CHAPTER 86
SENATE BILL No. 186
An  Act concerning school districts; exempting purchases of natural gas from sealed bid
requirements; authorizing payment of certain claims in advance of approval; amending
K.S.A. 72-6760 and K.S.A. 1998 Supp. 12-105b and repealing the existing sections.

Be it enacted by the Legislature of the State of Kansas:

      Section  1. K.S.A. 72-6760 is hereby amended to read as follows: 72-
6760. (a) No expenditure involving an amount greater than $10,000 for
construction, reconstruction or remodeling or for the purchase of mate-
rials, goods or wares shall be made by the board of education of any school
district except upon sealed proposals, and to the lowest responsible bid-
der.

      (b) The provisions of subsection (a) do not apply to expenditures by
a board of education for the purchase of:

      (1) Services;

      (2) products required to be purchased under the provisions of K.S.A.
75-3317 through 75-3322, and amendments thereto;

      (3) educational materials directly related to curriculum and secured
by copyright;

      (4) motor fuels required to provide or furnish transportation;

      (5) perishable foods and foodstuffs required for operation of a school
lunch program;

      (6) articles or products that are produced, manufactured or provided
by inmates under the prison-made goods act of Kansas;

      (7) natural gas that will be consumed in buildings owned or operated
by the school district;

      (8) materials, goods or wares required for reconstructing, remodel-
ing, repairing or equipping buildings when such purchase has been ne-
cessitated by the occurrence of a loss against which the board of education
has purchased property or casualty insurance; and

      (8) (9) materials, goods or wares which are purchased:

      (A) From vendors who have entered into contracts with the state
director of purchases pursuant to state purchasing statutes for purchases
by state agencies; and

      (B) under the same pricing provisions established in the state con-
tracts, subject to agreement of the vendor to honor the state contract
prices.

      (c) Whenever the board of education of any school district lets bids
for the purchase of materials, goods or wares and bids are submitted by
bidders domiciled within the school district and by bidders domiciled
outside the school district and the low bid is submitted by a bidder dom-
iciled outside the school district, the school district domiciliary which
submitted the lowest bid may be deemed the preferred bidder and
awarded the bid if:

      (1) The quality, suitability and usability of the materials, goods or
wares are equal;

      (2) the amount of the bid of the school district domiciliary is not more
than 1% greater than the amount of the low bid; and

      (3) the school district domiciliary agrees to meet the low bid by filing
a written agreement to that effect within 72 hours after receiving notifi-
cation of being deemed the preferred bidder.

      (d) The provisions of subsection (c) do not apply to expenditures for
construction, reconstruction or remodeling.

      Sec.  2. K.S.A. 1998 Supp. 12-105b is hereby amended to read as
follows: 12-105b. (a) All claims against a municipality must be presented
in writing with a full account of the items, and no claim shall be allowed
except in accordance with the provisions of this section. A claim may be
the usual statement of account of the vendor or party rendering a service
or other written statement showing the required information.

      (b) Claims for salaries or wages of officers or employees need not be
signed by the officer or employee if a payroll claim is certified to by the
administrative head of a department or group of officers or employees or
an authorized representative that the salaries or wages stated therein were
contracted or incurred for the municipality under authority of law, that
the amounts claimed are correct, due and unpaid and that the amounts
are due as salaries and wages for services performed by the person named.

      (c) No costs shall be recovered against a municipality in any action
brought against it for any claims allowed in part unless the recovery shall
be for a greater sum than the amount allowed, with the interest due.
Subject to the terms of applicable insurance contracts, judgments and
settlements obtained for claims recoverable pursuant to the Kansas tort
claims act shall be presented for payment in accordance with this section
or in such manner as the governing body may designate.

