CHAPTER 103
Substitute for HOUSE BILL No. 2005
(Amends Chapter 5)
(Amended by Chapter 167)
An Act concerning tax increment financing; reorganization
thereof; amending K.S.A. 12-
1772 and 12-17,104 and K.S.A. 2000 Supp. 12-1770, 12-1770a,
12-1771, 12-1771a, 12-
1771b, 12-1771d, 12-1773, 12-1774, 12-1774a, 12-1775, 12-1776,
19-101a, 74-5093, 79-
3620, as amended by section 460 of 2001 Senate Bill No. 15,
79-3620b and 79-3710, as
amended by section 461 of 2001 Senate Bill No. 15, and repealing
the existing sections;
also repealing K.S.A. 2000 Supp. 12-1771c and
12-1774b.
Be it enacted by the Legislature of the State of Kansas:
Section 1. K.S.A. 2000 Supp.
12-1770 is hereby amended to read as
follows: 12-1770. It is hereby declared to be the purpose of this
act to
promote, stimulate and develop the general and economic welfare of
the
state of Kansas and its communities and to assist in the
development and
redevelopment of blighted areas and deteriorating areas
which are not
yet blighted, but may be so in the future located within
cities, environ-
mentally contaminated areas located within and without
cities, enterprise
zones located within cities and, major tourism areas as
defined in sub-
section (a)(1)(D) of K.S.A. 12-1774, and amendments
thereto, thus eli-
gible areas within and without a city thereby promoting the
general wel-
fare of the citizens of this state, by authorizing cities to
acquire certain
property and to issue special obligation bonds and full faith and
credit tax
increment bonds for the financing of redevelopment projects. It is
further
found and declared that the powers conferred by this act are for
public
uses and purposes for which public money may be expended and
the
power of eminent domain exercised. The necessity in the public
interest
for the provisions of this act is hereby declared as a matter of
legislative
determination.
Sec. 2. K.S.A. 2000 Supp. 12-1770a
is hereby amended to read as
follows: 12-1770a. For purposes of K.S.A. 12-1770
et seq. and amend-
ments thereto:
(a) ``Historic theater'' means a
building constructed prior to 1940
which was constructed for the purpose of staging
entertainment, includ-
ing motion pictures, vaudeville shows or operas, that is
operated by a
nonprofit corporation and is designated by the state
historic preservation
officer as eligible to be on the Kansas register of
historic places or is a
member of the Kansas historic theatre
association;
(b) ``sales tax increment'' means
the amount of state and local sales
tax revenue imposed pursuant to K.S.A. 12-187
et seq., 79-3601
et seq.
and 79-3701 et
seq., and amendments thereto, collected from
taxpayers
doing business within the historic theater that is in
excess of the amount
of such taxes collected prior to the designation of the
building as a historic
theater for purposes of this act. As used in
this act, unless the context
clearly shows otherwise:
(a) ``Auto race track facility''
means: (1) An auto race track facility
and facilities directly related and necessary to the operation
of an auto
race track facility, including, but not limited to, grandstands,
suites and
viewing areas, concessions, souvenir facilities, catering
facilities, visitor
and retail centers, signage and temporary hospitality
facilities, but ex-
cluding (2) hotels, motels, restaurants and retail facilities,
not directly
related to or necessary to the operation of such
facility.
(b) ``Base year assessed valuation''
means the assessed valuation of all
real property within the boundaries of a redevelopment district
on the
date the redevelopment district was established.
(c) ``Blighted area'' means an area
which:
(1) Because of the presence of a
majority of the following factors,
substantially impairs or arrests the development and growth of
the mu-
nicipality or constitutes an economic or social liability or is
a menace to
the public health, safety, morals or welfare in its present
condition and
use:
(A) A substantial number of
deteriorated or deteriorating structures;
(B) predominance of defective or
inadequate street layout;
(C) unsanitary or unsafe
conditions;
(D) deterioration of site
improvements;
(E) tax or special assessment
delinquency exceeding the fair market
value of the real property;
(F) defective or unusual conditions of
title including but not limited
to cloudy or defective titles, multiple or unknown ownership
interests to
the property;
(G) improper subdivision or obsolete
platting or land uses;
(H) the existence of conditions which
endanger life or property by fire
or other causes; or
(I) conditions which create economic
obsolescence; or
(2) has been identified by any state
or federal environmental agency
as being environmentally contaminated to an extent that requires
a re-
medial investigation; feasibility study and remediation or other
similar
state or federal action; or
(3) previously was found by resolution
of the governing body to be a
slum or a blighted area under K.S.A. 17-4742 et
seq., and amendments
thereto.
(d) ``Conservation area'' means any
improved area comprising 15%
or less of the land area within the corporate limits of a city
in which 50%
or more of the structures in the area have an age of 35 years or
more,
which area is not yet blighted, but may become a blighted area
due to the
existence of a combination of two or more of the following
factors:
(1) Dilapidation, obsolescence or
deterioration of the structures;
(2) illegal use of individual
structures;
(3) the presence of structures below
minimum code standards;
(4) building abandonment;
(5) excessive vacancies;
(6) overcrowding of structures and
community facilities; or
(7) inadequate utilities and
infrastructure.
(e) ``De minimus'' means an amount
less than 15% of the land area
within a redevelopment district.
(f) ``Developer'' means any person,
firm, corporation, partnership or
limited liability company, other than a city.
(g) ``Eligible area'' means a blighted
area, conservation area, enter-
prise zone, historic theater or major tourism area.
(h) ``Enterprise zone'' means an area
within a city that was designated
as an enterprise zone prior to July 1, 1992, pursuant to K.S.A.
12-17,107
through 12-17,113, and amendments thereto, prior to its repeal
and the
conservation, development or redevelopment of the area is
necessary to
promote the general and economic welfare of such
city.
(i) ``Environmental increment'' means
the increment determined pur-
suant to subsection (b) of K.S.A. 12-1771a, and amendments
thereto.
(j) ``Environmentally contaminated
area'' means an area of land hav-
ing contaminated groundwater or soil which is deemed
environmentally
contaminated by the department of health and environment or the
United
States environmental protection agency.
(k) ``Feasibility study'' means a
study which shows whether a rede-
velopment project's benefits and tax increment revenue and other
avail-
able revenues under K.S.A. 12-1774 (a)(1) are expected to exceed
or be
sufficient to pay for the redevelopment project
costs.
(l) ``Historic theater'' means a
building constructed prior to 1940
which was constructed for the purpose of staging entertainment,
including
motion pictures, vaudeville shows or operas, that is operated by
a non-
profit corporation and is designated by the state historic
preservation
officer as eligible to be on the Kansas register of historic
places or is a
member of the Kansas historic theatre association.
(m) ``Historic theater sales tax
increment'' means the amount of state
and local sales tax revenue imposed pursuant to K.S.A.
12-187 et seq., 79-
3601 et seq. and 79-3701 et seq., and amendments thereto,
collected from
taxpayers doing business within the historic theater that is in
excess of
the amount of such taxes collected prior to the designation of
the building
as a historic theater for purposes of this act.
(n) ``Major tourism area'' means an
area for which the secretary has
made a finding the capital improvements costing not less
than
$100,000,000 will be built in the state to construct an auto
race track
facility.
(o) ``Real property taxes'' means all
taxes levied on an ad valorem basis
upon land and improvements thereon.
(p) ``Redevelopment project area'' or
``project area'' means an area
designated by a city within a redevelopment
district.
(q) ``Redevelopment project costs''
means those costs necessary to im-
plement a redevelopment plan, including, but not limited to
costs incurred
for:
(1) Acquisition of property within the
redevelopment project area;
(2) payment of relocation
assistance;
(3) site preparation including utility
relocations;
(4) sanitary and storm sewers and lift
stations;
(5) drainage conduits, channels and
levees;
(6) street grading, paving, graveling,
macadamizing, curbing, gutter-
ing and surfacing;
(7) street light fixtures, connection
and facilities;
(8) underground gas, water, heating
and electrical services and con-
nections located within the public right-of-way;
(9) sidewalks and pedestrian
underpasses or overpasses;
(10) drives and driveway approaches
located within the public right-
of-way;
(11) water mains and
extensions;
(12) plazas and arcades;
(13) parking facilities;
(14) landscaping and plantings,
fountains, shelters, benches, sculp-
tures, lighting, decorations and similar amenities;
and
(15) all related expenses to redevelop
and finance the redevelopment
project.
Redevelopment project costs shall not
include costs incurred in con-
nection with the construction of buildings or other structures
to be owned
by or leased to a developer, however, the ``redevelopment
project costs''
shall include costs incurred in connection with the construction
of build-
ings or other structures to be owned or leased to a developer
which in-
cludes an auto race track facility or is in a redevelopment
district includ-
ing some or all of the land and buildings comprising a state
mental
institution closed pursuant to section 2 of chapter 219 of the
1995 Session
Laws of Kansas.
(r) ``Redevelopment district'' means
the specific area declared to be
an eligible area in which the city may develop one or more
redevelopment
projects.
(s) ``Redevelopment district plan'' or
``district plan'' means the prelim-
inary plan that identifies all of the proposed redevelopment
project areas
and identifies in a general manner all of the buildings,
facilities and im-
provements in each that are proposed to be constructed or
improved in
each redevelopment project area.
(t) ``Redevelopment project'' means
the approved project to imple-
ment a project plan for the development of the established
redevelopment
district.
(u) ``Redevelopment project plan'' or
``project plan'' means the plan
adopted by a municipality for the development of a redevelopment
project
or projects which conforms with K.S.A. 12-1772, and
amendments
thereto, in a redevelopment district.
(v) ``Secretary'' means the secretary
of commerce and housing.
(w) ``Substantial change'' means, as
applicable, a change wherein the
proposed plan or plans differ substantially from the intended
purpose for
which the district plan or project plan was
approved.
(x) ``Tax increment'' means that
amount of real property taxes col-
lected from real property located within the redevelopment
district that
is in excess of the amount of real property taxes which is
collected from
the base year assessed valuation.
(y) ``Taxing subdivision'' means the
county, city, unified school dis-
trict and any other taxing subdivision levying real property
taxes, the
territory or jurisdiction of which includes any currently
existing or sub-
sequently created redevelopment district.
