§ 40-22-16 — Sewer or water improvements and parking lots in municipalities may be paid for by service charges

North Dakota § 40-22-16

• Jurisdiction: North Dakota
• Title 40: Municipal Government
• Ch. 40-22: Improvements by Special Assessment Method

Text

paid for by service charges.
A municipality constructing a sewer or water improvement or a parking lot under the special
assessment method may resolve in the resolution or ordinance required by section 40-22-08 in
the case of a sewer or water improvement, or in the resolution required by section 40-22-15 in
the case of a parking lot, that a portion of the cost of the improvement shall be raised by service
charges for the use of the improvement, and of the utility or parking system of which it forms a
part. If the municipality so resolves, it may determine, in its resolutions, ordinances, and other
proceedings relating to the levying of special assessments and the issuing of warrants to pay
the cost of such improvement, that a specified portion or all of such cost shall be assessed
specially against any property specially benefited and may cause to be assessed only the
portion so determined. In such event the entire remainder of such cost, including interest as well
as principal of any warrants issued, over and above the amount of special assessments actually
collected and received from time to time in the fund of the improvement district, plus any general
taxes pledged in accordance with section 40-24-10 and similarly collected and received, shall
be paid from the net revenues derived from said service charges; provided, that nothing herein
shall affect the power and duty of the governing body to levy a tax for the payment of a

deficiency in the improvement district fund at the times and under the conditions set forth in
section 40-26-08. All of the applicable provisions of this title relating to special assessments
shall be applicable to such improvements except as to the portion of the cost thereof resolved or
ordained to be paid by service charges. The governing body of the municipality shall provide for
the establishment, imposition, and collection of service charges for the services furnished by
such improvement and the utility or parking system of which it forms a part, and in connection
therewith it shall have all the rights and powers respecting such service charges as it would
have with respect to like matters if such improvement were made in accordance with chapter
40-35. The net revenues derived from the imposition and collection of such service charges, or
such portion thereof as shall be determined by the governing body in said resolutions and
ordinances, shall be paid into the appropriate improvement district funds created pursuant to
section 40-24-18. Such revenues when collected shall be used and applied in the same manner
as moneys paid into such funds from the collection of special assessments. In its resolutions
and ordinances, the governing body of any municipality issuing warrants to finance any such
improvement may establish an assessment reserve in the fund of the improvement district, to
which it may appropriate net revenues of the utility or system from time to time received in
excess of amounts required, with special assessments and taxes then on hand, to meet the
principal and interest next due on such warrants. Prior to November first of any year, the
governing body may by resolution determine the proportion which the amount then on hand in
said assessment reserve, and irrevocably appropriated to the payment of said warrant, bears to
the aggregate amount of the installment of the special assessments and taxes levied for the
improvement which is payable in the following year, including interest thereon, and the
governing body may direct the county auditor to reduce, by not more than a proportionate
amount, the total of such installment and interest which would otherwise be placed upon the tax
list of the municipality for the current year, against each lot and tract of land assessed or taxed
for the improvement. If such installment of the special assessment on any property has been
prepaid, the governing body may direct the city auditor to refund, out of the assessment reserve,
to the owner of the property at the time of such refund as indicated in the records of the recorder
of the county, a sum not exceeding a similar proportion of the principal amount of such
installment, excluding interest.