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Session of 2000
          HOUSE BILL No. 2707                     By Representatives McKinney, Garner, Findley, Alldritt, Ballard, Barnes,                 Crow, Dean, Feuerborn, Flora, Gatewood, Grant, Haley, Henderson,
                Henry, Johnston, Kirk, Klein, Kuether, Larkin, McClure, Minor, Nich-
                ols, O'Brien, Pauls, E. Peterson, Phelps, Reardon, Rehorn, Reinhardt,
                Ruff, Sharp, Spangler, Storm, Tedder, Thimesch, Toelkes and Weiland
          1-25          

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15             AN  ACT establishing the state debt reduction fund; providing for trans-
16             fers of moneys thereto.
17      
18       Be it enacted by the Legislature of the State of Kansas:
19             Section  1. (a) In any year in which the sum of the amount by which
20       the actual general fund receipts for the fiscal year ending in such year
21       exceeds the original joint estimate of revenue to the state general fund
22       for that fiscal year prepared pursuant to K.S.A. 75-6701, and amendments
23       thereto, as adjusted for legislative changes during May of such calendar
24       year, by more than $50,000,000, 50% of such amount shall be transferred
25       from the state general fund to the state debt reduction fund.
26             (b) There is hereby established in the state treasury the state debt
27       reduction fund which shall be administered by the state treasurer. All
28       expenditures from the state debt reduction fund shall be for the purpose
29       of providing funding for retirement or defeasement of bonds issued for
30       programs and capital improvement projects for state agencies which
31       bonds become defeasible or callable during the fiscal year for which the
32       fund is appropriated or to otherwise offset outstanding state debt to be
33       retired from payments from the state general fund. Such expenditures
34       shall be made by the state treasurer in consultation with the Kansas de-
35       velopment finance authority upon warrants of the director of accounts
36       and reports issued pursuant to vouchers approved by the state treasurer
37       or the treasurer's designee.
38             (c) On or before the 10th day of each month, the director of accounts
39       and reports shall transfer from the state general fund to the state debt
40       reduction fund interest earnings based on: (1) The average daily balance
41       of moneys in the state debt reduction fund for the preceding month; and
42       (2) the net earnings rate of the pooled money investment portfolio for
43       the preceding month. 

2
  1        Sec.  2. This act shall take effect and be in force from and after its
  2       publication in the statute book.