Kansas 2023 2023-2024 Regular Session

Kansas House Bill HB2176 Comm Sub / Analysis

                    SESSION OF 2024
CONFERENCE COMMITTEE REPORT BRIEF
 HOUSE BILL NO. 2176
As Agreed to April 4, 2024
Brief*
HB 2176, as amended, would create the Arkansas City Area Public Library District Act and 
the Udall Area Public Library District Act (Library Acts). These acts would be identical except for 
references to the cities of Arkansas City and Udall and references to USD 470 (Arkansas City) 
and USD 463 (Udall). The bill would also make conforming amendments to a statute defining 
“local public libraries.” The bill would also create the Dwayne Peaslee Technical Training Center 
District Act, if Douglas County voters approve. 
Creation of Library Districts
The Library Acts would authorize the boards of trustees of existing public libraries in the 
cities of Arkansas City and Udall to adopt resolutions submitting to voters the question of 
creating a library district and a proposed tax levy amount. The library district territory would be 
the territory within the boundaries of the relevant school district.
Upon a majority of qualified electors of the proposed library districts voting in favor of the 
proposed library district, the district would be established and all contracts, bonds, debts, and 
other obligations of the existing public libraries would transfer to the new district, except for 
debts related to the ownership of real estate of the library, which would remain an obligation of 
the city.
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*Conference committee report briefs are prepared by the Legislative Research Department and do not express 
legislative intent. No summary is prepared when the report is an agreement to disagree. Conference committee 
report briefs may be accessed on the Internet at http://www.kslegislature.org/klrd 
1 - 2176  Governance of Library Districts
Library districts under the Library Acts would be governed by seven-member boards of 
trustees (board or boards). Four members would be appointed by the governing body of the 
relevant city with one member residing outside the city, and three members living outside the 
city would be appointed by the relevant board of education. The bill would require board 
members to be residents of the relevant library district created under the Library Acts. The 
members would be appointed to terms of four years and would serve until successors are 
appointed and qualified. Members would be eligible for reappointment, but could not serve more 
than two consecutive terms without one year of non-service following the second consecutive 
term. Members would receive no compensation, but would be paid actual expenses associated 
with their duties.
The boards would be required to annually elect a chairperson, secretary, treasurer, and 
other officers deemed necessary by the board. Regular meetings of the board would be set by 
the board, and limited special meetings could be called by the chairperson or a majority of the 
members of the board. The bill would require the board treasurer to give bond in an amount set 
by the board and pay out funds on orders of the board signed by the chairperson and secretary. 
County treasurers would be required to remit funds collected for the board to the board 
treasurer.
The boards would be required to annually adopt a budget for the library following notice 
and a hearing concerning the budget. The bill would require the budget to state the amount of 
tax to be collected, which would be levied on behalf of the library district by the relevant board of 
education. The bill would require the tax levy to be submitted to an election upon the filing of a 
petition signed by at least 5 percent of the qualified voters in the tax district. The bill would 
prohibit the proceeds of the tax from supporting a regional system of cooperating libraries for 
any subsequent calendar year.
The bill would state the libraries would cease to be participating libraries in their respective 
library systems. The bill would authorize each library district created by the bill to submit a 
petition to join its respective library system as a participating library.
Operation of Libraries
The bill would require the library to be free for the use of residents of the library district, 
subject to rules adopted by the board. The library would be permitted to charge non-residents a 
fee for the use of the library.
The board would be authorized to exercise the usual powers of a corporation for public 
purposes. Specifically, the board would be authorized to:
●Make appropriate rules for the administration of the library;
●Purchase or lease real estate for the library;
●Acquire library materials;
●Employ a librarian and other employees;
●Establish and maintain a traveling library;
●Contract with other libraries or municipalities;
●Receive gifts, grants, and tax proceeds; and
2 - 2176  ●Make annual reports to the State Librarian and the board of education.
Dwayne Peaslee Technical Training Center District Act
The bill would allow the Board of County Commissioners of Douglas County 
(Commissioners) to submit the question of the creation of the Dwayne Peaslee Technical 
Training Center District (Peaslee District) to the voters of Douglas County at any primary, 
general, or special election.
