reglab/statecodes huggingface dataset:
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 22 - Mortgage Business › 9-2216a Annual written report; penalty; information confidential.

9-2216a. Annual written report; penalty; information confidential.
(a) Each licensee shall annually, on or before April 1, file a written report with the commissioner containing the information that the commissioner may reasonably require concerning the licensee's business and operations during the preceding calendar year. The report shall be made in the form prescribed by the commissioner, which may include reports filed with the nationwide mortgage licensing system and registry. Any licensee who fails to file the report required by this section with the commissioner by April 1 shall be subject to a late penalty of $100 for each day after April 1 the report is delinquent, but in no event shall the aggregate of late penalties exceed $5,000. The commissioner may relieve any licensee from the payment of any penalty, in whole or in part, for good cause. The filing of the annual written report required under this section shall satisfy any other reports required of a licensee under this act.
(b) Information contained in the annual report shall be confidential and may be published only in composite form.
History:
L. 2001, ch. 88, § 1; L. 2009, ch. 29, § 13; L. 2016, ch. 15, § 11; L. 2017, ch. 52, § 12; L. 2022, ch. 62, § 2; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 22 - Mortgage Business › 9-2217 Confidentiality of examination reports; exceptions.

9-2217.
Confidentiality of examination reports; exceptions.
Examination reports and correspondence regarding the reports made by the commissioner or the commissioner's examiners are confidential, except that the commissioner may release examination reports and correspondence regarding the reports in connection with a disciplinary proceeding conducted by the commissioner, a liquidation proceeding or a criminal investigation or proceeding. Additionally, the commissioner may furnish to federal or other state regulatory agencies or any officer or examiner thereof, a copy of any or all examination reports and correspondence regarding the reports made by the commissioner or the commissioner's examiners.
History: L. 1999, ch. 45, § 16; April 8.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 22 - Mortgage Business › 9-2218 Cease and desist orders; civil fines.

9-2218.
Cease and desist orders; civil fines.
(a) If the commissioner determines after notice and opportunity for a hearing pursuant to the Kansas administrative procedure act that any person has engaged, is engaging or is about to engage in any act or practice constituting a violation of any provision of this act or any rule and regulation or order hereunder, the commissioner by order may require any or all of the following:
(1) That the person cease and desist from the unlawful act or practice;
(2) that the person pay a fine not to exceed $10,000 per incident for the unlawful act or practice;
(3) if any person is found to have violated any provision of this act, and such violation is committed against elder or disabled persons, as defined in K.S.A. 50-676, and amendments thereto, in addition to any civil penalty otherwise provided by law, the commissioner may impose an additional penalty not to exceed $10,000 for each such violation;
(4) censure the person if the person is registered or licensed under this act;
(5) bar or suspend the person from applying for a license or registration under this act, or associating with a mortgage business or supervised lender licensed in this state;
(6) issue an order requiring the person to pay restitution for any loss arising from the violation or requiring the person to disgorge any profits arising from the violation. Such order may include the assessment of interest not to exceed 8% per annum from the date of the violation; or
(7) that the person take such affirmative action as in the judgment of the commissioner will carry out the purposes of this act.
(b) If the commissioner makes written findings of fact that the public interest will be irreparably harmed by delay in issuing an order under subsection (a), the commissioner may issue an emergency cease and desist order.
(1) Such emergency order, even when not an order within the meaning of K.S.A. 77-502, and amendments thereto, shall be subject to the same procedures as an emergency order issued under K.S.A. 77-536, and amendments thereto.
(2) Upon the entry of such an emergency order, the commissioner shall promptly notify the person subject to the order that it has been entered, of the reasons, and that a hearing will be held upon written request by the person.
(3) If the person requests a hearing, or in the absence of any request, if the commissioner determines that a hearing should be held, the matter will be set for a hearing which shall be conducted in accordance with the provisions of the Kansas administrative procedure act. Upon completion of the hearing the commissioner shall by written findings of fact and conclusions of law vacate, modify or make permanent the emergency order.
(4) If no hearing is requested and none is ordered by the commissioner, the emergency order will remain in effect until it is modified or vacated by the commissioner.
History:
L. 1999, ch. 45, § 17; L. 2000, ch. 17, § 7; L. 2005, ch. 144, § 7; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 22 - Mortgage Business › 9-2219 Injunction.

