City Ordinances, Resolutions and Motions: The Means by Which Cities Take Action Presented By: Terry Timmins General Counsel Iowa League of Cities Gateway Inn and Conference Center Ames, Iowa July 23, 2013 Course Description: This course will compare and contrast the use of ordinances, resolutions and motions which cities use to set policy or take action on various matters. The course will highlight certain technical requirements relating to ordinances, resolutions and motions, and will also address practical considerations in their use. The course will include a discussion of the use of “WHEREAS” clauses to explain the factual background and history of a matter being acted on by the city council. Finally the course will include instruction on and an opportunity to engage in the drafting of an ordinance and resolutions relating to the rezoning of property, and of resolutions and a notice relating to the sale of city property, using sample ordinance, resolution and notice documents and document templates. Other sample documents are included in the course materials for the general reference of course participants. Acknowledgments: Sample documents included in the Sample Documents Appendix were provided by the City of Des Moines City Clerk’s Office and Engineering Department. Course Outline: Page 3 I. Technical Terms: Definitions and Requirements II. Do We Have a Quorum? 3 III. Do We Have the Votes Needed to Pass a Measure? 4 IV. When the Minority Rules. 4 V. Effective Date of Ordinances, Resolutions and Motions. 4 VI. What to Use – Motion, Resolution or Ordinance? Iowa Code Requirements, Practical Considerations, Good Housekeeping and Tactics. 5 VII. Roberts Rules Don’t Rule. 7 VIII. Whyfore “Whereases” ?! Documenting the “Who, What, Where, Why, When and How” Behind City Council Actions - for the Benefit of the Council, City Staff, the Public, and Posterity. 7 IX. The Anatomy of an Ordinance. 10 X. The Anatomy of a Resolution 13 XI. Public Hearings Required to be Held by Cities 14 XII. Resolution Drafting Exercise 17 2 I. Technical Terms: Definitions and Requirements Terms Abstention Amendment Council Rules Measure Meeting Motion Ordinance Quorum Resolution II. Definitions and Requirements A council member’s refusal to vote on a measure. A repeal or revision of an existing ordinance or code of ordinances. Iowa Code § 362.2 (2). The council’s policy on how meetings are conducted. An ordinance, amendment, resolution or motion. Iowa Code § 362.2 (13). Each member’s vote on a measure must be recorded. Iowa Code §380.4. A gathering in person or by electronic means of a majority of the members of a governmental body. Iowa Code § 21.2(2). A council statement of policy or order for action. Iowa Code §362.2 (21). Motions are typically presented orally for council consideration. Motions require a favorable majority vote by a quorum of the council for passage and the vote must be recorded. Iowa Code § 380.4. Effective upon passage by the council. Iowa Code § 380.6. A city law of general and permanent nature. Iowa Code §362.2 (16). Ordinances require a favorable majority vote by all members of the council for passage and the vote must be recorded. Iowa Code § 380.4. Effective upon publication or upon subsequent effective date set out in the ordinance; subject to the mayor’s right to veto or take no action. Iowa Code § 380.6. A majority of all council members. Iowa Code § 372.13(1.) A majority of all members. Iowa Code § 380.4. A council statement of policy or order for action. Iowa Code § 362.2 (21). Resolutions are presented in written form for council consideration. Resolutions require a favorable majority vote by all members of the council for passage and the vote must be recorded. Iowa Code § 380.4. Written resolutions are required by statute for some council actions. Effective upon being signed by the mayor; subject to the mayor’s right to veto or take no action. Iowa Code § 380.6. Do We Have a Quorum? A “meeting” is a gathering in person or by electronic means of a majority of the members of the council. A “quorum” is “a majority of all council members”. An unfilled vacancy is included in computing a quorum, by express language in the Iowa Code. Iowa Code § 380.4. 3 III. Do We Have the Votes Needed to Pass a Measure? An ordinance, or a resolution, can only pass upon receiving a yes vote equal to a majority of “all the members of the Council”, which is defined to include all seats on the Council, including vacancies. Iowa Code § 380.4. A motion can be passed by a majority of a quorum. Iowa Code § 380.4. The vote must be computed on the basis of the number of members not disqualified by reason of conflict of interest. Iowa Code § 380.4. The statement of a council member that the council member declines to vote by reason of conflict of interest is conclusive and must be entered on the record. Iowa Code § 380.4. IV. When the Minority Rules. Assume you have a mayor / council form of government, with a five member council per § 372.4 of the Code. In that circumstance, a simple motion could be passed with only two yes votes from a five member council if: a) b) only the minimum 3 member quorum is present; or two or