Bill Text: IA SSB3097 | 2017-2018 | 87th General Assembly | Introduced
Bill Title: A bill for an act relating to abandoned structures and abatement of nuisances.
Spectrum: Committee Bill
Status: (N/A - Dead) 2018-02-12 - Subcommittee Meeting: 02/13/2018 2:00PM RM 315 [SSB3097 Detail]
Download: Iowa-2017-SSB3097-Introduced.html
Senate
Study
Bill
3097
-
Introduced
SENATE
FILE
_____
BY
(PROPOSED
COMMITTEE
ON
LOCAL
GOVERNMENT
BILL
BY
CHAIRPERSON
GARRETT)
A
BILL
FOR
An
Act
relating
to
abandoned
structures
and
abatement
of
1
nuisances.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
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Section
1.
Section
657A.1,
subsections
1
and
3,
Code
2018,
1
are
amended
to
read
as
follows:
2
1.
“Abandoned”
or
“abandonment”
means
that
a
building
has
3
remained
is
vacant
and
has
been
in
violation
of
the
housing
4
code
or
building
code
of
the
city
in
which
the
property
is
5
located
or
the
housing
code
or
building
code
applicable
in
the
6
county
in
which
the
property
is
located
if
outside
the
limits
7
of
a
city
for
a
period
of
six
consecutive
months
.
8
3.
“Building”
means
a
building
or
structure
,
including
a
9
mobile
or
manufactured
home
which
has
been
converted
to
real
10
estate
pursuant
to
section
435.26,
located
in
a
city
or
outside
11
the
limits
of
a
city
in
a
county,
which
is
used
or
intended
12
to
be
used
for
commercial
or
industrial
purposes
or
which
13
is
used
or
intended
to
be
used
for
residential
purposes
and
14
includes
a
building
or
structure
in
which
some
floors
may
be
15
used
for
retail
stores,
shops,
salesrooms,
markets,
or
similar
16
commercial
uses,
or
for
offices,
banks,
civic
administration
17
activities,
professional
services,
or
similar
business
or
civic
18
uses,
and
other
floors
are
used,
designed,
or
intended
to
be
19
used
for
residential
purposes.
20
Sec.
2.
Section
657A.1,
Code
2018,
is
amended
by
adding
the
21
following
new
subsection:
22
NEW
SUBSECTION
.
8.
“Responsible
building
official”
or
23
“official”
means
the
person
appointed
by
the
city
or,
if
the
24
building
is
outside
the
limits
of
a
city,
the
county
to
enforce
25
its
building
codes
and
regulations
in
general
or
to
enforce
26
this
chapter
in
particular.
27
Sec.
3.
NEW
SECTION
.
657A.1A
Preliminary
inspection
of
28
building.
29
1.
No
sooner
than
one
hundred
thirty-five
days
after
a
30
property
has
become
vacant,
a
person,
other
than
a
governmental
31
entity,
may
request
that
the
responsible
building
official
32
inspect
the
property
and
certify
that
a
property
is
both
33
abandoned
and
in
need
of
abatement.
The
responsible
building
34
official
may
also
initiate
an
inspection
on
the
official’s
own
35
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initiative.
1
2.
If
the
responsible
building
official
finds
from
an
2
exterior
view
of
the
property,
in
addition
to
any
other
3
credible
information
that
the
official
may
have,
that
there
is
4
reasonable
cause
to
believe
that
the
property
is
abandoned
and
5
in
need
of
abatement,
the
official
shall
schedule
a
date
and
6
time
for
an
inspection
of
the
property
by
the
official.
The
7
person
requesting
the
inspection
shall
provide
written
notice
8
of
the
scheduled
inspection
to
the
owner
and
all
interested
9
persons
at
least
twenty
days
before
the
inspection.
The
10
official
may
enter
the
property
for
an
inspection,
along
with
11
the
person
serving
notice
and
any
interested
persons,
if
the
12
owner
is
not
present
for
the
inspection.
The
notice
must
13
state
the
date,
time,
and
place
of
the
inspection
and
state
14
that
unless
the
owner
appears
at
the
inspection
to
allow
the
15
responsible
building
official
access
to
the
interior
of
the
16
property,
the
official,
accompanied
by
the
person
serving
17
notice
and
any
interested
persons
appearing
for
the
inspection,
18
may
enter
the
property
to
determine
whether
the
property
is
19
abandoned
and
in
need
of
abatement
and,
if
so,
to
estimate
20
the
costs
of
abatement.
