12-195.Same; use of proceeds
for payment of bonds prohibited; exceptions.
(a) Except as otherwise provided in K.S.A. 12-195b, 12-1774,
12-17,103 and K.S.A. 2001 Supp. 74-8924, and
amendments thereto, or subsection
(b), no city or
county shall
commit any of the funds or proceeds derived
from a retailers' sales tax as a guarantee for the payment of bonds
issued by such city or county or the Kansas development finance
authority.
(b) Any city or county which is the recipient of funds derived from a
local option sales tax pursuant to K.S.A. 12-187 et seq., and
amendments thereto, is hereby authorized to issue revenue bonds to provide
for the payment of all or any portion of the cost of public facilities or
improvements
of such city or county for which such city or county is authorized pursuant
to the constitution or laws of this state to issue general obligation
bonds and to pledge revenues received from countywide or city
retailers' sales taxes for the payment thereof. No such bonds shall be
issued for the payment of all or any portion of the cost of any facilities
or improvements to be used for commercial or retail purposes, except that
such prohibition shall not apply to revenue bonds issued for the payment of the
cost of constructing or improving a convention or exposition hall or center
or public auditorium.
In the event the governing body of a city or county
proposes to issue such bonds, and the question of pledging the revenues
received from the countywide or city retailers' sales tax has not
previously been submitted to and approved by the voters of the city or
county, such proposition shall be published once each week for two
consecutive weeks in the official city or county newspaper, as the case
requires. If, within 30 days after the last publication of the
proposition, a petition is filed with the county election officer
signed by not less than 4% of the electors of the
city or county, as the case requires, who voted for the office of secretary
of state at the last preceding general election for such office requesting
an election thereon, no such bonds shall be issued unless the proposition
is submitted to and approved by a majority of the voters of the city or
county, as the case requires, voting at an election held thereon. Any such
election shall be called and held in accordance with the provisions of
K.S.A. 10-120, and amendments thereto, or in accordance with the provisions
of the mail ballot election act.
(1) Such
bonds shall be authorized by ordinance of the governing body of such city
or resolution of the governing body of such county. The bonds may be issued
as registered bonds or coupon bonds,
payable to bearer, and, if coupon bonds, may be registrable as to principal
only or as to principal and interest, and may be made exchangeable for
bonds of another denomination or in another form. The bonds may be in such
form and denominations, may have such date or dates, may be stated to
mature at such time or times, may bear interest payable at such times and at
such rate or rates, may be payable at such places within or without the
state, may be subject to such terms of redemption in advance of maturity at
such prices, and may contain such terms and conditions, all as the city or
county shall determine. The bonds shall have all the qualities of and shall
be deemed to be negotiable instruments under the laws of the state of
Kansas. The authorizing ordinance or resolution may contain any other terms,
covenants
and conditions that the city or county deems reasonable and desirable,
including without limitation those
pertaining to the maintenance of various funds and reserves, the nature and
extent of any security for payment of the bonds, the custody and
application of the proceeds of the bonds, the collection, transfer and
disposition of
sales tax revenues, the investing of bond proceeds or any funds pledged to
the repayment of the bonds, and the rights, duties and obligations of the
city or county and the owners of the bonds.
(2) The authorizing ordinance or resolution may provide for the execution of
a trust
indenture between the city or county and any financial institution within
or without the state of Kansas. The trust indenture may contain any terms,
covenants and conditions that are deemed desirable by the city or county.
(3) Any authorizing ordinance or resolution and trust indenture
relating to the
issuance of and security for the bonds shall constitute a contract between
the city or county and the owners of the bonds, which contract, and all
covenants, agreements and obligations therein, shall be promptly performed
in strict compliance with the terms and provisions of such contract, and
the covenants, agreements and obligations of the city or county may be
enforced by mandamus or other appropriate
proceeding at law or in equity. The pledge of revenues made by the city or
county shall be valid and binding from the time when such pledge is made
and the revenues so pledged and thereafter received by the city or county
shall immediately be subject to the lien of such pledge without such
physical delivery thereof or further act on the part of the city or county,
and the lien of any such pledge shall be valid and binding as against all
parties having claims of any kind against the issuer, irrespective of
whether such parties have notice thereof. Neither the authorizing
ordinance or resolution nor any other instrument by which a pledge is created need be
filed or recorded except in the records of the city or county.
