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AN ACT relating to the levy of an ad valorem tax rate. 1
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 2
SECTION 1. KRS 132.017 IS REPEALED AND REENACTED TO READ 3
AS FOLLOWS: 4
(1) The levy of an ad valorem tax rate which will produce revenue from real 5
property, exclusive of revenue from new property as defined in KRS 132.010, 6
more than four percent (4%) over the amount of revenue produced by the 7
compensating tax rate as defined in KRS 132.010 shall be subject to recall by 8
placing a question on a ballot before the voters of the district. 9
(2) (a) A taxing district shall choose to cause the question to be submitted to the 10
voters of the district in either a called common election or at the next 11
regular election. The question shall be framed to ask whether the voter is 12
for the levy of the property tax rate. 13
(b) If the question is submitted to the voters in a called common election: 14
1. The taxing district shall inform the voters of the district about the 15
details of the election through posting the information on the first 16
page of the taxing district's website for a period of two (2) weeks; and 17
a. Publishing the information through the largest newspaper in the 18
county, whether viewable to the public through an online 19
subscription or by paper distribution, for a period of two (2) 20
weeks; or 21
b. Sending a single notice containing the information by first-class 22
mail to each person owning real property in the taxing district, 23
addressed to the property owner at his or her residence or 24
principal place of business as shown on the current year 25
property tax roll; 26
2. The cost of the election shall be borne by the taxing district; 27 UNOFFICIAL COPY 24 RS BR 438
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3. The election shall comply with the provisions of KRS 118.025; and 1
4. a. For taxing districts subject to KRS 65A.110, the election shall be 2
held not less than twenty-one (21) days nor more than forty-five 3
(45) days following: 4
i. The approval of the tax rate by the establishing entity; or 5
ii The expiration of the thirty (30) day failure to act deadline; 6
whichever occurs first; and 7
b. For all other taxing districts, the election shall be held not less 8
than twenty-one (21) days nor more than forty-five (45) days 9
following the adoption of an ordinance, order, resolution, or 10
motion to levy the tax rate. 11
(c) If the question is submitted to the voters in conjunction with the next 12
regular election, the question shall be submitted to the county clerk no later 13
than the second Tuesday in August preceding the election. The county clerk 14
shall cause to be published in accordance with KRS Chapter 424, at the 15
same time as other voter information, the full text of the proposal. The 16
county clerk shall cause to be posted in each polling place one (1) copy of 17
the full text of the proposal. 18
(3) (a) If a majority of the votes cast upon the question oppose its passage: 19
1. The tax rate is officially recalled; 20
2. The ordinance, order, resolution, or motion to levy the tax rate shall 21
be amended; 22
3. Any overpayment of tax as a result of the recall shall be refunded to 23
the taxpayer, at the cost of the taxing district, within sixty (60) days of 24
the election; and 25
4. The compensating tax rate as defined in KRS 132.010 shall be levied 26
without further approval. 27 UNOFFICIAL COPY 24 RS BR 438
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(b) If a majority of the votes cast upon the question favor its passage, the 1
ordinance, order, resolution, or motion to levy the tax rate shall remain 2
effective. 3
(4) The taxing district may cause the cancellation of the election by reconsidering 4
and amending the ordinance, order, resolution, or motion so that it will levy the 5
compensating tax rate as defined in KRS 132.010. 6
(5) Local, state, and federal tax dollars shall not be used to advocate, in partial terms, 7
for or against any public question that appears on the ballot in this section. For 8
purposes of this section, "local" means and includes any city, county, urban-9
county government, consolidated local government, unified local government, 10
charter county, or special district. 11
(6) Notwithstanding any statutory provision to the contrary, if a taxing district has 12
not established a final tax rate as of September 15, due to the provisions of this 13
section or Section 2, 5, 6, or 7 of this Act, tax bills shall be prepared for the taxing 14
district as required in KRS 133.220 based on the compensating tax rate. 15
Section 2. KRS 68.245 is amended to read as follows: 16
(1) The property valuation administrator shall submit an official estimate of real and 17
personal property and new property assessment as defined in KRS 132.010, to the 18
county judge/executive by April 1 of each year. 19
(2) No county fiscal court shall levy a tax rate, excluding any special tax rate which 20
may be levied at the request of a county community improvement district pursuant 21
to KRS 107.350 and 107.360, following a favorable vote upon the[such] tax by the 22
voters of that county, which exceeds the compensating tax rate as defined in KRS 23
132.010, until the taxing district has complied with the provisions of subsection (5) 24
