[As Amended by House Committee of the Whole]
         

         
As Amended by House Commettee
         

          Session of 1998
                   
Substitute for House Bill No. 2793
         
By Select Committee on Higher Education
                   
3-6
          13             AN ACT concerning postsecondary education; establishing the Kansas
14             council on higher education; educational coordinating commission;
15             joint committee on postsecondary education; prescribing powers, du-
16             ties, functions and guidelines; providing funding; establishing Wash-
17             burn university as a state educational institution under the control and
18             supervision of the council; making and concerning appropriations for
19             the fiscal years ending June 30, 1999, June 30, 2000, June 30, 2001,
20             and June 30, 2002; amending K.S.A. 12-16,102, 71-204, 71-501, 71-
21             601, 71-604, 71-605, 71-609a, 71-610, 71-613, 71-801, 71-1508, 71-
22             1702, 79-5021, 79-5022, 79-5024, 79-5025, 79-5026, 79-5028 and 79-
23             5032 and K.S.A. 1997 Supp. 19-101a, 71-201, 71-301, 71-401, 71-602,
24             71-607, 71-609, 71-611, 71-613a and 74-4925 and repealing the exist-
25             ing sections; also repealing K.S.A. 13-13a25, 13-13a26, 13-13a27, 13-
26             13a28, 13-13a29, 13-13a30, 13-13a31, 13-13a32, 13-13a33, 13-13a34,
27             46-1208a, 46-1208b, 71-304, 71-305, 71-306, 71-403 and 72-4424 and
28             K.S.A. 1997 Supp. 71-619.
29            
30       Be it enacted by the Legislature of the State of Kansas:
31           New Section 1. (a) This act shall be known and may be cited as the
32       Kansas higher education governance and coordination act.
33           (b) The purpose of this act is to provide for the general improvement
34       of postsecondary education in the state of Kansas and to establish the
35       Kansas council on higher education to provide leadership, governance
36       and coordination for postsecondary educational institutions so that en-
37       hanced accessibility, quality, excellence, accountability, research and serv-
38       ice may be achieved in the postsecondary educational system for Kansans
39       through the efficient and effective utilization and concentration of all
40       available resources and the elimination of costly and undesirable dupli-
41       cation in program and course offerings, faculties and physical facilities at
42       postsecondary educational institutions.
43           New Sec. 2. As used in the Kansas higher education governance and

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  1       coordination act,
  2           (a) ``State council'' means the Kansas council on higher education
  3       provided for in the constitution of this state and established by section 3,
  4       and amendments thereto.
  5           (b) ``State board of regents'' means the state board of regents estab-
  6       lished by K.S.A. 74-3201, and amendments thereto.
  7           (c) ``State educational institution'' means any state educational insti-
  8       tution, as defined by K.S.A. 76-711, and amendments thereto, and Wash-
  9       burn university.
10           (d) ``Community college'' means any community college established
11       under the laws of this state.
12           (e) ``Technical college'' means any technical college established under
13       K.S.A. 72-4468, and amendments thereto.
14           (f) ``Vocational school'' means any area vocational school or area vo-
15       cational-technical school established under the laws of this state and ap-
16       proved and officially designated as such by the state board of education.
17           (g) ``Postsecondary educational institution'' means any state educa-
18       tional institution, community college, technical college, and any voca-
19       tional school and includes any entity resulting from the consolidation or
20       affiliation of any two or more of such postsecondary educational institu-
21       tions.
22           New Sec. 3. (a) There is hereby established the Kansas council on
23       higher education. The state council shall be composed of 11 members
24       appointed by the governor, subject to confirmation by the senate as pro-
25       vided in K.S.A. 75-4315b, and amendments thereto. Except as provided
26       by K.S.A. 1997 Supp. 46-2601, and amendments thereto, no person ap-
27       pointed to the state council shall exercise any power, duty or function as
28       a member of the state council until confirmed by the senate. Each mem-
29       ber shall hold office for a term of six years, except as provided for the
30       first members appointed to the state council, and until a successor is
31       appointed and confirmed. Terms of members shall expire on January 15.
32       No person shall serve more than two terms of office as a member of the
33       state council, except that this limitation shall not include the first term of
34       office of any person appointed and qualified as a member of the initial
35       state council in accordance with subsection (b)(2).
36           (b) (1) One member of the state council shall be a resident of each
37       congressional district with the remaining members appointed from
38       among all residents of Kansas, except that no two members shall reside
39       in the same county at the time of their appointment unless each county
40       in the congressional district has a member residing in the county at the
41       time of their appointment. Subsequent redistricting of congressional dis-
42       tricts shall not disqualify any member of the state council from service
43       for the remainder of the member's term of office. At no time shall more

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  1       than six members of the state council be members of the same political
  2       party.
  3           (2) In addition to and subject to the other provisions of this section,
  4       the first appointed members of the state council shall be appointed by
  5       the governor on or before February 1, 1999, in accordance with the fol-
  6       lowing:
  7           (A) From among a list of nominations of not less that 10 nominees
  8       which shall be submitted to the governor by the state board of regents
  9       on or before January 1, 1999, the governor shall appoint two members
10       who shall have a term of office of six years and three members who shall
11       have a term of office of three years;
12           (B) from among a list of nominations of not less that four nominees
13       which shall be submitted to the governor by the state board of education
14       on or before January 1, 1999, the governor shall appoint one member
15       who shall have a term of office of six years and one member who shall
16       have a term of office of three years;
17           (C) from among a list of nominations of not less that four nominees
18       which shall be submitted to the governor by the Kansas association of
19       community college trustees on or before January 1, 1999, the governor
20       shall appoint one member who shall have a term of office of six years and
21       one member who shall have a term of office of three years;
22           (D) from among a list of nominations of not less that two nominees
23       which shall be submitted to the governor by the Kansas association of
24       area vo-tech schools on or before January 1, 1999, the governor shall
25       appoint one member who shall have a term of office of six years;
26           (E) from among a list of nominations of not less that two nominees
27       which shall be submitted to the governor by the board of regents of
28       Washburn university on or before January 1, 1999, the governor shall
29       appoint one member who shall have a term of office of three years; and
30           (F) no person who is an elected official or an officer or employee of
31       any postsecondary educational institution shall be nominated for appoint-
32       ment under this subsection (b)(2).
33           (c) The members of the Kansas council on higher education shall
34       meet and organize annually by electing one member as chairperson, ex-
35       cept that the governor shall designate the first chairperson of the state
36       council from among the first members appointed to the state council.
37           (d) Members of the Kansas council on higher education attending
38       meetings of the state council, or attending a subcommittee meeting
39       thereof authorized by the state council, shall be paid compensation, sub-
40       sistence allowances, mileage and other expenses as provided in K.S.A. 75-
41       3212, and amendments thereto, for members of the legislature.
42           New Sec. 4. The state council shall meet at least quarterly each year
43       in Topeka on dates fixed by the state council. Special meetings may be

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  1       held upon the call of the chairperson or upon the petition to the chief
  2       executive officer of the state council by six members of the council, the
  3       date and place of all special meetings to be designated in the call. Six
  4       members of the state council shall constitute a quorum for the transaction
  5       of business but less than six members may adjourn any regular or special
  6       meeting to a definite time and place.
  7           New Sec. 5. (a) In the exercise of its leadership role, the Kansas
  8       council on higher education shall be an advocate for the provision of
  9       adequate resources and sufficient authority for all postsecondary educa-
10       tional institutions so that each postsecondary educational institution can
11       realize, within its prescribed role and scope, its full potential to the benefit
12       of the students who attend such postsecondary educational institution and
13       to the benefit of all Kansans in terms of receiving the benefits of a highly
14       educated and vocationally trained populace.
15           (b) In addition to other duties and functions prescribed by statute,
16       the state council shall advise and consult with the joint committee on
17       postsecondary education and shall prepare and present an annual stra-
18       tegic planning report to the joint committee on postsecondary education.
19           New Sec. 6. (a) The Kansas council on higher education shall appoint
20       a chief executive officer who shall act as the executive officer for the state
21       council. The chief executive officer of the state council shall be in the
22       unclassified service under the Kansas civil service act, shall serve at the
23       pleasure of the state council and shall receive a salary fixed by the state
24       council, subject to approval by the governor. The chief executive officer
25       shall attend all meetings of the state council, keep a full and correct record
26       of its proceedings as approved by the state council and shall perform such
27       other duties and functions as the state council may prescribe.
28           (b) There are hereby established the division of governance and the
29       division of coordination under the supervision of the state council. Each
30       such division shall perform duties and functions regarding governance
31       and coordination of postsecondary educational institutions, respectively,
32       in accordance with the provisions of this act. As authorized by the state
33       council, the chief executive officer shall appoint such other officers and
34       employees as may be required for such divisions and to assist in perform-
35       ing such duties and functions.
36           New Sec. 7. (a) On and after July 1, 2000, the Kansas council on
37       higher education shall control and supervise the operation and manage-
38       ment of all state educational institutions in accordance with the provisions
39       of this act. The budget estimate for each state educational institution for
40       each fiscal year commencing after June 30, 2000, shall be subject to re-
41       view, modification and approval by the Kansas council on higher educa-
42       tion prior to being submitted to the division of the budget for review by
43       the governor and the legislature as provided by statute.

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  1           (b) On and after July 1, 2000, the state council shall have authority
  2       to appoint the chief executive officers, establish personnel policies, set
  3       fees and tuition and approve the missions for each state educational in-
  4       stitution.
  5           New Sec. 8. (a) On and after July 1, 2000, the Kansas council on
  6       higher education shall coordinate all postsecondary education activities of
  7       all postsecondary educational institutions, in accordance with the provi-
  8       sions of this act. On and after July 1, 2000, all postsecondary education
  9       activities of state educational institutions, community colleges, technical
10       colleges, and vocational schools shall be subject to the policies and ap-
11       proval of the Kansas council on higher education that coordinate such
12       activities in accordance with the provisions of this act. On and after July
13       1, 2000, the board of trustees or other governing board of each com-
14       munity college, technical college or vocational school, or of any entity
15       resulting from the consolidation of any two or more community colleges,
16       technical colleges or vocational schools, shall continue to govern each
17       such community college, technical college, vocational school or such other
18       entity as provided by statute.
19           (b) For the purposes of coordinating all postsecondary education ac-
20       tivities of all postsecondary educational institutions on and after July 1,
21       2000, the state council is hereby authorized to and shall:
22           (1) Develop comprehensive long range plans;
23           (2) determine institutional roles and review institutional missions;
24           (3) require the development of institutional master plans;
25           (4) develop measurable performance indicators;
26           (5) review and approve course offerings, course locations, programs
27       and degrees;
28           (6) conduct ongoing program review;
29           (7) encourage and oversee cooperative postsecondary programs
30       among postsecondary educational institutions;
31           (8) administer statewide student financial assistance programs;
32           (9) develop and implement long range plans for the utilization of
33       distance learning technologies;
34           (10) collect and maintain a uniform postsecondary education data-
35       base; and
36           (11) recommend statewide postsecondary funding levels for all pos-
37       tsecondary educational institutions to the governor and the legislature,
38       which shall include the budget estimates for the state educational insti-
39       tutions approved by the state council under subsection (a) of section 7,
40       and amendments thereto.
41           New Sec. 9. The state council shall create advisory committees and
42       appoint the members thereof when the state council determines that such
43       advisory committees are needed to assist the state council in the perform-

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  1       ance of its duties and functions. Each such advisory committee shall ad-
  2       vise and consult with and advise the state council with reference to the
  3       matters referred to the advisory committee. Members of any advisory
  4       committee created under authority of this section attending meetings of
  5       such committee or attending a subcommittee meeting thereof authorized
  6       by such committee shall be paid subsistence allowances, mileage and
  7       other expenses as provided in K.S.A. 75-3223, and amendments thereto,
  8       but shall receive no compensation for services as such members. The
  9       council is authorized to make expenditures to provide space for holding
10       meetings of advisory committees created under this section, including
11       expenditures for official hospitality.
12           New Sec. 10. There is hereby established the educational coordinat-
13       ing commission which shall serve as a liaison committee between the
14       Kansas council on higher education and the state board of education to
15       ensure a seamless system of education. The educational coordinating
16       commission shall be composed of three members of the state board of
17       education selected by that board and three members of the Kansas coun-
18       cil on higher education selected by the state council. The educational
19       coordinating commission members shall serve two year terms and shall
20       annually elect a chair of the commission. The educational coordinating
21       commission shall establish its own rules and policies of operation and
22       procedure.
23           New Sec. 11. (a) There is hereby created the joint committee on
24       postsecondary education which shall be composed of five members of the
25       senate and nine members of the house of representatives and shall be
26       appointed in accordance with the following:
27           (1) The president of the senate shall appoint three of the senate
28       members and the senate minority leader shall appoint two of the senate
29       members;
30           (2) the speaker of the house of representatives shall appoint five of
31       the representative members and the minority leader of the house of rep-
32       resentatives shall appoint four of the representative members; and
33           (3) any vacancy in the membership of the joint committee shall be
34       filled by appointment in the manner prescribed for the original appoint-
35       ment.
36           (b) All members of the joint committee on postsecondary education
37       shall serve for terms of office ending on the first day of the regular session
38       of the legislature in odd-numbered years. The joint committee shall or-
39       ganize annually and elect a chairperson and a vice-chairperson in accord-
40       ance with this subsection. During calendar year 1999 and each odd-num-
41       bered year thereafter, the chairperson shall be one of the representative
42       members of the joint committee and the vice-chairperson shall be one of
43       the senate members of the joint committee. During calendar year 2000

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  1       and each even-numbered year thereafter, the chairperson shall be one of
  2       the senate members of the joint committee and the vice-chairperson shall
  3       be one of the representative members of the joint committee. The vice-
  4       chairperson shall exercise all of the powers of the chairperson in the
  5       absence of the chairperson. If a vacancy occurs in the office of chairperson
  6       or vice-chairperson, a member of the joint committee, who is a member
  7       of the same house as the member who vacated the office, shall be elected
  8       by the members of the joint committee to fill the vacancy.
  9           (c) A quorum of the joint committee on postsecondary education
10       shall be eight members. All actions of the joint committee shall be taken
11       by a majority of all of the members of the joint committee. The joint
12       committee on postsecondary education may meet at any time and at any
13       place within the state on the call of the chairperson.
14           (d) The joint committee on postsecondary education is hereby au-
15       thorized to exercise the powers of compulsory process in connection with
16       any authorized subject of inquiry, study or investigation in accordance
17       with the provisions of K.S.A. 46-1001 through 46-1017, and amendments
18       thereto, and specifically including the authority to exercise such powers
19       of compulsory process with respect to enforcing any request for infor-
20       mation of the Kansas council of higher education, the educational coor-
21       dinating commission, the department of education and any postsecondary
22       educational institution. The joint committee on postsecondary edu-
23       cation shall not exercise such powers of compulsory process in ab-
24       rogation of academic freedom.
25           (e) The joint committee on postsecondary education shall assist in
26       the development and monitoring of performance measures for postse-
27       condary educational institutions to ensure the fiscal and academic integ-
28       rity of the postsecondary education system. The joint committee shall
29       receive and review reports from the educational coordinating commis-
30       sion, and any advisory committees created by the Kansas council on
31       higher education and an annual strategic planning report from the state
32       council. The joint committee shall review the plans for public and private
33       postsecondary education in Kansas, including vocational and technical
34       education. The joint committee shall annually make a report and rec-
35       ommendations to the legislature and the governor and may cause the
36       same to be published separately from other documents which are re-
37       quired by law to be submitted to the legislative coordinating council. The
38       reports and recommendations of the joint committee shall include a re-
39       view of the schedule for implementation of educational goals established
40       by the Kansas council on higher education. The joint committee shall
41       prepare a report to the legislature at the beginning of the regular session
42       in 2000 on the feasibility of a virtual campus to provide educational access
43       to programs offered by postsecondary educational institutions via tech-

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  1       nology.
  2           (f) Upon request of the joint committee on postsecondary education,
  3       the state board of regents, Kansas council on higher education and the
  4       state board of education shall provide consultants to provide assistance to
  5       the joint committee from the faculties and staffs of institutions and agen-
  6       cies under the respective control and jurisdiction thereof.
  7           (g) The joint committee on postsecondary education may introduce
  8       such legislation as it deems necessary in performing its functions.
  9           (h) The provisions of the acts contained in article 12 of chapter 46 of
10       the Kansas Statutes Annotated, and amendments thereto, applicable to
11       special committees shall apply to the joint committee on postsecondary
12       education to the extent that the same do not conflict with the specific
13       provisions of this act applicable to the joint committee.
14           New Sec. 12. On the effective date of this act, the following state
15       agency and office shall be and hereby are abolished:
16           (a) The state board of regents required to be provided for by section
17       2 of article 6 of the constitution of this state prior to adoption by the
18       electors of this state of the proposition to revise article 6 as provided in
19       1998 House Concurrent Resolution No. 5049; and
20           (b) the office of executive officer of the state board of regents pro-
21       vided to be appointed by K.S.A. 74-3203, and amendments thereto.
22           New Sec. 13. For the purpose of concluding operations, the state
23       board of regents and the office of executive officer of the state board of
24       regents abolished by this act shall continue in existence until June 30,
25       2000. During such period of existence and notwithstanding the abolition
26       of the state board of regents and the office of executive officer of the
27       state board of regents, such state agency and officer shall exercise all of
28       the powers, duties and functions that were vested therein prior to aboli-
29       tion by this act. Upon the expiration of such period of existence, the state
30       board of regents and the chief executive officer thereof shall cease all
31       operations and shall have no further authority to act.
32           New Sec. 14. (a) On July 1, 2000, all of the powers, duties, functions,
33       records and property of the state agency and office abolished by this act,
34       including the power to administer, expend and distribute funds now or
35       hereafter made available in accordance with appropriation acts, shall be
36       and hereby are transferred to and conferred and imposed upon the state
37       council. The state council shall be the successor in every way to the pow-
38       ers, duties and functions of the abolished state agency and office, in which
39       the same were vested prior to July 1, 2000. The state council shall be a
40       continuation of the abolished state agency and office, and every act per-
41       formed under the authority of the state council shall be deemed to have
42       the same force and effect as if performed by the respective agency or
43       office in which the authority to perform such act was vested prior to July