9-2219.
Injunction.
Whenever it appears to the commissioner that any person has engaged or is about to engage in any act or practice constituting a violation of any provision of this act or any rule and regulation or order hereunder, the commissioner may bring an action in any court of competent jurisdiction to enjoin the acts or practices and to enforce compliance with this act or any rule and regulation or order hereunder. Upon a proper showing, a permanent or temporary injunction, restraining order, restitution, writ of mandamus or other equitable relief shall be granted and a receiver or conservator may be appointed for the defendant or the defendant's assets. The commissioner shall not be required to post a bond.
History: L. 1999, ch. 45, § 18; April 8.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 22 - Mortgage Business › 9-2220 Citation of act; severability.

9-2220.
Citation of act; severability.
(a) The provisions of K.S.A. 9-2201 through 9-2220, and amendments thereto, and K.S.A. 9-2216a, and amendments thereto, shall be known and may be cited as the Kansas mortgage business act.
(b) If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.
History:
L. 1999, ch. 45, § 19; L. 2001, ch. 88, § 17; L. 2009, ch. 29, § 14; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2305 Capitalization requirements.

9-2305. Capitalization requirements.
(a) For purposes of this section, "capital" means the total of the aggregate par value of a fiduciary financial institution's outstanding membership units, its surplus and its undivided profits.
(b) (1) The required capital for fiduciary financial institutions shall at all times be $250,000 when:
(A) The fiduciary financial institution does not accept deposits, other than alternative asset custody accounts;
(B) the fiduciary financial institution maintains no third-party debt except debts owed to the members of the fiduciary financial institution or affiliates of the fiduciary financial institution; and
(C) the fiduciary financial institution has secured an agreement from its members whereby such members agree to contribute additional capital to the fiduciary financial institution if needed to ensure the safety and soundness of the fiduciary financial institution. A fiduciary financial institution that fails to satisfy the foregoing requirements shall be subject to the capitalization requirements of K.S.A. 9-901a, and amendments thereto, applicable to trust companies.
(2) The capital of a fiduciary financial institution shall be divided, with 60% of the amount as the aggregate par value of outstanding membership units, 30% as surplus and 10% as undivided profits.
History:
L. 2021, ch. 80, § 5; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2307 Report to commissioner; examinations; requirements.

9-2307. Report to commissioner; examinations; requirements.
(a) A fiduciary financial institution shall make a report to the commissioner pursuant to the provisions of K.S.A. 9-1704, and amendments thereto. In making such a report, a fiduciary financial institution shall:
(1) Report the fiduciary financial institution's fidfin transactions pursuant to generally accepted accounting principles; and
(2) calculate such fiduciary financial institution's capital solvency by including the value of all tangible and intangible assets owned by the fiduciary financial institution, regardless of use.
(b) In examining a fiduciary financial institution, the state banking board and the commissioner shall:
(1) Consider that the collateral or underlying assets associated with fidfin transactions are volatile in nature and that such volatility has been accepted by the members and customers of the fiduciary financial institution;
(2) respect the form, treatment and character of fidfin transactions under the laws of this state notwithstanding the treatment or characterization of such transactions under generally accepted accounting principles or for tax purposes;
(3) evaluate whether available capital, including the agreement of a fiduciary financial institution's members to contribute capital pursuant to K.S.A. 9-2305, and amendments thereto, exceeds the fiduciary financial institution's obligations, determined in accordance with generally accepted accounting principles;
(4) evaluate the background and qualifications of a fiduciary financial institution's executive officers and directors, the internal controls and audit processes enacted by the fiduciary financial institution and adherence to its policies and procedures;
(5) evaluate the profitability of a fiduciary financial institution in accordance with subsection (c);
(6) evaluate a fiduciary financial institution's compliance with applicable state and federal laws; and
(7) evaluate a fiduciary financial institution's information technology systems, policies and practices.
(c) Profitability shall not be a consideration in evaluating a fiduciary financial institution if sufficient capital and equity exist in the business, including, without limitation, membership capital, surplus, undivided profits and commitments by members to contribute additional capital to the fiduciary financial institution pursuant to K.S.A. 9-2305, and amendments thereto, to satisfy the fiduciary financial institution's obligations.
History:
L. 2021, ch. 80, § 7; L. 2022, ch. 55, § 6; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2308 Name of institution; advertising; restrictions.

