Introduced Version






SENATE BILL No. 19

_____


DIGEST OF INTRODUCED BILL



Citations Affected: IC 36-1.5-4.

Synopsis: Local government reorganizations. Requires (rather than allows) the use of a "rejection threshold" in the case of a proposed local government reorganization involving a county and a municipality. (Under current law, the use of a rejection threshold that must be satisfied by both the voters of the municipality and by the county voters outside the municipality is optional.) Specifies that in such a proposed reorganization, the rejection threshold (the percentage of the vote needed to reject the proposed reorganization) may not exceed 50% of the vote in the municipality or 50% of the vote in the area of the county outside the municipality.

Effective: Upon passage.





Tomes




    January 7, 2013, read first time and referred to Committee on Local Government.







Introduced

First Regular Session 118th General Assembly (2013)


PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2012 Regular Session of the General Assembly.

SENATE BILL No. 19



    A BILL FOR AN ACT to amend the Indiana Code concerning local government.

Be it enacted by the General Assembly of the State of Indiana:

SOURCE: IC 36-1.5-4-10; (13)IN0019.1.1. -->     SECTION 1. IC 36-1.5-4-10, AS ADDED BY P.L.186-2006, SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 10. (a) The legislative body of a political subdivision may initiate a proposed reorganization under this chapter by adopting a resolution that:
        (1) proposes a reorganization; and
        (2) names the political subdivisions that would be reorganized in the proposed reorganization. and
        (3) only in the case of a proposed reorganization described in section 1(a)(9) of this chapter, states whether the vote on the public question regarding the reorganization shall be:
            (A) conducted on a countywide basis under section 30(b) of this chapter, without a rejection threshold; or
            (B) conducted on a countywide basis under section 30(b) of this chapter, with a rejection threshold.
    (b) The clerk of the political subdivision adopting the resolution shall certify the resolution to the clerk of each political subdivision

named in the resolution.

SOURCE: IC 36-1.5-4-12; (13)IN0019.1.2. -->     SECTION 2. IC 36-1.5-4-12, AS ADDED BY P.L.186-2006, SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 12. (a) If a petition is certified to the legislative body of a political subdivision under section 11 of this chapter, the legislative body shall conduct a public hearing on the proposed reorganization not sooner than five (5) days after publishing a notice of the public hearing under IC 5-3-1. Not more than thirty (30) days after the conclusion of the public hearing the legislative body shall adopt a resolution, substantially in the form prescribed by the department of local government finance, to do any of the following:
        (1) Decline to participate in the proposed reorganization.
        (2) Propose a reorganization with the political subdivisions named in the petition.
        (3) Propose a reorganization with political subdivisions that differ in part or in whole from the political subdivisions named in the petition.
    (b) In the case of a resolution adopted under this section proposing a reorganization described in section 1(a)(9) of this chapter, the resolution must also state whether the vote on the public question regarding the reorganization shall be:
        (1) conducted on a countywide basis under section 30(b) of this chapter, without a rejection threshold; or
        (2) conducted on a countywide basis under section 30(b) of this chapter, with a rejection threshold.
    (c) (b) The clerk of the political subdivision adopting a resolution proposing a reorganization under this section shall certify the resolution to the clerk of each political subdivision named in the resolution.
SOURCE: IC 36-1.5-4-13; (13)IN0019.1.3. -->     SECTION 3. IC 36-1.5-4-13, AS ADDED BY P.L.186-2006, SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 13. (a) The legislative body of a political subdivision that receives a certified resolution under section 10 or 12 of this chapter may do any of the following:
        (1) Adopt a resolution declining to participate in a proposed reorganization.
        (2) Adopt a substantially identical resolution proposing to participate in a proposed reorganization with the political subdivisions named in a resolution certified to the political subdivision.
        (3) Adopt a resolution proposing to participate in a proposed reorganization with political subdivisions that differ in part or in

whole from the political subdivisions named in a resolution certified to the political subdivision.
    (b) In the case of a resolution adopted under this section proposing to participate in a proposed reorganization described in section 1(a)(9) of this chapter, the resolution must also state whether the vote on the public question regarding the reorganization shall be:
        (1) conducted on a countywide basis under section 30(b) of this chapter, without a rejection threshold; or
        (2) conducted on a countywide basis under section 30(b) of this chapter, with a rejection threshold.
    (c) (b) The clerk of the political subdivision adopting a resolution proposing a reorganization under this section shall certify the resolution to the clerk of each political subdivision named in the resolution.

