As Amended by Senate Committee          

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Session of 2000
          SENATE BILL No. 634           By Committee on Ways and Means           2-15          

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11             AN  ACT authorizing the Kansas water office to obtain loans under cer-
12             tain prescribed conditions; relating to the pooled money investment
13             board.
14      
15       Be it enacted by the Legislature of the State of Kansas:
16             Section  1. (a) Whenever Subject to the limitations of this section,
17       whenever it appears that the resources in any fiscal year commencing
18       after June 30, 2000, are insufficient to meet in full the estimated expend-
19       itures as they become due to meet duties imposed by law on the water
20       marketing fund of the Kansas water office as a result of increases in water
21       rates, fees or charges imposed by the federal government, the pooled
22       money investment board is authorized and directed to loan to the director
23       of the Kansas water office sufficient funds to reimburse the water mar-
24       keting fund for increases in water rates, fees or charges imposed by the
25       federal government, and to allow the Kansas water office to spread such
26       increases to consumers over a longer period, except that no such loan
27       shall be made unless the terms thereof have been approved by the direc-
28       tor of the budget. The pooled money investment board is authorized and
29       directed to use any moneys in the operating accounts, investment ac-
30       counts or other investments of the state of Kansas to provide the funds
31       for such loan. Each such loan shall bear interest at a rate equal to the
32       interest rate being paid on state inactive account moneys at the time of
33       the making of such loan. Such loan shall not be deemed to be an in-
34       debtedness or debt of the state of Kansas within the meaning of section
35       6 of article 11 of the constitution of the state of Kansas.
36             (b) Upon certification by the pooled money investment board by the
37       director of the Kansas water office of the amount of each loan authorized
38       pursuant to subsection (a), the pooled money investment board shall
39       transfer each such amount certified by the director of the Kansas water
40       office from the state bank account or accounts prescribed in subsection
41       (a) to the water marketing fund of the Kansas water office.
42             (c) The principal and interest of each loan authorized pursuant to
43       subsection (a) shall be repaid in payments payable at least annually for a

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  1       period of not more than five years.
  2        (d) The aggregate outstanding balance of all loans pursuant to
  3       this section shall not exceed $1,000,000 at any one time.
  4        Sec.  2. This act shall take effect and be in force from and after its
  5       publication in the statute book.