three members abstain from voting due to a conflict of interest. A quorum is a majority of all members, which on a five member council is 3 members. A majority of a 3 member quorum is 2 members. Courts have ruled that when a measure passes on a yes vote of a minority of members present due to abstentions from voting, the measure is valid because the abstentions are deemed to be acquiescence in the action favored by those actually voting yes. See: Municipal Council - Voting Majority, 63 ALR3rd 1072, 1079. See also: Northwestern Bell v. City of Fargo. N.D., (1973) 211 N.W.2d 399, 63 ALR3rd 1064 V. Effective Date of Ordinances, Resolutions and Motions. Iowa Code Section 380.6 Effective Date. Measures passed by the council become effective in one of the following ways: 1. a. An ordinance or amendment signed by the mayor becomes effective when the ordinance or a summary of the ordinance is published, as provided in section 380.7, subsection 3, unless a subsequent effective date is provided within the ordinance or amendment. b. A resolution signed by the mayor becomes effective immediately upon signing. c. A motion becomes effective immediately upon passage of the motion by the council. 2. The mayor may veto an ordinance, amendment, or resolution within fourteen days after passage. The mayor shall explain the reasons for the veto in a written message to the council at the time of the veto. Within thirty days after the mayor's veto, the council may pass the measure again by a vote of not less than two- thirds of all of the members of the council. If the mayor vetoes an ordinance, amendment, or resolution and the council repasses the measure after the mayor's veto, a resolution becomes effective immediately 4 upon repassage, and an ordinance or amendment becomes a law when the ordinance or a summary of the ordinance is published, unless a subsequent effective date is provided within the ordinance or amendment. 3. If the mayor takes no action on an ordinance, amendment, or resolution, a resolution becomes effective fourteen days after the date of passage and an ordinance or amendment becomes a law when the ordinance or a summary of the ordinance is published, but not sooner than fourteen days after the date of passage, unless a subsequent effective date is provided within the ordinance or amendment. VI. What to Use – Motion, Resolution or Ordinance ? Iowa Code Requirements, Practical Considerations, Good Housekeeping and Tactics. The question may arise as to what type of measure ought to be used by the city council to take a particular action. That is, should the proponents of that action advance it by an oral motion or by written resolution ? Legal Considerations: The answer is sometimes provided by specific statute. For example, resolutions are required by statute for the following actions: for approval of subdivision plats per §354.8 of the Code; for approval of the sale of city property per §364.7 of the Code; for approval of contacts to construct public improvements per §26.10 of the Code; for expenditure in excess of $100,000 on a public improvement project and for acceptance of a public improvement or facility upon its completion per §380.4 of the Code; or for adoption or amendment of the annual budget per §§384.16(5) and 384.18(4) of the Code. In the absence of a controlling statute, the decision whether to use a motion or a resolution to take a particular action may be determined by what is most practical under the circumstances, by what constitutes good housekeeping, or as a matter of legislative tactics. Practical Considerations: For instance, a motion is often used to give simple direction to a city officer or employee, where the action to be taken is of a one-time or transitory nature, e.g. “move to call a special council meeting for 7:00 p.m. on July 24th and to direct the clerk to publish notice of the meeting”, or “move that City Hall be closed the day after Thanksgiving”. In contrast, a resolution may be preferred to take action to change a longstanding practice or policy of the city, where it may be important to memorialize exactly what the new practice or policy will be. The use of a resolution in that circumstance lends more precision to the council action, assures that there has been a true “meeting of the minds” and provides less of an opportunity for imprecision or confusion when an oral motion is made and must later be written up in the minutes of the meeting. An example of such a change in practice would be a motion to change the schedule for use of the city’s ballfield by competing groups, such as the pee wee league, the Little League and the local high school. 