of this section. 25
(3) The state local finance officer shall certify to each county judge/executive, by June 26
30 of each year, the following: 27 UNOFFICIAL COPY 24 RS BR 438
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(a) The compensating tax rate, as defined in KRS 132.010, and the amount of 1
revenue expected to be produced by it; 2
(b) The tax rate which will produce no more revenue from real property, 3
exclusive of revenue from new property, than four percent (4%) over the 4
amount of revenue produced by the compensating tax rate as defined in KRS 5
132.010 and the amount of revenue expected to be produced by it. 6
(4) Real and personal property assessment and new property determined in accordance 7
with KRS 132.010 shall be certified to the state local finance officer by the 8
Department of Revenue upon completion of action on property assessment data. 9
(5) (a) A county fiscal court, proposing to levy a tax rate, excluding any special tax 10
rate which may be levied at the request of a county community improvement 11
district pursuant to KRS 107.350 and 107.360, following a favorable vote 12
upon the tax by the voters of that county, which exceeds the compensating tax 13
rate as defined in KRS 132.010, shall hold a public hearing to hear comments 14
from the public regarding the proposed tax rate. The hearing shall be held in 15
the principal office of the taxing district, or, in the event the taxing district has 16
no office, or the office is not suitable for a hearing, the hearing shall be held in 17
a suitable facility as near as possible to the geographic center of the district. 18
(b) County fiscal courts of counties containing a city of the first class proposing 19
to levy a tax rate, excluding any special tax rate which may be levied at the 20
request of a county community improvement district pursuant to KRS 21
107.350 and 107.360, following a favorable vote upon the tax by the voters of 22
that county, which exceeds the compensating tax rate as defined in KRS 23
132.010, shall hold three (3) public hearings to hear comments from the 24
public regarding the proposed tax rate. The hearings shall be held in three (3) 25
separate locations; each location shall be determined by dividing the county 26
into three (3) approximately equal geographic areas, and identifying a suitable 27 UNOFFICIAL COPY 24 RS BR 438
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facility as near as possible to the geographic center of each area. 1
(c) The county fiscal court shall advertise the hearing by causing to be published 2
at least twice in two (2) consecutive weeks, in the newspaper of largest 3
circulation in the county, a display type advertisement of not less than twelve 4
(12) column inches, the following: 5
1. The tax rate levied in the preceding year, and the revenue produced by 6
that rate; 7
2. The tax rate proposed for the current year and the revenue expected to 8
be produced by that rate; 9
3. The compensating tax rate and the revenue expected from it; 10
4. The revenue expected from new property and personal property; 11
5. The general areas to which revenue in excess of the revenue produced in 12
the preceding year is to be allocated; 13
6. A time and place for the public hearings which shall be held not less 14
than seven (7) days nor more than ten (10) days, after the day that the 15
second advertisement is published; 16
7. The purpose of the hearing; and 17
8. A statement to the effect that the General Assembly has required 18
publication of the advertisement and the information contained therein. 19
(d) In lieu of the two (2) published notices, a single notice containing the required 20
information may be sent by first-class mail to each person owning real 21
property, addressed to the property owner at his or her residence or principal 22
place of business as shown on the current year property tax roll. 23
(e) The hearing shall be open to the public. All persons desiring to be heard shall 24
be given an opportunity to present oral testimony. The county fiscal court may 25
set reasonable time limits for testimony. 26
(6) (a) [That portion of ]A tax rate, excluding any special tax rate which may be 27 UNOFFICIAL COPY 24 RS BR 438
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levied at the request of a county community improvement district pursuant to 1
KRS 107.350 and 107.360, following a favorable vote upon a tax by the 2
voters of that county, levied by an action of a county fiscal court which will 3
produce revenue from real property, exclusive of revenue from new property, 4
more than four percent (4%) over the amount of revenue produced by the 5
compensating tax rate as defined in KRS 132.010 shall be subject to a recall 6
vote or reconsideration by the taxing district, as provided for in KRS 132.017, 7
and shall be advertised as provided for in paragraph (b) of this subsection. 8
(b) The county fiscal court shall, within seven (7) days following adoption of an 9
ordinance to levy a tax rate, excluding any special tax rate which may be 10
levied at the request of a county community improvement district pursuant to 11
KRS 107.350 and 107.360, following a favorable vote upon a tax by the 12
voters of that county, which will produce revenue from real property, 13
