April 29, 2000

Journal of the House

SIXTY-FIFTH DAY
______
Hall of the House of Represenatitives
Topeka, KS, Saturday, April 29, 2000, 10:00 a.m.
 The House met pursuant to adjournment with Speaker pro tem Mays in the chair.

 The roll was called with 123 members present.

 Reps. Farmer and Henderson were excused on excused absence by the Speaker.

 Present later: Reps. Farmer and Henderson.

     Prayer by Chaplain Svoboda:

                Holy God,

              the end is near.
              Flood this chamber with grace,
              with a spirit of consolation and reconciliation,
              and with a healthy reminder
              of those things that are truly important:
              our loved ones,
                          our health,

                          and the beauty of your world.

                I ask these things in Your name.

            Amen.

 The Pledge of Allegiance was led by Rep. Mayans.

REFERENCE OF BILLS AND CONCURRENT RESOLUTIONS
 The following bills and resolutions were referred to committees as indicated:

   Appropriations: SB 672, 673.

COMMUNICATIONS FROM STATE OFFICERS
 From Charles E. Simmons, Secretary of Corrections, in accordance with K.S.A. 1999
Supp. 60-4117, report for the Kansas Department of Corrections State Forfeiture Fund,
December 1, 1998 through December 1, 1999.

 From Dale Brunton, Acting Director, Division of Accounts and Reports, State of Kansas
Monthly Financial Perspective for February, 2000 (revised April 24, 2000).

 The complete reports are kept on file and open for inspection in the office of the Chief
Clerk.

     On motion of Rep. Glasscock, the House recessed until 11:00 p.m.

______
Late Morning Session
 The House met pursuant to recess with Speaker pro tem Mays in the chair.

MESSAGE FROM THE SENATE
 Announcing passage of Sub. HB 2540, as amended.

 The Senate concurs in House amendments to H. Sub. for SB 219.

 The Senate adopts conference committee report on SB 59.

 The Senate adopts conference committee report on SB 393.

 The Senate adopts conference committee report on S. Sub. for HB 2005.

 The Senate adopts conference committee report on S. Sub. for Sub. HB 2007.

 The Senate adopts conference committee report on S. Sub. for HB 2624.

 The Senate adopts conference committee report on HB 2641.

 The Senate adopts conference committee report on HB 2660.

 The Senate adopts conference committee report on Sub. HB 2683.

 The Senate adopts conference committee report on HB 2996.

 The Senate adopts conference committee report on HB 3019.

 The Senate accedes to the request of the House for a conference on S. Sub. for HB
2027 and has appointed Senators Ranson, Jordan and Gilstrap as conferees on the part of
the Senate.

 The Senate accedes to the request of the House for a conference on HB 2838 and has
appointed Senators Oleen, Harrington and Jones as conferees on the part of the Senate.

INTRODUCTION OF ORIGINAL MOTIONS
 On motion of Rep. Weber, pursuant to subsection (k) of Joint Rule 4 of the Joint Rules
of the Senate and House of Representatives, the rules were suspended for the purpose of
considering H. Sub. for SB 150; SB 410, 483; Sub. SB 599; S. Sub. for HB 2005; S.
Sub. for Sub. HB 2007; Sub. HB 2540; S. Sub. for HB 2624; HB 2641, 2660.

MOTIONS TO CONCUR AND NONCONCUR
 On motion of Rep. Powell, the House nonconcurred in Senate amendments to Sub.
HB  2540 and asked for a conference.

 Speaker pro tem Mays thereupon appointed Reps. Powell, Hutchins and Klein as con-
ferees on the part of the House.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to SB 150, submits the following report:

      The Senate accedes to all House amendments to the substitute bill, and your committee
on conference further agrees to amend the bill, as printed with House Committee of the
Whole amendments, as follows:

      On page 1, in line 21, by striking ``1998'' and inserting ``1999''; in line 30, by striking
``and'' and inserting ``, residency, visitation rights,'';

      On page 2, in line 19, by striking ``a parent''; in line 20, after the stricken material, by
inserting ``visitation rights or''; also in line 20, by striking all after ``time'';

      Also on page 2, by striking lines 21 through 43;

      On page 3, by striking lines 1 through 43;

      On page 4, by striking lines 1 through 23 and inserting the following:

      ``Sec.  3. K.S.A. 1999 Supp. 20-302b is hereby amended to read as follows: 20-302b. (a)
A district magistrate judge shall have the jurisdiction and power, in any case in which a
violation of the laws of the state is charged, to conduct the trial of traffic infractions, cigarette
or tobacco infractions or misdemeanor charges to conduct the preliminary examination of
felony charges and to hear felony arraignments subject to assignment pursuant to K.S.A.
20-329 and amendments thereto. In civil cases, a district magistrate judge shall have con-
current jurisdiction, powers and duties with a district judge, except that, unless otherwise
specifically provided in subsection (b), a district magistrate judge shall not have jurisdiction
or cognizance over the following actions:

      (1) Any action, other than an action seeking judgment for an unsecured debt not sound-
ing in tort and arising out of a contract for the provision of goods, services or money, in
which the amount in controversy, exclusive of interests and costs, exceeds $10,000, except
that in actions of replevin, the affidavit in replevin or the verified petition fixing the value
of the property shall govern the jurisdiction; nothing in this paragraph shall be construed as
limiting the power of a district magistrate judge to hear any action pursuant to the Kansas
probate code or to issue support orders as provided by paragraph (6) of this subsection;

      (2) actions against any officers of the state, or any subdivisions thereof, for misconduct
in office;

      (3) actions for specific performance of contracts for real estate;

      (4) actions in which title to real estate is sought to be recovered or in which an interest
in real estate, either legal or equitable, is sought to be established, except that nothing in
this paragraph shall be construed as limiting the right to bring an action for forcible detainer
as provided in the acts contained in article 23 of chapter 61 of the Kansas Statutes Annotated,
and any acts amendatory thereof or supplemental thereto; and nothing in this paragraph
shall be construed as limiting the power of a district magistrate judge to hear any action
pursuant to the Kansas probate code;

      (5) actions to foreclose real estate mortgages or to establish and foreclose liens on real
estate as provided in the acts contained in article 11 of chapter 60 of the Kansas Statutes
Annotated, and any acts amendatory thereof or supplemental thereto;

      (6) actions for divorce, separate maintenance or custody of minor children, except that
nothing in this paragraph shall be construed as limiting the power of a district magistrate
judge to: (A) Hear any action pursuant to the Kansas code for care of children or the Kansas
juvenile justice code; (B) establish, modify or enforce orders of support, including, but not
limited to, orders of support pursuant to the Kansas parentage act, K.S.A. 23-451 et seq.,
39-718a, 39-718b, 39-755 or 60-1610 or K.S.A. 23-4,105 through 23-4,118, 23-4,125 through
23-4,137, 38-1542, 38-1543 or 38-1563, and amendments thereto; or (C) enforce orders
granting a parent visitation rights to the parent's child or parenting time;

      (7) habeas corpus;

      (8) receiverships;

      (9) change of name;

      (10) declaratory judgments;

      (11) mandamus and quo warranto;

      (12) injunctions;

      (13) class actions;

      (14) rights of majority; and

      (15) actions pursuant to K.S.A. 59-29a01 et seq. and amendments thereto.

      (b) Notwithstanding the provisions of subsection (a), in the absence, disability or dis-
qualification of a district judge, a district magistrate judge may:

      (1) Grant a restraining order, as provided in K.S.A. 60-902 and amendments thereto;

      (2) appoint a receiver, as provided in K.S.A. 60-1301 and amendments thereto; and

      (3) make any order authorized by K.S.A. 60-1607 and amendments thereto.

      (c) In accordance with the limitations and procedures prescribed by law, and subject to
any rules of the supreme court relating thereto, any appeal permitted to be taken from an
order or final decision of a district magistrate judge shall be tried and determined de novo
by a district judge, except that in civil cases where a record was made of the action or
proceeding before the district magistrate judge, the appeal shall be tried and determined
on the record by a district judge.

      (d) Upon motion of a party, the chief judge may reassign an action from a district
magistrate judge to a district judge.'';

      And by renumbering sections accordingly;

      On page 4, in line 35, after the stricken material by inserting ``visitation rights or''; also
in line 35, by striking ``or custody rights''; in line 36, by striking ``the rights'' and inserting
``that time''; in line 37, after the stricken material by inserting ``the exercise of any visitation
rights or''; also in line 37, by striking ``or custody rights'';

      On page 5, in line 4, by striking all after ``officer''; in line 5, by striking ``to K.S.A. 23-701,
and amendments thereto''; in line 7, by striking all before the period and inserting ``, resi-
dency, visitation, parenting time, division of property or other issues''; in line 13, after
``court'' by inserting ``or hearing officer''; in line 14, by striking ``parenting time or division
of property'' and inserting ``, residency, visitation, parenting time, division of property or
other issues,''; also in line 14, by striking ``the''; in line 15, by striking all after the period;
by striking all in lines 16 and 17;

      Also on page 5, by striking all in lines 33 through 43;

      By striking all on pages 6 and 7;

      On page 8, by striking lines 1 through 13 and inserting the following:

      ``Sec.  7. K.S.A. 1999 Supp. 23-701 is hereby amended to read as follows: 23-701. (a)
The purpose of this section is to enhance the enforcement of court ordered child visitation
rights granted by court order and parenting time by establishing an a simplified, expedited
procedure which is simplified enough to provide justice without necessitating the assistance
of legal counsel.

      (b) If a parent has been granted visitation rights pursuant to K.S.A. 38-1121 or 60-1616,
and amendments thereto, and such rights are denied or interfered with by the other parent,
the parent having visitation rights may file with the clerk of the district court a motion for
enforcement of such rights. Such motion shall be filed on a form provided by the clerk of
the court. Upon the filing of the motion, the chief judge of the district court shall assign a
judge of the district court or the court trustee as a hearing officer to hear the motion. The
hearing officer shall immediately:

      (1) Issue ex parte an order for mediation in accordance with K.S.A. 23-601 et seq., and
amendments thereto; or

      (2) set a time and place for a hearing on the motion, which shall be not more than 21
days after the filing of the motion. A party who has been granted visitation rights or par-
enting time may file with the court a motion alleging denial or interference with those rights
and enforcement of those rights. The district court shall provide a form on which such motion
may be filed. Such expedited matters shall be heard by a district judge, court trustee, or
magistrate, sitting as a hearing officer. The provisions of this section are in addition to those
enforcement procedures provided in the uniform child custody jurisdiction and enforcement
act, and amendments thereto, and other remedies provided by law.

      (c) When a motion seeking expedited enforcement under subsection (b) is filed, the hear-
ing officer shall immediately:

      (1) Set a time and place for a hearing on the motion, which shall not be more than 21
days after the date on which the motion was filed; or

      (2) if deemed appropriate, issue an ex parte order for mediation in accordance with
K.S.A. 23-601 et seq., and amendments thereto.

      (c) (d) If mediation ordered pursuant to subsection (b) (c) is completed, the mediator
shall submit a summary of the parties' understanding to the hearing officer within five days
after it is signed by the parties. Upon receipt of the summary, the hearing officer shall enter
an order in accordance with the parties' agreement or set a time and place for a hearing on
the matter, which shall be not more than 10 days after the summary is received by the
hearing officer.

      (d) (e) If mediation ordered pursuant to subsection (b) (c) is terminated pursuant to
K.S.A. 23-604 and amendments thereto, the mediator shall report the termination to the
hearing officer within five days after the termination. Upon receipt of the report, if the
hearing officer is a district judge, such judge shall set the matter shall be set for hearing. If
the hearing officer is a district magistrate judge or a court trustee, the chief judge shall
assign the matter to a district judge who shall set the matter for hearing. Any such hearing
shall be not more than 10 days after the mediator's report of termination is received by the
hearing officer.

      (e) (f) Notice of the hearing date set by the hearing officer shall be given to all interested
parties by certified mail, return receipt requested, or as the court may order.

      (f) (g) If, upon a hearing pursuant to subsection (b), (c) or (d), the hearing officer or
judge finds that there has been an unreasonable interference with or denial of visitation
rights of one parent have been unreasonably denied or interfered with by the other parent
or parenting time, the hearing officer or judge may shall enter an order providing for one
or more of the following:

      (1) A specific schedule for visitation schedule or parenting time;

      (2) compensating visitation or parenting time for the visitation denied or interfered with
to the party suffering interference or denial of visitation or parenting time, which time shall
be of the same type (e.g., holiday, weekday, weekend, summer) as that denied or interfered
with and for which denial or interference was found and which shall be at the convenience
of the parent whose visitation was denied or interfered with party suffering the denial or
interference of visitation or parenting time;

      (3) the posting of a bond, either cash or with sufficient sureties, conditioned upon com-
pliance with the order granting visitation rights or parenting time;

      (4) assessment of reasonable attorney fees, mediation costs and costs of the proceedings
to enforce visitation rights or parenting time against the parent who unreasonably denied
or interfered with the other parent's visitation rights person responsible for the unreasonable
denial or interference with visitation or parenting time other than the child;

      (5) attendance of one or both parents more of the parties to the action at counseling or
educational sessions which focus on the impact of visitation disputes on children of disputes
regarding visitation or parenting time. Expenses shall be assessed to the person responsible
for the denial or interference with visitation or parenting time;

      (6) supervised visitation or parenting time; or

      (7) any other remedy which the hearing officer or judge considers appropriate, except
that, if a hearing officer is not a district magistrate judge or court trustee, the hearing officer
shall not enter any order which grants a new order, or modifies a previous an existing order
granting, for child support, child custody, residency, or maintenance.

      (g) (h) Decisions of any hearing officer who is not a district magistrate judges or court
trustees appointed pursuant to this section judge shall be subject to review by a district judge
on the motion of any party filed within 10 days after the order was entered.

      (h) (i) In no case shall final disposition of a motion filed pursuant to this section take
place more than 45 days after the filing of such motion.'';

      And by renumbering sections accordingly;

      Also on page 8, in lines 14 and 23, by striking ``1998'' and inserting ``1999''; in lines 20
and 25 after ``custody'' by inserting ``, residency, visitation''; in line 29, after the stricken
material, by inserting ``child visitation or''; in line 37, by striking ``parties''; also in line 37,
after ``filing'' by inserting ``of''; in line 38, after the stricken material, by inserting ``residency,
visitation,'';

      On page 9, in line 18, by striking ``1998'' and inserting ``1999'';

      On page 10, in line 40, after ``custody'' by inserting ``, residency''; in line 41, after the
period by inserting ``If the parties have an agreed parenting plan it shall be presumed the
agreed parenting plan is in the best interest of the child. This presumption may be overcome
and the court may make a different order if the court makes specific findings of fact stating
why the agreed parenting plan is not in the best interest of the child. If the parties are not
in agreement on a parenting plan, each party shall submit a proposed parenting plan to the
court for consideration at such time before the final hearing as may be directed by the
court.'';

      On page 11, in line 28, after ``thereto'' by inserting ``, or under the uniform child custody
jurisdiction and enforcement act''; in line 29, by striking ``1998'' and inserting ``1999''; by
striking all in line 31; in line 32, by striking all before ``pursuant'' and inserting ``granted
rights''; also in line 32, before ``K.S.A.'' by inserting ``subsection (d) of''; in line 33, by striking
``cus-''; in line 34, by striking all before ``pursuant'' and inserting ``rights''; in line 35, by
striking ``21'' and inserting ``30''; in line 36, by striking all after ``child''; in line 37, by striking
all before the semicolon;

      On page 12, in line 7, following the period by inserting ``In determining any such motion,
the court shall consider all factors the court deems appropriate including, but not limited
to:

      (1) The effect of the move on the best interests of the child;

      (2) the effect of the move on any party having rights granted pursuant to subsection (d)
of K.S.A. 38-1121, and amendments thereto; and

      (3) the increased cost the move will impose on any party seeking to exercise rights
granted under subsection (d) of K.S.A. 38-1121, and amendments thereto.''; also in line 7,
by striking all after the period; by striking all in lines lines 8 through 18; in line 19, by striking
``entitled to the custody of a child'' and inserting ``who has been granted rights''; also in line
19, before ``K.S.A.'', by inserting ``subsection (d) of''; in line 27, by striking ``1998'' and
inserting ``1999'';

      On page 13, in line 15, by striking ``If necessary, custody'' and inserting ``Custody,
residency'';

      On page 14, by striking all in lines 5 through 43;

      By striking all on pages 15 through 29;

      On page 30, by striking all in lines 1 through 25;

      And by renumbering sections accordingly;

      On page 30, in line 26, by striking ``1998'' and inserting ``1999'';

      On page 32, in line 9, by striking ``1998'' and inserting ``1999''; in line 20, by striking ``joint
shared'' and inserting ``legal''; also in line 20, by striking ``of'' and inserting ``and residency
of and parenting time with''; in line 22, by striking all after ``action''; by striking all in lines
23 through 28; in line 29, by striking all before the semicolon; in line 30, after ``(4)'' by
inserting ``require mediation between the parties on issues, including, but not limited to,
child custody, residency, division of property, parenting time and development of a parenting
plan;'';

      And by renumbering subsections (4) and (5) as subsections (5) and (6);

      Also on page 32, in line 35, by striking ``and'' and inserting a comma; in line 36, after
``(3)'' by inserting ``and (4)''; in line 37, by striking ``but'' and inserting ``except that''; in lines
38 and 39, by striking ``custody'' and inserting ``residency''; in line 42, by striking ``that'' and
inserting ``on which'';

      On page 33, after line 33, by inserting the following:

      ``(d) If an interlocutory order for legal custody, residency, or parenting time is sought,
the party seeking such order shall file a proposed temporary parenting plan as provided by
section 25, and amendments thereto, at the time such order is sought. If any motion is filed
to modify any such interlocutory orders, or in opposition to a request for issuance of inter-
locutory orders, that party shall attach to such motion or opposition a proposed alternative
parenting plan.'';

      Also on page 33, in line 34, by striking ``(d)'' and inserting ``(e)''; in line 37, by striking
``1998'' and inserting ``1999'';

      On page 35, in line 12, by striking all after ``during''; in line 13, by striking all before the
comma and inserting ``any period provided in such decree''; in line 15, after ``time'' by
inserting ``, except that if the residential parent shows that the criteria for the abatement
has not been satisfied there shall not be an abatement of such child support''; also in line
15, by striking all after the period; by striking all in lines 16 through 18; in line 20, after
``jurisdiction'' by inserting ``and enforcement''; also in line 20, by striking ``(K.S.A. 38-''; in
line 21, by striking all before the comma and inserting ``(sections 31 through 72, and amend-
ments thereto)''; in line 22, after ``custody'' by inserting ``, residency, visitation and parenting
time,''; in line 23, by striking ``the custody'' and inserting ``residency''; in line 24, by striking
``custody'' and inserting ``residency''; in line 36, by striking all after ``have''; in line 37, by
striking all before ``presumed'' and inserting ``entered into a parenting plan, it shall be''; in
line 40, by striking ``agreement'' and inserting ``agreed parenting plan''; in line 41, before
``custody'' by inserting ``child''; also in line 41, by striking ``or'' and inserting a comma; also
in line 41, by striking ``of a child'' and inserting ``and parenting time'';

      On page 36, in line 18, before ``custodial'' by inserting ``legal''; in line 20, by striking all
after ``shall''; in line 21, by striking all before ``one'' and inserting ``provide''; also in line 21,
before the second comma, by inserting ``legal custody arrangements''; in line 22, by striking
``shared'' and inserting ``legal''; also in line 22, by striking ``place the'' and inserting ``order
the joint legal''; in line 23, by striking ``on a''; also in line 23, by striking ``joint shared basis'';
in line 25, by striking ``under their custody''; also in line 25, by striking all after the period;
by striking all in lines 26 through 38; in line 39, after ``Sole'' by inserting ``legal''; also in line
39, by striking ``place the'' and inserting ``order the sole legal''; by striking all in lines 40
through 43, and inserting ``of the parties when the court finds that it is not in the best
interests of the child that both of the parties have equal rights to make decisions pertaining
to the child. If the court does not order joint legal custody, the court shall include on the
record specific findings of fact upon which the order for sole legal custody is based. The
award of sole legal custody to one parent shall not deprive the other parent of access to
information regarding the child unless the court shall so order, stating the reasons for that
determination.'';

      On page 37, by striking all in lines 1 and 2 and inserting the following:

      ``(5) Types of residential arrangements. After making a determination of the legal cus-
todial arrangements, the court shall determine the residency of the child from the following
options, which arrangement the court must find to be in the best interest of the child. The
parties shall submit to the court either an agreed parenting plan or, in the case of dispute,
proposed parenting plans for the court's consideration. Such options are:

      (A) Residency. The court may order a residential arrangement in which the child resides
with one or both parents on a basis consistent with the best interests of the child.

      (B) Divided residency. In an exceptional case, the court may order a residential arrange-
ment in which one or more children reside with each parent and have parenting time with
the other.'';

      Also on page 37, in line 3, by striking ``(D)'' and inserting ``(C)''; also in line 3, by striking
``custody'' and inserting ``residency''; in line 4, by striking ``: (i) The'' and inserting ``the''; in
line 6, by striking ``; (ii)'' and inserting ``or that''; also in line 6, by striking ``custody''; by
striking all in lines 7 and 8; in line 9, by striking all before the comma and inserting ``resi-
dency''; in line 10, by striking ``custody'' and inserting ``residency''; also in line 10, by striking
``such relative'' and inserting ``a grandparent, aunt, uncle or adult sibling, or''; in line 11, by
striking ``relative, another''; in lines 12, 14, 16, 18, 22 and 25 by striking ``custody'' and
inserting ``residency''; in line 26, by striking all before the comma; by striking all in lines 38
through 43;

      On page 38, by striking all in line 1;

      On page 39, in line 28, after the period, by inserting ``A separation agreement may include
provisions relating to a parenting plan.''; in line 30, by striking ``for the custody'' and inserting
``relating to the legal custody, residency, visitation parenting time''; in line 33, before ``cus-
tody'' by inserting ``legal''; in line 34, before ``support'' by inserting ``, residency, visitation,
parenting time,'';

      On page 40, in line 12, after the stricken material, by inserting ``visitation or''; in line 14,
after the stricken material, by inserting ``legal custody, residency, visitation rights or''; also
in line 14, by striking ``or custody''; in line 23, after ``determining'' by inserting ``legal''; also
in line 23, after ``custody'' by inserting ``, residency, visitation rights''; after line 26, by in-
serting the following:

      ``Sec.  18. K.S.A. 60-1615 is hereby amended to read as follows: 60-1615. (a) Investi-
gation and report. In contested any proceeding in which legal custody proceedings, resi-
dency, visitation rights or parenting time are contested, the court may order an investigation
and report concerning custodial arrangements for the child the appropriate legal custody,
residency, visitation rights and parenting time to be granted to the parties. The investigation
and report may be made by court services officers or any consenting person or agency
employed by the court for that purpose. The court may use the department of social and
rehabilitation services to make the investigation and report if no other source is available
for that purpose. The costs for making the investigation and report may be assessed as court
costs in the case as provided in article 20 of chapter 60 of the Kansas Statutes Annotated,
and amendments thereto.

      (b) Consultation. In preparing the report concerning a child, the investigator may con-
sult any person who may have information about the child and the potential legal custodial
arrangements. Upon order of the court, the investigator may refer the child to professional
personnel other professionals for diagnosis. The investigator may consult with and obtain
information from medical, psychiatric or other expert persons who have served the child in
the past. If the requirements of subsection (c) are fulfilled, the investigator's report may be
received in evidence at the hearing.

      (c) Use of report and investigator's testimony. The court shall make the investigator's
report available prior to the hearing to counsel or to any party not represented by counsel.
Upon motion of either party, the report may be made available to a party represented by
counsel, unless the court finds that such distribution would be harmful to either party, the
child or other witnesses. Any party to the proceeding may call the investigator and any person
whom the investigator has consulted for cross-examination. In consideration of the mental
health or best interests of the child, the court may approve a stipulation that the interview
records not be divulged to the parties.'';

      And by renumbering sections accordingly;

      Also on page 40, in line 27, by striking ``1998'' and inserting ``1999''; in line 28, by striking
all after ``parent''; in line 29, by striking ``of the child''; in line 30, after the stricken material,
by inserting ``the exercise of''; also in line 30, after ``would'' by inserting ``seriously''; in line
31, by striking ``seriously''; in line 37, after the stricken material, by inserting ``visitation
rights or''; in line 38, by striking ``to a parent''; in line 39, after ``with'' by inserting ``the
uniform child custody jurisdiction and enforcement act, or''; in line 41, after the stricken
material, by inserting ``visitation rights or''; also in line 41, by striking ``to a parent''; in line
43, by striking ``child'' and inserting ``legal''; also in line 43, after ``custody'' by inserting ``,
residency, visitation or parenting time'';

      On page 41, by striking all in lines 1 through 3; in line 4, by striking ``(g)'' and inserting
``(f)''; in lines 4, 5, 6 and 7, by striking ``parenting time'' and inserting ``visitation''; in line 9,
by striking ``A parent'' and inserting ``Any party''; in line 10, after the stricken material, by
inserting ``visitation rights or''; also in line 10, by striking ``rights''; in line 11, by striking
``parenting time'' the first time the phrase appears and inserting ``visitation''; in lines 12 and
14 by striking ``parenting time'' and inserting ``visitation''; in line 17, by striking all after the
second period; in line 18, by striking all before ``any'' and inserting ``At''; also in line 18, by
striking ``to''; in line 19, by striking ``that the'' and inserting ``the court may order that any
party or''; in line 24, by striking ``with regard to'' and inserting ``regarding''; also in line 24,
after ``of'' by inserting ``legal''; also in line 24, by striking ``and''; also in line 24, after the
stricken material, by inserting ``, residency, visitation or''; in line 26, by striking all after
``available''; in line 27, by striking all before ``professional'' and inserting ``as provided by
K.S.A. 60-1615, and amendments thereto. Any''; in line 28, after ``section'' by inserting ``may
be examined as a witness''; in line 36, by striking ``1998'' and inserting ``1999''; by striking
all in line 38 and inserting ``entitled to legal''; in line 39, by striking ``of'' and inserting ``or
residency of or parenting time with''; in line 40, by striking ``21'' and inserting ``30''; in line
41, by striking ``to'' the second time it appears; also in line 41, by striking ``another state'';
in line 42, by striking all before the semicolon;

      On page 42, in line 9, by striking ``from this state''; in line 11, after ``of'' the third time it
appears, by inserting ``legal custody, residency,''; in line 12, by striking ``, custody''; also in
line 12, after the period by inserting ``In determining any motion seeking a modification of
a prior order based on change of residence or removal as described in (a), the court shall
consider all factors the court deems appropriate including, but not limited to: (1) The effect
of the move on the best interests of the child; (2) the effect of the move on any party having
rights granted pursuant to K.S.A. 60-1610, and amendments thereto; and (3) the increased
cost the move will impose on any party seeking to exercise rights granted under K.S.A. 60-
1610, and amendments thereto.''; also in line 12, by striking ``In considering a motion al-'';
by striking all in lines 13 through 23;

      Also on page 42, in line 24, before ``custody'' by inserting ``legal''; also in line 24, before
``of'' by inserting ``or residency''; in line 30, by striking ``1998'' and inserting ``1999''; in line
31, by striking ``post divorce'' and inserting ``post-decree''; in line 32, by striking ``child'' the
first time it appears and inserting ``legal''; also in line 32, after ``custody'' by inserting ``,
residency, visitation rights or parenting time''; also in line 32, after the comma, by inserting
``or for''; also in line 32, by striking ``or a change in''; in line 33, by striking ``parenting time'';
in line 42, by striking ``1998'' and inserting ``1999'';

      On page 43, in line 15, after ``existing'' by inserting ``order granting legal''; also in line 15,
after ``residency'' by inserting ``, visitation''; also in line 15, by striking ``order''; in line 21,
by striking ``1998''; and inserting ``1999''; in line 31, by striking ``1998'' and inserting ``1999'';
in line 39, by striking ``1998'' and inserting ``1999'';

      On page 44, in lines 21, 23 and 27 after ``seq.'' by inserting ``, or K.S.A. 38-1101 et seq.,'';

      On page 45, by striking all in lines 20 through 43;

      By striking all in pages 46 and 47;

      On page 48, by striking all in lines 1 and 2, and inserting the following:

      ``New Sec.  25. (a) ``Temporary parenting plan'' means an agreement or order issued
defining the legal custody, residency and parenting time to be exercised by parents with
regard to a child between the time of filing of a matter in which a parenting plan may be
entered, and any other provisions regarding the child's care which may be in the best interest
of the child, until a final order is issued.

