SB 1054 - This act revises the law regarding common sewer districts and sanitary sewer improvement subdistricts.

COMMON SEWER DISTRICTS - This act revises the procedures for the creation of common sewer districts. A petition must be filed with the circuit court having jurisdiction and a public hearing must be held. If the circuit court approves the formation of a district, then the matter is submitted for approval from voters in the proposed district.

Once formed, any contract for work to be done in an amount greater than $25,000 must be given to the lowest responsible bidder. The act also revises the procedure for the district to enforce any liens on property for delinquent charges.

Any water supply district shall disconnect a customer's water service for nonpayment of a sewer bill, subject to certain conditions.

The act also provides territorial protection for common sewer districts and procedures for when a city encroaches upon established boundaries of sewer district by annexation. Various sewer districts and entities may enter into territorial agreements.

SANITARY SEWER IMPROVEMENT SUBDISTRICTS - The act creates the "Sanitary Sewer Improvement Subdistrict Act". Procedures are established for a sewer district to create a subdistrict. The sewer district is authorized to make improvements within the subdistrict to be paid for by the issuance of general or special revenue bonds and assessments on the property benefitted by the improvement.

Before any assessments or improvements are made, a public hearing must be held. Any appeal of a final assessment must be made within 90 days of the mailing of notice of assessment to the property owner.

The assessment shall be considered a lien on the property until paid in full. The act establishes procedures of the enforcement of the lien if it becomes delinquent.

A separate fund must be created by the sewer district for each improvement project in a subdistrict.
JIM ERTLE