1050
ad valorem tax provided for in this subsection shall be in addition to county and all other1051
ad valorem taxes provided for by law. Such tax shall be assess ed, levied, collected, and1052
enforced in the same manner and same time as county taxes.1053
(j) In the case of a county which is by law or constitutional amendment subject to a1054
maximum allowable mill rate for taxes levied by such county, and only in the case of such1055
a county, ad valorem taxes or assessments imposed under this chapter by a district created1056
within such county shall be considered assessments imposed by such county for purposes1057
of the maximum allowable mill rate. No district created by such a county shall impose any1058
assessments under this chapter unless the county governing auth ority has certified in1059
writing to the district that the district assessments will not result in a violation of the1060
maximum allowable mill rate applicable to the county.1061
36-93-17.1062
All taxes, assessments, rates, fees, rentals, and charges of a district provided for in this1063
chapter, together with all penalties for default in the payment of the same and all costs in1064
collecting the same, including reasonable attorney's fees and costs fixed by the court and1065
taxed as a cost in the action brought to enforce payment, shall, from January 1 for each year1066
the property is liable to assessment and until paid, constitute a lien of equal dignity with1067
the liens for state and county taxes and other taxes of equal d ignity, notwithstanding the1068
H. B. 317
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25 LC 44 2966
provisions of Code Section 48-2-56, with the liens for municipal taxes and other taxes of1069
equal dignity with municipal taxes upon all the lands against which such assessments have1070
been imposed. A sale of any of the real property within a district for state, county, or other1071
taxes shall not operate to relieve or release the property so sold from the lien for subsequent1072
district taxes or installments of district taxes, which lien ma y be enforced against such1073
property as though no such sale thereof had been made. Nothing in this chapter shall affect1074
the rights of lien holders for municipal taxes.1075
36-93-18.1076
(a) A district has the right to:1077
(1) Pay any delinquent state, county, district, municipal, or other tax or assessment upon1078
lands located wholly or partially within the boundaries of the district; and1079
(2) Redeem or purchase any tax sales certificates issued or sold on account of any state,1080
county, district, municipal, or other taxes or assessments upon lands located wholly or1081
partially within the boundaries of the district.1082
(b) Delinquent taxes paid, or tax sales certificates redeemed or purchased, by a district,1083
together with all penalties for the default in payment of the same and all costs in collecting1084
the same and reasonable attorney's fees and costs, shall consti tute a lien in favor of a1085
district of equal dignity, notwithstanding the provisions of Code Section 48-2-56, with the1086
liens of municipal taxes and other taxes of equal dignity with municipal taxes upon all the1087
real property against which the taxes were levied. The lien of a district may be enforced1088
in the manner provided in this chapter.1089
(c) In any sale of land, a district may certify to the tax commissioner, tax collector, or other1090
public official holding such sale the amount of assessments due to such district upon the1091
lands sought to be sold, and such district shall share in the d isbursement of the sales1092
proceeds in accordance with the provisions of this chapter and under the laws of this state.1093
H. B. 317
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25 LC 44 2966
36-93-19.1094
In the event that any assessments, rates, fees, rentals, charge s, or delinquent penalties1095
provided for in Code Section 36-93-18 are not paid when due and are in default for 60 days1096
or more, the unpaid balance thereof and all interest accrued th ereon, together with1097
reasonable attorney's fees and costs, may be recovered by a district in a civil action.1098
36-93-20.1099
To the full extent permitted by law, a district shall require all lands, buildings, premises,1100
persons, firms, and corporations within such district to use th e water management and1101
control facilities and water and sewer facilities of the distri ct, or any other facility or1102
service of the district when the district relies on the collection of any rates, fees, or charges1103
to provide said facility or service or to pay principal and int erest on debt obligations1104
secured by a pledge of revenues generated by the collection of such rates, fees, and1105
charges.1106
36-93-21.1107
(a) A district is authorized to prescribe, fix, establish, and collect rates, fees, rentals, or1108
other charges, and to revise the same from time to time, for th e facilities and services1109
furnished by such district, within the limits of the district, including, but not limited to,1110
recreational facilities, water management and control facilitie s, and water and sewer1111
systems; to recover the costs of making connection with any district facility or system; and1112
to provide for reasonable penalties against any user or propert y for any such rates, fees,1113
rentals, or other charges that are delinquent.1114
(b) No rates, fees, rentals, or other charges for any of the facilities or services of the district1115
provided for in subsection (a) of this Code section shall be fixed until after a public hearing1116
at which all the users of the proposed facility or services or owners, tenants, or occupants1117