9-2308. Name of institution; advertising; restrictions.
A fiduciary financial institution may use in such fiduciary financial institution's business name or advertising the words "fiduciary financial institution" or any similar term or phrase, but may not use in such institution's name the words "bank" or "trust company" without reference to fidfin trusts or any other term that tends to imply that such fiduciary financial institution is a bank or trust company, unless the commissioner has approved the use in writing after finding that the use will not be misleading. While a fiduciary financial institution is a trust company for purposes of federal and state law and rules and regulations and possesses trust powers under this act, it is the intent of this section to impose restrictions on the name of such institution to avoid confusion with other banks and trust companies that operate in this state but that are not fiduciary financial institutions. The naming restrictions imposed under this section shall in no way reduce or eliminate the trust powers granted to a fiduciary financial institution as a trust company under this act. Other than indicating that the fiduciary financial institution is headquartered and chartered in Kansas, no fiduciary financial institution's name or advertising shall infer or imply that such fiduciary financial institution is endorsed by, an affiliate of or otherwise connected with the government of the state of Kansas.
History:
L. 2021, ch. 80, § 8; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2309 Maintaining suitable office space; requirements; staffing; maintenance of records.

9-2309. Maintaining suitable office space; requirements; staffing; maintenance of records.
(a) A fiduciary financial institution shall:
(1) Maintain suitable office space in an economic growth zone, as defined in K.S.A. 9-2301, and amendments thereto, for fidfin transactions, custodial services and trust business and for the storage of, and access to, fiduciary financial institution records;
(2) employ, engage or contract with at least three employees to provide services for the fiduciary financial institution in Kansas related to the powers of the fiduciary financial institution and to facilitate the examinations required by this act; and
(3) perform fidfin transactions, custodial services and trust business in Kansas, and a fiduciary financial institution may also engage in fidfin transactions, custodial services and trust business in other states to the extent permitted by applicable law.
(b) As used in this section, the term "suitable office space" means at least 2,000 square feet of class A office space located in an economic growth zone selected by the fiduciary financial institution that the fiduciary financial institution utilizes as such fiduciary financial institution's principal office.
(c) The fiduciary financial institution's principal office shall:
(1) Be in premises distinct and divided from the office space of any other entity;
(2) be located in an economic growth zone selected by the fiduciary financial institution;
(3) have the name, charter and certificate of authority of the fiduciary financial institution prominently displayed;
(4) have access to premises in or adjacent to the office space sufficient to facilitate on-site examinations by the state banking board or commissioner;
(5) to the extent the fiduciary financial institution maintains hard copies of any documents required to be maintained under this chapter, have a secure fireproof file cabinet that contains all such hard copies; and
(6) to the extent the fiduciary financial institution maintains any record electronically, have a secure computer terminal or other secure electronic device that provides access to such records, including account information, as necessary to facilitate an efficient and effective examination.
(d) Fidfin transactions, custodial services and trust business is deemed to have been performed in Kansas for purposes of this section if fidfin transaction or custodial service agreements are approved or signed in this state on behalf of the fiduciary financial institution and at least three of the following acts are performed by a technology platform wholly or partly operated in this state:
(1) Annual account reviews;
(2) annual investment reviews;
(3) trust or custodial accounting;
(4) account correspondence;
(5) reviewing and signing trust account or custodial account tax returns; or
(6) distributing account statements.
History:
L. 2021, ch. 80, § 9; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2310 General powers.

9-2310. General powers.
Any fiduciary financial institution is hereby authorized to exercise by its board of directors or duly authorized officers or agents, subject to law, the following powers:
(a) To engage in fidfin transactions in accordance with K.S.A. 9-2311, and amendments thereto;
(b) to receive, retain and manage alternative asset custody accounts in accordance with K.S.A. 9-2313, and amendments thereto; and
(c) to engage in trust business as defined in K.S.A. 9-701, and amendments thereto, as incidental to the activities in subsections (a) and (b).
History:
L. 2021, ch. 80, § 10; L. 2022, ch. 55, § 7; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2313 Custodial services; requirements.

9-2313. Custodial services; requirements.
(a) A fiduciary financial institution may serve as a custodian, which may include serving as a qualified custodian, as defined by the United States securities and exchange commission in 17 C.F.R. § 275.206(4)-2, of an asset custody account. In performing custodial services under this section, a fiduciary financial institution shall:
(1) Implement all accounting, account statement, internal control, notice and other standards specified by applicable state or federal law and rules and regulations for custodial services;
(2) maintain information technology best practices relating to alternative assets held in custody;
(3) fully comply with applicable federal anti-money laundering, customer identification and beneficial ownership requirements; and
(4) take other actions necessary to comply with the requirements of this section.
(b) Alternative asset custody accounts over which a fiduciary financial institution serves as a custodian or qualified custodian are not depository liabilities or assets of the fiduciary financial institution.
(c) In performing custodial services under this section:
(1) A fiduciary financial institution shall be a fiduciary and shall be subject to the duties and standards of utmost care and loyalty that are associated with serving as a fiduciary;
(2) a fiduciary financial institution shall be deemed to be exercising fiduciary powers; and
(3) all income earned by a fiduciary financial institution and derived from performing custodial services shall be deemed to be income derived from the exercise of fiduciary powers.
History:
L. 2021, ch. 80, § 13; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2314 Trust advisor; rights, powers, immunities and liabilities.