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  1       1, 2000.
  2           (b) On and after July 1, 2000, whenever the state agency or office
  3       abolished by this act are referred to or designated by a statute, contract
  4       or other document, such reference or designation shall be deemed to
  5       apply to the state council.
  6           (c) All rules and regulations of the state board of regents in existence
  7       on June 30, 2000, shall continue to be effective and shall be deemed to
  8       be duly adopted rules and regulations of the state council until revised,
  9       amended, revoked or nullified pursuant to law.
10           (d) All policies, orders and directives of the state board of regents in
11       existence on June 30, 2000, shall continue to be effective and shall be
12       deemed to be orders and directives of the state council, until revised,
13       amended or nullified pursuant to law.
14           (e) On July 1, 2000, the state council shall succeed to whatever right,
15       title or interest the state board of regents has acquired in any real property
16       in this state, and the state council shall hold the same for and in the name
17       of the state of Kansas. On and after July 1, 2000, whenever any statute,
18       contract, deed or other document concerns the power or authority of the
19       state board of regents to acquire, hold or dispose of real property or any
20       interest therein, the state council shall succeed to such power or authority.
21           (f) The state council shall be a continuation of the state board of
22       regents.
23           New Sec. 15. (a) The state council shall provide that all officers and
24       employees of the state board of regents or the state board of education
25       who are engaged in the exercise and performance of the powers, duties,
26       and functions transferred by this act are transferred to the state council
27       if the state council deems that the transfer of such officers and employees
28       is necessary to the exercise and performance of such powers, duties and
29       functions.
30           (b) Officers and employees of the state board of regents or the state
31       board of education who are transferred to the state council shall retain
32       all retirement benefits and leave rights which had accrued or vested prior
33       to the date of transfer. The service of each such officer and employee so
34       transferred shall be deemed to have been continuous. All transfers, layoffs
35       and abolition of classified service positions under the Kansas civil service
36       act which may result from transfers of powers, duties and functions shall
37       be made in accordance with the civil service laws and any rules and reg-
38       ulations adopted thereunder. Nothing in this act shall affect the classified
39       status of any transferred person employed by the state board of regents
40       or the state board of education prior to the date of transfer. The state
41       council shall be responsible for administering any layoff that is a part of
42       the transfer. Notwithstanding the date of transfer of personnel from the
43       state board of regents or the state board of education to the state council

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  1       pursuant to the provisions of this act, the date of such transfer shall be
  2       effective at the start of a payroll period.
  3           New Sec. 16. (a) When any conflict arises as to the disposition of any
  4       power, function or duty or the unexpended balance of any appropriation
  5       as a result of any abolition, transfer or change effected by or under au-
  6       thority of this act, such conflict shall be resolved by the governor, whose
  7       decision shall be final.
  8           (b) On July 1, 2000, the state council shall succeed to all property
  9       and records which were used for or pertain to the performance of the
10       powers, duties and functions transferred to the state council. Any conflict
11       as to the proper disposition of property or records arising under this
12       section, and resulting from any abolition or transfer of powers, duties and
13       functions effected by or under authority of this act, shall be determined
14       by the governor, whose decision shall be final.
15           New Sec. 17. (a) On and after July 1, 2000, the state council shall
16       have the legal custody of all records, memoranda, writings, entries, prints,
17       representations or combinations thereof of any act, transaction, occur-
18       rence or event of the state board of regents and the executive officer
19       thereof.
20           (b) No suit, action or other proceeding, judicial or administrative,
21       lawfully commenced, or which could have been commenced, by or against
22       the state board of regents or the executive officer thereof in the official
23       capacity of such board or officer or in relation to the discharge of official
24       duties of such board or officer, shall abate by reason of the governmental
25       reorganization effected under the provisions of this act. The court may
26       allow any such suit, action or other proceeding to be maintained by or
27       against the state council.
28           (c) No criminal action commenced or which could have been com-
29       menced by the state shall abate by reason of the governmental reorgan-
30       ization effected under the provisions of this act.
31           New Sec. 18. (a) On July 1, 2000, the balance of all funds appropri-
32       ated and reappropriated to the state board of regents is hereby transferred
33       to the state council and shall be used only for the purpose for which the
34       appropriation was originally made.
35           (b) On July 1, 2000, the liability for all accrued compensation or sal-
36       aries of officers and employees who, immediately prior to such date, were
37       engaged in the performance of powers, duties or functions of the state
38       board of regents shall be assumed and paid by the state council.
39           New Sec. 19. (a) On July 1, 2000, the community colleges established
40       and existing under the laws of this state shall be and hereby are trans-
41       ferred from the supervision of the state board of education to coordina-
42       tion by the state council. The community colleges shall continue to be
43       operated, managed and controlled by locally elected boards of trustees.

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  1       The state council shall exercise such coordination of the operation, man-
  2       agement and control of community colleges as may be prescribed by law.
  3           (b) On July 1, 2000, all of the powers, duties, functions, records and
  4       property of the state board of education relating to community college
  5       operations shall be and are hereby transferred to and conferred and im-
  6       posed upon the state council.
  7           (c) On and after July 1, 2000, the state council shall be the successor
  8       in every way to the powers, duties and functions of the state board of
  9       education relating to community college operations in which the same
10       were vested prior to the effective date of this act. Every act performed
11       by the state council shall be deemed to have the same force and effect
12       as if performed by the state board of education in which such functions
13       were vested prior to July 1, 2000.
14           (d) On and after July 1, 2000, whenever the state board of education,
15       or words of like effect, is referred to or designated by a statute, contract
16       or other document relating to community college operations, such ref-
17       erence or designation shall be deemed to apply to the state council.
18           (e) The state plan for community colleges, prepared and adopted by
19       the state board of education pursuant to the provisions of the Kansas
20       community college act, which is in existence on July 1, 2000, shall con-
21       tinue to be effective and shall be deemed to be the duly adopted state
22       plan of the state council until revised, amended, revoked or nullified
23       pursuant to law.
24           (f) All rules and regulations, and all orders and directives of the state
25       board of education relating to community college operations which are
26       in existence on July 1, 2000, shall continue to be effective and shall be
27       deemed to be the duly adopted rules and regulations or orders and di-
28       rectives of the state council until revised, amended, revoked or nullified
29       pursuant to law.
30           (g) The unexpended balance of any appropriation for and any funds
31       available to the state board of education for purposes relating to com-
32       munity college operations shall be transferred to the state council on July
33       1, 2000.
34           (h) On and after July 1, 2000, all books, records and papers of the
35       board of trustees of each community college shall be open and available,
36       at all reasonable times, to the state council and its designated officers,
37       employees and agents.
38           (i) Except as otherwise specifically provided in this act, the transfer
39       of supervision of the community colleges from the state board of edu-
40       cation to coordination by the state council shall not be construed in any
41       manner so as to change or affect the operation, management and control
42       of any community college or to change or affect any existing power, duty
43       or function of a board of trustees with respect to such operation, man-

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  1       agement and control.
  2           New Sec. 20. (a) On July 1, 2000, the technical colleges, area voca-
  3       tional schools and area vocational-technical schools established and exist-
  4       ing under the laws of this state shall be and hereby are transferred from
  5       the supervision of the state board of education to coordination by the
  6       state council. The technical colleges, area vocational schools and area
  7       vocational-technical schools shall continue to be operated, managed and
  8       controlled by governing boards as provided for in article 44 of chapter 72
  9       of Kansas Statutes Annotated. The state council shall exercise such co-
10       ordination of the operation, management and control of technical col-
11       leges, area vocational schools and area vocational-technical schools as may
12       be prescribed by law.
13           (b) On July 1, 2000, all of the powers, duties, functions, records and
14       property of the state board of education relating to operations of technical
15       colleges, area vocational schools and area vocational-technical schools
16       shall be and are hereby transferred to and conferred and imposed upon
17       the state council.
18           (c) On and after July 1, 2000, the state council shall be the successor
19       in every way to the powers, duties and functions of the state board of
20       education relating to operations of technical colleges, area vocational
21       schools and area vocational-technical schools in which the same were
22       vested prior to July 1, 2000. Every act performed by the state council
23       shall be deemed to have the same force and effect as if performed by the
24       state board of education in which such functions were vested prior to July
25       1, 2000.
26           (d) On and after July 1, 2000, whenever the state board of education,
27       or words of like effect, is referred to or designated by a statute, contract
28       or other document relating to operations of technical colleges, area vo-
29       cational schools or area vocational-technical schools, such reference or
30       designation shall be deemed to apply to the state council.
31           (e) The state plan for vocational education, prepared and adopted by
32       the state board of education pursuant to the provisions of the K.S.A.
33       72-4413, and amendments thereto, which is in existence on July 1, 2000,
34       shall continue to be effective and shall be deemed to be the duly adopted
35       state plan of the state council until revised, amended, revoked or nullified
36       pursuant to law.
37           (f) All rules and regulations, and all orders and directives of the state
38       board of education relating to operations of technical colleges, area vo-
39       cational schools and area vocational-technical schools which are in exis-
40       tence on July 1, 2000, shall continue to be effective and shall be deemed
41       to be the duly adopted rules and regulations or orders and directives of
42       the state council until revised, amended, revoked or nullified pursuant to
43       law.

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  1           (g) The unexpended balance of any appropriation for and any funds
  2       available to the state board of education for purposes relating to opera-
  3       tions of technical colleges, area vocational schools and area vocational-
  4       technical schools shall be transferred to the state council on July 1, 2000.
  5           (h) On and after July 1, 2000, all books, records and papers of the
  6       governing boards of technical colleges, area vocational schools and area
  7       vocational-technical schools shall be open and available, at all reasonable
  8       times, to the state council and its designated officers, employees and
  9       agents.
10           (i) Except as otherwise specifically provided in this act, the transfer
11       of supervision of the technical colleges, area vocational schools and area
12       vocational-technical schools from the state board of education to coor-
13       dination by the state council shall not be construed in any manner so as
14       to change or affect the operation, management and control of any tech-
15       nical college, area vocational school or area vocational-technical school or
16       to change or affect any existing power, duty or function of the governing
17       board of any technical college, area vocational school or area vocational-
18       technical school with respect to such operation, management and control.
19           New Sec. 21. During the period of transition from general supervi-
20       sion by the state board of education of the community colleges, technical
21       colleges, area vocational schools and area vocational-technical schools to
22       coordination thereof by the state council and from control and supervision
23       by the state board of regents of the state educational institutions to control
24       and supervision thereof by the state council, the state board of education
25       and the state board of regents shall provide such assistance as the state
26       council may request in order to enable the state council to assume in an
27       orderly manner the exercise of powers and the performance of duties and
28       functions transferred under authority of this act. During such period of
29       transition, the state council may exercise such powers and perform such
30       duties and functions relating to the control or supervision of postsecon-
31       dary educational institutions as may be authorized by interagency agree-
32       ments entered into with the state board of regents or the state board of
33       education.
34           Sec. 22. On July 1, 1999, K.S.A. 1997 Supp. 71-201 shall be and is
35       hereby amended to read as follows: 71-201. (a) The board of trustees, in
36       accordance with the provisions of law and the rules and regulations of
37       the state board of education, shall have custody of and be responsible for
38       the property of the community college and shall be responsible for the
39       operation, management and control of the college. The board of trustees
40       shall hold at least one regular meeting each month at a time prescribed
41       by the board. The board shall make an annual report in the manner
42       prescribed by the state board of education. Members of the board of
43       trustees shall be paid subsistence allowances, mileage and other actual

Sub. HB 2793--Am. by HCW

14

  1       and necessary expenses incurred in the performance of their official du-
  2       ties.
  3           (b) For effectuation of the purposes of this act, the board of trustees
  4       in addition to such other powers expressly granted to it by law and subject
  5       to the rules and regulations of the state board of education is hereby
  6       granted the following powers:
  7           (1) To select its own chairperson and such other officers as it may
  8       deem desirable, from among its own membership. The secretary may be
  9       chief administrative officer of the college.
10           (2) To sue and be sued.
11           (3) To determine the educational program of the college subject to
12       prior approval thereof as provided in this act and to grant certificates of
13       completion of courses or curriculum.
14           (4) To appoint and fix the compensation and term of office of a pres-
15       ident or chief administrative officer of the college.
16           (5) To appoint upon nomination of the president or the chief admin-
17       istrative officer members of the administrative and teaching staffs, to fix
18       and determine within state adopted standards their specifications, define
19       their duties, and to fix their compensation and terms of employment. No
20       community college teacher shall be required to meet certification
21       requirements greater than those required in the state universities under
22       the control and supervision of the state board of regents.
23           (6) Upon recommendation of the chief administrative officer, to ap-
24       point or employ such other officers of the college, agents and employees
25       as may be required to carry out the provisions of law and to fix and
26       determine within state adopted standards their qualifications, duties,
27       compensation, terms of office or employment and all other items and
28       conditions of employment.
29           (7) To enter into contracts.
30           (8) To accept from any government or governmental agency, or from
31       any other public or private body, or from any other source, grants or
32       contributions of money or property which the board may use for or in
33       aid of any of its purposes.
34           (9) To acquire by gift, purchase, lease-purchase, condemnation or
35       otherwise, and to own, lease, use and operate property, whether real,
36       personal, or mixed, or any interest therein, which is necessary or desirable
37       for community college purposes. Any lease-purchase agreement entered
38       into under authority of this subsection shall be subject to the conditions
39       set forth in K.S.A. 10-1116c, and amendments thereto. The term of any
40       lease entered into under authority of this subsection may be for not to
41       exceed 10 years. Such lease may provide for annual or other payment of
42       rent or rental fees and may obligate the community college to payment
43       of maintenance or other expenses. Any lease or lease-purchase agreement

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15

  1       entered into under authority of this subsection shall be subject to change
  2       or termination at any time by the legislature. Any assignment of rights in
  3       any lease or lease-purchase made under this subsection shall contain a
  4       citation of this section and a recitation that the lease or lease-purchase
  5       agreement and assignment thereof are subject to change or termination
  6       by the legislature. To the extent that the provisions of the cash-basis and
  7       budget laws conflict with this subsection in such a manner as to prevent
  8       the intention of this subsection from being made effective, the provisions
  9       of this subsection shall control. This provision is subject to the provisions
10       of subsection (d).
11           (10) To enter into lease agreements as lessor of any property, whether
12       real, personal, or mixed, which is owned or controlled by the community
13       college. Any such agreement may specify the purposes for which the
14       property may be used, require that the property be maintained and op-
15       erated by the lessee, and may contain such restrictions or limitations on
16       the use of the property, be entered into for such period of time, and
17       include such other terms and conditions as the board of trustees deter-
18       mines to be necessary and proper. Every such agreement shall be subject
19       to change or termination at any time by the legislature. Any assignment
20       of rights under any such agreement shall be subject to approval by the
21       board of trustees and shall contain a citation of this section and a recitation
22       that the lease agreement and assignment of rights thereunder are subject
23       to change or termination by the legislature.
24           (11) To determine that any property owned by the college is no
25       longer necessary for college purposes and to dispose of the same in such
26       manner and upon such terms and conditions as provided by law.
27           (12) To exercise the right of eminent domain, pursuant to chapter 26
28       of Kansas Statutes Annotated.
29           (13) To make and promulgate such rules and regulations, not incon-
30       sistent with the provisions of law or with rules and regulations of the state
31       board of education, that are necessary and proper for the administration
32       and operation of the community college, and for the conduct of the busi-
33       ness of the board of trustees.
34           (14) To exercise all other powers not inconsistent with the provisions
35       of law or with the rules and regulations of the state board of education
36       which may be reasonably necessary or incidental to the establishment,
37       maintenance and operation of a community college.
38           (15) To appoint a member to fill any vacancy on the board of trustees
39       for the balance of the unexpired term. When a vacancy occurs, the board
40       shall publish a notice one time in a newspaper having general circulation
41       in the community college district stating that the vacancy has occurred
42       and that it will be filled by appointment by the board not sooner than 15
43       days after such publication.

