| 1 | A bill to be entitled |
| 2 | An act relating to special districts; amending s. |
| 3 | 189.4042, F.S.; revising provisions relating to merger and |
| 4 | dissolution procedures for special districts; requiring |
| 5 | certain merger and dissolution procedures to include |
| 6 | referenda; providing that such provisions preempt prior |
| 7 | special acts; providing an exception; providing for a |
| 8 | local government to assume the indebtedness of, and |
| 9 | receive the title to property owned by, a special district |
| 10 | under certain circumstances; amending s. 189.4044, F.S.; |
| 11 | revising dissolution procedures for special districts |
| 12 | declared inactive by a governing body; repealing s. |
| 13 | 191.014(3), F.S., relating to the conditions under which |
| 14 | the merger of independent special fire control districts |
| 15 | with other special districts is effective and the |
| 16 | conditions under which a merged district is authorized to |
| 17 | increase ad valorem taxes; providing an effective date. |
| 18 |
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| 19 | Be It Enacted by the Legislature of the State of Florida: |
| 20 |
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| 21 | Section 1. Section 189.4042, Florida Statutes, is amended |
| 22 | to read: |
| 23 | 189.4042 Merger and dissolution procedures.- |
| 24 | (1)(a) The merger or dissolution of dependent special |
| 25 | districts may be effectuated by an ordinance of the general- |
| 26 | purpose local governmental entity wherein the geographical area |
| 27 | of the district or districts is located. However, a county may |
| 28 | not dissolve a special district that is dependent to a |
| 29 | municipality or vice versa, or a dependent district created by |
| 30 | special act. |
| 31 | (b) A copy of any ordinance and of any changes to a |
| 32 | charter affecting the status or boundaries of one or more |
| 33 | special districts shall be filed with the Special District |
| 34 | Information Program within 30 days of such activity. |
| 35 | (2)(a) Merger or dissolution of a dependent special |
| 36 | district.-Unless otherwise provided by general law, the merger |
| 37 | or dissolution of an independent special district or a dependent |
| 38 | special district created and operating pursuant to a special act |
| 39 | may only be effectuated by the Legislature unless otherwise |
| 40 | provided by general law. |
| 41 | (b) Involuntary dissolution of an independent special |
| 42 | district created by the Legislature.-If a local general-purpose |
| 43 | government seeks to dissolve an active independent special |
| 44 | district created and operating pursuant to a special act whose |
| 45 | board objects by resolution to the dissolution, the dissolution |
| 46 | of the active independent special district is not effective |
| 47 | until a special act of the Legislature is approved by a majority |
| 48 | of the resident electors of the district or landowners voting in |
| 49 | the same manner by which the independent special district's |
| 50 | governing board is elected. This paragraph also applies if an |
| 51 | independent special district's governing board elects to |
| 52 | dissolve the district by less than a supermajority vote of the |
| 53 | board. |
| 54 | (c) Involuntary merger of an independent special district |
| 55 | created by the Legislature.-If a local general-purpose |
| 56 | government seeks to merge an active independent special district |
| 57 | created and operating pursuant to a special act whose board |
| 58 | objects by resolution to the merger with the local general- |
| 59 | purpose government, a separate local general-purpose government, |
| 60 | or an independent special district or districts, hereinafter |
| 61 | called "the impacted local government," the merger of the active |
| 62 | independent special district is not effective until a plan of |
| 63 | merger that addresses transition issues such as the effective |
| 64 | date of the merger, governance, administration, powers, |
| 65 | pensions, and assumption of all assets and liabilities is |
| 66 | approved by the impacted local government, the independent |
| 67 | special district, and the Legislature and the special act of the |
| 68 | Legislature is approved at separate referendums of the impacted |
| 69 | local government and the independent special district by a |
| 70 | majority of the resident electors or landowners voting in the |
| 71 | same manner by which the independent special district's |
| 72 | governing board is elected. |
| 73 | (d) Voluntary merger of independent special districts |
| 74 | created by the Legislature.-Two independent special districts |
| 75 | with similar functions and elected governing boards may elect to |
| 76 | merge into one independent special district that is created |
| 77 | through the act of the existing independent special district, |
| 78 | hereinafter called "the merged district," pursuant to the |
