12-5504


Chapter 12.--CITIES AND MUNICIPALITIES


Article 55.--PRIVATIZATION OF PUBLIC SERVICES

     
12-5504.   Same; proposals; public hearing, feasibility analysis; protest petition.
(a) Any municipality considering the privatization of a
public service as provided by this act shall prepare a request for
proposals which shall describe the public service and related facilities
under consideration for performance by contract. A notice of such request
for proposals shall be published once in the municipality's official
newspaper at least 30 days prior to any action thereon. Any person who
expresses in writing an interest in submitting a proposal shall be provided
such performance specifications, terms and conditions and other information
as deemed advisable by the municipality to facilitate the submission of a
comprehensive proposal.

     
(b)   Upon receiving one or more proposals to provide a capital intensive
public service, the municipality may negotiate the detailed provisions of a
proposed service agreement with any private contractor or contractors whom
the municipality determines would provide the proposed service in an
efficient and effective manner. Following such negotiations, and the
development of a proposed service agreement, a public hearing shall be held
not sooner than 10 days following publication of a notice thereon, giving
the date, time and place and specifying the general purpose of the public
hearing. At the time of the hearing, a feasibility analysis prepared by
the municipality shall be made available, which includes a comparative
analysis of the costs of the service if provided directly by the
municipality or by a private contractor.
In addition, a
feasibility analysis shall be obtained from the Kansas department of health
and environment as to any proposed service agreement affecting solid waste
or water.

     
(c)   No agreement shall be entered into under the provisions of this act
unless the governing body of the municipality shall find,
by resolution,
following the public hearing,
that the proposed service agreement is in the public interest and
would provide the public service in an efficient and effective manner, at a
cost that would not exceed the cost if the
municipality had directly provided such service, and specifying its intent
to enter into the agreement, the nature and
purpose of the agreement and the estimated annual service fee to be paid
from public funds to the contractor under the agreement.

     
(d)   If the estimated annual payment under the agreement exceeds
3% of the total amount budgeted by the municipality for expenditure during
the current year, excluding debt service, such
resolution shall be
published once each week for two consecutive weeks in a newspaper of
general circulation within the municipality. If within 30 days of the last
publication, a petition signed by at least 5% of the qualified electors is
filed with the county election officer of the county in which such
municipality is located requesting an election on the proposal no service
agreement shall be entered into unless the proposal is submitted to and
approved by a majority of the qualified electors of the municipality at an
election thereon. Such election shall be called and held in the manner
provided by K.S.A. 10-120, and amendments thereto.

     
History:   L. 1990, ch. 64, § 4; July 1.