House File 529 - Enrolled




                              HOUSE FILE       
                              BY  COMMITTEE ON
                                  AGRICULTURE

                              (SUCCESSOR TO HF 401)
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                                   A BILL FOR
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                                         House File 529

                             AN ACT
 RELATING TO DRAINAGE AND LEVEE DISTRICTS, BY PROVIDING FOR
    MERGERS, REPAIRS AND IMPROVEMENTS, AND ELECTIONS.

 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
                           DIVISION I
                             MERGERS
    Section 1.  Section 468.265, subsection 2, Code 2015, is
 amended by striking the subsection and inserting in lieu
 thereof the following:
    2.  a.  The auditor of the county where a participating
 drainage or levee district is situated or the auditor
 designated by the board shall deliver the notice required in
 subsection 1 to all landowners in the district in the same
 manner as provided in sections 468.14 through 468.18, as the
 auditor deems appropriate.
    b.  If land is to be annexed as a condition of the merger,
 as provided in this part, the auditor of the county where the
 land to be annexed is situated or the auditor designated by the
 board shall deliver the notice to the owners of such land by
 ordinary mail.
    Sec. 2.  Section 468.265, subsections 3 and 4, Code 2015, are
 amended by striking the subsections.
                           DIVISION II
              THRESHOLD AMOUNTS FOR PERFORMING WORK
    Sec. 3.  Section 468.3, Code 2015, is amended by adding the
 following new subsection:
    NEW SUBSECTION.  01.  As used in this chapter, unless the
 context otherwise requires, the term "adjusted competitive
 bid threshold" means the same as the adjusted competitive bid
 threshold for vertical infrastructure applicable to counties as
 established by the state department of transportation pursuant
 to section 314.1B.
    Sec. 4.  Section 468.3, subsection 9, Code 2015, is amended
 by striking the subsection.
    Sec. 5.  Section 468.34, Code 2015, is amended by striking
 the section and inserting in lieu thereof the following:
    468.34  Advertisement for bids.
    The board shall publish notice once each week for two
 consecutive weeks in a newspaper published in the county
 where the improvement is located, and publish additional
 advertisement and publication elsewhere as the board may
 direct. The notice shall state the time and place of letting
 the work of construction of the improvement, specifying the
 approximate amount of work to be done in each numbered section
 of the district, the time fixed for the commencement, and the
 time of the completion of the work, that bids will be received
 on the entire work and in sections or divisions of it, and that
 a bidder will be required to deposit a bid security with the
 county auditor as provided in section 468.35A.  All notices
 shall set the date that bids will be received and upon which
 the work will be let. However, when the estimated cost of
 the improvement is less than the adjusted competitive bid
 threshold, the board may let the contract for the construction
 without taking bids and without publishing notice.
    Sec. 6.  NEW SECTION.  468.35A  Bids == letting of work.
    1.  The board shall award a contract or contracts for each
 section of the work to the lowest responsible bidder or bidders
 therefor, bids to be submitted, received, and acted upon
 separately as to the main drain and each of the laterals, and
 each settling basin, if any, exercising their own discretion as
 to letting such work as to the main drain as a whole, or as to
 each lateral as a whole, or by sections as to both main drain
 and laterals, and reserving the right to reject any and all
 bids and readvertise the letting of the work.
    2.  A bid shall be in writing, specifying the portion
 of the work upon which the bid is made, and filed with the
 auditor. The bid shall be accompanied with a bid security.
 The bid security shall be in the form of a deposit of cash, a
 certified check on and certified by a bank in Iowa, a certified
 share draft drawn on a credit union in Iowa, or a bid bond
 with a corporate surety satisfactory to the board as provided
 in section 73A.20. The bid security must be payable to the
 auditor or the auditor's order at the auditor's office in a
 sum equal to five percent of the amount of the bid. However,
 if the maximum limit on a bid security would cause a denial
 of funds or services from the federal government which would
 otherwise be available, or if the maximum limit would otherwise
 be inconsistent with the requirements of federal law, the
 maximum limit may be suspended to the extent necessary to
 prevent denial of federal funds or services or to eliminate
 the inconsistency with federal requirements. The cash, check,
 or share draft of an unsuccessful bidder shall be returned,
 and the bid bond of an unsuccessful bidder shall be canceled.
 The bid security of a successful bidder shall be maintained
 as a guarantee that the bidder will enter into contract in
