Bill Summary – FastDemocracy

H.B. 758
                           GENERAL ASSEMBLY OF NORTH CAROLINA
                                                                                               Apr 15, 2019
                                       SESSION 2019                                       HOUSE PRINCIPAL CLERK
     H                                                                                                   D
                                   HOUSE BILL DRH40368-STxf-18A
     Short Title:    MSD Expansion and Governance.                                                 (Public)
     Sponsors:       Representative McGrady.
     Referred to:
                                       A BILL TO BE ENTITLED
 AN ACT TO EXPAND THE MEMBERSHIP OF CERTAIN METROPOLITAN SEWERAGE
     DISTRICTS.
 The General Assembly of North Carolina enacts:
             SECTION 1. Article 5 of Chapter 162A of the General Statutes is amended by
 adding a new section to read:
 "§ 162A-68.5. Alternate procedure for inclusion of additional political subdivision.
     (a)     Notwithstanding G.S. 162A-67 and G.S. 162A-68, any time subsequent to the
 creation of a district, the district shall be expanded in accordance with this section to include the
 territory of the requesting county if the governing board of the county submits a resolution
 requesting inclusion in the district and the county meets all of the following criteria:
             (1)     The county is contracting with the district for bulk service.
             (2)     The district has installed a sewage disposal system, sewerage system, sewers,
                     or any portion thereof, in that county.
             (3)     The district serves customers in that county as of the date of the resolution.
     (b)     Upon receipt of a resolution described in subsection (a) of this section, the district
 board shall send to the Environmental Management Commission and the requesting county all
 of the following:
             (1)     A map or maps of the district showing each of the following:
                     a.       The present and proposed new boundaries of the district.
                     b.       The existing sewage disposal system, sewerage system, and sewers.
                     c.       Any proposed extension of the sewage disposal system, sewerage
                              system, sewer, including any sewer interceptors and outfalls.
             (2)     A description of any proposed extension of sewerage services to the
                     requesting county, which shall address all of the following:
                     a.       Extension of sewerage service to the requesting county on
                              substantially the same basis and in the same manner as such services
                              are provided within the rest of the district prior to inclusion of the new
                              territory.
                     b.       A proposed time schedule for extension of sewerage service to the
                              requesting county.
                     c.       The estimated cost of extension of sewerage service to the requesting
                              county; the method by which the district board proposes to finance the
                              extension; the outstanding existing indebtedness of the district, if any;
                              and the valuation of assessable property within the district and within
                              the requesting county.
                                 *DRH40368-STxf-18A*
     General Assembly Of North Carolina                                                     Session 2019
     (c)      The Environmental Management Commission shall review the documents submitted
 under subsection (b) of this section and shall, in conjunction with the requesting county, set a
 time and place within the requesting county for a public hearing. The chair of the governing body
 of the requesting county shall give prior notice of such hearing by posting a notice at the
 courthouse door of the requesting county at least 30 days prior to the hearing and also by
 publication at least once a week for four successive weeks in a newspaper or newspapers having
 general circulation in the district and in the requesting county, the first publication to be at least
 30 days prior to such public hearing.
     (d)      If, after the public hearing, the Environmental Management Commission shall adopt
 a resolution expanding and defining the boundaries of the district to include the requesting county
 in the district if the Environmental Management Commission determines that the inclusion of the
 requesting county will not harm the public health and welfare. Such resolution shall state an
 effective date of the inclusion of the requesting county in the district.
     (e)      Any action or proceeding in any court to set aside a resolution of the Environmental
 Management Commission, or to obtain any other relief upon the ground that such resolution or
 any proceeding or action taken with respect to the inclusion of the requesting county within the
 district is invalid, must be commenced within 30 days after the effective date of the resolution
 adopted by the Environmental Management Commission. After the expiration of such period of
 limitation, no right of action or defense founded upon the invalidity of the resolution or the
 inclusion of the requesting county in the district shall be asserted, nor shall the validity of the
 resolution or the inclusion of the requesting county be open to question in any court upon any
 ground whatever, except in an action or proceeding commenced within such period.
     (f)      Any requesting county included within an existing district by resolution of the
 Environmental Management Commission shall be subject to all debts of the district.
     (g)      Upon inclusion in the district, the district board shall be expanded by two members,
 who shall be qualified registered voters residing in the requesting county and appointed by the
 governing body of the requesting county. The terms of office of the members appointed under
 this subsection may be varied for a period not to exceed six months from the terms provided for
 in G.S. 162A-67 so that the appointment of successors to such members may more nearly
 coincide with the appointment of successors to members of the existing district board. All
 successor members shall be appointed for the terms provided for in G.S. 162A-67.
     (h)      The district board shall be expanded by up to one additional member, who shall be a
 qualified registered voter residing in the requesting county and appointed by the governing body
 of the requesting county, if any of the following occur after the expansion of the district as
 provided in this section:
              (1)      A cumulative increase in the number of customers in the requesting county of
                       fifteen percent (15%) or more from the number of customers in the requesting
                       county on the effective date of the resolution adopted by the Environmental
                       Management Commission as provided in this section.
              (2)      A single calendar year increase in the amount of untreated sewage in the
                       requesting county of ten percent (10%) or more from the amount of untreated
                       sewage on the effective date of the resolution adopted by the Environmental
                       Management Commission as provided in this section.
     (i)      G.S. 162A-67(a)(4) and G.S. 162A-68 shall not apply to any expansion under this
 section."
              SECTION 2. This act is effective when it becomes law.
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