served or to be served thereby and all other interested persons shall have an opportunity to1118
H. B. 317
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25 LC 44 2966
be heard concerning the proposed rates, fees, rentals, or other charges. Notice of such1119
public hearing setting forth the proposed schedule or schedules of rates, fees, rentals, and1120
other charges shall have been published in the legal organ of t he applicable county,1121
counties, municipality, or municipalities at least once and at least ten days prior to such1122
public hearing. The rule-making hearing may be adjourned from time to time. After such1123
hearing, such schedule or schedules, either as initially proposed or as modified or amended,1124
may be finally adopted. A copy of the schedule or schedules of such rates, fees, rentals,1125
or charges as finally adopted shall be kept on file in an office designated by the board and1126
shall be open at all reasonable times to public inspection. Th e rates, fees, rentals, or1127
charges so fixed for any class of users or property served shal l be extended to cover any1128
additional users or properties thereafter served which shall fall in the same class, without1129
the necessity of any notice or hearing.1130
(c) The rates, fees, rentals, and charges provided for in subsection (a) of this Code section1131
shall be just and equitable and uniform for users of the same class, and when appropriate1132
may be based or computed upon the amount of service furnished, upon the average number1133
of persons residing or working in or otherwise occupying the premises served, or upon any1134
other factor affecting the use of the facilities furnished, or upon any combination of the1135
foregoing factors, as may be determined by the board on an equitable basis.1136
(d) The rates, fees, rentals, or other charges prescribed shal l be such as will produce1137
revenues, together with any other assessments, taxes, revenues, or funds available or1138
pledged for such purpose, at least sufficient to:1139
(1) Provide for all expenses of operation and maintenance of such facility or service; and1140
(2) Pay when due all bonds and interest thereon for the payment of which such revenues1141
are, or shall have been, pledged or encumbered, including reserves for such purpose and1142
bonds pursuant to this chapter.1143
H. B. 317
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25 LC 44 2966
(e) A board shall have the power to enter into contracts for t he use of the projects of a1144
district and with respect to the services and facilities furnis hed or to be furnished by a1145
district.1146
36-93-22.1147
In the event that any rates, fees, rentals, charges, or delinqu ent penalties provided for in1148
Code Section 36-93-21 are not paid as and when due and are in default for 60 days or more,1149
the unpaid balance thereof and all interest accrued thereon, to gether with reasonable1150
attorney's fees and costs, may be recovered by a district in a civil action.1151
36-93-23.1152
In the event the fees, rentals, or other charges for water or sewer services are not paid when1153
due, a board shall have the power, under such reasonable rules and regulations as such1154
board may adopt, to discontinue and shut off such water or sewer services until such fees,1155
rentals, or other charges, including interest, penalties, and charges for the shutting off and1156
discontinuance and the restoration of such water or sewer services, are fully paid. For such1157
purposes, a board may enter on any lands, waters, or premises o f any person, firm,1158
corporation, or body, public or private, within the district li mits. Such delinquent fees,1159
rentals, or other charges, together with interest, penalties, and charges for the shutting off1160
and discontinuance and the restoration of such services or faci lities and reasonable1161
attorney's fees and costs and other expenses, may be recovered by a district, which may1162
also enforce payment of such delinquent fees, rentals, or other charges by any other lawful1163
method of enforcement.1164
36-93-24.1165
A board or any aggrieved person may have recourse to such remedies in law and at equity1166
as may be necessary to ensure compliance with the provisions of this chapter, including1167
H. B. 317
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25 LC 44 2966
injunctive relief to enjoin or restrain any person violating the provisions of this chapter or1168
any bylaws, resolutions, regulations, rules, codes, or orders adopted under this chapter. In1169
case any building or structure is erected, constructed, reconst ructed, altered, repaired,1170
converted, or maintained, or any building, structure, land, or water is used, in violation of1171
this chapter or of any code, order, resolution, or other regula tion made under authority1172
conferred by this chapter or under law, a board, any landowner, any citizen residing in the1173
district, or any governmental agency or general purpose local government with jurisdiction1174
may institute any appropriate action or proceeding to prevent s uch unlawful erection,1175
construction, reconstruction, alteration, repair, conversion, maintenance, or use; to restrain,1176
correct, or avoid such violation; to prevent the occupancy of such building, structure, land,1177
or water; and to prevent any illegal act, conduct, business, or use in or about such premises,1178
land, or water.1179
36-93-25.1180
Property, real or personal, that belongs to or is owned by a district, or in which a district1181
has an ownership interest and is funded by a tax-exempt bond issued by such district, shall1182