 accordance with the bids.
    Sec. 7.  NEW SECTION.  468.36A  Performance bond == return of
 deposit.
    A successful bidder is required to execute a bond with
 sureties approved by the auditor in favor of the county for
 the use and benefit of the levee or drainage district and all
 persons entitled to liens for labor or material in an amount
 not less than seventy=five percent of the contract price of the
 work to be done, conditioned for the timely, efficient, and
 complete performance of the contract, and the payment, as they
 become due, of all just claims for labor performed and material
 used in carrying out the contract. When a contract is executed
 and bond approved by the board, the cash, certified check, or
 certified share draft deposited with the bid shall be returned
 to the bidder.
    Sec. 8.  Section 468.66, Code 2015, is amended to read as
 follows:
    468.66  Bids required.
    In case If the board determines that a change described
 in section 468.62 increases the cost of the improvement to
 more than in excess of the adjusted competitive bid threshold
 as provided in section 26.3, the board and any bidders shall
 comply with the competitive bid requirements applicable to
 a governing entity ordering the construction of a public
 improvement in chapter 26 work shall be let by bids in the same
 manner as is provided for the original construction of such
 improvements.
    Sec. 9.  Section 468.126, subsection 1, paragraphs c and d,
 Code 2015, are amended by striking the paragraphs and inserting
 in lieu thereof the following:
    c.  If the estimated cost of the repair does not exceed fifty
 thousand dollars, the board may order the work done without
 conducting a hearing on the matter.  Otherwise, the board shall
 set a date for a hearing and provide notice of the hearing to
 landowners in the district by publication in the same manner
 as provided in section 468.15.  However, if the estimated cost
 of the repair exceeds the adjusted competitive bid threshold,
 the board shall provide notice to the landowners pursuant to
 sections 468.14 through 468.18.  The board shall not divide a
 proposed repair into separate programs in order to avoid the
 notice and hearing requirements of this paragraph.
    d.  If a hearing is required under paragraph "c", the board
 shall order an engineer's report or a report from the soil
 and water conservation district conservationist regarding the
 matter to be presented at the hearing.  The board may waive the
 report requirement if a prior report on the repair exists and
 that report is less than ten years old.  At the hearing, the
 board shall hear objections to the feasibility of making the
 proposed repair.
    Sec. 10.  Section 468.126, subsection 1, Code 2015, is
 amended by adding the following new paragraphs:
    NEW PARAGRAPH.  e.  Following a hearing, if required in
 paragraph "c", the board shall determine whether the repair is
 necessary or desirable, and feasible.
    NEW PARAGRAPH.  f.  Any interested party has the right
 of appeal from such orders in the manner provided in this
 subchapter, parts 1 through 5.
    NEW PARAGRAPH.  g.  The right of remonstrance does not apply
 to a repair as provided in this section.
    Sec. 11.  Section 468.126, subsection 2, Code 2015, is
 amended to read as follows:
    2.  In the case of a minor repair, or in the eradication of
 brush and or weeds along the open ditches, not in excess of
 twenty thousand dollars the adjusted competitive bid threshold,
 where the board finds that a saving to the district will
 result, the board may cause the repairs or eradication to be
 done by secondary road fund equipment, or weed fund equipment,
 and labor of the county and then reimburse the secondary road
 fund or the weed fund from the fund of the drainage district
 thus benefited.
    Sec. 12.  Section 468.126, subsection 4, Code 2015, is
 amended to read as follows:
    4.  a.  For the purpose of this subsection, an "improvement"
 in a drainage or levee district in which any ditch, tile drain,
 or other facility has previously been constructed is a project
 intended to expand, enlarge, or otherwise increase the capacity
 of any existing ditch, drain, or other facility above that for
 which it was designed.
    a.  b.  When the board determines that an improvement is
 necessary or desirable, and feasible, the board shall appoint
 an engineer to make surveys as seem appropriate to determine
 the nature and extent of the needed improvement, and to file
 a report showing what improvement is recommended and its
 estimated cost, which report may be amended before final
 action.
    c.  If the estimated cost of the improvement does not
 exceed fifty thousand dollars, the board may order the work
 done without conducting a hearing on the matter.  Otherwise,
 the board shall set a date for a hearing on whether to
 construct the proposed improvement and whether there shall be
 a reclassification of benefits for the cost of the proposed
 improvement.
    (1)  (a)  The board shall provide notice to landowners in
 the district by publication in the same manner as provided
 in section 468.15.  However, if the estimated cost of the
 improvement exceeds the adjusted competitive bid threshold,