exclusive of revenue from new property as defined in KRS 132.010, more 14
than four percent (4%) over the amount of revenue produced by the 15
compensating tax rate as defined in KRS 132.010, cause to be published, in 16
the newspaper of largest circulation in the county, a display type 17
advertisement of not less than twelve (12) column inches the following: 18
1. The fact that the county fiscal court has adopted a rate; and 19
2. The fact that the[ part of the] rate[ which will produce revenue from real 20
property, exclusive of new property as defined in KRS 132.010, in 21
excess of four percent (4%) over the amount of revenue produced by the 22
compensating tax rate defined in KRS 132.010] is subject to recall[; and 23
3. The name, address, and telephone number of the county clerk, with a 24
notation to the effect that that official can provide the necessary 25
information about the petition required to initiate recall of the tax rate]. 26
Section 3. KRS 75A.050 is amended to read as follows: 27 UNOFFICIAL COPY 24 RS BR 438
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(1) (a) Upon the creation of a district, the trustees of a district are authorized to 1
provide fire services, emergency medical services subject to KRS Chapter 2
311A, or rescue services pursuant to KRS Chapter 39F, as provided in 3
paragraph (c) of this subsection, and to levy a tax upon the property in the 4
district. 5
(b) The property taxed shall be subject to county tax, and the tax levied by the 6
board upon creation of the district shall be approved by the county fiscal 7
court, consolidated local government, charter county government, or unified 8
local government having jurisdiction over the district at the time of passage of 9
the ordinance creating the district. The tax shall not exceed ten cents ($0.10) 10
per one hundred dollars ($100) of valuation as assessed for county taxes, for 11
the purpose of defraying the expenses for the provision of fire services or 12
rescue services. The rate set in this subsection shall apply, notwithstanding the 13
provisions of KRS 132.023. 14
(c) The district that establishes and operates an emergency ambulance service and 15
is the primary service provider in the district may levy a tax upon the property 16
in the district. The tax to be levied shall be proposed by the board, shall be 17
approved by the county fiscal court, consolidated local government, charter 18
county government, or unified local government having jurisdiction over the 19
district and the tax shall not exceed twenty cents ($0.20) per one hundred 20
dollars ($100) of valuation as assessed for county taxes, for the purpose of 21
defraying the expenses of the provision of fire services, emergency medical 22
services, or rescue service, or to make contracts for fire protection for the 23
districts as provided in KRS 75.050. The rate set in this subsection shall 24
apply, notwithstanding KRS 132.023. 25
(d) 1. Any increase of the total tax levy beyond the rate initially approved by 26
the board and authorized by the county fiscal court, consolidated local 27 UNOFFICIAL COPY 24 RS BR 438
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government, charter county government, or unified local government 1
shall be subject to KRS 132.023. Any increase in excess of the annual 2
compensating rate for the consolidated emergency services district shall 3
require the approval of the county fiscal court, consolidated local 4
government, charter county government, or unified local government 5
having jurisdiction over the district. If at any time an election[ resulting 6
from a recall petition] pursuant to KRS 132.017 is required, the question 7
shall be presented to all voters in every precinct for which any part of 8
the precinct is served by the district[ subject to the recall petition]. 9
2. If two (2) or more established consolidated emergency services merge to 10
create a new consolidated emergency services district, as authorized in 11
this chapter, the initial tax to be levied, as proposed by the board, shall 12
be approved by the county fiscal court, consolidated local government, 13
charter county government, or unified local government having 14
jurisdiction over the district, and the initial tax levied shall not exceed 15
the highest tax rate currently levied by one (1) of the merging districts. 16
Any increase to the initial tax rate shall be subject to KRS 132.023. Any 17
increase in excess of the annual compensating rate for the consolidated 18
emergency services district shall require the approval of the county 19
fiscal court, consolidated local government, charter county government, 20
or unified local government having jurisdiction over the district. If at 21
any time an election[ resulting from a recall petition] pursuant to KRS 22
132.017 is required, the question shall be presented to all voters in every 23
precinct for which any part of the district serves. 24
(2) The property valuation administrator of the county in which the district is created, 25
with the cooperation of the board, shall note on the tax rolls the taxpayers and 26
valuation of the property subject to an[such] assessment. The county clerk shall 27 UNOFFICIAL COPY 24 RS BR 438
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compute the tax on the regular state and county tax bills in a[such] manner as may 1