be exempt from levy and sale by virtue of an execution, and no execution or other judicial1183
process shall issue against such property, nor shall any judgme nt against a district be a1184
charge or lien on its property or revenues; provided, however, that nothing in this Code1185
section shall apply to or limit the rights of bondholders to pu rsue any remedy for the1186
enforcement of any lien or pledge given by a district in connection with any of the bonds1187
or obligations of a district. In the event that taxes on such property become delinquent or1188
government liens are placed on such property, the federal gover nment, the state1189
government, or any political subdivision of the state with an interest in such taxes or liens1190
may pursue a civil action against a district to recover such moneys. Any such government1191
shall be entitled to recover costs and attorney's fees and costs accrued in the pursuit of such1192
action.1193
H. B. 317
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25 LC 44 2966
36-93-26.1194
(a) A district board may petition to contract or expand the boundaries of a district in the1195
following manner:1196
(1) The petition shall comply with the same provisions and contain the same information1197
required by paragraphs (1) and (2) of subsection (a) of Code Se ction 36-93-4. In1198
addition, if the petitioner seeks to expand the district, the p etition shall describe the1199
proposed timetable for construction of any district services in the area, the estimated cost1200
of constructing the proposed services, and the designation of t he future general1201
distribution, location, and extent of public and private uses of land proposed for the area1202
by the future land use plan element of the local government comprehensive plan then in1203
force. If the petitioner seeks to contract the district, the p etition shall describe what1204
services and facilities are currently provided by the district to the area being removed,1205
and the designation of the future general distribution, location, and extent of public and1206
private uses of land proposed for the area by the future land element of the adopted local1207
government comprehensive plan;1208
(2) A petitioner shall submit to the applicable general purpos e local government or1209
governments an application fee to be established by the applicable general purpose local1210
government or governments not to exceed $500.00 per 100 acres to be added or removed1211
from the district's boundaries and located within the jurisdiction of such general purpose1212
local government or governments and not to exceed $15,000.00 regardless of acreage, to1213
defray administrative costs associated with the petition, inclu ding, but not limited to,1214
legal fees and any other professional fees incurred by the gene ral purpose local1215
government or governments;1216
(3) A public hearing shall be held in the same manner and with the same public notice1217
as required in paragraph (4) of subsection (a) of Code Section 36-93-4. The applicable1218
general purpose local government or governments shall consider the record of the public1219
hearing and the factors set forth in paragraph (5) of subsectio n (a) of Code1220
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Section 36-93-4 in making its determination to grant or deny a petition to amend the1221
boundaries of a community development district;1222
(4) The filing of the petition by the district board of supervisors constitutes consent of1223
the landowners within the district. In all cases, written cons ent of those landowners1224
whose land is to be added to or deleted from the district as pr ovided in1225
subparagraph (a)(2)(B) of Code Section 36-93-4 is required;1226
(5) For a petition to establish a new district of less than 2, 500 acres on land located1227
solely in one county or one municipality, sufficiently contiguous lands located within the1228
county or municipality which the petitioner anticipates adding to the boundaries of the1229
district within ten years after the effective date of the resolution or ordinance establishing1230
the district may also be identified. If such sufficiently contiguous land is identified, the1231
petition shall include a legal description of each additional parcel within the sufficiently1232
contiguous land, the current owner of the parcel, the acreage of the parcel, and the current1233
land use designation of the parcel. At least 14 days before th e hearing required under1234
paragraph (4) of subsection (a) of Code Section 36-93-4, the pe titioner shall give the1235
current owner of each such parcel notice of filing the petition to establish the district, the1236
date and time of the public hearing on the petition, and the na me and address of the1237
petitioner. A parcel shall not be included in the district without the written consent of the1238
owner of the parcel; and1239
(6)(A) After establishment of a district, the district board ma y petition the county or1240
municipality to amend the boundaries of the district to include a previously identified1241
parcel that was a proposed addition to the district before its establishment. No filing1242
fee shall be charged for such petition. Each such petition shall include:1243
(i) A description of the property to be added to the boundaries of the district by metes1244
and bounds description, plat or block and lot reference, rectangular survey system, or1245
any combination thereof;1246
(ii) Written consent of all owners of the parcel to be added;1247
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(iii) A map of the district including the parcel to be added;1248
(iv) A description of the development proposed on the additional parcel; and1249
