2001 Legislation
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HOUSE BILL NO. 295 – Urban renewl agcy/conflict/interest

HOUSE BILL NO. 295

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H0295...............................................by REVENUE AND TAXATION
URBAN RENEWAL AGENCIES - Amends existing law to provide that a commissioner
of an urban renewal agency may be removed from office for conflict of
interest; and to provide that no public official, employee of a
municipality or board or commission thereof, nor commissioner or employee
of an urban renewal agency, shall have any personal interest in any urban
renewal project or in any property or any contract or proposed contract
connected with such urban renewal project.
                                                                        
02/20    House intro - 1st rdg - to printing
02/21    Rpt prt - to Rev/Tax

Bill Text


                                                                        
                                                                        
  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-sixth Legislature                  First Regular Session - 2001
                                                                        
                                                                        
                              IN THE HOUSE OF REPRESENTATIVES
                                                                        
                                     HOUSE BILL NO. 295
                                                                        
                             BY REVENUE AND TAXATION COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO URBAN RENEWAL LAW; AMENDING SECTION 50-2006, IDAHO CODE,  TO  PRO-
  3        VIDE  THAT  A  COMMISSIONER MAY BE REMOVED FOR CONFLICT OF INTEREST AND TO
  4        MAKE TECHNICAL CORRECTIONS; AND AMENDING SECTION 50-2017, IDAHO  CODE,  TO
  5        PROVIDE  THAT  NO  PUBLIC OFFICIAL, EMPLOYEE OF A MUNICIPALITY OR BOARD OR
  6        COMMISSION THEREOF, NOR COMMISSIONER  OR  EMPLOYEE  OF  AN  URBAN  RENEWAL
  7        AGENCY SHALL HAVE ANY PERSONAL INTEREST IN ANY URBAN RENEWAL PROJECT OR IN
  8        ANY  PROPERTY  OR  ANY  CONTRACT  OR PROPOSED CONTRACT CONNECTED WITH SUCH
  9        URBAN RENEWAL PROJECT.
                                                                        
 10    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
 11        SECTION 1.  That Section 50-2006, Idaho Code, be, and the same  is  hereby
 12    amended to read as follows:
                                                                        
 13        50-2006.  URBAN RENEWAL AGENCY. (a) There is hereby created in each munic-
 14    ipality  an  independent  public body corporate and politic to be known as the
 15    "urban renewal agency" for the municipality: provided, that such agency  shall
 16    not transact any business or exercise its powers hereunder until or unless the
 17    local  governing  body  has  made  the findings prescribed in section 50-2005,
 18    Idaho Code.
 19        (b)  Upon the local governing body making such findings, the urban renewal
 20    agency is authorized to transact the business and exercise the powers  hereun-
 21    der by a board of commissioners to be appointed or designated as follows:
 22        (1)  The  mayor, by and with the advice and consent of the local governing
 23        body, shall appoint a board of commissioners of the urban  renewal  agency
 24        which shall consist of not less than three (3) commissioners nor more than
 25        nine  (9) commissioners. In the order of appointment, the mayor shall des-
 26        ignate the number of commissioners to be appointed, and the term of  each,
 27        provided  that the original term of office of no more than two (2) commis-
 28        sioners shall expire in the same year. The commissioners shall  serve  for
 29        terms  not  to exceed five (5) years, from the date of appointment, except
 30        that all vacancies shall be filled for the  unexpired  term.  For  ineffi-
 31        ciency  or  neglect  of  duty  or misconduct in office, or for conflict of
 32        interest, a commissioner may be removed only after a hearing and after  he
 33        shall  have  been given a copy of the charges at least ten (10) days prior
 34        to such hearings and have had an opportunity to be heard in person  or  by
 35        counsel.  Conflict  of  interest shall include, but not be limited to, any
 36        personal interest, direct or indirect, in any urban renewal project, or in
 37        any property included or planned to be included in any urban renewal proj-
 38        ect in such municipality or in any contract or proposed contract  in  con-
 39        nection with such urban renewal project.
 40        (2)  By  enactment  of  an ordinance, the local governing body may appoint
 41        and designate itself to be the board of commissioners of the urban renewal
 42        agency, in which case all the rights, powers, duties, privileges and immu-
 43        nities vested by the urban renewal law of 1965,  and  as  amended,  in  an
                                                                        
