28E.17 - TRANSIT POLICY -- JOINT AGREEMENT -- CITY DEBT.
28E.17 TRANSIT POLICY -- JOINT AGREEMENT -- CITY
DEBT.
1. It is the public policy of this state to encourage the
establishment or acquisition of urban mass transit systems and the
equipment, maintenance and operation thereof by public agencies in
cooperation with, and with the assistance of the urban mass
transportation administration of the United States department of
transportation, pursuant to the provisions of the Urban Mass
Transportation Act of 1964, as amended, Title 49, sections 1601 et
seq., United States Code, which requires unification or official
coordination of local mass transportation services on an area-wide
basis as a condition of such assistance.
2. An agreement between one or more cities and other public
agencies for this purpose may be made and carried out without an
election and the agency created thereby may jointly exercise through
a board of trustees as provided by the agreement all the rights,
powers, privileges and immunities of cities related to the provision
of mass transportation services, except the authority to incur bonded
indebtedness.
3. a. A city which is a party to a joint transit agency may
issue general corporate purpose bonds for the support of a capital
program for the joint agency in the following manner:
(1) The council shall give notice and conduct a hearing on the
proposal in the manner set forth in section 384.25. However, the
notice must be published at least ten days prior to the hearing, and
if a petition valid under section 362.4 is filed with the clerk of
the city prior to the hearing, asking that the question of issuing
the bonds be submitted to the registered voters of the city, the
council shall either by resolution declare the proposal abandoned or
shall direct the county commissioner of elections to call a special
election to vote upon the question of issuing the bonds. Notice of
the election and its conduct shall be in the manner provided in
section 384.26.
(2) If no petition is filed, or if a petition is filed and the
proposition of issuing bonds is approved at the election, the council
may proceed with the authorization and issuance of the bonds.
b. An agreement may provide for full or partial payment from
transit revenues to the cities for meeting debt service on such
bonds.
c. This subsection shall be construed as granting additional
power without limiting the power already existing in cities, and as
providing an alternative independent method for the carrying out of
any project for the issuance and sale of bonds for the financing of a
city's share of a capital expenditures project of a joint transit
agency, and no further proceedings with respect to the authorization
of the bonds shall be required. Section History: Early Form
[C75, § 28G.1--28G.4; C77, 79, 81, § 28E.17] Section History: Recent Form
95 Acts, ch 67, §53; 2008 Acts, ch 1032, §140