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Part 42 Urban Renewal7-15.4201 LOCAL GOVERNMENT 824 Part 42 Urban Renewal 7-15-4201. Short title. This part and part 43 shall be known and maybe cited as the "Urban Renewal Law'. History: En. Sec. 20, CIS 195, L 1959; R C.M.1947,11-3920. Cross -References "School district" — community college dis- trict, 20.15.403. 7-15-4202. Existence of blighted areas and resulting problems — statement of policy. It is hereby found and declared: (1) that blighted areas which constitute a serious and growing menace, injurious to the public health, safety, morals, and welfare of the residents of the state, exist in municipalities of the state; (2) that the existence of such areas: (a) contributes substantially and increasingly to the spread of disease and crime and depreciation of property values; (b) constitutes an economic and social liability; (c) substantially impairs or arrests the sound growth of municipalities; (d) retards the provision of housing accommodations; (e) aggravates traffic problems; and (f) substantially impairs or arrests the elimination of traffic hazards and the improvement of traffic facilities; and (3) that the prevention and elimination of such areas is a matter of state policy and state concern in order that the state and its municipalities shall not continue to be endangered by areas which are focal centers of disease, promote juvenile delinquency, are conducive to fires, are difficult to police and to provide police protection for, and, while contributing little to the tax income of the state and, its municipalities, consume an excessive proportion of its revenues because of the extra services required for police, fire, accident, hospitalization, and other forms of public protection, services, and facilities. History: Em Sec. 2, CIL 195, L 1959; R.C.M.1947,11-3902(part). 7-15-4203. Need for redevelopment and rehabilitation of blighted areas. It is further found and declared: (1) that certain of such blighted areas or portions thereof may require acquisition, clearance, and disposition subject to use restrictions as provided in this part, since the prevailing condition of decay may make impracticable the reclamation of the area by rehabilitation; (2) that other areas or portions thereof may, through the means provided in this part, be susceptible of rehabilitation in such a manner that the conditions and evils enumerated in 7-15-4202 may be eliminated, remedied, or prevented; and (3) that to the extent feasible salvable blighted areas should be rehabilitated through voluntary action and the regulatory process. History: En. See. 2, Ch. 195,1 .1959; R.C.M. 1947,11.3902(part). 7-15-4204. Interpretation. It is further found and declared: 825 HOUSING AND CONSTRUCTION 7-15.4206 (1) that the powers conferred by this part and part 43 are for public uses and purposes for which public money may be expended and the power of eminent domain exercised; and (2) that the necessity in the public interest for the provisions enacted in this part and part 43 is hereby declared as a matter of legislative determina- tion. History: En. Sec. 2, Ch. 195, 1-1959; R.C.M.1947,11-3902(part). 7-15-4205. Scope. Insofar as the provisions of this part and part 43 are inconsistent with the provisions of any other law, the provisions of this part and part 43 shall be controlling. The powers conferred by this part and part 43 shall be in addition and supplemental to the powers conferred by any other law. History: En. Seo.19, Ch. 195, 1. 1959; R.C.M.1947,11-3919(part). 7-15-4206. Definitions. The following terms, wherever used or referred to in this part or part 43, shall have the following meanings unless a different meaning is clearly indicated by the context: (1) Agency" or "urban renewal agency" shall mean a public agency created by 7-15-4232. (2)h}t) is conducive to ill health, transmission of disease, infant mortality, juvenile delinquency, and crime; substantially impairs or arrests the sound growth of the city or its environs; retards the provision of housing accommodations; or i*M ty and/or is detrimental or constitutes a menace to the public health, safety, welfare, and morals in its present condition and use, by reason of: (a) the substantial physical dilapidation; deterioration; con- struction, material, and t; and/or age obsolescence dkiMbUngs or improvements, whether residential or nonresidential; (b) inadequate provision for ventilation, light, proper sanitary facilities, or open spaces as determined by competent appraisers on the basis of an examination of the building standards of the municipality; to "fY 'at' owmt Kodwammlfb1##nd �,or,W*ftla; (d) high density of population and overcrowding; (e) defective or inadequate street layout; (f) faulty lot layout in relation to size, adequacy, accessibility, or useful- ness; (g) excessive land coverage; (h) unsanitary or glojdStisuts; (i) deterioration of site; 0) diversity of ownership; (k) tax or special assessment delinquency exceeding the fair value of the land; (1) defective or unusual conditions of title; (m) improper subdivision or obsolete platting; (n) the existence of conditions which endanger life or property by fire or other causes; or ( mbfnatiMT1ofTe hifactors 4 7.15-4206 LOCAL GOVERNMENT 826 (3) "Bonds" shall mean any bonds, notes, or debentures (including refund- ing obligations) herein authorized to be issued. (4) , "Clerk" shall mean the clerk or other official of the municipality who is the custodian of the official records of such municipality. (5) "Federal government" shall include the United States of America or any agency or instrumentality, corporate or otherwise, of the United States of America. (6) "Local governing body" shall mean the councilor other legislative body charged with governing the municipality. (7) "Mayor" shall mean the chief executive of a city or town. (8) "Municipality" shall mean any incorporated city or town in the state, (9) `Neighborhood development program" means the yearly activities or undertakings of a municipality in an urban renewal area or areas if the municipality shall elect to undertake activities on an annual increment basis. (10) "Obligee" shall include any bondholder or agent or trustee for any bondholder or lessor demising to the municipality property used in connection with an urban renewal project or any assignee or assignees of such lessors interest or any part thereof and the federal government when it is a party to any contract with the municipality. (11) "Person" shall mean any individual, firm, partnership, corporation, company, association, joint-stock association, or school district and shall include any trustee, receiver, assignee, or other person acting in a similar representative capacity. (12) "Public body" shall mean the state or any municipality, township, board, commission, district, or any other subdivision or public body of the state. (13) "Public officer" shall mean any officer who is in charge of any depart - mentor branch of the government of the municipality relating to health, fire, building regulations, or to other activities concerning dwellings in the municipality. (14) Real property" shall include all lands, including improvements and fixtures thereon, and property of any nature appurtenant thereto or used in connection therewith and every estate, interest, right, and use, legal or equitable, therein, including terms for years and liens by way of judgment, mortgage, or otherwise. ( l��h't�kl'�4ti„okffis;'�u4sY�. a blighted area or portion thereof in accordance with an u ban renewal lan b P y: 827 HOUSING AND CONSTRUCTION 7-15-4207 (a) carrying out plans for a program of voluntary or compulsory repair and rehabilitation of buildings or other improvements; (b) acquisition of real property and demolition or removal of buildings and improvements thereon where necessary to eliminate unhealthful, unsanitary, or unsafe conditions; lessen density; reduce traffic hazards; eliminate obsolete or other uses detrimental to the public welfare; to otherwise remove or prevent the spread of blight or deterioration; or to provide land for needed public facilities; (c) installation, construction, or reconstruction of streets, utilities, parks, playgrounds, and other improvements necessary for carrying out in the area the urban renewal provisions of this part; and (d) the disposition of any property acquired in such urban renewal area (including sale, initial leasing, or retention by the municipality itself) at its fair value for uses in accordance with such urban renewal plan. (17) "Urban renewal area" means a blighted area which the local govern- ing body designates as appropriate for an urban renewal project or projects. (18) "Urban renewal plan" means a plan, as it exists from time to time, for one or more urban renewal areas or for an urban renewal project, which plan: (a) shall conform to the comprehensive plan or parts thereof for the municipality as a whole; and (b) shall be sufficiently complete to indicate, on a yearly basis or other- wise: (i) such land acquisition, demolition, and removal of structures; redevelopment, improvements; and rehabilitation as may be proposed to be carried out in the urban renewal area; (ii) zoning and planning changes, if any; (iii) land uses, maximum densities, building requirements; and (iv) the plans relationship to definite local objectives respecting ap- propriate land uses, improved traffic, public transportation, public utilities, recreational and community facilities, and other public improvements. (19) "Urban renewal project" may include undertakings or activities of a municipality in an urban renewal area for the elimination and for the prevention of the development or spread of blight and may involve redevelop- ment in an urban renewal area, rehabilitation or conservation in an urban renewal area, or any combination or part thereof in accordance with an urban renewal plan. History En. Sec. 1, Ch. 195, L. 1959; amd. Sec. 1, Ch. 210, L 1969, R.C.M. 1947, 11-3901(part). 