| 79 | following procedure: |
| 80 | 1. The governing body of each independent special district |
| 81 | must adopt a resolution providing for a plan of merger that |
| 82 | addresses transition issues such as the effective date of the |
| 83 | merger, administration, the assumption of all assets and |
| 84 | liabilities by the merged district, and the referendum question |
| 85 | to be presented for approval. The resolutions must be adopted at |
| 86 | least 3 months before any general election or special election |
| 87 | on the subject. Upon notification to the supervisor of elections |
| 88 | of the applicable county of the adoption of the resolutions by |
| 89 | each independent special district, the supervisor of elections |
| 90 | shall schedule separate referendums for each district. The |
| 91 | referendums shall be held pursuant to the Florida Election Code |
| 92 | and may be held pursuant to ss. 101.6101-101.6107. All costs of |
| 93 | the referendums shall be borne by each of the participating |
| 94 | independent special districts. Upon majority approval of the |
| 95 | referendums by the qualified electors of each of the independent |
| 96 | special districts in separate votes, the merged district shall |
| 97 | be created. Upon the receipt of approval of the referendums by a |
| 98 | majority of the resident electors or landowners in each of the |
| 99 | independent special districts voting in the same manner by which |
| 100 | each district's governing board is elected, the two districts |
| 101 | shall merge upon the effective date provided for in the adopted |
| 102 | merger plan, and all assets and liabilities of the districts |
| 103 | shall transfer to the merged district upon such effective date. |
| 104 | Each independent special district shall be considered a subunit |
| 105 | of the merged district. |
| 106 | 2. Until such time as a unified charter is approved by the |
| 107 | Legislature, the merged district shall be limited in its powers |
| 108 | and financing capabilities within each subunit to those powers |
| 109 | that existed within the boundaries of each subunit that were |
| 110 | previously granted to the associated special district by its |
| 111 | special acts prior to the merger. The merged district may not, |
| 112 | solely by reason of the merger, increase its powers or financing |
| 113 | capability. The intent is to preserve and transfer all authority |
| 114 | to the merged district within each subunit that was previously |
| 115 | granted by the Legislature and, if applicable, approved by |
| 116 | referendum. |
| 117 | 3. Until such time as a unified charter is approved by the |
| 118 | Legislature, the merged district shall only exercise the |
| 119 | legislative authority to levy and collect revenues within the |
| 120 | boundaries of each subunit that were previously granted to the |
| 121 | associated special district by its special acts, including the |
| 122 | ability to levy non-ad valorem assessments, ad valorem millage, |
| 123 | impact fees, and charges. The intent is to preserve and transfer |
| 124 | all authority to the merged district to levy ad valorem taxes |
| 125 | upon the property within each subunit up to the millage rate, |
| 126 | and non-ad valorem assessments, if applicable, that were |
| 127 | previously approved by referendum. The merged district may not, |
| 128 | solely by reason of the merger, increase ad valorem taxes on |
| 129 | property within the original limits of a subunit beyond the |
| 130 | maximum ad valorem rate approved by the electors of the |
| 131 | associated special district. For purposes of s. 2, Art. VII of |
| 132 | the State Constitution, each subunit may be considered a |
| 133 | separate taxing unit. The merged district may only levy an ad |
| 134 | valorem millage rate within a subunit, if applicable, up to the |
| 135 | millage rate that was previously approved by the electors of the |
| 136 | associated special district unless an increase in the millage |
| 137 | rate is approved pursuant to state law. The merged district may |
| 138 | not, solely by reason of the merger, charge non-ad valorem |
| 139 | assessments, impact fees, or other new fees within a subunit |
| 140 | that were not otherwise previously authorized to be charged. |
| 141 | 4. From the effective date of the merger and until the |
| 142 | next general election, the merged district's governing board |
| 143 | shall be comprised of the governing board members of each |
| 144 | associated special district, with such members serving until the |
| 145 | governing board members who are elected at the next general |
| 146 | election take office. Beginning with the next general election |
| 147 | following the effective date of the merger, the merged |
| 148 | district's governing board shall be comprised of five members, |
| 149 | with the office of each member of the board being designated as |
| 150 | a seat on the board distinguished from each of the other seats |
