Bill Text: IA HF401 | 2015-2016 | 86th General Assembly | Introduced
Bill Title: A bill for an act relating to drainage and levee districts, by providing for mergers, repairs and improvements, and elections. (See Cmte. Bill HF 529)
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2015-03-19 - Withdrawn. H.J. 652. [HF401 Detail]
Download: Iowa-2015-HF401-Introduced.html
House File 401 - Introduced HOUSE FILE BY MAXWELL A BILL FOR 1 An Act relating to drainage and levee districts, by providing 2 for mergers, repairs and improvements, and elections. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 1657YH (18) 86 da/sc PAG LIN 1 1 DIVISION I 1 2 MERGERS 1 3 Section 1. Section 468.265, subsection 2, Code 2015, is 1 4 amended by striking the subsection and inserting in lieu 1 5 thereof the following: 1 6 2. a. The auditor of the county where a participating 1 7 drainage or levee district is situated or the auditor 1 8 designated by the board shall deliver the notice required in 1 9 subsection 1 to all landowners in the district in the same 1 10 manner as provided in sections 468.14 through 468.18, as the 1 11 auditor deems appropriate. 1 12 b. If land is to be annexed as a condition of the merger, 1 13 as provided in this part, the auditor of the county where the 1 14 land to be annexed is situated or the auditor designated by the 1 15 board shall deliver the notice to the owners of such land by 1 16 ordinary mail. 1 17 Sec. 2. Section 468.265, subsections 3 and 4, Code 2015, are 1 18 amended by striking the subsections. 1 19 DIVISION II 1 20 THRESHOLD AMOUNTS FOR PERFORMING WORK 1 21 Sec. 3. Section 468.3, Code 2015, is amended by adding the 1 22 following new subsection: 1 23 NEW SUBSECTION. 01. As used in this chapter, unless the 1 24 context otherwise requires, the term "adjusted competitive 1 25 bid threshold" means the same as the adjusted competitive bid 1 26 threshold for vertical infrastructure applicable to counties as 1 27 established by the state department of transportation pursuant 1 28 to section 314.1B. 1 29 Sec. 4. Section 468.3, subsection 9, Code 2015, is amended 1 30 by striking the subsection. 1 31 Sec. 5. Section 468.34, Code 2015, is amended by striking 1 32 the section and inserting in lieu thereof the following: 1 33 468.34 Advertisement for bids. 1 34 The board shall publish notice once each week for two 1 35 consecutive weeks in a newspaper published in the county 2 1 where the improvement is located, and publish additional 2 2 advertisement and publication elsewhere as the board may 2 3 direct. The notice shall state the time and place of letting 2 4 the work of construction of the improvement, specifying the 2 5 approximate amount of work to be done in each numbered section 2 6 of the district, the time fixed for the commencement, and the 2 7 time of the completion of the work, that bids will be received 2 8 on the entire work and in sections or divisions of it, and that 2 9 a bidder will be required to deposit a bid security with the 2 10 county auditor as provided in section 468.35A. All notices 2 11 shall set the date that bids will be received and upon which 2 12 the work will be let. However, when the estimated cost of 2 13 the improvement is less than the adjusted competitive bid 2 14 threshold, the board may let the contract for the construction 2 15 without taking bids and without publishing notice. 2 16 Sec. 6. NEW SECTION. 468.35A Bids == letting of work. 2 17 1. The board shall award a contract or contracts for each 2 18 section of the work to the lowest responsible bidder or bidders 2 19 therefor, bids to be submitted, received, and acted upon 2 20 separately as to the main drain and each of the laterals, and 2 21 each settling basin, if any, exercising their own discretion as 2 22 to letting such work as to the main drain as a whole, or as to 2 23 each lateral as a whole, or by sections as to both main drain 2 24 and laterals, and reserving the right to reject any and all 2 25 bids and readvertise the letting of the work. 2 26 2. A bid shall be in writing, specifying the portion 2 27 of the work upon which the bid is made, and filed with the 2 28 auditor. The bid shall be accompanied with a bid security. 2 29 The bid security shall be in the form of a deposit of cash, a 2 30 certified check on and certified by a bank in Iowa, a certified 2 31 share draft drawn on a credit union in Iowa, or a bid bond 2 32 with a corporate surety satisfactory to the board as provided 2 33 in section 73A.20. The bid security must be payable to the 2 34 auditor or the auditor's order at the auditor's office in a 2 35 sum equal to five percent of the amount of the bid. However, 3 1 if the maximum limit on a bid security would cause a denial 3 2 of funds or services from the federal government which would 3 3 otherwise be available, or if the maximum limit would otherwise 3 4 be inconsistent with the requirements of federal law, the 3 5 maximum limit may be suspended to the extent necessary to 3 6 prevent denial of federal funds or services or to eliminate 3 7 the inconsistency with federal requirements. The cash, check, 3 8 or share draft of an unsuccessful bidder shall be returned, 3 9 and the bid bond of an unsuccessful bidder shall be canceled. 