If approved by a majority of Douglas County voters, the bill would dissolve the existing 
Board of Directors for the Dwayne Peaslee Technical Training Center (Center). It would also 
require the Commissioners to establish by resolution the first Board of Directors for the District 
(Peaslee Board), composed of seven members, the criteria for serving on such board, and the 
terms of office for the first board.
Board Requirements
The bill would require the Peaslee Board to annually:
●Elect a chairperson, secretary, and treasurer;
●Elect other officers deemed necessary by the Board;
●Fix the date and place of its regular meetings;
●Adopt bylaws as appropriate;
●File a bond with the Douglas County Clerk;
●Maintain accurate records of all money received and disbursed; and
●Prepare and publish an annual budget for the maintenance and support of the district.
Obligations
The bill would require all contracts previously entered into and all outstanding bonds, 
debts, and other obligations of the Center to be assumed by the Peaslee District.
Taxing Authority
The bill would authorize the Board to levy a property tax not to exceed 0.50 mills for all 
taxable, tangible property in the District (Douglas County). The tax levy would not be considered 
a tax levy of Douglas County.
District Powers
The bill would authorize the Peaslee District to:
●Enter into contracts;
3 - 2176  ●Sue and be sued;
●Acquire, hold, and convey real and personal property;
●Make and adopt rules and regulations for the administration of the District;
●Lease land and buildings;
●Acquire material and equipment necessary for maintenance or extension of the 
Center;
●Employ persons as the Peaslee Board deems necessary;
●Make annual reports of receipts and disbursements to Douglas County;
●Receive, accept, and administer money received from the State, federal government, 
or private donors;
●Receive and accept donations; and
●Make annual reports to the Commissioners on or before January 31 of each year for 
the preceding calendar year, showing receipts and disbursements and showing 
statistical information relating to students served and programs offered.
Conference Committee Action
The Conference Committee agreed to the provisions of HB 2176, as amended by the 
Senate Committee on Local Government, with an amendment to require residence in the district 
for library board members, and agreed to add the provisions of SB 529, as amended by the 
Senate Committee on Ways and Means.
Background
The House Committee on Taxation inserted the contents of HB 2205 into HB 2176 while 
retaining the contents of HB 2176. Background information for each bill may be found below. 
The Senate Committee of the Whole added the contents of SB 284 into HB 2176.
HB 2176 (Library Acts)
The bill was introduced by Representatives Rhiley and Roth.
House Committee on Taxation
In the House Committee hearing on February 7, 2023, proponent testimony was provided 
by representatives of the Arkansas City Public Library and USD 470 (Arkansas City). The 
proponents generally stated the bill would allow the library to receive additional tax proceeds, 
which would exceed the amount provided for in the city’s charter ordinance.
4 - 2176  Written-only proponent testimony was provided by representatives of the Arkansas City 
Public Library and four private citizens.
Written-only neutral testimony was provided by the State Librarian of Kansas and a 
representative of the South Central Kansas Library System (SCKLS).
The House Committee amended the bill to add the provisions of HB 2205, a substantially 
similar bill regarding the Udall Public Library. [Note: The Conference Committee retained these 
amendments.]
Senate Committee on Local Government
In the Senate Committee hearing on February 1 and February 15, 2024, proponent 
testimony was provided by representatives of the Arkansas City Public Library and the Udall 
Public Library. A copy of a resolution adopted by the USD 463 (Udall) Board of Education in 
support of the bill was provided.
Opponent written-only testimony was provided by a representative of the Southeast 
Kansas Library System (SEKLS). They stated the precedent that the Independence Public 
Library set for ending rural tax support to the regional system through special legislation could 
encourage other libraries to do the same, which could severely hinder the regional systems’ 
capacity to provide services.
Neutral testimony was provided by the State Librarian on behalf of the State Library of 
Kansas. He provided historical context regarding the regional library system in Kansas, 
including the provisions and distinctions between the taxing authority that belongs to the 
regional library system and the local libraries. The State Librarian also noted the State Library of 
Kansas Board has the authority to approve exclusion of a library taxing district from a system 
taxing district without the exclusion harming the regional system. He stated this bill would allow 
other districts to follow, which could greatly reduce the funds received by the regional systems, 
which would make it difficult to provide services to local libraries.
