§ 403-54. Withdrawal of member municipality

A member municipality may withdraw from the District upon the following terms and conditions:

(1) Withdrawal prior to the District incurring bonded indebtedness or entering long-term contracts.

(A) The Board of Supervisors shall not enter into any long-term contract, or call a special meeting on incurring long-term debt for a period of 18 months from the date of establishment of the District.

(B) No member municipality may withdraw from the District for a period of one year from the date of establishment of the District.

(C) Prior to the District incurring bonded indebtedness or entering into a long-term contract, a member municipality may vote to withdraw in the same manner as the vote for adoption of this chapter by such member municipality. If a majority of the voters of a member municipality present and voting at a meeting duly warned for that purpose may vote to withdraw from the District, the vote may be certified by the clerk of that municipality and presented to the Board of Supervisors. The membership of the withdrawing municipality shall terminate as soon after the vote to withdraw as the financial obligations of the withdrawing municipality have been paid to the District.

(2) Withdrawal after the District has incurred bonded indebtedness or entered into long-term contract. After the District has incurred bonded indebtedness or entered into a long-term contract, a member municipality may vote to withdraw in the same manner as the vote for adoption of this chapter by such member municipality. It shall be a condition that the withdrawing municipality shall enter into a written agreement with the District in which the chapter and withdrawing municipality shall be obligated to continue to pay its share of the debt incurred by the District for the remaining bonding term or contract term. In addition, the withdrawing municipality shall obligate itself to pay the cost of redesigning and rebuilding any facility of the District occasioned because of the reduced volume of solid waste. The cost shall be determined by an independent engineering firm hired by the Board of Supervisors. These additional costs shall be paid either in a lump sum or in installments at such times and in such amounts as required by the Board of Supervisors. In addition, in the event there is a resource recovery facility, if the withdrawal of a municipality will reduce the minimum volume of solid waste required to meet the District's long-term contractual commitments, no withdrawal of a member municipality shall be permitted during the period of such commitments.

(3) Determination of withdrawal. No withdrawal of a municipality shall become effective or deemed conclusive until such time as there shall be filed by the Clerk of the District in the records of the District a certificate attesting to the satisfaction of every condition set forth in subdivision 54(1)(C) or (2) of this chapter, whichever is applicable, as determined and approved by the Board of Supervisors. (Amended 2017, No. M-1, § 1; 2017, No. 113 (Adj. Sess.), § 164.)