Chapter 420
AN ACT
HB 3291
Relating to annexation of districts by cities; amending ORS 222.510 and
222.540.
Be It Enacted by the People of
the State of
SECTION 1.
ORS 222.510 is amended to read:
222.510. Whenever the
entire area of a rural fire protection district, a water district, including a
domestic water supply corporation [or a
water control district], a park and recreation district, a highway lighting
district, a county service district, a special road district, road assessment
district or a sanitary district or authority, lawfully organized and existing,
becomes incorporated in or annexed to a city in accordance with law, the
district [shall be] is
extinguished and the city shall, upon the effective date of [such] the incorporation or
annexation, succeed to all the assets and become charged with all the
liabilities, obligations and functions of the district. The district officers
shall forthwith deliver to the city officers the district assets and records.
Uncollected taxes theretofore levied by [such]
the district [shall] become
the property of the city and must be delivered to it by the county
treasurer upon collection.
SECTION 2.
ORS 222.540 is amended to read:
222.540. (1) When a part
of a water district, including [a water
control district or] a domestic water supply corporation, is [thus] withdrawn, the district shall, by
action of its governing body, turn over to the city, of which the withdrawn
area becomes a part, its water mains, service installations, structures,
facilities, improvements and other property in the area withdrawn from the
district that are not necessary for the operation of the remainder of the water
control or water supply system of the district. All water mains, service
installations, reservoirs, structures, facilities, improvements and other
property [which] that are
necessary for the district to continue maintenance and operation of its water
control or water supply system [shall]
remain the property of the district, regardless of whether they are located
within or without the city. If the city is not satisfied with [such] the property division made
by the district governing body, or if, within 90 days from the effective date
of the withdrawal, the district governing body has failed to make a division,
the city’s governing body may request the county court or board of county
commissioners of the county in which the property is situated to decide upon [such a] the division.
(2) After giving 10 days’
notice and an opportunity to be heard to the district governing body, the court
or board shall, in accordance with the standards of guidance provided in this
section for the district governing board, divide the property.
(3) The decision of the
county court or board of commissioners [shall
be] is binding upon all parties in interest, except that an appeal
may be taken therefrom for abuse of discretion in arriving at the decision to
the circuit court of the county in which the property withdrawn is located
within 30 days from the announcement of the decision. The functions of the
district [shall] must be
continued in the entire preexisting area [thereof]
by the district until the final determination of the division of property.
(4) This section [shall] does not prevent the
governing bodies of the city and the district from arriving at a binding
agreement for a joint operation of the water or other facilities of each that
will be beneficial to and equitable for the inhabitants and property owners of
each after the withdrawal of part of the water district.
Approved by the Governor June 13, 2007
Filed in the office of Secretary of State June 13, 2007
Effective date January 1, 2008
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