40-53.1 Dissolution of Cities
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electors voting at the last regular city election petition the board of county
commissioners of the county wherein the city is situated to dissolve the city, the
board of county commissioners shall order a special election to be held within the
city on the question of dissolving the city.2.Notice of the election shall be published once each week for four consecutive weeks
and shall state that the question of dissolving the city will be submitted to the
qualified electors of the city on the designated day.40-53.1-02. Dissolution - Ballots. The form of the ballot shall be:For the dissolution of _______________________________(insert name of city).Against the dissolution of ___________________________(insert name of city).40-53.1-03. Dissolution - Conduct of election. The election shall be conducted in thesame manner as a regular city election except that all election officials shall be appointed by the
board of county commissioners.The election returns shall be made to the board of countycommissioners and canvassed in the same manner as are general election returns.40-53.1-04. Dissolution - Vote required - Effect on debts and contracts. If a majorityof the votes cast on the question are in favor of dissolution, the county commissioners shall, by
motion and proclamation, set a date upon which dissolution will become effective and the city
shall be dissolved, provided provision has been made for payment of its current indebtedness,
contracts, and obligations, and for levying the requisite tax to do so. The current indebtedness,
contracts, and obligations do not include funded or bonded indebtedness nor any contract whose
termination date is more than one year beyond the date the election was held.40-53.1-05. Disposition of records after dissolution - Pending business. All publicrecords of the dissolved city shall be deposited with the county auditor.40-53.1-06. Notice of dissolution - Publication. Whenever a city is dissolved, thecounty auditor shall publish a notice once a week for four consecutive weeks that the city is
dissolved. A certified copy of the notice shall be sent to the secretary of state.40-53.1-07. Dissolution - Care of property - Manager - Disposition of funds. If a cityis dissolved, the board of county commissioners shall assume control of all property belonging to
the dissolved city and shall employ a qualified person to manage and operate the property and to
collect all charges due from the operation of such property. The person employed shall execute
a bond to the county in an amount determined by the board of county commissioners,
conditioned that that person will faithfully perform that person's duties and will promptly pay all
money that person receives to the county treasurer monthly on the first day of each month. The
bond shall be executed by the person employed and a surety company authorized to do business
in the state. The premium on the bond shall be paid by the board of county commissioners from
city funds, if any, and if none, from county funds.40-53.1-08. Income from property of a dissolved municipality. Money received fromthe operation of property of a dissolved city shall be used in the following priority:1.To pay employees engaged in the operation, maintenance, and protection of the
property.Page No. 12.To pay the interest on the bonded indebtedness of the municipality.3.To purchase or redeem bonded indebtedness of the municipality.4.After all bonded indebtedness has been paid, to the general fund of the county.40-53.1-09. Dissolution - Insufficient income to pay obligations - Levy of tax - Dutyvested in board of county commissioners. If insufficient money is received from the operation
of the property of the dissolved city to pay the obligations in the order designated, the board of
county commissioners shall levy a tax on all taxable property within the boundary of the city at
the time of its dissolution.This tax shall be sufficient to pay the obligations incurred in theoperation of the property of the city and to comply with the terms and conditions of the evidences
of the bonded indebtedness. The board of county commissioners shall, without charge, perform
the duties of the governing body of the dissolved city to satisfy the terms of the bonds,
obligations, or contracts of the dissolved city.40-53.1-10.Dissolution by district court - Application.Any city not subject todissolution under existing laws may be dissolved by the district court upon presentation of an
application by the state's attorney of the county. The application shall contain:1.The name of the city.2.The date of incorporation.3.Boundaries.4.Original plat and additions thereto.5.Names of the officers.6.Assets.7.Debts.8.A general statement of the reasons for dissolution.40-53.1-11. Filing application - Order. If the court is satisfied the petition contains therequired information, it shall order the petition be filed, and the clerk of the district court shall give
notice thereof by publication once each week for four consecutive weeks.40-53.1-12. Objections. Any time during the period of publication and within a period ofthirty days after the last publication, any person may file objections to the application.40-53.1-13.Hearing on application - Order of dissolution.After the period ofpublication, but not less than thirty days thereafter, the court, upon five days' notice to any person
who has filed objections to the application, or without further notice if no objections have been
filed, shall hear and determine the application. If the court finds the city should be dissolved, it
shall dissolve the same upon such terms or conditions as justice may require, vacate the
boundaries, order the sale of assets and the payment of debts, and order any surplus paid into
the general fund of the county treasury.40-53.1-14. Judgment roll - Right of appeal. The petition, notice and proof of servicethereof, objections, orders of the court, and the judgment shall constitute the judgment roll, and
an appeal may be taken from the judgment in the same manner as in a civil action.Page No. 2Document Outlinechapter 40-53.1 dissolution of cities