74-8948. Financing for certain refineries.

362 words·~2 min read·/ks/chapter-74/74-8948

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)For the purpose of financing the construction of a new refinery, expansion of an existing refinery or restoration of a refinery, the Kansas development finance authority is hereby authorized to issue revenue bonds pursuant to the Kansas development finance act, K.S.A. 74-8901 et seq., and amendments thereto, in amounts sufficient to pay the costs of such construction, expansion or restoration, including any required interest on the bonds during construction, expansion or restoration, plus all amounts required for the costs of bond issuance, costs of credit enhancement or other financial contracts, capitalized interest and any required reserves on the bonds. The bonds, and interest thereon, issued pursuant to this section shall be payable from revenues pledged to the Kansas development finance authority for such purpose, which may include revenues derived from sales of petroleum products produced at the refinery.

(b)The provisions of subsection

(a)of K.S.A. 74-8905 , and amendments thereto, shall not prohibit the issuance of bonds by the Kansas development finance authority for the purposes of this section and any such issuance of bonds is exempt from the provisions of subsection

(a)of K.S.A. 74-8905 , and amendments thereto, which would operate to preclude such issuance.

(c)Revenue bonds, including refunding revenue bonds, issued under this section shall not constitute an indebtedness of the state of Kansas, nor shall they constitute indebtedness within the meaning of any constitutional or statutory provision limiting the incurring of indebtedness.

(d)Revenue bonds, including refunding revenue bonds, issued hereunder and the income derived therefrom are and shall be exempt from all state, county and municipal taxation in the state of Kansas, except Kansas estate taxes.

(e)As used in this section:

(1)"Expansion of an existing refinery" means expansion, beginning after December 31, 2005, of the capacity of an existing refinery by at least 10% of such capacity.

(2)"New refinery" means a refinery, construction of which begins after December 31, 2005.

(3)"Refinery" has the meaning provided by K.S.A. 79-32,217 , and amendments thereto.

(4)"Restoration of a refinery" means restoration of production of a refinery which has been out of production for five or more years.