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  1           (16) To contract with one or more agencies, either public or private,
  2       whether located within or outside the community college district or
  3       whether located within or outside the state of Kansas for the conduct by
  4       any such agencies of academic or vocational education for students of the
  5       community college, and to provide for the payment to any such agencies
  6       for their contracted educational services from any funds or moneys of the
  7       community college, including funds or moneys received from student
  8       tuition, out-district tuition, and fees, funds received from the state of
  9       Kansas or the United States for academic or vocational education, or taxes
10       collected under K.S.A. 71-204 and 72-4424, and amendments thereto.
11       Any contract made under this subsection with an institution of another
12       state shall be subject to the provisions of K.S.A. 71-202, and amendments
13       thereto.
14           (17) To authorize by resolution the establishment of a petty cash fund
15       in an amount not to exceed $1,000, and to designate in such resolution
16       an employee to maintain such petty cash fund. The employee designated
17       in any resolution provided for in this subsection receiving such funds shall
18       keep a record of all receipts and expenditures from the fund, and shall
19       from time to time, and at the end of the fiscal year, prepare a statement
20       for the board showing all receipts, expenditures, and the balance in the
21       petty cash fund. The board of trustees may authorize the employee des-
22       ignated to maintain any petty cash fund to make a claim for replenishment
23       of the fund to its original amount in advance of approval by the board of
24       trustees if, at any time during the period between regular monthly meet-
25       ings of the board of trustees, the balance remaining in the fund is insuf-
26       ficient to make needed expenditures for any purpose for which the petty
27       cash fund is maintained. No petty cash fund may be replenished more
28       than one time during each period between regular monthly meetings of
29       the board of trustees. If a petty cash fund is replenished prior to the end
30       of the fiscal year in accordance with the foregoing authorization, the em-
31       ployee authorized to maintain the petty cash fund shall keep an accurate
32       record of all expenditures made therefrom, and the purpose therefor, and
33       shall submit the record to the board of trustees at the next regular
34       monthly meeting thereof. The petty cash fund shall be replenished by
35       payment from the appropriate funds of the community college to the
36       petty cash fund upon proper claim. The fund shall be kept separate from
37       all other funds and shall be used only for authorized expenditures and
38       itemized receipts shall be taken for each expenditure. No part of such
39       fund may be loaned or advanced against the salary of an employee. All
40       employees entrusted with such funds under this subsection shall be
41       bonded by the community college district.
42           (c) Subject to the provisions of subsection (d), the board of trustees
43       may purchase or otherwise acquire land or land and improvements and

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17

  1       may acquire, construct, reconstruct, repair or remodel improvements
  2       thereon or additions thereto, including furnishings, equipment, and ar-
  3       chitectural and incidental expense related thereto, and for such purposes
  4       the board of trustees is authorized to issue and sell general obligation
  5       bonds, the cumulative total not to exceed the following amounts: Where
  6       the community college district has a taxable tangible valuation of less than
  7       $90,000,000 or is located in a county designated as urban under the pro-
  8       visions of K.S.A. 19-3524, and amendments thereto, not to exceed 5% of
  9       the taxable tangible property of the community college district, and where
10       the community college district has a taxable tangible valuation of more
11       than $90,000,000 not to exceed 3% except as provided above for any
12       community college district located in a county designated as urban under
13       the provisions of K.S.A. 19-3524, and amendments thereto, of the taxable
14       tangible property of the community college district. If any increase in the
15       valuation of a community college district results in an outstanding bonded
16       indebtedness in excess of that provided in this subsection, such increase
17       shall not constitute a violation of this subsection. No such bonds shall be
18       issued until the question of their issuance shall have been submitted to a
19       vote of the electors of the community college district at a regular election
20       or at a special election called for that purpose and the majority of the
21       electors voting on the proposition in such community college district shall
22       have voted in favor of the issuance of the bonds. Such election shall be
23       called, noticed and held and the bonds issued, sold, delivered and retired
24       in accordance with the provisions of the general bond law except as herein
25       otherwise expressly provided.
26           (d) The board of trustees of a community college may not purchase
27       or otherwise acquire land or land and improvements outside the com-
28       munity college district. Nothing in this subsection shall be construed or
29       operate in any manner to require a board of trustees to sell, convey or
30       otherwise dispose of land or land and improvements located outside the
31       community college district and owned or being acquired by the com-
32       munity college on the effective date of this act, but no board of trustees
33       may enter into a contract for the construction of improvements on any
34       such land after the effective date of this act.
35           Sec. 23. On July 1, 1999, K.S.A. 71-204 shall be and is hereby
36       amended to read as follows: 71-204. (a) For all the purpose of community
37       college maintenance and operation purposes, the board of trustees is au-
38       thorized to levy a tax on the taxable tangible property of the community
39       college district.
40           Subject to the provisions of subsections (b) and (c), such tax levy shall
41       is authorized to be the amount determined by the board of trustees to
42       be sufficient to finance that part of the budget of the community college
43       which is not financed by either (a) anticipated state aid of any type, (b)

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  1       anticipated student tuition, or (c) anticipated out-district tuition, or (d)
  2       anticipated federal aid of any type levied at a rate not to exceed 10 mills
  3       by any community college established by consolidation under the statu-
  4       tory provisions contained in article 13 of chapter 71 of Kansas Statutes
  5       Annotated and at a rate not to exceed 20 mills by any community college
  6       not hereinbefore specified. The budget of the community college shall be
  7       prepared and adopted as provided by law, and the tax levy therefor shall
  8       be certified to the county clerk of every county all or a part of the territory
  9       of which is in the community college district.
10           (b) If in any fiscal year preceding the current fiscal year the tax au-
11       thorized by subsection (a) to be levied by a community college was levied
12       at the maximum rate limited by subsection (a), the tax may be levied at
13       an increased rate. In no event shall the increased rate of levy exceed the
14       rate necessary to produce 102.5% of the amount that was produced in
15       the preceding fiscal year. If an increase in the assessed valuation of a
16       community college district in any fiscal year succeeding a fiscal year in
17       which the community college increased its rate of levy as provided in this
18       subsection would produce more than a 2.5% increase in the amount pro-
19       duced by the levy in the preceding fiscal year, the community college shall
20       reduce its rate of levy by the millage equivalency of the amount in excess
21       of 2.5% of the amount that was produced by the levy in the preceding
22       fiscal year.
23           (c) (1) Notwithstanding the foregoing provisions, the tax levy au-
24       thorized by this section shall be reduced in the 2000 fiscal year by an
25       amount equal to 1/2 the amount of the difference between the amount of
26       state aid received by the community college in the 1999 fiscal year less
27       the amount of out-district tuition received by the community in such fiscal
28       year and the amount of state aid to which the community college is entitled
29       in the current fiscal year.
30           (2) The provisions of this subsection shall expire on June 30, 2000.
31           Sec. 24. On July 1, 1999, K.S.A. 1997 Supp. 71-301 shall be and is
32       hereby amended to read as follows: 71-301. (a) The board of trustees shall
33       charge to and collect from each student tuition at rates per credit hour
34       enrolled which shall be established by the board of trustees.
35           (b) The board of trustees, in accordance with rules and regulations
36       of the state board, shall determine an amount of out-district tuition to be
37       charged for each out-district student attending the community college.
38       The board of county commissioners of any county charged with payment
39       of out-district tuition shall levy a tax on all of the taxable property of the
40       county sufficient to pay all out-district tuition charges authorized by this
41       act. The proceeds from the tax levied under authority of this section shall
42       be deposited in a special fund for payment of out-district tuition. Upon
43       receiving a statement of charges for out-district tuition, the board of

Sub. HB 2793--Am. by HCW

19

  1       county commissioners shall allow and pay the same from the special fund
  2       within 45 days from the receipt of such statement. If there is insufficient
  3       or no money in the special fund, out-district tuition shall be paid from
  4       the county general fund or from the proceeds of the sale of no-fund
  5       warrants issued for the purpose of the payment of out-district tuition. If
  6       the board of county commissioners fails to pay such amount at the time
  7       required under this subsection, the board of trustees shall notify the state
  8       board of such failure to pay and shall certify to the state board the amount
  9       to be paid. Upon receipt by the state board of such notification, the
10       amount to be paid as certified to the state board shall become an amount
11       due and owing to the state board. The state board shall notify the board
12       of county commissioners that this amount is now due and owing to the
13       state board. If the board of county commissioners fails to pay such amount
14       to the state board within 14 days of the receipt of such notification, the
15       state board shall initiate proceedings under K.S.A. 75-6201et seq. for the
16       collection of such money. Money paid to or collected by the state board
17       under this subsection shall be deposited in the out-district tuition sus-
18       pense account which is hereby created in the state treasury. The state
19       board shall pay moneys from this account, in accordance with rules and
20       regulations of the state board, to the community colleges entitled to re-
21       ceive such money.
22           (c) The total out-district tuition charged by a community college shall
23       be an amount equal to the number of duly enrolled out-district students
24       times $24 for each credit hour of each such student.
25           (d) (1) Out-district tuition shall only be charged for credit hours of
26       out-district students if such students, as determined by the state board,
27       have not more than 64 credit hours from any institution of postsecondary
28       education or the students have not more than 72 credit hours and are
29       enrolled in terminal type nursing courses or freshman-sophomore level
30       preengineering courses.
31           (2) The credit hour limitations prescribed by provision (1) of this
32       subsection do not apply to credit hours of out-district students if such
33       students, as determined by the state board, are enrolled in an approved
34       vocational education program at a community college for the purpose of
35       receiving vocational or technical training or retraining in preparation for
36       gainful employment.
37           (e) In May of each fiscal year, the board of trustees shall notify the
38       board of county commissioners of the approximate amount of out-district
39       tuition which will be charged to the county in the succeeding fiscal year.
40           (f) Expenditures for out-district tuition shall be exempt from the
41       budget law of this state to the extent of such payments not anticipated in
42       the budget of the county.
43           Sec. 25. On July 1, 1999, K.S.A. 1997 Supp. 71-401 shall be and is

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  1       hereby amended to read as follows: 71-401. (a) Persons enrolling in a
  2       community college who, if adults, have not been, or if minors, whose
  3       parents have not been residents of the county in which is located the
  4       principal campus of the community college for at least six months prior
  5       to enrollment for any term or session are nonresidents of the community
  6       college district for the purpose of determining liability of counties for
  7       payment of out-district tuition state aid entitlement.
  8           (b) The state board may adopt rules and regulations prescribing cri-
  9       teria or guidelines for determination of residence of students in commu-
10       nity college districts and may make conclusive determination of any res-
11       idence matter.
12           Sec. 26. On July 1, 1999, K.S.A. 71-501 shall be and is hereby
13       amended to read as follows: 71-501. (a) The board of trustees of any
14       community college is authorized to make an annual tax levy for a period
15       of not to exceed five years of not to exceed two three mills upon all taxable
16       tangible property in the community college district for the purpose of
17       construction, reconstruction, repair, remodeling, additions to, furnishing
18       and equipping of community college buildings, architectural expenses
19       incidental thereto, and the acquisition of real property for use as building
20       sites or for educational programs. No levy shall be made under this section
21       until a resolution authorizing the levy is passed by the board of trustees
22       and published once each week for three consecutive weeks in a news-
23       paper having general circulation in the community college district. The
24       resolution shall specify the mill rate of the tax levy and the period of time
25       for which the tax levy shall be made under authority thereof. After adop-
26       tion of the resolution, the levy may be made unless, within 60 days fol-
27       lowing the last publication of the resolution, a petition in opposition to
28       the levy, signed by not less than 5% of the qualified electors of the com-
29       munity college district, is filed with the county election officer of the
30       county in which the main campus of the community college is located. If
31       a petition is filed, the levy shall not be made without the question of
32       levying the same having been submitted to and approved by a majority
33       of the qualified electors of the district voting at an election called for that
34       purpose or at the next general election. If a petition is filed and no election
35       is held, a new resolution authorizing a levy for the purposes specified in
36       this section may not be adopted for a period of one year after the filing
37       of the petition.
38           (b) Whenever an initial resolution has been adopted under subsection
39       (a) and the resolution specified a lesser mill rate than two three mills, the
40       board of trustees of the community college may adopt a second resolution
41       under the same procedure as is provided in subsection (a) for the initial
42       resolution and, subject to the same conditions and for the same purposes
43       as provided in subsection (a), shall be authorized to make an additional

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  1       tax levy in an amount to be specified in the second resolution for the
  2       remainder of the period of time specified in the initial resolution for the
  3       making of the levy under authority thereof. Any second resolution shall
  4       be limited in amount as specified in subsection (a), less such amount as
  5       was authorized in the initial resolution, and not to exceed an aggregate
  6       amount of two three mills in any one year. If any such resolution is
  7       adopted and the tax levy therein specified is authorized under the con-
  8       ditions specified in subsection (a), the amount of bonds which may be
  9       issued under K.S.A. 71-502, and amendments thereto, may be increased
10       accordingly.
11           (c) The board of trustees of any community college which has made
12       a tax levy under this section may initiate, at any time after the final levy
13       is certified to the county clerk under any current authorization, proce-
14       dures to renew its authority to make a like annual tax levy in the amount,
15       upon the conditions, and in the manner specified in subsection (a).
16           (d) As used in this act, ``unconditionally authorized to make a tax levy
17       under authority of article 5 of chapter 71 of Kansas Statutes Annotated''
18       means that the board of trustees of the community college has adopted
19       a resolution under this section, has published the same, and either that
20       such resolution was not protested or that it was protested and an election
21       was held by which the tax levy of the community college was approved.
22           Sec. 27. On July 1, 1999, K.S.A. 71-601 shall be and is hereby
23       amended to read as follows: 71-601. ``Credit hour'' means one hour of
24       instruction per week for 18 weeks or the equivalent thereof the basic unit
25       of collegiate level instruction, as determined by the state board, in a sub-
26       ject or course offered at a level not higher than those subjects or courses
27       normally offered to freshmen and sophomores in four-year institutions of
28       postsecondary education which subject or course is approved by the state
29       board. Credit hour does not include within its meaning any hour of in-
30       struction in a subject or course taken by a student enrolled for audit or
31       in any subject or course not approved by the state board. The state board,
32       in consultation with the state board of regents, shall determine whether
33       the subjects and courses offered in the community colleges are at the
34       level of freshmen and sophomore subjects and courses offered in the state
35       educational institutions of postsecondary education and shall not approve
36       any subject or course offered at a higher level.
37           Sec. 28. On July 1, 1999, K.S.A. 1997 Supp. 71-602 shall be and is
38       hereby amended to read as follows: 71-602. (a) Each community college
39       is entitled to receive credit hour state aid. The basis for payments of credit
40       hour state aid for to community colleges for each credit hour of each duly
41       enrolled student shall be: (1) For each credit hour in any subject or course
42       which is not part of a vocational education program approved by the state
43       board under the statutory provisions of contained in article 44 of chapter

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  1       72 of Kansas Statutes Annotated, an amount which shall be provided for
  2       by the legislature in acts making appropriations for the credit hour state
  3       aid entitlement of community colleges; and (2) for each credit hour in
  4       any subject or course which is part of a vocational education program
  5       approved by the state board under the statutory provisions of contained
  6       in article 44 of chapter 72 of Kansas Statutes Annotated, an amount which
  7       shall be determined by the state board by multiplying by 11/2 two the
  8       amount provided for by the legislature under (1), except that the amount
  9       provided for by the legislature under (1) for each credit hour of each
10       student shall be multiplied by two if the credit hour is in any subject or
11       course which is part of an approved vocational education program which
12       is offered in a community college which is also officially designated as an
13       area vocational school by the state board or if the credit hour is in any
14       subject or course which is part of an approved vocational education pro-
15       gram transferred to a community college in accordance with an agree-
16       ment made and entered into under authority of K.S.A. 71-1507, and
17       amendments thereto.
18           (b) Credit hour state aid payments shall be made only for credit hours
19       of duly enrolled students if such students, as determined by the state
20       board, are residents of the state of Kansas or are considered residents of
21       the state of Kansas pursuant to the provisions of K.S.A. 1997 Supp. 71-
22       407, and amendments thereto.
23           (c) The determination of credit hours of duly enrolled students shall
24       be made at times prescribed by the state board of education.
25           Sec. 29. On July 1, 1999, K.S.A. 71-604 shall be and is hereby
26       amended to read as follows: 71-604. (a) From the reports and information
27       submitted under K.S.A. 71-603, and amendments thereto provided by
28       the community colleges, and from other information available to it such
29       audits and investigations as are conducted by the state department of
30       education, the state board shall determine the amount the each com-
31       munity college is entitled to receive as provided in K.S.A. 71-602 and 71-
32       607 and K.S.A. 71-619, and amendments to such sections state aid.
33           (b) If the amount of any appropriation for credit hour state aid shall
34       be insufficient to pay in full the amount each community college is en-
35       titled to receive for credit hour state aid, then the amount so appropriated
36       shall be prorated among all community colleges in proportion to the
37       amount each is entitled to receive. If the amount of any appropriation for
38       out-district state aid shall be insufficient to pay in full the amount each
39       community college is entitled to receive for out-district state aid, then the
40       amount so appropriated shall be prorated among all community colleges
41       in proportion to the amount each is entitled to receive.
42           (c) The state board may audit the records of any community college
43       applying for a part of any money appropriated for state aid, to verify the

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  1       accuracy of the reports submitted by the community college. The state
  2       board may adopt rules and regulations for the administration of this act
  3       and acts amendatory thereof.
  4           (d) In the event any community college is paid more than the amount
  5       it is entitled to receive under any distribution made under this act or acts
  6       amendatory thereof as state aid, the state board shall notify the com-
  7       munity college of the amount of the overpayment and the community
  8       college shall remit the same to the state board and it the state board shall
  9       deposit the same in the state treasury to the credit of the general fund,
10       and if any such community college fails so to remit, the state board shall
11       deduct the excess amount so paid from future payments becoming due
12       to such community college.
13           (e) In the event any community college is paid less than the amount
14       to which it is entitled under any distribution made under this act and acts
15       amendatory thereof to receive as state aid, the state board shall pay the
16       additional amount due at any time within the fiscal year in which the
17       underpayment was made or within 60 days after the end of such fiscal
18       year.
19           Sec. 30. On July 1, 1999, K.S.A. 71-605 shall be and is hereby
20       amended to read as follows: 71-605. (a) The distribution of the appro-
21       priation for credit hour state aid and out-district state aid shall be made
22       three times each school fiscal year as follows: The first payment shall be
23       made on October 1 and shall be in an amount equal to 50% of the pre-
24       ceding school fiscal year's credit hour state aid entitlement of the com-
25       munity college. Subject to the provisions of subsection (c), The second
26       payment shall be made on December 1 and shall be in an amount which
27       is equal to the balance of the summer and fall sessions' total credit hour
28       state aid entitlement and the full amount of the summer and fall sessions'
29       out-district state aid entitlement, with adjustment for any overpayment
30       or underpayment resulting from computation of the first payment. The
31       third payment shall be made on April 1 and shall be the full amount of
32       the spring session's credit hour state aid entitlement and the spring ses-
33       sion's out-district state aid entitlement, with adjustment for any under-
34       payments or overpayments theretofore occurring. The state board shall
35       certify, on or before November 25 and March 25 of each year, to the
36       director of accounts and reports the amount due to each community col-
37       lege from such appropriation on the first day of December, or for the
38       December 1, 1987, payment on the date specified in subsection (c) or on
39       the first day of April, as the case may be, and the director of accounts
40       and reports shall draw a warrant upon the state treasurer in favor of the
41       community college for such amount. Upon receipt of the warrant, the
42       treasurer of the community college shall credit the same amount of the
43       warrant to the general fund of the community college.