Sec. 3. K.S.A. 2000 Supp. 12-1771
is hereby amended to read as
follows: 12-1771. (a) No city shall exercise any of the
powers conferred
by K.S.A. 12-1770 et
seq., and amendments thereto, unless the
governing
body of such city has adopted a resolution finding that the
specific project
area sought to be redeveloped is a blighted area, a
conservation area, a
major tourism area as defined in K.S.A. 12-1774, and
amendments
thereto, a historic theater as defined in K.S.A. 2000 Supp.
12-1770a, and
amendments thereto, or was designated prior to July 1,
1992, as an en-
terprise zone pursuant to K.S.A. 12-17,110 prior to its
repeal, and the
conservation, development or redevelopment of such area is
necessary to
promote the general and economic welfare of such city.
Enterprise zones
designated prior to July 1, 1992, may be enlarged by the
city to an area
not exceeding 25% of the city's land area upon a finding by
the secretary
of the department of commerce and housing that a
redevelopment project
proposed by the city which requires the enlargement is of
statewide im-
portance and that it will meet the criteria specified in
subsection (a)(1)(D)
of K.S.A. 12-1774, and amendments thereto. A unified
government, es-
tablished pursuant to K.S.A. 12-340 et
seq., and amendments thereto,
may enlarge an enterprise zone, established within its
jurisdiction prior
to July 1, 1992, to an area not exceeding 200% of the area
of the original
enterprise zone regardless of whether such enlargement
crosses the
boundary of a city within the jurisdiction of the unified
government if the
secretary of commerce and housing makes the same findings
required for
enlargement of an enterprise zone by a city. For the
purpose of this
subsection, the term ``blighted area'' means an area
which: (1) Because
of the presence of a majority of the following factors,
substantially impairs
or arrests the sound development and growth of the
municipality or con-
stitutes an economic or social liability or is a menace to
the public health,
safety, morals or welfare in its present condition and
use: (A) A sub-
stantial number of deteriorated or deteriorating
structures; (B) predom-
inance of defective or inadequate street layout; (C)
unsanitary or unsafe
conditions; (D) deterioration of site improvements; (E)
diversity of own-
ership; (F) tax or special assessment delinquency exceeding
the fair value
of the land; (G) defective or unusual conditions of title;
(H) improper
subdivision or obsolete platting or land uses; (I) the
existence of condi-
tions which endanger life or property by fire and other
causes; or (J)
conditions which create economic obsolescence; or (2) has
been identified
by any state or federal environmental agency as being
environmentally
contaminated to an extent that requires a remedial
investigation, feasi-
bility study and remediation or other similar state or
federal action; or (3)
previously was found by resolution of the governing body to
be a slum or
a blighted area under K.S.A. 17-4742 et
seq., and amendments thereto.
For the purpose of this subsection,
conservation area means any im-
proved area within the corporate limits of a city in which
50% or more
of the structures in the area have an age of 35 years or
more, which area
is not yet blighted, but may become a blighted area due to
the existence
of a combination of two or more of the following factors:
(i) Dilapidation,
obsolescence or deterioration of the structures; (ii)
illegal use of individual
structures; (iii) the presence of structures below minimum
code stan-
dards; (iv) building abandonment; (v) excessive vacancies;
(vi) overcrowd-
ing of structures and community facilities; or (vii)
inadequate utilities and
infrastructure. Not more than 15% of the land area of a
city may be found
to be a conservation area.
(b) The powers conferred upon
cities under the provisions of K.S.A.
12-1770 et seq.,
and amendments thereto, shall be exercised by cities,
as
determined by resolution adopted pursuant to K.S.A.
12-1772, and
amendments thereto, (1) in enterprise zones designated
prior to July 1,
1992, including any area added to such enterprise zone
after July 1, 1992,
pursuant to subsection (a), (2) in blighted areas of cities
and counties
described by subsection (a)(2), (3) in conservation areas
of cities, (4) in
major tourism areas as defined in K.S.A. 12-1774 and
amendments
thereto (5) in blighted areas of cities, as determined by
resolution adopted
pursuant to K.S.A. 17-4742 et
seq., and amendments thereto or (6)
for
buildings designated as historic theaters pursuant to
K.S.A. 2000 Supp.
12-1771d.
(c) Within that portion of the
city described in subsection (b), the
governing body of a city may establish a district to be
known as a ``rede-
velopment district''. Within that portion of a city and
county described in
subsection (b) excluding paragraph (3) of subsection (b),
the governing
body of the city, upon written consent of the board of
county commis-
sioners, may establish a district inclusive of land outside
the boundaries
of the city to be known as a redevelopment district. In all
such cases, the
board of county commissioners, prior to providing written
consent, shall
be subject to the same procedure for public notice and
hearing as is
required of a city pursuant to subsection (d) for the
establishment of a
redevelopment district. One or more redevelopment projects
may be un-
dertaken by a city within a redevelopment district after
such redevelop-
ment district has been established in the manner provided
by subsection
(d).
(d) (a) Resolution
procedure for a redevelopment district. Any city
proposing to establish a redevelopment district within an
eligible area
shall adopt a resolution stating that the city is considering the
establish-
ment of a redevelopment district. Such resolution shall:
(1) Give notice that a public hearing
will be held to consider the
establishment of a redevelopment district and fix the date, hour
and place
of such public hearing;
(2) describe the proposed boundaries of
the redevelopment district;
(3) describe a proposed
comprehensive plan that identifies all of the
proposed redevelopment project areas and that identifies in
a general
manner all of the buildings and facilities that are
proposed to be con-
structed or improved in each redevelopment project
area the district plan;
(4) state that a description and map of
the proposed redevelopment
district are available for inspection at a time and place
designated;
(5) state that the governing body will
consider findings necessary for
the establishment of a redevelopment district.
Notice shall be given as provided in
subsection (c) (b) of K.S.A. 12-
1772, and amendments thereto.
(e) Upon the conclusion of the
public hearing, the governing body
may adopt a resolution to make any findings required by
subsection (a)
and may establish the redevelopment district by ordinance.
Such reso-
lution shall contain a comprehensive plan that identifies
all of the pro-
posed redevelopment project areas and identifies in a
general manner all
of the buildings and facilities that are proposed to be
constructed or im-
proved in each redevelopment project area. The boundaries
of such dis-
trict shall not include any area not designated in the
notice required by
subsection (d). Subject to the provisions of K.S.A. 2000
Supp. 12-1771c,
and amendments thereto, any addition of area to the
redevelopment dis-
trict or any substantial change to the comprehensive plan
shall be subject
to the same procedure for public notice and hearing as is
required for
the establishment of the district. The boundaries of any
such district in a
major tourism area including an auto race track facility
located in Wy-
andotte county, shall, without regard to that portion of
the district per-
taining to the auto race track facility, be as follows:
Beginning at the
intersection of Interstate 70 and Interstate 435; West
along Interstate 70
to 118th Street; North along 118th Street to State Avenue;
Northeasterly
along proposed relocated State Avenue to 110th Street;
North along
110th Street to Parallel Parkway; East along Parallel
Parkway to Interstate
435; South along Interstate 435 to Interstate
70.
(b) Posthearing procedure. Upon
the conclusion of the public hearing,
the governing body may pass an ordinance. Such ordinance shall:
(1)
Make a finding that: (A) The redevelopment district proposed to
be de-
veloped is an eligible area; and (B) the conservation,
development or re-
development of such area is necessary to promote the general and
eco-
nomic welfare of the city; (2) contain the district plan as
approved; and
(3) contain the legal description of the redevelopment district
and may
establish the redevelopment district. Such ordinance shall
contain a dis-
trict plan that identifies all of the proposed redevelopment
project areas
and identifies in a general manner all of the buildings and
facilities that
are proposed to be constructed or improved in each redevelopment
project
area. The boundaries of such district shall not include any area
not des-
ignated in the notice required by subsection (a).
(c) The governing body of a city may
establish a redevelopment dis-
trict within that city. Such city may establish a district
inclusive of land
outside the boundaries of the city upon written consent of the
board of
county commissioners. Prior to providing written consent, the
board of
county commissioners shall be subject to the same procedure for
public
notice and hearing as is required of a city pursuant to
subsection (a) for
the establishment of a redevelopment district. One or more
redevelopment
projects may be undertaken by a city within a redevelopment
district after
such redevelopment district has been established in the manner
provided
by this section.
(f) (d) No
privately owned property subject to ad valorem taxes shall
be acquired and redeveloped under the provisions of K.S.A. 12-1770
et
seq., and amendments thereto, if the board of county
commissioners or
the board of education levying taxes on such property determines
by
resolution adopted within 30 days following the conclusion of the
hearing
for the establishment of the redevelopment district required by
subsec-
tion (d) (b) that the proposed
redevelopment district will have an adverse
effect on such county or school district. The board of county
commission-
ers or board of education shall deliver a copy of such
resolution to the
city. The city shall within 30 days of receipt of such
resolution pass an
ordinance terminating the redevelopment district.
(g) Any redevelopment plan
undertaken within the redevelopment
district may be in separate development stages. Each plan
shall be
adopted according to the provisions of K.S.A. 12-1772, and
amendments
thereto, and shall fix a date for completion. Except as
provided herein,
any project shall be completed within 20 years from the
date of transmittal
of the redevelopment plan or a revision of the plan, as
authorized by
K.S.A. 2000 Supp. 12-1771c, and amendments thereto, to the
county
pursuant to K.S.A. 12-1776, and amendments thereto.
Projects relating
to environmental investigation and remediation under
subsection (i) shall
be completed within 20 years from the date a city enters
into a consent
decree agreement with the Kansas department of health and
environment
or the United States environmental protection agency. A
redevelopment
project in a major tourism area for an auto race track
facility described
in subsection (a)(1)(D) of K.S.A. 12-1774, and amendments
thereto, shall
be completed within 30 years from the date the secretary of
commerce
and housing makes the finding that the redevelopment
project will create
a major tourism area pursuant to subsection (a)(1)(D) of
K.S.A. 12-1774,
and amendments thereto.