SOURCE: IC 36-1.5-4-18; (13)IN0019.1.4. -->     SECTION 4. IC 36-1.5-4-18, AS AMENDED BY P.L.113-2010, SECTION 110, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 18. (a) A reorganization committee shall prepare a comprehensive plan of reorganization for the reorganizing political subdivisions. The plan of reorganization governs the actions, duties, and powers of the reorganized political subdivision that are not specified by law.
    (b) The plan of reorganization must include at least the following:
        (1) The name and a description of the reorganized political subdivision that will succeed the reorganizing political subdivisions.
        (2) A description of the boundaries of the reorganized political subdivision.
        (3) Subject to section 40 of this chapter, a description of the taxing areas in which taxes to retire obligations of the reorganizing political subdivisions will be imposed.
        (4) A description of the membership of the legislative body, fiscal body, and executive of the reorganized political subdivision, a description of the election districts or appointment districts from which officers will be elected or appointed, and the manner in which the membership of each elected or appointed office will be elected or appointed.
        (5) A description of the services to be offered by the reorganized political subdivision and the service areas in which the services will be offered.
        (6) The disposition of the personnel, the agreements, the assets, and, subject to section 40 of this chapter, the liabilities of the reorganizing political subdivisions, including the terms and

conditions upon which the transfer of property and personnel will be achieved.
        (7) Any other matter that the:
            (A) reorganization committee determines to be necessary or appropriate; or
            (B) legislative bodies of the reorganizing political subdivisions require the reorganization committee;
        to include in the plan of reorganization.
        (8) In the case of a reorganization described in section 1(a)(9) of this chapter, if the legislative bodies of the reorganizing political subdivisions have specified that the vote on the public question regarding the reorganization shall be conducted on a countywide basis under section 30(b) of this chapter with a rejection threshold, the reorganization committee shall include in the reorganization plan a rejection threshold, specified as a percentage, that applies for purposes of section 32(b) of this chapter. The rejection threshold must be the same for each municipality that is a party to the proposed reorganization and to the county that is a party to the proposed reorganization. The rejection threshold may not exceed fifty percent (50%).
        (9) In the case of a reorganization described in section 1(a)(9) of this chapter, the reorganization committee shall determine and include in the reorganization plan the percentage of voters voting on the public question regarding the proposed reorganization who must vote, on a countywide basis, in favor of the proposed reorganization for the public question to be approved. This percentage is referred to in this chapter as the "countywide vote approval percentage". The countywide vote approval percentage must be greater than fifty percent (50%).
        (10) The statement required by subsection (e). (d).
    (c) In the case of a reorganization described in section 1(a)(9) of this chapter, the reorganization committee may not change the decision of the legislative bodies of the reorganizing political subdivisions regarding whether the vote on the public question regarding the reorganization shall be conducted on a countywide basis without a rejection threshold or with a rejection threshold.
    (d) (c) Upon completion of the plan of reorganization, the reorganization committee shall present the plan of reorganization to the legislative body of each of the reorganizing political subdivisions for adoption. The initial plan of reorganization must be submitted to the legislative body of each of the reorganizing political subdivisions not later than one (1) year after the clerk of the last political subdivision

that adopts a reorganization resolution under this chapter has certified the resolution to all of the political subdivisions named in the resolution. In the case of a plan of reorganization submitted to a political subdivision by a reorganization committee after June 30, 2010, the political subdivision shall post a copy of the plan of reorganization on an Internet web site maintained or authorized by the political subdivision not more than thirty (30) days after receiving the plan of reorganization from the reorganization committee.
    (e) (d) A reorganization committee must include in the plan of reorganization submitted to a political subdivision after June 30, 2010, a statement of:
        (1) whether a fiscal impact analysis concerning the proposed reorganization has been prepared or has not been prepared by or on behalf of the reorganization committee; and
        (2) whether a fiscal impact analysis concerning the proposed reorganization has been made available or has not been made available to the public by or on behalf of the reorganization committee.

SOURCE: IC 36-1.5-4-23.5; (13)IN0019.1.5. -->     SECTION 5. IC 36-1.5-4-23.5, AS ADDED BY P.L.186-2006, SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 23.5. The following apply if the legislative bodies of all political subdivisions that have been presented with a plan of reorganization under section 18(d) section 18(c) of this chapter have not adopted a plan of reorganization, either as presented by the reorganization committee or as modified by all of the political subdivisions, within one (1) year after the initial plan of reorganization is presented:
        (1) Not later than one (1) month after the end of the one (1) year period in which the legislative bodies must adopt a plan of reorganization, the reorganization committee shall submit a final plan of reorganization to the legislative bodies of the political subdivisions.
        (2) Not later than one (1) month after receiving the final plan of reorganization under subdivision (1), each of the legislative bodies must:
            (A) hold a hearing on the final plan of reorganization; and
            (B) adopt either a resolution approving the final plan of reorganization or a resolution rejecting the final plan of reorganization.
        If a legislative body does not adopt a resolution under this subdivision within the one (1) month period, the failure to adopt a resolution is considered to be an approval of the final plan of

reorganization.
        (3) If a legislative body adopts a resolution approving the final plan of reorganization, the legislative body shall certify its approval under section 23 of this chapter.
        (4) If any of the legislative bodies adopts a resolution rejecting the final plan of reorganization, the registered voters of a political subdivision in which the final plan of reorganization was rejected by a legislative body under subdivision (2) may submit a petition to the clerk of the circuit court approving the final plan of reorganization and requesting that a public question be held on the final plan of reorganization. The petition must be submitted not later than one hundred eighty (180) days after the legislative body voted to reject the final plan of reorganization. If the petition is signed by at least ten percent (10%) of the voters of the political subdivision, as determined by the vote cast in the political subdivision for secretary of state at the most recent general election:
            (A) the political subdivision is considered to have approved the holding of the public question on the final plan of reorganization, notwithstanding the vote by the legislative body rejecting the final plan of reorganization; and
            (B) the clerk of the circuit court shall certify approval of the final plan of the reorganization and the holding of the public question in the manner specified in section 23 of this chapter.