7-15-4207. Prohibition against discrimination. For all of the pur- poses of this part and part 43, no person may be subjected to discrimination because of sex, race, creed, religion, age, physical or mental handicap, color, or national origin. History En. Sec. 17, Ch. 195, L. 1959; amd. Sec. 2, Ch. 38, L. 1977; R.C.M. 1947, 11-3917; amd. See.16, Ch. 253, L.1979. Cross -References Individual dignity, Art. II, sec. 4, Mont. Const. 7-15-4208 LOCAL GOVERNMENT 828 829 HOUSING AND CONSTRUCTION 7-15-4216 7-15-4208. Encouragement of private enterprise. A municipality, to the greatest extent it determines to be feasible in carrying out the provisions of this part and part 43, shall afford maximum opportunity, consistent with the sound needs of the municipality as a whole, to the rehabilitation or redevelopment of the urban renewal area by private enterprise. A municipality shall give consideration to this objective in exercising its powers under this part and part 43, including the formulation of a workable program; the approval of urban renewal plans (consistent with the comprehensive plan or parts thereof for the municipality); the exercise of its zoning powers; the enforcement of other laws, codes, and regulations relating to the use of land and the use and occupancy of buildings and improvements; the disposition of any property acquired, and the provision of necessary public improvements. History: En. Sec. 3, Ch.195, L 1959; RC.M.1947,113903. 7-15-4209. Development of workable urban renewal program. (1) A municipality, for the purposes of this part and part 43, may formulate a workable program for utilizing appropriate private and public resources: (a) to eliminate and prevent the development or spread of blighted areas; (b) to encourage needed urban rehabilitation; (c) to provide for the redevelopment of such areas; or (d) to undertake such of the aforesaid activities or other feasible municipal activities as may be suitably employed to achieve the objectives of such workable program. (2) Such workable program may include, without limitation, provision for: (a) the prevention of the spread of blight into areas of the municipality which are free from blight through diligent enforcement of housing, zoning, and occupancy controls and standards; (b) the rehabilitation of blighted areas or portions thereof by replanning, removing congestion, providing parks, playgrounds, and other public im- provements; by encouraging voluntary rehabilitation; and by compelling the repair and rehabilitation of deteriorated or deteriorating structures; and (c) the clearance and redevelopment of blighted areas or portions thereof. History: En. Sec. 4, Ch.195, L 1959; &C.M.1947,113904. cesslt re ulred to utilize provisions of part Noijr„1gt#ldrglae anyo erlPiyAehft�e� conferred upon m c p e by;4 pp r ,4 �tsatll a ter its loea governing or such History: En. Sec. 5, Ch.195, L 1959; amd. Sec. 1, Ch. 38, L 1965; R C.M.1947,11-3905. 7-15-4211. Preparation of comprehensive development plan for municipality. For the purpose of approving an urban renewal plan and other municipal purposes, authority is hereby vested in every municipality: (1) to prepare, to adopt, and to revise from time to time a comprehensive plan or parts thereof for the physical development of the municipality as a whole (giving due regard to the environs and metropolitan surroundings); (2) to establish and maintain a planning commission for such purpose and related municipal planning activities; and (3) to make available and appropriate necessary funds therefor. History: En. Sec. 6, Ch.195, I..1959; amd. Sec.2, Ch. 38, L 1965; amd. Sec. 2, Ch. 210, L 1969; amd. Sm.18, Ch.158, L 1971; R.C.M. 1947,113906(part). 7-15-4212. Preparation of urban, renewal plan. The municipality may itself prepare or cause to be prepared an urban renewal plan, or any person or agency, public or private, may submit such a plan to the municipality. History: En. See. 6, Ch.195, L 1959; amd. Sec. 2, Ch. 38, L 1965; amd. Sm.2, Ch. 210, L 1969; amd. Sea 18, Ch.158, I,. 1971; R C.M. 1947,113906(part). 7-15-4213. Review ofurban renewal plan by planning commission. (1) Prior to its approval of an urban renewal project, the local governing body shall submit the urban renewal project plan to the planning commission of the municipality for review and recommendations as to its conformity with the comprehensive plan or parts thereof for the development of the municipality as a whole. (2) The planning commission shall submit its written recommendations with respect to the proposed urban renewal plan to the local governing body within 60 days after receipt of it. History: En. See. 6, Ch. 195, L 1959; amd. See. 2, Ch. 38, L 1965; amd. See. 2, Ch. 210, L 1969; amd. See.18, Ch.158, L 1971; R.C.M. 1947,113906(part). 7-15-4214. Hearing on urban renewal plan required. (1) The local governing body shall hold a public hearing on an urban renewal plan after public notice thereof. (2) Upon receipt of the recommendations of the planning commission, or if no recommendations are received within said 60 days, then without such recommendations, the local governing body may proceed with the hearing on the proposed urban renewal project plan. History: En. See. 6, Ch.195, L 1959; amd. Sec. 2, Ch. 38, L 1965; amd. Sec. 2, Ch.210, L 1969; amd. Sec.18, Ch.158, L 1971; R C.M. 1947,113906(part). 7-15-4215. Notice of hearing on urban renewal plan. (1) The notice required by 7-154214(1) shall be given by publication once each week for 2 consecutive weeks, not less than 10 or more than 30 days prior to the date of the hearing, in a newspaper having a general circulation in the urban renewal area of the municipality and by mailing a notice of such hearing, not less than 10 days prior to the date of the hearing, to the persons whose names appear on the county treasurer's tax roll as the owners, reputed owners, or purchasers under contracts for deed of the property, at the address shown on the tax roll. (2) The notice shall describe the time, date, place, and purpose of the hearing, shall generally'identify the urban renewal area affected, and shall outline the general scope of the urban renewal plan under consideration. History: En. Sec. 6, Ch,195, L 1959; amd. Sec. 2, Ch. 38, L 1965; amd. Sec. 2, Ch. 210, L 1969; amd. See.18, Ch.158, L 1971; R.C.M.1947,11-3906(part); amd. Sec. 8, Ch. 526, L 1983. 7-15-4216. Requirements for approval of urban renewal plans and projects. (1) The local governing body shall not approve an urban renewal plan until a comprehensive plan or parts of such plan for an area which would include an urban renewal area for the municipality have been prepared. 7-15 4217 LOCAL GOVERNMENT (Z) A municipality shall not approve an urban renewal urban renewal area unless the local governing body has b project for all,,. mined such area to be a blighted area and designatedy resolution de for an urban renewal project, such area as a peter-'1, Ppropriate (3) An urban renewal plan adopted after July 1, 1979, must be approved by ordinance. (4) All urban renewal plans approved by resolution prior to May approved are aereby validated, History: En. Sec. 6, Ch.195, L 1959; amd. Sec. 2, Ch. 38, L 186b; amd. Sec. 2, Ch,'210' L 19138 amd. Sec 18, Ch. 1".. 