§180-15 Discontinuance of districts. At any time after five years after the organization of a district under this chapter, any occupiers of land representing twenty-five or more votes lying within the district may petition the department of land and natural resources to terminate the existence of the district. The department may conduct such meetings and hearings upon the petition as may be necessary and, within sixty days after the filing of such a petition, shall hold a referendum upon the proposal. All occupiers of lands within the district shall be eligible to vote in the referendum.
After such referendum the department shall determine whether the continued operation of the district is necessary or practicable and feasible. The department shall not have authority to determine in favor of the continued operation of the district unless a majority of the votes cast in the referendum were in favor of the continued operation. If the department determines in favor of the discontinuance of the district, it shall certify such determination to the district directors and to the lieutenant governor. The lieutenant governor shall issue to the directors a certificate of dissolution and record a copy of the certificate in the lieutenant governor's office. Upon receipt of the certificate the directors shall terminate the affairs of the district. The directors shall dispose of all property belonging to the district at public auction and pay over the proceeds into the state treasury, and render to the department, a full accounting of the properties and proceeds of the sale. All contracts theretofore entered into, to which the district is a party, shall remain in force and effect for the period provided in the contracts. The department shall be substituted for the district as party to the contracts. The department shall not entertain petitions for the discontinuance of any district more often than once in five years. [L 1947, c 191, §9; RL 1955, §28-18; am L Sp 1959 2d, c 1, §§9, 22; am L 1961, c 132, §2; am L 1967, c 145, §§1, 2; HRS §180-15; gen ch 1985]