SOURCE: IC 36-1.5-4-30; (13)IN0019.1.6. -->     SECTION 6. IC 36-1.5-4-30, AS ADDED BY P.L.186-2006, SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 30. (a) Except as provided in subsection (b), at the same time that election results are certified under IC 3, the circuit court clerk of each of the counties in which a public question under this chapter is on the ballot shall jointly issue, in the form prescribed by the state election board, a certificate declaring whether the public question is approved or rejected by a majority of the voters voting on the public question in each of the reorganizing political subdivisions. In addition to any other requirements in IC 3 concerning filing of the certification, the certification shall be sent to each of the following:
        (1) The clerk of each of the reorganizing political subdivisions.
        (2) The county auditor of each county in which a reorganizing political subdivision is located.
        (3) The county recorder of each county in which a reorganizing political subdivision is located.
        (4) The state board of accounts.
        (5) The department of local government finance.
        (6) The department of state revenue.
        (7) The budget agency.
        (8) If any of the reorganizing political subdivisions is a school corporation, the department of education.
    (b) In the case of a public question on a reorganization described in section 1(a)(9) of this chapter:
        (1) the public question on a plan of reorganization shall be placed on the ballot for consideration by the voters of the entire county;
        (2) the vote on the public question by the voters of the entire county shall be tabulated;
        (3) if the legislative bodies of the reorganizing political subdivisions have agreed that the vote on the public question shall be conducted with a rejection threshold, the vote on the public question by the voters of:
            (A) each reorganizing municipality; and
            (B) the county (excluding the voters of the reorganizing municipalities);
        shall also be tabulated separately; and
        (4) the circuit court clerk shall issue, in a form prescribed by the state election board, separate certificates regarding whether the public question is approved or rejected by the voters of:
            (A) the entire county;
            (B) each reorganizing municipality; (if the legislative bodies of the reorganizing political subdivisions have agreed that the vote on the public question shall be conducted with a rejection threshold); and
            (C) the county, excluding the voters of the reorganizing municipalities; (if the legislative bodies of the reorganizing political subdivisions have agreed that the vote on the public question shall be conducted with a rejection threshold);
        voting on the public question.
SOURCE: IC 36-1.5-4-32; (13)IN0019.1.7. -->     SECTION 7. IC 36-1.5-4-32, AS ADDED BY P.L.186-2006, SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 32. (a) This subsection does not apply to a reorganization described in section 1(a)(9) of this chapter. A reorganization as specified in the plan of reorganization is approved if a majority of the voters in each reorganizing political subdivision voting on the public question approve the public question on the reorganization. The vote of voters of a reorganizing political subdivision (for example, a city) who also are voters in a second reorganizing political subdivision (for example, a township) that is geographically larger than the first political subdivision and that

includes the territory of the first political subdivision shall be included only in the tally of votes for the first reorganizing political subdivision in which the voters reside.
    (b) This subsection applies only to a reorganization described in section 1(a)(9) of this chapter. The reorganization is approved only if:
        (1) the percentage of voters voting on the public question who vote, on a countywide basis, in favor of the proposed reorganization is at least equal to the countywide vote approval percentage specified in the final reorganization plan;
        (2) if the legislative bodies of the reorganizing political subdivisions have agreed that the vote on the public question shall be conducted with a rejection threshold, the percentage of voters of the county (excluding the voters of the reorganizing municipalities) voting on the public question who vote against the reorganization is less than the rejection threshold included in the final reorganization plan; and
        (3) if the legislative bodies of the reorganizing political subdivisions have agreed that the vote on the public question shall be conducted with a rejection threshold, the percentage of voters of each reorganizing municipality voting on the public question who vote against the reorganization is less than the rejection threshold included in the final reorganization plan.
If the reorganization is not approved, the reorganization is terminated. If the legislative bodies of the reorganizing political subdivisions have agreed that the vote in the public question shall be conducted with a rejection threshold, then In tabulating the votes under subdivisions (2) and (3), the vote of voters of a reorganizing municipality who also are voters in the county shall be included only in the tally of votes for the municipality in which the voters reside.

SOURCE: ; (13)IN0019.1.8. -->     SECTION 8. [EFFECTIVE UPON PASSAGE] (a) IC 36-1.5-4-10, IC 36-1.5-4-12, IC 36-1.5-4-13, IC 36-1.5-4-18, IC 36-1.5-4-23.5, IC 36-1.5-4-30, and IC 36-1.5-4-32, all as amended by this act, apply to proposed reorganizations under IC 36-1.5 that are voted on by voters of a reorganizing political subdivision after the effective date of this act, regardless of when the plan of reorganization is adopted.
    (b) This SECTION expires January 1, 2016.

SOURCE: ; (13)IN0019.1.9. -->     SECTION 9. An emergency is declared for this act.