(h) Any increment in ad valorem
property taxes resulting from a re-
development district undertaken in accordance with the
provisions of this
act, shall be apportioned to a special fund for the payment
of the cost of
the redevelopment project, including the payment of
principal and inter-
est on any special obligation bonds or full faith and
credit tax increment
bonds issued to finance such project pursuant to this act
and may be
pledged to the payment of principal and interest on such
bonds. The
maximum maturity on bonds issued to finance projects
pursuant to this
act shall not exceed 20 years except that: (1) Such maximum
period of
special obligation bonds not payable from revenues
described by subsec-
tion (a)(1)(D) of K.S.A. 12-1774, and amendments thereto,
issued to fi-
nance an auto race track facility shall not exceed 30
years; and (2) such
maximum period, if the governor determines and makes and
submits a
finding to the speaker of the house of representatives and
the president
of the senate that a maturity greater than 20 years, but in
no event ex-
ceeding 30 years, is necessary for the economic feasibility
of the financing
of an auto race track facility with special obligation
bonds payable pri-
marily from revenues described by subsection (a)(1)(D) of
K.S.A. 12-
1774, and amendments thereto, may be extended in accordance
with such
determination and finding.
For the purposes of this act,
``increment'' means that amount of ad
valorem taxes collected from real property located within
the redevel-
opment district that is in excess of the amount which is
produced from
such property and attributable to the assessed valuation of
such property
prior to the date the redevelopment plan or revision of the
plan, as au-
thorized by K.S.A. 2000 Supp. 12-1771c, and amendments
thereto, is
transmitted to the county pursuant to K.S.A. 12-1776, and
amendments
thereto.
(i) The governing body of a city,
in contracts entered into with the
Kansas department of health and environment or the United
States en-
vironmental protection agency, may pledge increments
receivable in fu-
ture years to pay costs directly relating to the
investigation and remedi-
ation of environmentally contaminated areas. The provisions
in such
contracts pertaining to pledging increments in future years
shall not be
subject to K.S.A. 10-1101 et
seq. or 79-2925 et
seq., and amendments
thereto.
(j) Before any redevelopment
project is undertaken, a comprehensive
feasibility study, which shows the benefits derived from
such project will
exceed the costs and that the income therefrom will be
sufficient to pay
for the project shall be prepared. Such feasibility study
shall be an open
public record.
(k) If a city determines that
revenues from sources other than prop-
erty taxes will be sufficient to pay any special obligation
bonds issued to
finance a redevelopment project for an auto race track
facility described
in subsection (a)(1)(D) of K.S.A. 12-1774, and amendments
thereto,
which the secretary of commerce and housing makes a finding
that such
project will create a major tourism area pursuant to
subsection (a)(1)(D)
of K.S.A. 12-1774, and amendments thereto, all real and
personal prop-
erty, constituting an auto race track facility described in
subsection
(a)(1)(D) of K.S.A. 12-1774, and amendments thereto, in
such redevel-
opment district shall be exempt from property taxation for
a period end-
ing on the earlier of (1) the date which is 30 years after
the date of the
finding by the secretary of commerce and housing with
respect to such
major tourism area; or (2) the date on which no such
special obligation
bonds issued to finance such auto race track facility in a
major tourism
area remain outstanding.
(l) Any major tourism area may
include an additional area not ex-
ceeding 400 acres of additional property, excluding roads
and highways,
in addition to the property necessary for the auto race
track facility upon
a finding by the governor that the development plan and
each project
within such additional area will enhance the major tourism
area. For the
development of each project within such additional area the
city shall
select qualified developers pursuant to a request for
proposals in accord-
ance with written official procedures approved by the
governing body of
the city. Any project within such additional area that is
financed in whole
or in part by special obligation bonds payable from
revenues derived from
subsection (a)(1)(D) of K.S.A. 12-1774, and amendments
thereto, shall
not be entitled to any real property tax abatements or the
revenues de-
scribed in K.S.A. 12-1775, and amendments thereto. Any
project within
such additional area must be approved by the governor and
construction
must be commenced by July 1, 2002. The city shall prepare
and submit
annually to the governor, the secretary of commerce and
housing and the
legislature by each October 1, commencing October 1, 1999
and contin-
uing until October 1, 2002, a report describing the status
of any projects
within such additional area. Any business located in Kansas
within 50
miles of a major tourism area that relocates into a major
tourism area
shall not receive any of the benefits of K.S.A.
12-1770 et seq., and
amend-
ments thereto.
(e) Addition to area;
substantial change. Any addition of area to the
redevelopment district or any substantial change as defined in
K.S.A. 2000
Supp. 12-1770a, and amendments thereto, to the district plan
shall be
subject to the same procedure for public notice and hearing as
is required
for the establishment of the district.
(f) Any addition of any area to the
redevelopment district shall be
subject to the same procedure for public notice and hearing as
is required
for the establishment of the redevelopment district. The base
year assessed
valuation of the redevelopment district following the addition
of area shall
be revised to reflect the base year assessed valuation of the
original area
and the added area as of the date of the original establishment
of the
redevelopment district.
(g) A city may remove real property
from a redevelopment district
by an ordinance of the governing body. If more than a de minimus
amount
of real property is removed from a redevelopment district, the
base year
assessed valuation of the redevelopment district shall be
revised to reflect
the base year assessed valuation of the remaining real property
as of the
date of the original establishment of the redevelopment
district.
(h) A city may divide the real
property in a redevelopment district,
including real property in different redevelopment project areas
within a
redevelopment district, into separate redevelopment districts.
The base
year assessed valuation of each resulting redevelopment district
following
such division of real property shall be revised to reflect the
base year
assessed valuation of the area of each resulting redevelopment
district as
of the date of the original establishment of the redevelopment
district. Any
division of real property within a redevelopment district into
more than
one redevelopment district shall be subject to the same
procedure or public
notice and hearing as is required for the establishment of the
redevelop-
ment district.
(i) If a city has undertaken a
redevelopment project within a rede-
velopment district, and either the city wishes to subsequently
remove more
than a de minimus amount of real property from the redevelopment
dis-
trict or the city wishes to subsequently divide the real
property in the
redevelopment district into more than one redevelopment
district, then
prior to any such removal or division the city must provide a
feasibility
study which shows that the tax increment revenue from the
resulting
redevelopment district within which the redevelopment project is
located
is expected to be sufficient to pay the redevelopment project
costs.
(j) Removal of real property from one
redevelopment district and ad-
dition of all or a portion of that real property to another
redevelopment
district may be accomplished by the adoption of an ordinance and
in such
event the determination of the existence or nonexistence of an
adverse
effect on the county or school district under subsection (d)
shall apply to
both such removal and such addition of real property to a
redevelopment
district.
Sec. 4. K.S.A. 2000 Supp. 12-1771a
is hereby amended to read as
follows: 12-1771a. (a) The governing body of a city may establish
an in-
crement in ad valorem taxes using the procedure set forth in
subsection
(b) for projects that are initiated upon a finding that the area is
a blighted
area under subsection (a)(2) of K.S.A. 12-1771
as defined under K.S.A.
2000 Supp. 12-1770a, and amendments thereto, when the
following con-
ditions exist:
(1) The proposed district has been
identified by the Kansas depart-
ment of health and environment or the United States environmental
pro-
tection agency to be an environmentally contaminated area;
(2) the city has entered into a consent
decree or settlement agree-
ment or has taken action expressing an intent to enter into a
consent
decree or settlement agreement with the Kansas department of
health
and environment or the United States environmental protection
agency
that addresses the investigation and remediation of the
environmental
contamination;
(3) the consent decree or settlement
agreement contains a provision
that has the effect of releasing property owners who are not
responsible
for the contamination from the responsibility of paying the
response costs
of the investigation and remediation of the contamination; and
(4) the city intends to establish a
redevelopment district pursuant to
K.S.A. 12-1771, and amendments thereto, to wholly finance or
partially
finance the investigation and remediation of contamination within
such
district.
(b) An environmental increment
established after a city has found
that the condition in subsection (a)(2) of K.S.A.
12-1771 conditions de-
scribed in subsection (c) of K.S.A. 2000 Supp. 12-1770a, and
amendments
thereto, exists shall be set on a yearly basis. For purposes of
this section,
a yearly basis shall be a calendar year. Each year's increment
shall be an
amount sufficient to pay the direct costs of investigation and
remediation
of the contaminated condition anticipated to be incurred that year
in-
cluding principal and interest due on any special obligation bonds
or full
faith and credit tax increment bonds issued to finance in whole or
in part
the remediation and investigation, costs relating to remediation
investi-
gation and feasibility studies, operation and maintenance expenses
and
other expenses relating directly to the investigation and
remediation of
contamination. Each year's environmental increment shall not
exceed
20% of the amount of taxes that are produced by all taxing
subdivisions
within any currently existing or subsequently created redevelopment
dis-
trict area in the year the redevelopment district is first
established, not-
withstanding that such subdivision was not required to receive
notice of
the establishment of the district.
(c) The budget that establishes the
yearly environmental increment
shall be certified by the city to the county clerk and county
treasurer no
later than August 25th, preceding the calendar year for which the
budget
is being set. Funds derived from an environmental increment
established
by this section and interest on all funds derived from an
environmental
increment established by this section may be used only for projects
in-
volving the investigation and remediation of contamination in the
district.
(d) The real property taxes produced by
the environmental increment
established under subsection (b) from a redevelopment district
estab-
lished under the provisions of K.S.A. 12-1771, and amendments
thereto,
and this section shall be allocated and paid by the county
treasurer to the
treasurer of the city and deposited in a special separate fund of
the city
to pay the direct cost of investigation and remediation of
contamination
in the redevelopment district. Any funds collected by the city from
parties
determined to be responsible in any manner for the contaminated
con-
dition shall be either: (1) Deposited in the same separate special
fund
created hereunder, and with all interest earned thereon, may be
used
only for projects involving the investigation and remediation of
contam-
ination in the established redevelopment district; or (2)
distributed to
parties who have entered into a contract with the city to pay a
portion of
investigation and remediation of the contamination in the
redevelopment
district and the terms of such contract provide that such parties
are en-
titled to reimbursement for a portion of funds they have expended
for
such investigation and remediation of contamination from the
recovery
of costs that are collected from other third party responsible
parties.