5 Of course, when a practice or policy is sufficiently important that it must have the force of law and be enforceable by judicial means, then the city should make it a law of general and permanent nature by incorporating the policy or practice into a written ordinance. An example of policies and practices that would typically be covered in an ordinance would be the requirements imposed upon citizens for placing garbage for collection at a certain time and in a certain manner and the fees to be paid by citizens for the city’s provision of that service. Housekeeping Considerations: There are other housekeeping considerations which may make the use of a resolution preferable to a motion. A properly drafted resolution will typically have a very descriptive heading, which in turn is typically used in the council agenda to describe the actions that the council will act on at a meeting. After a council meeting, the agenda for that meeting is typically indexed to show the action taken as to each item on that agenda. Iowa law requires that resolutions be kept as a permanent record of the city (see Iowa Code § 372.13). Under the Record Retention Manual for Iowa Cities, it is recommended that the index of each council meeting be kept as a permanent record because of their administrative and historical value. To the extent council actions are taken by resolution, it will be easier and more convenient for city staff and for the public to conduct research of council meeting indices to learn what action the council took on a particular matter. In contrast, the only record of a motion is what is included in the minutes of a council meeting and it is much more difficult to research the index or council meeting minutes to determine what action may have been taken by the council by passage of a motion. Tactical Considerations: A motion that is passed at a council meeting can be overturned at a subsequent council meeting by passage of another motion that rescinds the earlier motion or that directs that a contrary action be taken. Similarly, a resolution that is passed at a council meeting can be overturned at a subsequent council meeting by passage of another resolution that rescinds the earlier resolution or that directs that a contrary action be taken. However, a resolution cannot be overturned by subsequent passage of a motion. Why is that the case? Because a resolution requires for passage a majority vote of all members of the council, while a motion only requires a majority vote by a quorum of the council. Courts therefore give a resolution more weight than a motion because a resolution must have a broader base of support from the council to obtain passage. See: Glaser v. City of Burlington, 1 N.W.2d 709, 712 (1942); 4 McQuillin Mun. Corp. 3rd Ed. 13.48. Given that background, it is apparent that a resolution gives more policy stability because it takes a broader base of support from the Council to pass, and once passed is more difficult to overturn. On the other hand, use of a motion increases the likelihood of some action being taken by the council, without the risk of failure to obtain the approval of a “majority of all of the members”. That risk becomes even greater if there is a vacancy on the Council, or members are likely to be absent from a meeting, or members are indicating a possibility 6 of abstention from voting on the matter. Also, the simple motion evades the Mayor’s power to veto a resolution or hold it up for 14 days by not taking action to sign it. Here’s one tactic that won’t work. The terms of a resolution, or of an agreement adopted by resolution, cannot supersede the terms of an ordinance. Bass v. City of Huxley, 728 NW2d 852 (2007). The employment agreement, adopted via resolution by the city council, purported to establish a specific term of employment for the city administrator. In doing so, the agreement attempted to amend, via resolution, the employment terms established by the ordinance. An ordinance, however “is not affected by a resolution; it is amended, repealed, or suspended only by an ordinance.” Valley Brook Dev., Inc. v. City of Bettendorf, 580 N.W.2d 730, 731 (Iowa 1998); see also Vaughn v. City of Cedar Rapids, 527 N.W.2d 411, 413-14 (Iowa Ct.App.1994) (holding that resolution purporting to appoint executive director of civil rights commission for a fixed period of time could not change at-will employee status established by ordinance). Therefore, because the city council's resolution approving the employment agreement constitutes an illegal attempt to amend, via resolution, the employment terms established by ordinance, the employment agreement is invalid and unenforceable as a matter of law. VII. Roberts Rules Don’t Rule. The Council can legally reconsider its vote on a measure and do and undo, consider and reconsider a measure as often as it wants to. 4 McQuillin Mun. Corp. 3rd 13.48. To limit and control such occurrences, Councils can adopt their own local procedural rules or parliamentary practice as to the right and method of reconsideration, and to control other procedures. See Iowa Code § 372.13(5). See also Appendix 1, Procedural Rules of Des Moines City Council. Some cities adopt Roberts Rules, or a set of special local rules, or a combination of Roberts Rules and special local rules. It should be noted that “Roberts Rules” are not law and are not required by law to be followed. In some states, courts have held that if the Council has adopted “Roberts Rules” or other local rules, and fails to follow such rules, the vote on the measure is invalid. But, that is not the law in Iowa. The Iowa Supreme Court has held that failure by the City Council to conform to a procedural rule of the Council, or