Part 8 — MUNICIPAL IMPROVEMENT DISTRICT PROCEDURE

Any portion of the city may be formed into a municipal improvement district for the purpose of creating a special assessment indebtedness to be represented by bonds of said district, the proceeds from the sale of which shall be used for the acquisition or construction of any public improvement, work or public utility which the city is authorized by its Charter or this chapter to acquire or construct. Such district shall be

formed and such bonds shall be issued and sold in the manner and under the proceedings hereinafter set forth.

(Prior code § 2600.69.)

A map or plat of any lands necessary or convenient to be taken for any such proposed improvement, and, by boundary line, of the territory proposed to be included in the assessment, together with a statement of the total estimated expense of said improvement, shall be filed and approved, and a resolution of intention to order said improvement shall be adopted and published, and a notice of improvement shall be posted in the manner provided in Part 3 of this chapter. Where said proceedings include improvements, plans and specifications therefor shall be approved, and the improvements shall be described in the resolution of intention in the manner provided in Part 2 of this chapter. The estimated cost of the acquisition or improvement shall be stated in the resolution of intention.

(Prior code § 2600.70.)

At the time of the hearing provided in said resolution of intention, or any date to which it is continued, the city council shall have the jurisdiction to alter and establish the boundaries of said district, and to order said acquisition or improvement as provided in the applicable provisions of Parts 2 and 3 of this chapter; provided, however, that all further proceedings shall be had therein as provided in this Part 8.

(Prior code § 2600.71.)

Said resolution ordering the improvement shall, among other things, provide for the issuance and sale of bonds pursuant to Plan A, B or C set forth in Parts 5 through 7 of this chapter, in the amount found to be the estimated cost of the acquisition or improvement. The proceeds of the sale of such bonds shall be placed in the treasury of said city to the credit of the proper district fund, and shall be applied exclusively to the purposes and objects mentioned in the resolution of intention therefor and to the incidental expenses in connection therewith.

(Prior code § 2600.72.)

If said proceedings include the construction of public improvements, a contract therefor shall be let, and said work and improvement shall be constructed and accepted in the manner provided in and controlled by the provisions of Sections 89, 90, 91, 92 and 93 of the Charter of the city as in effect at the time of the making of said contract, and pay the costs and expense thereof out of said fund.

(Prior code § 2600.73.)

If said proceedings include the acquisition of public improvements, the proceedings therefor shall be had and taken in the manner provided in Part 3 of this chapter, or by direct purchase pursuant to the powers provided in the Charter of the city as in effect at said time, and pay the costs and expense thereof out of said fund.

(Prior code § 2600.74.)

In any proceedings conducted by the city council pursuant to the provisions of the Municipal Improvement Act of 1913 (Division 12 of the Streets and Highways Code of the state of California) the city, in the discretion of the city council and notwithstanding any other ordinance of the City of San José, may:

A.

Acquire any work, improvements, appliances or facilities authorized to be made, constructed or acquired pursuant to said act notwithstanding that such work, improvements, appliances or facilities are not in existence, or not installed in place or not completed, on or before the date of adoption of the resolution of intention for the acquisition thereof, provided the director of public works has certified prior to acquisition thereof that the amount to be paid for such work, improvements, appliances or facilities is reasonable and not in excess of the fair market value or actual construction cost thereof, whichever is lesser.

B.

The foregoing provisions of this section shall be applicable to any pending proceeding being conducted by the city council, provided only that all interested persons shall be given due notice and hearing with respect to the intention of the city council to so acquire any such work, improvements, appliances or facilities.

(Prior code § 2600.193; Ord. 19522.)

The city council shall have the power, when it elects so to do, to do such work and improvement directly without awarding a contract therefor and to purchase the materials, hire the labor and do all things necessary for the doing of said work and improvement, in the manner provided in and controlled by the provisions of Section 89 of the Charter of the city as in effect at the time of the doing of said work, and to pay the costs and expenses thereof out of said fund.

(Prior code § 2600.75.)

When said acquisition or improvement is to be done under any local, state or national agency or authority, or if any contribution of labor, or labor and any portion of materials, supplies or equipment, is to be made thereto by any local, state or national agency or authority, proceedings shall be had in regard thereto, and any contract, if any, shall be made and said work and improvement shall be done in substantial conformity with the applicable provisions of Sections 3a, 18.5, 18a and 84 (as added by Chapter 1032 of the California Statutes of 1933) of the Improvement Act of 1911, referred to in Part 2 of this chapter, as amended prior to

and as the said act was in effect on January 1, 1936, and the proceeds of said bond issue shall be used for the payment of the balance of the costs thereof and the incidental expenses in connection therewith.

(Prior code § 2600.76.)

At any time within three years after the date of the resolution ordering the issuance of said bonds, the city council may by resolution determine that no part of such bond issue, or, if a portion of the bonds so authorized have been sold, that not part of the remainder of such issue then remaining unsold, shall thereafter be issued or sold and thereupon the whole or that portion of the bonds issued pursuant thereto, remaining unsold and described in such resolution, shall become void.

(Prior code § 2600.77.)

Any unexpended balance which shall remain in said fund upon the completion of and payment for said public improvement or acquisition, shall be deposited in the sinking fund for the payment of the principal and interest to become due on said bonds, and shall be credited against the first amount necessary to be levied thereafter for the payment of same.

(Prior code § 2600.78.)