HB 1634 (Truly Agreed) Allows requisition of additional funds by land trusts if insufficient funds exist to pay expenses
Current Bill Summary
- Prepared by Senate Research -

SCS/HB 1634 - This act authorizes the state to make five conveyances of state property controlled by the department of natural resources, including a transfer of land in Jefferson county.

This act modifies provisions relating to land trusts in Jackson, St. Charles and St. Louis counties. The act changes the date by which actions to set aside a court administrator's or sheriff's deed to within one year of the court administrator's foreclosure sale. The court administrator or sheriff can collect their deed fee at the time of the foreclosure sale.

The act also modifies the membership of land trusts, to include a member appointed by the county executive, if the county has an executive. Land trusts are authorized to sell certain tracts of vacant residential property to the owners of contiguous property. The act provides budget requirements and deadlines for county governing bodies to object to land trust budgets and that a failure to object constitutes approval. The approved budget may only be amended with the consent of the county and city that appointed members.

If there are insufficient funds available to pay the salaries and other expenses of the land trust, additional funds may be requisitioned from the county and city not to exceed 25% of the annual budget year without consent of the county and city.

Performance audits may be conducted by the State Auditor or the Kansas City Auditor. Cost of performance audits must be paid for by the land trust and made available to the public within 30 days of completion.

The act modifies the distribution of assets from the sale of any property in the trust to provide that the trust may be used to pay salaries and other expenses of such trust. Any funds in excess of those necessary to meet the expenses of the trust plus a reasonable sum to carry over into the next fiscal year may be paid to taxing authorities and tax bill owners.

The act also modifies provisions of law related to rehabilitation of historic properties in Kansas City. Currently, not-for-profit organizations may seek temporary possession of abandoned property if organization intends to use the property for low- or moderate-income housing. The act deletes that requirement. Under current law, the organization may petition the court for an order conveying title after the expiration of one year. The act provides that the organization may petition the court for such an order after the rehabilitation work is completed. The act allows the owner of the abandoned property to seek restoration of the property prior to the completion of rehabilitation work. The court then determines whether the owner has the resources to complete the rehabilitation work. If the court determines that the owner does not have the resources, the court shall not restore possession. If the court determines that the rehabilitation work is complete or that the owner has the resources to complete the work, the court shall restore possession and determine what compensation is due to the organization.

Currently, organizations must file annual reports on the progress of rehabilitation efforts. The act provides that the organization must file quarterly reports.

This act revises the fees to be collected by certain county collectors for all current and delinquent taxes collected as compensation for mailing the statement and receipts. County collectors in counties not having a township organization are also authorized to collect a certain percentage of fees for the collection of taxes on behalf of the county. The act increases the additional fee from five to seven percent for collection of delinquent and back taxes to be collected from the taxpayer in all counties except St. Louis, St. Charles and Jackson counties and the City of St. Louis. A county collector can accept credit cards as a form of payment for taxes, but shall not add a surcharge in excess of the actual fees charged by the credit card bank.

In all counties except St. Louis, St. Charles and Jackson and the City of St. Louis, the county shall establish a "Tax Maintenance Fund". Two percent of the fee collected for delinquent and back taxes shall be deposited in the fund and shall be used by the collector to fund additional costs and expenses incurred by the county collector. The act provides limits on the amount of money that can remain in the fund at the end of each fiscal year. Any money in excess of that limit shall be transferred to the general revenue fund of the county.

A similar "Tax Maintenance Fund" shall be created in third and fourth class counties adopting a township organization that have a county treasurer ex officio collector.

This act allows for the combination or separation of the offices of county circuit clerk and county recorder in third class counties, upon voter approval.

Portions of this act are similar to HB 1634, HB 1795, SBs 1086 & 1126 and SB 1060(2002).
JIM ERTLE

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