House Bill NO. 1260

By Senator(s) Committee

SECTION 1. The duties, powers and responsibilities of a drainage district with water impoundment structures constructed with financing from the United States under Public Law 534 or Public Law 566, 83rd Congress of the United States, or both, may be transferred to the county soil and water conservation district if it becomes apparent that such drainage district should be dissolved, but future oversight, maintenance and operation are required for the existing structures.

SECTION 2. (1) A drainage district may be dissolved and its powers, duties and responsibilities transferred to the county soil and water conservation district by:

(a) The commissioners of the drainage district determining and spreading on the district's minutes that it is in the best interest of the residents and landowners of the drainage district that the district be dissolved and its powers, duties and responsibilities be transferred to the county soil and water conservation district. In any drainage district in which there are not any active drainage district commissioners, or in which the drainage district has ceased to function, the county soil and water conservation district commissioners and the county board of supervisors may begin the dissolution and transfer. If the dissolution of the drainage district and transfer of powers occurs without a resolution from the drainage district commissioners, the chancery court, in its proceedings under subsection (1)(e), must determine and state that there is not an active drainage district or there are not any drainage district commissioners, or both.

(b) The commissioners of the county soil and water conservation district determining, and spreading on the district's minutes, that it is in the best interest of the residents and landowners of the drainage district that the drainage district be dissolved and its powers, duties and responsibilities be transferred to the county soil and water conservation district. Then, the county soil and water conservation district must decide if it is willing to accept those powers, duties and responsibilities.

(c) The county board of supervisors agreeing, and spreading on the county's minutes, that the drainage district should be dissolved and its powers, duties and responsibilities be transferred to the county soil and water conservation district. If the county supervisors agree to transfer the drainage district to the county soil and water conservation district, they must register their support by one (1) of the following methods of funding the operation and maintenance of the existing water impoundment structures:

(i) Continuation of existing ad valorem tax assessments on benefited or affected acres with the ad valorem taxes being used by the county soil and water conservation district solely for the operation and maintenance of existing water impoundment structures transferred from the drainage district.

(ii) If there has not been an ad valorem tax assessment or if the assessment has expired, the establishment of ad valorem tax assessments on benefited or affected acres and collection of the ad valorem taxes solely for the operation and maintenance of the existing water impoundment structures transferred from the drainage district. The ad valorem assessment and collection of taxes shall comply with the procedures authorized in Sections 51-29-45 through 51-29-57.

(iii) If there has not been an ad valorem tax assessment or if it has expired, the county board of supervisors may agree to provide funds, through county appropriation, to the county soil and water conservation district for the operation and maintenance of the transferred water impoundment structures.

(d) Upon completion of the requirements of subsection (1)(a) through (c), the commissioners of the drainage district or the commissioners of the county soil and water conservation district, or both, shall petition the chancery court of the county in which the drainage district was originally established for the dissolution of the drainage district and the transference of its powers, duties and responsibilities to the soil and water conservation district. The petition must be accompanied by copies of the minutes reflecting the actions of the drainage district, the soil and water conservation district and the county board of supervisors. After the petition is filed, it shall be the duty of the clerk of the court to give notice of the filing by publishing the notice in a newspaper published in the county for three (3) consecutive weeks or by publishing the notice in a newspaper published in the counties in which the lands of the drainage district lie. The notice shall be addressed to all persons interested in the drainage district and shall require them to appear before the chancery court at a place within the district of the chancery court on a day certain but not earlier than twenty (20) days or more than sixty (60) days after the date of the first publication of the notice, and show cause, if any, of why the petition should not be granted.

(e) On the date set by the court, the chancellor shall review the petition, minutes of the respective districts and board of supervisors, and any other evidence or testimony the court finds necessary, and if the court determines:

(i) Subsection (1)(a) through (c) of this section has been complied with; and

(ii) It is in the best interest of the landowners and residents of the drainage district to dissolve the drainage district and transfer the drainage district's powers, duties and responsibilities to the county soil and water conservation district, the court shall enter its order:

1. Dissolving the drainage district.

2. Transferring all the powers, duties and responsibilities of the drainage district to the county soil and water conservation district.

3. Provide funding for the future operation and maintenance of the existing water impoundment structures by either:

a. Transferring existing authority to assess benefited or affected acres for ad valorem taxation;

b. Authorizing the county soil and water conservation district to assess ad valorem taxes on benefited or affected acres in the manner authorized for drainage districts in Sections 51-29-45 through 51-29-57; or

c. Recognizing that the county board of supervisors will determine and provide funding amounts for the operation and maintenance of the water impoundment structures by the county soil and water conservation district.

4. Transferring all assets of the drainage district, real or personal, or both, and any other assets, wherever they are situated, to the county soil and water conservation district.

(2) If a drainage district's boundaries cross county lines:

(a) Subsection (1)(b) and (c) must be completed by the county soil and water conservation district and the county board of supervisors for each county in which the drainage district has existing water impoundment structures constructed with financing from the United States under Public Law 534 or Public Law 566, 83rd Congress of the United States; and

(b) The chancery court's division of powers, duties and responsibilities, together with the funding responsibilities for operation and maintenance of existing structures, shall be in accordance with the agreement of all county soil and water conservation districts and county board of supervisors within whose boundaries the drainage district's structures lie.

SECTION 3. Sections 1 and 2 of this act shall be codified in Title 51, Chapter 33 of the Mississippi Code of 1972.

SECTION 4. This act shall take effect and be in force from and after July 1, 2001.

AN ACT TO CREATE A NEW CODE SECTION THAT AUTHORIZES THE TRANSFER OF POWERS, DUTIES AND RESPONSIBILITIES FROM CERTAIN DISSOLVED DRAINAGE DISTRICTS TO THE COUNTY SOIL AND WATER CONSERVATION DISTRICTS; AND FOR RELATED PURPOSES.