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  1           (b) The distribution of the appropriation for general administrative
  2       state aid shall be made at a time to be determined by the state board.
  3       The state board shall certify to the director of accounts and reports the
  4       amount due to each community college from such appropriation, and the
  5       director of accounts and reports shall draw a warrant upon the state trea-
  6       surer in favor of the community college for such amount. Upon receipt
  7       of the warrant, the treasurer of the community college shall credit the
  8       same amount of the warrant to the general fund of the community col-
  9       lege.
10           (c) The credit hour state aid and out-district state aid to be paid De-
11       cember 1, 1987, shall be deferred and shall be paid January 4, 1988.
12           (c) The distribution of the appropriation for operating grants shall be
13       made in substantially equal payments on August 1 and January 1 of each
14       fiscal year, or as soon thereafter as possible. The state board shall certify,
15       on or before July 20 and December 20 of each fiscal year, to the director
16       of accounts and reports the amount due on August 1 or on January 1, as
17       the case may be, to each community college entitled to an operating grant
18       from such appropriation, and the director of accounts and reports shall
19       draw a warrant upon the state treasurer in favor of the community college
20       for such amount. Upon receipt of the warrant, the treasurer of the com-
21       munity college shall credit the amount of the warrant to the general fund
22       of the community college.
23           Sec. 31. On July 1, 1999, K.S.A. 1997 Supp. 71-607 shall be and is
24       hereby amended to read as follows: 71-607. (a) Each community college
25       is entitled to receive out-district state aid. The basis for payments in
26       amounts determined as provided in this section. From reports and infor-
27       mation provided by each community college, and from such additional
28       audits and investigations as are conducted by the state department of
29       education, the state board shall determine the amount of out-district tu-
30       ition each community college is entitled to bill to counties each year, and
31       the entitlement to out-district state aid of each to community college
32       colleges shall be an amount equal thereto plus (1) an amount equal to the
33       amount of out-district tuition disallowed under the provisions of K.S.A.
34       71-304, and amendments thereto, and (2) an amount equal to the amount
35       of out-district tuition disallowed under the provisions of subsection (c) of
36       K.S.A. 71-609, and amendments thereto, and (3) an amount equal to the
37       number of duly enrolled students considered residents of the state pur-
38       suant to the provisions of K.S.A. 1997 Supp. 71-407, and amendments
39       thereto, times the amount specified in subsection (c) of K.S.A. 71-301,
40       and amendments thereto, $24 for each credit hour of each such duly
41       enrolled out-district student.
42           (b) (1) Out-district state aid payments shall be made only for credit
43       hours of out-district students specified in provision (3) of subsection (a)

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  1       if such students, as determined by the state board, have not more than
  2       64 credit hours from any institution of postsecondary education or the
  3       students have not more than 72 credit hours and are enrolled in terminal
  4       type nursing courses or freshman-sophomore level preengineering
  5       courses are residents of the state of Kansas or are considered residents of
  6       the state of Kansas pursuant to the provisions of K.S.A. 1997 Supp. 71-
  7       407, and amendments thereto.
  8           (2) The credit hour limitations prescribed by provision (1) of this
  9       subsection do not apply to credit hours of students if such students, as
10       determined by the state board, are enrolled in an approved vocational
11       education program at a community college for the purpose of receiving
12       vocational or technical training or retraining in preparation for gainful
13       employment.
14           New Sec. 32. (a) Each community college is entitled to receive ad-
15       ministrative state aid in the amount of $300,000 for the 2000 fiscal year
16       and fiscal years thereafter.
17           (b) In each fiscal year, commencing with the 2000 fiscal year, the
18       community colleges to which the provisions of this subsection apply are
19       entitled to an operating grant from the state general fund. The community
20       colleges to which the provisions of this subsection apply and the amount
21       of the operating grant to which each such community college is entitled
22       are as follows:
23           (1) Coffeyville community college is entitled to receive an operating
24       grant in the amount of $419,176 for the 2000 fiscal year and fiscal years
25       thereafter;
26           (2) Independence community college is entitled to receive an oper-
27       ating grant in the amount of $293,186 for the 2000 fiscal year and fiscal
28       years thereafter;
29           (3) Johnson county community college is entitled to receive an op-
30       erating grant in the amount of $2,664,976 for the 2000 fiscal year and
31       fiscal years thereafter;
32           (4) Pratt community college is entitled to receive an operating grant
33       in the amount of $620,106 for the 2000 fiscal year and fiscal years there-
34       after.
35           Sec. 33. On July 1, 1999, K.S.A. 1997 Supp. 71-609 shall be and is
36       hereby amended to read as follows: 71-609. (a) No out-district tuition
37       charges, no out-district state aid entitlement, no credit-hour state aid
38       entitlement, and no general state aid entitlement shall be based upon
39       credit hours enrollment in any subject or course the principal part of
40       which is taught at a location outside the county of the main campus of
41       the community college, unless the location of such subject or course is
42       specifically authorized by the state board of education.
43           (b) (1) No out-district tuition charges and no out-district state aid

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  1       entitlement shall be based upon credit hours enrollment in any subject
  2       or course which is taught in a county in which the main campus of a state
  3       educational institution is located, unless the teaching of such subject or
  4       course is specifically authorized by the chief executive officer of the state
  5       educational institution or by a designee of the chief executive officer. The
  6       chief executive officer of each state educational institution may designate
  7       and authorize a person or committee to act on behalf of the chief exec-
  8       utive officer in granting the authorizations required by this subsection.
  9       No authorization required by this subsection shall be considered to be or
10       construed in any manner as an agreement provided for by subsection (c).
11           (2) For the purposes of this subsection, the term ``main campus of a
12       state educational institution'' as applied to Kansas state university of ag-
13       riculture and applied science means and includes the campus of the uni-
14       versity located in Riley county and the campus of the university's college
15       of technology located in Saline county.
16           (3) The provisions of this subsection are subject to the provisions of
17       subsection (c).
18           (c) (1) No out-district tuition charges shall be based upon credit
19       hours in any subject or course all or the principal part of which is taught
20       at Fort Hays state university or at Wichita state university under an agree-
21       ment for the teaching of such subject or course entered into by a com-
22       munity college and either such university. An agreement entered into
23       under the provisions of this subsection for the teaching of a subject or
24       course by a community college at Fort Hays state university or at Wichita
25       state university shall constitute the authorization required by subsection
26       (b) for the teaching of such subject or course, and no separate authori-
27       zation under subsection (b) shall be required.
28           (2) The provisions of this subsection shall expire on June 30, 1998,
29       unless amended by act of the legislature prior to such date.
30           Sec. 34. On July 1, 1999, K.S.A. 71-609a shall be and is hereby
31       amended to read as follows: 71-609a. No out-district state aid entitlement,
32       no credit-hour state aid entitlement, and no general state aid entitlement
33       of a community college shall be based upon any course or program if such
34       course or program is taught in an area vocational school or, an area vo-
35       cational-technical school, or a technical college under an agreement with
36       such community college and for which payments of state or federal mon-
37       eys are made to the area vocational school or, the area vocational-technical
38       school, or the technical college under the provisions of article 44 of chap-
39       ter 72 of Kansas Statutes Annotated, and no such course or program shall
40       be counted in determining the number of credit hours of out-district
41       students for the purpose of computing the amount of out-district tuition
42       to be charged by a community college.
43           Sec. 35. On July 1, 1999, K.S.A. 71-610 shall be and is hereby

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  1       amended to read as follows: 71-610. Notwithstanding any provision con-
  2       tained in chapter 71 of Kansas Statutes Annotated to the contrary, when-
  3       ever there are two community college districts located within one county,
  4       no out-district tuition shall be charged for any student residing in such
  5       county and attending either such community college. No out-district state
  6       aid entitlement shall be based upon enrollment of any student who resides
  7       in such a county and attends either community college located therein.
  8           Sec. 36. On July 1, 1999, K.S.A. 1997 Supp. 71-611 shall be and is
  9       hereby amended to read as follows: 71-611. (a) ``Operating expenses''
10       means the total expenditures and lawful transfers from the general fund
11       of a community college during a school fiscal year for all purposes.
12           (b) ``Legally adopted budget of operating expenses'' means the
13       amount legally authorized and budgeted for such operating expenses in
14       the budget general fund of a community college.
15           (c) ``General fund'' means the fund of a community college from
16       which operating expenses are paid and, subject to the provisions of K.S.A.
17       71-613a, and amendments thereto, to which all amounts of credit hour
18       state aid, out-district state aid, general state aid, property taxes for general
19       purposes, out-district tuition, student tuition, and other moneys provided
20       for by law are credited.
21           Sec. 37. On July 1, 1999, K.S.A. 71-613 shall be and is hereby
22       amended to read as follows: 71-613. (a) All moneys received by a com-
23       munity college for establishing, conducting, maintaining and administer-
24       ing any vocational education program authorized by under article 44 of
25       chapter 72 of Kansas Statutes Annotated shall be deposited in the voca-
26       tional education fund, unless required to be deposited in the general fund.
27       The expenses of a community college attributable to vocational education
28       shall be paid from the vocational education fund.
29           (b) Community colleges shall maintain fund accounting procedures
30       as may be necessary to assure proper accounting for federal funds for
31       vocational education special projects, whether received directly from the
32       federal government or any of its agencies, or received through the state
33       or any of its agencies.
34           Sec. 38. On July 1, 2000, K.S.A. 71-801 shall be and is hereby
35       amended to read as follows: 71-801. (a) Community colleges are under
36       the supervision of subject to coordination by the state board of council
37       on higher education.
38           (b) The state council on higher education shall identify core indicators
39       of performance for community colleges and shall establish and implement
40       a data management system that includes a process and format for col-
41       lecting, aggregating and reporting common and institution-specific infor-
42       mation documenting effectiveness of the colleges in meeting the role and
43       mission thereof.

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  1           Sec. 39. On July 1, 1999, K.S.A. 1997 Supp. 71-613a shall be and is
  2       hereby amended to read as follows: 71-613a. All amounts of credit hour
  3       state aid, out-district state aid, general state aid, out-district tuition, and
  4       student tuition received by a community college for any program author-
  5       ized by article 44 of chapter 72 of Kansas Statutes Annotated may be
  6       deposited in the vocational education fund of the community college.
  7           Sec. 40. On July 1, 1999, K.S.A. 71-1508 shall be and is hereby
  8       amended to read as follows: 71-1508. (a) There is hereby established in
  9       every community college conducting a motorcycle driver safety course a
10       fund which shall be called the ``motorcycle driver safety'' fund. The mo-
11       torcycle driver safety fund shall consist of all moneys deposited therein
12       or transferred thereto according to law. All moneys received by com-
13       munity colleges from distributions made from the motorcycle safety fund
14       and from tuition, fees or charges for motorcycle driver safety courses shall
15       be credited to the motorcycle driver safety fund. The expenses of com-
16       munity colleges directly attributable to motorcycle driver safety courses
17       shall be paid from the motorcycle driver safety fund.
18           (b) No out-district tuition shall be charged or paid for any student on
19       the basis of enrollment in a motorcycle driver safety course and no out-
20       district state aid entitlement, credit hour state aid entitlement, or general
21       state aid entitlement of a community college shall be based upon a mo-
22       torcycle driver safety course conducted by the community college.
23           Sec. 41. On July 1, 1999, K.S.A. 71-1702 shall be and is hereby
24       amended to read as follows: 71-1702. (a) The governing body of an area
25       vocational school or area vocational-technical school which is consolidated
26       with and made a part of a community college in accordance with the
27       provisions of this act shall enter into a consolidation agreement with the
28       board of trustees of the community college with which such area voca-
29       tional school or area vocational-technical school is consolidated.
30           (b) Every consolidation agreement entered into under this section
31       shall provide for:
32           (1) The disposition of all real property of the affected area vocational
33       school or area vocational-technical school, which disposition shall not be
34       in contravention of the provisions of subsection (d) of K.S.A. 71-201, and
35       amendments thereto;
36           (2) the disposition of all personal property, records and moneys, in-
37       cluding state and federal financial aid, of the affected area vocational
38       school or area vocational-technical school;
39           (3) the payment of all lawful debts of the affected area vocational
40       school or area vocational-technical school, including any outstanding
41       bonded indebtedness attributable to the operation thereof;
42           (4) the payment of all accrued compensation or salaries of all person-
43       nel of the affected area vocational school or area vocational-technical

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  1       school;
  2           (5) the transfer of personnel, if such personnel are deemed necessary,
  3       in the employment of the affected area vocational school or area voca-
  4       tional-technical school to the employment of the community college; and
  5           (6) such other matters as may need to be addressed as the result of
  6       such consolidation by the affected area vocational school or area voca-
  7       tional-technical school and the community college.
  8           (c) Immediately upon execution of each consolidation agreement en-
  9       tered into under this section, the state board of education shall be notified
10       thereof by the board of trustees of the affected community college. The
11       state board shall review and approve such consolidation agreement and
12       upon approval of such agreement, the state board, for purpose of deter-
13       mining credit hour state aid under K.S.A. 71-602, and amendments
14       thereto, shall issue an order officially designating the community college
15       as an area vocational school.
16           (d) When any conflict arises as to the proper disposition of property,
17       records or funds or as to the assumption and payment of any debts as a
18       result of any consolidation effected under this act, such conflict shall be
19       determined and resolved by the state board of education and such de-
20       termination and resolution shall be final.
21           New Sec. 42. (a) As used in this section:
22           (1) ``Governing board'' means in the case of a community college, the
23       board of trustees; in the case of an area vocational school or a technical
24       college that formerly was an area vocational school, the board of education
25       of the sponsoring school district; in the case of an area vocational-tech-
26       nical school or a technical college that formerly was an area vocational-
27       technical school, the board of control.
28           (2) ``District'' means in the case of a community college, the com-
29       munity college district; in the case of an area vocational school or a tech-
30       nical college that formerly was an area vocational school, the sponsoring
31       school district; in the case of an area vocational-technical school or a
32       technical college that formerly was an area vocational-technical school,
33       the participating district in which the main campus of the school or col-
34       lege is located.
35           (3) ``Area school'' means an area vocational school, an area vocational-
36       technical school, or a technical college.
37           (b) Whenever a petition requesting consolidation of two or more
38       community college districts or consolidation of one or more area schools
39       with one or more community colleges, signed by not less than 15% of the
40       qualified electors residing within each of the districts that would be af-
41       fected by such consolidation, is filed with the governing board of each
42       such college or school, respectively, each such governing board shall place
43       the matter on the agenda for consideration at the next regularly scheduled

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  1       meeting of the board and shall provide for a public hearing on the matter
  2       at such meeting. Notice of the time, date, place and purpose of the public
  3       hearing shall be published in a newspaper of general circulation in the
  4       district at least once prior to the hearing. Subsequent to the public hear-
  5       ings provided for by the respective governing boards, each such board,
  6       after considering all the testimony given at the hearing shall make a final
  7       decision with regard to the petition requesting consolidation. The final
  8       decision shall be in writing, shall include a statement of all factors con-
  9       sidered by the board in reaching its decision, and shall be published at
10       least once in a newspaper of general circulation in the district. If the final
11       decision of one or more governing boards is to reject the petition re-
12       questing consolidation, the matter shall be deemed closed as to such
13       board or boards and no like petition shall be filed with any such board
14       within the 12 months following publication of the final decision. If the
15       final decision of two or more governing boards is to consolidate and such
16       boards are boards of trustees, the boards shall proceed in accordance with
17       the statutory provisions contained in article 13 of chapter 71 of Kansas
18       Statutes Annotated. If the final decision of three or more governing
19       boards is to consolidate and two or more such boards are governing
20       boards of community colleges and one or more such boards are governing
21       boards of area schools, the boards of trustees shall proceed initially in
22       accordance with the statutory provisions contained in article 13 of chapter
23       71 of Kansas Statutes Annotated and subsequent to consolidation of the
24       community colleges under such provisions, the governing board of the
25       area school or, in the case of two or more area schools, the governing
26       boards of such schools and the board of trustees of the consolidated com-
27       munity college shall proceed in accordance with the statutory provisions
28       contained in article 17 of chapter 71 of Kansas Statutes Annotated. If the
29       final decision of two governing boards is to consolidate and one such
30       board is the board of trustees of a community college and one such board
31       is the governing board of an area school, the boards shall proceed in
32       accordance with the statutory provisions contained in article 17 of chapter
33       71 of Kansas Statutes Annotated.
34           Sec. 43. On July 1, 1999, K.S.A. 12-16,102 shall be and is hereby
35       amended to read as follows: 12-16,102. (a) Except as provided in this
36       section, ``taxing subdivision'' means any city, county, township, commu-
37       nity college district or other political subdivision of the state of Kansas
38       having authority to levy taxes on taxable tangible property. A community
39       college district shall not be considered a taxing subdivision for the purpose
40       of this section. A school district shall not be considered a taxing subdivi-
41       sion for the purpose of this section except that any school district oper-
42       ating a public library pursuant to K.S.A. 72-1623, and amendments
43       thereto, for that purpose, shall be considered a taxing subdivision for the

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  1       purpose of this section.
  2           (b) Any taxing subdivision may create and establish employee benefits
  3       contribution funds for (1) the taxing subdivision or (2) any political sub-
  4       division for which a tax is levied by such taxing subdivision for the purpose
  5       of paying the employer's share of any employee benefits, exclusive of any
  6       salaries, wages or other direct payments to such employees, as may be
  7       prescribed in the ordinance or resolution of the governing body creating
  8       such funds. The taxing subdivision may receive and place in such funds
  9       any moneys from any source whatsoever which may be lawfully utilized
10       for the purposes stated in the ordinance or resolution creating such funds,
11       including the proceeds of tax levies authorized by law for such purposes.
12           (c) The governing body of any taxing subdivision having established
13       employee benefits funds under subsection (b) is hereby authorized to levy
14       an annual tax upon all taxable tangible property within the taxing subdi-
15       vision in an amount determined by the governing body to be necessary
16       for the purposes for which such funds were created and to pay a portion
17       of the principal and interest on bonds issued under the authority of K.S.A.
18       12-1774, and amendments thereto, by cities located in the county.
19           Sec. 44. On July 1, 1999, K.S.A. 1997 Supp. 19-101a shall be and is
20       hereby amended to read as follows: 19-101a. (a) The board of county
21       commissioners may transact all county business and perform all powers
22       of local legislation and administration it deems appropriate, subject only
23       to the following limitations, restrictions or prohibitions:
24           (1) Counties shall be subject to all acts of the legislature which apply
25       uniformly to all counties.
26           (2) Counties may not consolidate or alter county boundaries.
27           (3) Counties may not affect the courts located therein.
28           (4) Counties shall be subject to acts of the legislature prescribing
29       limits of indebtedness.
30           (5) In the exercise of powers of local legislation and administration
31       authorized under provisions of this section, the home rule power con-
32       ferred on cities to determine their local affairs and government shall not
33       be superseded or impaired without the consent of the governing body of
34       each city within a county which may be affected.
35           (6) Counties may not legislate on social welfare administered under
36       state law enacted pursuant to or in conformity with public law No.
37       271--74th congress, or amendments thereof.
38           (7) Counties shall be subject to all acts of the legislature concerning
39       elections, election commissioners and officers and their duties as such
40       officers and the election of county officers.
41           (8) Counties shall be subject to the limitations and prohibitions im-
42       posed under K.S.A. 12-187 to 12-195, inclusive, and amendments thereto,
43       prescribing limitations upon the levy of retailers' sales taxes by counties.

