SESSION OF 2020
SUPPLEMENTAL NOTE ON HOUSE BILL NO. 2510
As Amended by Senate Committee on Ethics,
Elections and Local Government
Brief*
HB 2510, as amended, would establish a procedure for
a city or county to assume the powers, responsibilities, and
duties of any special district located within the city’s corporate
limits or county’s boundaries and dissolve such a special
district if approved by a joint resolution adopted by the city or
county and the special district.
Definition
“Special district” for this purpose would mean an airport
authority, cemetery district, drainage district, fire district,
industrial district, library district, port authority, rural water
district, sewer district, or rural watershed district.
Procedure
The bill would require the governing bodies that have
reached an agreement for the city or county to assume all
powers, responsibilities, and duties of a special district to
pass a joint resolution stating their intent to dissolve the
special district and set the time and place for a joint public
hearing on the issue.
The bill would require the joint resolution to be published
once a week for two consecutive weeks in a newspaper of
general circulation in the counties where the respective
entities are located.
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*Supplemental notes are prepared by the Legislative Research
Department and do not express legislative intent. The supplemental
note and fiscal note for this bill may be accessed on the Internet at
http://www.kslegislature.org
The bill would require the governing bodies, after the
public hearing, to decide whether to proceed or abandon the
proposed dissolution and assumption of powers and
responsibilities. If both governing bodies decide to proceed,
as evidenced by formal action of each body, the city or county
would adopt an ordinance or resolution dissolving the special
district and assuming all powers, responsibility, and duties of
the special district. The special district would be considered
dissolved on the effective date of the ordinance or resolution.
The bill would require a copy of the ordinance or resolution be
provided to the county clerk.
The bill would prohibit the special district from issuing
new debt without first notifying and receiving approval by
resolution from the governing body of the city or county once
the joint resolution has been passed by the governing bodies.
Successorship
Upon the dissolution of the special district, the city or
county would acquire all property of the special district,
subject to any valid leases or agreements. The city or county
would be responsible for the payment or retirement of any
special district debts or obligations and all district property,
funds, and assets would be vested in the city or county.
The bill would make the city or county the successor in
every way to the powers, duties, and functions of the
dissolved special district, and every act performed in use of
such transferred powers, duties, and function would be
deemed in the same force and effect as if used by the special
district.
The bill would give the city or county legal custody of all
records, memoranda, writings, entries, prints,
representations, electronic data, or combinations of any act,
transaction, occurrence, or event of the dissolved special
district.
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The bill would authorize the court to allow suits, actions,
or other proceedings maintained by or against the successor
of the special district, or any officer of the special district,
either prior to the special district’s dissolution or in relation to
the discharge of the officer’s official duties, that was started
prior to the dissolution of the special district to proceed. The
bill would specify any such legal action would not be
diminished due to the governmental reorganization
authorized by the bill.
Background
The bill was introduced by the House Committee on
Local Government at the request of the League of Kansas
Municipalities (LKM). The bill as introduced dealt with special
districts within cities.
In the House Committee hearing, a representative of
LKM provided proponent testimony on the bill, stating the bill
would create easier, more proactive procedures for
grassroots consolidation of local units of government when
appropriate. The representative also stated such
consolidation currently requires legislative action.
Written-only proponent testimony was provided by the
Kansas Chamber.
No neutral or opponent testimony was provided.
[Note: Tax levy increases resulting from the dissolution
of one taxing entity and transfer of its responsibilities to a city
would be exempt from the provisions of the property tax lid
requiring approval from a majority of a city’s qualified
electors, provided any such levy increase does not exceed
the prior levy of the dissolved entity. This exemption was
enacted in 2019 HB 2188.]
The House Committee recommended the bill be placed
on the Consent Calendar.
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In the Senate Committee on Ethics, Elections and Local
Government hearing, a representative of LKM provided
proponent testimony. Written-only proponent testimony was
provided by a representative of the Kansas Chamber and a
representative of the Kansas Grain and Feed Association,
Kansas Agribusiness Retailers Association, and Renew
Kansas Association. No other testimony was provided.
The Senate Committee amended the bill to authorize a
county, as well as a city, to assume the powers,
responsibilities, and duties of a special district within its
boundaries.
According to the fiscal note prepared by the Division of
the Budget on the bill as introduced, the LKM indicates the bill
could increase efficiencies of local government, but it is
unable to determine the fiscal effect. Any fiscal effect
associated with enactment of the bill is not reflected in The
FY 2021 Governor’s Budget Report.
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Statutes affected: Enrolled: 17-2707, 65-2877a, 17-7668, 72-3220, 72-3221, 72-3222, 72-3404, 72-3223, 72-3224, 72-3810, 72-3819, 72-5179, 75-53