(e) A redevelopment district
created under the provisions of this sec-
tion shall constitute a separate taxing district. If all costs for
such inves-
tigation and remediation of contamination in the redevelopment
district
have been paid and moneys remain in the special fund, such moneys
shall
be remitted to each taxing subdivision which paid moneys into the
special
fund on the basis of the proportion which the total amount of
moneys
paid by such taxing subdivision into the special fund bears to the
total
amount of all moneys paid by all taxing subdivisions into the
fund.
(e) (f) Nothing
in this section shall prevent any city from establishing
a redevelopment district for other purposes pursuant to K.S.A.
12-1770
et seq., and amendments thereto, which may include part or
all of the
real property included in the district established under this
section.
(g) Redevelopment projects relating to
environmental investigation
and remediation under this section, and amendments thereto,
shall be
completed within 20 years from the date a city enters into a
consent decree
agreement with the Kansas department of health and environment
or the
United States environmental protection agency.
(f) (h) Nothing
in this section shall be construed to affect the obli-
gations of the county to annually review the fair market value of
property
in accordance with procedures set by law or to affect the right of
any
taxpayer to protest and appeal the appraised or reappraised value
of their
property in accordance with procedures set forth by law.
(g)
(i) Commencing with the regular session of the
legislature in 1993,
each city that establishes a redevelopment district under this
section shall
make a status report on a biennial basis to the standing committee
on
commerce of the senate and the standing committee on economic
de-
velopment of the house of representatives during the month of
January.
The status report shall contain information on the status of the
investi-
gation and remediation of contamination in the redevelopment
district.
(j) For the purposes of this act, the
governing body of a city, in con-
tracts entered into with the Kansas department of health and
environment
or the United States environmental protection agency, may pledge
incre-
ments receivable in future years to pay costs directly relating
to the in-
vestigation and remediation of environmentally contaminated
areas. The
provisions in such contracts pertaining to pledging increments
in future
years shall not be subject to K.S.A. 10-1101 et seq. or
79-2925 et seq., and
amendments thereto.
Sec. 5. K.S.A. 2000 Supp. 12-1771d
is hereby amended to read as
follows: 12-1771d. The governing body of any municipality may
designate
a building within such municipality to be a historic theater if the
governing
body of the municipality and the secretary of commerce and
housing
agree that the building satisfies the requirements of subsection
(a) (i) of
K.S.A. 2000 Supp. 12-1770a, and amendments thereto, and will
contribute
significantly to the economic development of the city and
surrounding
area.
Sec. 6. K.S.A. 2000 Supp. 12-1771b
is hereby amended to read as
follows: 12-1771b. No individual, firm, partnership,
association, corpo-
ration or any other entity shall establish or operate any
lottery within that
portion of any redevelopment district occupied by a
redevelopment pro-
ject that has been found to be of statewide as well as
local importance
and to meet the other criteria specified in K.S.A. 12-1774
(a)(1)(D).
(a) The boundaries of any redevelopment district in a major
tourism
area including an auto race track facility located in Wyandotte
county,
shall, without regard to that portion of the district pertaining
to the auto
race track facility, be as follows: Beginning at the
intersection of Interstate
70 and Interstate 435; West along Interstate 70 to 118th Street;
North
along 118th Street to State Avenue; Northeasterly along proposed
relo-
cated State Avenue to 110th Street; North along 110th Street to
Parallel
Parkway; East along Parallel Parkway to Interstate 435; South
along In-
terstate 435 to Interstate 70.
(b) Any major tourism area may include
an additional area not ex-
ceeding 400 acres of additional property, excluding roads and
highways,
in addition to the property necessary for the auto race track
facility upon
a finding by the governor that the development plan and each
project
within such additional area will enhance the major tourism area.
For the
development of each project within such additional area the city
shall
select qualified developers pursuant to a request for proposals
in accord-
ance with written official procedures approved by the governing
body of
the city. Any project within such additional area that is
financed in whole
or in part by special obligation bonds payable from revenues
derived from
subsection (a)(1)(D) of K.S.A. 12-1774, and amendments thereto,
shall not
be entitled to any real property tax abatements or the revenues
described
in K.S.A. 12-1775, and amendments thereto. Any project within
such ad-
ditional area must be approved by the governor and construction
must
be commenced by July 1, 2002. The city shall prepare and submit
annually
to the governor, the secretary of commerce and housing and the
legislature
by each October 1, commencing October 1, 1999, and continuing
until
October 1, 2002, a report describing the status of any projects
within such
additional area. Any business located in Kansas within 50 miles
of a major
tourism area that relocates into a major tourism area shall not
receive any
of the benefits of K.S.A. 12-1770 et seq., and amendments
thereto.
(c) If a city determines that revenues
from sources other than prop-
erty taxes will be sufficient to pay any special obligation
bonds issued to
finance a redevelopment project for an auto race track facility
as described
in subsection (a) of K.S.A. 2000 Supp. 12-1770a, and amendments
thereto,
and the secretary of commerce and housing makes a finding that
such
project will create a major tourism area pursuant to subsection
(n) of
K.S.A. 2000 Supp. 12-1770a, and amendments thereto, all real and
per-
sonal property, constituting an auto race track facility
described in sub-
section (a) of K.S.A. 2000 Supp. 12-1770a, and amendments
thereto, in
such redevelopment district shall be exempt from property
taxation for a
period ending on the earlier of (1) the date which is 30 years
after the
date of the finding by the secretary of commerce and housing
with respect
to such major tourism area; or (2) the date on which no such
special
obligation bonds issued to finance such auto race track facility
in a major
tourism area remain outstanding.
(d) The city which is authorized to
issue bonds pursuant to the pro-
visions of K.S.A. 12-1770 et seq. in order to finance a
redevelopment
project in a major tourism area as defined by K.S.A. 2000 Supp.
12-1770a,
and amendments thereto, shall obtain underwriting services
required by
the city for the issuance of such bonds pursuant to written
proposals
received in accordance with this section.
(e) Each city which is authorized to
issue such bonds shall establish
written official procedures for obtaining underwriting services
required
for the issuance of such bonds, including specifications for
requests for
proposals and criteria for evaluation of proposals on a
competitive basis.
The proposal evaluation criteria shall include factors based on
cost, ca-
pacity to provide the required services, qualifications and
experience.
(f) Prior to the issuance of any such
bonds to finance a redevelopment
project in a major tourism area after the effective date of this
act, the city
shall publish notice of a request for proposals to provide the
underwriting
services that are required by the city with regard to the
proposed bond
issuance and shall mail requests for proposals to qualified
interested par-
ties upon request for such notice. The city shall award
contracts for such
underwriting services from the proposals received in accordance
with the
procedures and evaluation criteria adopted by the city for such
purpose.
A city shall publish such notice in the official newspaper of
the city.
(g) A redevelopment project in a major
tourism area for an auto race
track facility, shall be completed within 30 years from the date
the sec-
retary makes the finding that the redevelopment project will
create a ma-
jor tourism area pursuant to subsection (n) of K.S.A. 2000 Supp.
12-
1770a, and amendments thereto.
(h) The maximum maturity on bonds
issued to finance projects pur-
suant to this act shall not exceed 20 years except that: (1)
Such maximum
period of special obligation bonds not payable from revenues
described
by subsection (a)(1)(D) of K.S.A. 12-1774, and amendments
thereto, is-
sued to finance an auto race track facility shall not exceed 30
years; and
(2) such maximum period, if the governor determines and makes
and
submits a finding to the speaker of the house of representatives
and the
president of the senate that a maturity greater than 20 years,
but in no
event exceeding 30 years, is necessary for the economic
feasibility of the
financing of an auto race track facility with special obligation
bonds pay-
able primarily from revenues described by subsection (a)(1)(D)
of K.S.A.
12-1774, and amendments thereto, may be extended in accordance
with
such determination and finding.
Sec. 7. K.S.A. 12-1772 is hereby
amended to read as follows: 12-
1772. (a) Any city proposing to undertake a redevelopment
project within
a redevelopment district established pursuant to K.S.A.
12-1771, and
amendments thereto, shall prepare a redevelopment plan in
consultation
with the planning commission of the city. The redevelopment
plan shall
include: (1) A summary of the feasibility study required by
K.S.A. 12-
1771, and amendments thereto; (2) a reference to the
redevelopment
district plan established under K.S.A. 12-1771, and
amendments thereto,
that identifies the redevelopment project area that is set
forth in the
comprehensive plan that is being considered; (3) a
description and map
of the area to be redeveloped; (4) the relocation
assistance plan required
by K.S.A. 12-1777, and amendments thereto; (5) a detailed
description
of the buildings and facilities proposed to be constructed
or improved in
such area; and (6) any other information the governing body
deems nec-
essary to advise the public of the intent of the plan. A
copy of the rede-
velopment plan shall be delivered to the board of county
commissioners
of the county and the board of education of any school
district levying
taxes on property within the proposed redevelopment project
area. Upon
a finding by the planning commission that the redevelopment
plan is
consistent with the comprehensive general plan for the
development of
the city, the governing body of the city shall adopt a
resolution stating
that the city is considering the adoption of the plan. Such
resolution shall:
(1) Give notice that a public
hearing will be held to consider the
adoption of the redevelopment plan and fix the date, hour
and place of
such public hearing;
(2) describe the boundaries of
the redevelopment district within
which the redevelopment project will be located and the
date of estab-
lishment of such district;
(3) describe the boundaries of
the area proposed to be included
within the redevelopment project area; and
(4) state that the redevelopment
plan, including a summary of the
feasibility study, relocation assistance plan and financial
guarantees of the
prospective developer and a description and map of the area
to be re-
developed are available for inspection during regular
office hours in the
office of the city clerk.
Except as provided in paragraph (3) of
subsection (b) of K.S.A. 12-
1774, and amendments thereto, if the governing body
determines that it
may issue full faith and credit tax increment bonds to
finance the rede-
velopment project, in whole or in part, the resolution also
shall include
notice thereof.
(b) The date fixed for the public
hearing shall be not less than 30 or
more than 70 days following the date of the adoption of the
resolution
fixing the date of the hearing.
