CHAPTER 135


98-S 3191A
Enacted 7/3/98


A N     A C T

RELATING TO THE TOWN OF WESTERLY (DOWNTOWN CENTER SPECIAL SERVICE DISTRICT)

Introduced By: Representative Senators Algiere and Walsh

Date Introduced : June 16, 1998 June 9, 1998

It is enacted by the General Assembly as follows:

SECTION 1. Title 45 of the General Laws entitled "Towns and Cities" is hereby amended by adding thereto the following chapter:

{ADD CHAPTER 45-56
WESTERLY DOWNTOWN CENTER SPECIAL SERVICES DISTRICT
ADD}

{ADD 45-56-1. Purpose of Westerly services district. -- ADD}{ADD The town of Westerly may establish by ordinance of its legislative body as provided in this chapter, within its confines, a downtown center special services district to promote the economic and general welfare of its citizens and property owners through the preservation, enhancement, protection and development of the economic health of such municipality. The term "municipality" as used herein shall mean only the town of Westerly. ADD}

{ADD 45-56-2. Powers of the downtown center special services district. -- ADD} {ADD The downtown center special services district shall constitute a body politic and corporate and the ordinance establishing such a district shall confer upon such district such of the following powers as are provided in the chapter: ADD}

{ADD (a) to sue or be sued; ADD}

{ADD (b) to acquire, hold and convey any estate, real or personal; ADD}

{ADD (c) to contract; ADD}

{ADD (d) to borrow money, provided any obligation incurred for this purpose shall be discharged not more than one (1) year after it was incurred, and such district may pledge any revenues to be received pursuant to section 45-56-6 against any such obligation; ADD}

{ADD (e) to recommend to the legislative body of the municipality in which such district is located the imposition of a levy upon the taxable interests in real property within such district, the revenues from which may be used in carrying out any of the powers of such district; ADD}

{ADD (f) to construct, own, operate and maintain public improvements; and ADD}

{ADD (g) to provide, within such district, some or all of the other services which such municipality is authorized to provide therein, except that no such ordinance may confer upon any such district the power to provide elementary or secondary public education services; and, Provided, further, that no such ordinance may confer upon any such district the power to provide services which are then being provided within any portion of the area included in such district by any multitown body or authority. ADD}

{ADD 45-56-3. Powers regarding motor vehicle parking. -- ADD} {ADD In addition to the powers enumerated in section 45-56-2, an ordinance establishing the downtown center special services district may confer upon such district some or all of the following powers: ADD}

{ADD (a) to construct, acquire, or obtain lease-hold interest in motor vehicle parking facility, within or without such district; ADD}

{ADD (b) to operate a motor vehicle parking facility, within or without such district; ADD}

{ADD (c) to lease or sublease to other parties motor vehicle parking facilities; and ADD}

{ADD (d) to enter into, fund and perform agreements which reduce the cost of motor vehicle parking to residents of such district and to employees of, and those doing business with, businesses located within such district. ADD}

