Bill > HB2397

This bill modifies the process for dissolving a public water supply district by introducing several key changes. The bill requires that a dissolution petition must include an allegation that an alternative water supplier is available, and crucially, adds a new requirement that the petition must include an agreement for sale of the district's assets, which must be contingent upon approval by both the circuit court and district voters. The petition must still be signed by at least one-fifth of registered voters from each subdistrict (or 50 voters, whichever is less) and include a detailed plan for paying off all district debts. The bill allows the court to continue hearings as needed and permits exceptions to be filed by voters or landowners. Importantly, the bill modifies the voter approval threshold for dissolution, allowing the district's board of directors to choose between requiring a two-thirds majority or a four-sevenths majority of voters to approve dissolution. The bill also provides more flexibility in handling the district's assets upon dissolution, allowing potential pro-rata application of funds toward residents' property tax bills or, if the amount is too small, distribution to local school districts. Throughout the process, the circuit court maintains oversight to ensure the dissolution serves the public interest and all financial obligations are met.

Government Affairs, Transportation and Infrastructure

https://house.mo.gov/Bill.aspx?bill=HB2397&year=2026&code=R