158, L 1971; R.C.M. 1947, 11-3906(part); amd. Sec. 1, Ch L 667, 7-I5-4217. Criteria for approval of urban renewal ing the hearing required by 7-15-4214, thproject. Follow. e local governing body tray, b Ordinance, approve an urban renewal project if it finds that: (1) a workable and feasible plan exists for making lousing for the persons who may be displaced by the available adequate (2) the urban renewal plan conforms to the comprehensive plan or par($ thereof for the municipality as a whole; (3) the urban renewal plan will afford maximum opportunity, consistent with he sound needs of the municipality as a whole, for the rehabilitation or redevelopment of the urban renewal area by private enterprise; and (4) a sound and adequate financial program exists for the financing of said Proj L 1969; aHistomd. See. 8, Ch. 158, I 1971; R.C.M. 1947, 13gp6L 1965- amd' Sec 2, Ch 210, 1-1979. (Part); amd. Sec. 2, Ch. 667 7-15-4218. Voter approval of urban renewal plan required when general obligation bonds to be used. If the plan or any subsequent modification thereof involves financing by the issuance of general obligation bonds of the municipality as authorized in 7-15-4302(1) or the financing of water or sewer improvements by the issuance of revenue bonds under the Provisions of Part 44 of chapter 7 or of part 43 of chapter 13, the question of approving the plan and issuing such bonds shall be submitted to a vote of the alified electors of such municipality, in accordance with the provisions _: verning municipal general obligation bonds under chapter 7, part 42, at the same election and shall be approved by a majority of those qualified electors voting on such question. History- En. Sec. 61 Ch.195,R.1,1959; amd. Sec. 2, Ch. 38, L 1965; amd. Sea 2, CIL 210, L1969;8L axed. Sea 18, Ch. 198E 1581 L 1971; C.M.1947,11-3906(part); amd. Sec.46, Ch.575, L 7-15-4219. Effect of approval of urban renewal project. Upon the approval of an urban renewal project by a municipality, the provisions of the urban renewal plan with respect to the future use and building requirements applicable to the property covered by said plan shall be controlling with respect thereto. History. En. Sea 6, Ch.195, L 1959; amd. Sec. 2, Ch. 38,1- 1965; amd. Sea 2, Ch. 210, L 1969; amd. Sec.18, Ch.158, L 1971; R.C.M. 1947,11.3906(f), 7-15-4220. Use of neighborhood development program to imple ment urban renewal activities. (1) The municipality may elect to under- 01 HOUSING AND CONSTRUCTION 7-15-4231 take and carry out urban renewal activities on a yearly basis. In such event, the activities shall be included in the yearly budget of the municipality. The undertaking of urban renewal activities on a yearly basis shall be designated as a -neighborhood development program" and the financing of such activities shall be approved in accordance with 7-15-4218. (2) In the event of such election, the municipality shall present its proposed annual increment activities or undertakings for public approval in keeping with 7-15-4211 through 7-15-4221. Such activity year shall relate to the budget year of the municipality. (3) Such activities need not be limited to contiguous areas. However, such activities shall be confined to the areas as outlined in the urban renewal plan as approved by the municipality in accordance with this part. The yearly activities shall constitute a part of the urban renewal plan, and the municipality may elect to undertake certain yearly activities and total urban renewal projects simultaneously. (4) Every municipality shall have all the power necessary or convenient to plan and undertake neighborhood development projects consisting of urban renewal project undertakings and activities in one or more urban renewal areas which are planned and carried out on the basis of annual increments in accordance with the provisions of this part and part 43 for carrying out and planning urban renewal projects. History: (1), (3)Em Sec. 6, Ch.195, L 1959; amd. Sec. 2, Ch. 38, L 1965; amd. Sec. 2, Ch. 210, L 1969; amd. Sea 18, Ch 158, L 1971; Sec.11-3906, R.C.M.1947; (2)En. Sec. 1, Ch.195, L 1959-, amd. Sec. 1, Ch. 210, L 1969; Sec.11-MI, R.C.M.1947; (4)En. See. 7, Ch. 195, L 1959; amd. Sea 3, Ch. 210, L 1969; Sec. 11-3907, RC.M. 1947; R.C.M. 1947, 11-3901(part),11-3906(h),11-3907(j). 7-15-4221. Modification of urban renewal project plan. (1) An urban renewal project plan maybe modified at any time by the local governing body. If modified after the lease or sale by the municipality of real property in the urban renewal project area, such modification shall be subject to such rights at law or in equity as a lessee or purchaser or his successor or successors in interest may be entitled to assert. (2) An urban renewal plan may be modified by ordinance. (3) All urban renewal plans approved or modified by resolution prior to May 8, 1979, are hereby validated. (4) A plan may be modified by: (a) the procedure set forth in 7-15-4212 through 7-15-4219 with respect to adoption of an urban renewal plan; (b) the procedure set forth in the plan. History: En. Sea 6, Ch.195, L 1959; amd. Sem 2, Ch. 38, L 1965; amd. Sm 2, Ch. 210, L 1969; amd. Sea 18, Ch 158, L 1971; R.C.M. 1947,11.3906(e); amd. Sec. 3, Ch. 667, L 1979. 7-15-4222 through 7-15-4230 reserved. 7-15-4231. Exercise of powers related to urban renewal. A municipality may itself exercise its urban renewal project powers as herein defined or may, if the local governing body by resolution determines such action to be in the public interest, elect to have such powers exercised by the urban renewal agency created by 7-15.4232 or a department or other officers 70 15-4232 LOCAL GOVERNMENT 832 of the municipality as they are authorized to exercise under this part and part 43. History: En. See. 15, Ch.195, L. 1959; R.C.M.1947,11-3915(a). 7-15-4232. Authorization to assign urban renewal powers to municipal departments or to create urban renewal agency. When a municipality has made the finding prescribed in 7-15-4210 and has elected to have the urban renewal project powers exercised as specified in 7-15-4233: (1) such urban renewal project powers may be assigned to a department or other officers of the municipality or to any existing public body corporate; or (2) the legislative body of a city may create an urban renewal agency in such municipality, to be known as a public body corporate, to which such powers may be assigned. History: En. Sec.16, Ch.195, L.1959; RC.M.1947,11-3916(a). 7-15-4233. Powers which may be exercised by urban renewal agency or authorized department. (1) In the event the local governing body makes such determination, such body may authorize the urban renewal agency or department or other officers of the municipality to exercise any of the following urban renewal project powers: (a) to formulate and coordinate a workable program as specified in 7-15-4209; (b) to prepare urban renewal plans; (c) to prepare recommended modifications to an urban renewal project plan; (d) to undertake and carry out urban renewal projects as required by the local governing body; (e) to make and execute contracts as specified in 7-15-4251, 7-15-4254, 7-15-4255, and 7-15-4281, with the exception of contracts for the purchase or sale of real or personal property; (f) to disseminate blight clearance and urban renewal information; (g) to exercise the powers prescribed by 7-15-4255, except the power to Agree to conditions for federal financial assistance and imposed pursuant to leral law relating to salaries and wages shall be reserved to the local governing body, (h) to enter any building or property in any urban renewal area in order to make surveys and appraisals in the manner specified in 7-15-4257; (i) to improve, clear, or prepare for redevelopment any real or personal property in an urban renewal area; G) to insure real or personal property as provided in 7-15-4258; (k) to effectuate the plans provided for in 7-15-4254; (1) to prepare plans for the relocation of families displaced from an urban renewal area and to coordinate public and private agencies in such relocation; (nt) to prepare plans for carrying out a program of voluntary or compul- sory repair and rehabilitation of buildings and improvements; (n) to conduct appraisals, title searches, surveys, studies, and other preliminary plans and work necessary to prepare for the undertaking of urban renewal projects; (o) to negotiate for the acquisition of land; 833 HOUSING AND CONSTRUCTION 7-15.4236 (p) to study the closing, vacating, planning, or replanning of streets, roads, sidewalks, ways, or other places and to make recommendations with respect thereto; (q) to organize, coordinate, and direct the administration of the provisions of this part and part 43; (r) to perform such duties as the local governing body may direct so as to make the necessary arrangements for the exercise of the powers and perfor- mance of the duties and responsibilities entrusted to the local governing body. (2) Any powers granted in this part or part 43 that are not included in subsection (1) as powers of the urban renewal agency or a department or other officers of a municipality in lieu thereof may only be exercised by the local governing body or other officers, boards, and commissions as provided under existing law. History: En. Sec. 15, Ch.195, L.1959; R.C.M.1947,11-3915(b). 