parliamentary procedure, will not invalidate a vote of the Council that otherwise conforms to the Iowa statutes. McGraw v. Whitson, 69 Iowa 348, 28 N.W. 632(1886); Mann v. City of LeMars, 109 Iowa 244, 80 N.W. 327(1899) VIII. Whyfore “Whereases” ?! Documenting the “Who, What, Where, Why, When and How” Behind City Council Actions - for the Benefit of the Council, City Staff, the Public, and Posterity. It is suggested that resolutions, and in some circumstances ordinances, should include (a) a brief “history” of actions previously taken by the city or by the council with respect to that matter, (b) a reference to subsequent actions that the city will have to take or will be expected to take with respect to that matter, and (c) background information and history (who, what, where, why, when and how) associated with the action proposed in the resolution or ordinance. Such information is typically included in “WHEREAS” clauses 7 that precede the statement of the action resolved to be taken in a resolution, or that precede the enacting clause of an ordinance. Many reasons support the inclusion of such information in a resolution or ordinance. Documentation of Compliance with Legal or Procedural Requirements. Whereas clauses in a resolution should be used to document compliance with legal and procedural requirements related to particular actions, such as the sale of city property or the rezoning of property, where the validity of those actions is dependent upon compliance. Failure to publish a notice or hold a hearing as required by law can result in the invalidation of an action taken by the council. Setting out in each resolution the prior history of the steps taken to comply with statutory requirements lends credibility to the process as it proceeds, and (a) Serves to assure the parties who rely on that action that it has been done in compliance with the law. This may be particularly important to those parties, say when they seek financing to build improvements on property they purchased from the city and then had rezoned to permit the development they are seeking to finance. (b) Makes it easier for staff to defend the legitimacy of council actions when a subsequent challenge is made to those actions. Informing the City Council of the past procedural background of a matter at each step in that procedure assures the council that it is proceeding legally and in an orderly manner, and prevents wasting time re-hashing the procedural history of a matter at each step in the process. Its also allows council members to review past actions taken with respect to a matter, which may be particularly helpful in getting new council members “up to speed”. Including the Factual Background and History of a Matter Assists the City Council in its Policy Consideration of a Proposed Action. Informing the City Council of the factual background and history of a matter (who, what, where, why, when and how) puts a proposed action in perspective, resulting in more informed and effective discussion and decision-making. In some instances, a resolution or ordinance may be forwarded to the city council accompanied by a staff memorandum or other correspondence from a city board or commission, or from an interested party, in which the writer gives the council the factual background and history of the matter being considered, explores the policy alternatives available and makes a recommendation regarding the matter. Because a staff memo can comprehensively cover such matters, that is probably the preferred method for conveying such information to the city council. Even if such memos are made available to the council, it should be recognized that not all council members will have the opportunity to read memos that pertain to all matters before the council for consideration. In that circumstance, the inclusion of some of the relevant background, history and policy considerations in the resolution or ordinance is a good backstop to assure informed and effective discussion and decision-making. Finally, the resolution or the ordinance is often the only document the public will see. The inclusion of some of the most relevant background, history and policy considerations in the resolution or ordinance will serve to inform the public and posterity of the basis for the council’s action. 8 Including the Factual Background and History of a Matter Assists City Staff in the Administration of City Programs and in Responding to Inquiries from Council Members and Citizens. The inclusion of the factual background and history of a matter allows city staff or citizens to quickly research the history of actions taken to (a) assure that there has been consistent compliance with law, (b) document the course of policy-making and decisionmaking in the community. Including the Factual Background and History of a Matter Creates a Historical Record of Council Actions for the Public and for Posterity. 