25 LC 47 3326S House Bill 155 (COMMITTEE SUBSTITUTE) By: Representatives Anderson of the 10 th , LaHood of the 175 th , Cannon of the 172 nd , Thomas of the 21 st , Cox of the 28 th , and others A BILL TO BE ENTITLED AN ACT To amend Article 7 of Chapter 36 of Title 36 of the Official Code of Georgia Annotated, 1 relating to procedure for resolving annexation disputes, so as to revise procedures for the2 selection and objection to arbitrators; to revise how arbitration panels report their findings3 and recommendations; to revise provisions relating to compensation of arbitrators; to provide4 for related matters; to provide an effective date; to repeal conflicting laws; and for other5 purposes.6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:7 SECTION 1.8 Article 7 of Chapter 36 of Title 36 of the Official Code of Georgia Annotated, relating to9 procedure for resolving annexation disputes, is amended by revising Code Section10 36-36-114, relating to arbitration panel, composition and membership, assistance in11 formulating record, and regulation, as follows:12 "36-36-114.13 (a) Not later than the fifteenth calendar twentieth business day following the date that the14 department received the first receives an objection of a proposed annexation as provided15 for in Code Section 36-36-113, an arbitration a panel of five arbitrators shall be appointed16 H. B. 155 (SUB) - 1 - 25 LC 47 3326S by the department using the selection process detailed as provided in subsection (c) of this17 Code section.18 (b)(1) The arbitration panel shall be composed of five members to be selected as19 provided in this subsection. The department shall develop and maintain three pools of20 potential arbitrators, comprised as follows:21 (A) One one pool which consists of persons who are currently or within the previous22 six years have been municipal elected officials, managers, or administrators;23 (B) One one pool which consists of persons who are currently or within the previous24 six years have been county elected officials, managers, or administrators; and25 (C) One one pool which consists of persons with a master's degree or higher in public26 administration or planning and who are currently employed by an institution of higher27 learning in this state, other than the Carl Vinson Institute of Government of the28 University of Georgia.29 (2) Each The pool shall be sufficiently large to ensure as nearly as practicable that no30 person shall be required to serve on more than four panels in any one calendar year and31 serve on no more than one panel in any given county in any one calendar year.32 (3) The department is authorized to coordinate with the Georgia Municipal Association,33 the Association County Commissioners of Georgia, the Council of Local Governments,34 and similar organizations in developing and maintaining such pools.35 (c)(1) Within 15 business days of the date that the department first receives an objection36 of a proposed annexation as provided for in Code Section 36-36-113, Upon receiving37 notice of a disputed annexation, the department shall choose at random four names38 submit to the county and municipal corporations a list of 11 potential arbitrators39 consisting of four potential arbitrators randomly selected by the department from the pool40 of municipal officials, four names potential arbitrators randomly selected by the41 department from the pool of county officials, and three names potential arbitrators42 H. B. 155 (SUB) - 2 - 25 LC 47 3326S randomly selected by the department from the pool of academics; provided, however, that43 the department shall ensure that none of such selections shall include a person who:44 (A) Is is a resident of the county which has interposed the objection or any municipal45 corporation located wholly or partially in such county,;46 (B) Actively seeks employment in the county which has interposed the objection or47 any municipal corporation located wholly or partially in such county;48 (C) Is or has been employed within the preceding six years by the county which has49 interposed the objection or any municipal corporation located wholly or partially in50 such county; or51 (D) Has and further provided that none of such selections shall include a person who52 has already served on four other arbitration panels in the then-current calendar year.53 (2) Until noon on the twentieth business day following the date that the department54 receives the notice of disputed annexation:55 (A) The municipal corporation shall be permitted to strike or excuse up to two of the56 names chosen four arbitrators that were randomly selected by the department from the57 county officials pool by submitting written notice of any such strikes to the department;58 (B) The the county shall be permitted to strike or excuse up to two of the names chosen59 four arbitrators that were randomly selected by the department from the municipal60 officials pool by submitting written notice of any such strikes to the department; and61 (C) The the county and municipal corporation corporations shall each be permitted to62 strike or excuse one of the names chosen