(c) A copy of the resolution
providing for the public hearing shall be
delivered to the board of county commissioners of the
county and the
board of education of any school district levying taxes on
property within
the proposed redevelopment project area. Copies also shall
be mailed by
certified mail to each owner and occupant of land within
the proposed
redevelopment project area not more than 10 days following
the date of
the adoption of the resolution. The resolution shall be
published once in
the official city newspaper not less than one week or more
than two weeks
preceding the date fixed for the public hearing. A sketch
clearly deline-
ating the area in sufficient detail to advise the reader of
the particular
land proposed to be included within the project area shall
be published
with the resolution.
(d) At the public hearing, a
representative of the city shall present
the city's proposed redevelopment plan. Following the
presentation of
the plan, all interested persons shall be given an
opportunity to be heard.
The governing body for good cause shown may recess such
hearing to a
time and date certain, which shall be fixed in the presence
of persons in
attendance at the hearing.
(e) Following the public hearing,
the governing body may adopt the
redevelopment plan by ordinance passed upon a 2/3 vote. Any
substantial
changes to the plan as adopted shall be subject to public
hearing following
publication of notice thereof at least twice in the
official city newspaper.
(a) Redevelopment projects. One or more
redevelopment projects may
be undertaken by a city within an established redevelopment
district. Any
such project plan may be implemented in separate development
stages.
Any city proposing to undertake a redevelopment project within a
rede-
velopment district established pursuant to K.S.A. 12-1771, and
amend-
ments thereto, shall prepare a project plan in consultation with
the plan-
ning commission of the city. The project plan shall
include:
(1) A summary of the feasibility study
done as defined in K.S.A. 2000
Supp. 12-1770a, and amendments thereto, which will be an open
record;
(2) a reference to the district plan
established under K.S.A. 12-1771,
and amendments thereto, that identifies the redevelopment
project area
that is set forth in the project plan that is being
considered;
(3) a description and map of the
redevelopment project area to be
redeveloped;
(4) the relocation assistance plan
required by K.S.A. 12-1777, and
amendments thereto;
(5) a detailed description of the
buildings and facilities proposed to
be constructed or improved in such area; and
(6) any other information the
governing body deems necessary to ad-
vise the public of the intent of the project plan.
(b) Resolution requirements. A
copy of the redevelopment project
plan shall be delivered to the board of county commissioners of
the county
and the board of education of any school district levying taxes
on property
within the proposed redevelopment project area. Upon a finding
by the
planning commission that the project plan is consistent with the
intent of
the comprehensive plan for the development of the city, the
governing
body of the city shall adopt a resolution stating that the city
is considering
the adoption of the project plan. Such resolution
shall:
(1) Give notice that a public hearing
will be held to consider the
adoption of the redevelopment project plan and fix the date,
hour and
place of such public hearing;
(2) describe the boundaries of the
redevelopment district within
which the redevelopment project will be located and the date of
establish-
ment of such district;
(3) describe the boundaries of the
area proposed to be included within
the redevelopment project area; and
(4) state that the project plan,
including a summary of the feasibility
study, relocation assistance plan and financial guarantees of
the prospec-
tive developer and a description and map of the area to be
redeveloped
are available for inspection during regular office hours in the
office of the
city clerk.
Except as provided in paragraph (3) of
subsection (b) of K.S.A. 12-
1774, and amendments thereto, if the governing body determines
that it
may issue full faith and credit tax increment bonds to finance
the rede-
velopment project, in whole or in part, the resolution also
shall include
notice thereof.
(c) (1) Hearing. The date
fixed for the public hearing shall be not less
than 30 nor more than 70 days following the date of the adoption
of the
resolution fixing the date of the hearing.
(2) A copy of the resolution providing
for the public hearing shall be
by certified mail, return receipt requested sent to the board of
county
commissioners of the county and the board of education of any
school
district levying taxes on property within the proposed
redevelopment pro-
ject area. Copies also shall be sent by certified mail, return
receipt re-
quested to each owner and occupant of land within the proposed
rede-
velopment project area not more than 10 days following the date
of the
adoption of the resolution. The resolution shall be published
once in the
official city newspaper not less than one week nor more than two
weeks
preceding the date fixed for the public hearing. A sketch
clearly deline-
ating the area in sufficient detail to advise the reader of the
particular
land proposed to be included within the project area shall be
published
with the resolution.
(3) At the public hearing, a
representative of the city shall present the
city's proposed project plan. Following the presentation of the
project
plan, all interested persons shall be given an opportunity to be
heard. The
governing body for good cause shown may recess such hearing to a
time
and date certain, which shall be fixed in the presence of
persons in at-
tendance at the hearing.
(d) The public hearing records and
feasibility study shall be subject
to the open records act, K.S.A. 45-215, and amendments
thereto.
(e) Posthearing procedure.
Following the public hearing, the govern-
ing body may adopt the project plan by ordinance passed upon a
2/3 vote.
(f) Any substantial changes as defined
in K.S.A. 2000 Supp. 12-1770a,
and amendments thereto, to the project plan as adopted shall be
subject
to a public hearing following publication of notice thereof at
least twice
in the official city newspaper.
(g) Any project shall be completed
within 20 years from the date of
the approval of the project plan.
Sec. 8. K.S.A. 2000 Supp. 12-1773
is hereby amended to read as
follows: 12-1773. (a) Any city which has adopted a
redevelopment project
plan in accordance with the provisions of this act may purchase or
oth-
erwise acquire real property in connection with such project
plan. Upon
a 2/3 vote of the members of the governing body thereof a city may
acquire
by condemnation any interest in real property, including a fee
simple title
thereto, which it deems necessary for or in connection with any
redevel-
opment project plan of an area located
within the redevelopment district.
Prior to the exercise of such eminent domain power, the city shall
offer
to the owner of any property which will be subject to condemnation
with
respect to any redevelopment project, other than one which includes
an
auto race track facility, compensation in an amount equal to the
highest
appraised valuation amount determined for property tax purposes by
the
county appraiser for any of the three most recent years next
preceding
the year of condemnation, except that, if in the year next
preceding the
year of condemnation any such property had been damaged or
destroyed
by fire, flood, tornado, lightning, explosion or other catastrophic
event,
the amount offered should be equal to the appraised valuation of
the
property which would have been determined taking into account
such
damage or destruction unless such property has been restored,
renovated
or otherwise improved. However no city shall exercise such eminent
do-
main power to acquire real property in a conservation area. Any
such city
may exercise the power of eminent domain in the manner provided
by
K.S.A. 26-501 et seq., and amendments thereto. In addition
to the com-
pensation or damage amount finally awarded thereunder with respect
to
any property subject to proceedings thereunder as a result of the
con-
struction of an auto race track facility, such city shall provide
for the
payment of an amount equal to 25% of such compensation or
damage
amount. In addition to any compensation or damages allowed under
the
eminent domain procedure act, such city shall also provide for the
pay-
ment of relocation assistance as provided in K.S.A. 12-1777, and
amend-
ments thereto.
(b) Any property acquired by a city under
the provisions of this act
may be sold, transferred or leased to any person,
firm or corporation,
hereinafter referred to as a developer, in
accordance with the redevel-
opment project plan and under such other
conditions as may be agreed
upon. Such city may use the proceeds of special obligation bonds
issued
under K.S.A. 12-1774, and amendments thereto, or full faith and
credit
tax increment bonds issued under K.S.A. 12-1774, and amendments
thereto, or any uncommitted funds derived from those sources set
forth
in paragraph (1) of subsection (a) of K.S.A. 12-1774, and
amendments
thereto, to pay the redevelopment project costs as defined in
K.S.A. 2000
Supp. 12-1770a, and amendments thereto, to implement the
redevelop-
ment project plan including, without
limitation:
(1) Acquisition of property
within the project area;
(2) payment of relocation
assistance;
(3) site
preparation;
(4) sanitary and storm sewers and
lift stations;
(5) drainage conduits, channels
and levees;
(6) street grading, paving,
graveling, macadamizing, curbing, gutter-
ing and surfacing;
(7) street lighting fixtures,
connection and facilities;
(8) underground gas, water,
heating, and electrical services and con-
nections located within the public
right-of-way;
(9) sidewalks and pedestrian
underpasses or overpasses;
(10) drives and driveway
approaches located within public right-of-
way;
(11) water mains and
extensions;
(12) plazas and
arcades;
(13) parking
facilities;
(14) landscaping and plantings;
fountains, shelters, benches, sculp-
tures, lighting, decorations and similar amenities;
and
(15) all related expenses to
redevelop and finance the redevelopment
project. None of the proceeds from the sale of such bonds
shall be used
for the construction of buildings or other structures to be
owned by or
to be leased to such developer, except for proceeds of such
bonds as may
be issued for a redevelopment project which includes an
auto race track
facility and except for proceeds of such bonds as may be
issued for a
redevelopment district including some or all of the land
and buildings
comprising a state mental institution closed pursuant to
section 2 of chap-
ter 219 of the 1995 Session Laws of Kansas.
Sec. 9. K.S.A. 2000 Supp. 12-1774
is hereby amended to read as
follows: 12-1774. (a) (1) Any city shall have the power to issue
special
obligation bonds in one or more series to finance the undertaking
of any
redevelopment project in accordance with the provisions of this
act. Such
special obligation bonds shall be made payable, both as to
principal and
interest:
(A) From property tax
increments allocated to, and paid into a special
fund of the city under the provisions of K.S.A. 12-1775, and
amendments
thereto;
(B) from revenues of the city derived
from or held in connection with
the undertaking and carrying out of any redevelopment project or
projects
under this act including historic theater sales tax increments
and envi-
ronmental increments;
(C) from any private sources,
contributions or other financial assis-
tance from the state or federal government;
(D) from a pledge of a portion or all of
the revenue received by the
city from transient guest, sales and use taxes collected pursuant
to K.S.A.
