(1) (a) Any twenty-five registered
electors of the municipality may file a petition with the clerk, setting forth that
there is a need for an authority to function in the municipality. Upon the filing of
such a petition, the clerk shall give notice of the time, place, and purpose of a public
hearing, at which the local governing body will determine the need for such an
authority in the municipality. Such notice shall be given at the expense of the
municipality by publishing a notice, at least ten days preceding the day on which
the hearing is to be held, in a newspaper having a general circulation in the
municipality or, if there is no such newspaper, by posting such a notice in at least
three public places within the municipality at least ten days preceding the day on
which the hearing is to be held.
(b) Upon the date fixed for said hearing held upon notice as provided in this
section, a full opportunity to be heard shall be granted to all residents and
taxpayers of the municipality and to all other interested persons. After such a
hearing, if the governing body finds that one or more slum or blighted areas exist in
the municipality, and finds that the acquisition, clearance, rehabilitation,
conservation, development, or redevelopment, or a combination thereof of such
area is necessary in the interest of the public health, safety, morals, or welfare of
the residents of the municipality, and declares it to be in the public interest that the
urban renewal authority for such municipality created by this part 1 exercise the
powers provided in this part 1 to be exercised by such authority, the governing body
shall adopt a resolution so finding and declaring and shall cause notice of such
resolution to be given to the mayor, who shall thereupon appoint, as provided in
paragraph (a) of subsection (2) of this section, commissioners to act as an authority.
A certificate signed by such commissioners shall then be filed with the division of
local government in the department of local affairs and there remain of record,
setting forth that the governing body made the findings and declaration provided in
this paragraph (b) after such hearing and that the mayor has appointed them as
commissioners. Upon the filing of such certificate, the commissioners and their
successors are constituted an urban renewal authority, which shall be a body
corporate and politic. The boundaries of such authority shall be coterminous with
those of the municipality.
(c) If the governing body, after a hearing, determines that the findings and
declaration enumerated in paragraph (b) of this subsection (1) cannot be made, it
shall adopt a resolution denying the petition. After six months have expired from
the date of the denial of such petition, subsequent petitions may be filed and new
hearings and determinations made thereon; except that there shall be at least six
months between the time of filing of any subsequent petition and the denial of the
last preceding petition.
(d) In any suit, action, or proceeding involving the validity or enforcement of
any bond, contract, mortgage, trust indenture, or other agreement of the authority,
the authority shall be conclusively deemed to have been established in accordance
with the provisions of this part 1 upon proof of the filing of said certificate. A copy of
such certificate, duly certified by the director of the division of local government,
shall be admissible in evidence in any such suit, action, or proceeding.
(2) (a) (I) Except as provided in subsection (2.5) of this section, an authority
consists of thirteen commissioners, not fewer than ten of whom must be appointed
by the mayor, who shall designate the chairperson for the first year. In order to
represent the collective interests of the county and all taxing bodies levying a mill
levy in one or more urban renewal areas managed by the authority, referred to in
this part 1 as an urban renewal authority area, other than the municipality, one
such commissioner on the authority must be appointed by the board of county
commissioners of the county in which the territorial boundaries of the urban
renewal authority area are located, one such commissioner must also be a board
member of a special district selected by agreement of the special districts levying a
mill levy within the boundaries of the urban renewal authority area, and one
commissioner must also be an elected member of a board of education of a school
district levying a mill levy within the boundaries of the urban renewal authority
area. If the urban renewal authority area is located within the boundaries of more
than one county, the appointment is made by agreement of all of the counties in
which the boundaries of the urban renewal authority area are located.
(II) If no county, special district, or school district appoints a commissioner to
the authority, then the county, special district, or school district appointment
remains vacant until such time as the applicable appointing authority makes the
appointment pursuant to this paragraph (a).
(III) If the appointing county is a city and county, the requirements of this
paragraph (a) pertaining to county representation on the authority board need not
be satisfied.
(IV) All mayoral appointments and chair designations are subject to approval
by the governing body of the municipality within which the authority has been
established. Not more than one of the commissioners appointed by the mayor may
be an official of the municipality.