Written-only neutral testimony was provided by representatives of the Central Kansas 
Library System (CKLS) and SCKLS.
The Senate Committee amended the bill to:
●Allow the Arkansas City Public Library to submit a petition to rejoin the CKLS once the 
library ceases to participate in the regional system after transitioning to the new 
library district under the bill;
●Allow the Udall Public Library to submit a petition to rejoin the SCKLS once the library 
ceases to participate in the regional system after transitioning to the new library 
district under the bill; and
●Prohibit a tax levy for any subsequent calendar year to support the regional system of 
cooperating libraries on land within the library districts created by the bill after the 
levies provided for in the bill take effect.
[Note: The Conference Committee retained these amendments.]
5 - 2176  Senate Committee of the Whole
The Senate Committee of the Whole amended the bill to:
●Add the contents of SB 284 regarding the Blind Information Access Act; and
●In the Library Acts, require the library board members to be elected in the next 
general election after the library districts are created, rather than be appointed.
[Note: The Conference Committee did not retain these amendments.]
HB 2205 (Udall Library District)
The bill was introduced by Representatives Rhiley and Roth.
House Committee on Taxation
In the House Committee hearing on February 7, 2023, proponent testimony was provided 
by a representative of the Udall Public Library, stating HB 2205 would better align the library’s 
taxing district with its patron base and allow the library to provide more services while levying a 
lower tax rate.
Written-only proponent testimony was provided by a representative of the Udall Public 
Library and a private citizen.
Written-only neutral testimony was provided by the State Librarian of Kansas and a 
representative of the SCKLS.
SB 529 (Dwayne Peaslee Technical Training Center District Act)
The bill was introduced by the Senate Committee on Ways and Means at the request of 
Senator Billinger. [Note: A substantially similar bill, 2021 HB 2175, passed the House and was 
recommended by the Senate Committee on Local Government.]
Senate Committee on Ways and Means
In the Senate Committee hearing, proponent testimony was provided by Senators 
Francisco and Kloos, as well as representatives of the Center and the Kansas Building Industry 
Association. The proponents generally stated the program has been successful, and the District 
would provide a stable income source for the Center if approved by Douglas County voters.
Written-only proponent testimony was provided by representatives of Adecco; the City of 
Lawrence; the Chamber of Lawrence, Kansas; Emprise Bank; Home Builders Association; LMH 
Health; and Petefish, Immel, Hird, Johnson, Leibold & Sloan, LLP.
No other testimony was provided.
6 - 2176  The Senate Committee amended the provisions of the bill to change the timing of the 
election in which to submit the question about the creation of the Center from “the next” election 
to “any” election. [Note: The Conference Committee retained this amendment.]
Fiscal Information
HB 2176 (Library Acts)
According to the fiscal notes prepared by the Division of the Budget on the library bills (HB 
2176 and HB 2205), as introduced, the bills would have a negligible state fiscal effect. 
Enactment of the bills could have a local fiscal effect in Cowley County attributable to the costs 
of special elections to establish the libraries and the change in taxing districts and tax levies 
associated with the libraries. Each special election is anticipated to cost between $10,000 and 
$15,000. Any fiscal effect associated with enactment of the bills is not reflected in The FY 2024 
Governor’s Budget Report.
SB 529 (Dwayne Peaslee Technical Training Center District Act)
According to the fiscal note prepared by the Division of the Budget on the bill, as 
introduced, the Kansas Department of Revenue indicates the bill would affect only local property 
tax collections in Douglas County and would have no fiscal effect on state revenues. Based on 
Douglas County’s 2023 taxable value, the property tax levy of 0.5 mills would generate 
approximately $984,500. The Department of Revenue indicates that the administrative costs 
associated with implementing the provisions of the bill would be negligible and could be 
absorbed within existing resources. 
The Secretary of State indicates the bill would have no fiscal effect on its operations. The 
local election authorized by the bill would be conducted and paid for by Douglas County.
The Kansas Association of Counties indicates Douglas County would no longer be 
responsible for funding the Center from its own tax receipts and would allow current Center 
funding to be used for other purposes.
Public libraries; Arkansas City; Udall; regional library system; district library; Udall public library district; Arkansas City public library 
district
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