{ADD 45-56-4. Referendum on an ordinance establishing a downtown center special services district. -- ADD} {ADD (a) An ordinance establishing a downtown center special services district shall not take effect unless, within sixty (60) days of the adoption of such ordinance: (1) If such district is not divided into subdistricts pursuant to subsection (b) of section 45-56-6, a referendum is held among all the holders of record of taxable interests in real property within such district on the question of whether such ordinance shall take effect, and unless a majority of such owners shall respond affirmatively and unless the holders of such taxable interests of real property the assessments of which shall constitute more than one-half (1/2) of the total of assessments for all taxable interests in real property within such district shall respond affirmatively; or, (2) if such district is divided into subdistricts pursuant to section 45-56-6(b) a separate referendum is held among all the holders of record of taxable interests in the real property within each such subdistrict on the question of whether such ordinance shall take effect, and unless a majority of such holders in each such subdistrict shall respond affirmatively and unless the holders of such taxable interests in real property within each such subdistrict the assessments of which shall constitute more than one-half (1/2) of the total of assessments for all taxable interests in real property within each such subdistrict shall respond affirmatively; (3) if the ordinance establishing such district creates different categories of land use within such district pursuant to section 45-56-6(c)(1) a separate referendum is held among all the holders of record of taxable interests in real property in each such land use category in such district on the question of whether such ordinance shall take effect, and unless a majority of such holders in each such land use category shall respond affirmatively and unless the holders of taxable interests in real property in each such land use category the assessments of which shall constitute more than one-half (1/2) of the total of assessments for all taxable interests in real property in each such land use category within such district shall respond affirmatively; and (4) if such district is divided into subdistricts pursuant to section 45-56-6(b) and if the ordinance establishing such district creates different categories of land use within such district pursuant to section 45-56-6(c)(1), and if such ordinance also provides a different basis for the determination of the levies on the same land use category in different subdistricts pursuant to section 45-56-6(c)(2), a separate referendum is held among all the holders of taxable interests in real property in each such land use category in each such subdistrict on the question of whether such ordinance shall take effect, and unless a majority of such holders in each such land use category in each such subdistrict shall respond affirmatively and unless the holders of such taxable interest in real property in each such land use category in each such subdistrict the assessments of which shall constitute more than one-half (1/2) of the total of assessments for all taxable interests within each such land use category within each such subdistrict shall respond affirmatively. For the purposes of this section, any tenant in common of any freehold interest in real property shall have a vote equal to the fraction of his ownership in said interest. Any joint tenant of any freehold interest in real property shall vote as if each tenant owned an equal, fractional share of such real property. A corporation shall have its vote cast by the chief executive officer of such corporation or his designee. No owner shall have more than one vote. ADD}

{ADD (b) The ordinance establishing the downtown center special services district shall prescribe the method and manner in which any such referendum shall be conducted, and shall provide the qualifications for those participating in any such referendum. Any such referendum may be conducted by mail. ADD}

{ADD (c) No holder of record of taxable interest in real property, whether such record holder is a corporation, partnership, unincorporated association, trustee, fiduciary, guardian, conservator, or other form of entity, or any combination thereof, and whether such record holder is an individual who holds interests jointly, or in common with another individual or individuals, or with any one or more of the foregoing, shall be precluded from participating in any such referendum because of the form of entity which holds such record interest. ADD}

{ADD (d) At any referendum held hereunder, all residents of the town of Westerly, residing in the town and qualified voters thereof, and who reside in the district or subdistrict as the case may be, shall have the right to vote and the referendum shall not take effect unless a majority of all voters shall respond affirmatively. ADD}

{ADD 45-56-5. Board of commissioners of district. -- Contract awards. -- ADD} {ADD The ordinance establishing the downtown center special services district shall provide that the business of such district shall be conducted by a board of commissioners, and by such agents as the ordinance may authorize them to designate, and such ordinance shall further provide the number, qualifications and manner of election of such commissioners. All orders or contracts for expenditures by any such board on behalf of such special service district which are greater than five thousand dollars ($5,000) shall be awarded to the lowest responsible qualified bidder only after a public invitation to bid, which shall be advertised in a newspaper having circulation in such special services district. ADD}

{ADD 45-56-6. Tax levy for benefit of district. -- ADD} {ADD (a) An ordinance establishing a downtown center special services district shall provide the time and manner for determining the levy on real property within such district which is recommended by the board of commissioners of such district pursuant to section 45-56-2(e). ADD}

{ADD (b) In order to provide that different areas, and different land use categories, within any such downtown center special services district may share equitably in the funding of such district in proportion to the different benefits to be derived therefrom, an ordinance establishing the downtown center special services district may divide such district into subdistricts, and such ordinance may further provide a separate basis for the determination of the levy recommended pursuant to section 45-56-2(e) on taxable interests in real property within each such subdistrict. ADD}

{ADD (c) (1) An ordinance establishing the downtown center special services district may create, for taxing purposes only, different categories of land use within such district, and such ordinance may further provide a separate basis for the determination of the levy recommended pursuant to section 45-56-2(e) on each such category of land use. ADD}

