LD 1199
pg. 8
Page 7 of 23 PUBLIC Law Chapter 228 Page 9 of 23
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LR 571
Item 1

 
1955.__Withdrawal must be permissible in existing debt instruments.

 
In considering the request of a county to withdraw, the board
of directors and the commissioners shall consider the effect of
the proposed withdrawal on the ability of the jail authority to
continue operating the multicounty jail in a manner and at a cost
to the remaining county that is reasonable.

 
If the withdrawal causes the costs of the other county to
increase as a condition of withdrawal the withdrawing county may
be required by the board of directors and the commissioners
either to secure an alternate and equivalent source of prisoners
for the reasonable life of the jail facility or to execute an
agreement to make payments to the jail authority following
withdrawal that maintains the costs of the other county to remain
constant when adjusted annually for the effect of all other
factors on the costs until an alternate and equivalent source of
prisoners is secured or results from the nonwithdrawing county's
population.

 
Subject to any required approval by the board of directors and
the commissioners of each county, withdrawal by a county may be
accomplished by a vote of the commissioners.

 
§1858.__Dissolution

 
1.__Method.__In the event both counties vote to withdraw
pursuant to section 1857, the board of directors shall vote to
dissolve the jail authority.__The board of directors may, at any
time by 2/3 vote, recommend to the counties that the jail
authority be dissolved. If such a recommendation is made, the
commissioners in each county shall vote on the question of
dissolving the jail authority.__If the commissioners in each of
the counties vote to dissolve the jail authority, the jail
authority must be dissolved by the board of directors at a time
fixed by the board of directors.

 
2.__Assets and liabilities.__Upon dissolution, the directors
shall conclude the affairs of the jail authority and shall
liquidate the jail authority's assets and liabilities by:

 
A.__Paying all expenses and paying or securing the payment
of all debts of the jail authority in a manner permissible
by the debt instruments; and

 
B.__Distributing all assets and all liabilities in a manner
permissible by the debt instruments proportionately between
the counties in accordance with any formula contained in
section 1954 for guarantees and assessments.


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