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  1           (9) Counties may not exempt from or effect changes in statutes made
  2       nonuniform in application solely by reason of authorizing exceptions for
  3       counties having adopted a charter for county government.
  4           (10) No county may levy ad valorem taxes under the authority of this
  5       section upon real property located within any redevelopment area estab-
  6       lished under the authority of K.S.A. 12-1772, and amendments thereto,
  7       unless the resolution authorizing the same specifically authorized a por-
  8       tion of the proceeds of such levy to be used to pay the principal of and
  9       interest upon bonds issued by a city under the authority of K.S.A. 12-
10       1774, and amendments thereto.
11           (11) Counties shall have no power under this section to exempt from
12       any statute authorizing or requiring the levy of taxes and providing sub-
13       stitute and additional provisions on the same subject, unless the resolution
14       authorizing the same specifically provides for a portion of the proceeds
15       of such levy to be used to pay a portion of the principal and interest on
16       bonds issued by cities under the authority of K.S.A. 12-1774, and amend-
17       ments thereto.
18           (12) Counties may not exempt from or effect changes in the provi-
19       sions of K.S.A. 19-4601 to 19-4625, inclusive, and amendments thereto.
20           (13) Except as otherwise specifically authorized by K.S.A. 12-1,101
21       to 12-1,109, inclusive, and amendments thereto, counties may not levy
22       and collect taxes on incomes from whatever source derived.
23           (14) Counties may not exempt from or effect changes in K.S.A. 19-
24       430, and amendments thereto. Any charter resolution adopted by a
25       county prior to July 1, 1983, exempting from or effecting changes in
26       K.S.A. 19-430, and amendments thereto, is null and void.
27           (15) Counties may not exempt from or effect changes in K.S.A. 19-
28       302, 19-502b, 19-503, 19-805 or 19-1202, and amendments thereto.
29           (16) Counties may not exempt from or effect changes in K.S.A. 13-
30       13a26, and amendments thereto. Any charter resolution adopted by a
31       county, prior to the effective date of this act, exempting from or effecting
32       changes in K.S.A. 13-13a26, and amendments thereto, is null and void.
33           (17) Counties may not exempt from or effect changes in K.S.A. 71-
34       301, and amendments thereto. Any charter resolution adopted by a
35       county, prior to the effective date of this act, exempting from or effecting
36       changes in K.S.A. 71-301, and amendments thereto, is null and void.
37           (18) Counties may not exempt from or effect changes in K.S.A. 19-
38       15,139, 19-15,140 and 19-15,141, and amendments thereto. Any charter
39       resolution adopted by a county prior to the effective date of this act,
40       exempting from or effecting changes in such sections is null and void.
41           (19) (17) Counties may not exempt from or effect changes in the
42       provisions of K.S.A. 12-1223, 12-1225, 12-1225a, 12-1225b, 12-1225c and
43       12-1226, and amendments thereto, or the provisions of K.S.A. 1996 1997

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33

  1       Supp. 12-1260 to 12-1270, inclusive, and amendments thereto, and 12-
  2       1276, and amendments thereto.
  3           (20) (18) Counties may not exempt from or effect changes in the
  4       provisions of K.S.A. 19-211, and amendments thereto.
  5           (21) (19) Counties may not exempt from or effect changes in the
  6       provisions of K.S.A. 19-4001 to 19-4015, inclusive, and amendments
  7       thereto.
  8           (22) (20) Counties may not regulate the production or drilling of any
  9       oil or gas well in any manner which would result in the duplication of
10       regulation by the state corporation commission and the Kansas depart-
11       ment of health and environment pursuant to chapter 55 and chapter 65
12       of the Kansas Statutes Annotated and any rules and regulations adopted
13       pursuant thereto. Counties may not require any license or permit for the
14       drilling or production of oil and gas wells. Counties may not impose any
15       fee or charge for the drilling or production of any oil or gas well.
16           (23) (21) Counties may not exempt from or effect changes in K.S.A.
17       79-41a04, and amendments thereto.
18           (24) (22) Counties may not exempt from or effect changes in K.S.A.
19       1996 Supp. 79-1611, and amendments thereto.
20           (25) (23) Counties may not exempt from or effect changes in K.S.A.
21       1996 Supp. 79-1494, and amendments thereto.
22           (26) (24) Counties may not exempt from or effect changes in subsec-
23       tion (b) of K.S.A. 19-202, and amendments thereto.
24           (27) (25) Counties may not exempt from or effect changes in subsec-
25       tion (b) of K.S.A. 19-204, and amendments thereto.
26           (b) Counties shall apply the powers of local legislation granted in
27       subsection (a) by resolution of the board of county commissioners. If no
28       statutory authority exists for such local legislation other than that set forth
29       in subsection (a) and the local legislation proposed under the authority
30       of such subsection is not contrary to any act of the legislature, such local
31       legislation shall become effective upon passage of a resolution of the
32       board and publication in the official county newspaper. If the legislation
33       proposed by the board under authority of subsection (a) is contrary to an
34       act of the legislature which is applicable to the particular county but not
35       uniformly applicable to all counties, such legislation shall become effec-
36       tive by passage of a charter resolution in the manner provided in K.S.A.
37       19-101b, and amendments thereto.
38           Sec. 45. On July 1, 1999, K.S.A. 79-5021 shall be and is hereby
39       amended to read as follows: 79-5021. As used in K.S.A. 79-5021 to 79-
40       5035, inclusive, and amendments thereto: (a) ``Taxing subdivision'' means
41       every taxing district in the state of Kansas other than the state and the
42       community colleges organized and operating under the laws of the state;
43       (b) ``base year'' means either 1988 or 1989, whichever is designated by

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  1       the taxing subdivision as its base year; and (c) ``assessed valuation amount
  2       for 1989'' means the taxable tangible assessed valuation as shown on the
  3       November 1, 1989, abstract transmitted to the director of property val-
  4       uation pursuant to K.S.A. 79-1806 adjusted by changes in valuations
  5       which were made prior to July 1, 1990.
  6           Sec. 46. On July 1, 1999, K.S.A. 79-5022 shall be and is hereby
  7       amended to read as follows: 79-5022. (a) In 1990 and in each year there-
  8       after, all existing statutory fund mill levy rate and aggregate levy rate
  9       limitations on taxing subdivisions are hereby suspended.
10           (b) Except as otherwise provided in K.S.A. 79-5024 to 79-5027, in-
11       clusive, and amendments thereto, no city, county, or township , municipal
12       university or community college shall certify to the county clerk of the
13       county any tax levies upon tangible property, excluding levies specified in
14       K.S.A. 79-5028, and amendments thereto, which in the aggregate will
15       produce an amount in excess of the amount which was levied by such
16       taxing subdivision in the base year.
17           (c) In 1990, and each year thereafter, the fund levy limits shall be
18       increased by multiplying the dollar amount produced by the levy limit for
19       1988 by the quotient determined by dividing the assessed tangible valu-
20       ation amount of the current year by the assessed valuation amount for
21       1989. The provisions of this subsection shall not be applicable to any city,
22       county, or township, municipal university or community college.
23           Sec. 47. On July 1, 1999, K.S.A. 79-5024 shall be and is hereby
24       amended to read as follows: 79-5024. (a) Whenever the taxable assessed
25       tangible valuation of any city, county, or township, municipal university
26       or community college is increased by new improvements on real estate
27       or by increased personal property valuation, or both, the amount which
28       would be produced by the aggregate tax levy authorized under K.S.A. 79-
29       5022, and amendments thereto, shall be adjusted to increase the amount
30       authorized in the proportion that the assessed valuation of the new im-
31       provements and the increased personal property valuation bears to the
32       total assessed valuation amount for 1989. With respect to community
33       colleges, whenever the enrollment of any such college in any school year
34       is greater than such enrollment in the 1989-1990 school year, the amount
35       which would be produced by the aggregate tax levy authorized under
36       K.S.A. 79-5022, and amendments thereto, shall be adjusted to increase
37       the amount authorized in the proportion that the enrollment of such
38       college for the current school year bears to the enrollment of such college
39       in the 1989-1990 school year.
40           (b) Such city, county, or township, municipal university or community
41       college may then levy the amount permitted under K.S.A. 79-5022, and
42       amendments thereto, and in addition thereto the amount produced by
43       the levy on such new improvements and added personal property as pro-

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35

  1       vided in this section and, with respect to community colleges, in addition
  2       thereto the amount produced as a result of increased enrollment as pro-
  3       vided in this section.
  4           Sec. 48. On July 1, 1999, K.S.A. 79-5025 shall be and is hereby
  5       amended to read as follows: 79-5025. In the event that any territory is
  6       added to an existing city, county, or township, municipal university or
  7       community college, the amount which would be produced by the aggre-
  8       gate tax levy otherwise authorized under K.S.A. 79-5022 and 79-5024,
  9       and amendments thereto, shall be adjusted to increase the amount au-
10       thorized in the proportion that the assessed valuation of the tangible tax-
11       able property in the territory added bears to the total taxable assessed
12       tangible valuation of the city, county, or township, municipal university
13       or community college, excluding the property in such added territory.
14           Sec. 49. On July 1, 1999, K.S.A. 79-5026 shall be and is hereby
15       amended to read as follows: 79-5026. In the event that any taxable tan-
16       gible property is excluded from the boundaries of any city, county, or
17       township, municipal university or community college, the amount which
18       would be produced by the aggregate tax levy authorized under the pro-
19       visions of K.S.A. 79-5022 and 79-5024, and amendments thereto, shall be
20       adjusted to decrease the amount authorized in the proportion that the
21       assessed valuation of the tangible property excluded bears to the total
22       taxable assessed valuation of the city, county, or township, municipal uni-
23       versity or community college, including such excluded property.
24           Sec. 50. On July 1, 1999, K.S.A. 79-5028 shall be and is hereby
25       amended to read as follows: 79-5028. The provisions of K.S.A. 79-5021
26       to 79-5036, inclusive, and amendments thereto, shall not apply to or limit
27       the levy of taxes for the payment of:
28           (a) Principal and interest upon state infrastructure loans, bonds, tem-
29       porary notes, no-fund warrants and payments made to a public building
30       commission;
31           (b) judgments, settlements and expenses for protection against lia-
32       bility to the extent such expenses are authorized by article 61 of chapter
33       75 of the Kansas Statutes Annotated and amendments thereto;
34           (c) employer contributions for social security, workers compensation,
35       unemployment insurance, health care costs, employee benefit plans, and
36       employee retirement and pension programs;
37           (d) expenses incurred by counties for district court operations under
38       the provisions of K.S.A. 20-348 or 20-349, and amendments thereto, and
39       expenses incurred by counties for the detention of juveniles;
40           (e) expenses incurred by counties for payment of out-district tuition
41       to community colleges pursuant to K.S.A. 71-301, and amendments
42       thereto, and expenses incurred by counties and townships for payment
43       of out-district tuition to municipal universities pursuant to K.S.A. 13-

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36

  1       13a26, and amendments thereto;
  2           (f) expenses incurred for the first time on and after January 1, 1996,
  3       by cities in effectuating programs specifically enacted and administered
  4       for the purpose of preventing juvenile delinquency and crime; or
  5           (g) (f) expenses incurred by any taxing subdivision for rebates to own-
  6       ers of property in connection with a neighborhood revitalization program
  7       instituted in accordance with K.S.A. 1996 1997 Supp. 12-17,114 et seq.,
  8       and amendments thereto.
  9           The provisions of K.S.A. 79-5021 to 79-5036, inclusive, and amend-
10       ments thereto, do not apply to the tax levies authorized or required under
11       K.S.A. 19-4004, 19-4011, 65-212 and 65-215 and amendments thereto.
12           Amounts produced from any taxes levied for purposes specified in this
13       section shall not be used in computing any aggregate limitation under the
14       provisions of this act. In addition, amounts needed to be produced from
15       the levy of taxes by a taxing subdivision to replace the difference between
16       the amount of revenue estimated to be received by such taxing subdivision
17       pursuant to K.S.A. 79-5101 et seq., and amendments thereto, in 1990,
18       and the amount of such revenue estimated to be received by such taxing
19       subdivision in each year thereafter shall not be used in computing any
20       aggregate limitation under the provisions of this act. On or before June
21       1 of each year, information necessary to make such computation shall be
22       provided to each taxing subdivision by the appropriate county treasurer.
23           Sec. 51. On July 1, 1999, K.S.A. 79-5032 shall be and is hereby
24       amended to read as follows: 79-5032. Whenever any city, county, or town-
25       ship, municipal university or community college shall be required by law
26       to levy taxes for the financing of the budget of any political or govern-
27       mental subdivision of this state which is not authorized by law to levy
28       taxes on its own behalf, and the governing body of such city, county, or
29       township, municipal university or community college is not authorized or
30       empowered to modify or reduce the amount of taxes levied therefor, the
31       tax levies of such political or governmental subdivision shall not be in-
32       cluded in or considered in computing the aggregate limitations upon the
33       property tax levies of the city, county, or township, municipal university
34       or community college levying taxes for such political or governmental
35       subdivision. The fund levy limits of such political or governmental sub-
36       division shall be established in accordance with subsection (c) of K.S.A.
37       79-5022, and amendments thereto.
38           New Sec. 52. As used in sections 52 through 61, and amendments
39       thereto:
40           (a) ``Washburn board'' means the board of trustees established by
41       section 58, and amendments thereto, for Washburn university.
42           (b) ``Campus property'' means the real estate, buildings, facilities, fur-
43       nishings, fixtures and equipment comprising the physical plant of Wash-

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37

  1       burn university of Topeka.
  2           (c) ``Endowment property'' means endowment funds, scholarship
  3       funds and investment real or personal property, the net earnings of which
  4       are devoted to general or special purposes as prescribed or authorized by
  5       the donors of such property.
  6           (d) ``State council'' means the Kansas council on higher education
  7       provided for in the constitution of this state and established by section 3,
  8       and amendments thereto.
  9           New Sec. 53. (a) On July 1, 2000, Washburn university shall be and
10       is hereby established as a separate, freestanding state educational insti-
11       tution under the control and supervision of the state council.
12           (b) Prior to July 1, 2000, Washburn university shall continue to be
13       known as Washburn university of Topeka and, subject to the provisions
14       of this act, shall continue to be operated and managed as a municipal
15       university and shall be entitled to all financial aid payments provided for
16       by law.
17           (c) Except as otherwise specifically provided in this act, after June
18       30, 2000, Washburn university shall be the successor in interest to Wash-
19       burn university of Topeka and all properties, moneys, rights, authorities
20       and liabilities of Washburn university of Topeka, except endowment prop-
21       erty, are hereby transferred to and imposed upon Washburn university.
22       Except as otherwise specifically provided in this act, after June 30, 2000,
23       whenever Washburn university of Topeka, or words of like effect, is re-
24       ferred to or designated by any statute, contract or other document, such
25       reference or designation shall be deemed to apply to Washburn univer-
26       sity, a state educational institution.
27           New Sec. 54. (a) On July 1, 2000, the board of regents of Washburn
28       university of Topeka shall transfer and convey all of the campus property
29       of Washburn university of Topeka and all of the rights, title or interest
30       that Washburn university may have in such campus property on the date
31       of transfer, or may thereafter acquire in such campus property, to the
32       state council for and on behalf of the state of Kansas. On July 1, 2000,
33       the state council shall succeed by operation of law to all rights and lia-
34       bilities of Washburn university of Topeka, except for: (1) Endowment
35       property, (2) general obligation bonds of Washburn university of Topeka
36       which are approved or issued and outstanding on or before July 1, 2000,
37       (3) contractual obligations regarding employees of Washburn university
38       of Topeka which obligations are covered by section 56, and amendments
39       thereto, and (4) any other rights and liabilities otherwise specifically pro-
40       vided for by any other section of this act. All obligations and interest on
41       such general obligation bonds shall be met and satisfied as provided in
42       section 60, and amendments thereto.
43           (b) The state council, for and on behalf of the state of Kansas, shall