      (b) ``Permanent parenting plan'' means an agreement between parents which is incor-
porated into an order at a final hearing or an order or decree issued at a final hearing without
agreement that establishes legal custody, residency, parenting time and other matters re-
garding a child custody arrangement in a matter in which a parenting plan may be entered.

      (c) ``Legal custody'' means the allocation of parenting responsibilities between parents,
or any person acting as a parent, including decision making rights and responsibilities per-
taining to matters of child health, education and welfare.

      New Sec.  26. (a) The court may enter a temporary parenting plan in any case in which
temporary orders relating to child custody is authorized.

      (b) If the court deems it appropriate, a temporary parenting plan approved by the court
may include one or more of the following provisions regarding children involved in the
matter before the court:

      (1) Designation of the temporary legal custody of the child;

      (2) designation of a temporary residence for the child;

      (3) allocation of parental rights and responsibilities regarding matters pertaining to the
child's health, education and welfare;

      (4) a schedule for the child's time with each parent, when appropriate.

      (c) A parent seeking a temporary order in which matters of child custody, residency, or
parenting time are included shall file a proposed temporary parenting plan contemporaneous
with any request for issuance of such temporary orders, which plan shall be served with any
such temporary orders.

      (d) If the parent who has not filed a proposed temporary parenting plan disputes the
allocation of parenting responsibilities, residency, parenting time or other matters included
in the proposed temporary parenting plan, that parent shall file and serve a responsive
proposed temporary parenting plan.

      (e) Either parent may move to have a proposed temporary parenting plan entered as
part of a temporary order. The parents may enter an agreed temporary parenting plan at
any time as part of a temporary order.

      (f) A parent may move for amendment of a temporary parenting plan, and the court
may order amendment to the temporary parenting plan, if the amendment is in the best
interest of the child.

      (g) If a proceeding for divorce, separate maintenance, annulment or determination of
parentage is dismissed, any temporary parenting plan is vacated.

      New Sec.  27. (a) The objectives of the permanent parenting plan are to:

      (1) Establish a proper allocation of parental rights and responsibilities;

      (2) establish an appropriate working relationship between the parents such that matters
regarding the health, education and welfare of their child is best determined;

      (3) provide for the child's physical care;

      (4) set forth an appropriate schedule of parenting time;

      (5) maintain the child's emotional stability;

      (6) provide for the child's changing needs as the child grows and matures in a way that
minimizes the need for future modifications to the permanent parenting plan;

      (7) minimize the child's exposure to harmful parental conflict;

      (8) encourage the parents, where appropriate, to meet their responsibilities to their
minor children through agreements in the permanent parenting plan, rather than by relying
on judicial intervention; and

      (9) otherwise protect the best interests of the child.

      (b) A permanent parenting plan may consist of a general outline of how parental re-
sponsibilities and parenting time will be shared and may allow the parents to develop a more
detailed agreement on an informal basis; however, a permanent parenting plan must set
forth the following minimum provisions:

      (1) Designation of the legal custodial relationship of the child;

      (2) a schedule for the child's time with each parent, when appropriate; and

      (3) a provision for a procedure by which disputes between the parents may be resolved
without need for court intervention.

      (c) A detailed permanent parenting plan shall include those provisions required by sub-
section (b), and may include, but need not be limited to, provisions relating to:

      (1) Residential schedule;

      (2) holiday, birthday and vacation planning;

      (3) weekends, including holidays and school inservice days preceding or following
weekends;

      (4) allocation of parental rights and responsibilities regarding matters pertaining to the
child's health, education and welfare;

      (5) sharing of and access to information regarding the child;

      (6) relocation of parents;

      (7) telephone access;

      (8) transportation; and

      (9) methods for resolving disputes.

      (d) The court shall develop a permanent parenting plan, which may include such de-
tailed provisions as the court deems appropriate, when:

      (1) So requested by either parent; or

      (2) the parent or parents are unable to develop a parenting plan.

      New Sec.  28. (a) The court shall inform the parents, or require them to be informed,
about:

      (1) How to prepare a parenting plan;

      (2) the impact of family dissolution on children and how the needs of children facing
family dissolution can best be addressed;

      (3) the impact of domestic abuse on children, and resources for addressing domestic
abuse; and

      (4) mediation or other nonjudicial procedures designed to help them achieve an
agreement.

      (b) The court may require the parents to attend parent education classes.

      (c) If parents are unable to resolve issues and agree to a parenting plan, the court may
require mediation, unless mediation is determined inappropriate in the particular case.

      (d) The clerk of the district court shall supply forms and information prescribed by the
supreme court which may be used for submission of temporary and permanent parenting
plans.

      New Sec.  29. (a) An action for interspousal tort shall not be consolidated with an action
under K.S.A. 60-1601, et seq., and amendments thereto, unless the parties agree to consol-
idation and consolidation is approved by the court.

      (b) A decree of divorce or separate maintenance granted under subsections (a)(1) or
(3) of K.S.A. 60-1601, and amendments thereto, shall not preclude an action for interspousal
tort.

      (c) A decree of divorce or separate maintenance granted under subsection (a)(2) of
K.S.A. 60-1601, and amendments thereto, shall preclude an action for interspousal tort
based upon the same factual allegations. An action for interspousal tort which has been
finally determined shall preclude an action under subsection (a)(2) of K.S.A. 60-1601, and
amendments thereto, based upon the same factual allegations.

      New Sec.  30. (a) A party filing a motion to modify a final order pertaining to child
custody or residential placement pursuant to K.S.A. 38-1101 et seq. or K.S.A. 60-1601 et
seq., and amendments thereto, shall include with specificity in the verified motion, or in an
accompanying affidavit, all known factual allegations which constitute the basis for the
change of custody or residential placement. If the court finds that the allegations set forth
in the motion or the accompanying affidavit fail to establish a prima facie case, the court
shall deny the motion. If the court finds that the motion establishes a prima facie case, the
matter may be tried on factual issues.

      (b) In the event the court is asked to issue an ex parte order modifying a final child
custody or residential placement order based on alleged emergency circumstances, the court
shall:

      (1) Attempt to have the nonmoving party's counsel, if any, present before taking up the
matter.

      (2) Set the matter for review hearing at the earliest possible court setting after issuance
of the ex parte order, but in no case later than 15 days after issuance.

      (3) Require personal service of the order and notice of review hearing on the nonmoving
party.

      No ex parte order modifying a final custody or residential placement order shall be en-
tered without sworn testimony to support a showing of the alleged emergency.

      New Sec.  31. (UCCJEA 101). The provisions of sections 31 through 72 may be cited
as the uniform child-custody jurisdiction and enforcement act.

      New Sec.  32. (UCCJEA 102). As used in sections 31 through 72:

      (1) ``Abandoned'' means left without provision for reasonable and necessary care or
supervision.

      (2) ``Act'' means the uniform child-custody jurisdiction and enforcement act.

      (3) ``Child'' means an individual who has not attained 18 years of age.

      (4) ``Child-custody determination'' means a judgment, decree or other order of a court
providing for the legal custody, physical custody or visitation with respect to a child. The
term includes a permanent, temporary, initial and modification order. The term does not
include an order relating to child support or other monetary obligation of an individual.

      (5) ``Child-custody proceeding'' means a proceeding in which legal custody, physical
custody, or visitation with respect to a child is an issue. The term includes a proceeding for
divorce, separation, neglect, abuse, dependency, guardianship, paternity, termination of pa-
rental rights, and protection from domestic violence, in which the issue may appear. The
term does not include a proceeding involving juvenile delinquency, contractual emancipa-
tion, or enforcement under sections 53 through 69 and amendments thereto.

      (6) ``Commencement'' means the filing of the first pleading in a proceeding.

      (7) ``Court'' means an entity authorized under the law of a state to establish, enforce,
or modify a child-custody determination.

      (8) ``Home state'' means the state in which a child lived with a parent or a person acting
as a parent for at least six consecutive months immediately before the commencement of a
child-custody proceeding. In the case of a child less than six months of age, the term means
the state in which the child lived from birth with any of the persons mentioned. A period
of temporary absence of any of the mentioned persons is part of the period.

      (9) ``Initial determination'' means the first child-custody determination concerning a
particular child.

      (10) ``Issuing court'' means the court that makes a child-custody determination for which
enforcement is sought under this act.

      (11) ``Issuing state'' means the state in which a child-custody determination is made.

      (12) ``Modification'' means a child-custody determination that changes, replaces, su-
persedes, or is otherwise made after a previous determination concerning the same child,
whether or not it is made by the court that made the previous determination.

      (13) ``Person'' means an individual, corporation, business trust, estate, trust, partnership,
limited liability company, association, joint venture, government; governmental subdivision,
agency, or instrumentality; public corporation; or any other legal or commercial entity.

      (14) ``Person acting as a parent'' means a person, other than a parent, who:

      (A) Has physical custody of the child or has had physical custody for period of six
consecutive months, including any temporary absence, within one year immediately before
the commencement of a child-custody proceeding; and

      (B) has been awarded legal custody by a court or claims a right to legal custody under
the law of this state.

      (15) ``Physical custody'' means the physical care and supervision of a child.

      (16) ``State'' means a state of the United States, the District of Columbia, Puerto Rico,
the United States Virgin Islands, or any territory or insular possession subject to the juris-
diction of the United States.

      (17) ``Tribe'' means an Indian tribe or band, or Alaskan Native village, which is recog-
nized by federal law or formally acknowledged by a state.

      (18) ``Warrant'' means an order issued by a court authorizing law enforcement officers
to take physical custody of a child.

      New Sec.  33. (UCCJEA 103). This act does not govern a proceeding pertaining to the
authorization of emergency medical care for a child.

      New Sec.  34. (UCCJEA 104). (a) A child-custody proceeding that pertains to an Indian
child as defined in the Indian child welfare act, 25 U.S.C. § 1901 et seq., is not subject
to this act to the extent that it is governed by the Indian child welfare act.

      (b) A court of this state shall treat a tribe as if it were a state of the United States for
the purpose of applying sections 31 through 52 and amendments thereto.

      (c) A child-custody determination made by a tribe under factual circumstances in sub-
stantial conformity with the jurisdictional standards of this act must be recognized and
enforced under sections 53 through 69 and amendments thereto.

      New Sec.  35. (UCCJEA 105). (a) A court of this state shall treat a foreign country as
if it were a state of the United States for the purpose of applying sections 31 through 52
and amendments thereto.

      (b) Except as otherwise provided in subsection (c), a child-custody determination made
in a foreign country under factual circumstances in substantial conformity with the jurisdic-
tional standards of this act must be recognized and enforced under sections 53 through 69
and amendments thereto.

      (c) A court of this state need not apply this act if the child custody law of a foreign
country violates fundamental principles of human rights.

      New Sec.  36. (UCCJEA 106). A child-custody determination made by a court of this
state that had jurisdiction under this act binds all persons who have been served in accord-
ance with the laws of this state or notified in accordance with section 38 and amendments
thereto, or who have submitted to the jurisdiction of the court, and who have been given
an opportunity to be heard. As to those persons, the determination is conclusive as to all
decided issues of law and fact except to the extent the determination is modified.

      New Sec.  37. (UCCJEA 107). If a question of existence or exercise of jurisdiction under
this act is raised in a child-custody proceeding, the question, upon request of a party, must
be given priority on the calendar and handled expeditiously.

      New Sec.  38. (UCCJEA 108). (a) Notice required for the exercise of jurisdiction when
a person is outside this state may be given in a manner prescribed by the law of this state
for service of process or by the law of the state in which the service is made. Notice must
be given in a manner reasonably calculated to give actual notice but may be by publication
if other means are not effective.

      (b) Proof of service may be made in the manner prescribed by the law of this state or
by the law of the state in which the service is made.

      (c) Notice is not required for the exercise of jurisdiction with respect to a person who
submits to the jurisdiction of the court.

      New Sec.  39. (UCCJEA 109). (a) A party to a child-custody proceeding, including a
modification proceeding, or a petitioner or respondent in a proceeding to enforce or register
a child-custody determination, is not subject to personal jurisdiction in this state for another
proceeding or purpose solely by reason of having participated, or of having been physically
present for the purpose of participating, in the proceeding.

      (b) A person who is subject to personal jurisdiction in this state on a basis other than
physical presence is not immune from service of process in this state. A party present in
this state who is subject to the jurisdiction of another state is not immune from service of
process allowable under the laws of that state.

      (c) The immunity granted by subsection (a) does not extend to civil litigation based on
acts unrelated to the participation in a proceeding under this act committed by an individual
while present in this state.

      New Sec.  40. (UCCJEA 110). (a) A court of this state may communicate with a court
in another state concerning a proceeding arising under this act.

      (b) The court may allow the parties to participate in the communication. If the parties
are not able to participate in the communication, they must be given the opportunity to
present facts and legal arguments before a decision on jurisdiction is made.

      (c) Communication between courts on schedules, calendars, court records, and similar
matters may occur without informing the parties. A record need not be made of the
communication.

      (d) Except as otherwise provided in subsection (c), a record must be made of a com-
munication under this section. The parties must be informed promptly of the communica-
tion and granted access to the record.

      (e) For the purposes of this section, ``record'' means information that is inscribed on a
tangible medium or that is stored in an electronic or other medium and is retrievable in
perceivable form.

      New Sec.  41. (UCCJEA 111). (a) In addition to other procedures available to a party,
a party to a child-custody proceeding may offer testimony of witnesses who are located in
another state, including testimony of the parties and the child, by deposition or other means
allowable in this state for testimony taken in another state. The court on its own motion
may order that the testimony of a person be taken in another state and may prescribe the
manner in which and the terms upon which the testimony is taken.

      (b) A court of this state may permit an individual residing in another state to be deposed
or to testify by telephone, audiovisual means, or other electronic means before a designated
court or at another location in that state. A court of this state shall cooperate with courts of
other states in designating an appropriate location for the deposition or testimony.

      (c) Documentary evidence transmitted from another state to a court of this state by
technological means that do not produce an original writing may not be excluded from
evidence on an objection based on the means of transmission.

      New Sec.  42. (UCCJEA 112). (a) A court of this state may request the appropriate
court of another state to:

      (1) Hold an evidentiary hearing;

      (2) order a person to produce or give evidence pursuant to procedures of that state;

      (3) order that an evaluation be made with respect to the custody of a child involved in
a pending proceeding;

      (4) forward to the court of this state a certified copy of the transcript of the record of
the hearing, the evidence otherwise presented, and any evaluation prepared in compliance
with the request; and

      (5) order a party to a child-custody proceeding or any person having physical custody
of the child to appear in the proceeding with or without the child.

      (b) Upon request of a court of another state, a court of this state may hold a hearing or
enter an order described in subsection (a).

      (c) Travel and other necessary and reasonable expenses incurred under subsections (a)
and (b) may be assessed against the parties according to the law of this state.

      (d) A court of this state shall preserve the pleadings, orders, decrees, records of hearings,
evaluations, and other pertinent records with respect to a child-custody proceeding until
the child attains 18 years of age. Upon appropriate request by a court or law enforcement
official of another state, the court shall forward a certified copy of those records.

      New Sec.  43. (UCCJEA 201). (a) Except as otherwise provided in section 46 and
amendments thereto, a court of this state has jurisdiction to make an initial child-custody
determination only if:

      (1) This state is the home state of the child on the date of the commencement of the
proceeding, or was the home state of the child within six months before the commencement
of the proceeding and the child is absent from this state but a parent or person acting as a
parent continues to live in this state;

      (2) a court of another state does not have jurisdiction under paragraph (1), or a court
of the home state of the child has declined to exercise jurisdiction on the ground that this
state is the more appropriate forum under section 49 or 50 and amendments thereto, and:

      (A) The child and the child's parents, or the child and at least one parent or a person
acting as a parent, have a significant connection with this state other than mere physical
presence; and

      (B) substantial evidence is available in this state concerning the child's care, protection,
training, and personal relationships;

      (3) all courts having jurisdiction under paragraph (1) or (2) have declined to exercise
jurisdiction on the ground that a court of this state is the more appropriate forum to deter-
mine the custody of the child under section 49 or 50 and amendments thereto; or

      (4) no court of any other state would have jurisdiction under the criteria specified in
paragraph (1), (2), or (3).

      (b) Subsection (a) is the exclusive jurisdictional basis for making a child-custody deter-
mination by a court of this state.

      (c) Physical presence of, or personal jurisdiction over, a party or a child is not necessary
or sufficient to make a child-custody determination.

      New Sec.  44. (UCCJEA 202). (a) Except as otherwise provided in section 46 and
amendments thereto, a court of this state which has made a child-custody determination
consistent with section 43 or 45 and amendments thereto, has exclusive, continuing juris-
diction over the determination until:

      (1) A court of this state determines that neither the child, the child's parents, and any
person acting as a parent do not have a significant connection with this state and that
substantial evidence is no longer available in this state concerning the child's care, protec-
tion, training, and personal relationships; or

      (2) a court of this state or a court of another state determines that the child, the child's
parents, and any person acting as a parent do not presently reside in this state.

      (b) A court of this state which has made a child-custody determination and does not
have exclusive, continuing jurisdiction under this section may modify that determination
only if it has jurisdiction to make an initial determination under section 43 and amendments
thereto.

      New Sec.  45. (UCCJEA 203). Except as otherwise provided in section 46 and amend-
ments thereto, a court of this state may not modify a child-custody determination made by
a court of another state unless a court of this state has jurisdiction to make an initial deter-
mination under subsection (a)(1) or (2) of section 43 and amendments thereto, and:

      (1) The court of the other state determines it no longer has exclusive, continuing juris-
diction under section 44 and amendments thereto, or that a court of this state would be a
more convenient forum under section 49 and amendments thereto; or

      (2) a court of this state or a court of the other state determines that the child, the child's
parents, and any person acting as a parent do not presently reside in the other state.

      New Sec.  46. (UCCJEA 204). (a) A court of this state has temporary emergency juris-
diction if the child is present in this state and the child has been abandoned or it is necessary
in an emergency to protect the child because the child, or a sibling or parent of the child,
is subjected to or threatened with mistreatment or abuse.

      (b) If there is no previous child-custody determination that is entitled to be enforced
under this act and a child-custody proceeding has not been commenced in a court of a state
having jurisdiction under sections 43 through 45 and amendments thereto, a child-custody
determination made under this section remains in effect until an order is obtained from a
court of a state having jurisdiction under sections 43 through 45 and amendments thereto.
If a child-custody proceeding has not been or is not commenced in a court of a state having
jurisdiction under sections 43 through 45 and amendments thereto, a child-custody deter-
mination made under this section becomes a final determination, if it so provides and this
state becomes the home state of the child.

      (c) If there is a previous child-custody determination that is entitled to be enforced
under this act, or a child-custody proceeding has been commenced in a court of a state
having jurisdiction under sections 43 through 45 and amendments thereto, any order issued
by a court of this state under this section must specify in the order a period that the court
considers adequate to allow the person seeking an order to obtain an order from the state
having jurisdiction under sections 43 through 45 and amendments thereto. The order issued
in this state remains in effect until an order is obtained from the other state within the
period specified or the period expires.

      (d) A court of this state which has been asked to make a child-custody determination
under this section, upon being informed that a child-custody proceeding has been com-
menced in, or a child-custody determination has been made by, a court of a state having
jurisdiction under sections 43 through 45 and amendments thereto, shall immediately com-
municate with the other court. A court of this state which is exercising jurisdiction pursuant
to sections 43 through 45 and amendments thereto, upon being informed that a child-
custody proceeding has been commenced in, or a child-custody determination has been
made by, a court of another state under a statute similar to this section shall immediately
communicate with the court of that state to resolve the emergency, protect the safety of the
parties and the child, and determine a period for the duration of the temporary order.

      New Sec.  47. (UCCJEA 205). (a) Before a child-custody determination is made under
this act, notice and an opportunity to be heard in accordance with the standards of section
38 and amendments thereto, must be given to all persons entitled to notice under the law
of this state as in child-custody proceedings between residents of this state, any parent whose
parental rights have not been previously terminated, and any person having physical custody
of the child.

      (b) This act does not govern the enforceability of a child-custody determination made
without notice or an opportunity to be heard.

      (c) The obligation to join a party and the right to intervene as a party in a child-custody
proceeding under this act are governed by the law of this state as in child-custody proceed-
ings between residents of this state.

      New Sec.  48. (UCCJEA 206). (a) Except as otherwise provided in section 46 and
amendments thereto, a court of this state may not exercise its jurisdiction under sections
43 through 52 and amendments thereto if, at the time of the commencement of the pro-
ceeding, a proceeding concerning the custody of the child has been commenced in a court
of another state having jurisdiction substantially in conformity with this act, unless the pro-
ceeding has been terminated or is stayed by the court of the other state because a court of
this state is a more convenient forum under section 49 and amendments thereto.

      (b) Except as otherwise provided in section 46 and amendments thereto, a court of this
state, before hearing a child-custody proceeding, shall examine the court documents and
other information supplied by the parties pursuant to section 51 and amendments thereto.
If the court determines that a child-custody proceeding has been commenced in a court in
another state having jurisdiction substantially in accordance with this act, the court of this
state shall stay its proceeding and communicate with the court of the other state. If the
court of the state having jurisdiction substantially in accordance with this act does not de-
termine that the court of this state is a more appropriate forum, the court of this state shall
dismiss the proceeding.

      (c) In a proceeding to modify a child-custody determination, a court of this state shall
determine whether a proceeding to enforce the determination has been commenced in
another state. If a proceeding to enforce a child-custody determination has been commenced
in another state, the court may:

      (1) Stay the proceeding for modification pending the entry of an order of a court of the
other state enforcing, staying, denying, or dismissing the proceeding for enforcement;

      (2) enjoin the parties from continuing with the proceeding for enforcement; or

      (3) proceed with the modification under conditions it considers appropriate.

      New Sec.  49. (UCCJEA 207). (a) A court of this state which has jurisdiction under this
act to make a child-custody determination may decline to exercise its jurisdiction at any
time if it determines that it is an inconvenient forum under the circumstances and that a
court of another state is a more appropriate forum. The issue of inconvenient forum may
be raised upon motion of a party, the court's own motion, or request of another court.

      (b) Before determining whether it is an inconvenient forum, a court of this state shall
consider whether it is appropriate for a court of another state to exercise jurisdiction. For
this purpose, the court shall allow the parties to submit information and shall consider all
relevant factors, including:

      (1) Whether domestic violence has occurred and is likely to continue in the future and
which state could best protect the parties and the child;

      (2) the length of time the child has resided outside this state;

      (3) the distance between the court in this state and the court in the state that would
assume jurisdiction;

      (4) the relative financial circumstances of the parties;

      (5) any agreement of the parties as to which state should assume jurisdiction;

      (6) the nature and location of the evidence required to resolve the pending litigation,
including testimony of the child;

      (7) the ability of the court of each state to decide the issue expeditiously and the pro-
cedures necessary to present the evidence; and

      (8) the familiarity of the court of each state with the facts and issues in the pending
litigation.

      (c) If a court of this state determines that it is an inconvenient forum and that a court
of another state is a more appropriate forum, it shall stay the proceedings upon condition
that a child-custody proceeding be promptly commenced in another designated state and
may impose any other condition the court considers just and proper.

      (d) A court of this state may decline to exercise its jurisdiction under this act if a child-
custody determination is incidental to an action for divorce or another proceeding while
still retaining jurisdiction over the divorce or other proceeding.

      New Sec.  50. (UCCJEA 208). (a) Except as otherwise provided in section 46 and
amendments thereto or by other law of this state, if a court of this state has jurisdiction
under this act because a person seeking to invoke its jurisdiction has engaged in unjustifiable
conduct, the court shall decline to exercise its jurisdiction unless:

      (1) The parents and all persons acting as parents have acquiesced in the exercise of
jurisdiction;

      (2) a court of the state otherwise having jurisdiction under sections 43 through 45 and
amendments thereto, determines that this state is a more appropriate forum under section
49 and amendments thereto; or

      (3) no court of any other state would have jurisdiction under the criteria specified in
sections 43 through 45 and amendments thereto.

      (b) If a court of this state declines to exercise its jurisdiction pursuant to subsection (a),
it may fashion an appropriate remedy to ensure the safety of the child and prevent a rep-
etition of the unjustifiable conduct, including staying the proceeding until a child-custody
proceeding is commenced in a court having jurisdiction under sections 43 through 45 and
amendments thereto.

      (c) If a court dismisses a petition or stays a proceeding because it declines to exercise
its jurisdiction pursuant to subsection (a), it shall assess against the party seeking to invoke
its jurisdiction necessary and reasonable expenses including costs, communication expenses,
attorney fees, investigative fees, expenses for witnesses, travel expenses, and child care dur-
ing the course of the proceedings, unless the party from whom fees are sought establishes
that the assessment would be clearly inappropriate. The court may not assess fees, costs, or
expenses against this state unless authorized by law other than this act.

      New Sec.  51. (UCCJEA 209). (a) Subject to subsection (e), in a child-custody pro-
ceeding, each party, in its first pleading or in an attached affidavit, shall give information, if
reasonably ascertainable, under oath as to the child's present address or whereabouts, the
places where the child has lived during the last five years, and the names and present
addresses of the persons with whom the child has lived during that period. The pleading or
affidavit must state whether the party:

      (1) Has participated, as a party or witness or in any other capacity, in any other pro-
ceeding concerning the custody of or visitation with the child and, if so, identify the court,
the case number, and the date of the child-custody determination, if any;

      (2) knows of any proceeding that could affect the current proceeding, including pro-
ceedings for enforcement and proceedings relating to domestic violence, protective orders,
termination of parental rights, and adoptions and, if so, identify the court, the case number,
and the nature of the proceeding; and

      (3) knows the names and addresses of any person not a party to the proceeding who
has physical custody of the child or claims rights of legal custody or physical custody of, or
visitation with, the child and, if so, the names and addresses of those persons.

      (b) If the information required by subsection (a) is not furnished, the court, upon motion
of a party or its own motion, may stay the proceeding until the information is furnished.

      (c) If the declaration as to any of the items described in subsection (a)(1) through (3)
is in the affirmative, the declarant shall give additional information under oath as required
by the court. The court may examine the parties under oath as to details of the information
furnished and other matters pertinent to the court's jurisdiction and the disposition of the
case.

      (d) Each party has a continuing duty to inform the court of any proceeding in this or
any other state that could affect the current proceeding.

      (e) If a party alleges in an affidavit or a pleading under oath that the health, safety, or
liberty of a party or child would be jeopardized by disclosure of identifying information, the
information must be sealed and may not be disclosed to the other party or the public unless
the court orders the disclosure to be made after a hearing in which the court takes into
consideration the health, safety, or liberty of the party or child and determines that the
disclosure is in the interest of justice.

      New Sec.  52. (UCCJEA 210). (a) In a child-custody proceeding in this state, the court
may order a party to the proceeding who is in this state to appear before the court in person
with or without the child. The court may order any person who is in this state and who has
physical custody or control of the child to appear in person with the child.

      (b) If a party to a child-custody proceeding whose presence is desired by the court is
outside this state, the court may order that a notice given pursuant to section 38 and amend-
ments thereto include a statement directing the party to appear in person with or without
the child and informing the party that failure to appear may result in a decision adverse to
the party.

