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A PROPOSITION to amend section 13 of article 11 of the constitution
  of the state of Kansas, relating to exemption of property used for oil
  and gas development, exploration and production purposes.
Be it resolved by the Legislature of the State of Kansas, two-thirds of the
members elected (or appointed) and qualified to the House of Repre-
sentatives and two-thirds of the members elected (or appointed) and
qualified to the Senate concurring therein:
  Section 1.  The following proposition to amend the constitution of the
state of Kansas shall be submitted to the qualified electors of the state
for their approval or rejection: Section 13 of article 11 of the constitution
of the state of Kansas is hereby amended to read as follows:
  ``(section) 13.  Exemption of property for economic development
purposes; procedure; limitations. (a) The board of county com-
missioners of any county or the governing body of any city may, by
resolution or ordinance, as the case requires, exempt from all ad
valorem taxation all or any portion of the appraised valuation of: (1)
All buildings, together with the land upon which such buildings are
located, and all tangible personal property associated therewith
used exclusively by a business for the purpose of: (A) Manufacturing
articles of commerce; (B) conducting research and development; or
(C) storing goods or commodities which are sold or traded in in-
terstate commerce, which commences operations after the date on
which this amendment is approved by the electors of this state; or
  (2) all buildings, or added improvements to buildings constructed
after the date on which this amendment is approved by the electors
of this state, together with the land upon which such buildings or
added improvements are located, and all tangible personal property
purchased after such date and associated therewith, used exclusively
for the purpose of: (A) Manufacturing articles of commerce; (B)
conducting research and development; or (C) storing goods or com-
modities which are sold or traded in interstate commerce, which is
necessary to facilitate the expansion of any such existing business
if, as a result of such expansion, new employment is created; or (3)
all property actually and regularly used in conjunction with the
development, exploration and production of oil and gas.
  (b)  Any ad valorem tax exemption granted pursuant to subsec-
tion (a) shall be in effect for not more than 10 calendar years after
the calendar year in which the business commences its operations
or the calendar year in which expansion of an existing business is
completed, as the case requires.
  (c)  The legislature may limit or prohibit the application of this
section by enactment uniformly applicable to all cities or counties.
  (d)  The provisions of this section shall not be construed to affect
exemptions of property from ad valorem taxation granted by this
constitution or by enactment of the legislature, or to affect the au-
thority of the legislature to enact additional exemptions of property
from ad valorem taxation found to have a public purpose and pro-
mote the general welfare.
  Sec. 2.  The following statement shall be printed on the ballot with
the amendment as a whole:
  ``Explanatory statement. This amendment would specifically au-
thorize the exemption from property taxation of certain property
used for oil and gas development, exploration and production pur-
poses.
  ``A vote for this proposition would specifically allow the governing
body of a city or county to exempt from property taxation property
used in the development, exploration and production of oil and gas.
  ``A vote against this proposition would continue to allow the ex-
emption from property taxation of property used exclusively for
certain economic development purposes by the governing body of
a city or county.''
  Sec. 3.  This resolution, if approved by two-thirds of the members
elected (or appointed) and qualified to the House of Representatives and
two-thirds of the members elected (or appointed) and qualified to the
Senate, shall be entered on the journals, together with the yeas and nays.
The secretary of state shall cause this resolution to be published as pro-
vided by law and shall cause the proposed amendment to be submitted
to the electors of the state at the general election to be held on November
3, 1998, unless a special election is called at a sooner date by concurrent
resolution of the legislature, in which case it shall be submitted to the
electors of the state at the special election.