REPORTS OF STANDING COMMITTEES

MR. SPEAKER:

The Committee on Taxation recommends HB 2011 be amended as recommended by the House Committee on Taxation as reported in the Journal of the House on January 30, 2025, and the bill, as printed As Amended by House Committee, be further amended on page 1, in line 9, by striking "2024" and inserting "2025"; in line 10, by striking "August 15, 2024, and"; in line 11, by striking "thereafter"; by striking all in lines 31 through 35;

On page 2, by striking all in lines 1 through 30; following line 30, by inserting:

"Sec. 2. K.S.A. 2025 Supp. 72-5142 is hereby amended to read as follows: 72-5142. (a) The board of education of each school district shall levy an ad valorem tax upon the taxable tangible property of the school district in the school years specified in subsection (b) for the purpose of:

(1) Financing that portion of the school district's general fund budget that is not financed from any other source provided by law;

(2) paying a portion of the costs of operating and maintaining public schools in partial fulfillment of the constitutional obligation of the legislature to finance the educational interests of the state; and

(3) with respect to any redevelopment school district established prior to July 1, 1997, pursuant to K.S.A. 12-1771, and amendments thereto, paying a portion of the principal and interest on bonds issued by cities under authority of K.S.A. 12-1774, and amendments thereto, for the financing of redevelopment projects upon property located within the school district.

(b) The tax required under subsection (a) shall be levied at a rate of:

(1) 20 mills in the school years 2025-2026 and 2026-2027; and

(2) for the school year 2027-2028, and all school years thereafter, the rate of tax to be levied shall equal the tax rate for the current school year using the current tax year's total assessed valuation that would generate the same property tax revenue as the prior tax year's property tax revenue. Such amount of property tax revenue shall be increased up to 3% in proportion to the same percentage increase that the current year's total assessed valuation is increased above the prior year's total assessed valuation, except that the current year's rate of tax shall not exceed the prior year's rate of tax. In no event shall the property tax revenue be decreased from the prior year. The director of property valuation shall calculate the tax rate for this annual adjustment.

(c) The proceeds from the tax levied by a district under authority of this section, except the proceeds of such tax levied for the purpose described in subsection (a)(3), 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 to the credit of the state school district finance fund.

(d) No school district shall proceed under K.S.A. 79-1964, 79-1964a or 79-1964b, and amendments thereto.";

Also on page 2, in line 31, by striking "2024" and inserting "2025"; in line 38, by striking "2024" and inserting "2025";

On page 1, in the title, in line 5, by striking "2024" and inserting "2025"; and the bill be passed as amended.

_____________________________Chairperson