12-1775.   Taxing subdivision and real property taxesdefined;assessment and distribution of taxes; pledge of proceeds of bonds.(a) Except for redevelopment projects satisfying theconditions ofsubsection (c) of K.S.A.12-1771b, and amendments thereto, all tangibletaxable propertylocated within aredevelopment districtshall be assessed and taxed for ad valorem tax purposespursuant to law in the same manner that such property would be assessedand taxed if located outside such district, and all ad valorem taxes leviedon such property shall be paid to and collected by the county treasurerin the same manner as other taxes are paid and collected. Except asotherwise provided in this section, the county treasurer shalldistribute such taxes as may be collected in the same manner as if suchproperty were located outside a redevelopment district. Each redevelopmentdistrict established under the provisions of this act shallconstitute a separatetaxing unit for the purpose of the computation and levy of taxes.

      (b)   Except for redevelopment projects satisfying theconditions ofsubsection (c) of K.S.A. 12-1771b, and amendmentsthereto, beginningwith the first payment of taxes which are leviedfollowing the date ofthe establishment of the redevelopmentdistrict real property taxes receivedbythe county treasurer resulting from taxes which are levied subject to theprovisions of this act by and for the benefitof a taxing subdivision, as defined in K.S.A.12-1770a, on property located withinsuch redevelopment district constituting a separate taxingunit under the provisionsof this section, shall be divided as follows:

      (1)   From the taxes levied each year subject to the provisions of thisact by or for each of the taxingsubdivisions upon property located within a redevelopmentdistrict constitutinga separate taxing unit under the provisions of this act, the county treasurerfirst shall allocate and pay to eachsuch taxing subdivision all of the real property taxes collected whichare produced from the base year assessed valuation.

      (2)   Any real property taxes produced from that portion of thecurrent assessed valuation of real property within the redevelopment districtconstituting a separate taxing unit under the provisions of this section inexcess ofthe base year assessed valuationshall be allocated and paid bythe county treasurer to the treasurer of the city and deposited in a specialfund of the city to pay theredevelopment project costs including thepayment of principalof and interest on any special obligation bonds or full faith and credittax increment bonds issued by such city tofinance, in whole or in part, such redevelopment project.When the redevelopment project costs have been paid and such obligationbonds and interest thereon have been paid, all moneysthereafter received from real property taxes within such redevelopment districtshall be allocated andpaid to the respective taxing subdivisions in the same manner as areother ad valorem taxes. If such obligation bonds and interest thereonhave been paid before the completion of a project, the city may continue touse such moneys for any purpose authorized by this act until such time as theproject is completed, but for not to exceed 20 years from the dateof the approval of theproject plan, except as otherwise provided by this act.

      (c)   In any project plan or inthe proceedings fortheissuingof any special obligation bonds or full faith and credit tax incrementbonds by the city to finance a redevelopmentproject, the property tax increment portion of taxes provided for in paragraph(2) ofsubsection (c) may be irrevocably pledged for thepayment of the principal of and interest on such obligationbonds, subject to the provisions of subsection (c) of K.S.A.12-1774, and amendments thereto.

      (d)   A city may adopt a project plan inwhichonly a specifiedpercentage or amount ofthe tax increment realized from taxpayers in the redevelopment district arepledged to the redevelopment project. The county treasurer shall allocate thespecified percentage or amount of the tax increment to the treasurer ofthe city fordeposit in the special fund of the city to finance the redevelopment projectcosts if the city has other availablerevenues and pledges the revenues tothe redevelopment project in lieu of the tax increment. Any portion of suchtax increment not allocated to the city for the redevelopment project shall beallocated and paid in the same manner as other ad valorem taxes.

      History:   L. 1976, ch. 69, § 6; L. 1979, ch. 52, § 6; L.1984,ch. 74, § 6;L. 1988, ch. 78, § 6;L. 1996, ch. 228, § 6; L. 1998, ch. 17, § 4;L. 1998, ch. 169, § 2;L. 2001, ch. 103, § 11; April 26.