be directed by regulation of the Department of Revenue. 2
(3) These taxes shall be subject to the same delinquency date, discounts, penalties, and 3
interest as are applied to the collection of ad valorem taxes and shall be collected by 4
the sheriff of the county involved and accounted for to the treasurer of the district. 5
The sheriff shall be entitled to a fee of the amount collected by him or her. The 6
fiscal court shall, in the ordinance set forth in subsection (2) of this section and in 7
consultation with the sheriff and the consolidated emergency services district, set a 8
collection fee for the sheriff in an amount not to exceed four and one-fourth percent 9
(4.25%). 10
Section 4. KRS 132.018 is amended to read as follows: 11
(1) If the tax rate applicable to real property levied by a county fiscal court, district 12
board of education, or legislative body of a city, consolidated local government, 13
urban-county government, or other taxing district is reduced as a result of 14
reconsideration by the county fiscal court, district board of education, or legislative 15
body of a city, consolidated local government, urban-county government, or other 16
taxing district under the provisions of KRS 132.017(4)[(2)(j)], the tax rate 17
applicable to personal property levied under the provisions of KRS 68.248(1), 18
132.024(1), 132.029(1), and 160.473(1) shall be reduced by the respective county 19
fiscal court, district board of education, or legislative body of a city, consolidated 20
local government, urban-county government, or other taxing district to an amount 21
which will produce the same percentage increase in revenue from personal property 22
as the percentage increase in revenue from real property resulting from the reduced 23
tax rate applicable to real property. 24
(2) If the tax rate applicable to real property levied by a county fiscal court, district 25
board of education, or legislative body of a city, consolidated local government, 26
urban-county government, or other taxing district is reduced, under the provisions 27 UNOFFICIAL COPY 24 RS BR 438
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of KRS 132.017(3), as a result of a majority of votes cast in an election being 1
opposed to the[such a] rate, the tax rate applicable to personal property levied by 2
the respective county fiscal court, district board of education, or legislative body of 3
a city, consolidated local government, urban-county government, or other taxing 4
district shall be reduced, without further action by the levying body, to an amount 5
which will produce the same percentage increase in revenue from personal property 6
as the percentage increase in revenue from real property resulting from the reduced 7
tax rate applicable to real property. 8
Section 5. KRS 132.023 is amended to read as follows: 9
(1) No special purpose governmental entity shall levy a tax rate which exceeds the 10
compensating tax rate until the taxing district has complied with the provisions of 11
KRS 65A.110 and subsection (2) of this section. 12
(2) (a) A special purpose governmental entity proposing to levy a tax rate which 13
exceeds the compensating tax rate shall submit the proposed rate as required 14
by KRS 65A.110 and shall hold a public hearing to hear comments from the 15
public regarding the proposed tax rate. The hearing shall be held in the same 16
location where the governing body of the city or county where the largest 17
number of citizens served by the special purpose governmental entity reside 18
meets, and shall be held immediately before a regularly scheduled meeting of 19
that governing body. 20
(b) The special purpose governmental entity shall advertise the hearing by 21
causing to be published at least twice in two (2) consecutive weeks, in the 22
newspaper of largest circulation in the county, a display type advertisement of 23
not less than twelve (12) column inches, the following: 24
1. The tax rate levied in the preceding year, and the revenue produced by 25
that rate; 26
2. The tax rate proposed for the current year and the revenue expected to 27 UNOFFICIAL COPY 24 RS BR 438
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be produced by that rate; 1
3. The compensating tax rate and the revenue expected from it; 2
4. The revenue expected from new property and personal property; 3
5. The general areas to which revenue in excess of the revenue produced in 4
the preceding year is to be allocated; 5
6. A time and place for the public hearing which shall be held not less than 6
seven (7) days, nor more than ten (10) days, after the day that the second 7
advertisement is published; 8
7. The purpose of the hearing; and 9
8. A statement to the effect that the General Assembly has required 10
publication of the advertisement and the information contained therein. 11
(c) In lieu of the two (2) published notices, a single notice containing the required 12
information may be sent by first-class mail to each person owning real 13
property in the special purpose governmental entity, addressed to the property 14
owner at his or her residence or principal place of business as shown on the 15
current year property tax roll. 16
(d) The hearing shall be open to the public. All persons desiring to be heard shall 17