(V) In the event that an official of the municipality is appointed as
commissioner of an authority, acceptance or retention of such appointment is not
deemed a forfeiture of his or her office, or incompatible therewith, and does not
affect his or her tenure or compensation in any way. The term of office of a
commissioner of an authority who is a municipal official is not affected or curtailed
by the expiration of the term of his or her municipal office.
(b) The commissioners who are first appointed must be designated by the
mayor to serve for staggered terms so that the term of at least one commissioner
will expire each year. Thereafter, the term of office is five years. A commissioner
holds office until his or her successor has been appointed and has qualified.
Vacancies other than by reason of expiration of terms must be filled by the mayor
for the unexpired term; except that, in the case of a commissioner on the authority
who has been appointed by the board of commissioners of a county pursuant to
paragraph (a) of this subsection (2), a vacancy on the authority board for the
balance of the unexpired term must be filled by the board of commissioners of the
county that made the original appointment, a vacancy of the special-district
appointed seat must be filled by agreement of the affected special districts, and a
vacancy of the school-district appointed seat must be filled by agreement of the
affected school districts. A majority of the commissioners constitutes a quorum.
The mayor shall file with the clerk a certificate of the appointment or
reappointment of any commissioner, and such certificate is conclusive evidence of
the due and proper appointment of such commissioner. A commissioner receives no
compensation for his or her services, but is entitled to the necessary expenses,
including traveling expenses, incurred in the discharge of his or her duties.
(c) When the office of the first chairman of the authority becomes vacant
and annually thereafter, the authority shall select a chairman from among its
members. An authority shall select from among its members a vice-chairman, and it
may employ a secretary, who shall be executive director, technical experts, and
such other officers, agents, and employees, permanent and temporary, as it may
require, and it shall determine their qualifications, duties, and compensation. An
authority may call upon the municipal counsel or chief legal officer of the
municipality for such legal services as it may require, or it may employ its own
counsel and legal staff. An authority may delegate to one or more of its agents or
employees such duties as it deems proper.
(2.5) When the governing body of a municipality designates itself as the
authority or transfers an existing authority to the governing body pursuant to
section 31-25-115 (1), an authority consists of the same number of commissioners as
the number of members of the governing body. In addition, in order to represent the
collective interests of the county and all taxing bodies levying a mill levy within the
boundaries of the urban renewal authority area other than the municipality, one
additional commissioner on the authority must be appointed by the board of county
commissioners of the county in which the territorial boundaries of the urban
renewal authority area are located, one additional commissioner must also be a
board member of a special district selected by agreement of the special districts
levying a mill levy within the boundaries of the urban renewal authority area, and
one additional commissioner must also be an elected member of a board of
education of a school district levying a mill levy within the boundaries of the urban
renewal authority area. If the number of members of the governing body causes the
authority to have an even number of commissioners, the mayor shall appoint an
additional commissioner to restore an odd number of commissioners to the
authority. As applicable, the appointment of the county, special district, and school
district representatives on the authority pursuant to this subsection (2.5) must be
made in accordance with the procedures specified in subsection (2) of this section.
(3) No commissioner, other officer, or employee of an authority nor any
immediate member of the family of any such commissioner, officer, or employee
shall acquire any interest, direct or indirect, in any project or in any property
included or planned to be included in any project, nor shall he have any interest,
direct or indirect, in any contract or proposed contract for materials or services to
be furnished or used in connection with any project. If any commissioner, other
officer, or employee of an authority owns or controls an interest, direct or indirect,
in any property included or planned to be included in any project, he shall
immediately disclose the same in writing to the authority, and such disclosure shall
be entered upon the minutes of the authority. Upon such disclosure, such
commissioner, officer, or other employee shall not participate in any action by the
authority affecting the carrying out of the project planning or the undertaking of
the project unless the authority determines that, in the light of such personal
interest, the participation of such member in any such act would not be contrary to
the public interest. Acquisition or retention of any such interest without such
determination by the authority that it is not contrary to the public interest or willful
failure to disclose any such interest constitutes misconduct in office.
(4) The mayor, with the consent of the governing body, may remove a
commissioner for inefficiency or neglect of duty or misconduct in office but only
after the commissioner has been given a copy of the charges made by the mayor
against him and has had an opportunity to be heard in person or by counsel before
the governing body. In the event of the removal of any commissioner, the mayor
shall file in the office of the clerk a record of the proceedings, together with the
charges made against the commissioner and findings thereon.