 the board shall provide notice to the landowners pursuant to
 sections 468.14 through 468.18.
    (b)  Notwithstanding subparagraph division (a), and in lieu
 of publishing the notice, the board may mail a copy of the
 notice to each address where a landowner within the district
 resides by first class mail if the cost of mailing is less
 than publication of the notice. The mailing shall be made
 during the time the notice would otherwise be required to be
 published.
    (2)  The board shall not divide proposed improvements into
 separate programs in order to avoid compliance with this
  paragraph "b" "c".
    d.  At the hearing, if required in paragraph "c", the board
 shall hear objections to the feasibility of the proposed
 improvements and arguments for or against a reclassification
 presented by or for any taxpayer of the district.  Following
 a the hearing, if required by section 26.12, the board shall
 order that the improvements improvement it deems necessary or
  desirable and feasible be made and shall also determine whether
 there should be a reclassification of benefits for the cost
 of improvements the improvement. If it is determined that a
 reclassification of benefits should be made, the board shall
 proceed as provided in section 468.38. In lieu of publishing
 the notice of a hearing as provided by section 331.305, the
 board may mail a copy of the notice to each address where
 a landowner in the district resides by first class mail if
 the cost of mailing is less than publication of the notice.
 The mailing shall be made during the time the notice would
 otherwise be required to be published.
    b.  When ordering the construction of an improvement under
 this subsection, the board shall comply with the competitive
 bid requirements applicable to a governing entity ordering
 the construction of a public improvement in chapter 26. If
 the improvement is more than fifty thousand dollars but less
 than the competitive bid threshold in section 26.3, the board
 shall conduct a hearing on the matter of making the proposed
 improvement. The board shall provide notice of the hearing as
 provided in sections 468.14 through 468.18. 
    c.  e.  If the estimated cost of the improvements improvement
  exceeds the adjusted competitive bid threshold as provided in
 section 26.3, or the original cost of the district plus the
 cost of subsequent improvements in the district, whichever
 amount is the greater amount, a majority of the landowners,
 owning in the aggregate more than seventy percent of the
 total land in the district, may file a written remonstrance
 against the proposed improvements improvement, at or before the
 time fixed date set for hearing on the proposed improvements
  improvement as provided in paragraph "c", with the county
 auditor, or auditors in case the district extends into more
 than one county. If a remonstrance is filed, the board shall
 discontinue and dismiss all further proceedings on the proposed
 improvements and charge the costs incurred to date for the
 proposed improvements to the district. Any interested party
 may appeal from such orders in the manner provided in this
 subchapter, parts 1 through 5. However, this section does not
 affect the procedures of section 468.132 covering the common
 outlet.
                          DIVISION III
                   JUDGES OF TRUSTEE ELECTIONS
    Sec. 13.  Section 468.521, Code 2015, is amended to read as
 follows:
    468.521  Elections == how conducted.
    1.  After the first election of trustees, the board of
  trustees shall act as judges of election; however, a trustee
 standing for election shall not serve as a judge and shall be
 replaced as judge by a person not standing for election who is
 eligible to be elected as a trustee.
    2.  The clerk of the board shall act as one of the clerks and
 some an owner of land in the district shall be appointed by the
 board to act as another clerk.
    3.  The trustees board shall fill all vacancies in the
 election board any vacancy of an acting election judge by
 appointing a person who resides in the county where all or
 part of the drainage or levee district is located and who is
 eligible to vote in a general election in that county.
    4.  The result of each election shall be certified to the
 auditor or the several county auditors if the district is
 located in more than one county.


                                                             
                               KRAIG PAULSEN
                               Speaker of the House


                                                             
                               PAM JOCHUM
                               President of the Senate
    I hereby certify that this bill originated in the House and
 is known as House File 529, Eighty=sixth General Assembly.


                                                             
                               CARMINE BOAL
                               Chief Clerk of the House
 Approved                , 2015


                                                             
                               TERRY E. BRANSTAD
                               Governor

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