      (d) Any person having a claim against a municipality which could give
rise to an action brought under the Kansas tort claims act shall file a
written notice as provided in this subsection before commencing such
action. The notice shall be filed with the clerk or governing body of the
municipality and shall contain the following: (1) The name and address
of the claimant and the name and address of the claimant's attorney, if
any; (2) a concise statement of the factual basis of the claim, including
the date, time, place and circumstances of the act, omission or event
complained of; (3) the name and address of any public officer or employee
involved, if known; (4) a concise statement of the nature and the extent
of the injury claimed to have been suffered; and (5) a statement of the
amount of monetary damages that is being requested. In the filing of a
notice of claim, substantial compliance with the provisions and require-
ments of this subsection shall constitute valid filing of a claim. The con-
tents of such notice shall not be admissible in any subsequent action
arising out of the claim. Once notice of the claim is filed, no action shall
be commenced until after the claimant has received notice from the mu-
nicipality that it has denied the claim or until after 120 days has passed
following the filing of the notice of claim, whichever occurs first. A claim
is deemed denied if the municipality fails to approve the claim in its
entirety within 120 days unless the interested parties have reached a set-
tlement before the expiration of that period. No person may initiate an
action against a municipality unless the claim has been denied in whole
or part. Any action brought pursuant to the Kansas tort claims act shall
be commenced within the time period provided for in the code of civil
procedure or it shall be forever barred, except that, if compliance with
the provisions of this subsection would otherwise result in the barring of
an action, such time period shall be extended by the time period required
for compliance with the provisions of this subsection.

      (e) Claims against a municipality which provide for a discount for
early payment or for the assessment of a penalty for late payment may be
authorized to be paid in advance of approval thereof by the governing
body in accordance with the provisions of this subsection. The governing
body may designate and authorize one or more of its officers or employees
to pay any such claim made against the municipality in advance of its
presentation to and approval by the governing body if payment of the
amount of such claim is required before the next scheduled regular meet-
ing of the governing body in order for the municipality to benefit from
the discount provided for early payment or to avoid assessment of the
penalty for late payment. Any officer or employee authorized to pay
claims under this subsection shall keep an accurate record of all moneys
paid and the purpose for which expended, and shall submit the record to
the governing body at the next meeting thereof. Payments of claims by
an officer or employee of the municipality under authority of this sub-
section are valid to the same extent as if the claims had been approved
and ordered to be paid by the governing body.

      (f) When an employee is required to travel on behalf of a munici-
pality, the employee shall be entitled, upon complying with the provisions
of the municipality's policies and regulations on employee travel, to timely
payment of subsistence allowances and reimbursement for transportation
and other related travel expenses incurred by the employee while on an
approved travel status. When reimbursement through the regular claims
approval process of the municipality will require more than 15 days from
the date the reimbursement claim is filed, the claim may be authorized
to be paid in advance of approval thereof by the governing body in ac-
cordance with the provisions of this subsection. The governing body may
designate and authorize one or more of its officers or employees to pay
any such claim made against the municipality in advance of its presen-
tation to and approval by the governing body if payment of the amount
of such claim is required before the next scheduled regular meeting of
the governing body. Any officer or employee authorized to pay claims
under this subsection shall keep an accurate record of all moneys paid
and the purpose for which expended, and shall submit the record to the
governing body at the next meeting thereof. Payments of claims by an
officer or employee of the municipality under authority of this subsection
are valid to the same extent as if the claims had been approved and
ordered to be paid by the governing body.

      (g) Claims submitted by members of a municipality's self-insured
health plan may be authorized to be paid in advance of approval thereof
by the governing body. Such claims shall be submitted to the administra-
tive officer of such insurance plan.

      (h) Claims against a school district for the purchase of food or gaso-
line while students are on a co-curricular or extra-curricular activity out-
side of the school boundaries may be paid in advance of approval thereof
by the governing body in accordance with the provisions of this subsec-
tion. The governing body may designate and authorize one or more of its
officers or employees to pay any such claim made against the school dis-
trict in advance of its presentation to and approval by the governing body.

      (h) (i) Except as otherwise provided, before any claim is presented
to the governing body or before any claim is paid by any officer or em-
ployee of the municipality under subsection (e) or (f), it shall be audited
by the clerk, secretary, manager, superintendent, finance committee or
finance department or other officer or officers charged by law to approve
claims affecting the area of government concerned in the claim, and
thereby approved in whole or in part as correct, due and unpaid.

 Sec.  3. K.S.A. 72-6760 and K.S.A. 1998 Supp. 12-105b are hereby
repealed.

 Sec.  4. This act shall take effect and be in force from and after its
publication in the Kansas register.

Approved April 9, 1999.
 Published in the Kansas Register April 22, 1999.
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