three arbitrators that were randomly selected63 by the department from the academic pool by submitting written notice of any such64 strikes to the department.65 (3) At the close of the period for permitted strikes as allowed in paragraph (2) of this66 subsection, the department shall finalize the arbitration panel for the given annexation67 dispute by appointing:68 H. B. 155 (SUB) - 3 - 25 LC 47 3326S (A) Two arbitrators among from the county officials subset identified in69 subparagraph (A) of paragraph (2) of this subsection who were not stricken;70 (B) Two arbitrators from the municipal officials subset identified in subparagraph (B)71 of paragraph (2) of this subsection who were not stricken; and72 (C) One arbitrator from the academic subset identified in subparagraph (C) of73 paragraph (2) of this subsection who was not stricken.74 (4) In the event that more than the required number of arbitrators remains within any75 given subset, the department shall randomly appoint the number of arbitrators needed for76 such subset from among those arbitrators remaining within such subset.77 (5) In the event that an arbitrator refuses or becomes unable to serve on a given panel to78 which he or she has been appointed pursuant to paragraph (3) of this subsection, the79 department shall randomly appoint a new arbitrator to such panel by randomly selecting80 an eligible arbitrator from the specific pool of arbitrators from which the original81 arbitrator was randomly selected under paragraph (1) of this subsection; provided,82 however, that such new arbitrator shall not have been previously stricken by the county83 or municipality.84 (d) Prior to being eligible to serve on any of the three pools, persons interested in serving85 on such panels shall receive joint training in alternative dispute resolution together with86 zoning and land use training, which may be designed and overseen by the Carl Vinson87 Institute of Government of the University of Georgia in conjunction with the Association88 County Commissioners of Georgia and the Georgia Municipal Association, provided such89 training is available. Provided that the General Assembly appropriates sufficient funds in90 an applicable fiscal year, the Carl Vinson Institute of Government of the University of91 Georgia shall provide at least one training program per year to train new potential panel92 members.93 (e) At the time any person is selected to serve on a panel for any particular annexation94 dispute, he or she shall sign the following oath: 'I do solemnly swear or affirm that I will95 H. B. 155 (SUB) - 4 - 25 LC 47 3326S faithfully perform my duties as an arbitrator in a fair and impartial manner without favor 96 or affection to any party, and that I have not and will not have any ex parte communication97 regarding the facts and circumstances of the matters to be determined, other than98 communications with my fellow arbitrators, and will only consider, in making my99 determination, those matters which may lawfully come before me.'100 (f) The department shall develop and maintain a list of court reporters and hearing officers101 that may be employed by the department at the request of an arbitration panel to assist the102 panel in formulating the record before the panel. An arbitration panel may by majority103 vote of its members elect to employ court reporters and hearing officers from such list. 104 Any costs or charges related to the employment of court reporters and hearing officers105 pursuant to this subsection shall be evenly divided between the city and the county.106 (g) The department shall promulgate rules and regulations to provide for uniform107 procedures and operations of arbitration panels established pursuant to this article.108 Notwithstanding any provision of Chapter 13 of Title 50, the 'Georgia Administrative109 Procedure Act,' to the contrary, such proposed rules and regulations shall be submitted to110 the chairperson of the House Governmental Affairs Committee and the Senate Committee111 on State and Local Government Operations."112 SECTION 2.113 Said article is further amended by revising Code Section 36-36-115, relating to meetings of114 arbitration panel, duties, findings and recommendations, and compensation, as follows:115 "36-36-115.116 (a)(1)(A) The arbitration panel appointed pursuant to Code Section 36-36-114 shall117 meet as soon after appointment as practicable and shall receive evidence and argument118 from the municipal corporation, the county, and the applicant or property owner and119 shall by majority vote render a decision which shall be binding on all parties to the120 dispute as provided for in this article not later than 60 days following such appointment,121 H. B. 155 (SUB) - 5 - 25 LC 47 3326S provided that the chairperson of the arbitration panel shall be authorized to extend such 122 deadline one time for a period of up to ten business days. ; provided, however, that123 Notwithstanding anything in this subparagraph to the contrary, the municipal124 corporation and county may by mutual agreement, postpone the arbitration procession125 for a period of up to 