12-1696 et seq., 79-3601 et seq., 79-3701 et
seq. and 12-187 et seq., and
amendments thereto, and which are collected from taxpayers doing
busi-
ness within that portion of the city's redevelopment district
established
pursuant to K.S.A. 12-1771, and amendments thereto, occupied by a
re-
development project if there first is a finding by the secretary of
com-
merce and housing that the redevelopment project is of
statewide as well
as local importance or will create a major tourism
area for the state or if
the project is the restoration of a historic theater as defined
in subsection
(l) of K.S.A. 2000 Supp. 12-1770a, and amendments
thereto. In making a
finding that a redevelopment project is of statewide as
well as local im-
portance, the secretary must conclude at least: (i) That
capital improve-
ments costing not less than $300,000,000 will be built in
the state for such
redevelopment project; and (ii) not less than 1,500
permanent and sea-
sonal employment positions as defined by K.S.A. 74-50,114,
and amend-
ments thereto, will be created in the state by such
redevelopment project.
In making a finding that a redevelopment project will
create a major
tourism area within the state, the secretary must conclude
at least: (i)
That capital improvements costing not less than
$100,000,000 will be built
in the state to construct a project for such major tourism
area; and (ii)
that the project constructed will be an auto race track
facility. An auto
race track facility means (i) an auto race facility and
facilities directly
related and necessary to the operation of an auto race
track facility in-
cluding, but not limited to, grandstands, suites and
viewing areas, con-
cessions and souvenir facilities, catering facilities,
visitor and retail cen-
ters, signage and temporary hospitality facilities; but
excluding (ii) hotels,
motels, restaurants and retail facilities not included in
(i);
(E) (i) from a pledge of a portion
or all increased revenue received
by the city from franchise fees collected from utilities and other
busi-
nesses using public right-of-way within the redevelopment district;
(ii)
from a pledge of a portion or all of the revenue received by the
city from
sales taxes collected pursuant to K.S.A. 12-187, and amendments
thereto;
or
(F) by any combination of these
methods.
The city may pledge such revenue to the
repayment of such special
obligation bonds prior to, simultaneously with, or subsequent to
the is-
suance of such special obligation bonds.
(2) Bonds issued under paragraph (1) of
subsection (a) shall not be
general obligations of the city, nor in any event shall they give
rise to a
charge against its general credit or taxing powers, or be payable
out of
any funds or properties other than any of those set forth in
paragraph (1)
of this subsection and such bonds shall so state on their face.
(3) Bonds issued under the provisions of
paragraph (1) of this sub-
section shall be special obligations of the city and are declared
to be
negotiable instruments. They shall be executed by the mayor and
clerk
of the city and sealed with the corporate seal of the city. All
details per-
taining to the issuance of such special obligation bonds and terms
and
conditions thereof shall be determined by ordinance of the city.
All special
obligation bonds issued pursuant to this act and all income or
interest
therefrom shall be exempt from all state taxes except inheritance
taxes.
Such special obligation bonds shall contain none of the recitals
set forth
in K.S.A. 10-112, and amendments thereto. Such special obligation
bonds
shall, however, contain the following recitals, viz., the authority
under
which such special obligation bonds are issued, they are in
conformity
with the provisions, restrictions and limitations thereof, and that
such
special obligation bonds and the interest thereon are to be paid
from the
money and revenue received as provided in paragraph (1) of this
subsec-
tion.
(b) (1) Subject to the provisions
of paragraph (2) of this subsection,
any city shall have the power to issue full faith and credit tax
increment
bonds to finance the undertaking of any redevelopment project in
ac-
cordance with the provisions of K.S.A. 12-1770 et seq., and
amendments
thereto other than a project determined by the secretary of
commerce
and housing to be of statewide as well as local importance
or that will
create a major tourism area as specified in subsection
(a)(1)(D) of K.S.A.
12-1774, and amendments thereto or result in
the renovation of an his-
toric theater. Such full faith and credit tax increment
bonds shall be made
payable, both as to principal and interest: (A) From the revenue
sources
identified in paragraph (1)(A), (B), (C), (D) and (E) of subsection
(a) or
by any combination of these sources; and (B) subject to the
provisions of
paragraph (2) of this subsection, from a pledge of the city's full
faith and
credit to use its ad valorem taxing authority for repayment thereof
in the
event all other authorized sources of revenue are not
sufficient.
(2) Except as provided in paragraph (3)
of this subsection, before the
governing body of any city proposes to issue full faith and credit
tax in-
crement bonds as authorized by this subsection, the feasibility
study re-
quired by K.S.A. 12-1771 12-1772, and
amendments thereto, shall dem-
onstrate that the benefits derived from the project will exceed the
cost
and that the income therefrom will be sufficient to pay the costs
of the
project. No full faith and credit tax increment bonds shall be
issued unless
the governing body states in the resolution required by K.S.A.
12-1772,
and amendments thereto, that it may issue such bonds to finance
the
proposed redevelopment project. The governing body may issue
the
bonds unless within 60 days following the date of the public
hearing on
the proposed redevelopment project plan a
protest petition signed by 3%
of the qualified voters of the city is filed with the city clerk in
accordance
with the provisions of K.S.A. 25-3601 et seq., and
amendments thereto.
If a sufficient petition is filed, no full faith and credit tax
increment bonds
shall be issued until the issuance of the bonds is approved by a
majority
of the voters voting at an election thereon. Such election shall be
called
and held in the manner provided by the general bond law. The
failure of
the voters to approve the issuance of full faith and credit tax
increment
bonds shall not prevent the city from issuing special obligation
bonds in
accordance with K.S.A. 12-1774, and amendments thereto. No such
elec-
tion shall be held in the event the board of county commissioners
or the
board of education determines, as provided in K.S.A. 12-1771,
and
amendments thereto, that the proposed redevelopment district will
have
an adverse effect on the county or school district.
(3) As an alternative to paragraph (2) of
this subsection, any city which
adopts a redevelopment project plan but
does not state its intent to issue
full faith and credit tax increment bonds in the resolution
required by
K.S.A. 12-1772, and amendments thereto, and has not acquired
property
in the redevelopment project area may issue full faith and credit
tax in-
crement bonds if the governing body of the city adopts a resolution
stating
its intent to issue the bonds and the issuance of the bonds is
approved by
a majority of the voters voting at an election thereon. Such
election shall
be called and held in the manner provided by the general bond law.
The
failure of the voters to approve the issuance of full faith and
credit tax
increment bonds shall not prevent the city from issuing special
obligation
bonds pursuant to paragraph (1) of subsection (a). Any
redevelopment
project plan adopted by a city prior to the effective date
of this act in
accordance with K.S.A. 12-1772, and amendments thereto, shall not
be
invalidated by any requirements of this act.
(4) During the progress of any
redevelopment project in which the
city's costs redevelopment project costs
will be financed, in whole or in
part, with the proceeds of full faith and credit tax increment
bonds, the
city may issue temporary notes in the manner provided in K.S.A.
10-123,
and amendments thereto, to pay the city's cost
redevelopment project
costs for the project. Such temporary notes shall not be
issued and the
city shall not acquire property in the redevelopment project area
until
the requirements of paragraph (2) or (3) of this subsection,
whichever is
applicable, have been met.
(5) Full faith and credit tax increment
bonds issued under this sub-
section shall be general obligations of the city and are declared
to be
negotiable instruments. They shall be issued in accordance with the
gen-
eral bond law. All such bonds and all income or interest therefrom
shall
be exempt from all state taxes except inheritance taxes. The amount
of
the full faith and credit tax increment bonds issued and
outstanding which
exceeds 3% of the assessed valuation of the city shall be within
the bonded
debt limit applicable to such city.
(6) Any city issuing special obligation
bonds under the provisions of
this act may refund all or part of such issue pursuant to the
provisions of
K.S.A. 10-116a, and amendments thereto.
(c) Any increment in ad valorem
property taxes resulting from a re-
development project in the established redevelopment district
undertaken
in accordance with the provisions of this act, shall be
apportioned to a
special fund for the payment of the redevelopment project costs,
including
the payment of principal and interest on any special obligation
bonds or
full faith and credit tax increment bonds issued to finance such
project
pursuant to this act and may be pledged to the payment of
principal and
interest on such bonds.
Sec. 10. K.S.A. 2000 Supp. 12-1774a
is hereby amended to read as
follows: 12-1774a. (a) In the event that the city
shall default in the pay-
ment of any special obligation bonds as authorized pursuant to
K.S.A. 12-
1774 (a)(1)(D) subsection (a)(1)(D) of K.S.A.
12-1774, and amendments
thereto, no public funds shall be used to pay the holders thereof
except
as otherwise specifically authorized in this act.
(b) No property abutting the site
of a redevelopment project deter-
mined by the secretary of commerce and housing to be of
statewide as
well as local importance and to meet the other criteria
specified by K.S.A.
12-1774 (a)(1)(D), and amendments thereto, or property
abutting any
public infrastructure constructed to support such
redevelopment project,
shall be assessed for any infrastructure construction in
connection with
such project unless it is determined that such abutting
property is spe-
cifically benefited thereby.
Sec. 11. K.S.A. 2000 Supp. 12-1775
is hereby amended to read as
follows: 12-1775. (a) For the purposes of this
act:
(1) ``Taxing subdivision'' means
the county, the city, the unified
school district and any other taxing subdivision levying
real property taxes,
the territory or jurisdiction of which includes any
currently existing or
subsequently created redevelopment district;
and
(2) ``real property taxes'' means
all taxes levied on an ad valorem basis
upon land and improvements thereon.
(b) (a) Except
for redevelopment projects satisfying the conditions of
subsection (k) (c) of K.S.A.
12-1771 2000 Supp. 12-1771b, and amend-
ments thereto, all tangible taxable property located within a
redevelop-
ment district shall be assessed and taxed for ad valorem tax
purposes
pursuant to law in the same manner that such property would be
assessed
and taxed if located outside such district, and all ad valorem
taxes levied
on such property shall be paid to and collected by the county
treasurer
in the same manner as other taxes are paid and collected. Except
as
otherwise provided in this section, the county treasurer shall
distribute
such taxes as may be collected in the same manner as if such
property
were located outside a redevelopment district. Each redevelopment
dis-
trict established under the provisions of this act shall constitute
a separate
taxing unit for the purpose of the computation and levy of
taxes.
(c) (b) Except
for redevelopment projects satisfying the conditions of
subsection (k) of K.S.A. 12-1771 (c) of K.S.A.