Upon
request,
the
inspection
may
be
21
rescheduled
as
needed.
22
3.
The
responsible
building
official’s
findings
shall
23
be
in
writing
with
copies
provided
to
the
person
requesting
24
the
inspection,
the
owner,
and
all
interested
parties.
The
25
government
entity
employing
the
responsible
building
official
26
may
establish
and
charge
a
fee
to
cover
the
reasonable
costs
27
of
the
inspection,
which
shall
be
added
to
costs
in
an
action
28
under
this
chapter.
29
4.
Evidence
that
financial
obligations
in
respect
to
a
30
building,
including
but
not
limited
to
payments
of
a
mortgage,
31
bills,
or
property
taxes,
are
currently
met
does
not
rebut
a
32
finding
of
abandonment
if
the
property
is
substantially
in
need
33
of
abatement
in
an
action
filed
under
section
657A.2.
34
Sec.
4.
Section
657A.2,
Code
2018,
is
amended
by
striking
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the
section
and
inserting
in
lieu
thereof
the
following:
1
657A.2
Petition.
2
1.
No
sooner
than
the
latter
of
thirty
days
after
provision
3
of
the
responsible
building
official’s
findings
under
section
4
657A.1A
and
six
months
after
a
building
has
become
abandoned,
5
a
petition
for
abatement
under
this
chapter
may
be
filed
in
6
the
district
court
of
the
county
in
which
the
property
is
7
located,
by
the
city
in
which
the
property
is
located,
by
the
8
county
if
the
property
is
located
outside
the
limits
of
a
city,
9
by
a
neighboring
landowner,
or
by
a
duly
organized
nonprofit
10
corporation
which
has
as
one
of
its
goals
the
improvement
of
11
housing
conditions
in
the
county
or
city
in
which
the
property
12
in
question
is
located.
The
petition
shall
not
demand
a
13
personal
judgment
against
any
party,
but
shall
concern
only
14
the
interests
in
the
property.
A
petition
for
abatement
filed
15
under
this
chapter
shall
include
the
legal
description
of
the
16
real
property
upon
which
the
nuisance
or
dangerous
or
unsafe
17
condition
is
located
unless
the
nuisance
or
dangerous
or
unsafe
18
condition
is
not
situated
on
or
confined
to
a
parcel
of
real
19
property
or
is
portable
or
capable
of
being
removed
from
the
20
real
property.
Service
shall
be
made
on
all
interested
persons
21
by
personal
service
or
by
both
certified
mail
and
first
class
22
mail,
or
if
service
cannot
be
made
by
either
method,
by
posting
23
the
notice
in
a
conspicuous
place
on
the
building
and
by
24
publication.
Service
may
also
be
made
as
provided
in
section
25
654.4A.
26
2.
When
entering
a
default
judgment,
the
court
shall
27
determine
any
issues
at
law,
including
issues
relating
to
28
title,
raised
by
plaintiff
or
by
a
party
in
interest
who
has
29
filed
a
motion
or
answer.
30
3.
In
any
evidentiary
hearing
or
motion
in
a
proceeding
31
under
this
chapter,
the
written
findings
of
the
responsible
32
building
official
relating
to
the
condition
of
the
building
and
33
other
matters
within
the
scope
of
this
chapter,
if
provided
34
to
all
persons
not
in
default
at
least
ten
days
before
the
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hearing,
shall
be
accepted
as
evidence
without
prejudice
to
the
1
right
of
any
party
to
require
the
personal
testimony
of
the
2
official
at
the
hearing.
3
4.
In
a
proceeding
under
this
chapter,
if
the
court
4
determines
the
building
is
not
abandoned
or
is
not
in
a
5
dangerous
or
unsafe
condition,
the
court
shall
dismiss
the
6
petition
and
may
require
the
petitioner
to
pay
an
interested
7
party’s
reasonable
attorney
fees
actually
incurred,
unless
the
8
interested
party
did
not
appear
for
an
inspection
held
under
9
section
657A.1A.
10
Sec.