9-2314. Trust advisor; rights, powers, immunities and liabilities.
Any instrument providing for a trust advisor may also provide such trust advisor with some, none or all of the rights, powers, privileges, benefits, immunities or authorities available to a trustee under Kansas law or under such instrument. Unless the instrument provides otherwise, a trust advisor has no greater liability to any person than would a trustee holding or benefiting from the rights, powers, privileges, benefits, immunities or authority provided or allowed by the instrument to such trust advisor.
History:
L. 2021, ch. 80, § 14; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2315 Excluded fiduciary; actions not liable for; relieved of certain duties; deemed administrative actions.

9-2315. Excluded fiduciary; actions not liable for; relieved of certain duties; deemed administrative actions.
(a) An excluded fiduciary is not liable, either individually or as a fiduciary, for any of the following:
(1) Any loss that results from compliance with a direction of the trust advisor, including any loss from the trust advisor breaching fiduciary responsibilities or acting beyond the trust advisor's scope of authority; or
(2) any loss that results from a failure to take any action proposed by an excluded fiduciary that requires a prior authorization of the trust advisor if such excluded fiduciary timely sought but failed to obtain such authorization.
(b) Any excluded fiduciary is relieved from any obligation to review or evaluate any direction from a trust advisor to make distributions or to perform investment or suitability reviews, inquiries or investigations or to make recommendations or evaluations with respect to any investments to the extent the trust advisor had authority to direct the acquisition, disposition or retention of the investment. If the excluded fiduciary offers such recommendations or evaluations to the trust advisor or any investment person selected by the trust advisor, such action shall not constitute an undertaking by the excluded fiduciary to monitor or otherwise participate in actions within the scope of the advisor's authority or to constitute any duty to do so.
(c) Any excluded fiduciary is also relieved of any duty to communicate with or warn or apprise any beneficiary or third party concerning instances in which the excluded fiduciary would or might have exercised the excluded fiduciary's own discretion in a manner different from the manner directed by the trust advisor.
(d) Absent contrary provisions in the governing instrument, the actions of the excluded fiduciary, such as any communications with the trust advisor and others and carrying out, recording and reporting actions taken at the trust advisor's direction, pertaining to matters within the scope of authority of the trust advisor, shall be deemed to be administrative actions taken by the excluded fiduciary solely to allow the excluded fiduciary to perform those duties assigned to the excluded fiduciary under the governing instrument. Such administrative actions shall not constitute an undertaking by the excluded fiduciary to monitor, participate or otherwise take any fiduciary responsibility for actions within the scope of authority of the trust advisor.
(e) In any action against an excluded fiduciary pursuant to the provisions of this section, the burden to prove the matter by clear and convincing evidence is on the person seeking to hold the excluded fiduciary liable.
History:
L. 2021, ch. 80, § 15; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2316 Trust advisor; presumed fiduciary; jurisdiction; appointment.

9-2316. Trust advisor; presumed fiduciary; jurisdiction; appointment.
(a) A trust advisor shall be presumed to be a fiduciary when exercising such trust advisor's authority under this act.
(b) By accepting an appointment to serve as a trust advisor of a fidfin trust or an alternative asset custody account that is subject to the laws of this state, the trust advisor submits to the jurisdiction of the courts of Kansas even if investment advisory agreements or other related agreements provide otherwise. The trust advisor may be made a party to any action or proceeding relating to a decision or action of the trust advisor.
(c) An instrument may appoint an individual, corporation or limited liability company as the trust advisor of a fidfin trust or an alternative asset custody account.
History:
L. 2021, ch. 80, § 16; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2317 Entity as trust advisor; requirements.