      (c) The court may enter any orders necessary to ensure the safety of the child and of
any person ordered to appear under this section.

      (d) If a party to a child-custody proceeding who is outside this state is directed to appear
under subsection (b) or desires to appear personally before the court with or without the
child, the court may require another party to pay reasonable and necessary travel and other
expenses of the party so appearing and of the child.

      New Sec.  53. (UCCJEA 301). In sections 53 through 69 and amendments thereto:

      (1) ``Petitioner'' means a person who seeks enforcement of an order for return of a child
under the Hague Convention on the civil aspects of international child abduction or en-
forcement of a child-custody determination.

      (2) ``Respondent'' means a person against whom a proceeding has been commenced for
enforcement of an order for return of a child under the Hague Convention on the civil
aspects of international child abduction or enforcement of a child-custody determination.

      New Sec.  54. (UCCJEA 302). Under sections 53 through 69 and amendments thereto,
a court of this state may enforce an order for the return of the child made under the Hague
Convention on the civil aspects of international child abduction as if it were a child-custody
determination.

      New Sec.  55. (UCCJEA 303). (a) A court of this state shall recognize and enforce a
child-custody determination of a court of another state if the latter court exercised jurisdic-
tion in substantial conformity with this act or the determination was made under factual
circumstances meeting the jurisdictional standards of this act and the determination has not
been modified in accordance with this act.

      (b) A court of this state may utilize any remedy available under other law of this state
to enforce a child-custody determination made by a court of another state. The remedies
provided in sections 53 through 69 and amendments thereto, are cumulative and do not
affect the availability of other remedies to enforce a child-custody determination.

      New Sec.  56. (UCCJEA 304). (a) A court of this state which does not have jurisdiction
to modify a child-custody determination, may issue a temporary order enforcing:

      (1) A visitation schedule made by a court of another state; or

      (2) the visitation provisions of a child-custody determination of another state that does
not provide for a specific visitation schedule.

      (b) If a court of this state makes an order under subsection (a)(2), it shall specify in the
order a period that it considers adequate to allow the petitioner to obtain an order from a
court having jurisdiction under the criteria specified in sections 43 through 52 and amend-
ments thereto. The order remains in effect until an order is obtained from the other court
or the period expires.

      New Sec.  57. (UCCJEA 305). (a) A child-custody determination issued by a court of
another state may be registered in this state, with or without a simultaneous request for
enforcement, by sending to the district court in this state:

      (1) A letter or other document requesting registration;

      (2) two copies, including one certified copy, of the determination sought to be regis-
tered, and a statement under penalty of perjury that to the best of the knowledge and belief
of the person seeking registration the order has not been modified; and

      (3) except as otherwise provided in section 51 and amendments thereto, the name and
address of the person seeking registration and any parent or person acting as a parent who
has been awarded custody or visitation in the child-custody determination sought to be
registered.

      (b) On receipt of the documents required by subsection (a), the registering court shall:

      (1) Cause the determination to be filed as a foreign judgment, together with one copy
of any accompanying documents and information, regardless of their form; and

      (2) serve notice upon the persons named pursuant to subsection (a)(3) and provide them
with an opportunity to contest the registration in accordance with this section.

      (c) The notice required by subsection (b)(2) must state that:

      (1) A registered determination is enforceable as of the date of the registration in the
same manner as a determination issued by a court of this state;

      (2) a hearing to contest the validity of the registered determination must be requested
within 20 days after service of notice; and

      (3) failure to contest the registration will result in confirmation of the child-custody
determination and preclude further contest of that determination with respect to any matter
that could have been asserted.

      (d) A person seeking to contest the validity of a registered order must request a hearing
within 20 days after service of the notice. At that hearing, the court shall confirm the
registered order unless the person contesting registration establishes that:

      (1) The issuing court did not have jurisdiction under sections 43 through 52 and amend-
ments thereto;

      (2) the child-custody determination sought to be registered has been vacated, stayed,
or modified by a court having jurisdiction to do so under sections 43 through 52 and amend-
ments thereto; or

      (3) the person contesting registration was entitled to notice, but notice was not given in
accordance with the standards of section 38 and amendments thereto, in the proceedings
before the court that issued the order for which registration is sought.

      (e) If a timely request for a hearing to contest the validity of the registration is not made,
the registration is confirmed as a matter of law and the person requesting registration and
all persons served must be notified of the confirmation.

      (f) Confirmation of a registered order, whether by operation of law or after notice and
hearing, precludes further contest of the order with respect to any matter that could have
been asserted at the time of registration.

      (g) There shall be no fee for registering a child-custody determination issued by a court
of another state pursuant to this section. The fee for enforcement or modification of any
child custody determination shall be as prescribed in K.S.A. 1999 Supp. 60-1621, and
amendments thereto.

      New Sec.  58. (UCCJEA 306). (a) A court of this state may grant any relief normally
available under the law of this state to enforce a registered child-custody determination
made by a court of another state.

      (b) A court of this state shall recognize and enforce, but may not modify, except in
accordance with sections 43 through 52 and amendments thereto, a registered child-custody
determination of a court of another state.

      New Sec.  59. (UCCJEA 307). If a proceeding for enforcement under sections 53
through 69 and amendments thereto is commenced in a court of this state and the court
determines that a proceeding to modify the determination is pending in a court of another
state having jurisdiction to modify the determination under sections 43 through 52 and
amendments thereto, the enforcing court shall immediately communicate with the modi-
fying court. The proceeding for enforcement continues unless the enforcing court, after
consultation with the modifying court, stays or dismisses the proceeding.

      New Sec.  60. (UCCJEA 308). (a) A petition under sections 53 through 69 and amend-
ments thereto, must be verified. Certified copies of all orders sought to be enforced and of
any order confirming registration must be attached to the petition. A copy of a certified
copy of an order may be attached instead of the original.

      (b) A petition for enforcement of a child-custody determination must state:

      (1) Whether the court that issued the determination identified the jurisdictional basis
it relied upon in exercising jurisdiction and, if so, what the basis was;

      (2) whether the determination for which enforcement is sought has been vacated,
stayed, or modified by a court whose decision must be enforced under this act and, if so,
identify the court, the case number, and the nature of the proceeding;

      (3) whether any proceeding has been commenced that could affect the current pro-
ceeding, including proceedings relating to domestic violence, protective orders, termination
of parental rights, and adoptions and, if so, identify the court, the case number, and the
nature of the proceeding;

      (4) the present physical address of the child and the respondent, if known;

      (5) whether relief in addition to the immediate physical custody of the child and attorney
fees is sought, including a request for assistance from law enforcement officials and, if so,
the relief sought; and

      (6) if the child-custody determination has been registered and confirmed under section
57 and amendments thereto, the date and place of registration.

      (c) Upon the filing of a petition, the court shall issue an order directing the respondent
to appear in person with or without the child at a hearing and may enter any order necessary
to ensure the safety of the parties and the child. The hearing must be held on the next
judicial day after service of the order unless that date is impossible. In that event, the court
shall hold the hearing on the first judicial day possible. The court may extend the date of
hearing at the request of the petitioner.

      (d) An order issued under subsection (c) must state the time and place of the hearing
and advise the respondent that at the hearing the court will order that the petitioner may
take immediate physical custody of the child and the payment of fees, costs, and expenses
under section 64 and amendments thereto, and may schedule a hearing to determine
whether further relief is appropriate, unless the respondent appears and establishes that:

      (1) The child-custody determination has not been registered and confirmed under sec-
tion 57 and amendments thereto and that:

      (A) The issuing court did not have jurisdiction under sections 43 through 52 and amend-
ments thereto;

      (B) the child-custody determination for which enforcement is sought has been vacated,
stayed, or modified by a court having jurisdiction to do so under sections 43 through 52 and
amendments thereto;

      (C) the respondent was entitled to notice, but notice was not given in accordance with
the standards of section 38 and amendments thereto, in the proceedings before the court
that issued the order for which enforcement is sought; or

      (2) the child-custody determination for which enforcement is sought was registered and
confirmed under section 56 and amendments thereto, but has been vacated, stayed, or
modified by a court of a state having jurisdiction to do so under sections 43 through 52 and
amendments thereto.

      New Sec.  61. (UCCJEA 309). Except as otherwise provided in section 63 and amend-
ments thereto, the petition and order must be served, by any method authorized by the law
of this state, upon respondent and any person who has physical custody of the child.

      New Sec.  62. (UCCJEA 310). (a) Unless the court issues a temporary emergency order
pursuant to section 46 and amendments thereto, upon a finding that a petitioner is entitled
to immediate physical custody of the child, the court shall order that the petitioner may
take immediate physical custody of the child unless the respondent establishes that:

      (1) The child-custody determination has not been registered and confirmed under sec-
tion 57 and amendments thereto, and that:

      (A) The issuing court did not have jurisdiction under sections 43 through 52 and amend-
ments thereto;

      (B) the child-custody determination for which enforcement is sought has been vacated,
stayed, or modified by a court of a state having jurisdiction to do so under sections 43
through 52 and amendments thereto; or

      (C) the respondent was entitled to notice, but notice was not given in accordance with
the standards of section 38 and amendments thereto, in the proceedings before the court
that issued the order for which enforcement is sought; or

      (2) the child-custody determination for which enforcement is sought was registered and
confirmed under section 57 and amendments thereto, but has been vacated, stayed, or
modified by a court of a state having jurisdiction to do so under sections 43 through 52 and
amendments thereto.

      (b) The court shall award the fees, costs, and expenses authorized under section 64 and
amendments thereto and may grant additional relief, including a request for the assistance
of law enforcement officials, and set a further hearing to determine whether additional relief
is appropriate.

      (c) If a party called to testify refuses to answer on the ground that the testimony may
be self-incriminating, the court may draw an adverse inference from the refusal.

      (d) A privilege against disclosure of communications between spouses and a defense of
immunity based on the relationship of husband and wife or parent and child may not be
invoked in a proceeding under sections 53 through 69 and amendments thereto.

      New Sec.  63. (UCCJEA 311). (a) Upon the filing of a petition seeking enforcement of
a child-custody determination, the petitioner may file a verified application for the issuance
of a warrant to take physical custody of the child if the child is immediately likely to suffer
serious physical harm or be removed from this state.

      (b) If the court, upon the testimony of the petitioner or other witness, finds that the
child is imminently likely to suffer serious physical harm or be removed from this state, it
may issue a warrant to take physical custody of the child. The petition must be heard on
the next judicial day after the warrant is executed unless that date is impossible. In that
event, the court shall hold the hearing on the first judicial day possible. The application for
the warrant must include the statements required by subsection (b) of section 60 and amend-
ments thereto.

      (c) A warrant to take physical custody of a child must:

      (1) Recite the facts upon which a conclusion of imminent serious physical harm or
removal from the jurisdiction is based;

      (2) direct law enforcement officers to take physical custody of the child immediately;
and

      (3) provide for the placement of the child pending final relief.

      (d) The respondent must be served with the petition, warrant, and order immediately
after the child is taken into physical custody.

      (e) A warrant to take physical custody of a child is enforceable throughout this state. If
the court finds on the basis of the testimony of the petitioner or other witness that a less
intrusive remedy is not effective, it may authorize law enforcement officers to enter private
property to take physical custody of the child. If required by exigent circumstances of the
case, the court may authorize law enforcement officers to make a forcible entry at any hour.

      (f) The court may impose conditions upon placement of a child to ensure the appearance
of the child and the child's custodian.

      New Sec.  64. (UCCJEA 312). (a) The court shall award the prevailing party, including
a state, necessary and reasonable expenses incurred by or on behalf of the party, including
costs, communication expenses, attorney fees, investigative fees, expenses for witnesses,
travel expenses, and child care during the course of the proceedings, unless the party from
whom fees or expenses are sought establishes that the award would be clearly inappropriate.

      (b) The court may not assess fees, costs, or expenses against a state unless authorized
by law other than this act.

      New Sec.  65. (UCCJEA 313). A court of this state shall accord full faith and credit to
an order issued by another state and consistent with this act which enforces a child-custody
determination by a court of another state unless the order has been vacated, stayed, or
modified by a court having jurisdiction to do so under sections 43 through 52 and amend-
ments thereto.

      New Sec.  66. (UCCJEA 314). An appeal may be taken from a final order in a pro-
ceeding under sections 53 through 69 and amendments thereto, in accordance with expe-
dited appellate procedures in other civil cases. Unless the court enters a temporary emer-
gency order under section 46 and amendments thereto, the enforcing court may not stay
an order enforcing a child-custody determination pending appeal.

      New Sec.  67. (UCCJEA 315). (a) In a case arising under this act or involving the Hague
Convention on the civil aspects of international child abduction, the prosecutor may take
any lawful action, including resort to a proceeding under sections 53 through 69 and amend-
ments thereto or any other available civil proceeding to locate a child, obtain the return of
a child, or enforce a child-custody determination if there is:

      (1) An existing child-custody determination;

      (2) a request to do so from a court in a pending child-custody proceeding;

      (3) a reasonable belief that a criminal statute has been violated; or

      (4) a reasonable belief that the child has been wrongfully removed or retained in vio-
lation of the Hague Convention on the civil aspects of international child abduction.

      (b) A prosecutor acting under this section acts on behalf of the court and may not
represent any party.

      New Sec.  68. (UCCJEA 316). At the request of a prosecutor acting under section 67
and amendments thereto, a law enforcement officer may take any lawful action reasonably
necessary to locate a child or a party and assist a prosecutor with responsibilities under
section 67 and amendments thereto.

      New Sec.  69. (UCCJEA 317). If the respondent is not the prevailing party, the court
may assess against the respondent all direct expenses and costs incurred by the prosecutor
and law enforcement officers under section 67 or 68 and amendments thereto.

      New Sec.  70. (UCCJEA 401). In applying and construing this uniform act, considera-
tion must be given to the need to promote uniformity of the law with respect to its subject
matter among states that enact it.

      New Sec.  71. (UCCJEA 402). If any provision of this act or its application to any person
or circumstance is held invalid, the invalidity does not affect other provisions or applications
of this act which can be given effect without the invalid provision or application, and to this
end the provisions of this act are severable.

      New Sec.  72. (UCCJEA 405). A motion or other request for relief made in a child-
custody proceeding or to enforce a child-custody determination which was commenced
before the effective date of this act is governed by the law in effect at the time the motion
or other request was made.

      Sec.  73. K.S.A. 38-1116 is hereby amended to read as follows: 38-1116. (a) The district
court has jurisdiction of an action brought under this the Kansas parentage act. The action
may be joined with an action for divorce, annulment, separate maintenance, support or
adoption.

      (b) If any determination is sought in any action under the Kansas parentage act for
custody, residency or parenting time, the initial pleading seeking that determination shall
include that information required by section 51, and amendments thereto;

      (b)(c) The action may be brought in the county in which the child, the mother or the
presumed or alleged father resides or is found. If a parent or an alleged or presumed parent
is deceased, an action may be brought in the county in which proceedings for probate of
the estate of the parent or alleged or presumed parent have been or could be commenced.

      Sec.  74. K.S.A. 38-1503 is hereby amended to read as follows: 38-1503. (a) Proceedings
concerning any child who appears to be a child in need of care shall be governed by this
code, except in those instances when the Indian child welfare act of 1978 (25 U.S.C. § §
1901 et seq.) applies.

      (b) Subject to the uniform child custody jurisdiction and enforcement act, K.S.A. 38-
1301 et seq. sections 31 through 72 and amendments thereto, the district court shall have
original jurisdiction to receive and determine proceedings under this code.

      (c) When jurisdiction has been acquired by the court over the person of a child in need
of care it may continue until the child: (1) Has attained the age of 21 years; (2) has been
adopted; or (3) has been discharged by the court. Any child 18 years of age or over may
request, by motion to the court, that the jurisdiction of the court cease. Subsequently, the
court shall enter an order discharging the person from any further jurisdiction of the court.

      (d) When it is no longer appropriate for the court to exercise jurisdiction over a child
the court, upon its own motion or the motion of an interested party, shall enter an order
discharging the child. Except upon request of the child, the court shall not enter an order
discharging a child which reaches 18 years of age before completing the child's high school
education until June 1 of the school year during which the child became 18 years of age as
long as the child is still attending high school.

      (e) Unless the court finds that substantial injustice would result, the provisions of this
code shall govern with respect to acts or omissions occurring prior to the effective date of
this code and with respect to children alleged or adjudicated to have done or to have been
affected by the acts or omissions, to the same extent as if the acts or omissions had occurred
on or after the effective date and the children had been alleged or adjudicated to be children
in need of care.

      Sec.  75. K.S.A. 59-2127 is hereby amended to read as follows: 59-2127. (a) If the basis
for venue in an agency adoption is subsection (b)(3) of K.S.A. 59-2126 and the petitioner
does not reside in Kansas and the child to be adopted did not reside in Kansas prior to
receipt of custody by the agency, the court shall determine whether or not to exercise its
jurisdiction under this act based on the best interests of the child. For this purpose the court
shall consider the following factors:

      (1) If another state recently was the child's or mother's home state;

      (2) if another state has a closer connection with the child or the child's adoptive or
genetic parent or parents;

      (3) if substantial evidence concerning the child's present or future care, protection,
training and personal relationships is more readily available in another state;

      (4) the unavailability of placement opportunities for such child within the state of Kan-
sas; and

      (5) any other factor the court deems relevant in its determination of whether or not to
exercise its jurisdiction.

      (a) A court of this state may not exercise jurisdiction over a proceeding for adoption of
a minor if at the time the petition for adoption is filed a proceeding concerning the custody
or adoption of the minor is pending in a court of another state exercising jurisdiction sub-
stantially in conformity with the uniform child custody jurisdiction act, or the uniform child
custody jurisdiction and enforcement act, or this act unless the proceeding is stayed by the
court of the other state.

      (b) If a court of another state has issued a decree or order concerning the custody of a
minor who may be the subject of a proceeding for adoption in this state, a court of this state
may not exercise jurisdiction over a proceeding for adoption of the minor unless:

      (1) The court of this state finds that the court of the state which issued the decree or
order:

      (A) Does not have continuing jurisdiction to modify the decree or order under jurisdic-
tional prerequisites substantially in accordance with the uniform child custody jurisdiction
act, or the uniform child custody jurisdiction and enforcement act, or has declined to assume
jurisdiction to modify the decree or order, or

      (B) does not have jurisdiction over a proceeding for adoption substantially in conformity
with subsection (a)(l) through (4) or has declined to assume jurisdiction proceeding for
adoption; and

      (2) the court of this state has jurisdiction over the proceeding.

      (b)(c) Before determining whether or not to exercise its jurisdiction the court may com-
municate with a court of another state and exchange information pertinent to the assumption
of jurisdiction by either court with a view to assuring that jurisdiction will be exercised by
such court of another state and that a forum will be available to the parties.

      (c)(d) If the court determines not to exercise its jurisdiction, it may dismiss the pro-
ceedings, or it may stay the proceedings upon condition that an adoption proceeding be
promptly commenced in another named state or upon any other conditions which may be
just and proper.

      Sec.  76. K.S.A. 59-2128 is hereby amended to read as follows: 59-2128. (a) A petition
for adoption shall be filed by the person desiring to adopt the child, and shall state the
following information, if reasonably ascertainable, under oath:

      (1) In an independent adoption: (A) The name, residence and address of the petitioner;

      (B) the name of the child, the date, time and place of the child's birth, and the place
at which the child resides;

      (C) the suitability of the petitioner to assume the relationship;

      (D) whether one or both parents are living and the name, date of birth, residence and
address of those living, so far as known to the petitioner;

      (E) the facts relied upon as eliminating the necessity for the consent, if the consent of
either or both parents is not obtained;

      (F) the information required by the uniform child custody jurisdiction act under K.S.A.
38-1309 and amendments thereto; and

      (G) whether the interstate compact on placement of children, K.S.A. 38-1201 et seq.
and amendments thereto, and the Indian child welfare act, 25 U.S.C. 1901 et seq., are
applicable and have been or will be complied with prior to the hearing;

      (2) in an agency adoption, all requirements contained in subsection (a)(1) except sub-
section (a)(1)(E), and if applicable, the factual basis upon which the court should determine
to exercise its jurisdiction as provided in K.S.A. 59-2127; or

      (3) in a stepparent adoption, all requirements contained in subsection (a)(1) except that
a statement of compliance with the interstate compact on placement of children is not
required.

      (1) The name, residence and address of the petitioner;

      (2) the suitability of the petitioner to assume the relationship;

      (3) the name of the child, the date, time and place of the child's birth, and the present
address or whereabouts of the child;

      (4) the places where the child has lived during the last five years;

      (5) the names and present addresses of the persons with whom the child has lived during
that period;

      (6) whether the party has participated, as a party or witness or in any other capacity,
in any other proceeding concerning the custody of or visitation with the child and, if so,
identify the court, the case number, and the date of the child-custody determination, if any;

      (7) whether the party knows of any proceeding that could affect the current proceeding,
including proceedings for enforcement and proceedings relating to domestic violence, pro-
tective orders, termination of parental rights, and adoptions and, if so, identify the court,
the case number, and the nature of the proceeding;

      (8) whether the party knows the names and addresses of any person not a party to the
proceeding who has physical custody of the child or claims rights of legal custody or physical
custody of, or visitation with, the child and, if so, the names and addresses of those persons;

      (9) whether one or both parents are living and the name, date of birth, residence and
address of those living, so far as known to the petitioner;

      (10) the facts relied upon as eliminating the necessity for the consent, if the consent of
either or both parents is not obtained;

      (11) whether the interstate compact on placement of children, K.S.A. 38-1201 et seq.
and amendments thereto, and the Indian child welfare act, 25 U.S.C. have been or will be
complied with prior to the hearing.

      (b) If the information required by subsection (a) is not furnished, the court, upon motion
of a party or its own motion, may stay the proceeding until the information is furnished.

      (c) If the declaration as to any of the items described in subsection (a)(6) through (a)(9)
is in the affirmative, the declarant shall give additional information under oath as required
by the court. The court may examine the parties under oath as to details of the information
furnished and other matters pertinent to the court's jurisdiction and the disposition of the
case.

      (d) The petitioner has a continuing duty to inform the court of any proceeding in this
or any other state that could affect the current proceeding.

      (e) A petition filed in a step parent adoption shall not require a statement in compliance
with the interstate compact on placement of children.

      (b)(f) The written consents to adoption required by K.S.A. 59-2129, and amendments
thereto, the background information required by K.S.A. 59-2130, and amendments thereto,
the accounting required by K.S.A. 59-2121 and amendments thereto, and any affidavit re-
quired by K.S.A. 59-2126 shall be filed with the petition for adoption.

      Sec.  77. K.S.A. 1999 Supp. 59-3009 is hereby amended to read as follows: 59-3009.
Any person may file in the district court of the county of the residence or presence of the
proposed ward a verified petition for the appointment of a guardian. Any person may file
in the district court of the county of the residence of the proposed conservatee a verified
petition for the appointment of a conservator. If the proposed conservatee resides without
the state, such petition may be filed in any county in which any of the property of the
proposed conservatee is situated.

      (a) If the proposed ward or proposed conservatee is alleged to be a disabled person the
petition shall state:

      (1) The petitioner's belief that the proposed ward or proposed conservatee is a disabled
person;

      (2) the name, age, residence and present address of the proposed ward or proposed
conservatee, if known to the petitioner;

      (3) the name and address of the nearest relatives of the proposed ward or proposed
conservatee, if known to the petitioner and if not known, that the petitioner has made
diligent inquiry to learn the name of such relatives;

      (4) the general character and probable value of the real and personal property, including
the amount and sources of income, of the proposed ward or proposed conservatee, if known
to the petitioner;

      (5) the name and address of the person, if any, having custody and control of the pro-
posed ward or proposed conservatee, if known to the petitioner;

      (6) the names and addresses of witnesses by whom the truth of the petition may be
proved;

      (7) the reasons for the need of the appointment of a guardian or conservator, or both;

      (8) a request that the court make a determination that the proposed ward or proposed
conservatee is a disabled person, make one or more of the orders provided for in K.S.A. 59-
3010 and 59-3011 and amendments thereto, and appoint a guardian or conservator, or both;
and

      (9) the name, address, and relationship to the proposed ward or proposed conservatee,
if any, of the person whom the court is requested to appoint as a guardian or as a conservator.
If a proposed conservator is under contract with the Kansas guardianship program, the
application for appointment of guardian or conservator shall so state. Any such petition may
be accompanied, or the court may require that such petition be accompanied by a statement
in writing of a physician or psychologist stating that the physician or psychologist has ex-
amined the proposed ward or proposed conservatee and the results of the examination on
the issue of whether the proposed ward or proposed conservatee is a disabled person or the
court may allow such petition to be accompanied by a verified statement by the petitioner
that the proposed ward or proposed conservatee has refused to submit to an examination
by a physician or psychologist.

      (b) If the proposed ward or proposed conservatee is alleged to be a minor the petition
shall state:

      (1) The proposed ward or proposed conservatee is a minor;

      (2) the name, age, residence and present address of the proposed ward or proposed
conservatee, if known to the petitioner;

      (3) the information required including that information required by section 51, and
amendments thereto, if the petition seeks appointment of a guardian for the minor;

      (3)(4) the name and address of the natural guardian, guardian, conservator and custo-
dian, if any, of the proposed ward or proposed conservatee, if known to the petitioner, and
if not known that the petitioner has made diligent inquiry to learn their names;

      (4)(5) the general character and probable value of the real and personal property, in-
cluding the amount and sources of income, of the proposed ward or proposed conservatee,
if known to the petitioner;

      (5)(6) the names and addresses of witnesses by whom the truth of the petition may be
proved;

      (6)(7) the reasons for the need for the appointment of a guardian or conservator, or
both;

      (7)(8) a request that the court make a determination that the proposed ward or proposed
conservatee is a minor, make one or more of the orders provided for by K.S.A. 59-3010 and
59-3011 and amendments thereto, and appoint a guardian or a conservator, or both; and

      (8)(9) the name, address, and relationship to the proposed ward or proposed conser-
vatee, if any, of the person whom the court is requested to appoint as a guardian or as a
conservator.

      (c) If the proposed conservatee has been duly adjudged an incapacitated person, a dis-
abled person, an insane person or an incompetent person by any court of competent juris-
diction in any other state and a domiciliary conservator or guardian for the estate of such
person has been appointed, a duly authenticated transcript of such adjudication and ap-
pointment shall be prima facie evidence of such incapacity and may be relied upon for the
appointment of an ancillary conservator in this state. Such authenticated transcript shall be
attached to the petition which shall state:

      (1) That the proposed conservatee has been duly adjudged an incapacitated person, a
disabled person, an insane person or an incompetent person by a court of competent juris-
diction of another state and a domiciliary conservator or guardian for such conservatee's
estate has been appointed, which adjudication and appointment are still in full force and
effect;

      (2) the name, age, residence and present address of the proposed conservatee, if known
to the petitioner;

      (3) the name and address of the nearest relatives of the proposed conservatee, if known
to the petitioner and if not known, that the petitioner has made diligent inquiry to learn the
name of such relatives;

      (4) the location and value of Kansas property for which an ancillary conservatorship is
needed;

      (5) the name and address of the person, if any, having custody and control of the pro-
posed conservatee, if known to the petitioner;

      (6) the reasons for the need for the appointment of an ancillary conservator; and

      (7) a request that the court appoint an ancillary conservator as provided in subsection
(c) of K.S.A. 59-3010 and amendments thereto.

      Sec.  78. K.S.A. 60-1604 is hereby amended to read as follows: 60-1604. (a) Verification
of petition. The truth of the allegations of any petition under this article must be verified
by the petitioner in person or by the guardian of an incapacitated person.

      (b) Captions. All pleadings shall be captioned, ``In the matter of the marriage of
____________ and ____________.'' In the caption, the name of the petitioner
shall appear first and the name of the respondent shall appear second, but the respective
parties shall not be designated as such.