be given an opportunity to present oral testimony. The special purpose 18
governmental entity may set reasonable time limits for testimony. 19
(3) (a) [That portion of ]A tax rate levied by an action of a special purpose 20
governmental entity which will produce revenue from real property, exclusive 21
of revenue from new property, more than four percent (4%) over the amount 22
of revenue produced by the compensating tax rate shall be subject to approval 23
by the voters of the taxing district under Section 1 of this Act[subject to a 24
recall vote or reconsideration by the special purpose governmental entity, as 25
provided for in KRS 132.017,] and shall be advertised as provided in 26
paragraph (b) of this subsection. 27 UNOFFICIAL COPY 24 RS BR 438
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(b) The special purpose governmental entity shall, within seven (7) days 1
following adoption of an ordinance, order, resolution, or motion to levy a tax 2
rate which will produce revenue from real property, exclusive of revenue from 3
new property, more than four percent (4%) over the amount of revenue 4
produced by the compensating tax rate, cause to be published, in the 5
newspaper of largest circulation in the county, a display type advertisement of 6
not less than twelve (12) column inches the following: 7
1. The fact that the taxing district has adopted a rate; and 8
2. The fact that the[ part of the] rate[ which will produce revenue from real 9
property, exclusive of new property, in excess of four percent (4%) over 10
the amount of revenue produced by the compensating tax rate] is subject 11
to recall[; and 12
3. The name, address, and telephone number of the county clerk of the 13
county in which the special purpose governmental entity is located, with 14
a notation to the effect that that official can provide the necessary 15
information about the petition required to initiate recall of the tax rate]. 16
Section 6. KRS 132.027 is amended to read as follows: 17
(1) No city or urban-county government shall levy a tax rate which exceeds the 18
compensating tax rate as defined in KRS 132.010 until the city or urban-county 19
government has complied with the provisions of subsection (2) of this section. 20
(2) (a) Cities or urban-county governments proposing to levy a tax rate which 21
exceeds the compensating tax rate as defined in KRS 132.010 shall hold a 22
public hearing to hear comments from the public regarding the proposed tax 23
rate. The hearing shall be held in the principal office of the taxing district, or, 24
in the event the taxing district has no office, or the office is not suitable for a 25
hearing, the hearing shall be held in a suitable facility as near as possible to 26
the geographic center of the district. 27 UNOFFICIAL COPY 24 RS BR 438
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(b) The city or urban-county government shall advertise the hearing by causing to 1
be published at least twice in two (2) consecutive weeks, in the newspaper of 2
largest circulation in the county, a display type advertisement of not less than 3
twelve (12) column inches, the following: 4
1. The tax rate levied in the preceding year, and the revenue produced by 5
that rate; 6
2. The tax rate proposed for the current year and the revenue expected to 7
be produced by that rate; 8
3. The compensating tax rate and the revenue expected from it; 9
4. The revenue expected from new property and personal property; 10
5. The general areas to which revenue in excess of the revenue produced in 11
the preceding year is to be allocated; 12
6. A time and place for the public hearing which shall be held not less than 13
seven (7) days nor more than ten (10) days after the day the second 14
advertisement is published; 15
7. The purpose of the hearing; and 16
8. A statement to the effect that the General Assembly has required 17
publication of the advertisement and the information contained therein. 18
(c) In lieu of the two (2) published notices, a single notice containing the required 19
information may be sent by first-class mail to each person owning real 20
property in the taxing district, addressed to the property owner at his or her 21
residence or principal place of business as shown on the current year property 22
tax roll. 23
(d) The hearing shall be open to the public. All persons desiring to be heard shall 24
be given an opportunity to present oral testimony. The taxing district may set 25
reasonable time limits for testimony. 26
(3) (a) That portion of a tax rate levied by an action of a city or urban-county 27 UNOFFICIAL COPY 24 RS BR 438
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government which will produce revenue from real property, exclusive of 1
revenue from new property, more than four percent (4%) over the amount of 2
revenue produced by the compensating tax rate as defined in KRS 132.010 3
shall be subject to a recall vote or reconsideration by the taxing district, as 4
provided for in KRS 132.017, and shall be advertised as provided for in 5
paragraph (b) of this subsection. 6
(b) The city or urban-county government shall, within seven (7) days following 7
adoption of an ordinance to levy a tax rate which will produce revenue from 8
real property, exclusive of revenue from new property as defined in KRS 9