7-15-4234. Urban renewal agency to be administered by ap- pointed board of commissioners. (1) If the urban renewal agency is authorized to transact business and exercise powers hereunder, the mayor, by and with the advice and consent of the local governing body, shall appoint a board of commissioners of the urban renewal agency, which shall consist of five commissioners. (2) The initial membership shall consist of one commissioner appointed for 1 year, one for 2 years, one for 3 years, and two for 4 years. Each appointment thereafter shall be for 4 years. A certificate of the appointment or reappointment of any commissioner shall be filed with the clerk of the municipality, and such certificate shall be conclusive evidence of the due and proper appointment of such commissioner. (3) Each commissioner shall hold office until his successor has been appointed and has qualified. (4) A commissioner shall receive no compensation for his services but shall be entitled to the necessary expenses, including traveling expenses, incurred in the discharge of his duties. (5) Any persons maybe appointed as commissioners if they reside within the municipality. (6) A commissioner may be removed for inefficiency, neglect of duty, or misconduct in office. History: En. See.16, Ch.195,1..1959; R.C.M.1947,11-3916(part). 7-15-4235. Restrictions on agency commissioners holding other public office. A majority of the commissioners of an urban renewal agency exercising powers pursuant to this part or part 43 shall not hold any other public office under the municipality other than their commissionership or office with respect to such urban renewal agency, department, or office. History: En. 8ec.18, Ch.195, L. 1959; R.C.M.1947,11-3918(psrt). 7-15-4236. Conduct of business. The powers and responsibilities of an urban renewal agency shall be exercised by the commissioners thereof. A majority of the commissioners shall constitute a quorum for the purpose of conducting business and exercising the powers and responsibilities of the agency and for all other purposes. Action may be taken by the agency upon a 7.15-4237 LOCAL GOVERNMENT 884 835 HOUSING AND CONSTRUCTION 7-15-4254 vote of a majority of the commissioners present unless in any case the bylaws shall require a larger number. Histor3n En. Sec.16, Ch. 195, L 1959; RC.M.1947,11-3916(part). 7-15-4237. Annual report. (1) An agency authorized to transact busi- ness and exercise powers under this part and part 43 shall file with the local governing body, on or before September 30 of each year, a report of its activities for the preceding fiscal year. (2) The report shall include a complete financial statement setting forth its assets, liabilities, income, and operating expenses as of the end of the fiscal year. (3) At the time of filing the report, the agency shall publish in a newspaper of general circulation in the community a notice to the effect that such report has been filed with the municipality and that the report is available for inspection during business hours in the office of the city clerk and in the office if the agency. History: En. Sec. 16, Ch. 195, L 1959; RC.M. 1947, 11-3916(part); amd. Sea 1, Ch. 441, L 1991. 7-15-4238. Employment of necessary staff. The urban renewal agency or department or officers exercising urban renewal project powers shall be supplied with the necessary technical experts and such other agents and employees, permanent and temporary, as are required. History: En. See.16, Ch. 195, L 1959; RC.M. 1947, 11-3916(part); amd. See. 17, Ch. 263, L.1979. 7-15-4239. Control of conflict of interest. (1) (a) No public official, no employee of a municipality or urban renewal agency, and no department or officers which have been vested by a municipality with urban renewal project powers and responsibilities under 7-15-4231 shall voluntarily acquire any interest, direct or indirect, in any urban renewal project, in any property included or planned to be included in any urban renewal project of such municipality, or in any contract or proposed contract in connection with such urban renewal project. (b) Where such acquisition is not voluntary, the interest acquired shall immediately disclosed in writing to the local governing body, and such uisclosure shall be entered upon the minutes of the governing body. (2) If any such official or department or division head owns or controls or owned or controlled within 2 years prior to the date of hearing on the urban renewal project any interest, direct or indirect, in any property which he knows is included in an urban renewal project, he shall immediately disclose this fact in writing to the local governing body, and such disclosure shall be entered upon the minutes of the governing body. Any such official or depart- ment or division head shall not participate in any action on that particular project by the municipality or urban renewal agency, department, or officers which have been vested with urban renewal project powers by the municipality pursuant to the provisions of 7-15-4231. History: En. Sec.18, Ch. 195, L 1959; RC.M. 1947,11-3918(part). 7-15-4140. Misconduct in office. Any violation of the provisions of 7-15-4235 or 7-15-4239 shall constitute misconduct in office. History: En. Sec. 18, Ch. 195, L 1959; RC.M.1947,11-3918(part). 7-154241 through 7-15.4250 reserved. 7-1542.51. General powers of municipalities in connection with urban renewal. Every municipality shall have all the power necessary or convenient: (1) to carry out and effectuate the purposes and provisions of this part and part 43; (2) to undertake and carry out urban renewal projects within the municipality, to make and execute contracts and other instruments necessary or convenient to the exercise of its powers under this part and part 43, and to disseminate blight clearance and urban renewal information; (3) to organize, coordinate, and direct, within the municipality, the ad- ministration of the provisions of this part and part 43 as they apply to such municipality in order that the objective of remedying blighted areas and preventing the causes thereof within such municipality may be most effec- tively promoted and achieved and to establish such new office or offices of the municipality or to reorganize existing offices in order to carry out such purpose most effectively; (4) to exercise all or any part or combination of powers granted in this part or part 43. History: En. Sec. 7, Ch. 195, L. 1959; amd. Sec. 3, Ch. 210, L. 1969; RC.M. 1947, 11-3907(part). 7-15-4252. Prevention and elimination of urban blight. The municipality is authorized to develop, test, and report methods and techni- ques and carry out demonstrations and other activities for the prevention and the elimination of urban blight and to apply for, accept, and utilize grants of funds from the federal government for such purposes. History: En. Sec. 7, Ch. 195, L 1959; amd. Sec. 3, Ch. 210, L. 1969; RC.M. 1947, 11.3907(part). 7-154253. Relocation of displaced families. Every municipality shall have power to prepare plans for the relocation of families displaced from an urban renewal area and to make relocation payments and to coordinate public and private agencies in such relocation, including requesting such assistance for this purpose as is available from other private and governmental agencies, both for the municipality and other parties. History: En. Sea 7, Ch. 195, L 1959; amd. Sec. 3, Ch. 210, L 1969, R.C.M. 1947, 11-3907(g). - 7-15-4254. Municipal power in the preparation of various plans. (1) Every municipality shall have power, within the municipality: (a) to make or have made all plans necessary to the carrying out of the purposes of this part and to contract with any person, public or private, in making and carrying out such plans; and (b) to adopt or approve, modify, and amend such plans. (2) Such plans may include, without limitation: (a) a comprehensive plan or parts thereof for the locality as a whole; (b) urban renewal plans; (c) plans for carrying out a program of voluntary or compulsory repair and rehabilitation of buildings and improvements; 7-15-4255 LOCAL GOVERNMENT 836 (d) plans for the enforcement of state and local laws, codes, and regula- tions relating to the use of land and the use and occupancy of buildings and improvements and to the compulsory repair, rehabilitation, demolition, or removal of buildings and improvements; and (e) appraisals, title searches, surveys, studies, and other preliminary plans and work necessary to prepare for the undertaking of urban renewal projects. History: En. Sec. 7, Ch. 195, L 1959, amd. Sec. 3, Ch. 210, L 1969, R.C.M. 1947, 11-3907(part). 7-15-4255. Authority to provide or contract for services related to urban renewal. (1) Every municipality shall have power to: (a) provide or arrange or contract for the furnishing or repair by any person or agency, public or private, of services, privileges, works, streets, or roads in connection with an urban renewal project; (b) install, construct, and reconstruct streets, utilities, parks, playgrounds, and other public improvements. (2) Every municipality shall have power to agree to any conditions that it may deem reasonable and appropriate attached to federal financial assis- tance and imposed pursuant to federal law relating to the determination of prevailing salaries or wages or compliance with labor standards in the undertaking or carrying out of an urban renewal project and to include in any contract let in connection with such a project provisions to fulfill such of said conditions as it may deem reasonable and appropriate. History: En. Sec. 7, Ch. 195, L 1959; amd. Sec. 3, Ch. 210, L 1969; R.C.M. 1947, 11-3907(b). 