Bill No.: HB0279                     Drafter:  LGC

LSO No.:   07LSO-0641                 Effective Date:

Enrolled Act No.:    HEA0084

Chapter No.:

Prime Sponsor:       Representative Brown

Catch Title:         Fire protection districts-mutually agreed division.

Subject:             Provides a process for division of fire protection districts.

Summary/Major Elements:

· The act allows for the division of a fire protection district into two or more districts when the owners of 50% or more of the proposed new district who constitute fifty percent or more of the taxpayers in the proposed new district petition to the county commissioners of the county where a majority of the proposed new district lies.

· The petition may be granted by the commissioners if:

· Protests have not been received from the owners of 20% of the privately owned lands in the original district or the proposed new district who constitute 20% or more of the taxpayers in the original district or the proposed new district;

· The districts have standard operating procedures in place to ensure that both districts have the ability to provide fire protection to the satisfaction of the commissioners;

· The boundary change is in the best interests of the public; and

· The districts enter a mutual agreement regarding the distribution of assets.  If an agreement cannot be reached, the county commissioners of the counties in which the entire original district lies may impose an equitable division of the assets.  If the commissioners cannot agree on an equitable division of assets, the district or county court of the county where a majority of the residents of the original district reside has jurisdiction to divide the assets and the counties must pay the legal fees and costs in proportion to the division of assets.

· The new district remains liable for the original district's warrants and bonded indebtedness in the proportion its taxable valuation represents to the original district.

· Until a board of directors is appointed and until the first tax assessment is received by the new district, the old district must continue to provide fire protection services to the area.