Compromises of the 1941 Bill

Another change was made in the form of a compromise to meet
certain facts presented by the Legislative Council. A statistical study
revealed that around $700,000 a year would be needed from the state
to finance the 1940 bill. The Council representatives thought this figure
prohibitive, and a pro-rated figure of $400,000 was agreed upon. This
pro-rated plan was agreed upon rather than a proposal to reduce the
basic benefits provided in the bill. Section 23 of the 1941 bill appro-
priates $400,000 a year as the state’s part and section 24 provides for
pro-rating this sum as far as it will go among the eligible annuities.
This compromise applies only to service annuities which are paid with
state money; it does not affect the teacher’s individual savings account
or savings annuities purchased by her payments. After a year or two of
operation accurate cost of the retirement measure to the state will be
available. The best estimated figures indicate that the $400,000 will
pay approximately four-sevenths of the annuities due the first year
under the formula of the bill. It is doubtful if reliable data can be
obtained except by experience in operating the plan. The compromise
gives the state time to feel its way through the first experimental years.
Meanwhile the standards set by the bill for annuity benefits remain and
should be met in future years by larger state appropriations.

The Legislative Council’s Committee on Education suggested the
use of sales tax money for the state’s appropriation of $400,000, and
made a provision for this in the 1940 bill. The Legislative Council at
its meeting on November 16, 1940, by a motion from the floor, altered
this provision of the original Beatty bill and provided for the appropria-
tion of the $400,000 for the first year of operation from the general
fund of the state.

K.S.T. A. LEGISLATIVE PROGRAM

 

THE THREE-POINT PROGRAM
1. School Retirement.
2. High School Equalization.
3. State Commissioner of Education.

CODIFICATION OF THE SCHOOL LAWS
(In cooperation with the Education Committee of
the Legislative Council of the Kansas Legislature,
by invitation of the Legislative Council.)