(v) A copy of the original petition identifying the parcel to be added.1250
(B) Before filing with the county or municipality, the district board shall provide the1251
petition to the owner of the proposed additional parcel.1252
(C) Once the petition is determined sufficient and complete, the county or municipality1253
shall process the addition of the parcel to the district as an amendment to the ordinance1254
or resolution that established the district.1255
(D) The district board shall cause to be published in the legal organ of the applicable1256
county, counties, municipality, or municipalities a notice of t he intent to amend the1257
ordinance or resolution that established the district. The notice shall be in addition to1258
any notice required for adoption of the resolution or ordinance amendment. The notice1259
shall include a general description of the land to be added to the district and the date1260
and time of the scheduled hearing to amend the ordinance. The district board shall1261
deliver, including by mail or hand delivery, the notice of the hearing on the ordinance1262
amendment to the owner of the parcel at least 14 days before the scheduled hearing.1263
(E) The amendment of a district by the addition of a parcel pursuant to this paragraph1264
does not alter the transition from landowner voting to qualified elector voting pursuant1265
to Code Section 36-93-5, even if the total size of the district after the addition of the1266
parcel exceeds 5,000 acres. Upon adoption of the ordinance expanding the district, the1267
district board shall cause to be recorded a notice of boundary amendment which reflects1268
the new boundaries of the district.1269
(F) This subsection is intended to facilitate the orderly addi tion of lands to a district1270
under certain circumstances and does not preclude the addition of lands to any district1271
using the procedures in the other provisions of this Code section.1272
(b) A district shall remain in existence unless:1273
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(1) The district is merged with another district as provided in subsection (c) of this Code1274
section;1275
(2) All of the specific community development systems, facilities, and services that such1276
district is authorized to perform have been transferred to a se rvice delivery provider in1277
the manner provided in subsections (d) and (e) of this Code section; or1278
(3) The district is dissolved as provided in subsection (f) or (g) of this Code section.1279
(c) A district may merge with other districts upon filing a pe tition for merger, which1280
petition shall include the elements set forth in paragraph (2) of subsection (a) of Code1281
Section 36-93-4 and which shall be evaluated using the criteria set forth in paragraph (5)1282
of subsection (a) of Code Section 36-93-4. The filing fee shal l be as set forth in1283
paragraph (3) of subsection (a) of Code Section 36-93-4. In ad dition, the petition shall1284
state whether a new district is to be established or whether one district will be the surviving1285
district. A new district formed by a merger pursuant to this s ubsection shall assume all1286
indebtedness of, and receive title to, all property owned by the preexisting districts, and the1287
rights of creditors and liens upon property are not impaired by such merger. Any claim1288
existing or action or proceeding pending by or against any dist rict that is a party to the1289
merger may be continued as if the merger had not occurred, or the surviving district may1290
be substituted in the proceeding for the district that ceased t o exist. Prior to filing a1291
petition, the districts desiring to merge shall enter into a me rger agreement and shall1292
provide for the proper allocation of the indebtedness so assumed and the manner in which1293
such debt shall be retired. The approval of the merger agreement and the petition by the1294
board of supervisors of a district shall constitute consent of the landowners within the1295
district.1296
(d) Upon the request of the board of a district, a service del ivery provider may adopt a1297
resolution or ordinance providing for and entering into a contr act for the transfer of a1298
specific district service or infrastructure from a district to the service delivery provider.1299
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(e) Upon the transfer of all of the community development serv ices of a district to a1300
service delivery provider, the district shall be terminated in accordance with a plan of1301
termination which shall be adopted by the board of supervisors and filed with the clerk of1302
the superior court.1303
(f) If, within five years after the effective date of the rule or ordinance establishing a1304
district, a landowner has not received a building permit author izing construction of a1305
building or structure within the district, the district shall be automatically dissolved.1306
(g) If a district has no outstanding financial obligations and no operating or maintenance1307
responsibilities, upon the petition of the district, the distri ct may be dissolved by a1308
resolution or ordinance of the appropriate general purpose local government.1309
(h) Prior to any dissolution, debts and other obligations of a district shall be fully paid or1310
payment otherwise provided for.1311
36-93-27.1312
Subsequent to the establishment of a district under this chapter, each contract for the sale1313
of a parcel of real property and each contract for the sale of a residential unit within the1314
district shall include, immediately prior to the space reserved in the contract for the1315
