12-17,118.   Same; neighborhood revitalization fund;application for taxrebates; impact on state aid to school districts.(a) Following adoption of a plan pursuant to K.S.A. 12-17,117 andamendments thereto, thegoverning body shall create a neighborhood revitalization fund to finance theredevelopment of designated revitalization areas and dilapidated structuresand to provide rebatesauthorized by this section. Moneys may bebudgeted and transferred to such fund from any source which may be lawfullyutilized for such purposes. Any municipality may expend money from the generalfund of such municipality to accomplish the purposes of this act.

      (b)   Moneys credited to such fund from annually budgeted transfers shall notbe subject to the provisions of K.S.A. 79-2925 through 79-2937, andamendments thereto. In making the budget of the municipality, the amountscredited to, and the amount on hand in, such neighborhood revitalization fundand the amount expended therefrom shall be shown thereon for the information oftaxpayers. Moneys in such fund may be invested in accordance with K.S.A.10-131, and amendments thereto with the interest credited to the fund.

      (c)   If the governing body determines that money which has been credited tosuchfund or any part thereof is not needed for the purposes for which so budgetedor transferred, the governing body may transfer such amount not needed to thefund fromwhich it came and such retransfer and expenditure shall be subject to theprovisions of K.S.A. 79-2925 through 79-2937, and amendmentsthereto.

      (d)   Any increment in ad valorem property taxes levied by the municipalityresulting from improvements by a taxpayer to property in a neighborhoodrevitalization area or to a dilapidated structure may be credited to thefund for the purpose of returningall or a part of the property increment to the taxpayer in the form of arebate. Applications for rebates shall be submitted in the manner and subjectto the conditions provided by the revitalization plan adopted under K.S.A.12-17,117 and amendments thereto. Upon approvalof an application received hereunder the municipality shall rebateall or a part of incremental increases in ad valorem property tax resultingfrom theimprovements. Upon payment oftaxes by the taxpayer, the rebate must be made within 30 days after the nextdistribution date as specified in K.S.A. 12-1678a, and amendments thereto.

      (e)   No later than November 1 of each year the county clerk of each countyshall certify to the state commissioner of education the assessed valuationamount of any school district therein for which tax increment rebates have beenmade by the school district during the previous year in accordance with aninterlocal agreement approved by the board of education of such district underthe provisions of K.S.A. 12-17,119 and amendments thereto. Theamount of the assessed valuation shall be determined by dividing the totalamount of tax increment rebates paid by the district during the preceding 12months by the total of the ad valorem tax levy rates levied by or on behalf ofthe district in the previous year. The commissioner of education shall annuallydeduct the certified amounts of assessed valuation for such rebates from thetotal assessed valuation of the district in determining the total and per pupilassessed valuations used in the allocation of state aid payments to schooldistricts.

      History:   L. 1994, ch. 242, § 14;L. 1996, ch. 228, § 11;L. 1997, ch. 97, § 3; July 1.