(4) The revenue bonds may be sold in such manner, either at public or
private sale, and upon such terms as the city or county shall determine to
be reasonable, including sale at discount. It shall be plainly stated on the
face of each such bond that it has been issued under this act, that the bonds
shall be special obligations of the city or county, payable solely and only
from the revenues
pledged to the payment of the bonds
and
that in no event, shall the bonds constitute an indebtedness of the
state of Kansas or the city or county for which the faith and credit of the
state of Kansas or city or county is
pledged.
(5) Any bonds issued under the provisions of this section and the
interest thereon, shall be exempt from all taxes levied by the state of
Kansas, or any political or taxing subdivision thereof,
except inheritance taxes.
(6) Bonds may be issued for the purpose of refunding, either at maturity
or in advance of maturity, any bonds issued under this section. Such
refunding bonds may either be sold or delivered in exchange for the bonds
being refunded. If sold, the proceeds may either be applied to the
payment of the bonds being refunded or deposited in trust and there
maintained in cash or investments for the retirement of the bonds being
refunded, as shall be specified by the city or county and the authorizing
ordinance or resolution or trust indenture securing such refunding bonds. The
authorizing ordinance or resolution or trust indenture securing the refunding
bonds may
provide that the refunding bonds shall have the same security for their
payment as provided for the bonds being refunded. Refunding bonds shall be
sold and secured in accordance with the provisions of this act pertaining
to the sale and security of the bonds.
(7) Bonds issued under the provisions of this act shall be eligible to
secure the deposit of public funds under article 14 of chapter 9 of the
Kansas Statutes Annotated, and amendments thereto.
(8) Bonds issued under the provisions of this act shall be in addition
to and not subject to any statutory limitation of bonded indebtedness
imposed on such city or county.
History: L. 1978, ch. 56, § 9; L. 1983, ch. 227, § 1;
L. 1987, ch. 63, § 4; L. 1987, ch. 60, § 7;
L. 1988, ch. 73, § 2;
L. 1991, ch. 54, § 1; L. 1991, ch. 55, § 2;
L. 1993, ch. 213, § 3;
L. 1998, ch. 199, § 21;
L. 1999, ch. 158, § 1; July 1.
12-195.Same; use of proceeds
for payment of bonds prohibited; exceptions.
(a) Except as otherwise provided in K.S.A. 12-195b, 12-1774,
12-17,103 and K.S.A. 2001 Supp. 74-8924, and
amendments thereto, or subsection
(b), no city or
county shall
commit any of the funds or proceeds derived
from a retailers' sales tax as a guarantee for the payment of bonds
issued by such city or county or the Kansas development finance
authority.
(b) Any city or county which is the recipient of funds derived from a
local option sales tax pursuant to K.S.A. 12-187 et seq., and
amendments thereto, is hereby authorized to issue revenue bonds to provide
for the payment of all or any portion of the cost of public facilities or
improvements
of such city or county for which such city or county is authorized pursuant
to the constitution or laws of this state to issue general obligation
bonds and to pledge revenues received from countywide or city
retailers' sales taxes for the payment thereof. No such bonds shall be
issued for the payment of all or any portion of the cost of any facilities
or improvements to be used for commercial or retail purposes, except that
such prohibition shall not apply to revenue bonds issued for the payment of the
cost of constructing or improving a convention or exposition hall or center
or public auditorium.