7-15-4256. Restriction on operation of certain utility services by municipality. Nothing in this part or part 43 shall be construed to authorize any municipality to construct or operate, as a part of any urban renewal project, any electric generation plant, electric transmission or distribution lines, or other public utility facilities, excepting waterlines and sewerlines then operated by municipalities. History: En. Sec. 7, Ch. 195, L 1959; amd. Sec. 3, Ch. 210, L 1969; R.C.M. 1947, 11.3907(l). 7-15-4257. Authority to enter private property. (1) Every municipality shall have power, within the municipality, to enter upon any building or property in any urban renewal area in order to make surveys and appraisals and to obtain an order for this purpose from a court of competent jurisdiction in the event entry is denied or resisted. (2) Such entries shall be made in such manner as to cause the least possible inconvenience to the persons in possession. History: En. Sec. 7, Ch. 195, L 1959; amd. Sec. 3, Ch. 210, L 1969; R.C.M. 1947, 11-3907(part). 7-15-4258. Acquisition and administration of real and personal property. (1) Every municipality shall have power to: (a) acquire by purchase, lease, option, gift, grant, bequest, devise, eminent domain, or otherwise any real property and such personal property as may be necessary for the administration of the provisions contained in this part and part 43, together with any improvements thereon, 837 HOUSING AND CONSTRUCTION 7-15-4259 (b) hold, improve, clear, or prepare for redevelopment any such property; (c) dispose of any real or personal property; (d) insure or provide for the insurance of any real or personal property or operations of the municipality against any risks or hazards, including the power to pay premiums on any such insurance; and (e) enter into a development agreement with the owner of real property within an urban renewal area and undertake activities, including the acquisi- tion, removal, or demolition of structures, improvements, or personal property located on the real property, to prepare the property for redevelopment. (2) A development agreement entered into in accordance with subsection (1)(e) must contain provisions obligating the owner to redevelop the real property for a specified use consistent with the urban renewal plan and offering recourse to the municipality if the redevelopment is not completed as determined by the local governing body. The development agreement may not constitute the acquisition of an interest in real property by the municipality within the meaning of 7-15-4262 or 7-15-4263. (3) However, no statutory provision with respect to the acquisition, clearance, or disposition of property by public bodies shall restrict a municipality in the exercise of such functions with respect to an urban renewal project. (4) A municipality shall not acquire real property for an urban renewal project or enter into a development agreement, as provided in subsection (1)(e), unless the local governing body has approved the urban renewal project plan in accordance with 7-15-4216(2) and 7-15-4217. History: (1), (2)En. Sec. 7, Ch. 195, L 1959; amd. Sec. 3, Ch. 210, L 1969; See.11-3907, R.C.M.1947; (3)En. Sec. 6, Ch.195, L 1959; amd. Sec. 2, Ch. 38, L 1965; amd. See. 4 Ch. 210, L 1969; amd. See. 18, Ch. 158, L 1971; Sec. 11-3906, R.C.M. 1947; R.C.M. 1947, 11-3906(part),11-3907(part); amd. See. 2, Ch. 441, L 1991. Cross -References Eminent domain, Art. II, sec. 29, Mont. Const.; Title 70, ch. 30. 7-15-4259. Exercise of power of eminent domain. (1) After the adop- tion by the local governing body of a resolution declaring that the acquisition of the real property described therein is necessary for an urban renewal project under this part, a municipality shall have the right to acquire by condemnation any interest in real property which it may deem necessary for such purpose. (2) Condemnation for urban renewal of blighted areas is declared to be a public use, and property already devoted to any other public use or acquired by the owner or his predecessor in interest by eminent domain may be condemned for the purposes of this part. (3) The award of compensation for real property taken for such a project shall not be increased by reason of any increase in the value of the real property caused by the assembly, clearance, or reconstruction or proposed assembly, clearance, or reconstruction in the project area. No allowance shall be made for the improvements begun on real property after notice to the owner of such property of the institution of proceedings to condemn such property. Evidence shall be admissible bearing upon the unsanitary, unsafe, or substan- dard condition of the premises or the unlawful use thereof. _,..,., ..,.u.-1. aaa History: En. Sec. 8, Ch.195, L 1959; R.C.M.1947,11-3908. Cross -References Eminent domain, Title 70, ch. 30. 7-15-4260. Exemption from levy and sale for certain property. All property of a municipality, including funds, owned or held by it for the purposes of this part and part 43 shall be exempt from levy and sale by virtue of an execution, and no execution or other judicial process shall issue against the same nor shall judgment against a municipality be a charge or lien upon such property; provided, however, that the provisions of this section shall not apply to or limit the right of obligees to pursue any remedies for the enforce- ment of any pledge or lien given pursuant to this part or part 43 by a municipality on an urban renewal project or the rents, fees, grants, or revenues derived from these projects. History: En. Sec. 12, Ch. 195, L 1959; R.C.M. 1947,11-3912(a); amd. Sec. 4, Ch. 667, L 1979. 7-154261. Exemption from taxation for certain property. (1) The operty of a municipality acquired or held for the purposes of this part is declared to be public property used for essential public and governmental purposes, and such property shall be exempt from all taxes of the municipality, the county, the state, or any political subdivision thereof. (2) Such tax exemption shall terminate when the municipality sells, leases, or otherwise disposes of such property in an urban renewal area to a purchaser or lessee which is not a public body or other organization normally entitled to tax exemption with respect to such property. History: En. See.1% Ch. 195, L 1959; R.C.M.1947,11-3912(b). 7-15-4262. Disposal of municipal property in urban renewal areas. (1) A municipality may: (a) sell, lease, or otherwise transfer real property in an urban renewal area or any interest therein acquired by it for an urban renewal project for residential, recreational, commercial, industrial, or other uses or for public use and enter into contracts with respect thereto; or (b) retain such property or interest only for parks and recreation, educa- tion, public transportation, public safety, health, highways, streets and alleys, administrative buildings, or civic centers, in accordance with the urban iewal project plan and subject to such covenants, conditions, and restric- tions, including covenants running with the land, as it may deem to be necessary or desirable to assist in preventing the development or spread of blighted areas or otherwise to carry out the purposes of this part. (2) Such sale, lease, other transfer, or retention and any agreement relating thereto may be made only after the approval of the urban renewal plan by the local governing body. (3) Such real property or interest shall be sold, leased, otherwise trans- ferred, or retained at not less than its fair value for uses in accordance with the urban renewal plan. In determining the fair value of real property for uses in accordance with the urban renewal plan, a municipality shall take into account and give consideration to the uses provided in such plan; the restric- tions upon and the covenants, conditions, and obligations assumed by the 839 HOUSING AND CONSTRUCTION 7-15-4264 purchaser or lessee or by the municipality retaining the property; and the objectives of such plan for the prevention of the recurrence of blighted areas. (4) Real property acquired by a municipality which, in accordance with the provisions of the urban renewal plan, is to be transferred shall be transferred as rapidly as feasible, in the public interest, consistent with the carrying out of the provisions of the urban renewal plan. History: Em Sec. 9, Ch. 195, L 1959; amd. Sec. 1, Ch. 134, L 1973; R.C.M. 1947, 11-3909(part). 