9-2317. Entity as trust advisor; requirements.
(a) If an entity is appointed as a trust advisor, the provisions of article 8 of chapter 9 of the Kansas Statutes Annotated, and amendments thereto, shall not apply to such entity, if the entity:
(1) Is established for the exclusive purpose of acting as a trust advisor;
(2) is acting in such capacity under an instrument that names a fiduciary financial institution as trustee or custodian;
(3) is not engaged in trust business with the general public as a public trust company or with any family as a private trust company;
(4) does not hold itself out as being in the business of acting as a fiduciary for hire as either a public or private trust company; and
(5) agrees to be subject to examination by the office of the state bank commissioner at the discretion of the commissioner.
(b) The governing documents of any such entity shall limit such entity's authorized activities to those of a trust advisor and shall further limit the performance of such functions to only fidfin trusts and alternative asset custody accounts. An entity complying with this section shall notify the commissioner in writing of its existence and capacity to act within 30 days of the establishment of such capacity.
History:
L. 2021, ch. 80, § 17; L. 2022, ch. 55, § 10; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2318 Indemnification of trust advisor; exceptions.

9-2318. Indemnification of trust advisor; exceptions.
An instrument may relieve and indemnify a trust advisor and a fiduciary financial institution that serves as trustee of a fidfin trust or alternative asset custody account from liability for a breach of fiduciary duty. Any such provision is unenforceable to the extent that it relieves the trust advisor or fiduciary financial institution from liability for a breach of fiduciary duty committed:
(a) In bad faith;
(b) intentionally; or
(c) with reckless indifference to the interest of a beneficiary.
History:
L. 2021, ch. 80, § 18; L. 2022, ch. 55, § 11; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2319 Trustee compensation.

9-2319. Trustee compensation.
(a) Notwithstanding the provisions of K.S.A. 58a-708, and amendments thereto, if the terms of a fidfin trust specify the trustee's compensation, such trustee is entitled to be compensated as provided in such terms, except that compensation may be increased or decreased upon approval by the trustee and by unanimous consent of the beneficiaries.
(b) If the terms of a fidfin trust specify the trustee's compensation, the trustee is entitled to be compensated as specified, except that the court may allow more compensation if:
(1) The duties of the trustee are substantially different from those contemplated when the trust was created; or
(2) the compensation specified by the terms of the trust would be unreasonably low.
History:
L. 2021, ch. 80, § 19; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2320 Privacy; protection in court proceedings; exception.

9-2320. Privacy; protection in court proceedings; exception.
The privacy of those who have established a fidfin trust or alternative asset custody account shall be protected in any court proceeding concerning such trust if the acting trustee, custodian, trustor or any beneficiary so petition the court. Upon the filing of such a petition, the instrument, inventory, statement filed by any trustee or custodian, annual verified report of the trustee or custodian, final report of the trustee or custodian and all petitions relevant to trust administration and all court orders thereon shall be sealed upon filing and shall not be made a part of the public record of the proceeding, except that such petition shall be available to the court, the trustor, the trustee, the custodian, any beneficiary, their attorneys and to such other interested persons as the court may order upon a showing of need.
History:
L. 2021, ch. 80, § 20; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2321 Forms; definition; request for review; review not approval or endorsement.

9-2321. Forms; definition; request for review; review not approval or endorsement.
(a) For purposes of this section, "form" includes:
(1) An instrument as defined in K.S.A. 9-2301, and amendments thereto;
(2) a transaction agreement between a fiduciary financial institution and a fidfin trust;
(3) any other documents executed by a fiduciary financial institution or a fidfin trust in connection with a fidfin transaction; and
(4) any document executed by a fiduciary financial institution or a customer in connection with the creation and management of an alternative asset custody account.
(b) The commissioner may, upon a written request from a fiduciary financial institution prior to a form submission, offer to review a form and reply with informational comments only. Such informational comments shall not, in any manner, constitute approval or endorsement of such form, and the fiduciary financial institution shall not represent that such form has been approved by the office of the state bank commissioner.
History:
L. 2021, ch. 80, § 21; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2322 Adoption of rules and regulations by the commissioner; contracts for technical assistance.

9-2322. Adoption of rules and regulations by the commissioner; contracts for technical assistance.
(a) Pursuant to K.S.A. 9-1713, and amendments thereto, the commissioner shall adopt rules and regulations on or before January 1, 2022, as are necessary to administer this act.
(b) The office of the state bank commissioner may enter into contracts for technical assistance and professional services as are necessary to administer the provisions of this act and to meet the deadline for the adoption of rules and regulations provided by this section. Such contracts shall be exempt from the requirements of K.S.A. 75-3739, 75-37,102 and 75-37,132, and amendments thereto, or any other statute relating to the procurement of such services.
History:
L. 2021, ch. 80, § 22; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2323 No maximum interest rate or charge.