9 IX. The Anatomy of an Ordinance 1. A title that describes the subject – Iowa Code § 380.1 (Required) AN ORDINANCE TO AMEND THE MUNICIPAL CODE OF THE CITY OF _______, IOWA, BY REPEALING SUBSECTION I7.30 (3) AND RE-ADOPTING THE SAME AS REVISED FOR THE PURPOSE OF VESTING AUTHORITY IN EVERY POLICE OFFICER TO ORDER DISPERSAL OF A NUISANCE PARTY; REPEALING ANY AND ALL ORDINANES OR PARTS OF ORDINANCES IN CONFLICT TO THE EXTENT OF SUCH CONFLICT; PROVIDING A PENALTY; AND ESTABLISHING AN EFFECTIVE DATE. 2. Specify the code section, subsection or paragraph amended - Iowa Code § 380.2. (Required) BE IT ENACTED by the City Council for the City of _____, Iowa, that: Section One. The Municipal Code of the City of _____, Iowa shall be and the same is hereby AMENDED BY REPEALING Subsection 17.30 (3) and re-enacting the same to state as follows: "(3) A party or social gathering that is or becomes a public nuisance as defined in subsection (1) above shall cease and disperse immediately upon the order of any officer of the Police Department; and all persons not domiciled at the site of such social gathering or party shall leave the premises immediately. Any person who fails or refuses to obey and abide by such order shall be guilty of a violation of this section”. 3. Penalty provision - Iowa Code §§ 364.3(2) and 364.22. (Optional) Alternative No. 1 Section Two. Violation of this ordinance shall be a municipal infraction punishable by a penalty of $100 for a person's first violation thereof and $200 for each repeat violation. Alternatively, violation of this section can be charged by a police officer of the City as a simple misdemeanor. Alternative No. 2 Section One. The Municipal Code of the City of _____, Iowa shall be and the same is hereby AMENDED BY REPEALING Subsection 17.30 (3) and re-enacting the same to state as follows: "(3) A party or social gathering that is or becomes a public nuisance as defined in subsection (1) above shall cease and disperse immediately upon the order of any officer of the Police Department; and all persons not domiciled at the site of such social gathering or party shall leave the premises immediately. Any person who fails or refuses to obey and abide by such order shall be guilty of a misdemeanor or a municipal infraction, punishable as provided in section 1.15”. 10 Sec. 1-15. General penalty. (a) Whenever in this Code or in any city ordinance any act is prohibited or is made or declared to be unlawful or an offense or whenever in this Code or in any city ordinance the doing of any act is required or the failure to do any act is declared to be unlawful, if the act is not declared to be a misdemeanor or a municipal infraction and if no specific penalty is provided therefor, the violation of any such provision shall be deemed to be a misdemeanor punishable by a fine not to exceed the maximum amount of dollars or imprisonment not to exceed the maximum number of days as provided in Section 903.1, subsection 1, paragraph a. of the Iowa Code. (b) Whenever in this Code or in any city ordinance any act is prohibited and is declared to be a misdemeanor or whenever in this Code or in any city ordinance the doing of any act is required and the failure to do that act is declared to be a misdemeanor, the violation of any such provision shall be punishable by a fine not to exceed the maximum amount of dollars or imprisonment not to exceed the maximum number of days as provided in Section 903.1, subsection 1, paragraph a. of the Iowa Code. (c) Whenever in this Code or in any city ordinance any act is prohibited and is declared to be a municipal infraction or whenever in this Code or in any city ordinance the doing of any act is required and the failure to do that act is declared to be a municipal infraction, the violation of any such provision shall be punishable by a civil penalty of not more than $750.00 for each violation or, if the infraction is a repeat offense, by a civil penalty of not more than $1,000.00 for each repeat offense. However, a municipal infraction which is classified as an environmental violation or which arises from noncompliance with a pretreatment standard or requirement, referred to in 40 CFR 403.8, by an industrial user may be punishable by a civil penalty of not more than $1,000.00 for each day a violation exists or continues. Each day a violation of a provision of this Code or of a city ordinance continues shall be considered a separate municipal infraction. (d) In addition to seeking the imposition of a civil penalty as provided in this section, the city attorney may seek all other appropriate remedies allowed by law in regard to the abatement, correction, or discontinuance of activities which constitute municipal infractions. (e) Municipal infractions may be initially brought upon simple notice and if the person charged admits the violation, upon payment of the penalty to the city treasurer and the performance of any other act required by law to be performed, such person shall not be further prosecuted or assessed any costs or other expenses for such violation, and the city shall retain all penalties thus collected. Where a municipal infraction is not admitted upon simple notice by the person charged or where the person charged fails to perform any other act required to be performed, or both, an action seeking a penalty shall be brought in the state district court. Any action seeking a penalty for a municipal infraction, with or