7-15-4263. Procedure to dispose of property to private persons. (1) A municipality may dispose of real property in an urban renewal area to private persons only under such reasonable procedures as it shall prescribe or as provided in this section. (2) (a) A municipality shall by public notice invite proposals from and make available all pertinent information to private redevelopers or any persons interested in undertaking to redevelop or rehabilitate an urban renewal area or any part thereof. (b) Such notice shall be by publication once each week for 3 consecutive weeks in a newspaper having a general circulation in the community prior to the execution of any contract or deed to sell, lease, or otherwise transfer real property and prior to the delivery of any instrument of conveyance with respect thereto under the provisions of 7-15-4262 through 7-15-4266. (c) Such notice shall identify the area or portion thereof and shall state that such further information as is available may be obtained at such office as shall be designated in said notice. (3) The municipality shall consider all redevelopment or rehabilitation proposals and the financial and legal ability of the persons making such proposals to carry them out. The municipality may accept such proposals as it deems to be in the public interest and in furtherance of the purposes of this part and part 43. Thereafter, the municipality may execute, in accordance with the provisions of 7-15-4262 and 7-15-4264, and deliver contracts, deeds, leases, and other instruments of transfer. History: En. See. 9, Ch. 195, L 1959; amd. Sec. 1, Ch. 134, L 1973; R.C.M. 1947, 11-3909(b). 7-15-4264. Obligations of transferees of municipal property in urban renewal area. (1) The purchasers or lessees and their successors and assigns shall be obligated to devote real property transferred pursuant to 7-15-4262 only to the uses specified in the urban renewal plan and may be obligated to comply with such other requirements as the municipality may determine tobe in the public interest, including the obligation to begin within a reasonable time any improvements on such real property required by the urban renewal plan. (2) The municipality in any instrument of conveyance to a private pur- chaser or lessee may provide that such purchaser or lessee shall be without power to sell, lease, or otherwise transfer the real property without the prior written consent of the municipality until he has completed the construction of any and all improvements which he has obligated himself to construct thereon. 7-15-4265 LOCAL GOVERNMpNT 840 941 HOUSING AND CONSTRUCTION 7-15.4282 (3) The inclusion in any such contract or conveyance to a purchaser or lessee of any such covenants, restrictions, or conditions (including the incor. poration by reference therein of the provisions of an urban renewal plan or any Part thereof) shall not prevent the recording of such contract or con_ veyance in the land records of the clerk and recorder or the county in which such city or town is located, in such manner as to afford actual or constructive notice thereof. History: En. Sec. 9, Ch. 195, L 1959, amd. Sec. 1, Ch. 134, L 1973; RC.M. 1947, 11.3909(part). 7-154265• Presumption of regularity in transfer of title. Any in. strument executed by a municipality and purporting to convey any right, title, or interest in any property under this part or part 43 shall be conclusively Presumed to have been executed in compliance with the provisions of this part and part 43 insofar as title or other interes History: En. Sec.14, Ch.t of any bona fide purchasers, lessees, or transferees of such property is concerned. 195, L 1959; H C.M. 1947,11-3914. 7-15-1266. Temporary use of municipal property in urban renewal area. A municipality may operate and maintain real property acquired in an urban renewal area pending the disposition of the property for redevelopment, without regard to the provisions of 7-15-4262 and 7-15-4264, for such uses and Purposes as may be deemed desirable even though not in conformity with the urban renewal plan. The municipality may, after a public the time for a period not to exceed 3 years. hearing, extend History: En. Sec. 9, Ch. m 11-3909(c). 195, L 1959, ad. Sec. 1, Ch. 134, L 1973; RC.M. 1947, 7-154267. Cooperation by public bodies. (1) For the purpose of aiding in the planning, undertaking, or carrying out of an urban renewal project located within the area in which it is authorized to act, any public body authorized by law or by this part or part 43, upon such terms, with or without consideration, as it may determine, may; (a) dedicate, sell, convey, or lease any of its interest in any property or ant easements, licenses, or other rights or municipality; privileges therein to a (b) incur the entire expense of any public improvements made by such Public body in exercising the powers granted in this section; (c) do any and all things necessary to aid or cooperate in the planning or carrying out of an urban renewal plan, (d) lend, grant, or contribute funds to a municipality; (e) enter into agreements (whicmay extend over an h withstanding any provision or rule h' law to the contra y period, not - or other public body respecting action to be taken ur with a municipality suant to any of the Powers granted by this part or part 43, including the furnishing of funds or other assistance in connection with an urban renewal project- (f) cause to be furnished public buildings and public facilities, including Parks; playgrounds; recreational, community, educational, water, sewer, or drainage facilities; or any other works which it is otherwise empowered to undertake; (g) furnish, dedicate, close, vacate, pave, install, grade, regrade, plan, or replan streets, roads, sidewalks, ways, or other places; (h) plan or replan or zone or rezone any part of the urban renewal area; and (i) provide such administrative and other services as may be deemed requisite to the efficient exercise of the powers herein granted. (2) Any sale, conveyance, lease, or agreement provided for in this section shall be made by a public body with appraisal, public notice, advertisement, or public bidding in accordance with provisions of 7-15-4263. History: En. Sec.13, Ch.195, L 1959; RC.M.1947,113913(a), (b). 7-15-4268 through 7-14-4280 reserved. 7-15-4281. Financial authority in connection with urban renewal. (1) Every municipality shall have power to: (a) borrow money and apply for and accept advances, loans, grants, contributions, and any other form of financial assistance from the federal government; from the state, a county, or any other public body; or from any sources, public or private, for the purposes of this part and enter into and carry out contracts in connection therewith; (b) appropriate such funds and make such expenditures as may be neces- sary to carry out the purposes of this part and in accordance with state law levy taxes and assessments for such purposes; (c) invest any urban renewal project funds held in reserves or sinking funds or any such funds which are not required for immediate disbursement in property or securities in which mutual savings banks may legally invest funds subject to their control; (d) adopt, in accordance with state law, annual budgets for the operation of an urban renewal agency, department, or office vested with urban renewal project powers under 7-15-4231; (e) enter, in accordance with state law, into agreements, which may extend over any period, with agencies or departments vested with urban renewal project powers under 7-15-4231 respecting action to be taken by such municipality pursuant to any of the powers granted by this part or part 43; (f) close, vacate, plan, or replan streets, roads, sidewalks, ways, or other places and plan or replan, zone or rezone any part of the municipality in accordance with state law. (2) A municipality may include in any application or contract for financial assistance with the federal government for an urban renewal project such conditions imposed pursuant to federal laws as the municipality may deem reasonable and appropriate and which are not inconsistent with the purposes of this part and part 43. History: En. Sec. 7, Ch. 195, L 1959; amd. Sec. 3, Ch. 210, L 1969; R.C.M. 1947, 11-3907(part). 7-15-4282. Authorization for tax increment financing. Any urban renewal plan, as defined in 7-15-4206, or industrial district ordinance, adopted pursuant to 7-15-4299, may contain a provision or be amended to contain a provision for the segregation and application of tax increments, as provided in 7-15-4282 through 7-15-4292. --....