9-2323. No maximum interest rate or charge.
Notwithstanding the provisions of chapter 16 of the Kansas Statutes Annotated, and amendments thereto, to the contrary, or any other statute, there is no maximum interest rate or charge or usury rate restriction between or among a fiduciary financial institution and a fidfin trust if the interest rate or charge is established by written agreement. A "written agreement" means a document in writing, whether in physical or electronic form, in which the parties have demonstrated their agreement to the terms and conditions of an extension of credit, including the rate of interest.
History:
L. 2021, ch. 80, § 23; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2324 Technology-enabled fiduciary financial institutions development and expansion fund; administration by secretary of commerce; purpose; interest earnings.

9-2324. Technology-enabled fiduciary financial institutions development and expansion fund; administration by secretary of commerce; purpose; interest earnings.
(a) There is hereby established in the state treasury the technology-enabled fiduciary financial institutions development and expansion fund to be administered by the secretary of commerce. Expenditures from the fund shall be for the purposes of distributing to economic growth zones for the purposes of economic development projects or opportunities and promoting and facilitating the development, growth and expansion of fiduciary financial institutions, fidfin activities and custodial services in the state and to locate such fiduciary financial institutions' office space in an economic growth zone as defined in K.S.A. 9-2301, and amendments thereto. All expenditures from the technology-enabled fiduciary financial institutions development and expansion fund shall be made in accordance with appropriation acts upon warrants of the director of accounts and reports issued pursuant to vouchers approved by the secretary of commerce or the secretary's designee.
(b) On or before the 10th day of each month, the director of accounts and reports shall transfer from the state general fund to the technology-enabled fiduciary financial institutions development and expansion fund interest earnings based on:
(1) The average daily balance of moneys in the technology-enabled fiduciary financial institutions development and expansion fund for the preceding month; and
(2) the net earnings rate for the pooled money investment portfolio for the preceding month.
History:
L. 2021, ch. 80, § 24; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2326 Trust interest not void or invalid by any common law rule.

9-2326. Trust interest not void or invalid by any common law rule.
Notwithstanding the provisions of K.S.A. 59-3401, and amendments thereto, no interest held in a fidfin trust shall be void or invalid by reason of any common law rule, including, but not limited to, the rule against perpetuities or rule limiting the duration of trusts.
History:
L. 2021, ch. 80, § 26; July 1.
2023 Kansas Statutes › Chapter 9 - Banks And Banking; Trust Companies › Article 23 - Technology-enabled Fiduciary Financial Institutions › 9-2327 Tax classification as determined under the federal internal revenue code.

9-2327. Tax classification as determined under the federal internal revenue code.
Notwithstanding the provisions of K.S.A. 17-2035, and amendments thereto, for purposes of any tax imposed by the state or any instrumentality, agency or political subdivision of this state, a business trust that is used in connection with fidfin transactions or custodial services, as defined in K.S.A. 9-2301, and amendments thereto, and for which a fiduciary financial institution, as defined in K.S.A. 9-2301, and amendments thereto, serves as trustee shall be classified as a corporation, an association, a partnership, a trust or otherwise, as shall be determined under the federal internal revenue code.
History:
L. 2021, ch. 80, § 27; July 1.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-101 "Municipality" defined.

10-101.
"Municipality" defined.
"Municipality," as used in this chapter and all acts amendatory thereto, unless otherwise expressed in such amendment, shall mean and include every corporation and quasi corporation empowered to issue bonds in payment of which taxes may be levied.
History: R.S. 1923, § 10-101; December 27.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-102 "Municipal bonds" defined.

10-102.
"Municipal bonds" defined.
Unless otherwise expressly provided, when used in chapter 10 of the Kansas Statutes Annotated, and amendments thereto, "municipal bonds" means and includes all bonds issued by any municipality which constitute a general obligation of the municipality, except railroad aid bonds.
History:
R.S. 1923, § 10-102; L. 1983, ch. 48, § 1; April 7.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-103 Terms and denominations of municipal bonds.