signature of the purchaser, the following disclosure statement in boldface and conspicuous1316
type which is larger than the type in the remaining text of the contract: 'THE PROPERTY1317
YOU ARE ABOUT TO PURCHASE IS WITHIN THE (Name of District) COMMUNITY1318
DEVELOPMENT DISTRICT. THE (Name of District) COMMUNITY DEVELOPMENT1319
DISTRICT MAY IMPOSE AND LEVY TAXES OR ASSESSMENTS ON THIS1320
PROPERTY FOR THE COSTS OF ALL IMPROVEMENTS, FACILITIES,1321
INFRASTRUCTURE, AND DEVELOPMENTS. THESE ASSESSMENTS PAY THE1322
CONSTRUCTION, OPERATION, AND MAINTENANCE COSTS OF CERTAIN1323
PUBLIC FACILITIES AND SERVICES OF THE DISTRICT AND ARE SET1324
ANNUALLY BY THE GOVERNING BOARD OF THE DISTRICT. THESE TAXES1325
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AND ASSESSMENTS ARE IN ADDITION TO COUNTY AND OTHER LOCAL1326
GOVERNMENTAL TAXES AND ASSESSMENTS AND ALL OTHER TAXES AND1327
ASSESSMENTS PROVIDED FOR BY LAW. THIS DISCLOSURE AND THE1328
CONTRACT FOR SALE IN WHICH IT APPEARS SHALL BE ENFORCEABLE IN1329
ANY COURT OF COMPETENT JURISDICTION.'1330
36-93-28.1331
Within 30 days after the effective date of a rule or ordinance establishing a community1332
development district under this chapter, the district shall cau se to be recorded in the1333
property records in the county in which it is located a 'Notice of Establishment of the1334
(Name of District) Community Development District.' The notice shall, at a minimum,1335
include the legal description of the district and a copy of the disclosure statement specified1336
in Code Section 36-93-8.1337
36-93-29.1338
(a) A service delivery provider that is the designated provider of a service for the area in1339
which a district is to be located pursuant to a service delivery strategy under Article 2 of1340
Chapter 70 of this title shall receive a copy of the petition t o create a district that is filed1341
with the applicable general purpose local government within five days of submission by1342
the petitioner to the applicable general purpose local governme nt. The petitioner shall1343
address and provide such copy to the mayor, sole commissioner, county commission chair,1344
or director of the service delivery provider, as applicable, by statutory overnight delivery. 1345
The service delivery provider shall have the right of first refusal to provide the service to1346
the district. Such right of first refusal shall be exercised, and such decision shall be1347
communicated to the applicable general purpose local government, no fewer than ten days1348
before its public hearing on the petition. If the service delivery provider exercises its right1349
to serve the district, it shall enter into a contract with the district, such contract to include1350
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the requirement that the service delivery provider provide its service within the district in1351
conformity with a mutually agreed-upon timetable of service. A service delivery provider's1352
requirement that the infrastructure meet the existing standards used within the service area1353
shall not constitute a refusal to provide service to the district. Likewise, a service delivery1354
provider's requirement that the district construct, or pay the costs of construction of, any1355
infrastructure inside or outside of the district necessary to p rovide service to the district1356
shall not constitute a refusal to provide such service. Such c onstruction or costs of1357
construction may include any infrastructure required to connect district infrastructure to the1358
service delivery provider's existing infrastructure and the cos ts of any modification,1359
improvement, or construction of infrastructure necessary to provide service to the district. 1360
The district shall only be required to construct or pay for con struction of infrastructure1361
project costs that are proportionately associated with the infrastructure necessary to serve1362
the anticipated usage within the district. Finally, a service delivery provider's delay in1363
providing service due to a lack of permit capacity or due to do cumented intended use of1364
existing permit capacity shall not constitute a refusal to provide service to the district.1365
(b) Water or sewer fees charged to customers located outside the geographic boundaries1366
of a service delivery provider and within the boundaries of a district shall not be arbitrarily1367
higher than the fees charged to customers receiving such service which are located within1368
the geographic boundaries of the service delivery provider.1369
(c) If a board disputes the water and sewer rate differentials imposed within the district by1370
the designated service provider, the board may hold a public he aring for the purpose of1371
reviewing the rate differential. Following the preparation of a rate study by a qualified1372
independent engineer, the district board may challenge the rate differentials on behalf of1373
its residents in a court of competent jurisdiction. Prior to such challenge, the dispute shall1374
be submitted to some form of alternative dispute resolution."1375
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SECTION 2.1376
This Act shall become effective on January 1, 2027, only if an amendment to the1377
Constitution to provide for the creation of and comprehensive r egulation of community1378
development districts is ratified by the voters at the November , 2026, state-wide general1379
election. If such an amendment is not so ratified, then this A ct shall not become effective1380
and shall stand repealed on January 1, 2027.1381
SECTION 3.1382
All laws and parts of laws in conflict with this Act are repealed.1383
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