•. w v cictvMEN'f' 842 History: En.11-3921 by sea 1, Ch. 287, L 1974• amd. Sec. 1 Ch. 462 Sea 2 Ch 532, L 1977; amd. Sec. 31, Ch. b66, L 1977, R C.M L 1975; amd. Sec. 4, Ch 712, g g989 1947,11-3921(part); amd. 7"15-4283• Definitions related to tax increment financing. Poses of 7-15-4282 through 7-15-4292 and 7-15-4297 throu following definitions a mg F°rPur- context: PP1y unless otherwise gh 7.15.4299, the Provided or indicated by the (1) Actual taxable value" means the taxable value of taxableproperty any time, as calculated from the assessment roll last equalized. (2) "Base taxable value"axabat Property within an urban renewal the actual taxable value of all effective date of a tax increment fin area industrial district prior to the adjusted as Provided in 7-15-4287 or 7- g Provision. (3) `Incremental taxable value" an, the. This value may be actual taxable value at an t' means the amount, if any, by Which within an urban renewal area or exceeds the base taxable value of all property (4) "Industrial district" means a tax incindustrial rement finistrict anciectng industrial dis. trict created pursuant to 7.15.4299. (5) `Industrial infrastructure development project" mea dertaken within or for an industrial district that consists of any or all of the activities authorized b a project un- (6) 'Municipality"Y 7 15-4288. suant to 7for the purpose of an industrial through 7• m'-gh 7-15-4299 and o district created pur- g 15-4293 and part 43 of this chapteroperating pursuant to 7-15-4282 or town, county, or city -county consolidated ocameans an (7) `Taxes" Y incorporated city an ad valorem basis taxes all taxes levied b gO°ernment. Y a taxing body aga (8) "Tax incremeinst Property on nt" means the collections realized from extending the tax levies, expressed in mills, of all taxing bodies in which the urban to industrial district or a part thereof is located taxable value. an renewal area against the incremental (9) "Tax increment provision" means a provision for the se application of tax increments as authorized by 7.15-4282 throu (10) "Taxing body-seggh regation292. and Political subdivision or 1ove any city, town, county, school district, or other 4ich levies taxes against governmental unit of the state, ' Property within the urban including the slate, --astrial district. renewal History; En. 113 area or in' 2, Ch. 532, 9M by Sec- 1. Ch. 287, L 1974• a 5, Ch. 667, L 1 L 1977; amd. Sec. 31, Ch 566, L 1977; LC. Sec. 1, Ch. 452, amd. Sec. 5, Ch. 712, L 1989. R C•M.1947,11-3921(2;amd Sec. 7-15-4284' Filing of tax increment provisions of urban renewal Plan or industrial district ordinance. (1) The clerk of the municipality shall file a certified copy of each urban renewal plan or industrial district ordinance or an amendment thereto containing a tax increment provision with the state, county, or city officers responsible for assessing and Bete the taxable value of taxable property within the urban renewal area or industrial district ordinance or an determining y part thereof. 843 HOUSING AND CONSTRUCTION 7-15-4287 (2) A certified copy of the plan, industrial district ordinance, or amend- ment must also be filed with the clerk or other appropriate officer of each of the affected taxing bodies. History: Em 113921 by Sec. 1, Ch. 287, L 1974; amd. See. 1, Ch. 452, L 1975; amd. Sec. 2, Ch. 532, L 1977; amd. Sec. 31, Ch. 566, L.1977; R.C.M. 1947, 11-3921(part); amd. Sec. 6, Ch 712,1- 1989. 7-15-4285. Determination and report of original, actual, and in- cremental taxable values. The officer or officers responsible for assessing and determining the taxable value of the taxable property located within the urban renewal area or industrial district shall, immediately upon receipt of the tax increment provision and each year thereafter, calculate and report to the municipality and to any other affected taxing body the base, actual, and incremental taxable values of such property. History: En. 11-3921 by Sea 1, Ch. 287, L. 1974; amd. Sea 1, Ch. 452, L. 1975; amd. Sec. 2, Ch. 532, L 1977; amd. Sec. 31, Ch. 566, L 1977; R.C.M. 1947,113921(part); amd. Sec. 6, Ch. 667, L 1979; amd. See. 7, Ch. 712, L 1989. 7-15-4286. Procedure to determine and disburse tax increment. (1) Mill rates of taxing bodies for taxes levied after the effective date of the tax increment provision shall be calculated on the basis of the sum of the taxable value, as shown by the last equalized assessment roll, of all taxable property located outside the urban renewal area or industrial district and the base taxable value of all taxable property located within the urban renewal area or industrial district. The mill rate so determined shall be levied against the sum of the actual taxable value of all taxable property located within as well as outside the urban renewal area or industrial district. (2) (a) The tax increment, if any, received in each year from the levy of the combined mill rates of all the affected taxing bodies against the incremen- tal taxable value within the urban renewal area or industrial district, except for the university system mills levied and assessed against property as defined in 7-15-4292(6)(a), shall be paid into a special fund held by the treasurer of the municipality and used as provided in 7-15-4282 through 7-15-4292. (b) The balance of the taxes collected in each year shall be paid to each of the taxing bodies as otherwise provided by law. History: En.114921 by Sea 1, Ch. 287, L 1974; amd. Sec. 1, Ch. 452, L 1975; amd. Sec. 2, Ch. 532,7- 1977, amd. Sea 31, Ch. 566, L 1977; R.C.M.1947,11-3921(4); amd. Sea 7, Ch. 667, L 1979; amd. Sec. 8, Ch. 712,1. 1989; amd. Sec. 4, Ch. 441, L 1991. 7-15-4287. Provision for use of portion of tax increment. (1) At the time of adoption of a tax increment provision or at any time subsequent thereto, the governing body of the municipality may provide that a portion of the tax increment from the incremental taxable value shall be released from segregation by an adjustment of the base taxable value, provided that: (a) all principal and interest then due on bonds for which the tax incre- ment has been pledged has been fully paid; and (b) the tax increment resulting from the smaller incremental value is determined by the governing body to be sufficient to pay all principal and interest due later on the bonds. (2) The adjusted base value determined under subsection (1) shall be reported by the clerk to the officers and taxing bodies to which the increment provision is reported. 745.4288 LOCAL GOVERNMENT 844 (3) Thereafter, the adjusted base value is used in determining the mill rates of affected taxing bodies unless the tax increment resulting from the adjustment is determined to be insufficient for this purpose. In this case, the governing body must reduce the base value to the amount originally deter- mined or to a higher amount necessary to provide tax increments sufficient to pay all principal and interest due on the bonds. History En.11-Ml by Sec. 1, Ch. 287, L 1974; amd. Sec. 1, Ch. 452, L 1975; amd. Sec. 2, Ch. 532, L 1977; amd. Sec. 31, Ch. 566, L 1977; R.C.M. 1947,114921(6); amd. See. 8, Ch. 667, L 1979. 7-15-4288. Costs that maybe paid by tax increment financing. The tax increments may be used by the municipality to pay the following costs of or incurred in connection with an urban renewal project or industrial in- frastructure development project: (1) land acquisition; (2) demolition and removal of structures; ,,3) relocation of occupants; (4) the acquisition, construction, and improvement of infrastructure or industrial infrastructure, which includes streets, roads, curbs, gutters, sidewalks, pedestrian malls, alleys, parking lots and offstreet parking facilities, sewers, sewer lines, sewage treatment facilities, storm sewers, waterlines, waterways, water treatment facilities, natural gas lines, electrical lines, telecommunications lines, rail lines, rail spurs, bridges, publicly owned buildings, and any public improvements authorized by parts 41 through 45 of chapter 12, parts 42 and 43 of chapter 13, and part 47 of chapter 14 and items of personal property to be used in connection with improvements for which the foregoing costs may be incurred; (5) costs incurred in connection with the redevelopment activities allowed under 7-15-4233; (6) acquisition of infrastructure -deficient areas or portions of areas; (7) administrative costs associated with the management ofthe industrial district; (8) assemblage of land for development or redevelopment by private enterprise or public agencies, including sale, initial leasing, or retention by tk uinicipality itself at its fair value; -,o) the compilation and analysis of pertinent information required to adequately determine the infrastructure needs of secondary, value -adding industries in the industrial district; (10) the connection of the industrial district to existing infrastructure outside the industrial district; (11) the provision of direct assistance, through industrial infrastructure development projects, to secondary, value -adding industries to assist in meeting their infrastructure and land needs within the industrial district; ind (12) the acquisition, construction, or improvement of facilities or equip- nent for reducing, preventing, abating, or eliminating pollution. History: En. 11-3921 by See. 1, Ch. 287, L 1974; amd. Sec. 1, Ch. 452, L 1975; amd. iec. 2, Ch. 532, L 1977; amd. Sen. 31, Ch. 566, L 1977; R.C.M. 1947,11-3921(part); amd. ;ec. 1, Ch. 147, L 1981; amd. Sec. 9, Ch. 712, L 1989; amd. Sec. 1, Ch. 737, L 1991; amd. ec.1, Ch. 500, L 1993. 