2000 Supp. 12-1771b, and
amendments thereto, beginning with the first payment of taxes which
are
levied following the date of the redevelopment plan or
revision of the
plan, as authorized by K.S.A. 2000 Supp. 12-1771c, and
amendments
thereto, to the county pursuant to K.S.A. 12-1776, and
amendments
thereto, establishment of the redevelopment
district real property taxes
received by the county treasurer resulting from taxes which are
levied
subject to the provisions of this act by and for the benefit of a
taxing
subdivision, as herein defined in K.S.A. 2000
Supp. 12-1770a, on property
located within such redevelopment district constituting a separate
taxing
unit under the provisions of this section, shall be divided as
follows:
(1) From the taxes levied each year
subject to the provisions of this
act by or for each of the taxing subdivisions upon property located
within
a redevelopment district constituting a separate taxing unit under
the
provisions of this act, the county treasurer first shall allocate
and pay to
each such taxing subdivision all of the real property taxes
collected which
are produced from that portion of the current assessed
valuation of such
real property located within such separate taxing unit
which is equal to
the total assessed value of such real property on the date
of the estab-
lishment of the redevelopment district the base
year assessed valuation.
(2) Any real property taxes produced from
that portion of the current
assessed valuation of real property within the redevelopment
district con-
stituting a separate taxing unit under the provisions of this
section in
excess of an amount equal to the total assessed value of
such real property
on January 1 in the year preceding transmittal of the
redevelopment plan
or a revision of the plan, as authorized by K.S.A. 2000
Supp. 12-1771c,
and amendments thereto, to the county pursuant to K.S.A.
12-1776, and
amendments thereto, the base year assessed
valuation shall be allocated
and paid by the county treasurer to the treasurer of the city and
deposited
in a special fund of the city to pay the cost of
redevelopment projects
redevelopment project costs including the payment of
principal of and
interest on any special obligation bonds or full faith and credit
tax incre-
ment bonds issued by such city to finance, in whole or in part,
such
redevelopment project. When the redevelopment project costs have
been
paid and such obligation bonds and interest thereon have
been paid, all
moneys thereafter received from real property taxes within such
rede-
velopment district shall be allocated and paid to the respective
taxing
subdivisions in the same manner as are other ad valorem taxes. If
such
obligation bonds and interest thereon have been paid before the
comple-
tion of a project, the city may continue to use such moneys for any
pur-
pose authorized by this act until such time as the project is
completed,
but for not to exceed 20 years from the date of the
transmittal to the
county of the redevelopment plan or a revision of the plan
as authorized
by K.S.A. 2000 Supp. 12-1771c, and amendments
thereto approval of the
project plan, except as otherwise provided by this act.
(d) (c) In any
redevelopment project plan or in the
proceedings for
the issuing of any special obligation bonds or full faith and
credit tax
increment bonds by the city to finance a redevelopment project, the
prop-
erty tax increment portion of taxes provided for in paragraph (2)
of sub-
section (c) may be irrevocably pledged for the payment of the
principal
of and interest on such obligation bonds, subject to the provisions
of
subsection (h) (c) of K.S.A.
12-1771 12-1774, and amendments
thereto.
(d) A city may adopt a
redevelopment project plan in which only
a
specified percentage or amount of the tax increment realized
from tax-
payers in the redevelopment district are pledged to the
redevelopment
project. The county treasurer shall allocate the specified
percentage or
amount of the tax increment to the treasurer of the city for
deposit in the
special fund of the city to finance the cost of
redevelopment projects
redevelopment project costs if the city has other available
revenues and
pledges the revenues to the redevelopment project in lieu of the
tax in-
crement. Any portion of such tax increment not allocated to the
city for
the redevelopment project shall be allocated and paid in the same
manner
as other ad valorem taxes.
Sec. 12. K.S.A. 2000 Supp. 12-1776
is hereby amended to read as
follows: 12-1776. (a) After the adoption by the city governing body
of a
redevelopment project plan which
contains the provisions authorized by
K.S.A. 12-1775, and amendments thereto, the clerk
of the city shall trans-
mit a copy of the description of the land within the redevelopment
dis-
trict, a copy of the ordinance adopting the plan and a map or plat
indi-
cating the boundaries of the district to the clerk, assessor and
treasurer
of the county in which the district is located and to the governing
bodies
of the county and school district which levy taxes upon any
property in
the district. Such documents shall be transmitted following the
adoption
or modification of the plan or a revision of the plan, as
authorized by
K.S.A. 2000 Supp. 12-1771c, on or before the
January 1 of the year in
which the increment is first allocated to the taxing subdivision
pursuant
to K.S.A. 12-1775, and amendments thereto.
(b) For any year in which taxes are to be
paid to the special fund
established under subsection (c)(2) of K.S.A. 12-1775, and
amendments
thereto, any increase in assessed valuation of taxable tangible
real prop-
erty within the redevelopment district in excess of an amount equal
to
the total assessed value of such real property on the date of the
estab-
lishment of the redevelopment district shall not be considered by
any
taxing subdivision in computing any debt limitation or for any
other pur-
pose except for the levy of taxes and in determining the amount to
be
paid to such special fund.
(c) The appraiser of any county in which
a redevelopment district is
authorized by a city shall certify the amount of such increase in
assessed
valuation of real and personal property within the redevelopment
district
to the county clerk on or before July 1 of each year.
Sec. 13. K.S.A. 12-17,104 is hereby
amended to read as follows: 12-
17,104. The governing body of the city, on behalf of the district,
shall
have the right to acquire real and personal property by gift,
purchase,
exchange or eminent domain, as provided by K.S.A. 26-501 to
26-516,
inclusive, and amendments thereto, provided that the governing
body
may exercise the power of eminent domain only under the following
con-
ditions:
(1) Acquisition of the land and personal
property is in the public
interest and is needed to further the improvement or
redevelopment
proposal of an existing self-supported municipal improvement
district un-
der this act.
(2) The proposal has been reviewed by the
appropriate planning com-
mission for conformance with the comprehensive plan of the
city.
(3) The city has complied with K.S.A.
75-2714 to 75-2725, inclusive,
and amendments thereto, and has received written approval of the
state
historical society as provided by K.S.A. 75-2714, and
amendments
thereto.
(4) The city has complied with
provisions of K.S.A. 12-1771 and 12-
1772, and amendments thereto, have been complied with
except as the
same relate to findings of a blighted area.
(5) The procedures for a public hearing,
notification to affected prop-
erty owners and the right of appeal shall be the same as provided
in
subsections (d) and (e) of K.S.A. 12-1796 and 12-1797, and
amendments
thereto.
Upon the dissolution of the district or
according to the district proposal
as adopted or amended, and the retirement of all bonded
indebtedness
against the property, all property of the district shall become the
property
of the city and the city may trade or exchange or sell this
property in the
same manner as provided in K.S.A. 12-1301, and amendments
thereto.
The proceeds from such sale may be used for another public
purpose.
Sec. 14. K.S.A. 2000 Supp. 19-101a
is hereby amended to read as
follows: 19-101a. (a) The board of county commissioners may
transact all
county business and perform all powers of local legislation and
adminis-
tration it deems appropriate, subject only to the following
limitations,
restrictions or prohibitions:
(1) Counties shall be subject to all acts
of the legislature which apply
uniformly to all counties.
(2) Counties may not consolidate or alter
county boundaries.
(3) Counties may not affect the courts
located therein.
(4) Counties shall be subject to acts of
the legislature prescribing
limits of indebtedness.
(5) In the exercise of powers of local
legislation and administration
authorized under provisions of this section, the home rule power
con-
ferred on cities to determine their local affairs and government
shall not
be superseded or impaired without the consent of the governing body
of
each city within a county which may be affected.
(6) Counties may not legislate on social
welfare administered under
state law enacted pursuant to or in conformity with public law No.
271--
74th congress, or amendments thereof.
(7) Counties shall be subject to all acts
of the legislature concerning
elections, election commissioners and officers and their duties as
such
officers and the election of county officers.
(8) Counties shall be subject to the
limitations and prohibitions im-
posed under K.S.A. 12-187 to 12-195, inclusive, and amendments
thereto,
prescribing limitations upon the levy of retailers' sales taxes by
counties.
(9) Counties may not exempt from or
effect changes in statutes made
nonuniform in application solely by reason of authorizing
exceptions for
counties having adopted a charter for county government.
(10) No county may levy ad valorem taxes
under the authority of this
section upon real property located within any redevelopment
project area
established under the authority of K.S.A. 12-1772, and
amendments
thereto, unless the resolution authorizing the same specifically
authorized
a portion of the proceeds of such levy to be used to pay the
principal of
and interest upon bonds issued by a city under the authority of
K.S.A.
12-1774, and amendments thereto.
(11) Counties shall have no power under
this section to exempt from
any statute authorizing or requiring the levy of taxes and
providing sub-
stitute and additional provisions on the same subject, unless the
resolution
authorizing the same specifically provides for a portion of the
proceeds
of such levy to be used to pay a portion of the principal and
interest on
bonds issued by cities under the authority of K.S.A. 12-1774, and
amend-
ments thereto.
(12) Counties may not exempt from or
effect changes in the provi-
sions of K.S.A. 19-4601 through 19-4625, and amendments
thereto.
(13) Except as otherwise specifically
authorized by K.S.A. 12-1,101
through 12-1,109, and amendments thereto, counties may not levy
and
collect taxes on incomes from whatever source derived.
(14) Counties may not exempt from or
effect changes in K.S.A. 19-
430, and amendments thereto.
(15) Counties may not exempt from or
effect changes in K.S.A. 19-
302, 19-502b, 19-503, 19-805 or 19-1202, and amendments
thereto.
(16) (A) Counties may not exempt
from or effect changes in K.S.A.
13-13a26, and amendments thereto.
(B) This provision shall expire on June
30, 2003.
(17) (A) Counties may not exempt
from or effect changes in K.S.A.
2000 Supp. 71-301a, and amendments thereto.
(B) This provision shall expire on June
30, 2003.
(18) Counties may not exempt from or
effect changes in K.S.A. 19-
15,139, 19-15,140 and 19-15,141, and amendments thereto.
(19) Counties may not exempt from or
effect changes in the provi-
sions of K.S.A. 12-1223, 12-1225, 12-1225a, 12-1225b, 12-1225c and
12-
1226, and amendments thereto, or the provisions of K.S.A. 2000
Supp.
