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107.030 Procedure for use of alternate method.
If a municipality desires to authorize, construct, and finance an improvement
pursuant to this chapter, its governing body shall initiate the proceedings by adopting
an ordinance, herein called the "First Ordinance," in which announcement shall be
made of the public way or ways (which need not be contiguous) proposed to be
improved and the geographical limits of the proposed improvement in such manner
as to identify the benefited properties or the identity of the property or properties to
be benefited by the fire hydrant in cities with a population of less than twenty
thousand (20,000) based upon the most recent federal decennial census or by the
sewer installations (which may include a sewage treatment plant) which properties
may be identified by naming the public way or ways upon which they abut, if any, or
by geographical location, or both. In either case the ordinance shall recite the nature
and scope of the improvement, a preliminary estimate of the costs thereof, as
submitted in writing by an engineer, or firm of engineers, holding a license from the
Commonwealth of Kentucky, and the amount, if any, which the city proposes to
appropriate from available city funds toward the estimated cost. Any metropolitan
sewer district desiring to initiate a wastewater collection project pursuant to this
chapter shall, by order of its board cause a written preliminary engineering and
financing report to be prepared by one (1) or more engineers, or one (1) or more
firms of engineers, licensed to do business in the Commonwealth of Kentucky, or
alternatively, by district personnel, for submission to the district. The preliminary
engineering and financing report shall designate a geographical area in which a
wastewater collection project is recommended for construction. The report shall
contain a reasonable description of the project facilities proposed to be constructed,
a statement as to benefits to be conferred by the proposed project, the distribution of
the benefits and an estimate of the cost of the proposed project. The board of the
district shall receive the preliminary engineering and financing report at a regular
meeting. The board shall study and evaluate it, and by duly entered order either
approve, disapprove the report as submitted, or amend and approve the report.
Following approval of the preliminary engineering and financing report by the board
of the metropolitan sewer district, the board shall formally initiate proceedings for the
construction and financing of the proposed wastewater collection project. This
announcement shall identify all benefited properties by naming the public way upon
which such benefited properties abut, if any, or by geographical location, or by other
appropriate description. The first ordinance shall describe the nature, scope and
preliminary cost estimate of the wastewater collection project being proposed. The
ordinance shall determine that each parcel of land identified as benefited property
shall be afforded benefits by the projects unless specifically excluded. A public
hearing shall be held in respect of the proposed wastewater collection project. In all
succeeding proceedings, the city shall be bound and limited by the preliminary report
of the engineer, or engineers, with regard to the nature, scope, and extent of the
proposed improvement project (unless the first ordinance be amended, as
hereinafter provided); but shall not be bound by, or limited to, the preliminary
estimate of costs. The costs shall be determined upon the basis of construction bids
publicly solicited as hereinafter provided, and shall be binding upon the city, and
upon the owners of property to be benefited by the proposed improvement project,
whether the same turn out to be equal to, below, or above such preliminary estimate.
Architects, attorneys, consultants, engineers, and fiscal agents shall be employed
after reasonable advertisement of the need for their services and with such
competition as is permitted by law. In a first ordinance for a wastewater collection
project, the board of a metropolitan sewer district shall make findings of fact
regarding the degree and nature of the benefit which will accrue to benefited
properties by the installation of the project. If the board determines as a fact that
groups of or all of the benefited properties will be affected and benefited in
substantially the same manner and to substantially the same degree, the board may
classify such benefited properties into one (1) or more assessment zones based
upon the similarity of benefits to be derived. In such case, the board may deem all
benefited properties within a particular assessment zone to be equally benefited and
therefore equally treated for purposes of levying improvement benefit assessments
for amortization of bonds issued to provide funds to pay the costs of the project. It is
the intent of KRS Chapters 76 and 107 to vest in the board of any metropolitan
sewer district undertaking a project authority to make findings of fact in order to
classify properties according to benefits conferred from the construction of projects.
The board may, by appropriate order, determine that identified groups of benefited
properties will be benefited in substantially the same manner by a project and these
properties shall be treated equally for purposes of annual improvement benefit
assessment of such benefited properties. The board may rely upon any pertinent
data in making such findings of fact, including the size and diameter of sanitary
sewer service connections to be made available. If the board of the district
determines that all properties situated within a particularly described geographic
area will not receive substantially equal benefits from the project, the board shall
determine in the first ordinance that such properties shall be annually assessed for
benefits conferred based upon the relative assessed land valuation of each
benefited property as it relates to the aggregated assessed land valuation of all
benefited properties within such particularly described geographic area. Whichever
basis of assessment is selected, it shall be used both initially, when land owners
may pay improvement benefit assessments in a lump sum, and subsequently during
each annual period in which project bonds are outstanding if a lump-sum payment is
not paid. The first ordinance shall provide for a public hearing at a time and place
specified therein (not less than one (1) week after publication) and shall give notice
that at the hearing any owner of property to be benefited may appear and be heard
as to:
(1) Whether the proposed project should be undertaken or abandoned;
(2) Whether the nature and scope of the project shall be altered;
(3) Whether the project shall be financed through the issuance of bonds according
to the "assessed value basis," authorized by this chapter; or
(4) Whether the project shall be financed through assessments made and
apportioned on a front-foot basis, as may otherwise be authorized by law. The
first ordinance shall be published pursuant to KRS Chapter 424. The first
ordinance may designate a person, who may be the mayor, a member of the
governing body, or any city official, to preside at and conduct such public
hearing. In the absence of a designation in the ordinance, the mayor or a
person designated by the mayor shall preside. Notwithstanding the foregoing,
the public hearing shall not be deemed irregular or improper if it is in fact
presided over and conducted at the designated time and place by any elected
city officer or member of the governing body.
Effective:January 1, 2015
History: Amended 2014 Ky. Acts ch. 92, sec. 206, effective January 1, 2015. -Amended 1986 Ky. Acts ch. 23, sec. 9, effective July 15, 1986. -- Amended
1976 (1st Extra. Sess.) Ky. Acts ch. 13, sec. 11. -- Amended 1970 Ky. Acts ch.
92, sec. 21. -- Amended 1966 Ky. Acts ch. 239, sec. 120. -- Amended 1964 Ky.
Acts ch. 161, sec. 2. -- Amended 1960 Ky. Acts ch. 226, sec. 3. -- Created 1956
Ky. Acts ch. 239, sec. 3.
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