The bill introduces the "Taxpayer Agreement Act," which allows cities in Kansas to enter into taxpayer agreements with property owners or developers within tax increment or redevelopment districts. These agreements can limit the rights of developers to challenge property assessments and taxes, secure repayment of financing for projects, and establish payment obligations to support project costs. A key provision is that any lien created by the taxpayer agreement will be subordinate to existing mortgages unless consent is obtained from mortgage holders. The act also outlines the process for cities to issue bonds as conduit issuers to finance project costs, specifying that these bonds will not constitute a general obligation of the city or state.

Additionally, the bill amends K.S.A. 12-1774, allowing cities to issue special obligation bonds and full faith and credit tax increment bonds for redevelopment projects. It repeals the existing section of K.S.A. 12-1774, streamlining the financing process for redevelopment projects by enabling cities to utilize taxpayer agreements as an alternative financing method. The act emphasizes that cities are not required to enter into taxpayer agreements and that such agreements do not impose financial obligations on the cities beyond the receipt of pledged payments.

Statutes affected:
As introduced: 12-1774
As Amended by House Committee: 12-1774
As Amended by Senate Committee: 12-1774
Enrolled: 12-1774