3 10 The bid security of a successful bidder shall be maintained 3 11 as a guarantee that the bidder will enter into contract in 3 12 accordance with the bids. 3 13 Sec. 7. NEW SECTION. 468.36A Performance bond == return of 3 14 deposit. 3 15 A successful bidder is required to execute a bond with 3 16 sureties approved by the auditor in favor of the county for 3 17 the use and benefit of the levee or drainage district and all 3 18 persons entitled to liens for labor or material in an amount 3 19 not less than seventy=five percent of the contract price of the 3 20 work to be done, conditioned for the timely, efficient, and 3 21 complete performance of the contract, and the payment, as they 3 22 become due, of all just claims for labor performed and material 3 23 used in carrying out the contract. When a contract is executed 3 24 and bond approved by the board, the cash, certified check, or 3 25 certified share draft deposited with the bid shall be returned 3 26 to the bidder. 3 27 Sec. 8. Section 468.66, Code 2015, is amended to read as 3 28 follows: 3 29 468.66 Bids required. 3 30In caseIf the board determines that a change described 3 31 in section 468.62 increases the cost of the improvementto 3 32 more thanin excess of the adjusted competitive bid threshold 3 33as provided in section 26.3, theboard and any bidders shall 3 34 comply with the competitive bid requirements applicable to 3 35 a governing entity ordering the construction of a public 4 1 improvement in chapter 26work shall be let by bids in the same 4 2 manner as is provided for the original construction of such 4 3 improvements. 4 4 Sec. 9. Section 468.126, subsection 1, paragraphs c and d, 4 5 Code 2015, are amended by striking the paragraphs and inserting 4 6 in lieu thereof the following: 4 7 c. If the estimated cost of the repair does not exceed fifty 4 8 thousand dollars, the board may order the work done without 4 9 conducting a hearing on the matter. Otherwise, the board shall 4 10 set a date for a hearing and provide notice of the hearing to 4 11 landowners in the district by publication in the same manner 4 12 as provided in section 468.15. However, if the estimated cost 4 13 of the repair exceeds the adjusted competitive bid threshold, 4 14 the board shall provide notice to the landowners pursuant to 4 15 sections 468.14 through 468.18. The board shall not divide a 4 16 proposed repair into separate programs in order to avoid the 4 17 notice and hearing requirements of this paragraph. 4 18 d. If a hearing is required under paragraph "c", the board 4 19 shall order an engineer's report or a report from the soil 4 20 and water conservation district conservationist regarding the 4 21 matter to be presented at the hearing. The board may waive the 4 22 report requirement if a prior report on the repair exists and 4 23 that report is less than ten years old. At the hearing, the 4 24 board shall hear objections to the feasibility of making the 4 25 proposed repair. 4 26 Sec. 10. Section 468.126, subsection 1, Code 2015, is 4 27 amended by adding the following new paragraphs: 4 28 NEW PARAGRAPH. e. Following a hearing, if required in 4 29 paragraph "c", the board shall determine whether the repair is 4 30 necessary or desirable, and feasible. 4 31 NEW PARAGRAPH. f. Any interested party has the right 4 32 of appeal from such orders in the manner provided in this 4 33 subchapter, parts 1 through 5. 4 34 NEW PARAGRAPH. g. The right of remonstrance does not apply 4 35 to a repair as provided in this section. 5 1 Sec. 11. Section 468.126, subsection 2, Code 2015, is 5 2 amended to read as follows: 5 3 2. In the case of aminorrepair, orinthe eradication of 5 4 brushandor weeds along the open ditches, not in excess of 5 5twenty thousand dollarsthe adjusted competitive bid threshold, 5 6 where the board finds that a saving to the district will 5 7 result, the board may cause the repairs or eradication to be 5 8 done by secondary road fund equipment, or weed fund equipment, 5 9 and labor of the county and then reimburse the secondary road 5 10 fund or the weed fund from the fund of the drainage district 5 11 thus benefited. 5 12 Sec. 12. Section 468.126, subsection 4, Code 2015, is 5 13 amended to read as follows: 5 14 4. a. For the purpose of this subsection, an "improvement" 5 15 in a drainage or levee district in which any ditch, tile drain, 5 16 or other facility has previously been constructed is a project 5 17 intended to expand, enlarge, or otherwise increase the capacity 5 18 of any existing ditch, drain, or other facility above that for 5 19 which it was designed. 