In the event the governing body of a city or county
proposes to issue such bonds, and the question of pledging the revenues
received from the countywide or city retailers' sales tax has not
previously been submitted to and approved by the voters of the city or
county, such proposition shall be published once each week for two
consecutive weeks in the official city or county newspaper, as the case
requires. If, within 30 days after the last publication of the
proposition, a petition is filed with the county election officer
signed by not less than 4% of the electors of the
city or county, as the case requires, who voted for the office of secretary
of state at the last preceding general election for such office requesting
an election thereon, no such bonds shall be issued unless the proposition
is submitted to and approved by a majority of the voters of the city or
county, as the case requires, voting at an election held thereon. Any such
election shall be called and held in accordance with the provisions of
K.S.A. 10-120, and amendments thereto, or in accordance with the provisions
of the mail ballot election act.
(1) Such
bonds shall be authorized by ordinance of the governing body of such city
or resolution of the governing body of such county. The bonds may be issued
as registered bonds or coupon bonds,
payable to bearer, and, if coupon bonds, may be registrable as to principal
only or as to principal and interest, and may be made exchangeable for
bonds of another denomination or in another form. The bonds may be in such
form and denominations, may have such date or dates, may be stated to
mature at such time or times, may bear interest payable at such times and at
such rate or rates, may be payable at such places within or without the
state, may be subject to such terms of redemption in advance of maturity at
such prices, and may contain such terms and conditions, all as the city or
county shall determine. The bonds shall have all the qualities of and shall
be deemed to be negotiable instruments under the laws of the state of
Kansas. The authorizing ordinance or resolution may contain any other terms,
covenants
and conditions that the city or county deems reasonable and desirable,
including without limitation those
pertaining to the maintenance of various funds and reserves, the nature and
extent of any security for payment of the bonds, the custody and
application of the proceeds of the bonds, the collection, transfer and
disposition of
sales tax revenues, the investing of bond proceeds or any funds pledged to
the repayment of the bonds, and the rights, duties and obligations of the
city or county and the owners of the bonds.
(2) The authorizing ordinance or resolution may provide for the execution of
a trust
indenture between the city or county and any financial institution within
or without the state of Kansas. The trust indenture may contain any terms,
covenants and conditions that are deemed desirable by the city or county.
(3) Any authorizing ordinance or resolution and trust indenture
relating to the
issuance of and security for the bonds shall constitute a contract between
the city or county and the owners of the bonds, which contract, and all
covenants, agreements and obligations therein, shall be promptly performed
in strict compliance with the terms and provisions of such contract, and
the covenants, agreements and obligations of the city or county may be
enforced by mandamus or other appropriate
proceeding at law or in equity. The pledge of revenues made by the city or
county shall be valid and binding from the time when such pledge is made
and the revenues so pledged and thereafter received by the city or county
shall immediately be subject to the lien of such pledge without such
physical delivery thereof or further act on the part of the city or county,
and the lien of any such pledge shall be valid and binding as against all
parties having claims of any kind against the issuer, irrespective of
whether such parties have notice thereof. Neither the authorizing
ordinance or resolution nor any other instrument by which a pledge is created need be
filed or recorded except in the records of the city or county.
(4) The revenue bonds may be sold in such manner, either at public or
private sale, and upon such terms as the city or county shall determine to
be reasonable, including sale at discount. It shall be plainly stated on the
face of each such bond that it has been issued under this act, that the bonds
shall be special obligations of the city or county, payable solely and only
from the revenues
pledged to the payment of the bonds
and
that in no event, shall the bonds constitute an indebtedness of the
state of Kansas or the city or county for which the faith and credit of the
state of Kansas or city or county is
pledged.
(5) Any bonds issued under the provisions of this section and the
interest thereon, shall be exempt from all taxes levied by the state of
Kansas, or any political or taxing subdivision thereof,
except inheritance taxes.