{ADD (2) If an ordinance establishing such a district divides such district into subdistricts, and if such ordinance also creates different land use categories, such ordinance may also provide a basis for the determination of the levy recommended pursuant to section 45-56-2(e) on taxable interests in real property in a land use category in any such subdistrict which is different from the basis for determining the levy recommended on taxable interests in real property in the same land use category in another subdistrict or in other subdistricts. ADD}

{ADD (d) An ordinance establishing the downtown center special services district shall provide that, when the board of commissioners of such district shall, in a timely manner, recommend to the legislative body of the municipality in which such district is located a levy upon the taxable interests in real property within such district, pursuant to section 45-56-2(e) and pursuant to such ordinance, it shall be the obligation of such legislative body to impose such levy as a municipal levy, and such levy shall be in addition to the regular municipal levy, and it shall be the obligation of the municipality to collect such levy for the benefit of such district. All moneys received by the board of commissioners of any such district or by a municipality on behalf of any such district shall be paid into the general fund of such municipality where an account shall be maintained of such moneys for the benefit of such district. Notwithstanding any provision of the general laws, public laws or any special act or any municipal charter to the contrary, the treasurer of such municipality shall disburse funds in accordance with an annual budget adopted by the board of commissioners of such district. ADD}

{ADD 45-56-7. Dissolution of special service district. -- ADD} {ADD (a) At any time after the downtown center special services district has been established pursuant to the provisions of this chapter, such district may be dissolved in any one of the following ways: ADD}

{ADD (1) by the adoption of an ordinance repealing the ordinance establishing such downtown center special services district; or ADD}

{ADD (2) if such district is not divided into subdistricts pursuant to section 45-56-6(b) and if the ordinance establishing such district does not create different land use categories pursuant to section 45-56-6(c) by the holding of a referendum by the board of commissioners of such district among all the holders of record of taxable interests in real property within such district on the question of whether such district shall be dissolved, provided a majority of such holders shall respond affirmatively or provided the holders of taxable interests in real property the assessments of which shall constitute more than one-half (1/2) of the total of all assessments for all taxable interests in real property within such district shall respond affirmatively; or ADD}

{ADD (3) if such district is divided into subdistricts pursuant to section 45-56-6(b), and if the ordinance establishing such district does not create different land use categories pursuant to subdivision (1) of subsection (c) of section 45-56-6, by the holding by the board of commissioners of such district of a separate referendum among all the holders of record of taxable interests in the real property within each such subdistrict on the question of whether such district shall be dissolved, provided a majority of such holders in any such subdistrict shall respond affirmatively or provided the holders of taxable interests in real property within any subdistrict the assessments of which shall constitute more than one-half (1/2) of the total of assessments for all taxable interests in the real property within such subdistrict shall respond affirmatively; or ADD}

{ADD (4) if such district is not divided into subdistricts pursuant to section 45-56-6(b) and if the ordinance establishing such district creates different categories of land use within such district pursuant to section 45-56-6(c)(1) a separate referendum is held among all the holders of record of taxable interests in the real property in each such land use category in such district on the question of whether such district shall be dissolved, and unless a majority of such holders in any such land use category shall respond affirmatively and unless the holders of taxable interests in real property in any such land use category the assessment of which shall constitute more than one-half (1/2) of the total of assessments for all taxable interests in real property in such land use category within such district shall respond affirmatively; or ADD}

{ADD (5) if such district is divided into subdistricts pursuant to section 45-56-6(b) and if the ordinance establishing such district creates different categories of land use within such district creates different categories of land use within such district pursuant to section 45-56-6(c)(1) a separate referendum is held among all the holders of taxable interests in real property in each such land use category in each such subdistrict on the question of whether such district shall be dissolved, and unless a majority of such holders in any such land use category in any such subdistrict shall respond affirmatively or unless the holders of such taxable interests in real property in any such land use category in any such subdistrict the assessments of which shall constitute more than one-half (1/2) of the total of assessments for all taxable interests within such land use category within each such subdistrict shall respond affirmatively. ADD}

