NC H516

County boards of commissioners in counties with populations exceeding 100,000 may dissolve sanitary districts if the county and at least one city within the county provide water and sewer services to residents.

Before dissolution, the board must adopt a resolution finding that dissolution serves citizens' interests and develop a plan ensuring continued provision of all district services by the county, city, or both under a binding agreement.

Any water and sewer or sanitary system operated by the district must be in compliance with all local, state, and federal regulations at the time the plan is adopted.

Dissolution requires approval by county voters in a referendum conducted by the county board of elections, with the ballot question addressing dissolution, assumption of outstanding indebtedness, and transfer of district assets.

If a majority of referendum votes favor dissolution, it becomes effective July 1 following the election, with all district property, funds, liabilities, and pending legal actions transferring to the county, city, or as specified in a county-city binding agreement.