5.
Section
657A.3,
Code
2018,
is
amended
to
read
as
11
follows:
12
657A.3
Interested
persons
——
opportunity
to
abate
public
13
nuisance.
14
1.
Before
appointing
a
receiver
to
perform
work
or
to
15
furnish
material
to
abate
a
public
nuisance
under
this
chapter
,
16
the
court
shall
conduct
a
hearing
at
which
the
court
shall
17
offer
mortgagees
of
record,
lienholders
of
record,
or
other
18
known
interested
persons
in
the
order
of
priority
of
interest
19
in
title,
the
opportunity
to
undertake
the
work
and
to
furnish
20
the
materials
necessary
to
abate
the
public
nuisance.
The
21
establish
a
date
before
which
interested
persons
may
file
with
22
the
court
shall
require
the
person
selected
to
demonstrate
the
23
written
proof
of
intent
and
ability
to
undertake
promptly
the
24
work
required
and
to
post
security
for
the
performance
of
the
25
work.
If
no
such
written
proof
is
filed
by
that
date,
the
court
26
may
appoint
a
receiver
pursuant
to
subsection
3.
27
2.
All
amounts
expended
by
the
person
toward
abating
the
28
public
nuisance
are
a
lien
on
the
property
if
the
expenditures
29
were
approved
in
advance
by
the
judge
and
if
the
person
desires
30
the
lien.
The
Unless
an
interested
person
has
a
contract
with
31
the
owner
providing
for
a
different
interest
rate,
the
lien
32
shall
bear
interest
at
the
rate
provided
for
judgments
pursuant
33
to
section
535.3
,
and
shall
be
payable
upon
terms
approved
34
by
the
judge.
If
a
certified
copy
of
the
court
order
that
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approved
the
expenses
and
the
terms
of
payment
for
the
lien,
1
and
a
description
of
the
property
in
question
are
filed
for
2
record
within
thirty
days
of
the
date
of
issuance
of
the
order
3
in
the
office
of
the
county
recorder
of
the
county
in
which
4
the
property
is
located,
the
lien
has
the
same
priority
as
the
5
mortgage
of
a
receiver
as
provided
in
section
657A.7
.
6
2.
3.
If
the
court
determines
by
the
date
established
7
in
subsection
1
or
at
the
a
hearing
conducted
pursuant
8
to
subsection
1
,
on
the
sufficiency
of
a
timely
filed
9
rehabilitation
plan
that
no
interested
person
can
undertake
the
10
work
and
furnish
the
materials
required
to
abate
the
public
11
nuisance,
or
if
the
court
determines
at
any
time
after
the
12
hearing
that
an
interested
person
who
is
undertaking
corrective
13
work
pursuant
to
this
section
cannot
or
will
not
proceed,
or
14
has
not
proceeded
with
due
diligence,
the
court
may
appoint
a
15
receiver
to
take
possession
and
control
of
the
property.
The
16
receiver
shall
be
appointed
in
the
manner
provided
in
section
17
657A.4
.
18
4.
If
the
building
is
a
historic
building
or
is
located
in
19
a
designated
historic
district,
the
court
shall
give
preference
20
to
an
economically
feasible
rehabilitation
plan,
other
than
to
21
a
rehabilitation
plan
proposed
in
good
faith
by
the
owner,
that
22
preserves
the
historical
nature
of
the
building.
23
5.
Unless
a
receiver’s
mortgage
provides
for
periodic
24
payments,
a
notice,
in
lieu
of
the
notice
provided
for
in
25
section
654.2D,
shall
also
be
served
by
ordinary
or
electronic
26
mail
informing
all
interested
persons
of
the
date
certain
for
27
the
maturity
of
the
mortgage
note,
or
the
event
triggering
28
maturity
of
the
mortgage
note,
that,
on
maturity,
the
29
receiver’s
mortgage
loan
will
be
payable
in
full
and
that
the
30
mortgagee
may
then
commence
foreclosure
without
further
notice.
31
A
notice
under
section
654.4B
shall
also
be
served
similarly
32
on
the
owner
of
record
of
the
property.
The
mortgagee
shall
33
not
commence
foreclosure
of
the
mortgage
until
sixty
days
have
34
passed
since
the
service
of
notices
under
this
subsection.