(6) Bonds may be issued for the purpose of refunding, either at maturity
or in advance of maturity, any bonds issued under this section. Such
refunding bonds may either be sold or delivered in exchange for the bonds
being refunded. If sold, the proceeds may either be applied to the
payment of the bonds being refunded or deposited in trust and there
maintained in cash or investments for the retirement of the bonds being
refunded, as shall be specified by the city or county and the authorizing
ordinance or resolution or trust indenture securing such refunding bonds. The
authorizing ordinance or resolution or trust indenture securing the refunding
bonds may
provide that the refunding bonds shall have the same security for their
payment as provided for the bonds being refunded. Refunding bonds shall be
sold and secured in accordance with the provisions of this act pertaining
to the sale and security of the bonds.
(7) Bonds issued under the provisions of this act shall be eligible to
secure the deposit of public funds under article 14 of chapter 9 of the
Kansas Statutes Annotated, and amendments thereto.
(8) Bonds issued under the provisions of this act shall be in addition
to and not subject to any statutory limitation of bonded indebtedness
imposed on such city or county.
History: L. 1978, ch. 56, § 9; L. 1983, ch. 227, § 1;
L. 1987, ch. 63, § 4; L. 1987, ch. 60, § 7;
L. 1988, ch. 73, § 2;
L. 1991, ch. 54, § 1; L. 1991, ch. 55, § 2;
L. 1993, ch. 213, § 3;
L. 1998, ch. 199, § 21;
L. 1999, ch. 158, § 1; July 1.
12-195.Same; use of proceeds
for payment of bonds prohibited; exceptions.
(a) Except as otherwise provided in K.S.A. 12-195b, 12-1774,
12-17,103 and K.S.A. 2001 Supp. 74-8924, and
amendments thereto, or subsection
(b), no city or
county shall
commit any of the funds or proceeds derived
from a retailers' sales tax as a guarantee for the payment of bonds
issued by such city or county or the Kansas development finance
authority.
(b) Any city or county which is the recipient of funds derived from a
local option sales tax pursuant to K.S.A. 12-187 et seq., and
amendments thereto, is hereby authorized to issue revenue bonds to provide
for the payment of all or any portion of the cost of public facilities or
improvements
of such city or county for which such city or county is authorized pursuant
to the constitution or laws of this state to issue general obligation
bonds and to pledge revenues received from countywide or city
retailers' sales taxes for the payment thereof. No such bonds shall be
issued for the payment of all or any portion of the cost of any facilities
or improvements to be used for commercial or retail purposes, except that
such prohibition shall not apply to revenue bonds issued for the payment of the
cost of constructing or improving a convention or exposition hall or center
or public auditorium.
In the event the governing body of a city or county
proposes to issue such bonds, and the question of pledging the revenues
received from the countywide or city retailers' sales tax has not
previously been submitted to and approved by the voters of the city or
county, such proposition shall be published once each week for two
consecutive weeks in the official city or county newspaper, as the case
requires. If, within 30 days after the last publication of the
proposition, a petition is filed with the county election officer
signed by not less than 4% of the electors of the
city or county, as the case requires, who voted for the office of secretary
of state at the last preceding general election for such office requesting
an election thereon, no such bonds shall be issued unless the proposition
is submitted to and approved by a majority of the voters of the city or
county, as the case requires, voting at an election held thereon. Any such
election shall be called and held in accordance with the provisions of
K.S.A. 10-120, and amendments thereto, or in accordance with the provisions
of the mail ballot election act.
(1) Such
bonds shall be authorized by ordinance of the governing body of such city
or resolution of the governing body of such county. The bonds may be issued
as registered bonds or coupon bonds,
payable to bearer, and, if coupon bonds, may be registrable as to principal
only or as to principal and interest, and may be made exchangeable for
bonds of another denomination or in another form. The bonds may be in such
form and denominations, may have such date or dates, may be stated to
mature at such time or times, may bear interest payable at such times and at
such rate or rates, may be payable at such places within or without the
state, may be subject to such terms of redemption in advance of maturity at
such prices, and may contain such terms and conditions, all as the city or
county shall determine. The bonds shall have all the qualities of and shall
be deemed to be negotiable instruments under the laws of the state of
Kansas. The authorizing ordinance or resolution may contain any other terms,
covenants
and conditions that the city or county deems reasonable and desirable,
including without limitation those
pertaining to the maintenance of various funds and reserves, the nature and
extent of any security for payment of the bonds, the custody and
application of the proceeds of the bonds, the collection, transfer and
disposition of
sales tax revenues, the investing of bond proceeds or any funds pledged to
the repayment of the bonds, and the rights, duties and obligations of the
city or county and the owners of the bonds.