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  1       accept the transfers and conveyances of title to all of the campus property
  2       of Washburn university of Topeka. Actual possession, control and super-
  3       vision of the university and the campus property thereof by the state of
  4       Kansas through the state council shall be effective on July 1, 2000.
  5           New Sec. 55. (a) Prior to July 1, 2000, and subject to the provisions
  6       of this act, the board of regents of Washburn university of Topeka shall
  7       be the governing body of Washburn university of Topeka and shall ex-
  8       ercise such power and authority as is provided by law for the operation
  9       and management of Washburn university of Topeka in its status as a
10       municipal university.
11           (b) After July 1, 1999, the board of regents of Washburn university
12       of Topeka shall serve as liaison with the state board of regents and the
13       Kansas council on higher education for the purpose of implementation
14       of transitional adjustments in the operations and procedures of the uni-
15       versity as a state agency. During the transition period, the board of regents
16       of Washburn university of Topeka may perform such other powers, duties
17       and functions as may be prescribed by the state council with regard to
18       Washburn university or by law.
19           (c) During the transition period, Washburn university shall make the
20       required adjustments in the accounting, purchasing, personnel, budgeting
21       and other administrative operations, policies and procedures to conform
22       to the operations, policies and procedures required under laws, rules and
23       regulations and policies which are applicable to state educational insti-
24       tutions under the control and supervision of the state board of regents or
25       the Kansas council on higher education, as the case may be. Except as
26       otherwise authorized or prescribed by this act or by the secretary of ad-
27       ministration, the provisions of laws and rules and regulations pertaining
28       to accounting, purchasing, personnel, budgeting and other administrative
29       matters, which are administered by the department of administration, or
30       any division or officer thereof, and which apply to other state educational
31       institutions, shall not apply to Washburn university during such transition
32       period and Washburn university is hereby authorized to use other oper-
33       ating procedures and policies for such purposes in accordance with the
34       provisions of this act.
35           (d) During the transition period, subject to provisions of appropria-
36       tion acts and subject to approval by the secretary of administration and
37       the state council, Washburn university may transfer moneys in the Wash-
38       burn university support fund and moneys in the Washburn operating
39       grant account of the state general fund to a bank located in Shawnee
40       county, Kansas, to the account of Washburn university. The bank account
41       shall be awarded to a bank located in Shawnee county, Kansas, by the
42       pooled money investment board under a written agreement in accordance
43       with procedures for state bank accounts under K.S.A. 75-4217, and

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39

  1       amendments thereto, and shall be secured by pledge of securities in the
  2       manner prescribed for state bank accounts under K.S.A. 75-4218, and
  3       amendments thereto, and in the amount prescribed for fee agency ac-
  4       counts under that statute. Each such transfer shall be made upon vouch-
  5       ers of the state council, which the director of accounts and reports and
  6       the state treasurer are hereby authorized and directed to honor by making
  7       such transfers, and the moneys so transferred shall be for use by Wash-
  8       burn university in operating and conducting the activities of the university
  9       during the transition period. Washburn university shall make a full and
10       complete report on a monthly basis to the state council and the secretary
11       of administration of all expenditures from such bank account. During the
12       transition period, all other funds of Washburn university shall be main-
13       tained on deposit to the account of Washburn university with the same
14       bank selected under this subsection by the pooled money investment
15       board.
16           (e) The provisions of this section shall be construed and applied to
17       effectuate the orderly and timely transition of Washburn university from
18       an autonomous municipal university to a state educational institution un-
19       der the control and supervision of the state council on higher education.
20           (f) As used in this section ``transition period'' means the period from
21       July 1, 1999, through June 30, 2000, except that such period may be
22       extended upon approval by the state council, upon request therefor by
23       Washburn university, for an additional specified period which shall end
24       on or before June 30, 2001.
25           New Sec. 56. (a) On or before July 15, 1999, the board of regents of
26       Washburn university of Topeka shall submit to the state council a list of
27       employees of Washburn university of Topeka who are recommended for
28       appointment by the state council on July 1, 2000, as employees of Wash-
29       burn university. On or before June 15, 2000, the state council shall advise
30       the board of regents of Washburn university of Topeka of its approval or
31       any modification of such list.
32           (b) On July 1, 2000, the state council shall appoint the employees on
33       such list, as approved or as modified and approved by the state council,
34       to positions in the classified service or unclassified service under the Kan-
35       sas civil service act at Washburn university and, consistent with the Kansas
36       civil service act, establish the terms and conditions of employment for
37       such employees. Each such employee whose position is within the clas-
38       sified service under the Kansas civil service act shall be deemed to be
39       subject to and qualified under the Kansas civil service act for the position
40       to which such employee is appointed at the time of the assumption of
41       control and supervision by the state council on July 1, 2000.
42           (c) (1) On and after July 1, 2000, except as otherwise provided by
43       this act, employees of Washburn university shall be eligible as provided

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40

  1       by statute for membership in the Kansas public employees retirement
  2       system or as provided by statute for participation in the retirement an-
  3       nuity plan under K.S.A. 74-4925, and amendments thereto. No prior serv-
  4       ice credit under the Kansas public employees retirement system shall be
  5       credited to such employees for service with Washburn university of To-
  6       peka prior to July 1, 2000, except that such service prior to July 1, 2000,
  7       shall be credited toward satisfaction of the requirement to complete the
  8       certain period of service required for membership by such persons in the
  9       Kansas public employees retirement system and shall be credited toward
10       satisfaction of the requirement to complete the certain period of service
11       required for such persons to be granted a vested retirement benefit in
12       such retirement system, as provided by statute for persons eligible for
13       membership in the Kansas public employees retirement system, or shall
14       be credited toward satisfaction of the requirement to complete the certain
15       period of service required for such persons to participate in the retire-
16       ment annuity plan under K.S.A. 74-4925, and amendments thereto, as
17       provided by statute for persons eligible to participate in such retirement
18       annuity plan.
19           (2) Each person who is appointed by the state board of regents to a
20       position in the classified service under the Kansas civil service act under
21       subsection (b) and who did participate in the retirement plan of Wash-
22       burn university of Topeka prior to July 1, 2000, shall elect by filing a
23       written election in the office of the Kansas public employees retirement
24       system, in the form and manner prescribed by the board of trustees of
25       such system, prior to July 18, 2000, either to become eligible for assistance
26       by the state board of regents in the purchase of a retirement annuity
27       under K.S.A. 74-4925, and amendments thereto, or not to become eli-
28       gible for such assistance. Failure to file such written election shall be
29       presumed to be an election not to become eligible for such assistance.
30       Such election, whether to become eligible to receive such assistance or
31       not to become eligible to receive such assistance, shall be effective as of
32       the first day of the first complete payroll period which commences on or
33       after July 1, 2000, and shall be irrevocable.
34           (d) All employees appointed under this section to positions at Wash-
35       burn university shall be credited with all service of such employees with
36       Washburn university of Topeka prior to July 1, 2000, for all purposes of
37       determining longevity and longevity benefits under the Kansas civil serv-
38       ice act or under the policies and rules and regulations of the state council.
39       All sick and personal leave accrued by such employees for service with
40       Washburn university of Topeka prior to July 1, 2000, shall be credited to
41       such employees as sick and vacation leave under the applicable policies
42       and rules and regulations of the state council or rules and regulations
43       adopted under the Kansas civil service act.

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41

  1           (e) Subject to and in accordance with the provisions of appropriation
  2       acts, in order to provide employee and family health care coverage or
  3       health care services of a health maintenance organization for employees
  4       appointed under this section to positions at Washburn university, the
  5       Kansas state employees health care commission and the secretary of ad-
  6       ministration are hereby authorized to adopt and make supplemental pro-
  7       visions for the participation of such employees within the state health
  8       care benefits program under the cafeteria benefits plan established pur-
  9       suant to K.S.A. 75-6512, and amendments thereto.
10           New Sec. 57. (a) On July 1, 1999, or as soon thereafter as outstand-
11       ing, long-term investments may be liquidated without penalty, the board
12       of regents of Washburn university of Topeka, with regard to any such
13       long-term investments, shall pay to the state treasurer all unencumbered
14       and unexpended moneys of Washburn university of Topeka, except mon-
15       eys (1) which constitute endowment property, (2) which are the moneys
16       of a not-for-profit corporation operating the student union at the univer-
17       sity or of any other not-for-profit corporation participating in university
18       affiliated activities, or (3) which are the proceeds from the levy authorized
19       by K.S.A. 13-13a23, and amendments thereto. Upon receipt of such mon-
20       eys, the state treasurer shall deposit the entire amount in the state treas-
21       ury to the credit of the Washburn university support fund which is hereby
22       created in the state treasury.
23           (b) (1)  All expenditures from the Washburn university support fund
24       shall be made in accordance with appropriation acts upon warrants of the
25       director of accounts and reports issued pursuant to vouchers approved
26       by the state council or by a person or persons designated by the state
27       council.
28           (2) On or before the 10th of each month, the director of accounts
29       and reports shall transfer from the state general fund to the Washburn
30       university support fund interest earnings based on: (A) The average daily
31       balance of moneys in the Washburn university support fund for the pre-
32       ceding month; and (B) the net earnings rate for the pooled money in-
33       vestment portfolio for the preceding month.
34           (c) After June 30, 2000, any moneys to which Washburn university
35       of Topeka is entitled from the tax levy made by the board of regents of
36       Washburn university of Topeka under K.S.A. 12-16,102, 13-13a18, 13-
37       13a23 or 75-6110, and amendments thereto, for tax years prior to tax year
38       2000, shall be paid to the Washburn board and shall be used for the
39       purposes authorized by section 58, and amendments thereto.
40           New Sec. 58. (a) At the time of the transfer of control and supervi-
41       sion of Washburn university to the state council on July 1, 2000, the board
42       of regents of Washburn university of Topeka shall be and is hereby abol-
43       ished and there shall be and is hereby established the board of trustees

Sub. HB 2793--Am. by HCW

42

  1       for Washburn university, which shall be referred to as the Washburn
  2       board. Within the powers, duties and functions prescribed by this act, the
  3       Washburn board is hereby declared to be an agency of the state for all
  4       purposes under the Kansas tort claims act and the members of the Wash-
  5       burn board are hereby declared to be employees of the state for all pur-
  6       poses under the Kansas tort claims act.
  7           (b) The Washburn board shall be composed of nine members who
  8       are residents of Kansas and appointed by the governor. Members ap-
  9       pointed to the Washburn board are eligible for reappointment. Persons
10       serving as members of the board of regents of Washburn university of
11       Topeka on June 30, 2000, are eligible for appointment to the Washburn
12       board. All vacancies in office of members of the Washburn board shall
13       be filled by appointment by the governor for the remainder of the unex-
14       pired term of the member creating the vacancy.
15           (c) The members of the Washburn board shall serve for terms of four
16       years and until their respective successors have been appointed and qual-
17       ified, except that, of the members initially appointed for the terms com-
18       mencing on July 1, 2000, three shall serve for terms of three years, three
19       shall serve for terms of two years, and three shall serve for terms of one
20       year.
21           (d) The primary purpose of the Washburn board shall be to support
22       the educational undertakings of Washburn university. The Washburn
23       board shall have the right, power and authority to have a seal, to employ
24       such employees as are necessary for its functions, to sue and be sued and
25       all other powers and privileges as may be necessary for the discharge of
26       its duties and responsibilities for its functions, which are not in conflict
27       with this act or any other law. The Washburn board shall also have the
28       power and authority to use the proceeds of the tax levy provided for in
29       section 60, and amendments thereto, for purposes to the benefit of Wash-
30       burn university which shall include, but not be limited to, construction,
31       reconstruction or equipping of new or existing buildings or for any other
32       permanent improvements. After July 1, 2000, the Washburn board shall
33       also have the power and authority to issue bonds as provided in section
34       60, and amendments thereto.
35           New Sec. 59. On July 1, 2000, the board of trustees of the Washburn
36       endowment association, a not-for-profit corporation organized and exist-
37       ing under the laws of Kansas, shall assume all of the rights, powers and
38       authority of, and shall be deemed to be the same legal entity as, the board
39       of regents of Washburn university of Topeka with respect to endowment
40       property of Washburn university of Topeka and shall succeed by opera-
41       tion of law to the ownership of all such endowment property and all such
42       endowment property is hereby transferred and conveyed thereto. The
43       board of trustees of the Washburn endowment association shall have the

Sub. HB 2793--Am. by HCW

43

  1       right to hold, manage, lease, sell and receive properties, real and personal,
  2       for the endowment or benefit of Washburn university.
  3           New Sec. 60. (a) The governing body of the city of Topeka shall levy
  4       an annual tax commencing with the tax year 2000 at the rate fixed by the
  5       Washburn board of not to exceed 5.0 mills on all taxable tangible property
  6       in such city. That portion of the amount constituting the proceeds of such
  7       levy together with the proceeds of levies for prior years under K.S.A. 13-
  8       13a23, and amendments thereto, as are required to retire and pay the
  9       interest on bonds of Washburn university of Topeka approved or issued
10       and outstanding on or before July 1, 2000, or on bonds of the Washburn
11       board issued under this section and outstanding after July 1, 2000, shall
12       be paid by the county treasurer to the state treasurer and, upon receipt
13       of the same, the state treasurer shall credit the amount paid to the Wash-
14       burn university bond and interest sinking fund which is hereby created
15       in the state treasury and which shall be used by the state council for the
16       purpose of retiring and paying the principal of and interest on all such
17       bonds.
18           (b) The Washburn board shall have the continuing right, power and
19       authority, by resolution and for the purposes approved by the state coun-
20       cil, to issue bonds from time to time, for the purpose of acquiring real
21       estate, erecting buildings for Washburn university or additions to present
22       buildings of such university and the purchase of equipment for such
23       buildings and for refunding any indebtedness for Washburn university.
24       There shall not be outstanding at any one time an aggregate of bonds
25       issued under this section by the Washburn board in excess of 2% of the
26       assessed valuation of the taxable tangible property within the city of To-
27       peka. The bonds shall bear interest at a rate not exceeding the maximum
28       rate of interest prescribed by K.S.A. 10-1009, and amendments thereto,
29       and shall mature not later than 30 years from date of issuance. Payment
30       of bonds issued under this section by the Washburn board shall be made
31       by the state council in accordance with subsection (a).
32           (c) If the proceeds of such levy in any year, together with funds avail-
33       able from previous levies, are insufficient to pay the principal of and
34       interest on all such bonds required to be paid in such year, the governing
35       body of the city of Topeka shall make such additional tax levy as may be
36       necessary to pay such interest and principal installments coming due in
37       such year in full. The proceeds of any such additional tax levy shall be
38       paid by the county treasurer to the state treasurer and shall be credited
39       by the state treasurer to the Washburn university bond and interest sink-
40       ing fund.
41           (d) The balance, if any, of any levies made under this section which
42       remains after the amount required to retire and pay the interest on all
43       such bonds is paid to the state treasurer shall be paid over to the Wash-

Sub. HB 2793--Am. by HCW

44

  1       burn board and shall be used for purposes authorized by section 58, and
  2       amendments thereto, as may be determined by the Washburn board,
  3       except that the Washburn board shall not make any expenditures for any
  4       expense of Washburn university or for any campus property thereof un-
  5       less such expenditures have received prior approval by the state council.
  6           (e) The bonds described in this section shall not be considered in
  7       applying any law limiting bonded indebtedness of the city of Topeka. The
  8       tax levies authorized by this section are exempt from the limitation im-
  9       posed under the provisions of K.S.A. 79-5021 through 79-5035, and
10       amendments thereto.
11           (f) On the 10th of each month, the director of accounts and reports
12       shall transfer from the state general fund to the Washburn university bond
13       and interest sinking fund interest earnings based on: (1) The average daily
14       balance of moneys in the Washburn university bond and interest sinking
15       fund for the preceding month; and (2) the net earnings rate for the pooled
16       money investment portfolio for the preceding month.
17           New Sec. 61. For the 2000-01 academic year and for each academic
18       year thereafter, until such time as the state council on higher education
19       determines that the rates of Kansas resident undergraduate tuition for
20       Emporia state university, Fort Hays state university and Pittsburg state
21       university are comparable to the rate of Kansas resident undergraduate
22       tuition for Washburn university, the state council shall submit budget
23       requests for Washburn university which presume that the percentage
24       increase in the rate of Kansas resident undergraduate tuition for Wash-
25       burn university shall be no greater than 1/2 of the percentage increase in
26       the rate of Kansas resident undergraduate tuition for Emporia state uni-
27       versity, Fort Hays state university and Pittsburg state university.
28           New Sec. 62. (a) As used in this section:
29           (1) ``Governing board'' means in the case of a community college, the
30       board of trustees; in the case of an area vocational school or a technical
31       college that formerly was an area vocational school, the board of education
32       of the sponsoring school district; in the case of an area vocational-tech-
33       nical school or a technical college that formerly was an area vocational-
34       technical school, the board of control.
35           (2) ``College'' means a community college or a technical college.
36           (3) ``Vocational education school'' means an area vocational school or
37       an area vocational-technical school.
38           (b) A college or a vocational education school may affiliate with and
39       be made a part of any state educational institution with the approval of
40       the state council on higher education pursuant to rules and regulations
41       adopted by the state council. Any such affiliation is subject to specific
42       authorization by act of the legislature. Rules and regulations adopted by
43       the state council shall address such matters as the mission and relationship