      (c) Contents of petition. The grounds for divorce, annulment or separate maintenance
shall be alleged as nearly as possible in the general language of the statute, without detailed
statement of facts. If there are minor children of the marriage, the petition shall state their
names and dates of birth and shall contain, or be accompanied by an affidavit which contains,
the information required by K.S.A. 38-1309 section 51 and amendments thereto.

      (d) Bill of particulars. The opposing party may demand a statement of the facts which
shall be furnished in the form of a bill of particulars. The facts stated in the bill of particulars
shall be the specific facts upon which the action shall be tried. If interrogatories have been
served on or a deposition taken of the party from whom the bill of particulars is demanded,
the court in its discretion may refuse to grant the demand for a bill of particulars. A copy
of the bill of particulars shall be delivered to the judge. The bill of particulars shall not be
filed with the clerk of the court or become a part of the record except on appeal, and then
only when the issue to be reviewed relates to the facts stated in the bill of particulars. The
bill of particulars shall be destroyed by the district judge unless an appeal is taken, in which
case the bill of particulars shall be destroyed upon receipt of the final order from the
appellate court.

      (e) Service of process. Service of process shall be made in the manner provided in article
3 of this chapter.

      Sec.  79. K.S.A. 60-1605 is hereby amended to read as follows: 60-1605. The respondent
may answer and may also file a counterpetition counterclaim for divorce, annulment or
separate maintenance. If new matter is set up in the answer, it shall be verified by the
respondent in person or by the guardian of an incapacitated person. If a counterpetition
counterclaim is filed, it shall be subject to the provisions of subsections (a), (b) and (c) of
K.S.A. 60-1604 and amendments thereto. When there are minor children of the marriage,
the answer shall contain, or be accompanied by an affidavit which contains, the information
required by K.S.A. 38-1309 section 51, and amendments thereto.

      Sec.  80. K.S.A. 60-1611 is hereby amended to read as follows: 60-1611. A judgment or
decree of divorce rendered in any other state or territory of the United States, in conformity
with the laws thereof, shall be given full faith and credit in this state, except that, if the
respondent in the action, at the time of the judgment or decree, was a resident of this state
and did not personally appear or defend the action in the court of that state or territory and
that court did not have jurisdiction over the respondent's person, all matters relating to
maintenance, property rights of the parties and support of the minor children of the parties
shall be subject to inquiry and determination in any proper action or proceeding brought
in the courts of this state within two years after the date of the foreign judgment or decree,
to the same extent as though the foreign judgment or decree had not been rendered. Nothing
in this section shall authorize a court of this state to enter a custody decree, as defined in
K.S.A. 38-1302, child custody determination, as defined in section 32 and amendments
thereto contrary to the provisions of the uniform child custody jurisdiction and enforcement
act.

      Sec.  81. K.S.A. 1999 Supp. 60-3103 is hereby amended to read as follows: 60-3103.
Any district court shall have jurisdiction over all proceedings under the protection from
abuse act. The right of a person to obtain relief under the protection from abuse act shall
not be affected by the person's leaving the residence or household to avoid further abuse.
Any petition under this act seeking orders regarding a custody determination, as defined in
section 32, and amendments thereto, shall state that information required by section 51, and
amendments thereto, and the basis under which child-custody jurisdiction is sought to be
invoked.

      Sec.  82. K.S.A. 1999 Supp. 38-1502 is hereby amended to read as follows: 38-1502. As
used in this code, unless the context otherwise indicates:

      (a) ``Child in need of care'' means a person less than 18 years of age who:

      (1) Is without adequate parental care, control or subsistence and the condition is not
due solely to the lack of financial means of the child's parents or other custodian;

      (2) is without the care or control necessary for the child's physical, mental or emotional
health;

      (3) has been physically, mentally or emotionally abused or neglected or sexually abused;

      (4) has been placed for care or adoption in violation of law;

      (5) has been abandoned or does not have a known living parent;

      (6) is not attending school as required by K.S.A. 72-977 or 72-1111, and amendments
thereto;

      (7) except in the case of a violation of K.S.A. 41-727, subsection (j) of K.S.A. 74-8810
or subsection (m) or (n) of K.S.A. 79-3321, and amendments thereto, or, except as provided
in subsection (a)(12) of K.S.A. 21-4204a and amendments thereto, does an act which, when
committed by a person under 18 years of age, is prohibited by state law, city ordinance or
county resolution but which is not prohibited when done by an adult;

      (8) while less than 10 years of age, commits any act which if done by an adult would
constitute the commission of a felony or misdemeanor as defined by K.S.A. 21-3105 and
amendments thereto;

      (9) is willfully and voluntarily absent from the child's home without the consent of the
child's parent or other custodian;

      (10) is willfully and voluntarily absent at least a second time from a court ordered or
designated placement, or a placement pursuant to court order, if the absence is without the
consent of the person with whom the child is placed or, if the child is placed in a facility,
without the consent of the person in charge of such facility or such person's designee;

      (11) has been residing in the same residence with a sibling or another person under 18
years of age, who has been physically, mentally or emotionally abused or neglected, or
sexually abused; or

      (12) while less than 10 years of age commits the offense defined in K.S.A. 21-4204a and
amendments thereto.

      (b) ``Physical, mental or emotional abuse or neglect'' means the infliction of physical,
mental or emotional injury or the causing of a deterioration of a child and may include, but
shall not be limited to, failing to maintain reasonable care and treatment, negligent treatment
or maltreatment or exploiting a child to the extent that the child's health or emotional well-
being is endangered. A parent legitimately practicing religious beliefs who does not provide
specified medical treatment for a child because of religious beliefs shall not for that reason
be considered a negligent parent; however, this exception shall not preclude a court from
entering an order pursuant to subsection (a)(2) of K.S.A. 38-1513 and amendments thereto.

      (c) ``Sexual abuse'' means any act committed with a child which is described in article
35, chapter 21 of the Kansas Statutes Annotated and those acts described in K.S.A. 21-3602
or 21-3603, and amendments thereto, regardless of the age of the child.

      (d) ``Parent,'' when used in relation to a child or children, includes a guardian, conser-
vator and every person who is by law liable to maintain, care for or support the child.

      (e) ``Interested party'' means the state, the petitioner, the child, any parent, any grand-
parent and any person found to be an interested party pursuant to K.S.A. 38-1541 and
amendments thereto.

      (f) ``Law enforcement officer'' means any person who by virtue of office or public em-
ployment is vested by law with a duty to maintain public order or to make arrests for crimes,
whether that duty extends to all crimes or is limited to specific crimes.

      (g) ``Youth residential facility'' means any home, foster home or structure which provides
24-hour-a-day care for children and which is licensed pursuant to article 5 of chapter 65 of
the Kansas Statutes Annotated.

      (h) ``Shelter facility'' means any public or private facility or home other than a juvenile
detention facility that may be used in accordance with this code for the purpose of providing
either temporary placement for the care of children in need of care prior to the issuance of
a dispositional order or longer term care under a dispositional order.

      (i) ``Juvenile detention facility'' means any secure public or private facility used for the
lawful custody of accused or adjudicated juvenile offenders which must not be a jail.

      (j) ``Adult correction facility'' means any public or private facility, secure or nonsecure,
which is used for the lawful custody of accused or convicted adult criminal offenders.

      (k) ``Secure facility'' means a facility which is operated or structured so as to ensure that
all entrances and exits from the facility are under the exclusive control of the staff of the
facility, whether or not the person being detained has freedom of movement within the
perimeters of the facility, or which relies on locked rooms and buildings, fences or physical
restraint in order to control behavior of its residents. No secure facility shall be in a city or
county jail.

      (l) ``Ward of the court'' means a child over whom the court has acquired jurisdiction by
the filing of a petition pursuant to this code and who continues subject to that jurisdiction
until the petition is dismissed or the child is discharged as provided in K.S.A. 38-1503 and
amendments thereto.

      (m) ``Custody,'' whether temporary, protective or legal, means the status created by
court order or statute which vests in a custodian, whether an individual or an agency, the
right to physical possession of the child and the right to determine placement of the child,
subject to restrictions placed by the court.

      (n) ``Placement'' means the designation by the individual or agency having custody of
where and with whom the child will live.

      (o) ``Secretary'' means the secretary of social and rehabilitation services.

      (p) ``Relative'' means a person related by blood, marriage or adoption but, when refer-
ring to a relative of a child's parent, does not include the child's other parent.

      (q) ``Court-appointed special advocate'' means a responsible adult other than an attorney
guardian ad litem who is appointed by the court to represent the best interests of a child,
as provided in K.S.A. 38-1505a and amendments thereto, in a proceeding pursuant to this
code.

      (r) ``Multidisciplinary team'' means a group of persons, appointed by the court or by
the state department of social and rehabilitation services under K.S.A. 38-1523a and amend-
ments thereto, which has knowledge of the circumstances of a child in need of care.

      (s) ``Jail'' means:

      (1) An adult jail or lockup; or

      (2) a facility in the same building or on the same grounds as an adult jail or lockup,
unless the facility meets all applicable standards and licensure requirements under law and
there is (A) total separation of the juvenile and adult facility spatial areas such that there
could be no haphazard or accidental contact between juvenile and adult residents in the
respective facilities; (B) total separation in all juvenile and adult program activities within
the facilities, including recreation, education, counseling, health care, dining, sleeping, and
general living activities; and (C) separate juvenile and adult staff, including management,
security staff and direct care staff such as recreational, educational and counseling.

      (t) ``Kinship care'' means the placement of a child in the home of the child's relative or
in the home of another adult with whom the child or the child's parent already has a close
emotional attachment.

      (u) ``Juvenile intake and assessment worker'' means a responsible adult authorized to
perform intake and assessment services as part of the intake and assessment system estab-
lished pursuant to K.S.A. 75-7023, and amendments thereto.

      (v) ``Abandon'' means to forsake, desert or cease providing care for the child without
making appropriate provisions for substitute care.

      (w) ``Permanent guardianship'' means a judicially created relationship between child
and caretaker which is intended to be permanent and self-sustaining without ongoing state
oversight or intervention. The permanent guardian stands in loco parentis and exercises all
the rights and responsibilities of a parent. Upon appointment of a permanent guardian, the
child in need of care proceedings shall be dismissed. A permanent guardian may be ap-
pointed after termination of parental rights.

      (x) ``Aggravated circumstances'' means the abandonment, torture, chronic abuse, sexual
abuse or chronic, life threatening neglect of a child.

      (y) ``Permanency hearing'' means a notice and opportunity to be heard is provided to
interested parties, foster parents, preadoptive parents or relatives providing care for the
child. The court, after consideration of the evidence, shall determine whether progress
toward the case plan goal is adequate or reintegration is a viable alternative, or if the case
should be referred to the county or district attorney for filing of a petition to terminate
parental rights or to appoint a permanent guardian.

      (z) ``Extended out of home placement'' means a child has been in the custody of the
secretary and placed with neither parent for 15 of the most recent 22 months beginning 60
days after the date at which a child in the custody of the secretary was removed from the
home.

      (aa) ``Educational institution'' means all schools at the elementary and secondary levels.

      (bb) ``Educator'' means any administrator, teacher or other professional or paraprofes-
sional employee of an educational institution who has exposure to a pupil specified in sub-
section (a) of K.S.A. 1999 Supp. 72-89b03 and amendments thereto.

      Sec.  83. K.S.A. 38-1533 is hereby amended to read as follows: 38-1533. (a) Persons
upon whom served. The summons and a copy of the petition shall be served on the child
alleged to be a child in need of care by serving the guardian ad litem appointed for the
child, the parents or parent having legal custody or who may be ordered to pay child support
by the court, the person with whom the child is residing and any other person designated
by the county or district attorney. A copy of the petition and notice of hearing shall be mailed
by regular mail, to the child's grandparents with whom the child does not reside.

      (b) Form of summons. The summons shall be issued by the clerk, dated the day it is
issued, contain the name of the court and the caption of the case and be in substantially the
following form:




(Name of Court)
In the Interest of ______________

Case No. ______
                     (Name[s])
Date of birth __________

Each a child under 18 years of age

S U M M O N S
TO:

(Names)
(Relationship)
(Addresses)












      A petition has been filed in this court, a copy of which is attached.

      On ________, 19__, at ______ o'clock __m. the above parent(s), and any
other person having legal custody are required to appear before this court at _____ ,

or prior to that time file your written response to the petition with the clerk of this court.

      Failure to respond or to appear before the court at the above time will not prevent the
court from entering judgment that each child is a child in need of care if it finds judgment
should be granted and removing the child from the custody of parent, parents or any other
present legal custodian until the further order of the court. The court may order one or
both parents to pay child support. If, after a child has been adjudged to be a child in need
of care, the court finds a parent or parents to be unfit, the court may make an order
permanently terminating the parent's or parents' parental rights.

      ________, an attorney, has been appointed as guardian ad litem for the child or
children. Each parent or legal custodian has the right to appear and be heard personally
either with or without an attorney. The court will appoint an attorney for any parent who
is financially unable to hire one.

Date ________, 19__

Clerk of the District Court
by ________________
      (Seal)
      And by renumbering sections accordingly;

      Also on page 48, in line 3, by striking ``21-3422,''; also in line 3, by striking ``23-''; in line
4, by striking all before ``60-1612,'' and inserting ``38-1116, 38-1301 through 13-1326, 38-
1335, 38-1503, 38-1533, 59-2127, 59-2128, 60-1604, 60-1605, 60-1611,''; also in line 4, after
``60-1614,''; by inserting ``60-1615 and''; in line 5, after ``1617'' by striking ``and 75-720'';
also in line 5, by striking ``1998'' and inserting ``1999''; also in line 5, by striking ``23-9,305''
and inserting ``23-701''; in line 6, by striking all after ``38-1138,''; in line 7, by striking all
before ``38-16,119,'' and inserting ``38-1502,''; also in line 7, before ``60-1607,'' by inserting
``59-3009,''; in line 8, after ``60-1621,'' by inserting ``60-3103,''; also in line 8, after ``60-3106''
by striking the comma and inserting ``and''; also in line 8, by striking ``and 74-7334'';

      On page 1, in the title, in line 11, before ``amend-'' by inserting ``enacting the uniform
child-custody jurisdiction and enforcement act;''; in line 12, by striking ``21-3422,''; also in
line 12, by striking ``23-701, 38-''; in line 13, by striking all before ``60-1612,'' and inserting
``38-1116, 38-1503, 38-1533, 59-2127, 59-2128, 60-1604, 60-1605, 60-1611,''; also in line
13, after ``60-1614,'' by inserting ``60-1615 and''; in line 14, by striking ``and 75-720''; also
in line 14, by striking ``1998'' and inserting ``1999''; also in line 14, by striking ``23-9,305''
and inserting ``23-701''; in line 15, by striking all after ``38-1138,''; in line 16, by striking all
before ``38-16,119,'' and inserting ``38-1502,''; also in line 16, before ``60-1607,'' by inserting
``59-3009,''; in line 17, after ``60-1621,'' by inserting ``60-3103,''; also in line 17, after ``60-
3106'' by striking the comma and inserting ``and''; also in line 17, by striking ``and 74-7334'';
in line 18, by striking ``1998 Supp. 38-1502c'' and inserting ``38-1301 through 38-1326 and
38-1335'';

                                                                                    \ And your committee on conference recommends the adoption of this report.

                                                                                    Michael R. O'Neal

                                                                                    Tim Carmody

                                                                                    Janice L. Pauls
 Conferees on the part of House
                                                                                   

                                                                                    Tim Emert

                                                                                    John Vratil

                                                                                    Greta Goodwin
 Conferees on part of Senate


     On motion of Rep. O'Neal, the conference committee report on H. Sub. for SB 150
was adopted.

 On roll call, the vote was: Yeas 119; Nays 4; Present but not voting: 0; Absent or not
voting: 2.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dreher, Ed-
monds, Empson, Faber, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn, Garner,
Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helgerson,
Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins, Jenkins, Jenni-
son, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether, Landwehr,
Lane, Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays,
McClure, McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison,
Judy Morrison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Palmer,
Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon, Reinhardt,
Ruff, Schwartz, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tanner,
Tedder, Thimesch, Toelkes, Toplikar, Vickrey, Vining, Wagle, Weber, Weiland, Wells, Wel-
shimer, Wilk.

 Nays: Dean, Rehorn, Sharp, Tomlinson.

 Present but not voting: None.

 Absent or not voting: Farmer, Henderson.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to SB 483, submits the following report:

      Your committee on conference agrees to disagree and recommends that a new conference
committee be appointed;

                                                                                    \ And your committee on conference recommends the adoption of this report.

                                                                                    Michael R. O'Neal

                                                                                    Tim Carmody

                                                                                    Janice L. Pauls
 Conferees on the part of House
                                                                                   

                                                                                    Tim Emert

                                                                                    John Vratil

                                                                                    Greta Goodwin
 Conferees on part of Senate


     On motion of Rep. O'Neal, the conference committee report on SB 483 was adopted.

 Speaker pro tem Mays thereupon appointed Reps. O'Neal, Carmody and Pauls as second
conferees on the part of the House.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to Substitute for SB 599, submits the following report:

      The Senate accedes to all House amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with House Committee amendments,
as follows:

      On page 1, in line 31, after ``responsible'' by inserting ``or designated''; in line 34, after
``responsible'' by inserting ``or designated''; in line 37, after ``responsible'' by inserting ``or
designated''; in line 41, by striking ``skilled''; in line 43, by striking ``is qualified by academic
training to provide'' and inserting ``provides'';

      On page 2, in line 1, by striking all after ``a''; in line 2, by striking all before the period
and inserting ``responsible physician''; in line 7, by striking ``Supervising physician'' and
inserting ``Designated physician''; also in line 7, by striking ``a responsible physician or''; in
line 9, by striking all after the period; by striking all in lines 10 through 43;

      By striking all of page 3;

      On page 4, by striking all in lines 1 through 9; in line 10, by striking ``(c)'' and inserting
``(7)''; in line 13, by striking ``(d)'' and inserting ``(8)''; in line 16, by striking ``rec-''; by striking
all in lines 17 and 18 and inserting: ``registry of the names of physician assistants who may
engage in active practice. No person's name shall be entered on the registry of physician
assistants unless such person has:

      (1) Presented to the state board of healing arts proof of current licensure;

      (2) presented to the board a request signed by the applicant's proposed responsible
physician on a form provided by the board which shall contain such information as required
by rules and regulations adopted by the board.

      (b) A person's name may be removed from the registry of physician assistants who may
engage in private practice if:

      (1) The person whose name is entered on the registry as a licensed physician assistant
requests or consents to the removal thereof;

      (2) the state board of healing arts determines that the person whose name is entered
on the registry as a licensed physician assistant has not been employed as a physician assistant
or as a teacher or instructor of persons being educated and trained to become a physician
assistant in a course of education and training approved by the state board of healing arts
under this act and amendments thereto at sometime during the five years immediately
preceding the date of such determination.

      (3) the board determines, after notice and opportunity to be heard, in accordance with
the provisions of the Kansas administrative procedure act, that a physician assistant has
violated any provision of this act and amendments thereto, or any rules and regulations
adopted pursuant thereto; or

      (4) the board determines, after notice and opportunity to be heard, in accordance with
the provisions of the Kansas administrative procedure act, that the request by the proposed
responsible physician pursuant to this act and amendments thereto should not be approved.

      (c) The state board of healing arts may remove a person's name from the registry as a
licensed physician assistant or may refuse to place a person's name on the registry as a
licensed physician assistant if the board determines, after notice and opportunity for hearing
in accordance with the provisions of the Kansas administrative procedure act, that a phy-
sician assistant has exceeded or has acted outside the scope of authority given the physician
assistant by the responsible physician or by this act.'';

      And by redesignating subsections accordingly;

      Also on page 4, in line 37, by striking ``(d)'' and inserting ``(f)'';

      On page 5, in line 24, by striking ``shall'' and inserting ``may''; also in line 24, by striking
the comma; in line 25, by striking all before ``for''; also in line 25, by striking ``It''; by striking
all in lines 26 and 27;

      On page 6, by striking all in lines 23 through 43;

      By striking all of page 7;

      On page 8, by striking all in lines 1 through 21; following line 21, by inserting the following:

      ``(a) The licensee has committed an act of unprofessional conduct as defined by rules
and regulations adopted by the board;

      (b) the licensee has obtained a license by means of fraud, misrepresentations or con-
cealment of material facts;

      (c) the licensee has committed an act of professional incompetency as defined by rules
and regulations adopted by the board;

      (d) the licensee has been convicted of a felony;

      (e) the licensee has violated any provision of this act and amendments thereto;

      (f) the licensee has violated any lawful order or rule and regulation of the board;

      (g) the licensee has exceeded or has acted outside the scope of authority given the
physician assistant by the responsible physician or by this act;

      (h) the licensee has assisted suicide in violation of K.S.A. 21-3406 and amendments
thereto as established by any of the following:'';

      On page 9, in line 12, by striking all after ``(7)''; by striking all in lines 13 through 15; in
line 16, by striking all before the period and inserting ``other health care providers licensed,
registered, certified or otherwise credentialed by agencies of the state of Kansas''; by striking
all in lines 20 through 43;

      On page 10, by striking all in lines 1 through 3;

      On page 11, in line 31, by striking ``designate a'' and inserting ``name a designated''; by
striking all in lines 33 through 36;

      On page 12, in line 1, by striking ``supervising'' and inserting ``responsible''; also in line
1, following ``physician'', by inserting ``and the form required under subsection (a)(2) of
section 3 and amendments thereto''; in line 4, by striking ``supervising'' and inserting ``des-
ignated''; in line 9, by striking ``supervising'' and inserting ``responsible'';

                                                                                    \ And your committee on conference recommends the adoption of this report.

                                                                                    Garry Boston

                                                                                    Gerald G. Geringer

                                                                                    Jerry Henry
 Conferees on the part of House
                                                                                   

                                                                                    Sandy Praeger

                                                                                    Chris Steineger

                                                                                    Larry D. Salmans
 Conferees on part of Senate


   On motion of Rep. Geringer, the conference committee report on Sub. SB 599 was
adopted.

 On roll call, the vote was: Yeas 121; Nays 2; Present but not voting: 0; Absent or not
voting: 2.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Feuerborn, Findley, Flaharty, Flora, Flower, Garner, Gatewood,
Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helgerson, Henry, Hermes,
Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins, Jenkins, Jennison, Johnson, John-
ston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether, Landwehr, Lane, Larkin, Light,
Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays, McClure, McCreary,
McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison, Judy Morrison, My-
ers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Palmer, Pauls, E. Peterson, J.
Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon, Rehorn, Reinhardt, Ruff,
Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tan-
ner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber, Wei-
land, Wells, Wilk.

 Nays: Freeborn, Welshimer.

 Present but not voting: None.

 Absent or not voting: Farmer, Henderson.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to SB 410, submits the following report:

      The Senate accedes to all House amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with House Committee amendments,
as follows:

      On page 3, in line 3, by striking ``$350'' and inserting ``$200'';

      On page 10, in line 10, by striking ``2001'' and inserting ``2002''; in line 19, by striking
``2001'' and inserting ``2002''; in line 36, by striking ``2000'' and inserting ``2001'';

      On page 12, in line 7, by striking ``unpaid balance of''; also in line 7, before the period,
by inserting ``, and any penalty collected upon such tax shall be refunded''; in line 24, by
striking ``2001'' and inserting ``2002''; in line 29, by striking ``2001'' and inserting ``2002'';

      On page 13, in line 2, by striking ``2000'' and inserting ``2001''; in line 32, by striking ``(b)
and (c)'' and inserting ``(a), (b), (c) and (d)'';

      On page 14, in line 7, by striking ``unpaid balance of''; also in line 7, before the period,
by inserting ``, and any penalty collected upon such tax shall be refunded''; in line 30, by
striking ``2001'' and inserting ``2002''; in line 35, by striking ``2001'' and inserting ``2002''; in
line 41, by striking ``2000'' and inserting ``2001'';

      On page 15, in line 28, by striking ``(c) and (d)'' and inserting ``(b), (c), (d) and (e)'';

      On page 16, after line 3, by inserting the following:

      ``(j) No penalty assessed hereunder shall be collected if the taxpayer has had the tax
abated on appeal, and any penalty collected upon such tax shall be refunded.''; in line 16,
by striking ``2001'' and inserting ``2002''; in line 21, by striking ``2001'' and inserting ``2002'';
in line 27, by striking ``2000'' and inserting ``2001'';

      On page 18, after line 25, by inserting the following:

      ``Sec.  24. K.S.A. 79-4502 is hereby amended to read as follows: 79-4502. As used in
this act, unless the context clearly indicates otherwise:

      (a) ``Income'' means the sum of adjusted gross income under the Kansas income tax
act, maintenance, support money, cash public assistance and relief (not including any refund
granted under this act), the gross amount of any pension or annuity (including all monetary
retirement benefits from whatever source derived, including but not limited to, railroad
retirement benefits, all payments received under the federal social security act except dis-
ability payments, and veterans disability pensions), all dividends and interest from whatever
source derived not included in adjusted gross income, workers compensation and the gross
amount of ``loss of time'' insurance. It does not include gifts from nongovernmental sources
or surplus food or other relief in kind supplied by a governmental agency, nor shall net
operating losses and net capital losses be considered in the determination of income.

      (b) ``Household'' means a claimant, a claimant and spouse who occupy the homestead
or a claimant and one or more individuals not related as husband and wife who together
occupy a homestead.

      (c) ``Household income'' means all income received by all persons of a household in a
calendar year while members of such household.

      (d) ``Homestead'' means the dwelling, or any part thereof, whether owned or rented,
which is occupied as a residence by the household and so much of the land surrounding it,
as defined as a home site for ad valorem tax purposes, and may consist of a part of a multi-
dwelling or multi-purpose building and a part of the land upon which it is built or a man-
ufactured home or mobile home and the land upon which it is situated. ``Owned'' includes
a vendee in possession under a land contract, a life tenant, a beneficiary under a trust and
one or more joint tenants or tenants in common.

      (e) ``Claimant'' means a person who has filed a claim under the provisions of this act
and was, during the entire calendar year preceding the year in which such claim was filed
for refund under this act, except as provided in K.S.A. 79-4503, and amendments thereto,
both domiciled in this state and was: (1) A person having a disability; (2) a person who is
55 years of age or older or (3) a person other than a person included under (1) or (2) having
one or more dependent children under 18 years of age residing at the person's homestead
during the calendar year immediately preceding the year in which a claim is filed under this
act.

      When a homestead is occupied by two or more individuals and more than one of the
individuals is able to qualify as a claimant, the individuals may determine between them as
to whom the claimant will be. If they are unable to agree, the matter shall be referred to
the secretary of revenue whose decision shall be final.

      (f) ``Property taxes accrued'' means property taxes, exclusive of special assessments,
delinquent interest and charges for service, levied on a claimant's homestead in 1979 or any
calendar year thereafter by the state of Kansas and the political and taxing subdivisions of
the state. When a homestead is owned by two or more persons or entities as joint tenants
or tenants in common and one or more of the persons or entities is not a member of
claimant's household, ``property taxes accrued'' is that part of property taxes levied on the
homestead that reflects the ownership percentage of the claimant's household. For purposes
of this act, property taxes are ``levied'' when the tax roll is delivered to the local treasurer
with the treasurer's warrant for collection. When a claimant and household own their home-
stead part of a calendar year, ``property taxes accrued'' means only taxes levied on the
homestead when both owned and occupied as a homestead by the claimant's household at
the time of the levy, multiplied by the percentage of 12 months that the property was owned
and occupied by the household as its homestead in the year. When a household owns and
occupies two or more different homesteads in the same calendar year, property taxes ac-
crued shall be the sum of the taxes allocable to those several properties while occupied by
the household as its homestead during the year. Whenever a homestead is an integral part
of a larger unit such as a multi-purpose or multi-dwelling building, property taxes accrued
shall be that percentage of the total property taxes accrued as the value of the homestead
is of the total value. For the purpose of this act, the word ``unit'' refers to that parcel of
property covered by a single tax statement of which the homestead is a part.