845 HOUSING AND CONSTRUCTION 7-15-4292 Compiler's Comments reducing, preventing, abating, or eliminating 1993 Amendment: Chapter 500 inserted pollution to be paid by tax increment fmane- (12) allowing the acquisition, construction, or ing; and made minor changes in style. improvement of facilities or equipment for 7-154289. Use of tax increments for bond payments. The tax incre- ment maybe pledged to the payment of the principal of premiums, if any, and interest on bonds which the municipality may issue for the purpose of providing funds to pay such costs. History: En. 11-3921 by See. 1, Ch. 287,1- 1974; amd. Sec. 1, Ch. 452, L 1975; amd. Sec. 2, Ch. 532,1- 1977; amd. Sec. 31, Ch. 566, L 1977, R.C.M. 1947,11-3921(part); amd. Sec. 9, Ch. 667, L 1979. 7-154290. Use of property taxes and other revenues for payment of bonds. (1) The tax increment derived from an urban renewal area may be pledged for the payment of revenue bonds issued for urban renewal projects or of general obligation bonds, revenue bonds, or special assessment bonds issued to pay urban renewal costs described in 7-15 4288 and 7-15-4289. The tax increment derived from an industrial district may be pledged for the payment of revenue bonds issued for industrial infrastructure development projects or of general obligation bonds, revenue bonds, or special assessment bonds issued to pay industrial district costs described in 7-15-4288 and 7-15-4289. Any municipality issuing such bonds may, by resolution of its governing body, enter into a covenant for the security of the bondholders, detailing the calculation and adjustment of the tax increment and the taxable value on which it is based and, after a public hearing, pledging or appropriat- ing other revenues of the municipality, except property taxes prohibited by subsection (2), to the payment of such bonds if collections of the tax increment are insufficient. (2) No property taxes, except the tax increment derived from property within the urban renewal area or industrial district and tax collections used to pay for services provided to the municipality by an urban renewal project or an industrial infrastructure development project, may be applied to the payment of bonds issued pursuant to 7.15-4301 for which a tax increment has been pledged. History: En. 11-3921 by Sec. 1, Ch. 287, L 1974; amd. Sec. 1, Ch. 452, L 1975; amd. Sec. 2, Ch. 532,1- 1977; amd. Sec. 31, Ch. 566, L 1977; H.C.M.1947,11-3921(part); amd. Sec.10, Ch. 667,1- 1979; amd. Sec. 1, Ch. 615, L 1987; amd. Sec.10, Ch. 712, L 1989. 7-15-4291. Agreements to remit unused portion of tax increments. The municipality may also enter into agreements with the other affected taxing bodies to remit to such taxing bodies any portion of the annual tax increment ,not currently required for the payment of the costs listed in 7-15-4288 or pledged to the payment of the principal of premiums, if any, and interest on the bonds referred to in 7-15-4289. History. En. 11-3921 by Sec. 1, Ch. 287, L 1974; amd. Sec. 1, Ch. 452,1. 1975; amd. Sec. 2, Ch. 532, L 1977; amd. Sec. 31, Ch. 566, L 1977; R.C.M.1947,11-3921(part). 7-15-4292. Termination of tax increment financing -exception - reduction in tax increment distribution. (1) The tax increment provision shall terminate upon the later of: 7-15-4292 LOCAL GOVERNMENT 846, .. 847 HOUSING AND CONSTRUCTION 7-15-4298 (a) the 15th year following its adoption or, if the tax increment was adopted prior to January 1, provisiog or 1980, upon the 17th year following adoption; (b) the payment or provision for payment in full or discharge of all bonds for which the tax increment has been pledged and the interest thereon. (2) Any amounts remaining in the special fund or any reserve fund after various taxing bodies in proportion to their termination of the tax increment provision shall be distributed among the district. taproperty x revenues from the (3) After termination of the tax increment provision, all taxes shall be levied upon the actual taxable value of the taxable property in the urban renewal area or the industrial district and shall be paid into the funds of the respective taxing bodies. (4) Bonds secured in whole or in part by a tax increment provision may not be issued after the 15th anniversary of tax increment provisions adopted after January 1, 1980, and the 17th anniversary of tax increment provisions adopted prior to January 1, 1980. However, if bone anniversary, additional ds secured by a tax incre- ment provision are outstanding on the applicabl bonds secured by the tax increment provision may be issued if the final maturity date of the bonds is not later than the final maturity date of any bonds then outstanding and secured by the tax increment provision. (5) (a) If a municipality issues bonds secured in whole or in part by a tax increment provision after the loth year following a tax increment provision adopted after January 1,1980, or after the 12th year following a tax increment provision adopted before January 1, 1980, it is not entitled to the full distribution provided in 20-9-360(2). (b) The state treasurer shall reduce the distribution to the municipality in each fiscal year after the fiscal year in which the bonds referred to in subsection (5)(a) are issued by an amount equal to the increased taxable value of the project property multiplied by the total number of mills levied and assessed for school district purposes against the property in the previous calendar year. The department of revenue shall certify to the state treasurer by September 1 of each year the increased taxable value of the project ,roperty. (c) If the municipality issues more than one bond series after January 1, 1991, the distribution to the municipality as provided in 20.9-360(2) is reduced, as determined in subsection (5)(b), by the sum of the amounts of each bond issue. (6) For the purposes of subsection (5): a) "project property" affected by an urban ls the ta renewal project financed in whole renewal areaor in part from the proceeds of the bonds issued pursuant to subsection (5)(a), certified by the municipality to the department of revenue at the time the bonds are issued and identified by a tax identification number. property is affected by an urban renewal project if the property: (i) is to be acquired or improved as part of the urban renewal project; (ii) is located on property that is to be acquired or improved as part of the urban renewal project; (iii) is contiguous to or located on property contiguous to, property referred to in subsection (6)(a)(i) or (6)(a)(1i), including adjacent property separated by a road, stream, street, or railroad; or (iv) is included in an agreement between a person and the municipality in connection with the urban renewal project for the issuance of the bonds and if under the agreement, the person undertakes to develop or redevelop the property. (b) increased taxable value" means the difference between the taxable value of the project property for the current fiscal year and the taxable value of the project property for the fiscal year in which the bonds were issued. History: En. 11-3921 by Sec. 1, Ch. 287, L 1874; amd. Sec. 1, Ch- 452, L 1975; amd. Sec. 2, Ch. 532, L 1977; amd. Sec. 31, Ch. 566, L 1977; H.C.M.1947, 11-3921(7); amd. Sec. 1, Ch. 251, L 1985yamd. See.11, Ch. 712, L 1989; amd. Sec. 3, Ch.441, L 1991. 7-15-4293: Adjustment of base taxable value following change of law. If the 1!'iase taxable value of an urban renewal area or an industrial district is affected after its original determination by a statutory, administra- tive, or judici change in the method of appraising property, the tax rate applied to it, th0 tax exemption status of property, or the taxable valuation of property if the hange in taxable valuation is based on conditions existing at the time the base year was established, the governing body of the municipality may request the department of revenue or its agents to calculate the base taxable value as it would have been on the date of the original determination had the change been in effect on that date. The governing body may adjust the base taxable value to that value reported by the department of revenue, under the provisions of 7-15-4287. History: En. Sec.12, Ch. 667, L 1979; amd. Sec. 2, Ch.147, L.1981; amd. Sec.12, Ch. 712, L 1989. 7-15-4294through 7-14-4296 reserved. 7-15-4297. Short title. Sections 7-15-4297 through 7-15-4299 may be cited as the "Tax Increment Financing Industrial Development Act". History: En. See. 1, Ch- 712, L 1989. 7-15-4298. Legislative findings. The that: (1) infrastructure -deficient areas exist and constitute a serious impediment to the c tensive, secondary, value -adding economic c (2) municipalities lack sufficient capit shortage in infrastructure -deficient areas municipalities to achieve economic growth tl dary, value -adding industries; (3) the creation of industrial infrastructi state concern because the state and its mum economic dislocation due to the lack of seci-___-_„ and (4) the state's tax increment financing laws should be used to encourage the creation of areas in which needed industrial infrastructure for secondary, value -adding industries could be developed. History: En. Sec. 2, Ch. 712, L 1989.