132.010, more than four percent (4%) over the amount of revenue produced 10
by the compensating tax rate as defined in KRS 132.010, cause to be 11
published, in the newspaper of largest circulation in the county, a display type 12
advertisement of not less than twelve (12) column inches the following: 13
1. The fact that the city or urban-county government has adopted a rate; 14
and 15
2. The fact that the[ part of the] rate[ which will produce revenue from real 16
property, exclusive of new property as defined in KRS 132.010, in 17
excess of four percent (4%) over the amount of revenue produced by the 18
compensating tax rate defined in KRS 132.010] is subject to recall[, and 19
3. The name, address, and telephone number of the county clerk of the 20
county or urban-county in which the taxing district is located, with a 21
notation to the effect that that official can provide the necessary 22
information about the petition required to initiate recall of the tax rate]. 23
Section 7. KRS 160.470 is amended to read as follows: 24
(1) (a) Notwithstanding any statutory provisions to the contrary, no district board of 25
education shall levy a general tax rate which will produce more revenue, 26
exclusive of revenue from net assessment growth as defined in KRS 132.010, 27 UNOFFICIAL COPY 24 RS BR 438
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than would be produced by application of the general tax rate that could have 1
been levied in the preceding year to the preceding year's assessment, except as 2
provided in subsections (9) and (10) of this section and KRS 157.440. 3
(b) If an election is held as provided for in KRS 132.017 and the question should 4
fail, the[such] failure shall not reduce the "...general tax rate that could have 5
been levied in the preceding year...," referred to in subsection (1)(a) of this 6
section, for purposes of computing the general tax rate for succeeding years. 7
In the event of a merger of school districts, the limitations contained in this section 8
shall be based upon the combined revenue of the merging districts, as computed 9
under the provisions of this section. 10
(2) No district board of education shall levy a general tax rate within the limits imposed 11
in subsection (1) of this section which respectively exceeds the compensating tax 12
rate as defined in KRS 132.010, except as provided in subsections (9) and (10) of 13
this section, KRS 157.440, and KRS 157.621, until the district board of education 14
has complied with the provisions of subsection (7) of this section. 15
(3) Upon receipt of property assessments from the Department of Revenue, the 16
commissioner of education shall certify the following to each district board of 17
education: 18
(a) The general tax rate that a district board of education could levy under the 19
provisions of subsection (1) of this section, and the amount of revenue 20
expected to be produced; 21
(b) The compensating tax rate as defined in KRS 132.010 for a district's general 22
tax rate the amount of revenue expected to be produced; 23
(c) The general tax rate which will produce, respectively, no more revenue from 24
real property, exclusive of revenue from new property, than four percent (4%) 25
over the amount of revenue produced by the compensating tax rate as defined 26
in KRS 132.010, and the amount of revenue expected to be produced. 27 UNOFFICIAL COPY 24 RS BR 438
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(4) Upon completion of action on property assessment data, the Department of 1
Revenue shall submit certified property assessment data as required in KRS 2
133.125 to the chief state school officer. 3
(5) Within thirty (30) days after the district board of education has received its 4
assessment data, the rates levied shall be forwarded to the Kentucky Board of 5
Education for its approval or disapproval. The failure of the district board of 6
education to furnish the rates within the time prescribed shall not invalidate any 7
levy made thereafter. 8
(6) (a) Each district board of education shall, on or before January 31 of each 9
calendar year, formally and publicly examine detailed line item estimated 10
revenues and proposed expenditures for the subsequent fiscal year. On or 11
before May 30 of each calendar year, each district board of education shall 12
adopt a tentative working budget which shall include a minimum reserve of 13
two percent (2%) of the total budget. 14
(b) Each district board of education shall submit to the Kentucky Board of 15
Education no later than September 30, a close estimate or working budget 16
which shall conform to the administrative regulations prescribed by the 17
Kentucky Board of Education. 18
(7) (a) Except as provided in subsections (9) and (10) of this section and KRS 19
157.440, a district board of education proposing to levy a general tax rate 20
within the limits of subsection (1) of this section which exceed the 21
compensating tax rate as defined in KRS 132.010 shall hold a public hearing 22
to hear comments from the public regarding the proposed tax rate. The 23
hearing shall be held in the principal office of the taxing district or, in the 24
event the taxing district has no office, or the office is not suitable for the[such 25
a] hearing, the hearing shall be held in a suitable facility as near as possible to 26