      (g) ``Disability'' means:

      (1) Inability to engage in any substantial gainful activity by reason of any medically
determinable physical or mental impairment which can be expected to result in death or
has lasted or can be expected to last for a continuous period of not less than 12 months,
and an individual shall be determined to be under a disability only if the physical or mental
impairment or impairments are of such severity that the individual is not only unable to do
the individual's previous work but cannot, considering age, education and work experience,
engage in any other kind of substantial gainful work which exists in the national economy,
regardless of whether such work exists in the immediate area in which the individual lives
or whether a specific job vacancy exists for the individual, or whether the individual would
be hired if application was made for work. For purposes of the preceding sentence (with
respect to any individual), ``work which exists in the national economy'' means work which
exists in significant numbers either in the region where the individual lives or in several
regions of the country; for purposes of this subsection, a ``physical or mental impairment''
is an impairment that results from anatomical, physiological or psychological abnormalities
which are demonstrable by medically acceptable clinical and laboratory diagnostic tech-
niques; or

      (2) blindness and inability by reason of blindness to engage in substantial gainful activity
requiring skills or abilities comparable to those of any gainful activity in which the individual
has previously engaged with some regularity and over a substantial period of time.

      (h) ``Blindness'' means central visual acuity of 20/200 or less in the better eye with the
use of a correcting lens. An eye which is accompanied by a limitation in the fields of vision
such that the widest diameter of the visual field subtends an angle no greater than 20 degrees
shall be considered for the purpose of this paragraph as having a central visual acuity of
20/200 or less.

      (i) ``Rent constituting property taxes accrued'' means 20% of the gross rent actually paid
in cash or its equivalent in 1979 or any taxable year thereafter by a claimant and claimant's
household solely for the right of occupancy of a Kansas homestead on which ad valorem
property taxes were levied in full for that year. When a household occupies two or more
different homesteads in the same calendar year, rent constituting property taxes accrued
shall be computed by adding the rent constituting property taxes accrued for each property
rented by the household while occupied by the household as its homestead during the year.

      (j) ``Gross rent'' means the rental paid at arm's length solely for the right of occupancy
of a homestead or space rental paid to a landlord for the parking of a mobile home, exclusive
of charges for any utilities, services, furniture and furnishings or personal property appli-
ances furnished by the landlord as a part of the rental agreement, whether or not expressly
set out in the rental agreement. Whenever the director of taxation finds that the landlord
and tenant have not dealt with each other at arms length and that the gross rent charge was
excessive, the director may adjust the gross rent to a reasonable amount for the purposes
of the claim.

      New Sec.  25. Insofar as the same may be made applicable, the provisions of K.S.A. 79-
3226, and amendments thereto, shall apply to claims for refunds allowable pursuant to the
homestead property tax refund act which may become in dispute.

      Sec.  26. K.S.A. 79-4517 is hereby amended to read as follows: 79-4517. For claims in
respect of property taxes levied in 1976 or in any year subsequent thereto, the director of
taxation may: (a) extend the time for filing any claim under the provisions of this act or
accept a claim filed after the filing deadline when good cause exists therefor; or (b) accept
a claim filed after the deadline for filing in the case of sickness, absence or disability of the
claimant if said the claim has been filed within four (4) years of said the deadline.

      Sec.  27. K.S.A. 1999 Supp. 79-3234 is hereby amended to read as follows: 79-3234. (a)
All reports and returns required by this act shall be preserved for three years and thereafter
until the director orders them to be destroyed.

      (b) Except in accordance with proper judicial order, or as provided in subsection (c) or
in K.S.A. 17-7511, subsection (g) of K.S.A. 46-1106, K.S.A. 46-1114, or K.S.A. 79-32,153a,
and amendments thereto, it shall be unlawful for the director, any deputy, agent, clerk or
other officer, employee or former employee of the department of revenue or any other state
officer or employee or former state officer or employee to divulge, or to make known in
any way, the amount of income or any particulars set forth or disclosed in any report, return,
federal return or federal return information required under this act; and it shall be unlawful
for the director, any deputy, agent, clerk or other officer or employee engaged in the ad-
ministration of this act to engage in the business or profession of tax accounting or to accept
employment, with or without consideration, from any person, firm or corporation for the
purpose, directly or indirectly, of preparing tax returns or reports required by the laws of
the state of Kansas, by any other state or by the United States government, or to accept any
employment for the purpose of advising, preparing material or data, or the auditing of books
or records to be used in an effort to defeat or cancel any tax or part thereof that has been
assessed by the state of Kansas, any other state or by the United States government.

      (c) Nothing in this section shall be construed to prohibit the publication of statistics, so
classified as to prevent the identification of particular reports or returns and the items
thereof, or the inspection of returns by the attorney general or other legal representatives
of the state. Nothing in this section shall prohibit the post auditor from access to all income
tax reports or returns in accordance with and subject to the provisions of subsection (g) of
K.S.A. 46-1106 or K.S.A. 46-1114, and amendments thereto. Nothing in this section shall
be construed to prohibit the disclosure of taxpayer information from income tax returns to
persons or entities contracting with the secretary of revenue where the secretary has deter-
mined disclosure of such information is essential for completion of the contract and has
taken appropriate steps to preserve confidentiality. Nothing in this section shall be construed
to prohibit the disclosure of job creation and investment information derived from tax sched-
ules required to be filed under the Kansas income tax act to the secretary of commerce.
Nothing in this section shall be construed to prohibit the disclosure of income tax returns to
the state gaming agency to be used solely for the purpose of determining qualifications of
licensees of and applicants for licensure in tribal gaming. Any information received by the
state gaming agency shall be confidential and shall not be disclosed except to the executive
director, employees of the state gaming agency and members and employees of the tribal
gaming commission. Nothing in this section shall be construed to prohibit the disclosure of
the taxpayer's name, last known address and residency status to the department of wildlife
and parks to be used solely in its license fraud investigations. Nothing in this section shall
prohibit the disclosure of the name, residence address, employer or Kansas adjusted gross
income of a taxpayer who may have a duty of support in a title IV-D case to the secretary
of the Kansas department of social and rehabilitation services for use solely in administrative
or judicial proceedings to establish, modify or enforce such support obligation in a title IV-
D case. In addition to any other limits on use, such use shall be allowed only where subject
to a protective order which prohibits disclosure outside of the title IV-D proceeding. As
used in this section, ``title IV-D case'' means a case being administered pursuant to part D
of title IV of the federal social security act (42 U.S.C. § 651 et seq.) and amendments thereto.
Any person receiving any information under the provisions of this subsection shall be subject
to the confidentiality provisions of subsection (b) and to the penalty provisions of subsection
(d).

      (d) Any violation of subsection (b) or (c) is a class B nonperson misdemeanor and, if
the offender is an officer or employee of the state, such officer or employee shall be dis-
missed from office.

      (e) Notwithstanding the provisions of this section, the secretary of revenue may permit
the commissioner of internal revenue of the United States, or the proper official of any state
imposing an income tax, or the authorized representative of either, to inspect the income
tax returns made under this act and the secretary of revenue may make available or furnish
to the taxing officials of any other state or the commissioner of internal revenue of the
United States or other taxing officials of the federal government, or their authorized rep-
resentatives, information contained in income tax reports or returns or any audit thereof or
the report of any investigation made with respect thereto, filed pursuant to the income tax
laws, as the secretary may consider proper, but such information shall not be used for any
other purpose than that of the administration of tax laws of such state, the state of Kansas
or of the United States.

      (f) Notwithstanding the provisions of this section, the secretary of revenue may:

      (1) Communicate to the executive director of the Kansas lottery information as to
whether a person, partnership or corporation is current in the filing of all applicable tax
returns and in the payment of all taxes, interest and penalties to the state of Kansas, excluding
items under formal appeal, for the purpose of determining whether such person, partnership
or corporation is eligible to be selected as a lottery retailer;

      (2) communicate to the executive director of the Kansas racing commission as to
whether a person, partnership or corporation has failed to meet any tax obligation to the
state of Kansas for the purpose of determining whether such person, partnership or cor-
poration is eligible for a facility owner license or facility manager license pursuant to the
Kansas parimutuel racing act; and

      (3) provide such information to the president of Kansas, Inc. as required by K.S.A. 1999
Supp. 74-8017, and amendments thereto. The president and any employees or former em-
ployees of Kansas, Inc. receiving any such information shall be subject to the confidentiality
provisions of subsection (b) and to the penalty provisions of subsection (d).

      (g) Nothing in this section shall be construed to allow disclosure of the amount of
income or any particulars set forth or disclosed in any report, return, federal return or federal
return information, where such disclosure is prohibited by the federal internal revenue code
as in effect on September 1, 1996, and amendments thereto, related federal internal revenue
rules or regulations, or other federal law.

      New Sec.  28.  (a) For tax years 2000 and 2001, each Kansas state individual income tax
return form shall contain a designation as follows:

      Kansas World War II Memorial Fund. Check if you wish to donate, in addition to your
tax liability, or designate from your refund, ____$1, ____$5, ____$10, or $____.

      (b) The director of taxation of the department of revenue shall determine annually the
total amount designated for contribution to the Kansas World War II Memorial Fund pur-
suant to subsection (a) and shall report such amount to the state treasurer who shall credit
the entire amount thereof to the Kansas World War II Memorial Fund which fund is hereby
established in the state treasury. In the case where donations are made pursuant to subsec-
tion (a), the director shall remit the entire amount thereof to the state treasurer who shall
credit the same to such fund. All moneys deposited in such fund shall be used solely for the
purpose of providing contributions to the World War II Memorial Society on behalf of
Kansas for the benefit of the World War II memorial to be located in Washington, D.C. All
expenditures from such fund shall be made in accordance with appropriation acts upon
warrants of the director of accounts and reports payable to the World War II Memorial
Society issued pursuant to vouchers approved by the state treasurer.

      New Sec.  29. (a) For all taxable years commencing after December 31, 1999, and sub-
ject to the provisions of this section, there shall be allowed as a property tax refund to the
operator of an oil lease an amount equal to 50% of the total amount of property tax levied
and actually and timely paid by the operator for a property tax year which is attributable to
the working interest of an oil lease the average daily production per well from which is 15
barrels or less when the price per barrel of oil is $16 or less, as prescribed in the oil and
gas appraisal guide by the director of property valuation for the applicable tax year. No
refund shall be allowed for property tax paid upon machinery and equipment for which a
credit is claimed pursuant to K.S.A. 1999 Supp. 79-32,206 and amendments thereto.

      (b) No claim for a refund allowable pursuant to subsection (a) shall be paid unless filed
with and in possession of the department of revenue on or before April 15 of the year next
succeeding the year in which such taxes were paid, except that the director of taxation may
extend the time for filing any claim or accept a claim filed after the deadline for filing when
good cause exists therefor if the claim has been filed within three years of the deadline.

      (c) The allowable amount of such claim shall be paid to the operator from funds ap-
propriated for such purposes upon warrants of the director of accounts and reports pursuant
to vouchers approved by the director of taxation or by any person designated by the claimant,
but no warrant issued hereunder shall be drawn in an amount of less than $5. No interest
shall be allowed on any payment made to an operator pursuant to this section.

      (d) Insofar as the same may be made applicable, the provisions of K.S.A. 79-3226, and
amendments thereto, shall apply to claims for refunds allowable pursuant to this section
which may become in dispute.

      (e) The department of revenue shall devise and provide forms and instructions necessary
to administer this section, and the secretary of revenue may adopt rules and regulations for
such purpose.

      New Section  30. (a) For all taxable years commencing after December 31, 2000, and
with respect to property initially acquired and first placed into service in this state on and
after January 1, 2001, there shall be allowed as a credit against the tax liability imposed by
the Kansas income tax act of a telecommunications company, as defined in K.S.A. 79-3271
and amendments thereto, an amount equal to the difference between the property tax levied
for property tax year 2001, and all such years thereafter, and actually and timely paid during
the appropriate income taxable year upon property assessed at the 33% assessment rate and
the property tax which would be levied and paid on such property if assessed at a 25%
assessment rate.

      (b) If the amount of the tax credit determined under subsection (a) exceeds the tax
liability for the telecommunications company for any taxable year, the amount thereof which
exceeds such tax liability shall be refunded to the telecommunications company. If the
telecommunications company is a corporation having an election in effect under subchapter
S of the federal internal revenue code, a partnership or a limited liability company, the
credit provided by this section shall be claimed by the shareholders of such corporation, the
partners of such partnership or the members of such limited liability company in the same
manner as such shareholders, partners or members account for their proportionate shares
of income or loss of the corporation, partnership or limited liability company.

      (c) As used in this section, the term ``acquired'' shall not include the transfer of property
pursuant to an exchange for stock securities, or the transfer of assets of one business entity
to another due to a merger or other consolidation.

      Sec.  31. K.S.A. 1999 Supp. 79-4217 is hereby amended to read as follows: 79-4217. (a)
There is hereby imposed an excise tax upon the severance and production of coal, oil or gas
from the earth or water in this state for sale, transport, storage, profit or commercial use,
subject to the following provisions of this section. Such tax shall be borne ratably by all
persons within the term ``producer'' as such term is defined in K.S.A. 79-4216, and amend-
ments thereto, in proportion to their respective beneficial interest in the coal, oil or gas
severed. Such tax shall be applied equally to all portions of the gross value of each barrel
of oil severed and subject to such tax and to the gross value of the gas severed and subject
to such tax. The rate of such tax shall be 8% of the gross value of all oil or gas severed from
the earth or water in this state and subject to the tax imposed under this act. The rate of
such tax with respect to coal shall be $1 per ton. For the purposes of the tax imposed
hereunder the amount of oil or gas produced shall be measured or determined: (1) In the
case of oil, by tank tables compiled to show 100% of the full capacity of tanks without
deduction for overage or losses in handling; allowance for any reasonable and bona fide
deduction for basic sediment and water, and for correction of temperature to 60 degrees
Fahrenheit will be allowed; and if the amount of oil severed has been measured or deter-
mined by tank tables compiled to show less than 100% of the full capacity of tanks, such
amount shall be raised to a basis of 100% for the purpose of the tax imposed by this act;
and (2) in the case of gas, by meter readings showing 100% of the full volume expressed in
cubic feet at a standard base and flowing temperature of 60 degrees Fahrenheit, and at the
absolute pressure at which the gas is sold and purchased; correction to be made for pressure
according to Boyle's law, and used for specific gravity according to the gravity at which the
gas is sold and purchased, or if not so specified, according to the test made by the balance
method.

      (b) The following shall be exempt from the tax imposed under this section:

      (1) The severance and production of gas which is: (A) Injected into the earth for the
purpose of lifting oil, recycling or repressuring; (B) used for fuel in connection with the
operation and development for, or production of, oil or gas in the lease or production unit
where severed; (C) lawfully vented or flared; (D) severed from a well having an average
daily production during a calendar month having a gross value of not more than $87 per
day, which well has not been significantly curtailed by reason of mechanical failure or other
disruption of production; in the event that the production of gas from more than one well
is gauged by a common meter, eligibility for exemption hereunder shall be determined by
computing the gross value of the average daily combined production from all such wells and
dividing the same by the number of wells gauged by such meter; (E) inadvertently lost on
the lease or production unit by reason of leaks, blowouts or other accidental losses; (F) used
or consumed for domestic or agricultural purposes on the lease or production unit from
which it is severed; or (G) placed in underground storage for recovery at a later date and
which was either originally severed outside of the state of Kansas, or as to which the tax
levied pursuant to this act has been paid;

      (2) the severance and production of oil which is: (A) From a lease or production unit
whose average daily production is five barrels or less per producing well, which well or wells
have not been significantly curtailed by reason of mechanical failure or other disruption of
production; (B) from a lease or production unit, the producing well or wells upon which
have a completion depth of 2,000 feet or more, and whose average daily production is six
barrels or less per producing well or, if the price of oil as determined pursuant to subsection
(d) is $16 or less, whose average daily production is seven barrels or less per producing well,
or, if the price of oil as determined pursuant to subsection (d) is $15 or less, whose average
daily production is eight barrels or less per producing well, or, if the price of oil as deter-
mined pursuant to subsection (d) is $14 or less, whose average daily production is nine
barrels or less per producing well, or, if the price of oil as determined pursuant to subsection
(d) is $13 or less, whose average daily production is 10 barrels or less per producing well,
which well or wells have not been significantly curtailed by reason of mechanical failure or
other disruption of production; (C) from a lease or production unit, whose production results
from a tertiary recovery process. ``Tertiary recovery process'' means the process or processes
described in subparagraphs (1) through (9) of 10 C.F.R. 212.78(c) as in effect on June 1,
1979; (D) from a lease or production unit, the producing well or wells upon which have a
completion depth of less than 2,000 feet and whose average daily production resulting from
a water flood process, is six barrels or less per producing well, which well or wells have not
been significantly curtailed by reason of mechanical failure or other disruption of production;
(E) from a lease or production unit, the producing well or wells upon which have a com-
pletion depth of 2,000 feet or more, and whose average daily production resulting from a
water flood process, is seven barrels or less per producing well or, if the price of oil as
determined pursuant to subsection (d) is $16 or less, whose average daily production is eight
barrels or less per producing well, or, if the price of oil as determined pursuant to subsection
(d) is $15 or less, whose average daily production is nine barrels or less per producing well,
or, if the price of oil as determined pursuant to subsection (d) is $14 or less, whose average
daily production is 10 barrels or less per producing well, which well or wells have not been
significantly curtailed by reason of mechanical failure or other disruption of production; (F)
test, frac or swab oil which is sold or exchanged for value; or (G) inadvertently lost on the
lease or production unit by reason of leaks or other accidental means;

      (3)  (A) any taxpayer applying for an exemption pursuant to subsection (b)(2)(A) and
(B) shall make application annually to the director of taxation therefor. Exemptions granted
pursuant to subsection (b)(2)(A) and (B) shall be valid for a period of one year following
the date of certification thereof by the director of taxation; (B) any taxpayer applying for an
exemption pursuant to subsection (b)(2)(D) or (E) shall make application annually to the
director of taxation therefor. Such application shall be accompanied by proof of the approval
of an application for the utilization of a water flood process therefor by the corporation
commission pursuant to rules and regulations adopted under the authority of K.S.A. 55-152
and amendments thereto and proof that the oil produced therefrom is kept in a separate
tank battery and that separate books and records are maintained therefor. Such exemption
shall be valid for a period of one year following the date of certification thereof by the
director of taxation; and (C) notwithstanding the provisions of paragraph (A) or (B), any
exemption in effect on the effective date of this act affected by the amendments to subsec-
tion (b)(2) by this act shall be redetermined in accordance with such amendments. Any such
exemption, and any new exemption established by such amendments and applied for after
the effective date of this shall be valid for a period commencing with May 1, 1998, and
ending on April 30, 1999.

      (4) the severance and production of gas or oil from any pool from which oil or gas was
first produced on or after April 1, 1983, as determined by the state corporation commission
and certified to the director of taxation, and continuing for a period of 24 months from the
month in which oil or gas was first produced from such pool as evidenced by an affidavit of
completion of a well, filed with the state corporation commission and certified to the director
of taxation. Exemptions granted for production from any well pursuant to this paragraph
shall be valid for a period of 24 months following the month in which oil or gas was first
produced from such pool. The term ``pool'' means an underground accumulation of oil or
gas in a single and separate natural reservoir characterized by a single pressure system so
that production from one part of the pool affects the reservoir pressure throughout its extent;

      (5) the severance and production of oil or gas from a three-year inactive well, as deter-
mined by the state corporation commission and certified to the director of taxation, for a
period of 10 years after the date of receipt of such certification. As used in this paragraph,
``three-year inactive well'' means any well that has not produced oil or gas in more than one
month in the three years prior to the date of application to the state corporation commission
for certification as a three-year inactive well. An application for certification as a three-year
inactive well shall be in such form and contain such information as required by the state
corporation commission, and shall be made prior to July 1, 1996. The commission may
revoke a certification if information indicates that a certified well was not a three-year
inactive well or if other lease production is credited to the certified well. Upon notice to
the operator that the certification for a well has been revoked, the exemption shall not be
applied to the production from that well from the date of revocation;

      (6)  (A) The incremental severance and production of oil or gas which results from a
production enhancement project begun on or after July 1, 1998, shall be exempt for a period
of seven years from the startup date of such project. As used in this paragraph (6):

      (1) ``Incremental severance and production'' means the amount of oil or natural gas
which is produced as the result of a production enhancement project which is in excess of
the base production of oil or natural gas, and is determined by subtracting the base pro-
duction from the total monthly production after the production enhancement projects is
completed.

      (2) ``Base production'' means the average monthly amount of production for the twelve-
month period immediately prior to the production enhancement project beginning date,
minus the monthly rate of production decline for the well or project for each month begin-
ning 180 days prior to the project beginning date. The monthly rate of production decline
shall be equal to the average extrapolated monthly decline rate for the well or project for
the twelve-month period immediately prior to the production enhancement project begin-
ning date, except that the monthly rate of production decline shall be equal to zero in the
case where the well or project has experienced no monthly decline during the twelve-month
period immediately prior to the production enhancement project beginning date. Such
monthly rate of production decline shall be continued as the decline that would have oc-
curred except for the enhancement project. Any well or project which may have produced
during the twelve-month period immediately prior to the production enhancement project
beginning date but is not capable of production on the project beginning date shall have a
base production equal to zero. The calculation of the base production amount shall be
evidenced by an affidavit and supporting documentation filed by the applying taxpayer with
the state corporation commission.

      (3) ``Workover'' means any downhole operation in an existing oil or gas well that is
designed to sustain, restore or increase the production rate or ultimate recovery of oil or
gas, including but not limited to acidizing, reperforation, fracture treatment, sand/paraffin/
scale removal or other wellbore cleanouts, casing repair, squeeze cementing, initial instal-
lation, or enhancement of artificial lifts including plunger lifts, rods, pumps, submersible
pumps and coiled tubing velocity strings, downsizing existing tubing to reduce well loading,
downhole commingling, bacteria treatments, polymer treatments, upgrading the size of
pumping unit equipment, setting bridge plugs to isolate water production zones, or any
combination of the aforementioned operations; ``workover'' shall not mean the routine main-
tenance, routine repair, or like for-like replacement of downhole equipment such as rods,
pumps, tubing packers or other mechanical device.

      (4) ``Production enhancement project'' means performing or causing to be performed
the following:

      (i) Workover;

      (ii) recompletion to a different producing zone in the same well bore, except recom-
pletions in formations and zones subject to a state corporation commission proration order;

      (iii) secondary recovery projects;

      (iv) addition of mechanical devices to dewater a gas or oil well;

      (v) replacement or enhancement of surface equipment;

      (vi) installation or enhancement of compression equipment, line looping or other tech-
niques or equipment which increases production from a well or a group of wells in a project;

      (vii) new discoveries of oil or gas which are discovered as a result of the use of new
technology, including, but not limited to, three dimensional seismic studies.

      (B) The state corporation commission shall adopt rules and regulations necessary to
efficiently and properly administer the provisions of this paragraph (6) including rules and
regulations for the qualification of production enhancement projects, the procedures for
determining the monthly rate of production decline, criteria for determining the share of
incremental production attributable to each well when a production enhancement project
includes a group of wells, criteria for determining the start up date for any project for which
an exemption is claimed, and determining new qualifying technologies for the purposes of
paragraph (6)(A)(4)(vii).

      (C) Any taxpayer applying for an exemption pursuant to this paragraph (6) shall make
application to the director of taxation. Such application shall be accompanied by a state
corporation commission certification that the production for which an exemption is sought
results from a qualified production enhancement project and certification of the base pro-
duction for the enhanced wells or group of wells, and the rate of decline to be applied to
that base production. The secretary of revenue shall provide credit for any taxes paid be-
tween the project startup date and the certification of qualifications by the commission.

      (D) The exemptions provided for in this paragraph (6) shall not apply for 12 months
beginning July 1 of the year subsequent to any calendar year during which: (1) In the case
of oil, the secretary of revenue determines that the weighted average price of Kansas oil at
the wellhead has exceeded $20.00 per barrel; or (2) in the case of natural gas the secretary
of revenue determines that the weighted average price of Kansas gas at the wellhead has
exceeded $2.50 per Mcf.

      (E) The provisions of this paragraph (6) shall not affect any other exemption allowable
pursuant to this section; and

      (7) for the calendar year 1988, and any year thereafter, the severance or production of
the first 350,000 tons of coal from any mine as certified by the state geological survey.

      (c) No exemption shall be granted pursuant to subsection (b)(3) or (4) to any person
who does not have a valid operator's license issued by the state corporation commission,
and no refund of tax shall be made to any taxpayer attributable to any production in a period
when such taxpayer did not hold a valid operator's license issued by the state corporation
commission.

      (d) On April 15, 1988, and on April 15 of each year thereafter, the secretary of revenue
shall determine from statistics compiled and provided by the United States department of
energy, the average price per barrel paid by the first purchaser of crude oil in this state for
the six-month period ending on December 31 of the preceding year. Such price shall be
used for the purpose of determining exemptions allowed by subsection (b)(2)(B) or (E) for
the twelve-month period commencing on May 1 of such year and ending on April 30 of the
next succeeding year.

      Sec.  32. K.S.A. 79-32,143 is hereby amended to read as follows: 79-32,143. (a) For net
operating losses incurred in taxable years beginning after December 31, 1987, a net oper-
ating loss deduction shall be allowed in the same manner that it is allowed under the federal
internal revenue code except that such net operating loss may only be carried forward to
each of the 10 taxable years following the taxable year of the net operating loss. For net
operating losses in taxable years beginning after December 31, 1999, a net operating loss
deduction shall be allowed in the same manner that it is allowed under the federal internal
revenue code except that such net operating loss may be carried forward to each of the 10
taxable years following the taxable year of the net operating loss. The amount of the net
operating loss that may be carried back or forward for Kansas income tax purposes shall be
that portion of the federal net operating loss allocated to Kansas under this act in the taxable
year that the net operating loss is sustained.

      (b) The amount of the loss to be carried back or forward will be the federal net operating
loss after (1) all modifications required under this act applicable to the net loss in the year
the loss was incurred; and (2) after apportionment as to source in the case of corporations,
nonresident individuals for losses incurred in taxable years beginning prior to January 1,
1978, and nonresident estates and trusts in the same manner that income for such corpo-
rations, nonresident individuals, estates and trusts is required to be apportioned.

      (c) If a net operating loss was incurred in a taxable year beginning prior to January 1,
1988, the amount of the net operating loss that may be carried back and carried forward
and the period for which it may be carried back and carried forward shall be determined
under the provisions of the Kansas income tax laws which were in effect during the year
that such net operating loss was incurred.

      (d) If any portion of a net operating loss described in subsections (a) and (b) is not
utilized prior to the final year of the carryforward period provided in subsection (a), a refund
shall be allowable in such final year in an amount equal to the refund which would have
been allowable in the taxable year the loss was incurred by utilizing the three year carryback
provided under K.S.A. 79-32,143, as in effect on December 31, 1987, multiplied by a frac-
tion, the numerator of which is the unused portion of such net operating loss in the final
year, and the denominator of which is the amount of such net operating loss which could
have been carried back to the three years immediately preceding the year in which the loss
was incurred. In no event may such fraction exceed 1.

      (e) Notwithstanding any other provisions of the Kansas income tax act, the net operating
loss as computed under subsections (a), (b) and (c) of this section shall be allowed in full in
determining Kansas taxable income or at the option of the taxpayer allowed in full in de-
termining Kansas adjusted gross income.

      (f) No refund of income tax which results from a net operating loss carry back shall be
allowed in an amount exceeding $1,500 in any year. Any excess amount may be carried back
or forward to any other year or years as provided by this section.