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Sec.
6.
Section
657A.4,
Code
2018,
is
amended
to
read
as
1
follows:
2
657A.4
Appointment
of
receiver.
3
After
conducting
If
after
expiration
of
a
date
established
4
in
section
657A.3,
subsection
1,
or
a
hearing
pursuant
to
5
section
657A.3
,
the
court
may
appoint
a
receiver
to
take
6
possession
and
control
of
the
property
in
question.
A
7
person
shall
not
be
appointed
as
a
receiver
unless
the
person
8
has
first
provided
the
court
with
a
viable
financial
and
9
construction
plan
for
the
rehabilitation
of
the
property
in
10
question
and
has
demonstrated
the
capacity
and
expertise
to
11
perform
the
required
work
in
a
satisfactory
manner.
The
12
appointed
receiver
may
be
a
financial
institution
that
13
possesses
an
interest
of
record
in
the
property,
a
nonprofit
14
corporation
that
is
duly
organized
and
exists
for
the
primary
15
purpose
of
improving
housing
conditions
in
the
county
or
city
16
in
which
the
property
in
question
is
located,
or
any
person
17
deemed
qualified
by
the
court.
No
part
of
the
net
earnings
of
a
18
nonprofit
corporation
serving
as
a
receiver
under
this
section
19
shall
benefit
a
private
shareholder
or
individual.
Membership
20
on
the
board
of
trustees
of
a
nonprofit
corporation
does
not
21
constitute
the
holding
of
a
public
office
or
employment
and
is
22
not
an
interest,
either
direct
or
indirect,
in
a
contract
or
23
expenditure
of
money
by
a
city
or
county.
No
member
of
a
board
24
of
trustees
of
a
nonprofit
corporation
appointed
as
receiver
25
is
disqualified
from
holding
public
office
or
employment,
nor
26
is
a
member
required
to
forfeit
public
office
or
employment
by
27
reason
of
the
membership
on
the
board
of
trustees.
28
Sec.
7.
Section
657A.6,
subsection
9,
Code
2018,
is
amended
29
to
read
as
follows:
30
9.
Issue
notes
and
secure
the
notes
by
mortgages
bearing
31
interest
at
the
rate
provided
for
judgments
pursuant
to
section
32
535.3
,
and
terms
and
conditions
as
approved
by
the
court.
The
33
court
may
provide
for
a
higher
interest
rate
if
the
receiver
34
has
established
to
the
satisfaction
of
the
court
that
the
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receiver
has
sought
financing
from
persons
and
institutions
1
willing
to
lend
money
for
rehabilitation
of
property
and
that
2
the
terms
proposed
by
the
receiver
are
reasonable
and
the
best
3
reasonably
available.
When
transferred
by
the
receiver
in
4
return
for
valuable
consideration
in
money,
material,
labor,
5
or
services,
the
notes
issued
by
the
receiver
are
freely
6
transferable.
If
the
receiver
contemplates
a
transfer
of
7
its
note
and
mortgage,
with
or
without
recourse,
at
the
time
8
the
receiver
seeks
court
authorization
of
the
contemplated
9
transfer,
the
receiver
shall
disclose
to
the
mortgagee
the
10
contemplated
transfer
in
the
application
for
approval
of
the
11
mortgage.
12
Sec.
8.
Section
657A.7,
Code
2018,
is
amended
by
adding
the
13
following
new
subsection:
14
NEW
SUBSECTION
.
3.
If
the
mortgagee
of
the
receiver’s
15
mortgage
begins
foreclosure
procedures
pursuant
to
chapter
655A
16
and
an
interested
party
desires
to
pay
off
the
mortgage
loan,
17
the
interested
party
shall
also
pay
the
mortgagee’s
reasonable
18
costs
and
attorney
fees.
19
Sec.
9.
Section
657A.8,
Code
2018,
is
amended
to
read
as
20
follows:
21
657A.8
Assessment
of
costs.
22
The
court
may
assess
the
costs
and
expenses
set
out
in
23
section
657A.6,
subsection
2
,
and
may
approve
receiver’s
fees
24
to
the
extent
that
the
fees
are
not
covered
by
the
income
25
from
the
property.