| 151 | by a numeral: 1, 2, 3, 4, or 5. The governing board members |
| 152 | initially elected in the general elections following the |
| 153 | effective date of the merger shall serve unequal terms of 2 and |
| 154 | 4 years in order to create staggered membership of the governing |
| 155 | board, with seats 1, 3, and 5 being designated for 4-year terms |
| 156 | and seats 2 and 4 being designated for 2-year terms. Thereafter, |
| 157 | all terms shall be for 4 years. |
| 158 | 5. Within 30 days after the effective date of the merger, |
| 159 | the merged district's governing board shall hold an |
| 160 | organizational meeting and determine the name of the merged |
| 161 | district, which shall be sent to the Department of State and the |
| 162 | Department of Community Affairs. |
| 163 | 6. The effective date of the merger of the independent |
| 164 | special districts shall be as provided for in the merger plan |
| 165 | and shall not be contingent upon future act of the Legislature. |
| 166 | However, as soon as practicable, the merged district shall, at |
| 167 | its expense, submit to the Legislature for approval a unified |
| 168 | charter for the merged district. The unified charter shall make |
| 169 | the powers of the district consistent within the merged district |
| 170 | and shall also repeal the special acts of the two districts that |
| 171 | merged. |
| 172 | (e) Costs of involuntary merger or dissolution.-The |
| 173 | political subdivisions proposing the involuntary dissolution or |
| 174 | merger of an active independent special district shall be |
| 175 | responsible for payment of any expenses associated with the |
| 176 | referendum required under paragraph (b). |
| 177 | (f) Inactive special districts.-Independent and dependent |
| 178 | special districts that meet any criteria for being declared |
| 179 | inactive, or that have already been declared inactive, pursuant |
| 180 | to s. 189.4044 may be dissolved or merged by special act without |
| 181 | a referendum. |
| 182 | (g) Dissolution of an independent special district created |
| 183 | by a local general-purpose government.-If an inactive |
| 184 | independent special district was created by a county or |
| 185 | municipality through a referendum, the county or municipality |
| 186 | that created the district may dissolve the district after |
| 187 | publishing notice as described in s. 189.4044. If an independent |
| 188 | special district was created by a county or municipality by |
| 189 | referendum or any other procedure, the county or municipality |
| 190 | that created the district may merge or dissolve the district |
| 191 | pursuant to a referendum and any other the same procedure by |
| 192 | which the independent district was created. If the However, for |
| 193 | any independent special district that has ad valorem taxation |
| 194 | powers, the same procedure by which the required to grant such |
| 195 | independent district was granted ad valorem taxation powers |
| 196 | shall also be followed required to dissolve or merge the |
| 197 | district. |
| 198 | (h) Preemption.-This subsection preempts any special act |
| 199 | to the contrary unless a specific dissolution date of the |
| 200 | independent district is provided in the special act. |
| 201 | (3) The government formed by merger of an existing |
| 202 | independent special district or districts with another |
| 203 | government shall assume all indebtedness of, and receive title |
| 204 | to all property owned by, the preexisting independent special |
| 205 | district or districts. |
| 206 | (4) Financial allocations of the assets and indebtedness |
| 207 | of a dissolved independent special district shall be pursuant to |
| 208 | s. 189.4045. |
| 209 | (5)(3) The provisions of This section does shall not apply |
| 210 | to community development districts implemented pursuant to |
| 211 | chapter 190 or to water management districts created and |
| 212 | operated pursuant to chapter 373. |
| 213 | Section 2. Subsection (4) of section 189.4044, Florida |
| 214 | Statutes, is amended to read: |
| 215 | 189.4044 Special procedures for inactive districts.- |
| 216 | (4) The entity that created a special district declared |
| 217 | inactive under this section must dissolve the special district |
| 218 | by repealing its enabling laws or by other appropriate means. |
| 219 | Notwithstanding this subsection or any other section of law, if |
| 220 | the governing body of a special district unanimously adopts a |
| 221 | resolution declaring the district inactive pursuant to |
| 222 | paragraphs (1)(b) and (c) and no administrative appeals were |
| 223 | timely filed, the special district may be dissolved without a |
| 224 | referendum. The special district shall be responsible for |
| 225 | payment of any expenses associated with its dissolution. |
| 226 | Section 3. Subsection (3) of section 191.014, Florida |
| 227 | Statutes, is repealed. |
| 228 | Section 4. This act shall take effect July 1, 2010. |