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S.B. 293 Enrolled

             1     

MILITARY INSTALLATION DEVELOPMENT AUTHORITY

             2     
AND ANNEXATION AMENDMENTS

             3     
2011 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Chief Sponsor: Jerry W. Stevenson

             6     
House Sponsor: Brad L. Dee

             7     
             8      LONG TITLE
             9      General Description:
             10          This bill amends provisions related to a Military Installation Development Authority
             11      and its ability to petition for annexation of land, create project areas, and issue bonds.
             12      Highlighted Provisions:
             13          This bill:
             14          .    allows a Military Installation Development Authority (MIDA) to petition for
             15      annexation of a project area as if it was the sole private property owner under
             16      certain circumstances;
             17          .    requires the MIDA to provide notice of the annexation to the military installation;
             18          .    permits the military installation to object to the petition for annexation;
             19          .    amends the land that may be included in a project area;
             20          .    does not require the permission of a county for the creation of a MIDA project area
             21      if the land in the project area is wholly within a municipality; and
             22          .    clarifies the bonding process for the project area.
             23      Money Appropriated in this Bill:
             24          None
             25      Other Special Clauses:
             26          This bill provides an immediate effective date.
             27      Utah Code Sections Affected:
             28      AMENDS:
             29          10-2-402, as last amended by Laws of Utah 2009, Chapters 92, 205, and 230


             30          63H-1-401, as last amended by Laws of Utah 2010, Chapter 9
             31          63H-1-601, as enacted by Laws of Utah 2007, Chapter 23
             32     
             33      Be it enacted by the Legislature of the state of Utah:
             34          Section 1. Section 10-2-402 is amended to read:
             35           10-2-402. Annexation -- Limitations.
             36          (1) (a) A contiguous, unincorporated area that is contiguous to a municipality may be
             37      annexed to the municipality as provided in this part.
             38          (b) An unincorporated area may not be annexed to a municipality unless:
             39          (i) it is a contiguous area;
             40          (ii) it is contiguous to the municipality;
             41          (iii) except as provided in Subsection 10-2-418 (1)(b), annexation will not leave or
             42      create an unincorporated island or unincorporated peninsula; and
             43          (iv) for an area located in a specified county with respect to an annexation that occurs
             44      after December 31, 2002, the area is within the proposed annexing municipality's expansion
             45      area.
             46          (2) Except as provided in Section 10-2-418 , a municipality may not annex an
             47      unincorporated area unless a petition under Section 10-2-403 is filed requesting annexation.
             48          (3) (a) An annexation under this part may not include part of a parcel of real property
             49      and exclude part of that same parcel unless the owner of that parcel has signed the annexation
             50      petition under Section 10-2-403 .
             51          (b) A piece of real property that has more than one parcel number is considered to be a
             52      single parcel for purposes of Subsection (3)(a) if owned by the same owner.
             53          (4) A municipality may not annex an unincorporated area in a specified county for the
             54      sole purpose of acquiring municipal revenue or to retard the capacity of another municipality to
             55      annex the same or a related area unless the municipality has the ability and intent to benefit the
             56      annexed area by providing municipal services to the annexed area.
             57          (5) The legislative body of a specified county may not approve urban development


