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Senate Bill 0226

Senate Bill 0226

ARCHIVE (2008)

Latest Information

DIGEST OF SB226 (Updated March 13, 2008 5:02 pm - DI 84)

Municipal utilities; utility services provided by landlords. Provides that a municipality that seeks to sell or dispose of nonsurplus municipally owned utility property must adopt an ordinance appointing three Indiana residents to serve as appraisers, as follows: (1) One disinterested person who is a licensed engineer. (2) One disinterested persons who is a licensed appraiser. (3) One disinterested person who is either a licensed engineer or a licensed appraiser. (Current law provides for the appointment of one disinterested freeholder who is a resident of the municipality and two disinterested licensed appraisers). Eliminates the requirement that one of the licensed appraisers must reside not more than 50 miles from the property. Provides that if the municipality decides to proceed with the sale or disposition after the return of the appraisal, the municipality shall, not later than 45 days after the return of the appraisal, hold a public hearing to do the following: (1) Review and explain the appraisal. (2) Receive public comment on the proposed sale or disposition. (3) Adopt an ordinance for the sale or disposition. (Current law: (1) requires the municipality to publish notice of a hearing on the ordinance not later than 15 days after the return of the appraisal; and (2) prohibits the municipality from holding the hearing until 30 days after the notice is given.) Provides that the municipality is not required to adopt an ordinance if, after the hearing, the municipality determines it is not in the interest of the municipality to proceed with the sale or disposition. Allows a municipality to proceed to sell or dispose of the property if: (1) the municipality adopts an ordinance providing for the sale or disposition; and (2) a petition opposing the sale or disposition is not filed within 30 days after the notice of hearing. (Current law provides that a municipality shall proceed to sell or dispose of the property if a petition is not filed within the 30 day period.) Provides that a municipal utility may not issue bonds, notes, or other obligations without the approval of the utility regulatory commission (IURC) if the bonds, notes, or other obligations are payable more than 12 months after their execution. (Current law requires the IURC to approve any bond issue of a municipal utility.) Provides that a landlord that distributes water or sewage disposal service from a public or municipally owned utility to one or more dwelling units is not a public utility solely by reason of engaging in such activity if: (1) the landlord bills tenants separately from rent for the services distributed; (2) the total charge for the services is not more than what the landlord paid the utility for the same services, less the landlord's own use; and (3) the landlord provides the tenant with a written disclosure that meets specified requirements. Provides that a complaint may be filed with the IURC alleging that a landlord is acting as a public utility. Requires the IURC to: (1) consider the complaint; and (2) if the IURC considers it to be necessary, enter an order requiring a billing adjustment.
    Current Status:
    Law Enacted
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