[As Further Amended by Senate Committee of the Whole]

         
As Amended by Senate Committee

         
As Amended by House Committee
         
Session of 2000
         
HOUSE BILL No. 2832
         
By Committee on Economic Development
         
2-2
         

13             AN  ACT relating to the Kansas economic opportunity initiatives fund;
14             concerning reporting requirements for expenditures therefrom;
15             amending K.S.A. 1999 Supp. 74-50,151 and repealing the existing
16             section.
17      
18       Be it enacted by the Legislature of the State of Kansas:
19             Section  1. K.S.A. 1999 Supp. 74-50,151 is hereby amended to read
20       as follows: 74-50,151. (a) There is hereby created in the state treasury the
21       Kansas economic opportunity initiatives fund. Subject to acts of the leg-
22       islature applicable thereto, the moneys in the Kansas economic oppor-
23       tunity initiatives fund shall be used only for the purposes prescribed by
24       this section.
25             (b) All expenditures made pursuant to this act shall be made in ac-
26       cordance with appropriations acts upon warrants of the director of ac-
27       counts and reports issued pursuant to vouchers approved by the governor
28       or the governor's designee. The governor may approve a warrant upon
29       certification, by the secretary of commerce and housing, that an economic
30       emergency or unique opportunity exists which warrant funding for a stra-
31       tegic economic intervention by such state agency or agencies to address
32       expenses involved in securing economic benefits or avoiding or remedying
33       economic losses related to:
34             (1) A major expansion of an existing Kansas commercial enterprise;
35             (2) the potential location in Kansas of the operations of a major
36       employer;
37             (3) the award of a significant federal or private sector grant which has
38       a financial matching requirement;
39             (4) the departure from Kansas or the substantial reduction of the
40       operations of a major employer; and
41             (5) the closure or the substantial reduction of a major federal or
42       state institution or facility. [; and]
43        [(6) the staging of a national event by a local government.]


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  1             (c) An intervention strategy may include financial assistance in the
  2       form of grants, loans or both. The department of commerce and housing
  3       shall adopt written guidelines concerning the terms and conditions of any
  4       such loans. However, all repaid funds shall be credited to the Kansas
  5       economic opportunity initiatives fund. No intervention strategy approved
  6       pursuant to this act shall facilitate the moving of an existing Kansas firm
  7       to another location within the state unless such restriction is waived by
  8       the secretary of commerce and housing. Every intervention strategy ap-
  9       proved pursuant to this act shall identify the intended outcomes to be
10       realized by the strategy for which funding is sought.
11             (d) The department of commerce and housing and Kansas, Inc. shall
12       make joint findings concerning the costs and benefits, on both a local and
13       statewide basis, of projects proposed pursuant to this act. Prior to allo-
14       cation of any funds pursuant to this act, the governor shall review the
15       cost-benefit findings performed on each project.
16             (e) The director of the budget and the director of the legislative re-
17       search department shall consult periodically and review the balance cred-
18       ited to and the estimated receipts to be credited to the state economic
19       development initiatives fund during the fiscal year. During any period
20       when the legislature is not in session, upon a finding by the director of
21       the budget in consultation with the director of the legislative research
22       department that the total of the unencumbered balance and estimated
23       receipts to be credited to the state economic development initiatives fund
24       during a fiscal year are insufficient to fund the budgeted expenditures
25       and transfers from the state economic development initiatives fund for
26       the fiscal year in accordance with the provisions of appropriation acts, the
27       director of the budget shall make a certification of such finding to the
28       governor. Upon approval by the governor, the director of accounts and
29       reports shall transfer the amount of moneys from the Kansas economic
30       opportunity initiatives fund to the state economic development initiatives
31       fund that is required, in accordance with a certification by the director
32       of the budget under this subsection, to fund the budgeted expenditures
33       and transfers from the state economic development initiatives fund for
34       the fiscal year in accordance with the provisions of appropriation acts, as
35       specified by the director of the budget pursuant to such certification.
36             (f) On or before the 10th day of each month, the director of accounts
37       and reports shall transfer from the state general fund to the state eco-
38       nomic development initiatives fund interest earnings based on:
39             (1) The average daily balance of moneys in the Kansas economic op-
40       portunity initiatives fund for the preceding month; and
41             (2)  the net earnings rate for the pooled money investment portfolio
42       for the preceding month.
43             (g) A five member panel consisting of the secretary of commerce and


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  1       housing, the president of Kansas, Inc., the president of the Kansas tech-
  2       nology enterprise corporation, the private sector chairperson of the board
  3       of Kansas, Inc. and the private sector chairperson of the Kansas technol-
  4       ogy enterprise corporation shall review annually the propriety of projects
  5       funded under this section. The panel shall report its findings in writing
  6       to the governor, the chair of the economic development committee of the
  7       house of representatives and the chair of, the senate commerce committee
  8       and the joint committee on economic development.
  9        [(h) For purposes of this act, ``national event'' means an activity
10       or occurrence which is held not more than once per year at any
11       location in the United States; is televised nationally for a period of
12       more than one hour; is estimated to generate at least $100,000 in
13       state sales tax revenue; and is planned at least one year in advance.]
14        Sec.  2. K.S.A. 1999 Supp. 74-50,151 is hereby repealed.
15        Sec.  3. This act shall take effect and be in force from and after its
16       publication in the statute book.