(A) The name of the organization hereby created shall be the Franklin-Simpson Industrial Development Authority (hereinafter the “Authority”).
(B) The purpose of the Authority shall be to promote economic development, including, but not limited to, industrial, agricultural, tourism and small business in the city and the county, and to work with all federal, state and local agencies and groups to accomplish said purposes.
(C) The Franklin-Simpson Industrial Develop- ment Authority shall be governed by a board composed as follows:
(1) Eight members, four of whom shall be appointed by the Mayor, and four by the County Judge Executive.
(2) Members of the Authority shall serve for a term of four years each and until their successors are appointed and qualified; provided, however, that the initial appointment shall be made so that two members are appointed for two years, two members for three years and two members for four years. Upon expiration of these staggered terms, successors shall be appointed for a term of four years.
(3) An Industrial Development Authority member may be replaced by the appointing authority upon a showing to the appointing authority of misconduct as an authority member or upon conviction of a felony.
(4) Members of the Authority shall serve without compensation, but may be reimbursed for any actual and necessary expenses incurred by them in the conduct of the affairs of the Authority. The Authority shall, upon the appointment of its members, organize and elect officers. The Authority shall choose a Chairperson and Vice Chairperson who shall serve for a term of one year. The Authority may fix a salary for the Secretary/Treasurer, and the Secretary/Treasurer shall execute an official bond to be set and approved by the Authority, and the cost thereof shall be paid by the Authority.
(5) The Secretary/Treasurer shall keep minutes of all meetings of the Authority and shall also keep a set of books showing the receipts and expenditures of the Authority. The Secretary/ Treasurer shall preserve on file duplicate vouchers of all expenditures and shall present to the Authority, upon request, complete reports of all financial transactions and financial condition of the Authority. Such books and vouchers shall at all times be subject to examination by the legislative bodies by whom the Authority was created. The Secretary/Treasurer shall transmit at least once annually a detailed report of all acts and doings of the Authority to the legislative bodies by whom the Authority was created.
(D) The following persons shall be ex-officio non-voting members of the Authority: the Mayor of the city; the County Judge Executive; the President of the Franklin-Simpson Chamber of Commerce; the Superintendent of the Franklin-Simpson Schools; and in addition the Mayor and the County Judge shall each appoint one additional at large non-voting member from the community for a term not to exceed four years.
(E) The Authority may employ necessary counsel, agents and employees to carry out its work and functions and prescribe such rules and regulations as it deems necessary.
(F) A quorum for the transaction of the business of the Authority shall consist of four voting members. Meetings of the Authority may be called by the Chairperson or by four voting members. In case of tie voting by the Authority, the issue shall be deemed to have failed passage.
(G) The Authority shall be a body politic and corporate with the usual corporate attributes, and in its corporate name may sue and be sued, contract and be contracted with and do all things reasonable or necessary to effectively carry out the duties prescribed by KRS 154.50-301 to 154.50-346.
(H) The purpose, duties and powers of the Authority shall be to:
(1) Acquire, retain and develop land for industrial and commercial purposes in the state; aid in the development and promotion of industrial sites, parks and subdivisions to meet industrial and commercial needs in the state;
(2) Encourage the acquisition, retention and development of land for industrial and commercial needs in the state by other local development organizations, both public and private;
(3) Cooperate with the United States Army Corps of Engineers and other federal agencies in formulating development plans and in acquiring and developing land for industrial and commercial purposes in accordance with these plans; and
(4) Acquire by contract, lease, purchase, gift, condemnation or otherwise any real or personal property or rights therein, necessary or suitable for establishing industrial sites, parks or subdivisions. The Authority may dispose of any real or personal property, or rights therein, which in the opinion of the Authority are no longer needed to carry out the purposes of KRS 154.50-301 to 154.50-346. The Authority may lease, sell or convey any or all industrial sites, parks and subdivisions owned or optioned by it to any public or private organization, governmental unit or industry for the purpose of constructing and/or operating any manufacturing, industrial or commercial facility; provided, however, that no sale or conveyance of any land shall be made to a private organization or industry without such organization or industry first having executed a written contract with the Authority providing that if no actual construction of an industrial facility is commenced within ten years, the organization or industry shall reconvey the land, free and clear of liens and encumbrances, to the Authority, and the Authority shall return to the organization or industry 95% of the purchase price paid therefore.
(I) Upon the adoption by the Authority of a resolution reciting that property is needed for industrial sites, parks and subdivisions and cannot be acquired by negotiation and purchase at its fair market value, the governmental units in which such land is located may direct and institute condemnation proceedings in the name of such governmental units for the use and benefit of the Authority. The procedure for condemnation shall conform to the procedure set out in the Eminent Domain Act of Kentucky. Upon acquisition of the property, the governmental unit shall convey the property to the Authority upon payment by the Authority to the governmental unit of an amount of money equal to the judgment and costs paid by the governmental unit.
