KRS 107.030: Procedure for use of alternate method.

If a municipality desires to authorize, construct, and finance an improvement pursuant to

this chapter, its governing body shall initiate the proceedings by adopting an ordinance,

herein called the "First Ordinance," in which announcement shall be made of the public

way or ways (which need not be contiguous) proposed to be improved and the

geographical limits of the proposed improvement in such manner as to identify the

benefited properties or the identity of the property or properties to be benefited by the fire

hydrant in a city or by the sewer installations (which may include a sewage treatment

plant) which properties may be identified by naming the public way or ways upon which

they abut, if any, or by geographical location, or both. In either case the o rdinance shall

recite the nature and scope of the improvement, a preliminary estimate of the costs

thereof, as submitted in writing by an engineer, or firm of engineers, holding a license

from the Commonwealth of Kentucky, and the amount, if any, which the city proposes to

appropriate from available city funds toward the estimated cost. Any metropolitan sewer

district desiring to initiate a wastewater collection project pursuant to this chapter shall,

by order of its board cause a written preliminary engine ering and financing report to be

prepared by one (1) or more engineers, or one (1) or more firms of engineers, licensed to

do business in the Commonwealth of Kentucky, or alternatively, by district personnel, for

submission to the district. The preliminary engineering and financing report shall

designate a geographical area in which a wastewater collection project is recommended

for construction. The report shall contain a reasonable description of the project facilities

proposed to be constructed, a statem ent as to benefits to be conferred by the proposed

project, the distribution of the benefits and an estimate of the cost of the proposed project.

The board of the district shall receive the preliminary engineering and financing report at

a regular meeting. The board shall study and evaluate it, and by duly entered order either

approve, disapprove the report as submitted, or amend and approve the report. Following

approval of the preliminary engineering and financing report by the board of the

metropolitan s ewer district, the board shall formally initiate proceedings for the

construction and financing of the proposed wastewater collection project. This

announcement shall identify all benefited properties by naming the public way upon

which such benefited prop erties abut, if any, or by geographical location, or by other

appropriate description. The first ordinance shall describe the nature, scope and

preliminary cost estimate of the wastewater collection project being proposed. The

ordinance shall determine that each parcel of land identified as benefited property shall be

afforded benefits by the projects unless specifically excluded. A public hearing shall be

held in respect of the proposed wastewater collection project. In all succeeding

proceedings, the city shall be bound and limited by the preliminary report of the engineer,

or engineers, with regard to the nature, scope, and extent of the proposed improvement

project (unless the first ordinance be amended, as hereinafter provided); but shall not be

bound by, or limited to, the preliminary estimate of costs. The costs shall be determined

upon the basis of construction bids publicly solicited as hereinafter provided, and shall be

binding upon the city, and upon the owners of property to be benefited by the pr oposed

improvement project, whether the same turn out to be equal to, below, or above such

preliminary estimate. Architects, attorneys, consultants, engineers, and fiscal agents shall

be employed after reasonable advertisement of the need for their service s and with such

competition as is permitted by law. In a first ordinance for a wastewater collection

project, the board of a metropolitan sewer district shall make findings of fact regarding

the degree and nature of the benefit which will accrue to benefit ed properties by the

installation of the project. If the board determines as a fact that groups of or all of the

benefited properties will be affected and benefited in substantially the same manner and

to substantially the same degree, the board may classify such benefited properties into one

(1) or more assessment zones based upon the similarity of benefits to be derived. In such

case, the board may deem all benefited properties within a particular assessment zone to

be equally benefited and therefore equa lly treated for purposes of levying improvement

benefit assessments for amortization of bonds issued to provide funds to pay the costs of

the project. It is the intent of KRS Chapters 76 and 107 to vest in the board of any

metropolitan sewer district under taking a project authority to make findings of fact in

order to classify properties according to benefits conferred from the construction of

projects. The board may, by appropriate order, determine that identified groups of

benefited properties will be ben efited in substantially the same manner by a project and

these properties shall be treated equally for purposes of annual improvement benefit

assessment of such benefited properties. The board may rely upon any pertinent data in

making such findings of fac t, including the size and diameter of sanitary sewer service

connections to be made available. If the board of the district determines that all properties

situated within a particularly described geographic area will not receive substantially

equal benefits from the project, the board shall determine in the first ordinance that such

properties shall be annually assessed for benefits conferred based upon the relative

assessed land valuation of each benefited property as it relates to the aggregated assessed

land valuation of all benefited properties within such particularly described geographic

area. Whichever basis of assessment is selected, it shall be used both initially, when land

owners may pay improvement benefit assessments in a lump sum, and subsequen tly

during each annual period in which project bonds are outstanding if a lump -sum payment

is not paid. The first ordinance shall provide for a public hearing at a time and place

specified therein (not less than one (1) week after publication) and shall give notice that at

the hearing any owner of property to be benefited may appear and be heard as to:

(1) Whether the proposed project should be undertaken or abandoned;

(2) Whether the nature and scope of the project shall be altered;

(3) Whether the project shall be financed through the issuance of bonds according to

the "assessed value basis," authorized by this chapter; or

(4) Whether the project shall be financed through assessments made and apportioned

on a front -foot basis, as may otherwise be authorize d by law. The first ordinance

shall be published pursuant to KRS Chapter 424. The first ordinance may designate

a person, who may be the mayor, a member of the governing body, or any city

official, to preside at and conduct such public hearing. In the abse nce of a

designation in the ordinance, the mayor or a person designated by the mayor shall

preside. Notwithstanding the foregoing, the public hearing shall not be deemed

irregular or improper if it is in fact presided over and conducted at the designated

time and place by any elected city officer or member of the governing body.