(2) The authorizing ordinance or resolution may provide for the execution of
a trust
indenture between the city or county and any financial institution within
or without the state of Kansas. The trust indenture may contain any terms,
covenants and conditions that are deemed desirable by the city or county.
(3) Any authorizing ordinance or resolution and trust indenture
relating to the
issuance of and security for the bonds shall constitute a contract between
the city or county and the owners of the bonds, which contract, and all
covenants, agreements and obligations therein, shall be promptly performed
in strict compliance with the terms and provisions of such contract, and
the covenants, agreements and obligations of the city or county may be
enforced by mandamus or other appropriate
proceeding at law or in equity. The pledge of revenues made by the city or
county shall be valid and binding from the time when such pledge is made
and the revenues so pledged and thereafter received by the city or county
shall immediately be subject to the lien of such pledge without such
physical delivery thereof or further act on the part of the city or county,
and the lien of any such pledge shall be valid and binding as against all
parties having claims of any kind against the issuer, irrespective of
whether such parties have notice thereof. Neither the authorizing
ordinance or resolution nor any other instrument by which a pledge is created need be
filed or recorded except in the records of the city or county.
(4) The revenue bonds may be sold in such manner, either at public or
private sale, and upon such terms as the city or county shall determine to
be reasonable, including sale at discount. It shall be plainly stated on the
face of each such bond that it has been issued under this act, that the bonds
shall be special obligations of the city or county, payable solely and only
from the revenues
pledged to the payment of the bonds
and
that in no event, shall the bonds constitute an indebtedness of the
state of Kansas or the city or county for which the faith and credit of the
state of Kansas or city or county is
pledged.
(5) Any bonds issued under the provisions of this section and the
interest thereon, shall be exempt from all taxes levied by the state of
Kansas, or any political or taxing subdivision thereof,
except inheritance taxes.
(6) Bonds may be issued for the purpose of refunding, either at maturity
or in advance of maturity, any bonds issued under this section. Such
refunding bonds may either be sold or delivered in exchange for the bonds
being refunded. If sold, the proceeds may either be applied to the
payment of the bonds being refunded or deposited in trust and there
maintained in cash or investments for the retirement of the bonds being
refunded, as shall be specified by the city or county and the authorizing
ordinance or resolution or trust indenture securing such refunding bonds. The
authorizing ordinance or resolution or trust indenture securing the refunding
bonds may
provide that the refunding bonds shall have the same security for their
payment as provided for the bonds being refunded. Refunding bonds shall be
sold and secured in accordance with the provisions of this act pertaining
to the sale and security of the bonds.
(7) Bonds issued under the provisions of this act shall be eligible to
secure the deposit of public funds under article 14 of chapter 9 of the
Kansas Statutes Annotated, and amendments thereto.
(8) Bonds issued under the provisions of this act shall be in addition
to and not subject to any statutory limitation of bonded indebtedness
imposed on such city or county.
History: L. 1978, ch. 56, § 9; L. 1983, ch. 227, § 1;
L. 1987, ch. 63, § 4; L. 1987, ch. 60, § 7;
L. 1988, ch. 73, § 2;
L. 1991, ch. 54, § 1; L. 1991, ch. 55, § 2;
L. 1993, ch. 213, § 3;
L. 1998, ch. 199, § 21;
L. 1999, ch. 158, § 1; July 1.