without additional relief, may be initially brought in the state district court. This section does not impose a duty to initially charge all municipal infractions upon simple notice. (f) Notwithstanding subsections (c) and (d) of this section, a municipal infraction will not be initiated for any infraction classified as an environmental infraction and referred to in I.C. Ch. 455B until an offer is made to participate in informal negotiations with the person. If the person accepts the offer, the city and the person shall participate in good faith negotiations to resolve issues alleged to be the basis for the violation. If the city is 11 unable to contact the person or is unable to resolve the issues alleged to be the basis for the violation, a municipal infraction may be initiated against the person. 4. Statement of the effective date - Iowa Code § 380.1(1) (a). (Required) Alternative No. 1 Section Four. This ordinance shall be in full force and effect from and after its passage and publication as required by law. Alternative No. 2 Section Four. This ordinance shall take effect on January 1, 20 __. 5. Signature block for the mayor - Iowa Code §§ 380.5 and 380.6(1) (a). (Required) 6. Attestation / certification by city clerk - Iowa Code § 380.7(4). (Required) Passed this ___ day of ________________, 20__. By: ____________________________ , Mayor Attest by: ___________________________ , City Clerk ATTEST: I, ________________, City Clerk of the City of __________________, hereby certify that that the above and foregoing is a true copy of an ordinance, passed by the City Council of said City at a meeting held on ____________, 20__ and published as provided by law in the _______________ on ____________, 20__. ____________________, City Clerk 12 X. The Anatomy of a Resolution 1. A title that describes the subject – (Optional) 2. A written council statement of policy or order for action. 3. Signature block for the mayor - Iowa Code §§ 380.5 and 380.6(1) (b). (Required) 4. Attestation / certification by city clerk - Iowa Code § 380.7(4). (Required) Passed this ___ day of ________________, 20__. By: ____________________________ , Mayor ATTEST: I, ________________, City Clerk of the City of _______________, hereby certify that at a meeting of the City Council of said City, held on the above date, among other proceedings the above was adopted. ____________________, City Clerk 13 XI. PUBLIC HEARINGS REQUIRED TO BE HELD BY CITIES 1. Public Hearing Required Prior to Enactment of an Ordinance: Authorizing condemnation of agricultural property: Iowa Code §6B.2A Transferring facilities of the Quad City Interstate Metropolitan Authority: Iowa Code §28A.21 Establishing precinct boundaries: Iowa Code §49.5 Withdrawing from application of the state building code: Iowa Code §103A.12 Creating an airport authority: Iowa Code §330A.6 Withdrawing from airport authority §330A.7 Authorizing sale, lease or grant of property to an airport authority: §330A.11 Enacting a tax levy in support of an airport authority §330A.15 Vacating streets or public lands: Iowa Code §354.23 Granting a franchise: Iowa Code §364.2, para. 4.a. Adopting a code of ordinances if it contains a new or amended ordinance: Iowa Code §380.8, para. 2.b. Adopting a standard code of portions of the Iowa Code: Iowa Code §380.10 Establishing a sewer or water assessment district: Iowa Code §384.38, paragraphs 1 & 2. Establishing a sewer or water connection fee district: Iowa Code §384.38, para. 3. Establishing a self-supported municipal improvement district: Iowa Code §386.3 Discontinuing an administrative agency: Iowa Code §392.7 Designating an urban revitalization area: Iowa Code §404.3 Establishing zoning regulations or changing the zoning or property or approving a site development plan: Iowa Code §§414.4, 414.5 Making appropriations by a special charter city for necessary expenditures for the next ensuing fiscal year: Iowa Code §420.41 Providing for the partial exemption from property taxation of the actual value added to industrial real estate by the new construction of industrial real estate research-service facilities, warehouses, distribution centers and the acquisition of 14 or improvement to machinery and equipment assessed as real estate: Iowa Code § 427B.1 Providing for partial or total property tax credits to small business owners owning or operating underground storage tanks: Iowa Code §427B.20 Providing for special valuation of wind energy conversion property: Iowa Code §427B.26 2. Public Hearing Required Prior to Passage of a Resolution: Approving plans, specifications, form of contract and cost estimate for a public improvement project: Iowa Code §26.12 Approving the issuance of bonds for a joint transit authority: Iowa Code §28E.17, para. 3.a. Vacating an official plat: Iowa Code §354.22 Approving disposition of an interest in real property: Iowa Code §364.7 Approving discontinuance of a city or abandoning proposal to dissolve a city: Iowa Code §368.3 Entering into or extending an annexation moratorium agreement: Iowa Code §368.4 Approving or denying an application for voluntary annexation to a city: Iowa Code §368.7, para. 1.d. Reducing the number of council members from 5 to 3 (in a city with a population less than 500): Iowa Code §372.4, para. 4. Approval of city utility budget: Iowa Code §384.2 Approving city budget for the next fiscal year: Iowa Code §384.16, para. 5. Amending city budget: Iowa Code §384.18, para. 2. Instituting action for the issuance of general obligation bonds: §384.25, para. 2. Approving resolution of necessity, estimate of cost, plat and schedule of assessments for a special assessment project: Iowa Code §§384.49 - .51. 