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45

  1       of the affiliated institutions, effect on delivery of college and vocational
  2       education programs to residents in the service area of the college or vo-
  3       cational education school, disposition of all real property of the college
  4       or vocational education school, disposition of all personal property, re-
  5       cords and moneys, including state and federal financial aid, of the college
  6       or vocational education school, payment of all lawful debts of the college
  7       or vocational education school, including any outstanding bonded in-
  8       debtedness attributable to the operation thereof, payment of all accrued
  9       compensation or salaries of all personnel of the college or vocational ed-
10       ucation school, transfer of personnel, if such personnel are deemed nec-
11       essary, in the employment of the college or vocational education school
12       to the employment of the state educational institution, and such other
13       matters as may need to be addressed as the result of the proposed affil-
14       iation.
15           (c) A proposal by a college or a vocational education school to affiliate
16       with and be made a part of a state educational institution may be effec-
17       tuated as follows:
18           (1) The governing board of an area vocational school or a technical
19       college that formerly was an area vocational school may propose, by res-
20       olution approved by a majority of the members of the board, the affiliation
21       with a state educational institution; or
22           (2) the governing board of an area vocational-technical school or a
23       technical college that formerly was an area vocational-technical school
24       may propose, by resolutions approved by a majority of the members of
25       each participating board, the affiliation with a state educational institu-
26       tion; or
27           (3) the board of trustees of a community college may propose, by
28       resolution adopted by a majority of the members of the board, the affil-
29       iation with a state educational institution. The resolution proposing the
30       affiliation shall be published once in a newspaper having general circu-
31       lation in the community college district. The publication of the resolution
32       shall include a statement that the board of trustees intends to submit the
33       resolution for affiliation with a state educational institution, which insti-
34       tution shall be named, to the state council on higher education unless a
35       petition in opposition to the same, signed by not less than 15% of the
36       qualified electors of the community college district, is filed with the
37       county election officer of the county in which the main campus of the
38       community college is located within 30 days after publication. If no pe-
39       tition as specified above is filed, the resolution proposing affiliation of the
40       community college with a state educational institution shall be deemed
41       approved and may be submitted to the state council on higher education.
42       If a petition is filed, the county election officer shall submit the question
43       of whether the resolution proposing affiliation of the community college

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46

  1       with a state educational institution should be approved at the next general
  2       election of members of the board of trustees. All qualified electors resid-
  3       ing within the community college district may vote at the election. If a
  4       majority of those voting at the election approve the resolution proposing
  5       affiliation of the community college with a state educational institution,
  6       the resolution may be submitted to the state council on higher education.
  7       If a majority of those voting at the election disapprove the resolution
  8       proposing affiliation of the community college with a state educational
  9       institution, the resolution shall not be submitted to the state council on
10       higher education and no like resolution shall be adopted by the board of
11       trustees within the 12 months following the date of the election.
12           (d) If a resolution proposing the affiliation of a college or vocational
13       education school with a state educational institution is approved as pro-
14       vided in subsection (c), the proposal shall be submitted to the state coun-
15       cil on higher education for its consideration and approval or disapproval.
16       The state council shall consider the proposal and make a determination
17       concerning whether the proposed affiliation is in the best interest of the
18       educational system of the state. If the state council approves the proposed
19       affiliation, the state council shall develop an affiliation plan addressing all
20       matters specified in subsection (b) in accordance with the standards rules
21       and regulations adopted pursuant to such subsection and shall recom-
22       mend the proposed affiliation to the legislature.
23           (e) Upon authorization by act of the legislature, the affiliation plan
24       developed by the state council shall be effectuated. The act of the legis-
25       lature authorizing the affiliation of a college or vocational education
26       school with a state educational institution shall provide authority for the
27       levy of a local property tax for capital improvements and debt retirement.
28           (f) The governing board of the affiliated college or vocational edu-
29       cation school shall become and hereby is established as an adjunct to the
30       chief executive officer of the state educational institution with which the
31       college or vocational education school is affiliated. Each such board, in
32       addition to such other powers expressly granted by law and subject to
33       rules and regulations of the state council on higher education, is hereby
34       granted the following powers: (1) To determine and have jurisdiction over
35       noncredit economic development courses and community service activi-
36       ties; and (2) to advise and consult with the chief executive officer of the
37       state educational institution on all matters relating to courses, programs,
38       services and activities transferred to the jurisdiction of the state educa-
39       tional institution by reason of the affiliation including, but not by way of
40       limitation, matters relating to personnel and budget allocations.
41           (g) A state educational institution with which a technical college, area
42       vocational school or area vocational-technical school has been affiliated is
43       authorized to provide vocational education courses or programs to pupils

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47

  1       enrolled in a school district or such state educational institution may enter
  2       into an agreement with the board of education of any school district to
  3       provide vocational education courses or programs.
  4           (h) Except as otherwise specifically provided by law, each college or
  5       vocational education school that is specifically approved for affiliation with
  6       a state educational institution by act of the legislature shall be considered
  7       to be a part of the state educational institution for all purposes under law
  8       and shall be subject to the control and supervision of the state council on
  9       higher education as provided by law for state educational institutions.
10           (i) No suit, action or other proceeding, judicial or administrative, law-
11       fully commenced, or which could have been commenced, by or against
12       any college or vocational education school affiliated with a state educa-
13       tional institution in accordance with the provisions of this act, or by or
14       against any personnel of any such college or vocational education school,
15       shall abate by reason of such affiliation. The court may allow any such
16       suit, action or other proceeding to be maintained by or against the state
17       educational institution with which such college or vocational education
18       school is affiliated. No criminal action commenced or which could have
19       been commenced by any college or vocational education school affiliated
20       with a state educational institution in accordance with the provisions of
21       this act shall abate by the taking effect of this act.
22           (j) The provisions of this section shall take effect and be in force from
23       and after July 1, 2000.
24           New Sec. 63. The provisions of section 63 through 69, and amend-
25       ments thereto, shall be known and may be cited as the Dwight David
26       Eisenhower scholarship act. The provisions of the Dwight David Eisen-
27       hower scholarship act shall take effect and be in force from and after July
28       1, 2000.
29           New Sec. 64. As used in the Dwight David Eisenhower scholarship
30       act:
31           (a) ``Eisenhower scholarship'' means an award of financial assistance
32       by this state to an Eisenhower scholar.
33           (b) ``Eisenhower scholar'' means a person who: (1) Is a Kansas resi-
34       dent; (2) has qualified as a finalist for a national merit scholarship; and
35       (3) is initially acceptable for entering a qualified institution or who has so
36       entered and is in good standing and making satisfactory progress. Eligi-
37       bility of a person for qualification as an Eisenhower scholar and the award
38       of an Eisenhower scholarship shall commence immediately upon gradu-
39       ation of the person from high school.
40           (c) ``Qualified institution'' means a state educational institution, a
41       community college, a technical college, an area vocational school or an
42       area vocational-technical school.
43           (d) ``State council'' means the Kansas council on higher education

Sub. HB 2793--Am. by HCW

48

  1       provided for in the constitution of this state and established by section 3,
  2       and amendments thereto.
  3           (e) ``Semester'' means one or two principal terms, when there are
  4       only two principal terms in the academic year, whether or not there are
  5       other shorter terms during the same academic year.
  6           (f) ``Program period'' means the duration of the period of time, or
  7       any division thereof, required for completion of a vocational or technical
  8       education program which is given in a qualified institution.
  9           New Sec. 65. Within the limits of appropriations therefor, an Eisen-
10       hower scholarship may be awarded to any qualified Eisenhower scholar
11       enrolled full time in a specified program at any qualified institution. Com-
12       mencing with the first semester after qualification, an Eisenhower scholar
13       may be awarded an Eisenhower scholarship for not more than eight con-
14       secutive semesters of undergraduate study or the equivalent thereof. The
15       state council shall determine the equivalent of a semester when any pro-
16       gram period or all or part of the terms for which an Eisenhower scholar
17       is awarded an Eisenhower scholarship are not semesters.
18           New Sec. 66. The amount of an Eisenhower scholarship awarded to
19       an Eisenhower scholar for the fall and spring semesters or other program
20       periods shall be the amount of the scholar's tuition and required fees for
21       the period.
22           New Sec. 67. (a) An Eisenhower scholarship may be paid annually
23       or as otherwise specified by the state council. Eisenhower scholarships
24       shall be paid upon certification by the qualified institution that the Ei-
25       senhower scholar is enrolled and is qualified. Payments of Eisenhower
26       scholarships shall be made upon warrants of the director of accounts and
27       reports pursuant to vouchers approved by the administrative officer of
28       the state council designated by the council. Payments of Eisenhower
29       scholarships may be made by the issuance of a single warrant to each
30       qualified institution at which an Eisenhower scholar is enrolled for the
31       total amount of Eisenhower scholarships for all Eisenhower scholars en-
32       rolled at the institution. The director of accounts and reports shall cause
33       such warrant to be delivered to the qualified institution at which such
34       scholar or scholars are enrolled. Upon receipt of such warrant, the amount
35       thereof shall be credited to the Eisenhower scholarship fund of the qual-
36       ified institution and allocated within the fund to the account of each
37       Eisenhower scholar enrolled at that institution. The amount to be cred-
38       ited to the account of each such scholar shall be specified by the state
39       council.
40           (b) If an Eisenhower scholar discontinues attendance before the end
41       of any semester or other program period, after the qualified institution
42       has received payment under this section, the qualified institution shall
43       debit the account of the scholar by an amount equal to the entire amount

Sub. HB 2793--Am. by HCW

49

  1       which such scholar would otherwise qualify to have refunded, not to ex-
  2       ceed the amount credited to the account of the scholar under an Eisen-
  3       hower scholarship for the semester or other program period and, if an
  4       Eisenhower scholar has received payments under any federal program of
  5       student assistance in the semester or other program period, less an
  6       amount equal to the pro rata share of such entire amount which is attrib-
  7       utable to the assistance received by the scholar under such federal pro-
  8       gram or programs.
  9           (c) All amounts debited by a qualified institution under subsection
10       (b) shall be reallocated within the Eisenhower scholarship fund of the
11       institution to the account of other Eisenhower scholars as specified by
12       the state council.
13           New Sec. 68. The state council shall administer the Eisenhower
14       scholarship program and shall:
15           (a) Publicize Eisenhower scholarships and provide information re-
16       garding application procedures;
17           (b) designate and notify each Eisenhower scholar;
18           (c) approve and award Eisenhower scholarships;
19           (d) evaluate the Eisenhower scholarship program annually, and make
20       a report thereon to the governor and the legislature;
21           (e) require any qualified institution to promptly furnish any infor-
22       mation which the state council requests relating to administration or ef-
23       fect of the Eisenhower scholarship program.
24           New Sec. 69. Each applicant for an Eisenhower scholarship, in ac-
25       cordance with rules and regulations of the state council, shall:
26           (a) Be responsible for submission to the state council of evidence of
27       qualification as a finalist for a national merit scholarship;
28           (b) complete and file an application for an Eisenhower scholarship;
29       and
30           (c) report promptly to the state council any information requested
31       relating to administration of the Eisenhower scholarship program.
32           New Sec. 70. The Kansas council on higher education shall establish
33       and implement a financial assistance program for Kansas residents who
34       are students at postsecondary educational institutions in accordance with
35       this section and rules and regulations adopted by the state council. The
36       financial assistance program shall be designed to augment and supple-
37       ment other available financial assistance, including, but not limited to,
38       financial assistance through state or federal programs providing scholar-
39       ships, grants, tuition assistance or work-study opportunities, and to pro-
40       vide financial assistance to persons with demonstrated need who are stu-
41       dents at postsecondary educational institutions. Eligibility for the financial
42       assistance program shall be established in accordance with need-based
43       and other criteria prescribed by rules and regulations adopted by the state

Sub. HB 2793--Am. by HCW

50

  1       council. Subject to available appropriations, the financial assistance pro-
  2       gram established under this section shall provide grants or other forms
  3       of financial assistance to eligible students for all or part of tuition and fees
  4       charged by the postsecondary educational institution for each semester,
  5       or other equivalent academic or instructional period, and may be renewed
  6       for not more than eight semesters, or other equivalent academic or in-
  7       structional periods, upon continued satisfactory completion of the stu-
  8       dent's course-work requirements at the postsecondary educational insti-
  9       tution and maintaining the equivalent of at least a 2.5 grade point average
10       3.0 grade point average on a 4.0 grade point scale, as determined
11       by the state council. The state council shall implement the student finan-
12       cial assistance program commencing with the fall semester of the 2000-
13       2001 academic year, or the equivalent academic or instructional period
14       that commences in the fall of 2000.
15        [New Sec. 71. (a) For all taxable years commencing after De-
16       cember 31, 1997, a credit shall be allowed against the tax liability
17       imposed under the Kansas income tax act upon an individual for
18       amounts incurred during the taxable year for tuition, textbooks
19       and associated fees for all dependents of such individual attending
20       any Kansas area vocational school, area vocational-technical
21       school, community college, technical college, municipal university,
22       state educational institution under the control and supervision of
23       the state board of regents or its successor, or accredited inde-
24       pendent postsecondary educational institution located and oper-
25       ating in Kansas.
26           [(b) The amount of such credit shall be the amount paid for
27       tuition, textbooks and associated fees but shall not exceed $500 for
28       each dependent expended in any taxable year. If the amount of
29       such credit exceeds the individual's income tax liability for the ap-
30       propriate taxable year, such excess amount shall be refunded. This
31       credit shall not be allowed, however, if the taxpayer's adjusted
32       gross income exceeds the sum of $80,000 in the event of a married
33       taxpayer filing a joint return, or the sum of $40,000 in the event
34       of all other taxpayers.
35           [(c) No credit shall be allowed for such expenses incurred for
36       any dependent who has completed four years of attendance at any
37       such institution after the effective date of this act.]
38           Sec. 71. [72.]
39      
UNIVERSITY OF KANSAS
40           (a) There is appropriated for the above agency from the state general
41       fund for the fiscal year or years specified, the following:
42      
43		 Enhancement and equity funding
    For the fiscal year ending June 30, 1999		 $1,978,240

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51

1           For the fiscal year ending June 30, 2000 $6,676,560
  2           (b) The appropriations made by this section shall not be subject to
  3       the provisions of K.S.A. 46-155 and amendments thereto.
  4           Sec. 72. [73.]
  5      
UNIVERSITY OF KANSAS MEDICAL CENTER
  6           (a) There is appropriated for the above agency from the state general
  7       fund for the fiscal year or years specified, the following:
8      
9		 Enhancement and equity funding
    For the fiscal year ending June 30, 1999		 $1,046,400
10           For the fiscal year ending June 30, 2000 $3,531,600
11           (b) The appropriations made by this section shall not be subject to
12       the provisions of K.S.A. 46-155 and amendments thereto.
13           Sec. 73. [74.]
14      
KANSAS STATE UNIVERSITY
15           (a) There is appropriated for the above agency from the state general
16       fund for the fiscal year or years specified, the following:
17      
18		 Enhancement and equity funding
    For the fiscal year ending June 30, 1999		 $1,244,800
19           For the fiscal year ending June 30, 2000 $4,201,200
20           (b) The appropriations made by this section shall not be subject to
21       the provisions of K.S.A. 46-155 and amendments thereto.
22           Sec. 74. [75.]
23      
KANSAS STATE UNIVERSITY EXTENSION SYSTEMS
24      
AND AGRICULTURE RESEARCH PROGRAMS
25           (a) There is appropriated for the above agency from the state general
26       fund for the fiscal year or years specified, the following:
27      
28		 Enhancement and equity funding
    For the fiscal year ending June 30, 1999		 $519,040
29           For the fiscal year ending June 30, 2000 $1,751,760
30           (b) The appropriations made by this section shall not be subject to
31       the provisions of K.S.A. 46-155 and amendments thereto.
32           Sec. 75. [76.]
33      
KANSAS STATE UNIVERSITY VETERINARY MEDICAL CENTER
34           (a) There is appropriated for the above agency from the state general
35       fund for the fiscal year or years specified, the following:
36      
37		 Enhancement and equity funding
    For the fiscal year ending June 30, 1999		 $126,700
38           For the fiscal year ending June 30, 2000 $427,660
39           (b) The appropriations made by this section shall not be subject to
40       the provisions of K.S.A. 46-155 and amendments thereto.
41           Sec. 76. [77.]
42      
WICHITA STATE UNIVERSITY
43           (a) There is appropriated for the above agency from the state general

Sub. HB 2793--Am. by HCW

52

  1       fund for the fiscal year or years specified, the following:
2      
3		 Enhancement and equity funding
    For the fiscal year ending June 30, 1999		 $535,040
4           For the fiscal year ending June 30, 2000 $1,805,760
  5           (b) The appropriations made by this section shall not be subject to
  6       the provisions of K.S.A. 46-155 and amendments thereto.
  7           Sec. 77. [78.]
  8      
EMPORIA STATE UNIVERSITY
  9           (a) There is appropriated for the above agency from the state general
10       fund for the fiscal year or years specified, the following:
11      
12		 Enhancement and equity funding
    For the fiscal year ending June 30, 1999		 $279,680
13           For the fiscal year ending June 30, 2000 $943,920
14           (b) The appropriations made by this section shall not be subject to
15       the provisions of K.S.A. 46-155 and amendments thereto.
16           Sec. 78. [79.]
17      
FORT HAYS STATE UNIVERSITY
18           (a) There is appropriated for the above agency from the state general
19       fund for the fiscal year or years specified, the following:
20      
21		 Enhancement and equity funding
    For the fiscal year ending June 30, 1999		 $326,400
22           For the fiscal year ending June 30, 2000 $1,101,600
23           (b) The appropriations made by this section shall not be subject to
24       the provisions of K.S.A. 46-155 and amendments thereto.
25           Sec. 79. [80.]
26      
PITTSBURG STATE UNIVERSITY
27           (a) There is appropriated for the above agency from the state general
28       fund for the fiscal year or years specified, the following:
29      
30		 Enhancement and equity funding
    For the fiscal year ending June 30, 1999		 $343,680
31           For the fiscal year ending June 30, 2000 $1,159,920
32           (b) The appropriations made by this section shall not be subject to
33       the provisions of K.S.A. 46-155 and amendments thereto.
34           Sec. 80. [81.]
35      
STATE BOARD OF REGENTS
36           (a) There is appropriated for the above agency from the state general
37       fund for the fiscal year or years specified, the following:
38      
39		 Washburn university property tax mill levy reduction and transition expenses
    For the fiscal year ending June 30, 2000		 $13,200,000
40           (b)The appropriations made by this section shall not be subject to
41       the provisions of K.S.A. 46-155 and amendments thereto.
42           Sec. 81. [82.]
43      
DEPARTMENT OF EDUCATION
44           (a)There is appropriated for the above agency from the state general
45       fund for the fiscal year or years specified, the following:
46      
47		 Community college credit hour state aid
    For the fiscal year ending June 30, 2000		 $33,089,062
48      
49		 Community college out-district state aid entitlement
    For the fiscal year ending June 30, 2000		 $1,335,198
50      
51		 Community college operating grant
    For the fiscal year ending June 30, 2000		 $3,997,444
52      
53		 Community college administrative state aid
    For the fiscal year ending June 30, 2000		 $5,700,000
54      
55		 Technical college and area vocational school technology improvements
    For the fiscal year ending June 30, 2000		 $1,000,000
56      
57		 Community college technology improvements
    For the fiscal year ending June 30, 2000		 $700,000
58           (b) The appropriations made by this section shall not be subject to
59       the provisions of K.S.A. 46-155 and amendments thereto.
60           Sec. 82. [83.]
61      
KANSAS COUNCIL ON HIGHER EDUCATION
62           (a) There is appropriated for the above agency from the state general
63       fund for the fiscal year or years specified, the following:
64      
65		 Operations (including official hospitality)
    For the fiscal year ending June 30, 1999		 $200,000
66           For the fiscal year ending June 30, 2000 $1,000,000
67           For the fiscal year ending June 30, 2001 $1,000,000
68           For the fiscal year ending June 30, 2002 $1,000,000
69      
70		 Washburn university property tax mill levy reduction and transition ex-penses
    For the fiscal year ending June 30, 2001		 $14,600,000
71      
72		 Merger and affiliation incentives
    For the fiscal year ending June 30, 2001		 $8,000,000
73           For the fiscal year ending June 30, 2002 $8,000,000
74      
75		 Enhancement and equity funding
    For the fiscal year ending June 30, 2001		 $25,000,000
76           For the fiscal year ending June 30, 2002 $50,000,000
77      
78		 Community college property tax mill levy reduction
    For the fiscal year ending June 30, 2000		 $41,500,000
79           For the fiscal year ending June 30, 2002 $41,500,000