The
receiver
shall
pay
the
costs
and
26
reasonable
attorney
fees
of
a
plaintiff
who
requested
an
27
inspection
under
section
657A.1A
unless
an
interested
party
28
not
in
default
who
appeared
for
the
inspection
justifiably
29
objects
to
the
fees
and
costs
in
whole
or
in
part.
The
court
30
shall
determine
the
merits
of
such
an
objection.
If
the
court
31
finds
that
a
neighboring
landowner
has
pursued
an
action
under
32
this
chapter
in
bad
faith,
the
court
may
assess
attorney
fees
33
against
the
neighboring
landowner
and
may
bar
the
neighboring
34
landowner
from
filing
future
actions
under
this
chapter.
If
a
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foreclosure
of
the
receiver’s
mortgage
pursuant
to
chapter
655A
1
is
contemplated,
the
court
may
retain
jurisdiction
to
determine
2
the
amount
of
attorney
fees
payable
under
657A.7,
subsection
3.
3
Sec.
10.
Section
657A.10A,
subsection
1,
paragraph
a,
Code
4
2018,
is
amended
to
read
as
follows:
5
a.
In
lieu
of
the
procedures
in
sections
657A.2
657A.1A
6
through
657A.10
and
657A.10B
,
a
city
in
which
an
abandoned
7
building
is
located
may
petition
the
court
to
enter
judgment
8
awarding
title
to
the
abandoned
property
to
the
city.
A
9
petition
filed
under
this
section
shall
include
the
legal
10
description
of
the
abandoned
property.
If
more
than
one
11
abandoned
building
is
located
on
a
parcel
of
real
estate,
the
12
city
may
combine
the
actions
into
one
petition.
The
owner
of
13
the
building
and
grounds,
mortgagees
of
record,
lienholders
14
of
record,
or
other
known
persons
who
hold
an
interest
in
the
15
property
shall
be
named
as
respondents
on
the
petition.
16
Sec.
11.
NEW
SECTION
.
657A.10B
Applicability.
17
The
provisions
of
sections
657A.1A
through
657A.10
shall
18
only
apply
to
cities
and
counties
that
have,
by
ordinance,
19
provided
that
the
provisions
shall
apply.
20
Sec.
12.
CODE
EDITOR
DIRECTIVE.
21
1.
The
Code
editor
is
directed
to
renumber
section
657A.10B,
22
as
enacted
in
this
Act,
as
section
657A.10A,
and
to
renumber
23
section
657A.10A
as
section
657A.10B.
24
2.
The
Code
editor
shall
correct
internal
references
in
the
25
Code
and
in
any
enacted
legislation
as
necessary
due
to
the
26
enactment
of
this
section.
27
EXPLANATION
28
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
29
the
explanation’s
substance
by
the
members
of
the
general
assembly.
30
This
bill
changes
certain
procedures
relating
to
abandoned
31
structures
and
abatement.
32
The
current
definition
of
“abandoned”
or
“abandonment”
33
requires
a
property
to
have
been
in
violation
for
at
least
six
34
months.
The
bill
removes
the
time
element
from
the
definition
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and
states
that
evidence
of
financial
obligations
in
respect
1
to
the
building
does
not
rebut
a
finding
of
abandonment
if
the
2
property
substantially
needs
abatement.
The
bill
requires
a
3
property
to
remain
vacant
for
135
days
before
a
person
may
4
request
the
responsible
building
official
to
inspect
a
building
5
to
determine
whether
it
is
abandoned.
6
The
term
“building”
currently
includes
buildings
and
7
structures
only.
The
bill
adds
mobile
and
manufactured
homes
8
that
have
become
real
property
pursuant
to
Code
section
435.26.
9
The
bill
adds
to
Code
section
657A.1
the
term
“responsible
10
building
official”.
11
Current
law
relies
on
the
current
definition
of
“abandoned”,
12
which
requires
that
a
building
remain
vacant
or
in
violation
13
of
a
housing
or
building
code
for
a
period
of
six
months,
14
to
start
the
clock
for
when
a
person
may
file
a
petition
15
for
abatement
and
includes
a
hearing
to
determine
whether
16
the
building
is
abandoned
or
in
an
unsafe
and
dangerous
17
condition
and
whether
the
building
is
a
public
nuisance.