             58      within a municipality's expansion area unless:
             59          (a) the county notifies the municipality of the proposed development; and
             60          (b) (i) the municipality consents in writing to the development; or
             61          (ii) (A) within 90 days after the county's notification of the proposed development, the
             62      municipality submits to the county a written objection to the county's approval of the proposed
             63      development; and
             64          (B) the county responds in writing to the municipality's objections.
             65          (6) (a) An annexation petition may not be filed under this part proposing the
             66      annexation of an area located in a county that is not the county in which the proposed annexing
             67      municipality is located unless the legislative body of the county in which the area is located has
             68      adopted a resolution approving the proposed annexation.
             69          (b) Each county legislative body that declines to adopt a resolution approving a
             70      proposed annexation described in Subsection (6)(a) shall provide a written explanation of its
             71      reasons for declining to approve the proposed annexation.
             72          (7) (a) As used in this Subsection (7), "airport" means an area that the Federal Aviation
             73      Administration has, by a record of decision, approved for the construction or operation of a
             74      Class I, II, or III commercial service airport, as designated by the Federal Aviation
             75      Administration in 14 C.F.R. Part 139.
             76          (b) A municipality may not annex an unincorporated area within 5,000 feet of the
             77      center line of any runway of an airport operated or to be constructed and operated by another
             78      municipality unless the legislative body of the other municipality adopts a resolution
             79      consenting to the annexation.
             80          (c) A municipality that operates or intends to construct and operate an airport and does
             81      not adopt a resolution consenting to the annexation of an area described in Subsection (7)(b)
             82      may not deny an annexation petition proposing the annexation of that same area to that
             83      municipality.
             84          (8) An annexation petition may not be filed if it proposes the annexation of an area that
             85      is within a proposed township in a petition to establish a township under Subsection


             86      17-27a-306 (1)(c) that has been certified under Subsection 17-27a-306 (1)(f), until after the
             87      canvass of an election on the proposed township under Subsection 17-27a-306 (1)(h).
             88          (9) (a) A municipality may not annex an unincorporated area located within a project
             89      area described in a project area plan adopted by the military installation development authority
             90      under Title 63H, Chapter 1, Military Installation Development Authority Act, without the
             91      authority's approval.
             92          (b) (i) Except as provided in Subsection (9)(b)(ii), the Military Installation
             93      Development Authority may petition for annexation of a project area and contiguous
             94      surrounding land to a municipality as if it was the sole private property owner of the project
             95      area and surrounding land, if the area to be annexed is entirely contained within the boundaries
             96      of a military installation.
             97          (ii) Before petitioning for annexation under Subsection (9)(b)(i), the Military
             98      Installation Development Authority shall provide the military installation with a copy of the
             99      petition for annexation. The military installation may object to the petition for annexation
             100      within 14 days of receipt of the copy of the annexation petition. If the military installation
             101      objects under this Subsection (9)(b)(ii), the Military Installation Development Authority may
             102      not petition for the annexation as if it was the sole private property owner.
             103          (iii) If any portion of an area annexed under a petition for annexation filed by a
             104      Military Installation Development Authority is located in a specified county:
             105          (A) the annexation process shall follow the requirements for a specified county; and
             106          (B) the provisions of Subsection 10-2-402 (6) do not apply.
             107          Section 2. Section 63H-1-401 is amended to read:
             108           63H-1-401. Preparation of project area plan -- Required contents of project area
             109      plan.
             110          (1) (a) Before [spending any funds in a project area or] entering into any lease or
             111      development agreement, the authority board shall adopt a project area plan as provided in this
             112      part.
             113          (b) In order to adopt a project area plan, the authority board shall:


             114          (i) prepare a draft project area plan;
             115          (ii) give notice as required under Subsection 63H-1-402 (2);
             116          (iii) hold at least one public meeting, as required under Subsection 63H-1-402 (1); and
             117          (iv) after holding at least one public meeting and subject to Subsection (1)(c), adopt the
             118      draft project area plan as the project area plan.
             119          (c) Before adopting a draft project area plan as the project area plan, the authority
             120      board may make modifications to the draft project area plan that the board considers necessary
             121      or appropriate.
             122          (2) Each project area plan and draft project area plan shall contain:
             123          (a) a legal description of the boundary of the project area that is the subject of the
             124      project area plan;
             125          (b) the authority's purposes and intent with respect to the project area; and
             126          (c) the board's findings and determination that:
             127          (i) there is a need to effectuate a public purpose;
             128          (ii) there is a public benefit to the proposed development project;
             129          (iii) it is economically sound and feasible to adopt and carry out the project area plan;
             130      and
             131          (iv) carrying out the project area plan will promote the public peace, health, safety, and
             132      welfare of the community in which the project area is located.
             133          (3) [(a)] A project area described in a project area plan:
             134          [(i)] (a) shall include military land; and
             135          [(ii)] (b) may include [one or all of the following: (A) private land if: (I) the owner of
             136      the private land consents to the inclusion of the land within the project area; (II) subject to
             137      Subsection (3)(b), the private land included within the project area is contiguous to the military
             138      land included within the project area; (III) the total size of the project area does not exceed 100
             139      acres; and (IV) the project area is located within a county of the third, fourth, fifth, or sixth
             140      class; (B) up to an additional 150 acres of public or private land that is not contiguous to
             141      military land if: (I) the land is included in a project area that will include a hotel facility for