Sub. HB 2793--Am. by HCW

54

1      
2		 Community college credit hour state aid
    For the fiscal year ending June 30, 2001		 $33,089,062
3           For the fiscal year ending June 30, 2002 $33,089,062
4      
5		 Community college out-district state aid entitlement
    For the fiscal year ending June 30, 2001		 $1,335,198
6           For the fiscal year ending June 30, 2002 $1,335,198
7      
8		 Community college operating grant
    For the fiscal year ending June 30, 2001		 $3,997,444
9           For the fiscal year ending June 30, 2002 $3,997,444
10      
11		 Community college administrative state aid
    For the fiscal year ending June 30, 2001		 $5,700,000
12           For the fiscal year ending June 30, 2002 $5,700,000
13      
14		 Technical college and area vocational school technology improvements
    For the fiscal year ending June 30, 2001		 $1,000,000
15           For the fiscal year ending June 30, 2002 $1,000,000
16      
17		 Community college technology improvements
    For the fiscal year ending June 30, 2001		 $700,000
18           For the fiscal year ending June 30, 2002 $700,000
19      
20		 Financial assistance for students at postsecondary educational institutions
    For the fiscal year ending June 30, 2001		 $6,000,000
21           For the fiscal year ending June 30, 2002 $8,000,000
22           (b) The appropriations made by this section shall not be subject to
23       the provisions of K.S.A. 46-155 and amendments thereto.
24           New Sec. 83. [84.] The enhanced funding appropriated in sections
25       71 through 82, and amendments thereto, is in addition to typical base
26       budget funding increases provided by appropriation acts and is not in-
27       tended to pay for normal operating expenditure increases or to replace
28       existing funding. It is the intent of the legislature to provide extraordinary
29       funding to enable postsecondary educational institutions to achieve a level
30       of excellence that would not otherwise be possible.
31           Sec. 84. [85.] On January 1, 1999, K.S.A. 1997 Supp. 74-4925 is
32       hereby amended to read as follows: 74-4925. (1) The state board of re-
33       gents shall:
34           (a) Assist all those members of the faculty and other persons who are
35       employed by the state board of regents or by educational institutions
36       under its management and who are in the unclassified service under the
37       Kansas civil service act as provided in subsection (1)(f) of K.S.A. 75-2935
38       and amendments thereto, except health care employees, as defined by
39       subsection (1)(f) of K.S.A. 75-2935 and amendments thereto, or, after
40       June 30, 2000, who are described in subsection (9), in the purchase of
41       retirement annuities for their service rendered after December 31, 1961.
42       Effective on the first day of the first payroll period commencing with or
43       following July 1, 1994, county extension agents employed by Kansas state

Sub. HB 2793--Am. by HCW

55

  1       university under K.S.A. 2-615 and amendments thereto shall be eligible
  2       for assistance by the state board of regents in the purchase of retirement
  3       annuities under this section. The state board of regents shall not assist
  4       any such person who is employed after December 31, 1961, until such
  5       person has been employed for a waiting period of at least one year except
  6       that (i) the state board of regents may assist any newly employed person
  7       immediately if at the time of the commencement of employment the
  8       person is covered by a valid retirement annuity contract issued by a com-
  9       pany described in subsection (2) which was entered into pursuant to a
10       retirement pension plan adopted for faculty members or other persons,
11       or both, employed by an institution of higher education and to which such
12       person or such person's employer on such person's behalf has been mak-
13       ing contributions for at least one year, and (ii) all periods of employment
14       with (A) participating employers under the Kansas public employees re-
15       tirement system, for which employment participating service credit ac-
16       crued, or (B) institutions of higher education in other states for which
17       employment retirement benefits accrued under a retirement system or
18       plan provided for such employment, shall be credited toward satisfaction
19       of such one-year waiting period if served, in either case, during the five
20       years immediately preceding employment with the state board of regents
21       or with an educational institution under its management in the unclassi-
22       fied service under the Kansas civil service act as provided in subsection
23       (1)(f) of K.S.A. 75-2935 and amendments thereto, in addition to such
24       employment with the state board of regents or with an educational insti-
25       tution under its management; no period of employment as a student em-
26       ployee, as a seasonal or temporary employee or as a part-time employee,
27       whose employment requires less than 1,000 hours of work per year, shall
28       be credited toward the one-year waiting period under subsection (1)(a);
29       this act shall not apply to persons employed in such temporary and
30       part-time positions designated by the state board of regents as exceptions
31       hereto;
32           (b) require such members of the faculty and others described in sub-
33       section (1)(a) who are so assisted by the state board of regents to con-
34       tribute an amount toward the purchase of such retirement annuities of
35       5.5% of their salaries, such contributions to be made through payroll
36       deductions and on a pretax basis;
37           (c) contribute an amount toward the purchase of such retirement
38       annuities equal to the percentage amount, as prescribed by K.S.A. 74-
39       4925e and amendments thereto, of the total amount of the salaries on
40       which such members of the faculty and others described in subsection
41       (1)(a) contribute during such period for which the contribution of the
42       state board of regents is made;
43           (d) provide, under such rules and regulations as the state board of

Sub. HB 2793--Am. by HCW

56

  1       regents may adopt, for the retirement of any such member of the faculty
  2       or other person described in subsection (1)(a) on account of age or con-
  3       dition of health, retirement of such member of the faculty or other person
  4       described in subsection (1)(a) on account of age to be not earlier than the
  5       55th birthday and prior to January 1, 1994, not later than the end of the
  6       academic year following the 70th year. On and after January 1, 1994, there
  7       shall be no mandatory retirement on account of age. Any person who
  8       retires under this section and who receives benefits from the Kansas pub-
  9       lic employees retirement system for prior service credit shall have such
10       benefits calculated in accordance with the applicable provisions of K.S.A.
11       74-4914 and 74-4915 and amendments thereto.
12           (2) For the purposes of this section the state board of regents may
13       contract with:
14           (a) Any life insurance company authorized to do business in this state;
15       or
16           (b) any life insurance company organized and operated without profit
17       to any private shareholder or individual exclusively for the purpose of
18       aiding and strengthening educational institutions by issuing insurance and
19       annuity contracts only to or for the benefit of such institution and indi-
20       viduals engaged in the services of such institutions, whether or not such
21       company is authorized to do business in Kansas. No premium tax or in-
22       come tax shall be due or payable on such annuity contract or contracts
23       for such retirement programs issued by a company described in this sub-
24       section (2)(b), except that neither the purchase nor the issuance of such
25       retirement annuities from or by a company described in this subsection
26       (2)(b) shall constitute the effecting of a contract of insurance.
27           (3) (a) Such member of the faculty or other person described in sub-
28       section (1)(a) shall also be a member of the Kansas public employees
29       retirement system, but only for the purpose of granting retirement ben-
30       efits based on prior service only which was rendered prior to January 1,
31       1962, which shall be credited to the member as provided in subsection
32       (1) of K.S.A. 74-4913 and amendments thereto, except that such member
33       of the faculty or other person described in subsection (1)(a) who was
34       employed prior to July 1, 1962, who has not yet retired and who is em-
35       ployed on July 1, 1988, on an academic year contract, shall receive credit
36       for 12 months of prior service for each nine months of prior service for
37       which such member or person was employed on an academic year con-
38       tract prior to July 1, 1962. For the purpose of determining eligibility for
39       a vested benefit, service by such a member of the faculty or other person
40       after December 31, 1961, shall be construed to be credited service under
41       subsection (2) of K.S.A. 74-4917 and amendments thereto.
42           (b) Any member of the faculty or other person described in subsec-
43       tion (1)(a) who retires after 10 years of continuous service immediately

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  1       preceding retirement shall be granted a retirement benefit based on prior
  2       service only which was rendered prior to January 1, 1962. Application for
  3       such benefit shall be in such form and manner as the board shall pre-
  4       scribe.
  5           (4) For the purpose of establishing a procedure whereby the state
  6       board of regents and any member of the faculty or other person described
  7       in subsection (1)(a), subject to rules and regulations of the state board of
  8       regents, may take advantage of section 403(a) or (b) of the federal internal
  9       revenue code of 1986 or any other section of the federal internal revenue
10       code of 1986 which defers or excludes amounts from inclusion in income,
11       any member of the faculty or any other person described in subsection
12       (1)(a), whether or not such person has satisfied the one-year waiting pe-
13       riod requirement under subsection (1)(a), may request in writing that the
14       state board of regents reduce such person's annual salary, as fixed by the
15       board, in an amount equal to not less than 5% nor more than the per-
16       centage allowed under section 403(b) of the federal internal revenue code
17       of 1986, as designated by such member of the faculty or other person
18       described in subsection (1)(a), of the gross amount of such annual salary.
19       In the event of such request by a faculty member or other person who is
20       required to make the contribution as provided in subsection (1)(b), such
21       person shall not be required to make such contribution and the state
22       board of regents shall provide a sum equal to the percentage amount, as
23       prescribed by K.S.A. 74-4925e and amendments thereto, of the gross
24       annual salary of the member of the faculty or other person and shall
25       purchase for and on behalf of each such person whose salary has been so
26       reduced a retirement annuity contract or contracts, the annual premiums
27       for which shall be equal to the sum of the amount of the salary reduction
28       of the member of the faculty or other person and the amount paid by the
29       state board of regents. In the event of such request by a faculty member
30       or other person who is serving the one-year waiting period pursuant to
31       subsection (1)(a) who is not required to make the contribution as provided
32       in subsection (1)(b), the state board of regents shall purchase for and on
33       behalf of each such person whose salary has been so reduced a retirement
34       annuity contract or contracts, the annual premiums for which shall be
35       equal to the sum of the amount of the salary reduction of the member
36       of the faculty or other person, but the state board of regents shall not
37       provide the sum equal to the percentage amount, as prescribed by K.S.A.
38       74-4925e and amendments thereto, of the gross annual salary of such
39       person as provided for such person who is required to make the contri-
40       bution as provided in subsection (1)(b). Such retirement annuity contracts
41       may be purchased by the state board of regents from companies described
42       in subsection (2)(a) and subsection (2)(b) or from noninsurance compa-
43       nies who offer retirement plans that meet the requirements of section

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  1       403(b) of the federal internal revenue code of 1986, except that the state
  2       board of regents may require that the first 5% of the gross amount of
  3       such person's annual salary which is reduced under this subsection (4)
  4       and the amount equal to the percentage amount, as prescribed by K.S.A.
  5       74-4925e and amendments thereto, of the gross amount of such person's
  6       annual salary which is provided by the state board of regents for the
  7       purchase of retirement annuity contracts under this subsection (4), if
  8       required to be provided under this subsection (4), shall be used to pur-
  9       chase such retirement annuity contracts from such company or companies
10       as may be designated by the state board of regents for such purposes.
11       The director of accounts and reports is authorized to draw warrants on
12       the state treasurer upon the filing with the director of proper vouchers
13       for the amount of the premium on the retirement annuity contract to be
14       paid pursuant to the terms of such contracts and this act.
15           (5) All employees who are described in subsection (1)(a) and who
16       commence such employment on and after July 1, 1976, shall receive as-
17       sistance under subsection (1) and shall be covered by a valid retirement
18       annuity contract issued by a company described in subsection (2).
19           (6) Any employee of the state board of regents or of an educational
20       institution under its management, other than an elected official, who is
21       receiving or is eligible for assistance by the state board of regents in the
22       purchase of a retirement annuity under this section and who becomes
23       ineligible for such assistance because such employee's position is reclas-
24       sified to a position in the classified service under the Kansas civil service
25       act or who becomes ineligible for such assistance because such employee
26       transfers to a position in the classified service under the Kansas civil serv-
27       ice act with the state board of regents or an educational institution under
28       its management, shall become a member of the Kansas public employees
29       retirement system in accordance with the provisions of subsection (5) of
30       K.S.A. 74-4911 and amendments thereto, unless such employee files a
31       written election in the office of the Kansas public employees retirement
32       system, in the form and manner prescribed by the board of trustees
33       thereof, to remain eligible for assistance by the state board of regents
34       under this section prior to the first day of the first complete payroll period
35       occurring after the effective date of such reclassification or transfer. Fail-
36       ure to file such written election shall be presumed to be an election not
37       to remain eligible for assistance by the state board of regents under this
38       section and to become a member of the Kansas public employees retire-
39       ment system under subsection (5) of K.S.A. 74-4911 and amendments
40       thereto. Such election, whether to remain eligible for such assistance or
41       to become a member of such system, shall be effective as of the effective
42       date of such reclassification or transfer and shall be irrevocable.
43           (7) The state board of regents shall adopt uniform policies applicable

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59

  1       to members of the faculty and other persons, who are employed by the
  2       state board of regents or by any educational institution under its man-
  3       agement and who are in the unclassified service under the Kansas civil
  4       service act as provided in subsection (1)(f) of K.S.A. 75-2935 and amend-
  5       ments thereto, except health care employees, as defined by subsection
  6       (1)(f) of K.S.A. 75-2935 and amendments thereto, for the purposes of
  7       administering the provisions of this section and the provision of retire-
  8       ment annuities and other benefits hereunder. All assistance provided by
  9       the state board of regents for such persons, and agreements entered into
10       therefor, pursuant to this section prior to the effective date are hereby
11       authorized, confirmed and validated.
12           (8) Any employee described in subsection (1)(a) who is on leave of
13       absence and who accepts a position in the executive branch of govern-
14       ment may file a written election in the office of the Kansas public em-
15       ployees retirement system, in the form and manner prescribed by the
16       board, to remain eligible for assistance by the state board of regents under
17       this section prior to the first day of the first complete payroll period
18       occurring after the commencement of such service in the executive
19       branch of government. Failure to file such written election shall be pre-
20       sumed to be an election not to remain eligible for assistance by the state
21       board of regents. The state board of regents shall contribute an amount
22       toward the purchase of retirement annuities on behalf of such employee
23       equal to the sum of the amounts provided in subsection (1)(c).
24           (9) Each person, who is appointed by the state board of regents on
25       July 1, 2000, to a position in the classified service under the Kansas civil
26       service act at Washburn university as provided in section 56, and amend-
27       ments thereto, who was participating in the retirement plan of Washburn
28       university of Topeka prior to July 1, 2000, and who files a written election
29       as provided in section 56, and amendments thereto, to become eligible for
30       assistance by the state board of regents in the purchase of a retirement
31       annuity under this section, shall be eligible to receive assistance by the
32       state board of regents in the purchase of a retirement annuity in accord-
33       ance with this section, effective on July 1, 2000, or the effective date of
34       any such election, whichever is later.
35           Sec. 85. [86.] On January 1, 1999, K.S.A. 46-1208a and 46-1208b
36       and K.S.A. 1997 Supp. 74-4925 are hereby repealed.
37           Sec. 86. [87.] On July 1, 1999, K.S.A. 12-16,102, 13-13a25, 13-13a26,
38       13-13a27, 13-13a28, 13-13a29, 13-13a30, 13-13a31, 13-13a32, 13-13a33,
39       13-13a34, 71-204, 71-304, 71-305, 71-306, 71-403, 71-501, 71-601, 71-
40       604, 71-605, 71-609a, 71-610, 71-613, 71-1508, 71-1702, 72-4424, 79-
41       5021, 79-5022, 79-5024, 79-5025, 79-5026, 79-5028 and 79-5032 and
42       K.S.A. 1997 Supp. 19-101a, 71-201, 71-301, 71-401, 71-602, 71-607, 71-
43       609, 71-611, 71-613a and 71-619 are hereby repealed.

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  1           Sec. 87. [88.] On July 1, 2000, K.S.A. 71-801 is hereby repealed.
  2           Sec. 88. [89.] This act shall take effect and be in force from and after
  3       its publication in the statute book, the adoption of the proposition to
  4       amend sections 2, 3, 6 and 7 of article 6 of the constitution of the state
  5       of Kansas in 1998 House Concurrent Resolution No. 5049 at the general
  6       election held on November 3, 1998, and January 1, 1999.
  7