10-103.
Terms and denominations of municipal bonds.
(a) Except as provided in subsection (b), all municipal bonds payable from special assessments against the property benefited, shall be issued to mature in not more than 20 installments. The last installment shall mature not more than 22 years after the date of issuance. All other municipal bonds shall be issued to mature in not more than 30 installments. The last installment shall mature not more than 32 years after the date of issuance. Such bonds shall bear interest at a rate not to exceed the maximum rate of interest prescribed by K.S.A. 10-1009, and amendments thereto, payable at such times fixed by the municipality issuing the same. Each bond shall specify the date of its separate maturity and shall be in such denomination as the municipality issuing the same determines.
(b) Municipal bonds sold, pursuant to written agreement, to the government of the United States of America or any bureau, department, instrumentality or agency thereof shall be issued to mature in not more than 40 years, may have serial or term maturities and shall bear interest at a rate not to exceed the maximum rate prescribed by K.S.A. 10-1009, and amendments thereto, payable at such times fixed by the municipality issuing the same. The bonds may be in coupon or registered form and interchangeable, and shall have such other terms and provisions as the municipality provides by ordinance, resolution or trust agreement.
History:
R.S. 1923, § 10-103; L. 1925, ch. 92, § 1; L. 1947, ch. 103, § 1; L. 1955, ch. 69, § 1; L. 1967, ch. 75, § 1; L. 1968, ch. 135, § 1; L. 1970, ch. 64, § 2; L. 1978, ch. 99, § 7; L. 1981, ch. 56, § 1; L. 1983, ch. 49, § 19; May 12.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-104 Limitations on improvement bonds; partial issuance, when.

10-104.
Limitations on improvement bonds; partial issuance, when.
Bonds shall not be issued in payment for any public improvement if the amount received therefrom is in excess of the actual cost and expense of such improvement. Nothing herein shall prevent the partial issuance of bonds to the extent of the determined actual costs and expenses of a public improvement and thereafter issuing bonds for the balance of the actual costs and expenses.
History:
R.S. 1923, § 10-104; L. 1968, ch. 409, § 1; L. 1983, ch. 49, § 20; May 12.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-105 Signing and execution of bonds by municipal officers and boards of trustees of community colleges; interest coupons.

10-105.
Signing and execution of bonds by municipal officers and boards of trustees of community colleges; interest coupons.
Bonds issued by any county shall be signed by the chairperson of the board of county commissioners and attested by the county clerk under the seal of the county. Bonds issued by any city shall be signed by the mayor and attested by the city clerk under the seal of the city. Bonds issued by any township shall be signed by the trustee, attested by the township clerk and countersigned by the township treasurer. Bonds issued by any school district shall be signed by the president of the board of education, attested by the clerk and countersigned by the treasurer of the board. Bonds issued by any community college shall be signed by the chairperson of the board of trustees, attested by the secretary and countersigned by the treasurer of the board. Bonds issued by any drainage district shall be signed by the chairperson of the board of directors or supervisors and attested by the secretary of the board under the seal of such board.
The bonds issued by any other municipality, not herein named, shall be signed by the chairperson or other presiding officer of the governing body and attested by the secretary or clerk of such board under the seal of the municipality, if it has a seal, but if such board is not authorized by law to use a seal, then the bonds shall be countersigned by the treasurer of such board. Any interest coupons shall be signed by the chairperson of the board of county commissioners, the mayor of the city, the township trustee, the president of the board of education or the chairperson or other presiding officer of the governing body of any other municipality and the clerks or secretaries respectively. Any interest coupons attached to any bond may be signed with a facsimile of the signature of any officer required to sign such interest coupons.
History: R.S. 1923, § 10-105; L. 1965, ch. 410, § 12; L. 1974, ch. 45, § 1; L. 1983, ch. 49, § 21; May 12.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-107 Registration of bonds.

10-107.
Registration of bonds.
The clerk, secretary or other recording officer of every municipality shall register all bonds issued by the municipality in such officer's office. All bonds, except city bonds and bonds issued by a school district or a community college, also shall be registered by the county clerk and such registration shall show the date, number, amount thereof, rate of interest, the number of any coupons and the amount of each, to whom payable, where payable and date of maturity. The board of education of any school district or the board of trustees of any community college may elect to register such bonds with the county clerk in each county in which there is located any part of the school district.
History:
R.S. 1923, § 10-107; L. 1967, ch. 76, § 1; L. 1974, ch. 45, § 2; L. 1983, ch. 49, § 22; May 12.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-108a Nonlitigation certificate; incorporation in transcript; form.