the geographic center of the district. 27 UNOFFICIAL COPY 24 RS BR 438
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(b) The district board of education shall advertise the hearing by causing the 1
following to be published at least twice for two (2) consecutive weeks, in the 2
newspaper of largest circulation in the county, a display type advertisement of 3
not less than twelve (12) column inches: 4
1. The general tax rate levied in the preceding year, and the revenue 5
produced by that rate; 6
2. The general tax rate for the current year, and the revenue expected to be 7
produced by that rate; 8
3. The compensating general tax rate, and the revenue expected from it; 9
4. The revenue expected from new property and personal property; 10
5. The general areas to which revenue in excess of the revenue produced in 11
the preceding year is to be allocated; 12
6. A time and place for the public hearing which shall be held not less than 13
seven (7) days nor more than ten (10) days after the day that the second 14
advertisement is published; 15
7. The purpose of the hearing; and 16
8. A statement to the effect that the General Assembly has required 17
publication of the advertisement and the information contained herein. 18
(c) In lieu of the two (2) published notices, a single notice containing the required 19
information may be sent by first-class mail to each person owning real 20
property, addressed to the property owner at his or her residence or principal 21
place of business as shown on the current year property tax roll. 22
(d) The hearing shall be open to the public. All persons desiring to be heard shall 23
be given an opportunity to present oral testimony. The district board of 24
education may set reasonable time limits for testimony. 25
(8) (a) [That portion of ]A general tax rate, except as provided in subsections (9) and 26
(10) of this section, KRS 157.440, and KRS 157.621, levied by an action of a 27 UNOFFICIAL COPY 24 RS BR 438
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district board of education which will produce, respectively, revenue from real 1
property, exclusive of revenue from new property, more than four percent 2
(4%) over the amount of revenue produced by the compensating tax rate as 3
defined in KRS 132.010, shall be subject to a recall vote or reconsideration by 4
the district board of education as provided for in KRS 132.017, and shall be 5
advertised as provided for in paragraph (b) of this subsection. 6
(b) The district board of education shall, within seven (7) days following adoption 7
of an ordinance, order, resolution, or motion to levy a general tax rate, except 8
as provided in subsections (9) and (10) of this section and KRS 157.440, 9
which will produce revenue from real property, exclusive of revenue from 10
new property as defined in KRS 132.010, more than four percent (4%) over 11
the amount of revenue produced by the compensating tax rate as defined in 12
KRS 132.010, cause the following to be published, in the newspaper of largest 13
circulation in the county, a display type advertisement of not less than twelve 14
(12) column inches: 15
1. The fact that the district board of education has adopted the[such a] rate; 16
and 17
2. The fact that the [part of the ]rate [which will produce revenue from real 18
property, exclusive of new property as defined in KRS 132.010, in 19
excess of four percent (4%) over the amount of revenue produced by the 20
compensating tax rate defined in KRS 132.010] is subject to recall[; and 21
3. The name, address, and telephone number of the county clerk of the 22
county or urban-county in which the school district is located, with a 23
notation to the effect that that official can provide the necessary 24
information about the petition required to initiate recall of the tax rate.] 25
(9) (a) Notwithstanding any statutory provisions to the contrary, effective for school 26
years beginning after June 30, 1990, the board of education of each school 27 UNOFFICIAL COPY 24 RS BR 438
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district shall levy a minimum equivalent tax rate of thirty cents ($0.30) for 1
general school purposes. Equivalent tax rate is defined as the rate which 2
results when the income collected during the prior year from all taxes levied 3
by the district for school purposes is divided by the total assessed value of 4
property plus the assessment for motor vehicles certified by the Department of 5
Revenue. School districts collecting school taxes authorized by KRS 160.593 6
to 160.597, 160.601 to 160.633, or 160.635 to 160.648 for less than twelve 7
(12) months during a school year shall have included in income collected 8
under this section the pro rata tax collection for twelve (12) months. 9
(b) Failure of a board to comply with paragraph (a) of this subsection may 10
constitute a forfeiture of office by its members pursuant to KRS 415.050 and 11
415.060. 12
(10) A district board of education may levy a general tax rate that will produce revenue 13
from real property, exclusive of revenue from new property, that is four percent 14
(4%) over the amount of the revenue produced by the compensating tax rate as 15
defined in KRS 132.010. 16
Section 8. This Act takes effect January 1, 2025. 17