      Sec.  33. On and after January 1, 2000, K.S.A. 1999 Supp. 79-32,208 is hereby
repealed.'';

      By renumbering existing sections accordingly;

      Also on page 18, in line 27, before ``79-'', by inserting ``79-32,143,''; in line 28, by striking
``and 79-41a03a'' and inserting ``, 79-41a03a, 79-4502, 79-4512, 79-4514 and 79-4517 and
K.S.A. 1999 Supp. 79-3234 and 79-4217'';

      In the title, in line 12, by striking all after the semicolon; in line 13, by striking all before
``amending''; in line 15, before ``79-3615'', by inserting ``79-32,143,''; also in line 15, by
striking ``and 79-41a03a'' and inserting ``, 79-41a03a, 79-4502 and 79-4517 and K.S.A. 1999
Supp. 79-3234 and 79-4217''; in line 16, before the period by inserting ``, 79-4512 and 79-
4514 and K.S.A. 1999 Supp. 79-32,208'';

                                                                                    \ And your committee on conference recommends the adoption of this report.

                                                                                    Susan Wagle

                                                                                    Clay Aurand

                                                                                    Melvin G. Minor
 Conferees on the part of House
                                                                                   

                                                                                    Audrey Langworthy

                                                                                    David R. Corbin

                                                                                    Janis K. Lee
 Conferees on part of Senate


   On motion of Rep. Wagle, the conference committee report on SB 410 was adopted.

 On roll call, the vote was: Yeas 122; Nays 0; Present but not voting: 1; Absent or not
voting: 2.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn, Garner,
Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helgerson,
Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins, Jenkins, Jenni-
son, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Kuether, Landwehr, Lane, Lar-
kin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays, McClure,
McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison, Judy Mor-
rison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Palmer, Pauls, E.
Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon, Rehorn, Reinhardt,
Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson,
Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber,
Weiland, Wells, Welshimer, Wilk.

 Nays: None.

 Present but not voting: Krehbiel.

 Absent or not voting: Farmer, Henderson.

MOTIONS TO CONCUR AND NONCONCUR
 On motion of Rep. Boston, the House concurred in Senate amendments to HB 2814,
An act establishing the senior pharmacy assistance program; providing for administration of
the program by the secretary of aging. (The House requested the Senate to return the bill,
which was in conference).

 On roll call, the vote was: Yeas 120; Nays 3; Present but not voting: 0; Absent or not
voting: 2.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn, Garner,
Gatewood, Geringer, Gilbert, Glasscock, Grant, Haley, Hayzlett, Helgerson, Henry, Her-
mes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins, Jenkins, Johnson, Johnston,
Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether, Landwehr, Lane, Larkin, Light,
Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays, McClure, McCreary,
McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison, Judy Morrison, My-
ers, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Palmer, Pauls, E. Peterson, J. Peterson,
Phelps, Pottorff, Powell, Powers, Ray, Reardon, Rehorn, Reinhardt, Ruff, Schwartz, Sharp,
Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tanner, Tedder, Thi-
mesch, Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber, Weiland, Wells, Wel-
shimer, Wilk.

 Nays: Gregory, Jennison, Neufeld.

 Present but not voting: None.

 Absent or not voting: Farmer, Henderson.

     On motion of Rep. Glasscock, the House recessed until 3:00 p.m.

______
Afternoon Session
 The House met pursuant to recess with Speaker pro tem Mays in the chair.

MESSAGE FROM THE SENATE
 Announcing passage of S. Sub. for Sub. SB 554.

 Announcing passage of HB 3054.

 The Senate adopts conference committee report on H. Sub. for SB 323.

 The Senate adopts conference committee report on SB 447.

 The Senate adopts conference committee report on SB 481.

 The Senate adopts conference committee report on Sub. HB 2013.

 The Senate adopts conference committee report on S. Sub. for Sub. HB 2864.

 The Senate announces Senators Steffes and Hensley are added as conferees to S. Sub.
for HB 2559.

INTRODUCTION OF ORIGINAL MOTIONS
 On motion of Rep. Glasscock, pursuant to subsection (k) of Joint Rule 4 of the Joint Rules
of the Senate and House of Representatives, the rules were suspended for the purpose of
considering Sub. HB 2013; S. Sub. for HB 2224; SB 92, 470; S. Sub. for HB 2559.

CHANGE OF CONFEREES
 Speaker pro tem Mays announced the appointment of Reps. Loyd, Cox and McKinney
as members of the conference committee on S. Sub. for HB 2559; also, the removal of
Rep. Neufeld from the conference committee.

CONFERENCE COMMITTEE REPORT
      Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to Senate Substitute for HB 2005, submits the following report:

      The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with amendments made by the Senate
Committee of the Whole, as follows:

      On page 1, by striking lines 21 through 43;

      On page 2, by striking lines 1 through 43;

      On page 3, by striking lines 1 through 43;

      On page 4, by striking lines 1 through 43;

      On page 5, by striking lines 1 through 43;

      On page 6, by striking lines 1 through 43;

      On page 7, by striking lines 1 through 43;

      On page 8, by striking lines 1 through 24; by renumbering the remaining sections; also
on page 8, by striking lines 40 through 43;

      On page 9, by striking lines 1 through 43;

      On page 10, by striking lines 1 through 17; also on page 10, after line 17 by inserting:

      ``New Sec.  2. As used in sections 2 through 31 and amendments thereto:

      (a) ``Adjusted RBC report'' means an RBC report which has been adjusted by the com-
missioner in accordance with section 5 and amendments thereto.

      (b) ``Corrective order'' means an order issued by the commissioner specifying corrective
actions which the commissioner has determined are required.

      (c) ``Domestic health organization'' means any health organization which is licensed and
organized in this state.

      (d)`` Foreign health organization'' means any health organization not domiciled in this
state which is licensed to do business in this state pursuant to articles 19a, 19c or 32 of
chapter 40 of the Kansas Statutes Annotated, and amendments thereto.

      (e) ``NAIC'' means the national association of insurance commissioners.

      (f) ``Health organization'' means a health maintenance organization, limited health serv-
ice organization, dental or vision plan, hospital, medical and dental indemnity or service
corporation or other managed care organization licensed under articles 19a, 19c or 32 of
chapter 40 of the Kansas Statutes Annotated, and amendments thereto. This definition shall
not include an organization that is licensed as either a life and health insurer or a property
and casualty insurer under articles 4, 5, 9, 10, 11, 12, 12a, 15 or 16 of chapter 40 of the
Kansas Statutes Annotated, and amendments thereto, and that is otherwise subject to either
the life or property and casualty RBC requirements in K.S.A. 1999 Supp. 40-2c01 et seq.,
and amendments thereto.

      (g) ``RBC'' means risk-based capital.

      (h) ``RBC instructions'' means the risk-based capital instructions for managed care or-
ganizations promulgated by the NAIC which are in effect on December 31, 1999, or any
later version as adopted by the commissioner in rules and regulations.

      (i) ``RBC level'' means a health organization's company action level RBC, regulatory
action level RBC, authorized control level RBC, or mandatory control level RBC where:

      (1) ``Company action level RBC'' means, with respect to any health organization, the
product of 2.0 and its authorized control level RBC;

      (2) ``regulatory action level RBC'' means the product of 1.5 and its authorized control
level RBC;

      (3) ``authorized control level RBC'' means the number determined under the risk-based
capital formula in accordance with the RBC instructions; and

      (4) ``mandatory control level RBC'' means the product of .70 and the authorized control
level RBC.

      (j) ``RBC plan'' means a comprehensive financial plan containing the elements specified
in section 6, and amendments thereto. If the commissioner rejects the RBC plan, and it is
revised by the health organization, with or without the commissioner's recommendation,
the plan shall be called the ``revised RBC plan.''

      (k) ``RBC report'' means the report required by sections 3, 4 and 5 and amendments
thereto.

      (l) ``Total adjusted capital'' means the sum of:

      (1) A health organization's capital and surplus as determined in accordance with the
annual financial statements required to be filed under articles 19a, 19c or 32 of chapter 40
of the Kansas Statutes Annotated and amendments thereto; and

      (2) such other items, if any, as the RBC instructions may provide.

      (m) ``Commissioner'' means the commissioner of insurance.

      New Sec.  3. (a) Except as provided in paragraph (b), every domestic health organization
shall prepare and submit to the commissioner, on or before March 1, a report of its RBC
levels as of the end of the calendar year just ended in a form and containing such information
as is required by the RBC instructions. In addition, every domestic health organization shall
file its RBC report:

      (1) With the NAIC in accordance with the RBC instructions; and

      (2) with the insurance commissioner in any state in which the health organization is
authorized to do business, if such insurance commissioner has notified the health organi-
zation of its request in writing, in which case, the health organization shall file its RBC
report not later than the later of:

      (A) 15 days from the receipt of notice to file its RBC report with that state; or

      (B) the filing date otherwise specified in this subsection.

      (b) The risk-based capital requirements of this section shall not apply to any health
organization contracting with the Kansas department of social and rehabilitation services to
provide services provided under title XIX and title XXI of the social security act or any other
public benefits, provided the public benefit contracts represent at least 90% of the premium
volume of the health organization.

      New Sec.  4. (a) A health organization's RBC shall be determined in accordance with
the formula set forth in the RBC instructions. The formula shall take into account and may
adjust for the covariance between:

      (1) Asset risk;

      (2) credit risk;

      (3) underwriting risk; and

      (4) all other business risks and such other relevant risks as are set forth in the RBC
instructions; determined in each case by applying the factors in the manner set forth in the
RBC instructions.

      (b) An excess of capital over the amount produced by the risk-based capital require-
ments contained in this act and the formulas, schedules and instructions referenced in this
act is desirable in the business of insurance. Accordingly, each health organization should
seek to maintain capital above the RBC levels required by this act. Additional capital is used
and useful in the insurance business and helps to secure a health organization against various
risks inherent in, or affecting, the business of insurance and not accounted for or only
partially measured by the risk-based capital requirements contained in this act.

      New Sec.  5. If a domestic health organization files an RBC report which in the judg-
ment of the commissioner is inaccurate, the commissioner shall adjust the RBC report to
correct the inaccuracy and shall notify such health organization of the adjustment. The notice
shall contain a statement of the reason for the adjustment. A RBC report as so adjusted is
referred to as an adjusted RBC report.

      New Sec.  6. ``Company action level event'' means any of the following events:

      (a) The filing of an RBC report by a health organization which indicates that a health
organization's total adjusted capital is greater than or equal to its regulatory action level
RBC but less than its company action level RBC.

      (b) The notification by the commissioner to the health organization of an adjusted RBC
report that indicates the event described in subsection (a) if:

      (1) The health organization does not challenge the adjusted RBC report pursuant to
section 20, and amendments thereto; or

      (2) the commissioner has rejected such challenge after a hearing.

      New Sec.  7. In the event of a company action level event, the health organization shall
prepare and submit to the commissioner an RBC plan which shall:

      (a) Identify the conditions in the health organization's operation which contribute to
the company action level event;

      (b) contain proposals of corrective actions which the health organization intends to take
that would be expected to result in the elimination of the company action level event;

      (c) provide projections of the health organization's financial results in the current year
and at least the two succeeding years, both in the absence of the proposed corrective actions
and giving effect to the proposed corrective actions, including projections of statutory bal-
ance sheets, operating income, net income, capital and surplus, and RBC levels. The pro-
jections for both new and renewal business may include separate projections for each major
line of business and separately identify each significant income, expense and benefit
component;

      (d) identify the key assumptions impacting the health organization's projections and the
sensitivity of the projections to the assumptions; and

      (e) identify the quality of, and problems associated with, the health organization's busi-
ness, including, but not limited to, its assets, anticipated business growth and associated
surplus strain, extraordinary exposure to risk, mix of business and use of reinsurance in each
case, if any.

      New Sec.  8. The RBC plan shall be submitted:

      (a) Within 45 days of the company action level event; or

      (b) within 45 days after notification to the health organization that the commissioner
has rejected the health organization's challenge to an adjusted RBC report pursuant to
section 20 and amendments thereto.

      New Sec.  9. Within 60 days after the submission by a health organization of an RBC
plan to the commissioner, the commissioner shall notify the health organization whether
the RBC plan shall be implemented or is, in the judgment of the commissioner, unsatisfac-
tory. If the commissioner determines the RBC plan is unsatisfactory, the notification to the
health organization shall state the reasons for the determination, and may state proposed
revisions which, in the judgments of the commissioner, will render the RBC plan satisfactory.
Upon notification from the commissioner, the health organization shall prepare a revised
RBC plan and shall submit the revised RBC plan to the commissioner:

      (a) Within 45 days after the notification from the commissioner; or

      (b) within 45 days after a notification to the health organization that the commissioner
has, pursuant to section 20, and amendments thereto, rejected the health organization's
challenge to the commissioner's original findings as authorized by this section.

      New Sec.  10. In the event of a notification by the commissioner to a health organization
that the health organization's RBC plan or revised RBC plan is unsatisfactory, the commis-
sioner, subject to the health organization's right to a hearing under section 20, and amend-
ments thereto, may specify in the notification that the notification constitutes a regulatory
action level event.

      New Sec.  11. Every domestic health organization that files an RBC plan or revised
RBC plan with the commissioner shall file a copy of the RBC plan or revised RBC plan
with the insurance commissioner in any state in which the health organization is authorized
to do business if:

      (a) Such state has an RBC provision substantially similar to section 21, and amendments
thereto; and

      (b) the insurance commissioner of that state has notified the health organization of such
insurance commissioner's request for the filing in writing, in which case the health organi-
zation shall file a copy of the RBC plan or revised RBC plan in that state no later than the
later of:

      (1) 15 days after the receipt of notice to file a copy of its RBC plan or revised RBC plan
with the state; or

      (2) the date on which the final RBC plan or revised RBC plan is filed under section 8
or 9, and amendments thereto.

      New Sec.  12. ``Regulatory action level event'' means, with respect to any health organ-
ization, any of the following events:

      (a) The filing of an RBC report by the health organization which indicates that the
health organization's total adjusted capital is greater than or equal to its authorized control
level RBC but less than its regulatory action level RBC;

      (b) the notification by the commissioner to the health organization of an adjusted RBC
report that indicates the event described in subsection (a) if:

      (1) The health organization does not challenge the adjusted RBC report pursuant to
section 20, and amendments thereto; or

      (2) the commissioner has rejected such challenge after a hearing; and

      (c) the failure of the health organization to file an RBC report by the filing date, unless
the health organization has provided an explanation for such failure which is satisfactory to
the commissioner and has cured the failure within 10 days after the filing date;

      (d) the failure of the health organization to submit an RBC plan to the commissioner
within the time period set forth in section 8, and amendments thereto;

      (e) notification by the commissioner to the health organization that:

      (1) The RBC plan or revised RBC plan submitted by the health organization is, in the
judgment of the commissioner, unsatisfactory; and

      (2) (A) the health organization has not challenged the determination pursuant to section
20, and amendments thereto; or

      (B) the commissioner has rejected such challenge.

      (f) Notification by the commissioner to the health organization that the health organi-
zation has failed to adhere to its RBC plan or revised RBC plan, but only if such failure has
a substantial adverse effect on the ability of the health organization to eliminate the company
action level event in accordance with its RBC plan or revised RBC plan and the commis-
sioner has so stated in the notification, if:

      (1) The health organization has not challenged such determination pursuant to section
20, and amendments thereto; or

      (2) the commissioner has rejected such challenge after a hearing.

      New Sec.  13. In the event of a regulatory action level event, the commissioner shall:

      (a) Require the health organization to prepare and submit an RBC plan or, if applicable,
a revised RBC plan;

      (b) perform such examination or analysis as the commissioner deems necessary of the
assets, liabilities and operations of the health organization including a review of its RBC
plan or revised RBC plan; and

      (c) subsequent to the examination or analysis, issue a corrective order specifying such
actions as the commissioner determines are required.

      New Sec.  14. In determining corrective actions, the commissioner may take into ac-
count such factors as are deemed relevant with respect to the health organization based
upon the commissioner's examination or analysis of the assets, liabilities and operations of
the health organization, including, but not limited to, the results of any sensitivity tests
undertaken pursuant to the RBC instructions. The RBC plan or revised RBC plan shall be
submitted:

      (a) Within 45 days after the occurrence of the regulatory action level event;

      (b) within 45 days after the notification to the health organization that the commissioner
has rejected the health organization's challenge to an adjusted RBC report pursuant to
section 20, and amendments thereto; or

      (c) within 45 days after notification to the health organization that the commissioner
has rejected the health organization's challenge to a revised RBC plan pursuant to section
20, and amendments thereto.

      New Sec.  15. The commissioner may retain actuaries and investment experts and other
consultants as may be necessary in the judgment of the commissioner to review the health
organization's RBC plan or revised RBC plan, examine or analyze the assets, liabilities and
operations of the health organization and formulate the corrective order with respect to the
health organization. The reasonable fees, costs and expenses relating to consultants shall be
borne by the affected health organization or other party as directed by the commissioner.

      New Sec.  16. ``Authorized control level event'' means any of the following events:

      (a) The filing of an RBC report by the health organization which indicates that the
health organization's total adjusted capital is greater than or equal to its mandatory control
level RBC but less than its authorized control level RBC;

      (b) the notification by the commissioner to the health organization of an adjusted RBC
report that indicates the event described in subsection (a) if:

      (1) The health organization does not challenge the adjusted RBC report pursuant to
section 20, and amendments thereto; or

      (2) the commissioner has rejected such challenge after a hearing;

      (c) the failure of the health organization to respond, in a manner satisfactory to the
commissioner, to a corrective order if the health organization has not challenged the cor-
rective order under section 20, and amendments thereto; or

      (d) if the commissioner has rejected the challenge to the corrective order or modified
the corrective order pursuant to section 20, and amendments thereto, the failure of the
health organization to respond, in a manner satisfactory to the commissioner, to the cor-
rective order subsequent to rejection or modification by the commissioner.

      New Sec.  17. In the event of an authorized control level event with respect to a health
organization, the commissioner:

      (a) Shall take such actions as are required under sections 12 through 15, and amend-
ments thereto, regarding a health organization with respect to which a regulatory action
level event has occurred; or

      (b) if the commissioner deems it to be in the best interests of the policyholders and
creditors of the health organization and of the public, shall take such actions as are necessary
to cause the health organization to be placed under regulatory control pursuant to K.S.A.
40-3605 et seq., and amendments thereto. In the event the commissioner takes such actions,
the authorized control level event shall be deemed sufficient grounds for the commissioner
to take action under K.S.A. 40-3605 et seq., and amendments thereto, and the commissioner
shall have the rights, powers and duties with respect to the health organization as are set
forth in K.S.A. 40-3605 et seq., and amendments thereto. In the event the commissioner
takes actions under this subsection pursuant to an adjusted RBC report, the health organ-
ization shall be entitled to such protections as are afforded to health organizations under
the provisions of K.S.A. 77-501 et seq., and amendments thereto, pertaining to summar
proceedings.

      New Sec.  18. ``Mandatory control event'' means any of the following events:

      (a) The filing of an RBC report by the health organization which indicates that the
health organization's total adjusted capital is less than its mandatory control level RBC;

      (b) the notification by the commissioner to the health organization of an adjusted RBC
report that indicates the event described in subsection (a) if:

      (1) The health organization does not challenge the adjusted RBC report pursuant to
section 20 and amendments thereto; or

      (2) the commissioner has rejected such challenge.

      New Sec.  19. In the event of a mandatory control level event the commissioner shall
take actions as are necessary to cause the health organization to be placed under regulatory
control under K.S.A. 40-3605 et seq., and amendments thereto. In that event, the mandatory
control level event shall be deemed sufficient grounds for the commissioner to take action
under K.S.A. 40-3605 et seq., and amendments thereto, and the commissioner shall have
the rights, powers and duties with respect to the health organization as are set forth in K.S.A.
40-3605 et seq., and amendments thereto. In the event the commissioner takes actions
pursuant to an adjusted RBC report, the health organization shall be entitled to such pro-
tections as are afforded to health organizations under the provisions of K.S.A. 77-501 et seq.
and amendments thereto, pertaining to summary proceedings. Notwithstanding any of the
foregoing, the commissioner may forego action for up to 90 days after the mandatory control
level event if there is a reasonable expectation that the mandatory control level event may
be eliminated within the 90-day period.

      New Sec.  20. (a) Upon notification to a health organization by the commissioner of an
adjusted RBC report; or

      (b) upon notification to an health organization by the commissioner that:

      (1) The health organization's RBC plan or revised RBC plan is unsatisfactory; and

      (2) such notification constitutes a regulatory action level event with respect to such
health organization; or

      (c) upon notification to any health organization by the commissioner that the health
organization has failed to adhere to its RBC plan or revised RBC plan and that such failure
has a substantial adverse effect on the ability of the health organization to eliminate the
company action level event with respect to the health organization in accordance with its
RBC plan or revised RBC plan; or

      (d) upon notification to an health organization by the commissioner of a corrective order
with respect to the health organization, the health organization shall have the right to a
hearing under the Kansas administrative procedure act, at which the health organization
may challenge any determination or action by the commissioner. The health organization
shall notify the commissioner of its request for a hearing within five days after the notification
by the commissioner under subsections (a), (b), (c) or (d). Upon receipt of the health or-
ganization's request for a hearing, the commissioner shall set a date for the hearing, which
date shall be no less than 10 nor more than 30 days after receipt of the health organization's
request. Such hearing shall be governed by K.S.A. 77-513 through 77-532 and amendments
thereto.

      New Sec.  21. (a) All RBC reports, RBC plans and any corrective orders, including the
working papers and the results of any analysis of a health organization performed under this
act shall be kept confidential by the commissioner. This information shall not be made public
or subject to subpoena, other than by the commissioner and then only for the purpose of
enforcement actions taken by the commissioner pursuant to this act or any other provision
of the insurance laws of this state.

      (b) RBC instructions, RBC reports, adjusted RBC reports, RBC plans and revised RBC
plans are intended solely for use by the commissioner in monitoring the solvency of health
organizations and the need for possible corrective action with respect to health organizations
and shall not be used by the commissioner for ratemaking nor considered or introduced as
evidence in any rate proceeding nor used by the commissioner to calculate or derive any
elements of an appropriate premium level or rate of return for any line of insurance which
an health organization or any affiliate is authorized to write.

      (c)  (1) The commissioner may share or exchange any documents, materials or other
information, including confidential and privileged documents referred to in subsection (a),
received in the performance of the commissioner's duties under this act, with:

      (A) The NAIC;

      (B) other state, federal or international regulatory agencies; and

      (C) other state, federal or international law enforcement authorities.

      (2)  (A) The sharing or exchanging of documents, materials or other information under
this subsection shall be conditioned upon the recipient's authority and agreement to main-
tain the confidential and privileged status, if any, of the documents, materials or other
information being shared or exchanged.

      (B) No waiver of an existing privilege or claim of confidentiality in the documents,
materials or information shall occur as a result of disclosure to the commissioner under this
section or as a result of sharing as authorized by paragraph (1) of subsection (c).

      (3) The commissioner of insurance is hereby authorized to adopt such rules and regu-
lations establishing protocols governing the exchange of information as may be necessary to
implement and carry out the provisions of this act.

      New Sec.  22. The comparison of a health organization's total adjusted capital to any of
its RBC levels is a regulatory tool, and shall not be used to rank health organizations gen-
erally. Therefore, except as otherwise required under the provisions of this act, the making,
publishing, disseminating, circulating or placing before the public, or causing, directly or
indirectly to be made, published, disseminated, circulated or placed before the public, in a
newspaper, magazine or other publication, or in the form of a notice, circular, pamphlet,
letter or poster, or over any radio or television station, or in any other way, an advertisement,
announcement or statement containing an assertion, representation or statement with regard
to the RBC levels of any health organization, or of any component derived in the calculation,
by any health organization, agent, broker or other person engaged in any manner in the
insurance business is prohibited. Notwithstanding the foregoing, if any materially false state-
ment with respect to the comparison regarding a health organization's total adjusted capital
to any of its RBC levels or an inappropriate comparison of any other amount to the health
organization's RBC levels is published in any written publication and the health organization
is able to demonstrate to the commissioner with substantial proof the falsity or misrepre-
sentative nature of such statement, the health organization may publish a rebuttal if the sole
purpose of such publication is to rebut the materially false or improper statement.

      New Sec.  23. The provisions of this act are supplemental to any other provisions of the
laws of this state, and shall not preclude nor limit any other powers or duties of the com-
missioner under such laws, including but not limited to K.S.A. 40-3605 et seq. and amend-
ments thereto.

      New Sec.  24. Any foreign health organization, upon the written request of the com-
missioner, shall submit to the commissioner an RBC report as of the end of the calendar
year just ended the later of:

      (a) The date an RBC report would be required to be filed by a domestic health organ-
ization under this act; or

      (b) Fifteen days after the request is received by the foreign health organization.

      Any foreign health organization, at the written request of the commissioner, shall submit
promptly to the commissioner a copy of any RBC plan that is filed with the insurance
commissioner of any other state.

      New Sec.  25. In the event of a company action level event, regulatory action level event
or authorized control level event with respect to any foreign health organization as deter-
mined under the RBC statute applicable in the state of domicile of the health organization
or, if no RBC provision is in force in that state, under the provisions of this act, if the
insurance commissioner of the state of domicile of the foreign health organization fails to
require the foreign health organization to file an RBC plan in the manner specified under
the RBC statute or, if there are no RBC provisions in force in the state, under section 6, 7,
8, 9, 10 and 11, and amendments thereto, the commissioner may require the foreign health
organization to file an RBC plan with the commissioner. In such event, the failure of the
foreign health organization to file an RBC plan with the commissioner shall be grounds to
order the health organization to cease and desist from writing new insurance business in
this state.

      New Sec.  26. In the event of a mandatory control level event with respect to any foreign
health organization, if no domiciliary receiver has been appointed with respect to the foreign
health organization under the rehabilitation and liquidation statute applicable in the state
of domicile of the foreign health organization, the commissioner may make application to
the district court as permitted under K.S.A. 40-3605 et seq. and amendments thereto with
respect to the liquidation of property of foreign health organizations found in this state, and
the occurrence of the mandatory control level event shall be considered adequate grounds
for the application.

      New Sec.  27. All notices by the commissioner to a health organization which may result
in regulatory action under this act shall be effective upon dispatch if transmitted by regis-
tered or certified mail, or in the case of any other transmission shall be effective upon the
health organization's receipt of such notice.

      New Sec.  28. If any provision of this act, or the application of the act to any person or
circumstance, is held invalid, such determination shall not affect the provisions or applica-
tions of this act which can be given effect without the invalid provision or application, and
to that end the provisions of this act are severable.

      New Sec.  29. (a) Any regulatory action based upon any RBC report required to be filed
by a health organization for such health organization's operations during calendar years 2000
and 2001 shall be subject to the following:

      (1) In the event of a company action level event with respect to any health organization,
the commissioner shall take no regulatory action under this act with respect to such health
organization.

      (2) In the event of a regulatory action level event with respect to any health organization
under either subsection (a) or (b) of section 12, and amendments thereto, the commissioner
shall take such action with respect to such health organization under sections 6 through 11,
inclusive, and amendments thereto, as the commissioner deems necessary.

      (3) In the event of a regulatory action level event with respect to any health organization
under any of subsections (c), (d), (e) or (f) of section 12, and amendments thereto, or an
authorized control level event, the commissioner shall take such action with respect to such
health organization under sections 12 through 15, inclusive, and amendments thereto, as
the commissioner deems necessary.

      (4) In the event of a mandatory control level event with respect to any health organi-
zation, the commissioner shall take action with respect to such health organization as re-
quired under sections 16 and 17, and amendments thereto.

      (b) The provisions of subsection (a) shall not limit the right of the commissioner to
proceed as authorized by any other provision of chapter 40 of the Kansas Statutes Annotated,
and amendments thereto or any rule and regulation adopted thereunder.

      New Sec.  30. The commissioner may adopt reasonable rules and regulations necessary
for the implementation of this act.