12-1260 through 12-1270 and 12-1276, and amendments thereto.
(20) Counties may not exempt from or
effect changes in the provi-
sions of K.S.A. 19-211, and amendments thereto.
(21) Counties may not exempt from or
effect changes in the provi-
sions of K.S.A. 19-4001 through 19-4015, and amendments
thereto.
(22) Counties may not regulate the
production or drilling of any oil
or gas well in any manner which would result in the duplication of
reg-
ulation by the state corporation commission and the Kansas
department
of health and environment pursuant to chapter 55 and chapter 65 of
the
Kansas Statutes Annotated and any rules and regulations adopted
pur-
suant thereto. Counties may not require any license or permit for
the
drilling or production of oil and gas wells. Counties may not
impose any
fee or charge for the drilling or production of any oil or gas
well.
(23) Counties may not exempt from or
effect changes in K.S.A. 79-
41a04, and amendments thereto.
(24) Counties may not exempt from or
effect changes in K.S.A. 79-
1611, and amendments thereto.
(25) Counties may not exempt from or
effect changes in K.S.A. 79-
1494, and amendments thereto.
(26) Counties may not exempt from or
effect changes in subsection
(b) of K.S.A. 19-202, and amendments thereto.
(27) Counties may not exempt from or
effect changes in subsection
(b) of K.S.A. 19-204, and amendments thereto.
(28) Counties may not levy or impose an
excise, severance or any
other tax in the nature of an excise tax upon the physical
severance and
production of any mineral or other material from the earth or
water.
(29) Counties may not exempt from or
effect changes in K.S.A. 79-
2017 or 79-2101, and amendments thereto.
(30) Counties may not exempt from or
effect changes in K.S.A. 2-
3302, 2-3305, 2-3307, 17-5904, 17-5908, 47-1219 or 65-171d or
K.S.A.
2000 Supp. 2-3318, 17-5909 or 65-1,178 through 65-1,199, and
amend-
ments thereto.
(31) Counties may not exempt from or
effect changes in K.S.A. 2000
Supp. 80-121, and amendments thereto.
(b) Counties shall apply the powers of
local legislation granted in
subsection (a) by resolution of the board of county commissioners.
If no
statutory authority exists for such local legislation other than
that set forth
in subsection (a) and the local legislation proposed under the
authority
of such subsection is not contrary to any act of the legislature,
such local
legislation shall become effective upon passage of a resolution of
the
board and publication in the official county newspaper. If the
legislation
proposed by the board under authority of subsection (a) is contrary
to an
act of the legislature which is applicable to the particular county
but not
uniformly applicable to all counties, such legislation shall become
effec-
tive by passage of a charter resolution in the manner provided in
K.S.A.
19-101b, and amendments thereto.
(c) Any resolution adopted by a county
which conflicts with the re-
strictions in subsection (a) is null and void.
Sec. 15. K.S.A. 2000 Supp. 74-5093
is hereby amended to read as
follows: 74-5093. As used in this act:
(a) ``Blighted area'' has the meaning
ascribed to it in K.S.A. 12-1771
2000 Supp. 12-1770a, and amendments thereto;
(b) ``committee'' means the community
strategic planning grant com-
mittee established by K.S.A. 74-5095 and amendments thereto;
(c) ``metropolitan county'' means the
county of Douglas, Johnson,
Leavenworth, Sedgwick, Shawnee or Wyandotte;
(d) ``neighborhood revitalization
organization'' means any group or-
ganized for the purpose of encouraging economic development in
a
blighted area of a metropolitan county; and
(e) ``nonmetropolitan county'' means any
county which is not a met-
ropolitan county.
Sec. 16. K.S.A. 2000 Supp. 79-3620,
as amended by section 460 of
2001 Senate Bill No. 15, is hereby amended to read as follows:
79-3620.
(a) All revenue collected or received by the director of taxation
from the
taxes imposed by this act shall be remitted to the state treasurer
in ac-
cordance with the provisions of K.S.A. 75-4215, and amendments
thereto.
Upon receipt of each such remittance, the state treasurer shall
deposit
the entire amount in the state treasury, less amounts withheld as
provided
in subsection (b) and amounts credited as provided in subsection
(c) and
(d), to the credit of the state general fund.
(b) A refund fund, designated as ``sales
tax refund fund'' not to exceed
$100,000 shall be set apart and maintained by the director from
sales tax
collections and estimated tax collections and held by the state
treasurer
for prompt payment of all sales tax refunds including refunds
authorized
under the provisions of K.S.A. 79-3635, and amendments thereto.
Such
fund shall be in such amount, within the limit set by this section,
as the
director shall determine is necessary to meet current refunding
require-
ments under this act. In the event such fund as established by this
section
is, at any time, insufficient to provide for the payment of refunds
due
claimants thereof, the director shall certify the amount of
additional funds
required to the director of accounts and reports who shall promptly
trans-
fer the required amount from the state general fund to the sales
tax refund
fund, and notify the state treasurer, who shall make proper entry
in the
records.
(c) The state treasurer shall credit 5/98
of the revenue collected or
received from the tax imposed by K.S.A. 79-3603, and amendments
thereto, at the rate of 4.9%, and deposited as provided in
subsection (a),
exclusive of amounts credited pursuant to subsection (d), in the
state
highway fund.
(d) The state treasurer shall credit all
revenue collected or received
from the tax imposed by K.S.A. 79-3603, and amendments thereto,
as
certified by the director, from taxpayers doing business within
that por-
tion of a redevelopment district occupied by a redevelopment
project that
was determined by the secretary of commerce and housing to be of
state-
wide as well as local importance or will create a major tourism
area for
the state as specified in subsection (a)(1)(D) of K.S.A.
12-1774 defined
in K.S.A. 2000 Supp. 12-1770a, and amendments thereto, to
the city bond
finance fund, which fund is hereby created. The provisions of this
sub-
section shall expire when the total of all amounts credited
hereunder and
under subsection (d) of K.S.A. 79-3710, and amendments thereto, is
suf-
ficient to retire the special obligation bonds issued for the
purpose of
financing all or a portion of the costs of such redevelopment
project.
Sec. 17. K.S.A. 2000 Supp. 79-3620b
is hereby amended to read as
follows: 79-3620b. Moneys credited to the city bond finance fund in
ac-
cordance with the provisions of subsections (d) of K.S.A. 79-3620
and (d)
of K.S.A. 79-3710, and amendments thereto, shall be distributed
bian-
nually to cities which have issued special obligation bonds to
finance, in
whole or in part, a redevelopment project which was determined by
the
secretary of commerce and housing to be of statewide as well as
local
importance or will create a major tourism area for the state as
specified
in subsection (a)(1)(D) of K.S.A. 12-1774
defined in K.S.A. 2000 Supp.
12-1770a, and amendments thereto. The state treasurer shall
make such
biannual distributions on such dates as mutually agreed to by the
city and
the state treasurer. The total of all distributions under this
section shall
not exceed an amount determined to be sufficient to retire the
principal
and interest payable on such special obligation bonds. Moneys paid
to
cities hereunder shall be deposited in a special fund of the city
to pay the
costs described herein.
Sec. 18. K.S.A. 2000 Supp. 79-3710,
as amended by section 461 of
2001 Senate Bill No. 15, is hereby amended to read as follows:
79-3710.
(a) All revenue collected or received by the director under the
provisions
of this act shall be remitted to the state treasurer in accordance
with the
provisions of K.S.A. 75-4215, and amendments thereto. Upon receipt
of
each such remittance, the state treasurer shall deposit the entire
amount
in the state treasury, less amounts set apart as provided in
subsection (b)
and amounts credited as provided in subsection (c) and (d), to the
credit
of the state general fund.
(b) A revolving fund, designated as
``compensating tax refund fund''
not to exceed $10,000 shall be set apart and maintained by the
director
from compensating tax collections and estimated tax collections and
held
by the state treasurer for prompt payment of all compensating tax
refunds.
Such fund shall be in such amount, within the limit set by this
section,
as the director shall determine is necessary to meet current
refunding
requirements under this act.
(c) The state treasurer shall credit 5/98
of the revenue collected or
received from the tax imposed by K.S.A. 79-3703, and amendments
thereto, at the rate of 4.9%, and deposited as provided in
subsection (a),
exclusive of amounts credited pursuant to subsection (d), in the
state
highway fund.
(d) The state treasurer shall credit all
revenue collected or received
from the tax imposed by K.S.A. 79-3703, and amendments thereto,
as
certified by the director, from taxpayers doing business within
that por-
tion of a redevelopment district occupied by a redevelopment
project that
was determined by the secretary of commerce and housing to be of
state-
wide as well as local importance or will create a major tourism
area for
the state as specified in subsection (a)(1)(D) of K.S.A.
12-1774, defined
in K.S.A. 2000 Supp. 12-1770a, and amendments thereto, to
the city bond
finance fund created by subsection (d) of K.S.A. 79-3620, and
amend-
ments thereto. The provisions of this subsection shall expire when
the
total of all amounts credited hereunder and under subsection (d) of
K.S.A.
79-3620, and amendments thereto, is sufficient to retire the
special ob-
ligation bonds issued for the purpose of financing all or a portion
of the
costs of such redevelopment project.
New Sec. 19. The provisions of this
act shall be applicable to rede-
velopment districts created after July 1, 2001, however, any city
which
has created a redevelopment district prior to the effective date of
this act
may, by an ordinance of the governing body, elect to have the
provisions
of this act apply to such.
Sec. 20. K.S.A. 12-1772 and 12-17,104 and K.S.A.
2000 Supp. 12-
1770, 12-1770a, 12-1771, 12-1771a, 12-1771b, 12-1771c, 12-1771d,
12-
1773, 12-1774, 12-1774a, 12-1774b, 12-1775, 12-1776, 19-101a,
74-5093,
79-3620, as amended by section 460 of 2001 Senate Bill No. 15,
79-3620b
and 79-3710, as amended by section 461 of 2001 Senate Bill No. 15,
are
hereby repealed.
Sec. 21. This act shall take effect and be in
force from and after its
publication in the Kansas register.
Approved April 16, 2001.
Published in the Kansas Register April 26, 2001.
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