This week, the House will consider a bill raising the limit for city contracts given to municipal officers or their businesses for the first time since 1999. However, many small cities and towns are being left out of the change due to an inadvertent error in drafting the bill.

The State has always had strict rules regarding when and how municipal officers can directly or indirectly financially benefit from a contract with a local government. One exception to these rules is when the contract falls under a certain dollar limit. Since 1999, that limit has been $1,500 a month for first class cities and $18,000 annually for second class cities, towns, or noncharter optional code cities.

HB 1577, sponsored by Rep. Joe Schmick (R–Colfax), proposes to increase the contract limit to $3,000 a month for first class cities. However, the bill does not make the same adjustment for second class cities, towns, or noncharter optional code cities. As currently drafted, these jurisdictions would still be held at the 1999 limit for contracts of less than $18,000 annually.

We don’t believe these jurisdictions were left out on purpose, but we do need your help to fix this bill.

If you are a small city leader, contact your state elected officials or sign up to testify in the House Local Government Committee on Tuesday, February 14 at 10:30 am. Ask your legislators to:

• Support the passage of HB 1577
• Support an amendment modifying section 6(b) of the bill to increase the annual contract limit for small cities from $18,000 to $36,000

We believe this fix will provide our small cities with more options to respond to challenges and issues that arise in their communities.

Dates to remember

HB 1577 is scheduled for public hearing in the House Local Government Committee on Tuesday, February 14 at 10:30 am. The bill is then scheduled for executive session in the same committee on Friday, February 17 at 10:30 am.