HEA 1278 Summary

• Requires individuals seeking to establish an economic improvement district to provide written notice to the municipal clerk or county auditor before filing a petition, with the actual petition filing deadline set at 120 days after notice.

• Petition must include district boundaries, property owner information, detailed description of improvement projects with estimated costs, assessment revenue plans, benefit distribution formulas, assessment duration, and proposed board members.

• Municipal clerks or county auditors must retain petition copies for at least 90 days and publish hearing notices within 60 days, with hearing to address notice sufficiency, project public utility/benefit, assessment formulas, and property inclusion in the district.

• Legislative body may adopt an ordinance establishing the district only if petition is signed by at least 60% of property owners and owners of property representing at least 60% of assessed valuation; exempts tax-exempt properties (nonprofits, state agencies, political subdivisions) from signature and valuation requirements.

• Prohibits legislative bodies from amending ordinances to increase district boundaries after June 30, 2018, and requires districts or rejected petitioners to reimburse municipalities for reasonable compliance expenses upon request.