An Act to provide for the establishment of regional jail authorities.

Be it enacted by the Legislature of the State of South Dakota:

Section 1. That a NEW SECTION be added to title 24:

Terms used in this chapter mean:

(1) "Board," the board of trustees of a regional jail authority;

(2) "Bonds," any bonds, notes, interim certificates, debentures, or similar obligations issued by a regional jail authority pursuant to this chapter;

(3) "Jail,” any building or place provided or used by a political subdivision for the detention of adult or juvenile persons convicted or accused of violating any law of this state, any ordinance or bylaw of any county, municipality, or township, or any rule or regulation of any board, commission, or public officer having the effect of law; or for the detention of adult or juvenile persons held as witnesses or committed for contempts; and

(4) "Political subdivision," a county or municipality of this state.

Section 2. That a NEW SECTION be added to title 24:

Two or more political subdivisions may form a regional jail authority by execution of an agreement. To authorize the agreement, the governing body of each political subdivision must:

(1) Adopt a resolution authorizing the agreement;

(2) Hold a public hearing prior to the adoption of the resolution; and

(3) Provide a notice of the hearing in the official newspaper of the political subdivision at least ten days before the hearing.

The agreement and a certified copy of the resolution from each political subdivision must be filed with the secretary of state. Upon determining that the agreement meets the requirements of this chapter, the secretary of state shall issue a certificate of incorporation that states the name of the authority and the date of incorporation. The existence of the authority as a political subdivision of this state begins upon the date of issuance of the certificate of incorporation. The certificate of incorporation is conclusive evidence of the existence of the authority.

Section 3. That a NEW SECTION be added to title 24:

The regional jail authority agreement must state:

(1) That the regional jail authority is created and incorporated under the provisions of this chapter as a political subdivision of this state, to exercise thereunder a part of the sovereign power of the state;

(2) The name of the authority, which must include the words, regional jail authority;

(3) The names of the political subdivisions that have authorized the agreement and are, as a result, the initial members of the authority;

(4) The number and representation of trustees to be appointed by each political subdivision to the authority's board, and the qualifications necessary for appointment;

(5) The names and addresses of the persons initially appointed by each governing body to the board;

(6) The address of the registered office of the authority and the name of its registered agent;

(7) The maximum tax that may be levied, for the purposes of this chapter, by each political subdivision that is a member of the authority;

(8) That the political subdivisions that are members of the authority and their governing bodies, officers, and agents are not liable for the authority's obligations;

(9) The process for termination of the authority;

(10) The disposition, or method of disposition, of any property, funds, or other assets of the authority if the agreement is terminated; and

(11) Any other provision for regulating the business of the authority that may be agreed upon by the political subdivisions.

Section 4. That a NEW SECTION be added to title 24:

The power of a regional jail authority is vested in a board of trustees. The board may adopt and amend rules for the authority's operations, subject to the regional jail authority agreement and the provisions of this chapter.

Section 5. That a NEW SECTION be added to title 24:

The governing body of each political subdivision that is a member of a regional jail authority shall appoint trustees to the board as specified in the regional jail authority agreement. Except for the initial board, for which the agreement may specify staggered terms, each trustee shall be appointed for a three-year term. Any vacancy on the board must be filled for the unexpired term in the same manner as the original appointment. Each trustee shall hold office until a successor is appointed.

The trustees shall elect from their number a chair and a secretary-treasurer.

A trustee may not receive compensation for services on the board but must be reimbursed for necessary expenses incurred in the discharge of the trustee's duties.

Section 6. That a NEW SECTION be added to title 24:

The board may appoint an executive director, and any other officers, agents, and employees. The board may delegate its powers and duties to its officers, agents, or employees.

Section 7. That a NEW SECTION be added to title 24:

The board may add a political subdivision to the regional jail authority if:

(1) The governing body of the political subdivision seeking to join the authority has provided notice, conducted a hearing, and adopted a resolution pursuant to section 2 of this Act; and

(2) The board approves, by resolution, adding the political subdivision to the authority.

The board shall file a certified copy of each resolution with the secretary of state. Upon receipt of the resolutions, the secretary of state shall issue an amended certificate of incorporation to the authority.

Section 8. That a NEW SECTION be added to title 24:

A political subdivision may withdraw from the regional jail authority if the board consents to the withdrawal by resolution. Except if otherwise provided in the regional jail authority agreement, the board may remove a political subdivision from the authority by resolution.

If a political subdivision seeks to withdraw or is removed, the board shall retain or dispose of the political subdivision's assets and liabilities within the authority. If the authority has any outstanding bonds, the political subdivision may not withdraw or be removed until each holder of the outstanding bonds consents in writing.

The board shall file a certified copy of any resolution adopted under this section with the secretary of state. Upon receipt of the resolution, the secretary of state shall issue an amended certificate of incorporation to the authority.

Section 9. That a NEW SECTION be added to title 24:

A regional jail authority agreement may only be terminated if:

(1) The authority does not have any outstanding bonds, debts, liabilities, or other obligations; and