5 20a.b. When the board determines that an improvement is 5 21 necessary or desirable, and feasible, the board shall appoint 5 22 an engineer to make surveys as seem appropriate to determine 5 23 the nature and extent of theneededimprovement, and to file 5 24 a report showing what improvement is recommended and its 5 25 estimated cost, which report may be amended before final 5 26 action. 5 27 c. If the estimated cost of the improvement does not 5 28 exceed fifty thousand dollars, the board may order the work 5 29 done without conducting a hearing on the matter. Otherwise, 5 30 the board shall set a date for a hearing on whether to 5 31 construct the proposed improvement and whether there shall be 5 32 a reclassification of benefits for the cost of the proposed 5 33 improvement. 5 34 (1) (a) The board shall provide notice to landowners in 5 35 the district by publication in the same manner as provided 6 1 in section 468.15. However, if the estimated cost of the 6 2 improvement exceeds the adjusted competitive bid threshold, 6 3 the board shall provide notice to the landowners pursuant to 6 4 sections 468.14 through 468.18. 6 5 (b) Notwithstanding subparagraph division (a), and in lieu 6 6 of publishing the notice, the board may mail a copy of the 6 7 notice to each address where a landowner within the district 6 8 resides by first class mail if the cost of mailing is less 6 9 than publication of the notice. The mailing shall be made 6 10 during the time the notice would otherwise be required to be 6 11 published. 6 12 (2) The board shall not divide proposed improvements into 6 13 separate programs in order to avoid compliance with this 6 14 paragraph"b""c". 6 15 d. At the hearing, if required in paragraph "c", the board 6 16 shall hear objections to the feasibility of the proposed 6 17 improvements and arguments for or against a reclassification 6 18 presented by or for any taxpayer of the district. Following 6 19athe hearing,if required by section 26.12,the board shall 6 20 order that theimprovementsimprovement it deems necessary or 6 21 desirable and feasible be made and shall also determine whether 6 22 there should be a reclassification of benefits for the cost 6 23 ofimprovementsthe improvement. If it is determined that a 6 24 reclassification of benefits should be made, the board shall 6 25 proceed as provided in section 468.38.In lieu of publishing 6 26 the notice of a hearing as provided by section 331.305, the 6 27 board may mail a copy of the notice to each address where 6 28 a landowner in the district resides by first class mail if 6 29 the cost of mailing is less than publication of the notice. 6 30 The mailing shall be made during the time the notice would 6 31 otherwise be required to be published.6 32b. When ordering the construction of an improvement under 6 33 this subsection, the board shall comply with the competitive 6 34 bid requirements applicable to a governing entity ordering 6 35 the construction of a public improvement in chapter 26. If 7 1 the improvement is more than fifty thousand dollars but less 7 2 than the competitive bid threshold in section 26.3, the board 7 3 shall conduct a hearing on the matter of making the proposed 7 4 improvement. The board shall provide notice of the hearing as 7 5 provided in sections 468.14 through 468.18.7 6c.e. If the estimated cost of theimprovementsimprovement 7 7 exceeds the adjusted competitive bid thresholdas provided in 7 8 section 26.3, or the original cost of the district plus the 7 9 cost of subsequent improvements in the district, whichever 7 10 amount isthegreateramount, a majority of the landowners, 7 11 owning in the aggregate more than seventy percent of the 7 12 total land in the district, may file a written remonstrance 7 13 against the proposedimprovementsimprovement, at or before the 7 14time fixeddate set for hearing on the proposedimprovements 7 15improvement as provided in paragraph "c", with the county 7 16 auditor, or auditors in case the district extends into more 7 17 than one county. If a remonstrance is filed, the board shall 7 18 discontinue and dismiss all further proceedings on the proposed 7 19 improvements and charge the costs incurred to date for the 7 20 proposed improvements to the district. Any interested party 7 21 may appeal from such orders in the manner provided in this 7 22 subchapter, parts 1 through 5. However, this section does not 7 23 affect the procedures of section 468.132 covering the common 7 24 outlet. 7 25 DIVISION III 7 26 JUDGES OF TRUSTEE ELECTIONS 7 27 Sec. 13. Section 468.521, Code 2015, is amended to read as 7 28 follows: 7 29 468.521 Elections == how conducted. 7 30 1. After the first election of trustees, the board of 7 31 trustees shall act as judges of election; however, a trustee 7 32 standing for election shall not serve as a judgeand shall be 7 33 replaced as judge by a person not standing for election who is 7 34 eligible to be elected as a trustee. 