Session of 1998
                   
HOUSE BILL No. 2642
         
By Committee on Taxation
         
1-16
            9             AN ACT enacting the property tax relief act of 1998; amending K.S.A.
10             79-201x and K.S.A. 1997 Supp. 72-6431 and repealing the existing
11             sections.
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13       Be it enacted by the Legislature of the State of Kansas:
14           Section 1. K.S.A. 1997 Supp. 72-6431 is hereby amended to read as
15       follows: 72-6431. (a) The board of each district shall levy an ad valorem
16       tax upon the taxable tangible property of the district in the school years
17       specified in subsection (b) for the purpose of:
18           (1) Financing that portion of the district's general fund budget which
19       is not financed from any other source provided by law;
20           (2) paying a portion of the costs of operating and maintaining public
21       schools in partial fulfillment of the constitutional obligation of the legis-
22       lature to finance the educational interests of the state; and
23           (3) with respect to any redevelopment district established prior to
24       July 1, 1997, pursuant to K.S.A. 12-1771, and amendments thereto, pay-
25       ing a portion of the principal and interest on bonds issued by cities under
26       authority of K.S.A. 12-1774, and amendments thereto, for the financing
27       of redevelopment projects upon property located within the district.
28           (b) The tax required under subsection (a) shall be levied at a rate of
29       27 23 mills in the 1997-98 school year and in the 1998-99 school year and
30       in the 1999-2000 school year.
31           (c) The proceeds from the tax levied by a district under authority of
32       this section, except the proceeds of such tax levied for the purpose of
33       paying a portion of the principal and interest on bonds issued by cities
34       under authority of K.S.A. 12-1774, and amendments thereto, for the fi-
35       nancing of redevelopment projects upon property located within the dis-
36       trict, shall be deposited in the general fund of the district.
37           (d) On June 1 of each year, the amount, if any, by which a district's
38       local effort exceeds the amount of the district's state financial aid, as
39       determined by the state board, shall be remitted to the state treasurer.
40       Upon receipt of any such remittance, the state treasurer shall deposit the
41       same in the state treasury to the credit of the state school district finance
42       fund.
43           (e) No district shall proceed under K.S.A. 79-1964, 79-1964a or 79-

HB 2642

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  1       1964b, and amendments to such sections.
  2           Sec. 2. K.S.A. 79-201x is hereby amended to read as follows: 79-201x.
  3       For taxable years 1997 and 1998 and 1999, the following described prop-
  4       erty, to the extent herein specified, shall be and is hereby exempt from
  5       the property tax levied pursuant to the provisions of K.S.A. 1997 Supp.
  6       72-6431, and amendments thereto: Property used for residential purposes
  7       to the extent of $20,000 of its appraised valuation.
  8           Sec. 3. K.S.A. 79-201x and K.S.A. 1997 Supp. 72-6431 are hereby
  9       repealed.
10           Sec. 4. This act shall take effect and be in force from and after its
11       publication in the statute book.
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