The bill amends the Code of West Virginia to create a structured approach for managing fiscal emergencies and fiscal watches in local governments. It introduces a new article, 6-9D, which emphasizes the significance of fiscal integrity and outlines the conditions for declaring a fiscal watch or emergency, such as the inability to meet financial obligations or significant deficits. The State Auditor is designated to oversee local government finances, requiring them to submit recovery plans when a fiscal watch is declared. The bill also modernizes the dissolution processes for municipalities, appointing the State Auditor as a special receiver in cases of charter forfeiture or voluntary dissolution.

Additionally, the legislation establishes a financial planning and supervision committee to develop recovery plans during fiscal emergencies and grants the State Auditor rule-making authority regarding the committee's operations. It details the procedures for liquidating the assets of dissolved municipalities, mandating that municipal deposits be used to settle debts before any property liquidation occurs. The State Auditor is authorized to conduct public auctions for asset sales, with specific exemptions for sales to federal or state entities. The bill also prohibits certain individuals associated with the State Auditor's office from purchasing municipal assets, ensuring transparency and accountability in the disposal process.

Statutes affected:
Originating in Committee: 8-35-1, 8-35-2, 6-9D-1, 6-9D-2, 6-9D-2a, 6-9D-3, 6-9D-4, 6-9D-5, 6-9D-6, 6-9D-7, 6-9D-8, 6-9D-9, 6-9D-10, 6-9D-11, 6-9D-12, 8-35-3, 8-35-4, 8-35-5, 8-35-6
Engrossed Version: 8-35-1, 8-35-2, 6-9D-1, 6-9D-2, 6-9D-2a, 6-9D-3, 6-9D-4, 6-9D-5, 6-9D-6, 6-9D-7, 6-9D-8, 6-9D-9, 6-9D-10, 6-9D-11, 6-9D-12, 8-35-3, 8-35-4, 8-35-5, 8-35-6
Enrolled Version: 8-35-1, 8-35-2, 6-9D-1, 6-9D-2, 6-9D-3, 6-9D-4, 6-9D-5, 6-9D-6, 6-9D-7, 6-9D-8, 6-9D-9, 6-9D-10, 6-9D-11, 6-9D-12, 6-9D-13, 6-9D-14, 8-35-3, 8-35-4, 8-35-5, 8-35-6