10-108a.
Nonlitigation certificate; incorporation in transcript; form.
The governing body of any municipality issuing bonds pursuant to article 1 of chapter 10 of the Kansas Statutes Annotated, shall execute and incorporate in the transcript of the proceedings leading up to the issuance of such bonds a nonlitigation certificate in substantially the following form:
"It is hereby certified that other than a challenge by a property owner to the amount of a special assessment to be levied against the owner's property or a challenge by a property owner to the amount of a condemnation award there is no controversy, suit or other proceeding of any kind pending or threatened wherein or whereby any question is raised or may be raised, questioning, disputing or affecting in any way the legal organization of the issuing municipality or its boundaries, or the right or title of any of its officers to their respective offices, or the legality of any official act shown to have been done in the transcript of the proceedings leading up to the issuance of the bonds, or the constitutionality or validity of the indebtedness represented by the bonds shown to be authorized in the transcript, or the validity of the bonds or any of the proceedings in relation to the issuance or sale thereof, or the levy and collection of a tax other than a challenge by a property owner to the amount of a special assessment to be levied against the owner's property to pay the principal and interest thereof."
In the event there is no challenge by a property owner to the amount of a special assessment to be levied against the owner's property or to the amount of a condemnation award, the appropriate references thereto may be deleted from the certificate.
History:
L. 1978, ch. 54, § 1; L. 1987, ch. 58, § 1; April 16.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-108b Same; notice of pending or threatened lawsuit, effect.

10-108b.
Same; notice of pending or threatened lawsuit, effect.
Whenever any municipality issuing bonds pursuant to article 1 of chapter 10 of the Kansas Statutes Annotated is unable to execute a nonlitigation certificate as required by K.S.A. 10-108a because of a pending or threatened lawsuit, any such pending or threatened lawsuit not filed with a court of competent jurisdiction in this state within thirty (30) days after any member of the governing body of such municipality is served with written notice of such pending or threatened lawsuit shall be deemed insufficient to challenge the validity of the nonlitigation certificate, and after the expiration of such thirty (30) day period, such certificate may be executed and filed as though no lawsuit was pending or threatened.
History:
L. 1978, ch. 54, § 2; July 1.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-108c Same; municipality prevailing in lawsuit authorized to issue bonds unless stay granted.

10-108c.
Same; municipality prevailing in lawsuit authorized to issue bonds unless stay granted.
Whenever a judgment is entered in favor of a municipality in any action challenging the authority for or validity of the issuance of bonds pursuant to article 1 of chapter 10 of the Kansas Statutes Annotated, such municipality shall have authority to forthwith issue its bonds notwithstanding any other party's right to appeal unless such other party applies to the district court for and is granted a stay on appeal pursuant to subsection (d) of K.S.A. 60-2103.
History:
L. 1978, ch. 54, § 3; July 1.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-108d Nonlitigation certificate, exception; payment of bonds if city not legally organized.

10-108d.
Nonlitigation certificate, exception; payment of bonds if city not legally organized.
(a) Notwithstanding any controversy, litigation or other proceeding disputing the legal organization of any city incorporated pursuant to K.S.A. 15-115, et seq., and amendments thereto, the governing body of the city may issue general obligation bonds of the city pursuant to the authority of any appropriate statute without executing a nonlitigation certificate required by K.S.A. 10-108a, and amendments thereto. Any bonds authorized to be issued hereunder shall be a general obligation of the property located within the city as it existed on the date the bonds are delivered to the purchaser, and except as provided by this subsection shall be authorized, issued, registered and sold in the manner provided by the general bond law and shall bear interest at a rate not to exceed the maximum prescribed by K.S.A. 10-1009, and amendments thereto.
(b) If it is finally determined by a court of competent jurisdiction that the city was not legally organized, the property located within the city on the date any general obligation bonds were delivered to the purchaser shall remain liable for the payment of the interest on and the principal amount of the bonds issued by the city in accordance with their terms and shall continue to be subject to the levy of special assessments, if any, and be taxed, if necessary, for the payment of the bonds and the interest thereon. Any special assessments levied by the city shall continue to constitute a lien on the property assessed. The county clerk shall annually levy a tax or collect the necessary amount to pay any special assessment levied against the property as required by the statute under which the general obligation bonds were authorized.
History: L. 1982, ch. 53, § 1; L. 1984, ch. 52, § 1; February 16.
2023 Kansas Statutes › Chapter 10 - Bonds And Warrants › Article 1 - General Bond Law › 10-109 Filing statement of issuance with state treasurer.

10-109.
Filing statement of issuance with state treasurer.
The clerk, secretary or other recording officer of any municipality which issues bonds shall file with the state treasurer a statement in such form and including such information as the state treasurer may require, signed by all the officers who signed the bonds and attested by the proper officer with the corporate seal of the municipality, if it have a seal, and duly acknowledged before the clerk of the district court.
History: R.S. 1923, § 10-109; L. 1974, ch. 45, § 4; January 13, 1975.