15 Requiring property owners to make water connections as part of a city paving project: Iowa Code §384.55 Ordering construction of a public improvement in a self-supported municipal improvement district (if there is no plan and zoning commission to hold such hearing): Iowa Code §386.6 Approving an urban renewal plan Iowa Code §403.5 Approving the establishment of an urban revitalization area: Iowa Code §404.2 Approving the issuance of bonds under authority of Chapter 419: Iowa Code §419.9 16 XII. RESOLUTION DRAFTING EXERCISE. Council Action Scenario – Sale and Conveyance of City Property. The mayor comes to your office on Thursday afternoon, July 29th, and requests that you prepare and place on the agenda for next council meeting (Monday, August 2nd) an item to sell a piece of city-owned property. The mayor advises you that Mr. Jim Taylor, who owns a business at 450 Elm Street, has offered to purchase two vacant lots which lie next to his building on Lot 9, for the total sum of $8,000. From your records in the city clerk’s office, you know that the City acquired Lots 10, 11 and 12 in Block 2 of Fair Acres Subdivision (452, 454 and 456 Elm Street) at tax sale two years ago, that one of the lots has a garage on it, and that the county assessor had placed a total value of $15,000 on the three lots at that time. The mayor provides you with a copy of a letter appraisal that Mr. Taylor recently obtained from John Jones Real Estate, indicating that the fair market value of the two lots that Mr. Taylor wants to purchase is $8,000. The mayor instructs you to prepare all of the paperwork necessary to complete the sale, and tells you that if you have any questions or need any assistance, you can call the City Attorney. To determine what documents have to be prepared to complete this sale of property, you consult Sections 362.3 and 364.7 of the Iowa Code, which provide as follows: 362.3 PUBLICATION OF NOTICES. Unless otherwise provided by state law: 1. If notice of an election, hearing, or other official action is required by the city code, the notice must be published at least once, not less than four nor more than twenty days before the date of the election, hearing, or other action. 2. A publication required by the city code must be in a newspaper published at least once weekly and having general circulation in the city. However, if the city has a population of two hundred or less, or in the case of ordinances and amendments to be published in a city in which no newspaper is published, a publication may be made by posting in three public places in the city which have been permanently designated by ordinance. In the case of notices of elections, a city with a population of two hundred or less meets the publication requirement of this section by posting notices of elections in three public places which have been designated by ordinance. 364.7 DISPOSAL OF PROPERTY. A city may not dispose of an interest in real property by sale, lease for a term of more than three years, or gift, except in accordance with the following procedure: 1. The council shall set forth its proposal in a resolution and shall publish notice as provided in section 362.3, of the resolution and of a date, time and place of a public hearing on the proposal. 2. After the public hearing, the council may make a final determination on the proposal by resolution. 3. A city may not dispose of real property by gift except to a governmental body for a public purpose. However, a city may dispose of real property for use in an Iowa 17 homesteading program under section 16.14 for a nominal consideration, including but not limited to property in an urban renewal area. Assume that the City has the mayor / council form of government (5 council members and elected mayor) and that the City Council meets on the first and third Mondays of each month. Assume that all notices are published in the Gazette, and that notices and ordinances sent to the newspaper by close of business on Wednesday will be published the following Tuesday. Instructions: 1. Determine the appropriate date for all required Council actions and hearings. 2. Using the following document samples, prepare all of the necessary resolutions and notices necessary for City Council approval of the sale. 3. Fill-in all required dates and all required information regarding the sale on all documents. 4. Write down any questions that you have for the City Attorney. S:\General Counsel\Legal Resources\Presentations by Gen'l Counsel\Municipal Professional's Institute (MPI)\2013 Institute\Course Outline Materials for Course on Ordinances Resolutions and Motions - 2013 Muni Professionals Inst - TT 061113.doc 18