180 days to negotiate a potential settlement, and such126 postponement shall stay the 60 day deadline provided herein.127 (B) Meetings of the panel may occur in person, virtually, or via teleconference. The128 meetings of the panel in which evidence is submitted or arguments of the parties are129 made, whether such meeting is in person, virtual, or via teleconference, shall be open130 to the public pursuant to Chapter 14 of Title 50.131 (C) The panel shall first determine the validity of the grounds for objection as specified132 in the objection. If an objection involves the financial impact on the county as a result133 of a change in zoning or land use or the provision of maintenance of infrastructure, the134 panel shall quantify such impact in terms of cost. As to any objection which the panel135 has determined to be valid, the panel, in its findings, may establish reasonable zoning,136 land use, or density conditions applicable to the annexation and propose any reasonable137 mitigating measures as to an objection pertaining to infrastructure demands.138 (2) In arriving at its determination, the panel shall consider:139 (A) The existing comprehensive land use plans of both the county and city;140 (B) The existing land use patterns in the area of the subject property;141 (C) The existing zoning patterns in the area of the subject property;142 (D) Each jurisdiction's provision of infrastructure to the area of the subject property143 and to the areas in the vicinity of the subject property;144 (E) Whether the county has approved similar changes in intensity or allowable uses on145 similar developments in other unincorporated areas of the county;146 H. B. 155 (SUB) - 6 - 25 LC 47 3326S (F) Whether the county has approved similar developments in other unincorporated 147 areas of the county which have a similar impact on infrastructure as complained of by148 the county in its objection; and149 (G) Whether the infrastructure or capital outlay project which is claimed adversely150 impacted by the county in its objection was funded by a county-wide tax.151 (3) The county shall provide supporting evidence that its objection is consistent with its152 land use plan and the pattern of existing land uses and zonings in the area of the subject153 property, which may include, but not be limited to, adopted planning documents and154 capital or infrastructure plans.155 (4) The cost of the arbitration shall be equally divided between the city and the county;156 provided, however, that if the panel determines that any party has advanced a position157 that is not valid, the costs shall be borne by the party or parties that have advanced such158 position.159 (5) The reasonable costs of participation in the arbitration process of the property owner160 or owners whose property is at issue shall be borne by the county and the city in the same161 proportion as costs are apportioned under paragraph (4) of this subsection.162 (6) The panel shall deliver its written findings and recommendations to the parties and163 the department by verifiable delivery. The written findings and recommendations shall164 include a signed statement for each panel member as to whether or not he or she voted165 in support of or against such findings and recommendations. The department shall166 maintain a data base and record of arbitration panel results and at least annually publish167 a report on such decisions and make such report freely available on the department's168 website.169 (b) If the decision of the panel contains zoning, land use, or density conditions, the170 findings and recommendations of the panel shall be recorded in the deed records of the171 county with a caption describing the name of the current owner of the property, recording172 H. B. 155 (SUB) - 7 - 25 LC 47 3326S reference of the current owner's acquisition deed and a general description of the property, 173 and plainly showing the expiration date of any restrictions or conditions.174 (c) The arbitration panel shall be dissolved on the tenth day after it renders its findings and175 recommendations but may be reconvened as provided in Code Section 36-36-116.176 (d) Notwithstanding the provisions of subsection (b) of Code Section 45-7-21, the177 members of the arbitration panel shall receive the same per diem, expenses, and allowances178 for their service on the panel as authorized by law for members of the General Assembly179 plus $100.00 in total for all days of service for serving on an arbitration panel .180 (e) If the panel so agrees, any one or more additional annexation disputes which may arise181 between the parties prior to the panel's initial meeting may be consolidated for the purpose182 of judicial economy if there are similar issues of location or similar objections raised to183 such other annexations or the property to be annexed in such other annexations is184 within 2,500 feet of the subject property."185 SECTION 3.186 This Act shall become effective on January 1, 2026.187 SECTION 4.188 All laws and parts of laws in conflict with this Act are repealed.189 H. 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