      New Sec.  31. Sections 2 through 31, inclusive, and amendments thereto, shall consti-
tute and may be cited as the health organization risk based capital act.

      New Sec.  32. (a) If uncovered expenditures exceed 10% of total health care expendi-
tures for two consecutive months, a health maintenance organization shall place an uncov-
ered expenditure insolvency deposit with the commissioner, with an organization or trustee
acceptable to the commissioner through which a custodial or controlled account is main-
tained, cash or securities that are acceptable to the commissioner. The deposit at all times
shall have a fair market value in an amount 120% of the health maintenance organization's
outstanding liability for uncovered expenditures for enrollees in this state, including incurred
but not reported claims, and shall be calculated as of the first day of the month and main-
tained for the remainder of the month. If a health maintenance organization is not otherwise
required to file a quarterly report, such health maintenance organization shall file a report
within 45 days of the end of the calendar quarter with information sufficient to demonstrate
compliance with this section.

      (b) The deposit required under this section shall be in addition to the deposit required
under K.S.A. 40-3227, and amendments thereto, and shall be deemed to be an admitted
asset of the health maintenance organization in the determination of such health mainte-
nance organization's net worth. All income from deposits or trust accounts shall be deemed
to be assets of the health maintenance organization and may be withdrawn from the deposit
or account quarterly with the approval of the commissioner.

      (c) A health maintenance organization that has made a deposit may withdraw that de-
posit or any part of the deposit if: (1) A substitute deposit of cash or securities of equal
amount and value is made; (2) the fair market value of such substitute deposit exceeds the
amount of the required deposit; or (3) the deposit required under subsection (a) is reduced
or eliminated. Deposits, substitutions or withdrawals may be made only with the prior writ-
ten approval of the commissioner.

      (d) The deposit required under this section shall be held in trust and may be used only
as provided under this section. The commissioner may use all or any portion of the deposit
of an insolvent health maintenance organization for administrative costs associated with
administering such deposit and the payment of any claim of an enrollee of this state for
uncovered expenditures in this state. Each claim for uncovered expenditures shall be paid
on a pro rata basis based on assets available to pay the ultimate liability for incurred ex-
penditures. A partial distribution may be made pending final distribution. Any amount of
such deposit remaining shall be paid into the liquidation or receivership of the health main-
tenance organization.

      (e) The commissioner by regulation may prescribe the time, manner and form for filing
claims under subsection (d).

      (f) The commissioner by regulation or order may require health maintenance organi-
zations to file annual, quarterly or more frequent reports deemed necessary to demonstrate
compliance with this section. The commissioner may require that the reports include liability
for uncovered expenditures as well as an audit opinion.

      (g) The deposit required under this section may be satisfied through other arrangement
acceptable to the commissioner including parental guarantees and letters of credit.

      (h) The commissioner may adopt rules and regulations to implement this section.

      New Sec.  33. (a) In the event of an insolvency of a health maintenance organization,
the commissioner may order that all other carriers that participated in the enrollment pro-
cess with the insolvent health maintenance organization at a group's last regular enrollment
period shall offer the group's enrollees of the insolvent health maintenance organization a
30-day enrollment period commencing upon the date of insolvency. Under such order each
carrier shall offer to each enrollee of the insolvent health maintenance organization the
same coverages that such insolvent health maintenance organization had offered to each
enrollee of the group at such group's last regular enrollment period at rates determined in
accordance with the successor health maintenance organization's existing rating
methodology.

      (b) Any individual or enrollee who has health insurance coverage involuntarily termi-
nated because of the insolvency of such individual's or enrollee's health maintenance or-
ganization shall be treated as the equivalent of a federally defined eligible individual for the
purposes of the Kansas uninsurable health insurance plan act, K.S.A. 40-2117 et seq. and
amendments thereto.

      New Sec.  34. (a) A rehabilitation liquidation or conservation of a health maintenance
organization shall be deemed to be the rehabilitation, liquidation or conservation of an
insurance company and shall be conducted under the supervision of the commissioner pur-
suant to the law governing the rehabilitation, liquidation or conservation of insurance com-
panies. The commissioner may apply for an order directing the commissioner to rehabilitate,
liquidate or conserve a health maintenance organization upon any one or more grounds set
out in the insurers supervision, rehabilitation and liquidation act, K.S.A. 40-3605 et seq.,
and amendments thereto, or when in the commissioner's discretion the continued operation
of such health maintenance organization would be hazardous either to the enrollees of such
health maintenance organization or to the people of this state. Each enrollee of such health
maintenance organization shall have the same priority in the event of liquidation or reha-
bilitation as the law provides to policy holders of an health organization.

      (b) For purpose of determining the priority of distribution of general assets, any claim
of any enrollee or enrollees' beneficiary shall have the same priority as established by K.S.A.
40-3641, and amendments thereto, for policyholders and beneficiaries of insureds of insur-
ance companies. If an enrollee is liable to a nonparticipating provider for services provided
pursuant to and covered by the health maintenance organization, such liability shall have
the status of such enrollee's claim for distribution of general assets. A provider who is
obligated by statute or agreement to hold any enrollee harmless from liability for services
provided pursuant to and covered by a health maintenance organization shall have a priority
of distribution of the general assets immediately following that of enrollees and enrollees'
beneficiaries as described herein, and immediately preceding the priority of distribution
described in subsection (d) of K.S.A. 40-3641 and amendments thereto.

      New Sec.  35. (a) Whenever the commissioner determines that the financial condition
of a health maintenance organization is such that its continued operation might be hazardous
to its enrollees, creditors or the general public, or that such health maintenance organization
has violated any provisions of this act, the commissioner, after notice and hearing, may order
such health maintenance organization to take action reasonably necessary to rectify the
condition or violation. Such action may include, but not limited to one or more of the
following:

      (1) Reduce the total amount of present and potential liability for benefits by reinsurance
or other method acceptable to the commissioner;

      (2) reduce the volume of any new business being accepted;

      (3) reduce expenses by specified methods acceptable to the commissioner;

      (4) suspend or limit the writing of any new business for a period of time;

      (5) increase the health maintenance organization's capital and surplus by contribution;
or

      (6) take such other steps the commissioner may deem appropriate under the
circumstances.

      (b) The commissioner may adopt rules and regulations which set uniform standards and
criteria for early warning that the continued operation of any health maintenance organi-
zation might be hazardous to its enrollees, creditors or the general public and set standards
for evaluating the financial condition of any health maintenance organization.

      New Sec.  36. Sections 32 through 35, and amendments thereto, shall be part of and
supplemental to the health maintenance organization act cited at K.S.A. 40-3201 et seq.,
and amendments thereto.

      Sec.  37. K.S.A. 1999 Supp. 40-3202 is hereby amended to read as follows: 40-3202. As
used in this act:

      (a) ``Commissioner'' means the commissioner of insurance of the state of Kansas.

      (b) ``Basic health care services'' means but is not limited to usual physician, hospitali-
zation, laboratory, x-ray, emergency and preventive services and out-of-area coverage.

      (c) ``Capitated basis'' means a fixed per member per month payment or percentage of
premium payment wherein the provider assumes risk for the cost of contracted services
without regard to the type, value or frequency of services provided. For purposes of this
definition, capitated basis includes the cost associated with operating staff model facilities.

      (d) ``Carrier'' means a health maintenance organization, an insurer, a nonprofit hospital
and medical service corporation, or other entity responsible for the payment of benefits or
provision of services under a group contract.

      (d) (e) ``Certificate of coverage'' means a statement of the essential features and services
of the health maintenance organization coverage which is given to the subscriber by the
health maintenance organization, medicare provider organization or by the group contract
holder.

      (e) (f) ``Copayment'' means an amount an enrollee must pay in order to receive a specific
service which is not fully prepaid.

      (f) (g) ``Deductible'' means an amount an enrollee is responsible to pay out-of-pocket
before the health maintenance organization begins to pay the costs associated with
treatment.

      (g) (h) ``Director'' means the secretary of health and environment.

      (h) (i) ``Disability'' means an injury or illness that results in a substantial physical or
mental limitation in one or more major life activities such as working or independent activ-
ities of daily living that a person was able to do prior to the injury or illness.

      (i) (j) ``Enrollee'' means a person who has entered into a contractual arrangement or on
whose behalf a contractual arrangement has been entered into with a health maintenance
organization or the medicare provider organization for health care services.

      (j) (k) ``Grievance'' means a written complaint submitted in accordance with the formal
grievance procedure by or on behalf of the enrollee regarding any aspect of the health
maintenance organization or the medicare provider organization relative to the enrollee.

      (k) (l) ``Group contract'' means a contract for health care services which by its terms
limits eligibility to members of a specified group. The group contract may include coverage
for dependents.

      (l) (m) ``Group contract holder'' means the person to which a group contract has been
issued.

      (m) (n) ``Health care services'' means basic health care services and other services,
medical equipment and supplies which may include, but are not limited to, medical, surgical
and dental care; psychological, obstetrical, osteopathic, optometric, optic, podiatric, nursing,
occupational therapy services, physical therapy services, chiropractic services and pharma-
ceutical services; health education, preventive medical, rehabilitative and home health serv-
ices; inpatient and outpatient hospital services, extended care, nursing home care, conva-
lescent institutional care, laboratory and ambulance services, appliances, drugs, medicines
and supplies; and any other care, service or treatment for the prevention, control or elimi-
nation of disease, the correction of defects or the maintenance of the physical or mental
well-being of human beings.

      (n)''Health Carrier'' means a person that undertakes to provide or arrange for the delivery
of basic health care services to enrollees on a prepaid basis, except for enrollee responsibility
for copayments or deductibles or both. Insurers subject ot K.S.A. 40-3001 et seq., and
amendments thereto, and dental service corporations as defined in K.S.A. 40-19a01 et seq.,
and amendments thereto, shall not be considered health carriers for the purposes of this
act.

      (o) ``Health maintenance organization'' means an organization which:

      (1) Provides or otherwise makes available to enrollees health care services, including at
a minimum those basic health care services which are determined by the commissioner to
be generally available on an insured or prepaid basis in the geographic area served;

      (2) is compensated, except for reasonable copayments, for the provision of basic health
care services to enrollees solely on a predetermined periodic rate basis;

      (3) provides physician services directly through physicians who are either employees or
partners of such organization or under arrangements with a physician or any group of phy-
sicians or under arrangements as an independent contractor with a physician or any group
of physicians;

      (4) is responsible for the availability, accessibility and quality of the health care services
provided or made available.

      (o) (p) ``Individual contract'' means a contract for health care services issued to and
covering an individual. The individual contract may include dependents of the subscriber.

      (p) (q) ``Individual practice association'' means a partnership, corporation, association
or other legal entity which delivers or arranges for the delivery of basic health care services
and which has entered into a services arrangement with persons who are licensed to practice
medicine and surgery, dentistry, chiropractic, pharmacy, podiatry, optometry or any other
health profession and a majority of whom are licensed to practice medicine and surgery.
Such an arrangement shall provide:

      (1) That such persons shall provide their professional services in accordance with a
compensation arrangement established by the entity; and

      (2) to the extent feasible for the sharing by such persons of medical and other records,
equipment, and professional, technical and administrative staff.

      (q) (r) ``Medical group'' or ``staff model'' means a partnership, association or other
group:

      (1) Which is composed of health professionals licensed to practice medicine and surgery
and of such other licensed health professionals, including but not limited to dentists, chi-
ropractors, pharmacists, optometrists and podiatrists as are necessary for the provision of
health services for which the group is responsible;

      (2) a majority of the members of which are licensed to practice medicine and surgery;
and

      (3) the members of which: (A) As their principal professional activity over 50% individ-
ually and as a group responsibility are engaged in the coordinated practice of their profession
for a health maintenance organization; (B) pool their income and distribute it among them-
selves according to a prearranged salary or drawing account or other plan, or are salaried
employees of the health maintenance organization; (C) share medical and other records and
substantial portions of major equipment and of professional, technical and administrative
staff; and (D) establish an arrangement whereby the enrollee's enrollment status is not
known to the member of the group who provides health services to the enrollee.

      (r) (s) ``Medicare provider organization'' means an organization which:

      (1) Is a provider-sponsored organization as defined by Section 4001 of the Balanced
Budget Act of 1997 (PL 105-33); and

      (2) provides or otherwise makes available to enrollees basic health care services pursuant
to Section 4001 of the Balanced Budget Act of 1997 (PL 105-33).

      (s) (t) ``Net worth'' means the excess of assets over liabilities as determined by the
commissioner from the latest annual report filed pursuant to K.S.A. 40-3220 and amend-
ments thereto.

      (t) (u) ``Person'' means any natural or artificial person including but not limited to in-
dividuals, partnerships, associations, trusts or corporations.

      (u) (v) ``Physician'' means a person licensed to practice medicine and surgery under the
healing arts act.

      (v) (w) ``Provider'' means any physician, hospital or other person which is licensed or
otherwise authorized in this state to furnish health care services.

      (w) (x) ``Uncovered expenditures'' means the costs of health care services that are cov-
ered by a health maintenance organization for which an enrollee would also be liable in the
event of the organization's insolvency as determined by the commissioner from the latest
annual statement filed pursuant to K.S.A. 40-3220 and amendments thereto and which are
not guaranteed, insured or assumed by any person or organization other than the carrier.

      Sec.  38. K.S.A. 1999 Supp. 40-3209 is hereby amended to read as follows: 40-3209. (a)
All forms of group and individual certificates of coverage and contracts issued by the or-
ganization to enrollees or other marketing documents purporting to describe the organiza-
tion's health care services shall contain as a minimum:

      (1) A complete description of the health care services and other benefits to which the
enrollee is entitled;

      (2) The locations of all facilities, the hours of operation and the services which are
provided in each facility in the case of individual practice associations or medical staff and
group practices, and, in all other cases, a list of providers by specialty with a list of addresses
and telephone numbers;

      (3) the financial responsibilities of the enrollee and the amount of any deductible, co-
payment or coinsurance required;

      (4) all exclusions and limitations on services or any other benefits to be provided in-
cluding any deductible or copayment feature and all restrictions relating to pre-existing
conditions;

      (5) all criteria by which an enrollee may be disenrolled or denied re-enrollment;

      (6) service priorities in case of epidemic, or other emergency conditions affecting de-
mand for medical services;

      (7) in the case of a health maintenance organization, a provision that an enrollee or a
covered dependent of an enrollee whose coverage under a health maintenance organization
group contract has been terminated for any reason but who remains in the service area and
who has been continuously covered by the health maintenance organization for at least three
months shall be entitled to obtain a converted contract or have such coverage continued
under the group contract for a period of six months following which such enrollee or de-
pendent shall be entitled to obtain a converted contract in accordance with the provisions
of this section. The converted contract shall provide coverage at least equal to the conversion
coverage options generally available from insurers or mutual nonprofit hospital and medical
service corporations in the service area at the applicable premium cost. The group enrollee
or enrollees shall be solely responsible for paying the premiums for the alternative coverage.
The frequency of premium payment shall be the frequency customarily required by the
health maintenance organization, mutual nonprofit hospital and medical service corporation
or insurer for the policy form and plan selected, except that the insurer, mutual nonprofit
hospital and medical service corporation or health maintenance organization shall require
premium payments at least quarterly. The coverage shall be available to all enrollees of any
group without medical underwriting. The requirement imposed by this subsection shall not
apply to a contract which provides benefits for specific diseases or for accidental injuries
only, nor shall it apply to any employee or member or such employee's or member's covered
dependents when:

      (A) Such person was terminated for cause as permitted by the group contract approved
by the commissioner;

      (B) any discontinued group coverage was replaced by similar group coverage within 31
days; or

      (C) the employee or member is or could be covered by any other insured or noninsured
arrangement which provides expense incurred hospital, surgical or medical coverage and
benefits for individuals in a group under which the person was not covered prior to such
termination. Written application for the converted contract shall be made and the first
premium paid not later than 31 days after termination of the group coverage or receipt of
notice of conversion rights from the health maintenance organization, whichever is later,
and shall become effective the day following the termination of coverage under the group
contract. The health maintenance organization shall give the employee or member and such
employee's or member's covered dependents reasonable notice of the right to convert at
least once within 30 days of termination of coverage under the group contract. The group
contract and certificates may include provisions necessary to identify or obtain identification
of persons and notification of events that would activate the notice requirements and con-
version rights created by this section but such requirements and rights shall not be invali-
dated by failure of persons other than the employee or member entitled to conversion to
comply with any such provisions. In addition, the converted contract shall be subject to the
provisions contained in paragraphs (2), (4), (5), (6), (7), (8), (9), (13), (14), (15), (16), (17)
and (19) of subsection (j) of K.S.A. 40-2209, and amendments thereto;

      (8)  (A) group contracts shall contain a provision extending payment of such benefits
until discharged or for a period not less than 31 days following the expiration date of the
contract, whichever is earlier, for covered enrollees and dependents confined in a hospital
on the date of termination;

      (B) a provision that coverage under any subsequent replacement contract that is in-
tended to afford continuous coverage will commence immediately following expiration of
any prior contract with respect to covered services not provided pursuant to subparagraph
(8)(A); and

      (9) an individual contract shall provide for a 10-day period for the enrollee to examine
and return the contract and have the premium refunded, but if services were received by
the enrollee during the 10-day period, and the enrollee returns the contract to receive a
refund of the premium paid, the enrollee must pay for such services.

      (b) No health maintenance organization or medicare provider organization authorized
under this act shall contract with any provider under provisions which require enrollees to
guarantee payment, other than copayments and deductibles, to such provider in the event
of nonpayment by the health maintenance organization or medicare provider organization
for any services which have been performed under contracts between such enrollees and
the health maintenance organization or medicare provider organization. Further, any con-
tract between a health maintenance organization or medicare provider organization and a
provider shall provide that if the health maintenance organization or medicare provider
organization fails to pay for covered health care services as set forth in the contract between
the health maintenance organization or medicare provider organization and its enrollee, the
enrollee or covered dependents shall not be liable to any provider for any amounts owed
by the health maintenance organization or medicare provider organization. If there is no
written contract between the health maintenance organization or medicare provider organ-
ization and the provider or if the written contract fails to include the above provision, the
enrollee and dependents are not liable to any provider for any amounts owed by the health
maintenance organization or medicare provider organization. Any action by a provider to
collect or attempt to collect from a subscriber or enrollee any sum owed by the health
maintenance organization to a provider shall be deemed to be an unconscionable act within
the meaning of K.S.A. 50-627 and amendments thereto.

      (c) No group or individual certificate of coverage or contract form or amendment to an
approved certificate of coverage or contract form shall be issued unless it is filed with the
commissioner. Such contract form or amendment shall become effective within 30 days of
such filing unless the commissioner finds that such contract form or amendment does not
comply with the requirements of this section.

      (d) Every contract shall include a clear and understandable description of the health
maintenance organization's or medicare provider organization's method for resolving en-
rollee grievances.

      (e) The provisions of subsections (A), (B), (C), (D) and (E) of K.S.A. 40-2209 and 40-
2215 and amendments thereto shall apply to all contracts issued under this section, and the
provisions of such sections shall apply to health maintenance organizations.

      (f)  In lieu of any of the requirements of subsection (a), the commissioner may accept
certificates of coverage issued by a medicare provider organization in conformity with
requirements imposed by any appropriate federal regulatory agency.

      Sec.  39. K.S.A. 1999 Supp. 40-3220 is hereby amended to read as follows: 40-3220.
Every health maintenance organization and medicare provider organization authorized un-
der this act shall annually on or before the first day of March, file a verified report with the
commissioner, showing its condition on the last day of the preceding calendar year, on forms
prescribed by the commissioner. Such report shall include:

      (a) A financial statement of the organization, including its balance sheet and receipts
and disbursements for the preceding year; and

      (b) such other information relating to the performance of health maintenance organi-
zations as shall be required by the commissioner. Every health maintenance organization
and medicare provider organization authorized under this act shall be subject to the pro-
visions of K.S.A. 40-225 and amendments thereto.

      Sec.  40. K.S.A. 1999 Supp. 40-3227 is hereby amended to read as follows: 40-3227. (a)
Except as provided in paragraph (e), before issuing any certificate of authority, the com-
missioner shall require that the health maintenance organization have an initial net worth
of $1,500,000 and shall thereafter maintain the minimum net worth required under subsec-
tion (b).

      (b) Except as provided in subsections (c) and (d) of this section, every health mainte-
nance organization shall maintain a minimum net worth equal to the greater of:

      (1) $1,000,000; or

      (2) two percent of annual premium revenues as reported on the most recent annual
financial statement filed with the commissioner on the first $150,000,000 of premium and
1% of annual premium on the premium in excess of $150,000,000; or

      (3) an amount equal to the sum of three months uncovered health care expenditures as
reported on the most recent financial statement filed with the commissioner; or

      (4) an amount equal to the sum of:

      (A) Eight percent of annual health care expenditures except those paid on a capitated
basis or managed hospital payment basis as reported on the most recent financial statement
filed with the commissioner; and

      (B) four percent of annual hospital expenditures paid on a managed hospital payment
basis as reported on the most recent financial statement filed with the commissioner.

      (c) A health maintenance organization licensed on or before the day preceding the ef-
fective date of this section must maintain a minimum net worth of:

      (1) Twenty-five percent of the amount required by subsection (b) by December 31, 2000;

      (2) 50% of the amount required by subsection (b) by December 31, 2001;

      (3) 75% of the amount required by subsection (b) by December 31, 2002; and

      (4) 100% of the amount required by subsection (b) by December 31, 2003.

      (d) In determining net worth, no debt shall be considered fully subordinated unless the
subordination clause is in a form acceptable to the commissioner. An interest obligation
relating to the repayment of any subordinated debt shall be similarly subordinated. The
interest expenses relating to the repayment of a fully subordinated debt shall be considered
covered expenses. A debt incurred by a note meeting the requirements of this section, and
otherwise acceptable to the commissioner, shall not be considered a liability and shall be
recorded as equity.

      (e) The net worth requirements of subsections (a) through (d) shall not apply to any
health organization contracting with the Kansas department of social and rehabilitation
services to provide services provided under title XIX and title XXI of the social security act
or any other public benefits, provided the public benefit contracts represent at least 90% of
the premium volume of the health organization.

      (f) Unless otherwise provided below, each health maintenance organization doing busi-
ness in this state shall deposit with any organization or trustee acceptable to the commis-
sioner through which a custodial or controlled account is utilized, cash, securities or any
combination of these or other measures, for the benefit of all of the enrollees of the health
maintenance organization, that are acceptable in the amount of $150,000 for a medical group
or staff model health maintenance organization or $300,000 for an individual practice
association.

      (b) (g) The commissioner may waive any of the deposit requirements set forth in sub-
section (a) (f) whenever satisfied that: (1) The organization has sufficient net worth and an
adequate history of generating net income to assure its financial viability for the next year;
or (2) the organization's performance and obligations are guaranteed by an organization with
sufficient net worth and an adequate history of generating net income; or (3) the assets of
the organization or its contracts with insurers, hospital or medical service corporations,
governments or other organizations are reasonably sufficient to assure the performance of
its obligations.

      (c) When an organization has achieved a net worth not including land, buildings and
equipment of at least $1,000,000 or has achieved a net worth including land, buildings and
equipment of at least $5,000,000, the annual deposit requirement shall not apply.

      (d) If the organization has a guaranteeing organization which has been in operation for
at least five years and has a net worth not including land, buildings and equipment of at
least $1,000,000 or which has been in operation for at least 10 years and has a net worth
including land, buildings and equipment of at least $5,000,000, the annual deposit require-
ment shall not apply. If the guaranteeing organization is sponsoring more than one organ-
ization, the net worth requirement shall be increased by a multiple equal to the number of
such organizations. This requirement to maintain a deposit in excess of the deposit required
of an accident and health insurer shall not apply during any time that the guaranteeing
organization maintains for each organization it sponsors a net worth at least equal to the
capital and surplus requirements set forth in article 11 of chapter 40 of the Kansas Statutes
Annotated for an accident and health insurer.

      (e) (h) The deposit requirements imposed by this act shall not apply to health mainte-
nance organizations not organized under the laws of this state to the extent an amount equal
to or exceeding that required by this act has been deposited with the commissioner or an
organization or trustee acceptable to the department of insurance of its state of domicile
for the benefit of Kansas enrollees.

      (f) (i) All income from deposits shall belong to the depositing organization and shall be
paid to it as it becomes available. A health maintenance organization that has made a se-
curities deposit may withdraw that deposit or any part thereof after making a substitute
deposit of cash, securities or any combination of these or other measures of equal amount
and value. Any securities shall be approved by the commissioner before being substituted.

      (j) Every health maintenance organization, when determining liability, shall include an
amount estimated in the aggregate to provide for any unearned premium and for the pay-
ment of all claims for health care expenditures that have been incurred, whether reported
or unreported, that are unpaid and for which the organization is or may be liable, and to
provide for the expense of adjustment or settlement of those claims.

      (g) (k) The commissioner shall require that each health maintenance organization have
a plan for handling insolvency which allows for continuation of benefits for the duration of
the contract period for which premiums have been paid and continuation of benefits to
members who are confined on the date of insolvency in an inpatient facility until their
discharge or expiration of benefits. In considering such a plan, the commissioner may
require:

      (1) Insurance to cover the expenses to be paid for continued benefits after an insolvency;

      (2) provisions in provider contracts that obligate the provider to provide services for the
duration of the period after the health maintenance organization's insolvency for which
premium payment has been made and until the enrollees' discharge from inpatient facilities;

      (3) insolvency reserves;

      (4) acceptable letters of credit; or

      (5) any other arrangements to assure that benefits are continued as specified in this
subsection (g) (k).

      Sec.  41. K.S.A. 1999 Supp. 40-3606 is hereby amended to read as follows: 40-3606.
This act shall apply to all insurance companies, fraternal benefit societies, health mainte-
nance organizations, reciprocal insurance exchanges, mutual nonprofit hospital and medical
service corporations, captive insurance companies, group funded pools except municipal
group funded pools governed by K.S.A. 12-2616 through 12-2629 and amendments thereto,
prepaid service plans operating under article 19a of chapter 40 of the Kansas Statutes An-
notated, regardless of whether such entities are authorized to do business in this state, and
such entities which are in the process of organization.

      Sec.  42. K.S.A. 1999 Supp. 45-221 is hereby amended to read as follows: 45-221. (a)
Except to the extent disclosure is otherwise required by law, a public agency shall not be
required to disclose:

      (1) Records the disclosure of which is specifically prohibited or restricted by federal
law, state statute or rule of the Kansas supreme court or the disclosure of which is prohibited
or restricted pursuant to specific authorization of federal law, state statute or rule of the
Kansas supreme court to restrict or prohibit disclosure.

      (2) Records which are privileged under the rules of evidence, unless the holder of the
privilege consents to the disclosure.

      (3) Medical, psychiatric, psychological or alcoholism or drug dependency treatment re-
cords which pertain to identifiable patients.

      (4) Personnel records, performance ratings or individually identifiable records pertain-
ing to employees or applicants for employment, except that this exemption shall not apply
to the names, positions, salaries and lengths of service of officers and employees of public
agencies once they are employed as such.

      (5) Information which would reveal the identity of any undercover agent or any inform-
ant reporting a specific violation of law.

      (6) Letters of reference or recommendation pertaining to the character or qualifications
of an identifiable individual.

      (7) Library, archive and museum materials contributed by private persons, to the extent
of any limitations imposed as conditions of the contribution.

      (8) Information which would reveal the identity of an individual who lawfully makes a
donation to a public agency, if anonymity of the donor is a condition of the donation.

      (9) Testing and examination materials, before the test or examination is given or if it is
to be given again, or records of individual test or examination scores, other than records
which show only passage or failure and not specific scores.