{ADD (6) At any referendum held hereunder, all residents of the town of Westerly, residing in the town and qualified voters thereof, and who reside in the district or subdistrict as the case may be, shall have the right to vote and the referendum shall not take effect unless a majority of all voters shall respond affirmatively. ADD}

{ADD (b) The board of commissioners of the downtown center special services district in question shall determine the manner in which any referendum held pursuant to subdivision (2), (3), (4) or (5) of subsection (a) of this section shall be conducted. Any such referendum may be conducted by mail. ADD}

{ADD (c) If the downtown center special services district is dissolved pursuant to subsection (a) of this section, the board of commissioners of such district shall proceed to wind up the affairs of such district as of the end of the then current fiscal year of such district. If, after the dissolution of a downtown center special services district, such district shall have liabilities, whether fixed or contingent, the legislative body of the municipality in which such district was located shall have the authority to impose, in addition to the regular municipal levy a levy on the real property within such district, in the same manner as is provided for the determination of such levy by the board of commissioners of such district in the ordinance establishing such district, for as many years as any such liabilities shall remain outstanding, and such levy shall be calculated to produce enough revenue to satisfy and release such liabilities as they become due, and such revenues shall be deposited into the general fund of such municipality and shall by such municipality, at the direction of its chief executive officer, solely for the purposes stated therein. If, after the dissolution of the downtown center special services district, such district shall have assets which remain following the winding up of the affairs of the downtown center special services district, such assets shall be transferred to the municipality within which such district was located. ADD}

{ADD 45-56-8. Provisions of ordinance creating special service district. -- ADD} {ADD Notwithstanding any provision of any municipal charter or of any general law, public law or special act to the contrary, an ordinance establishing a downtown center special services district may provide: ADD}

{ADD (a) that the municipality in which such district is located is excused from providing within such district, or within some or all of the subdistricts, if any, within such district, some or all of the services which such district is authorized to provide pursuant to section 45-56-2(g) provided such ordinance shall also provide that henceforth it shall be the obligation of such district to provide such services as to which the municipality has been excused: ADD}

{ADD (b) that the municipality within which such district is located may enter into a contract with such district in which the city or town is excused from providing within such district, or within some or all of the subdistricts, if any, within such district, some or all of the services which such district is authorized to provide pursuant to section 45-56-2(g) and in which such district agrees to provide all such services as to which the municipality has been excused; ADD}

{ADD (c) that, if such ordinance contains a provision excusing the municipality from the performance of any services pursuant to subsection (a) of this section, the municipality shall make an annual grant to such district, in a fixed amount or based upon a formula set forth in such ordinance, for the purpose of compensating such district for the services from which the municipality is excused and for which such district is to become responsible; ADD}

{ADD (d) that, if such ordinance contains a provision authorizing the municipality and such district to enter into a contract pursuant to subsection (b) of this section excusing the municipality from the performance of certain services and obligating such district to provide such services, the municipality may also agree, in such contract, to make an annual grant to such district, in a fixed amount or based upon a formula set forth in such contract, for the purpose of compensating such district for the services from which the municipality is excused and for which such district is to become responsible; ADD}

{ADD (e) that, as to any services which the municipality is excused from performing, whether by the terms of such ordinance itself or by the terms of a contract entered into pursuant to authority granted in such ordinance, the municipality and such district may enter into a contract or contracts having a fixed term of extending for the life of such district in which such district is given the right to elect to purchase, at intervals stated in such contract and for periods of time stated in such contract, from the municipality, some or all of such services either at prices fixed in such contract or at prices to be determined in accordance with a formula set forth in such contract, or at prices determined by a combination of these methods; ADD}

{ADD (f) that all or certain of the interests in real property held by such district are not subject to the municipal property tax; ADD}

{ADD (g) that all or certain of the personal property owned by such district is not subject to the municipal property tax; and ADD}

{ADD (h) that interests in real property held by such district, and personal property owned by such district, are subject to the municipal property tax but that any such tax may be abated prospectively by the legislative body of the municipality. ADD}

SECTION 2. This act shall take effect on July 1, 1998.



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