(J) Notwithstanding any other provision or section of KRS 154.50-301 to 154.50-346, no governmental unit shall have the power to condemn the property under KRS 154.50-301 to 154.50-346 unless the governmental unit has first given proper public notice as required by law stating the specific purpose for which the property to be condemned shall be used and said purposes shall be pleaded and proved in such condemnation action. The property shall be developed within a period of five years pursuant to the purpose stated, and the failure of the Authority to so develop shall entitle the person or persons whose property was condemned to repurchase the property at the price the Authority paid to the governmental unit for the same. The person from whom the land is taken by condemnation shall have the right to reacquire the land as aforementioned by application to the court of competent jurisdiction, if such procedure be necessary, and shall be entitled to recovery of his or her costs and reasonable attorneys fees necessary to reacquire said land.
(K) The Authority will be the organization responsible for industrial recruitment for a local government. All other agencies involved in industrial recruitment should coordinate their activities through the Authority.
(L) (1) In the event that the city or the county, desires to withdraw from participation in the Authority, then the remaining participant may jointly choose a successor member or members of the Authority. No such withdrawing city or county shall be entitled to the return of any money or property advanced such Authority.
(2) Notwithstanding the provisions of division (L)(1) above, the city and county having established a joint industrial development Authority as provided for herein, may provide by mutual written agreement between such city and county and the joint industrial development Authority, that such joint industrial development Authority may be dissolved and may further provide that upon such complete termination, all funds, property and other assets held by the joint industrial development Authority shall be returned to the city and county and the same proportions as the contributions of funds, property and other assets were made by such city and county. This section shall not apply and no dissolution shall be made until such time as all legal obligations of the joint Authority shall be satisfied and all existing commitments fulfilled.
(M) (1) In order to provide money for the purchase of property necessary to develop industrial, parks and subdivisions, the legislative body of the city and county may make an annual appropriation from its general fund for such industrial development. Any appropriation shall be made by the legislative body in such amounts, in such proportion, and upon such terms as the legislative body may determine. All funds derived from such appropriation shall be turned over to the industrial development Authority for the purpose of carrying out the duties and powers of the Authority.
(2) The Authority may borrow money and issue notes and other financial instruments on its own credit. The Authority may pledge the appropriations or income anticipated or the industrial site, parks and subdivisions, or both, as security for its debt.
(3) The Authority is authorized to defray the costs of acquiring and developing any industrial sites, parks and subdivisions through the issuance of revenue bonds issued under the terms, conditions and procedures set forth in KRS 103.200 to 103.285.
(4) The Authority may, as an alternative method and in addition to all other methods provided by law, acquire and develop land for industrial and commercial use, and issue revenue bonds in connection therewith under the terms and provisions of KRS Chapter 58; and under said law, GOVERNMENTAL AGENCY means the Authority and the term PUBLIC PROJECT means industrial sites, parks and subdivisions.
(N) The title to all property acquired by the Authority shall vest in the Authority. All property acquired for the development of industrial sites, parks and subdivisions shall be exempt from taxation to the same extent as other property used for public purposes. All revenues collected by the Authority shall also be exempt from taxation.
(O) The acquisition of any lands for the purpose of developing industrial sites, parks and subdivisions is hereby declared to be a public and governmental function, exercised for a public purpose and a matter of public necessity, and such lands and other property, easements and privileges acquired in the manner and for the purposes enumerated in KRS 154.50-301 to 154.50-346, shall and are hereby declared to be acquired and used for public and governmental purposes and as a matter of public necessity.
(P) KRS 83A.060(7) provides that publication of an ordinance, in order to make it effective need not be done in an emergency, upon the affirmative vote of two-thirds of the membership of the city’s legislative body, provided that the legally required publication requirement is carried out within ten days of the enactment of the emergency ordinance. The City Commission for the city hereby finds that the creation of this Authority is necessary in order to receive a very valuable low interest loan from the State Industrial Development and Finance Authority and that the creation of this Authority in an expedited fashion is necessary to meet the time constraints of timely closing on said loan, and therefore an emergency exists so that it is necessary and in the public interest to issue this section immediately, and the city hereby declares such an emergency to exist. Therefore, in accordance with KRS 83A.060(7), an emergency is declared to exist for the reasons above set forth and the Commission suspends the requirements of publication of the ordinance in order for it to become effective, so that the ordinance and shall be effective upon the adoption of this section; and further, this section, because of said emergency, hereby declared, shall be effective upon its adoption on first reading, without publication, as provided in KRS 83A.060(7), and the Commission, having hereby suspended the requirements of second and publications. This section or a summary hereof shall be published within ten days of the adoption of this section as provided by law.
(Q) This section shall be effective immediately as read at the meeting being specifically approved and adopted for the purposes of first and only reading and for the purposes of publication according to law.
(Ord. 151.0-1999, passed 7-12-1999; Ord. 2015-002, passed 1-26-2015)