7 35 2. The clerk of the board shall act as one of the clerks and 8 1somean owner of land in the district shall be appointed by the 8 2 board to act as another clerk. 8 3 3. Thetrusteesboard shall fillall vacancies in the 8 4 election boardany vacancy of an acting election judge by 8 5 appointing a person who resides in the county where all or 8 6 part of the drainage or levee district is located and who is 8 7 eligible to vote in a general election in that county. 8 8 4. The result of each election shall be certified to the 8 9 auditor or the several county auditors if the district is 8 10 located in more than one county. 8 11 EXPLANATION 8 12 The inclusion of this explanation does not constitute agreement with 8 13 the explanation's substance by the members of the general assembly. 8 14 GENERAL. This bill amends provisions relating to the 8 15 governance of a drainage or levee district (district) governed 8 16 by a drainage district board. 8 17 MERGER. The bill amends requirements for providing notice 8 18 to persons affected by a proposed merger of two or more 8 19 districts, and persons affected by a proposed annexation of 8 20 land as part of such merger. The bill eliminates a requirement 8 21 that the notice be delivered by ordinary mail and publication 8 22 to specified affected persons who have an interest in a 8 23 district participating in the merger and, if required, to the 8 24 owners of land that may be annexed (Code section 468.265). 8 25 That process is replaced by a requirement that landowners 8 26 receive notice under the same requirements that apply when a 8 27 district is established, including by publication, certified 8 28 mail, or personal service (Code sections 468.14 through 8 29 468.18). If the proposed merger includes the annexation of 8 30 land, notice must be provided to landowners by ordinary mail. 8 31 THRESHOLD AMOUNTS == BIDDING PROCEDURES. The bill amends 8 32 provisions governing when a board must let out a project 8 33 (either for a repair or improvement for bid and conduct a 8 34 hearing regarding the project). The bill eliminates a number 8 35 of provisions that require the same procedures as used under 9 1 the "Iowa Construction Bidding Procedures Act" (Code chapter 9 2 26) and replaces them with procedures that existed prior to 9 3 July 1, 2014 (2014 Iowa Acts, ch. 1075). However, in lieu 9 4 of using fixed dollar amounts as existed in the prior law, 9 5 the bill requires that letting out bids is required when the 9 6 estimated cost of a project exceeds the "adjusted competitive 9 7 bid threshold" for vertical infrastructure applicable to 9 8 counties established by the state department of transportation 9 9 (Code section 314.1B). The bill also requires a notice to 9 10 landowners of the district and a hearing on the matter if the 9 11 estimated cost of the project exceeds $50,000. The notice must 9 12 be by publication (Code section 468.15), unless the estimated 9 13 cost of the project exceeds the competitive bid threshold in 9 14 which case notice is required in the same manner as when a 9 15 district is established, including by publication, certified 9 16 mail, or personal service (Code sections 468.14 through 9 17 468.18). The bill also provides that in the case of a repair 9 18 or of eradicating brush or weeds along open ditches, the board 9 19 may use moneys credited to the county's secondary road fund or 9 20 weed fund, so long as the project does not exceed the adjusted 9 21 competitive bid threshold and the fund is repaid. 9 22 JUDGES OF TRUSTEE ELECTIONS. The bill amends a provision 9 23 that requires the board of trustees elected to manage a 9 24 district to also serve as judges canvassing the results of the 9 25 next district election. The bill provides that when there is 9 26 a vacancy the board may appoint any individual to serve as a 9 27 judge, so long as they reside in the county where all or part of 9 28 the district is located and are eligible to vote in the general 9 29 election. 9 30 BACKGROUND. A district is established by a county board 9 31 of supervisors which manages the district (Iowa Code section 9 32 468.1). A district may also be established and managed by a 9 33 joint board of supervisors if the district crosses county lines 9 34 (Iowa Code chapter 468, subchapter II). A board of supervisors 9 35 may relinquish control of a district to a board of elected 10 1 trustees (Iowa Code chapter 468, subchapter III). The two 10 2 basic types of drainage projects are repairs and improvements. 10 3 Generally, a repair is work which is necessary to restore the 10 4 facility to its original design or intended efficiency while 10 5 an improvement is an improvement that enhances or enlarges the 10 6 district's capacity or efficiency. LSB 1657YH (18) 86 da/sc