             142      current and retired military personnel at a military discount rate; (II) the owner of the public or
             143      private land consents to the inclusion of the land in the project area; and (III) 50 or more acres
             144      of the 150 acres was jointly owned by a municipality and a county on January 1, 2010; or (C)]
             145      public or private land, whether or not it is contiguous to military land, if:
             146          [(I)] (i) the legislative body of the county in which the public or private land is located,
             147      if the public land or private land is located in an unincorporated county, passes a resolution
             148      consenting to the inclusion of the land in the project area;
             149          [(II)] (ii) the legislative body of an included municipality passes a resolution
             150      consenting to the inclusion of the land in the project area; and
             151          [(III)] (iii) the owner of the public or private land consents to the inclusion of the land
             152      in the project area.
             153          [(b) Private land does not lose its contiguousness to military land because of the
             154      presence of a road or right-of-way.]
             155          Section 3. Section 63H-1-601 is amended to read:
             156           63H-1-601. Resolution authorizing issuance of authority bonds -- Characteristics
             157      of bonds.
             158          (1) The authority may not issue bonds under this part unless the authority board first
             159      adopts a resolution authorizing their issuance.
             160          (2) (a) As provided in the authority resolution authorizing the issuance of bonds under
             161      this part or the trust indenture under which the bonds are issued, bonds issued under this part
             162      may be issued in one or more series and may be sold at public or private sale and in the manner
             163      provided in the resolution or indenture.
             164          (b) Bonds issued under this part shall bear the date, be payable at the time, bear interest
             165      at the rate, be in the denomination and in the form, carry the conversion or registration
             166      privileges, have the rank or priority, be executed in the manner, be subject to the terms of
             167      redemption or tender, with or without premium, be payable in the medium of payment and at
             168      the place, and have other characteristics as provided in the authority resolution authorizing
             169      their issuance or the trust indenture under which they are issued.


             170          (3) Upon the board's adoption of a resolution providing for the issuance of bonds, the
             171      board may provide for the publication of the resolution:
             172          (a) in a newspaper having general circulation in the authority's boundaries; and
             173          (b) as required in Section 45-1-101 .
             174          (4) In lieu of publishing the entire resolution, the board may publish notice of bonds
             175      that contains the information described in Subsection 11-14-316 (2).
             176          (5) For a period of 30 days after the publication, any person in interest may contest:
             177          (a) the legality of the resolution or proceeding;
             178          (b) any bonds that may be authorized by the resolution or proceeding; or
             179          (c) any provisions made for the security and payment of the bonds.
             180          (6) (a) A person may contest the matters set forth in Subsection (5) by filing a verified
             181      written complaint, within 30 days of the publication under Subsection (5), in the district court
             182      of the county in which the person resides.
             183          (b) A person may not contest the matters set forth in Subsection (5), or the regularity,
             184      formality, or legality of the resolution or proceeding, for any reason, after the 30-day period for
             185      contesting provided in Subsection (6)(a).
             186          Section 4. Effective date.
             187          If approved by two-thirds of all the members elected to each house, this bill takes effect
             188      upon approval by the governor, or the day following the constitutional time limit of Utah
             189      Constitution Article VII, Section 8, without the governor's signature, or in the case of a veto,
             190      the date of veto override.


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