                                           2
                                                                        
  1        appointed  board  of commissioners, shall be vested in the local governing
  2        body, who shall, in all respects when acting as an urban  renewal  agency,
  3        be  acting  as  an arm of state government, entirely separate and distinct
  4        from the municipality, to achieve, perform and accomplish the public  pur-
  5        poses  prescribed  and  provided by said urban renewal law of 1965, and as
  6        amended.
  7        (3)  By enactment of an ordinance, the local governing body may  terminate
  8        the  appointed  board  of  commissioners and thereby appoint and designate
  9        itself as the board of commissioners of the urban renewal agency.
 10        (c)  A commissioner shall receive no compensation  for  his  services  but
 11    shall  be  entitled  to  the necessary expenses, including traveling expenses,
 12    incurred in the discharge of his duties. Each commissioner shall  hold  office
 13    until his successor has been appointed and has qualified. A certificate of the
 14    appointment or reappointment of any commissioner shall be filed with the clerk
 15    of  the  municipality and such certificate shall be conclusive evidence of the
 16    due and proper appointment of such commissioner.
 17        The powers of an urban renewal agency shall be exercised  by  the  commis-
 18    sioners thereof. A majority of the commissioners shall constitute a quorum for
 19    the purpose of conducting business and exercising the powers of the agency and
 20    for  all  other  purposes.  Action may be taken by the agency upon a vote of a
 21    majority of the commissioners present, unless in any  case  the  bylaws  shall
 22    require a larger number.
 23        The  mayor  may  appoint a chairman, a cochairman, or a vice-chairman vice
 24    chairman for a term of office of one (1) year from  among  the  commissioners,
 25    thereafter  the  commissioners  shall  elect the chairman, cochairman or vice-
 26    chairman vice chairman for a term of one (1) year from among their members. An
 27    agency may employ an executive director,  technical  experts  and  such  other
 28    agents  and  employees, permanent and temporary, as it may require, and deter-
 29    mine their qualifications, duties and compensation. For such legal service  as
 30    it  may  require,  an  agency  may  employ or retain its own counsel and legal
 31    staff. An agency authorized to transact business  and  exercise  powers  under
 32    this  act  shall file, with the local governing body, on or before March 31 of
 33    each year a report of its activities for the preceding  calendar  year,  which
 34    report  shall include a complete financial statement setting forth its assets,
 35    liabilities, income and operating expense as of the end of such calendar year.
 36    At the time of filing the report, the agency shall publish in a  newspaper  of
 37    general  circulation  in the community a notice to the effect that such report
 38    has been filed with the municipality and that  the  report  is  available  for
 39    inspection  during  business  hours  in the office of the city clerk or county
 40    recorder and in the office of the agency.
                                                                        
 41        SECTION 2.  That Section 50-2017, Idaho Code, be, and the same  is  hereby
 42    amended to read as follows:
                                                                        
 43        50-2017.  INTERESTED PUBLIC OFFICIALS, COMMISSIONERS OR EMPLOYEES. No pub-
 44    lic  official  or employee of a municipality (or board or commission thereof),
 45    and no commissioner or employee of an urban renewal agency  shall  voluntarily
 46    acquire  any personal interest, direct or indirect, in any urban renewal proj-
 47    ect, or in any property included or  planned  to  be  included  in  any  urban
 48    renewal  project  in such municipality or in any contract or proposed contract
 49    in connection with such urban renewal project. Where such acquisition  is  not
 50    voluntary,  the interest acquired shall be immediately disclosed in writing to
 51    the agency and such disclosure shall  be  entered  upon  the  minutes  of  the
 52    agency.  If any such official, commissioner or employee presently owns or con-
 53    trols, or owned or controlled within the preceding two (2) years,  any  inter-
                                                                        
                                           3
                                                                        
  1    est, direct or indirect, in any property which he knows is included or planned
  2    to be included in an urban renewal project, he shall immediately disclose this
  3    fact  in  writing to the agency, and such disclosure shall be entered upon the
  4    minutes of the agency, and any such official, commissioner or  employee  shall
  5    not  participate  in  any  action  by the municipality (or board or commission
  6    thereof), or urban renewal agency affecting such property.  Any  violation  of
  7    the provisions of this section shall constitute misconduct in office.

Statement of Purpose / Fiscal Impact




                           RS 11124
                               
Current Urban Renewal law has few protections relative to conflict of
interest with regard to Urban Renewal tax moneys. Since all moneys
utilized for expenditures under this Section of Idaho Code are indeed
tax dollars, it is necessary that laws provide similar protections
for the handling of Urban Renewal moneys as is provided for other tax
dollars.

                         FISCAL IMPACT
                               
No impact.



        
Contact
     Name:   Rep. Robert E. Schaefer
     Phone:  332 1156












STATEMENT OF PURPOSE/FISCAL NOTE         H 295