A
18
petitioner
must
make
service
on
the
owner
in
one
of
three
19
methods.
The
bill
requires
a
property
to
remain
vacant
for
20
at
least
135
days
before
a
person
may
file
a
petition
for
21
abatement.
The
bill
does
not
allow
for
personal
judgments
22
against
any
party,
but
requires
the
petition
to
be
solely
23
against
the
interested
persons’
interest
in
the
property.
The
24
bill
includes
additional
methods
of
service.
The
bill
removes
25
the
application
for
an
injunction
and
the
subsequent
hearing.
26
The
bill
allows
the
responsible
building
official
to
provide
27
findings
for
evidence
in
an
evidentiary
hearing
or
motion
in
a
28
proceeding
under
Code
chapter
657A
under
certain
circumstances.
29
Current
law
allows
only
an
owner
to
collect
reasonable
30
attorney
fees
actually
incurred
from
the
petitioner
if
the
31
court
finds
that
the
building
in
question
is
not
abandoned
32
or
in
an
unsafe
or
dangerous
condition.
The
bill
allows
33
the
court
to
require
the
petitioner
to
pay
an
interested
34
party’s
reasonable
attorney
fees
actually
incurred
unless
the
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interested
party
did
not
appear
for
an
inspection
pursuant
to
1
Code
section
657A.1A.
2
Current
law
requires
the
court
to
conduct
a
hearing
at
3
which
the
court
shall
offer
mortgagees
of
record,
lienholders
4
of
record,
or
other
known
interested
persons
in
the
order
of
5
priority
of
interest
in
title
the
opportunity
to
abate
a
public
6
nuisance.
The
bill
removes
this
hearing
and
creates
a
new
7
process
for
interested
persons
to
demonstrate
their
intent
and
8
ability
to
abate
the
nuisance
and
act
as
the
receiver.
If
9
the
building
is
a
historic
building
or
located
in
a
historic
10
district,
the
court
shall
give
preference
to
an
economically
11
feasible
rehabilitation
plan,
other
than
a
plan
proposed
in
12
good
faith
by
the
owner,
that
preserves
the
historical
nature
13
of
the
building.
14
Current
law
allows
a
court
to
empower
a
receiver
to
issue
15
notes
and
secure
the
notes
by
mortgage
bearing
interest
at
16
the
rate
provided
for
judgments
pursuant
to
Code
section
17
535.3
and
terms
and
conditions
approved
by
the
court.
The
18
bill
allows
the
court
to
provide
for
a
higher
interest
rate
19
than
that
provided
in
Code
section
535.3
if
it
meets
certain
20
conditions.
If
the
receiver
contemplates
a
transfer
of
the
21
note
and
mortgage
at
the
time
that
the
receiver
seeks
court
22
authorization
of
the
contemplated
transfer,
the
receiver
shall
23
disclose
to
the
mortgagee
the
contemplated
transfer
in
the
24
receiver’s
application
for
approval
of
the
mortgage.
25
The
bill
makes
the
interested
party
responsible
for
paying
26
the
mortgagee’s
reasonable
costs
and
attorney
fees
when
the
27
interested
party
pays
off
the
receiver’s
mortgage
loan.
28
Current
law
does
not
require
the
receiver
to
pay
the
29
reasonable
attorney
fees
for
a
plaintiff
who
requested
an
30
inspection
under
Code
section
567A.1A.
The
bill
makes
the
31
receiver
responsible
for
the
plaintiff’s
reasonable
attorney
32
fees
in
most
situations,
but
creates
scenarios
that
could
make
33
a
neighboring
landowner
who
pursued
the
action
in
bad
faith
34
liable
for
attorney
fees.
The
court
may
bar
that
landowner
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from
making
further
claims
under
Code
chapter
657A.
1
The
bill
provides
that
Code
sections
657A.1A
through
657A.10
2
apply
to
only
those
cities
and
counties
that
choose
to
apply
3
these
Code
sections
by
adoption
through
ordinance.
4
The
bill
directs
the
Code
editor
to
renumber
new
Code
section
5
657A.10B
as
new
Code
section
657A.10A
and
to
renumber
current
6
Code
section
657A.10A
as
new
Code
section
657A.10B
and
to
7
correct
internal
references
as
necessary.
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