Amendment of incorporation agreement; withdrawal of member from district
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The incorporation agreement of any district may be amended in the manner provided in this section. The board of the district shall first adopt a resolution proposing an amendment to the incorporation agreement. The amendment shall be set forth in full in the resolution and may include any matters which might have been included in the original incorporation agreement.
After the adoption of the resolution by the board, the chairman of the board and the secretary of the district shall file a certified copy of the resolution and a signed written application in the name of and on behalf of the district, under its seal, with the governing body of each member, requesting the governing body to adopt a resolution approving the proposed amendment. As promptly as may be practicable after the filing of the application with the governing body, that governing body shall review the application and shall adopt a resolution or ordinance either denying the application or authorizing the proposed amendment. Any resolution or ordinance shall be published in a newspaper or newspapers as provided in Section 51-39-9. The governing body shall cause a copy of the application and all accompanying documents to be spread upon or otherwise made a part of the minutes of the meeting of the governing body at which final action upon the application is taken. The incorporation agreement may be amended only after the adoption of a resolution or ordinance by two-thirds (2/3) of the governing bodies of the members.
Within thirty (30) days following the adoption of the last adopted resolution approving the proposed amendment, the chairman of the board and the secretary of the district shall sign, and file for record in the office of the chancery clerk and/or municipal clerk with which the incorporation agreement of the district was originally filed and the Secretary of State, a certificate in the name of and in behalf of the district, under its seal, reciting the adoption of the respective resolutions or ordinance by the board and by the governing body of each member and setting forth the amendment. The chancery clerk for the county and/or municipal clerk for the municipality shall record the certificate in an appropriate book in the clerk's office. When the certificate has been so filed and recorded, the amendment shall become effective. No incorporation agreement of a district shall be amended except in the manner provided in this section.
Any member of a district may withdraw from the district by submitting a resolution to the board requesting an amendment to the incorporation agreement under subsection (1) of this section. Upon compliance with the requirements of subsections (1) through (3) of this section and payment of its pro rata share of any indebtedness, costs, expenses or obligations of the district outstanding at the time of withdrawal, the amendment may become effective upon adoption of a resolution by the board. The withdrawal of a member shall not operate to impair, invalidate, release or abrogate any contract, lien, bond, permit, indebtedness or obligation of the district, except to relieve the withdrawing member from further financial obligation to the district.
Any party having an interest in the subject matter and aggrieved by an action of a governing body under subsections (2) and (4) of this section, may appeal that action in the manner and within the time limitations provided in Section 51-39-15.