      (10) Criminal investigation records, except that the district court, in an action brought
pursuant to K.S.A. 45-222, and amendments thereto, may order disclosure of such records,
subject to such conditions as the court may impose, if the court finds that disclosure:

      (A) Is in the public interest;

      (B) would not interfere with any prospective law enforcement action;

      (C) would not reveal the identity of any confidential source or undercover agent;

      (D) would not reveal confidential investigative techniques or procedures not known to
the general public;

      (E) would not endanger the life or physical safety of any person; and

      (F) would not reveal the name, address, phone number or any other information which
specifically and individually identifies the victim of any sexual offense in article 35 of chapter
21 of the Kansas Statutes Annotated, and amendments thereto.

      (11) Records of agencies involved in administrative adjudication or civil litigation, com-
piled in the process of detecting or investigating violations of civil law or administrative rules
and regulations, if disclosure would interfere with a prospective administrative adjudication
or civil litigation or reveal the identity of a confidential source or undercover agent.

      (12) Records of emergency or security information or procedures of a public agency,
or plans, drawings, specifications or related information for any building or facility which is
used for purposes requiring security measures in or around the building or facility or which
is used for the generation or transmission of power, water, fuels or communications, if
disclosure would jeopardize security of the public agency, building or facility.

      (13) The contents of appraisals or engineering or feasibility estimates or evaluations
made by or for a public agency relative to the acquisition of property, prior to the award of
formal contracts therefor.

      (14) Correspondence between a public agency and a private individual, other than cor-
respondence which is intended to give notice of an action, policy or determination relating
to any regulatory, supervisory or enforcement responsibility of the public agency or which
is widely distributed to the public by a public agency and is not specifically in response to
communications from such a private individual.

      (15) Records pertaining to employer-employee negotiations, if disclosure would reveal
information discussed in a lawful executive session under K.S.A. 75-4319, and amendments
thereto.

      (16) Software programs for electronic data processing and documentation thereof, but
each public agency shall maintain a register, open to the public, that describes:

      (A) The information which the agency maintains on computer facilities; and

      (B) the form in which the information can be made available using existing computer
programs.

      (17) Applications, financial statements and other information submitted in connection
with applications for student financial assistance where financial need is a consideration for
the award.

      (18) Plans, designs, drawings or specifications which are prepared by a person other
than an employee of a public agency or records which are the property of a private person.

      (19) Well samples, logs or surveys which the state corporation commission requires to
be filed by persons who have drilled or caused to be drilled, or are drilling or causing to be
drilled, holes for the purpose of discovery or production of oil or gas, to the extent that
disclosure is limited by rules and regulations of the state corporation commission.

      (20) Notes, preliminary drafts, research data in the process of analysis, unfunded grant
proposals, memoranda, recommendations or other records in which opinions are expressed
or policies or actions are proposed, except that this exemption shall not apply when such
records are publicly cited or identified in an open meeting or in an agenda of an open
meeting.

      (21) Records of a public agency having legislative powers, which records pertain to
proposed legislation or amendments to proposed legislation, except that this exemption shall
not apply when such records are:

      (A) Publicly cited or identified in an open meeting or in an agenda of an open meeting;
or

      (B) distributed to a majority of a quorum of any body which has authority to take action
or make recommendations to the public agency with regard to the matters to which such
records pertain.

      (22) Records of a public agency having legislative powers, which records pertain to
research prepared for one or more members of such agency, except that this exemption
shall not apply when such records are:

      (A) Publicly cited or identified in an open meeting or in an agenda of an open meeting;
or

      (B) distributed to a majority of a quorum of any body which has authority to take action
or make recommendations to the public agency with regard to the matters to which such
records pertain.

      (23) Library patron and circulation records which pertain to identifiable individuals.

      (24) Records which are compiled for census or research purposes and which pertain to
identifiable individuals.

      (25) Records which represent and constitute the work product of an attorney.

      (26) Records of a utility or other public service pertaining to individually identifiable
residential customers of the utility or service, except that information concerning billings
for specific individual customers named by the requester shall be subject to disclosure as
provided by this act.

      (27) Specifications for competitive bidding, until the specifications are officially ap-
proved by the public agency.

      (28) Sealed bids and related documents, until a bid is accepted or all bids rejected.

      (29) Correctional records pertaining to an identifiable inmate or release, except that:

      (A) The name; photograph and other identifying information; sentence data; parole
eligibility date; custody or supervision level; disciplinary record; supervision violations; con-
ditions of supervision, excluding requirements pertaining to mental health or substance
abuse counseling; location of facility where incarcerated or location of parole office main-
taining supervision and address of a releasee whose crime was committed after the effective
date of this act shall be subject to disclosure to any person other than another inmate or
releasee, except that the disclosure of the location of an inmate transferred to another state
pursuant to the interstate corrections compact shall be at the discretion of the secretary of
corrections;

      (B) the ombudsman of corrections, the attorney general, law enforcement agencies,
counsel for the inmate to whom the record pertains and any county or district attorney shall
have access to correctional records to the extent otherwise permitted by law;

      (C) the information provided to the law enforcement agency pursuant to the sex of-
fender registration act, K.S.A. 22-4901, et seq., and amendments thereto, shall be subject
to disclosure to any person, except that the name, address, telephone number or any other
information which specifically and individually identifies the victim of any offender required
to register as provided by the Kansas offender registration act, K.S.A. 22-4901 et seq. and
amendments thereto, shall not be disclosed; and

      (D) records of the department of corrections regarding the financial assets of an of-
fender in the custody of the secretary of corrections shall be subject to disclosure to the
victim, or such victim's family, of the crime for which the inmate is in custody as set forth
in an order of restitution by the sentencing court.

      (30) Public records containing information of a personal nature where the public dis-
closure thereof would constitute a clearly unwarranted invasion of personal privacy.

      (31) Public records pertaining to prospective location of a business or industry where
no previous public disclosure has been made of the business' or industry's interest in locating
in, relocating within or expanding within the state. This exception shall not include those
records pertaining to application of agencies for permits or licenses necessary to do business
or to expand business operations within this state, except as otherwise provided by law.

      (32) The bidder's list of contractors who have requested bid proposals for construction
projects from any public agency, until a bid is accepted or all bids rejected.

      (33) Engineering and architectural estimates made by or for any public agency relative
to public improvements.

      (34) Financial information submitted by contractors in qualification statements to any
public agency.

      (35) Records involved in the obtaining and processing of intellectual property rights that
are expected to be, wholly or partially vested in or owned by a state educational institution,
as defined in K.S.A. 76-711, and amendments thereto, or an assignee of the institution
organized and existing for the benefit of the institution.

      (36) Any report or record which is made pursuant to K.S.A. 65-4922, 65-4923 or 65-
4924, and amendments thereto, and which is privileged pursuant to K.S.A. 65-4915 or 65-
4925, and amendments thereto.

      (37) Information which would reveal the precise location of an archeological site.

      (38) Any financial data or traffic information from a railroad company, to a public
agency, concerning the sale, lease or rehabilitation of the railroad's property in Kansas.

      (39) Risk-based capital reports, risk-based capital plans and corrective orders including
the working papers and the results of any analysis filed with the commissioner of insurance
in accordance with K.S.A. 1999 Supp. 40-2c20 and section 21, and amendments thereto.

      (40) Memoranda and related materials required to be used to support the annual ac-
tuarial opinions submitted pursuant to subsection (b) of K.S.A. 40-409, and amendments
thereto.

      (41) Disclosure reports filed with the commissioner of insurance under subsection (a)
of K.S.A. 1999 Supp. 40-2,156, and amendments thereto.

      (42) All financial analysis ratios and examination synopses concerning insurance com-
panies that are submitted to the commissioner by the national association of insurance
commissioners' insurance regulatory information system.

      (43) Any records the disclosure of which is restricted or prohibited by a tribal-state
gaming compact.

      (44) Market research, market plans, business plans and the terms and conditions of
managed care or other third party contracts, developed or entered into by the university of
Kansas medical center in the operation and management of the university hospital which
the chancellor of the university of Kansas or the chancellor's designee determines would
give an unfair advantage to competitors of the university of Kansas medical center.

      (b) Except to the extent disclosure is otherwise required by law or as appropriate during
the course of an administrative proceeding or on appeal from agency action, a public agency
or officer shall not disclose financial information of a taxpayer which may be required or
requested by a county appraiser or the director of property valuation to assist in the deter-
mination of the value of the taxpayer's property for ad valorem taxation purposes; or any
financial information of a personal nature required or requested by a public agency or
officer, including a name, job description or title revealing the salary or other compensation
of officers, employees or applicants for employment with a firm, corporation or agency,
except a public agency. Nothing contained herein shall be construed to prohibit the publi-
cation of statistics, so classified as to prevent identification of particular reports or returns
and the items thereof.

      (c) As used in this section, the term ``cited or identified'' shall not include a request to
an employee of a public agency that a document be prepared.

      (d) If a public record contains material which is not subject to disclosure pursuant to
this act, the public agency shall separate or delete such material and make available to the
requester that material in the public record which is subject to disclosure pursuant to this
act. If a public record is not subject to disclosure because it pertains to an identifiable
individual, the public agency shall delete the identifying portions of the record and make
available to the requester any remaining portions which are subject to disclosure pursuant
to this act, unless the request is for a record pertaining to a specific individual or to such a
limited group of individuals that the individuals' identities are reasonably ascertainable, the
public agency shall not be required to disclose those portions of the record which pertain
to such individual or individuals.

      (e) The provisions of this section shall not be construed to exempt from public disclosure
statistical information not descriptive of any identifiable person.

      (f) Notwithstanding the provisions of subsection (a), any public record which has been
in existence more than 70 years shall be open for inspection by any person unless disclosure
of the record is specifically prohibited or restricted by federal law, state statute or rule of
the Kansas supreme court or by a policy adopted pursuant to K.S.A. 72-6214, and amend-
ments thereto.

      New Sec.  43. (a) Sections 43 through 45 and amendments thereto shall be known as
the Kansas health care prompt payment act and shall apply to any policy of accident and
sickness insurance issued or renewed in this state.

      (b) The provisions of the Kansas health care prompt payment act shall take effect and
be in force on and after January 1, 2001.

      New Sec.  44. As used in sections 43 through 45 and amendments thereto:

      (a) The term ``clean claim'' means a claim that has no defect or impropriety, including
any lack of required substantiating documentation, or particular circumstance requiring
special treatment that prevents timely payment from being made on the claim under the
Kansas health care prompt payment act.

      (b) The term ``claim'' means a written proof of loss as defined in paragraph (7) of
subsection (A) of K.S.A. 40-2203, and amendments thereto, or an electronic proof of loss
which contains the information required by paragraph (7) of subsection (A) of K.S.A. 40-
2203, and amendments thereto.

      (c) The term ``policy of accident and sickness insurance'' means any policy or contract
insuring against loss resulting from sickness or bodily injury or death by accident, or both,
any hospital or medical expense policy, health, hospital, medical service corporation contract
issued by a stock or mutual company or association, a health maintenance organization or
any other insurer, third party administrator or other entity which pays claims pursuant to a
policy of accident and sickness insurance. The term policy of accident and sickness insurance
does not include any policy or contract of reinsurance, life insurance, endowment or annuity
contract, policies or certificates covering only credit, disability income, long-term care, med-
icare supplement, dental, drug, or vision-care only policy, coverage issued as a supplement
to liability insurance, insurance arising out of a workers compensation or similar law, au-
tomobile medical-payment insurance or insurance under which benefits are payable without
regard to fault and which is statutorily required to be contained in any liability insurance
policy or equivalent self-insurance.

      New Sec.  45. (a) Within 30 days after receipt of any claim, and amendments thereto,
any insurer issuing a policy of accident and sickness insurance shall pay a clean claim for
reimbursement in accordance with this section or send a written or electronic notice ac-
knowledging receipt of and the status of the claim. Such notice shall include the date such
claim was received by the insurer and state that:

      (1) The insurer refuses to reimburse all or part of the claim and specify each reason for
denial; or

      (2) additional information is necessary to determine if all or any part of the claim will
be reimbursed and what specific additional information is necessary.

      (b) If any insurer issuing a policy of accident and sickness insurance fails to comply with
subsection (a), such insurer shall pay interest at the rate of 1% per month on the amount
of the claim that remains unpaid 30 days after the receipt of the claim. The interest paid
pursuant to this subsection shall be included in any late reimbursement without requiring
the person who filed the original claim to make any additional claim for such interest.

      (c) After receiving a request for additional information, the person claiming reimburse-
ment shall submit all additional information requested by the insurer within 30 days after
receipt of the request for additional information. Failure to furnish such additional infor-
mation within the time required shall not invalidate nor reduce the claim if it was not
reasonably possible to give such information within such time, provided such proof is fur-
nished as soon as possible as defined (within the time prescribed) in paragraph (7) of sub-
section (A) of K.S.A. 40-2203, and amendments thereto.

      (d) Within 15 days after receipt of all the requested additional information, an insurer
issuing a policy of accident and sickness insurance shall pay a clean claim in accordance
with this section or send a written or electronic notice that states:

      (1) Such insurer refuses to reimburse all or part of the claim; and

      (2) specifies each reason for denial. Any insurer issuing a policy of accident and sickness
insurance that fails to comply with this subsection shall pay interest on any amount of the
claim that remains unpaid at the rate of 1% per month.

      (e) The provisions of subsection (b) shall not apply when there is a good faith dispute
about the legitimacy of the claim, or when there is a reasonable basis supported by specific
information that such claim was submitted fraudulently.

      (f) Any violation of this act by an insurer issuing a policy of accident and sickness in-
surance with flagrant and conscious disregard of the provisions of this act or with such
frequency as to constitute a general business practice shall be considered a violation of the
unfair trade practices act in K.S.A. 40-2401 et seq. and amendments thereto.

      (g) The commissioner of insurance shall adopt rules and regulations necessary to carry
out the provisions of the Kansas health care prompt payment act.

      Sec.  46. K.S.A. 1999 Supp. 40-2404 is hereby amended to read as follows: 40-
2404. The following are hereby defined as unfair methods of competition and unfair or
deceptive acts or practices in the business of insurance:

      (1) Misrepresentations and false advertising of insurance policies. Making, issuing, cir-
culating or causing to be made, issued or circulated, any estimate, illustration, circular,
statement, sales presentation, omission or comparison which:

      (a) Misrepresents the benefits, advantages, conditions or terms of any insurance policy;

      (b) misrepresents the dividends or share of the surplus to be received on any insurance
policy;

      (c) makes any false or misleading statements as to the dividends or share of surplus
previously paid on any insurance policy;

      (d) is misleading or is a misrepresentation as to the financial condition of any person,
or as to the legal reserve system upon which any life insurer operates;

      (e) uses any name or title of any insurance policy or class of insurance policies misrep-
resenting the true nature thereof;

      (f) is a misrepresentation for the purpose of inducing or tending to induce the lapse,
forfeiture, exchange, conversion or surrender of any insurance policy;

      (g) is a misrepresentation for the purpose of effecting a pledge or assignment of or
effecting a loan against any insurance policy; or

      (h) misrepresents any insurance policy as being shares of stock.

      (2) False information and advertising generally. Making, publishing, disseminating, cir-
culating or placing before the public, or causing, directly or indirectly, to be made, published,
disseminated, circulated or placed before the public, in a newspaper, magazine or other
publication, or in the form of a notice, circular, pamphlet, letter or poster, or over any radio
or television station, or in any other way, an advertisement, announcement or statement
containing any assertion, misrepresentation or statement with respect to the business of
insurance or with respect to any person in the conduct of such person's insurance business,
which is untrue, deceptive or misleading.

      (3) Defamation. Making, publishing, disseminating or circulating, directly or indirectly,
or aiding, abetting or encouraging the making, publishing, disseminating or circulating of
any oral or written statement or any pamphlet, circular, article or literature which is false,
or maliciously critical of or derogatory to the financial condition of any person, and which
is calculated to injure such person.

      (4) Boycott, coercion and intimidation. Entering into any agreement to commit, or by
any concerted action committing, any act of boycott, coercion or intimidation resulting in
or tending to result in unreasonable restraint of the business of insurance, or by any act of
boycott, coercion or intimidation monopolizing or attempting to monopolize any part of the
business of insurance.

      (5) False statements and entries. (a) Knowingly filing with any supervisory or other
public official, or knowingly making, publishing, disseminating, circulating or delivering to
any person, or placing before the public, or knowingly causing directly or indirectly, to be
made, published, disseminated, circulated, delivered to any person, or placed before the
public, any false material statement of fact as to the financial condition of a person.

      (b) Knowingly making any false entry of a material fact in any book, report or statement
of any person or knowingly omitting to make a true entry of any material fact pertaining to
the business of such person in any book, report or statement of such person.

      (6) Stock operations and advisory board contracts. Issuing or delivering or permitting
agents, officers or employees to issue or deliver, agency company stock or other capital
stock, or benefit certificates or shares in any common-law corporation, or securities or any
special or advisory board contracts or other contracts of any kind promising returns and
profits as an inducement to insurance. Nothing herein shall prohibit the acts permitted by
K.S.A. 40-232, and amendments thereto.

      (7) Unfair discrimination. (a) Making or permitting any unfair discrimination between
individuals of the same class and equal expectation of life in the rates charged for any
contract of life insurance or life annuity or in the dividends or other benefits payable thereon,
or in any other of the terms and conditions of such contract.

      (b) Making or permitting any unfair discrimination between individuals of the same
class and of essentially the same hazard in the amount of premium, policy fees or rates
charged for any policy or contract of accident or health insurance or in the benefits payable
thereunder, or in any of the terms or conditions of such contract, or in any other manner
whatever.

      (c) Refusing to insure, or refusing to continue to insure, or limiting the amount, extent
or kind of coverage available to an individual, or charging an individual a different rate for
the same coverage solely because of blindness or partial blindness. With respect to all other
conditions, including the underlying cause of the blindness or partial blindness, persons who
are blind or partially blind shall be subject to the same standards of sound actuarial principles
or actual or reasonably anticipated experience as are sighted persons. Refusal to insure
includes denial by an insurer of disability insurance coverage on the grounds that the policy
defines ``disability'' as being presumed in the event that the insured loses such person's
eyesight. However, an insurer may exclude from coverage disabilities consisting solely of
blindness or partial blindness when such condition existed at the time the policy was issued.

      (d) Refusing to insure, or refusing to continue to insure, or limiting the amount, extent
or kind of coverage available for accident and health and life insurance to an applicant who
is the proposed insured or charge a different rate for the same coverage or excluding or
limiting coverage for losses or denying a claim incurred by an insured as a result of abuse
based on the fact that the applicant who is the proposed insured is, has been, or may be the
subject of domestic abuse, except as provided in subpart (v). ``Abuse'' as used in this sub-
section (7)(d) means one or more acts defined in subsection (a) or (b) of K.S.A. 60-3102
and amendments thereto between family members, current or former household members,
or current or former intimate partners.

      (i) An insurer may not ask an applicant for life or accident and health insurance who is
the proposed insured if the individual is, has been or may be the subject of domestic abuse
or seeks, has sought or had reason to seek medical or psychological treatment or counseling
specifically for abuse, protection from abuse or shelter from abuse.

      (ii) Nothing in this section shall be construed to prohibit a person from declining to
issue an insurance policy insuring the life of an individual who is, has been or has the
potential to be the subject of abuse if the perpetrator of the abuse is the applicant or would
be the owner of the insurance policy.

      (iii) No insurer that issues a life or accident and health policy to an individual who is,
has been or may be the subject of domestic abuse shall be subject to civil or criminal liability
for the death or any injuries suffered by that individual as a result of domestic abuse.

      (iv) No person shall refuse to insure, refuse to continue to insure, limit the amount,
extent or kind of coverage available to an individual or charge a different rate for the same
coverage solely because of physical or mental condition, except where the refusal, limitation
or rate differential is based on sound actuarial principles.

      (v) Nothing in this section shall be construed to prohibit a person from underwriting or
rating a risk on the basis of a preexisting physical or mental condition, even if such condition
has been caused by abuse, provided that:

      (A) The person routinely underwrites or rates such condition in the same manner with
respect to an insured or an applicant who is not a victim of abuse;

      (B) the fact that an individual is, has been or may be the subject of abuse may not be
considered a physical or mental condition; and

      (C) such underwriting or rating is not used to evade the intent of this section or any
other provision of the Kansas insurance code.

      (vi) Any person who underwrites or rates a risk on the basis of preexisting physical or
mental condition as set forth in subsection (7)(d)(v), shall treat such underwriting or rating
as an adverse underwriting decision pursuant to K.S.A. 40-2,112, and amendments thereto.

      (vii) The provisions of subsection (d) shall apply to all policies of life and accident and
health insurance issued in this state after the effective date of this act and all existing con-
tracts which are renewed on or after the effective date of this act.

      (8) Rebates. (a) Except as otherwise expressly provided by law, knowingly permitting,
offering to make or making any contract of life insurance, life annuity or accident and health
insurance, or agreement as to such contract other than as plainly expressed in the insurance
contract issued thereon; paying, allowing, giving or offering to pay, allow or give, directly or
indirectly, as inducement to such insurance, or annuity, any rebate of premiums payable on
the contract, any special favor or advantage in the dividends or other benefits thereon, or
any valuable consideration or inducement whatever not specified in the contract; or giving,
selling, purchasing or offering to give, sell or purchase as inducement to such insurance
contract or annuity or in connection therewith, any stocks, bonds or other securities of any
insurance company or other corporation, association or partnership, or any dividends or
profits accrued thereon, or anything of value whatsoever not specified in the contract.

      (b) Nothing in subsection (7) or (8)(a) shall be construed as including within the defi-
nition of discrimination or rebates any of the following practices:

      (i) In the case of any contract of life insurance or life annuity, paying bonuses to poli-
cyholders or otherwise abating their premiums in whole or in part out of surplus accumu-
lated from nonparticipating insurance. Any such bonuses or abatement of premiums shall
be fair and equitable to policyholders and for the best interests of the company and its
policyholders;

      (ii) in the case of life insurance policies issued on the industrial debit plan, making
allowance to policyholders who have continuously for a specified period made premium
payments directly to an office of the insurer in an amount which fairly represents the saving
in collection expenses; or

      (iii) readjustment of the rate of premium for a group insurance policy based on the loss
or expense experience thereunder, at the end of the first or any subsequent policy year of
insurance thereunder, which may be made retroactive only for such policy year.

      (9) Unfair claim settlement practices. It is an unfair claim settlement practice if any of
the following or any rules and regulations pertaining thereto are: (A) Committed flagrantly
and in conscious disregard of such provisions, or (B) committed with such frequency as to
indicate a general business practice.

      (a) Misrepresenting pertinent facts or insurance policy provisions relating to coverages
at issue;

      (b) failing to acknowledge and act reasonably promptly upon communications with re-
spect to claims arising under insurance policies;

      (c) failing to adopt and implement reasonable standards for the prompt investigation of
claims arising under insurance policies;

      (d) refusing to pay claims without conducting a reasonable investigation based upon all
available information;

      (e) failing to affirm or deny coverage of claims within a reasonable time after proof of
loss statements have been completed;

      (f) not attempting in good faith to effectuate prompt, fair and equitable settlements of
claims in which liability has become reasonably clear;

      (g) compelling insureds to institute litigation to recover amounts due under an insurance
policy by offering substantially less than the amounts ultimately recovered in actions brought
by such insureds;

      (h) attempting to settle a claim for less than the amount to which a reasonable person
would have believed that such person was entitled by reference to written or printed ad-
vertising material accompanying or made part of an application;

      (i) attempting to settle claims on the basis of an application which was altered without
notice to, or knowledge or consent of the insured;

      (j) making claims payments to insureds or beneficiaries not accompanied by a statement
setting forth the coverage under which payments are being made;

      (k) making known to insureds or claimants a policy of appealing from arbitration awards
in favor of insureds or claimants for the purpose of compelling them to accept settlements
or compromises less than the amount awarded in arbitration;

      (l) delaying the investigation or payment of claims by requiring an insured, claimant or
the physician of either to submit a preliminary claim report and then requiring the subse-
quent submission of formal proof of loss forms, both of which submissions contain substan-
tially the same information;

      (m) failing to promptly settle claims, where liability has become reasonably clear, under
one portion of the insurance policy coverage in order to influence settlements under other
portions of the insurance policy coverage; or

      (n) failing to promptly provide a reasonable explanation of the basis in the insurance
policy in relation to the facts or applicable law for denial of a claim or for the offer of a
compromise settlement.

      (10) Failure to maintain complaint handling procedures. Failure of any person, who is
an insurer on an insurance policy, to maintain a complete record of all the complaints which
it has received since the date of its last examination under K.S.A. 40-222, and amendments
thereto; but no such records shall be required for complaints received prior to the effective
date of this act. The record shall indicate the total number of complaints, their classification
by line of insurance, the nature of each complaint, the disposition of the complaints, the
date each complaint was originally received by the insurer and the date of final disposition
of each complaint. For purposes of this subsection, ``complaint'' means any written com-
munication primarily expressing a grievance related to the acts and practices set out in this
section.

      (11) Misrepresentation in insurance applications. Making false or fraudulent statements
or representations on or relative to an application for an insurance policy, for the purpose
of obtaining a fee, commission, money or other benefit from any insurer, agent, broker or
individual.

      (12) Statutory violations. Any violation of any of the provisions of K.S.A. 40-276a, 40-
1515, and amendments thereto, or K.S.A. 1999 Supp. 40-2,155 and amendments thereto.

      (13) Disclosure of information relating to adverse underwriting decisions and refund of
premiums. Failing to comply with the provisions of K.S.A. 40-2,112, and amendments
thereto, within the time prescribed in such section.

      (14) Rebates and other inducements in title insurance. (a) No title insurance company
or title insurance agent, or any officer, employee, attorney, agent or solicitor thereof, may
pay, allow or give, or offer to pay, allow or give, directly or indirectly, as an inducement to
obtaining any title insurance business, any rebate, reduction or abatement of any rate or
charge made incident to the issuance of such insurance, any special favor or advantage not
generally available to others of the same classification, or any money, thing of value or other
consideration or material inducement. The words ``charge made incident to the issuance of
such insurance'' includes, without limitations, escrow, settlement and closing charges.

      (b) No insured named in a title insurance policy or contract nor any other person directly
or indirectly connected with the transaction involving the issuance of the policy or contract,
including, but not limited to, mortgage lender, real estate broker, builder, attorney or any
officer, employee, agent representative or solicitor thereof, or any other person may know-
ingly receive or accept, directly or indirectly, any rebate, reduction or abatement of any
charge, or any special favor or advantage or any monetary consideration or inducement
referred to in (14)(a).

      (c) Nothing in this section shall be construed as prohibiting:

      (i) The payment of reasonable fees for services actually rendered to a title insurance
agent in connection with a title insurance transaction;

      (ii) the payment of an earned commission to a duly appointed title insurance agent for
services actually performed in the issuance of the policy of title insurance; or

      (iii) the payment of reasonable entertainment and advertising expenses.

      (d) Nothing in this section prohibits the division of rates and charges between or among
a title insurance company and its agent, or one or more title insurance companies and one
or more title insurance agents, if such division of rates and charges does not constitute an
unlawful rebate under the provisions of this section and is not in payment of a forwarding
fee or a finder's fee.

      (e) No title insurer or title agent may accept any order for, issue a title insurance policy
to, or provide services to, an applicant if it knows or has reason to believe that the applicant
was referred to it by any producer of title business or by any associate of such producer,
where the producer, the associate, or both, have a financial interest in the title insurer or
title agent to which business is referred unless the producer has disclosed to the buyer,
seller and lender the financial interest of the producer of title business or associate referring
the title insurance business.

      (f) No title insurer or title agent may accept an order for title insurance business, issue
a title insurance policy, or receive or retain any premium, or charge in connection with any
transaction if: (i) The title insurer or title agent knows or has reason to believe that the
transaction will constitute controlled business for that title insurer or title agent, and (ii)
20% or more of the gross operating revenue of that title insurer or title agent during the six
full calendar months immediately preceding the month in which the transaction takes place
is derived from controlled business. The prohibitions contained in this subparagraph shall
not apply to transactions involving real estate located in a county that has a population, as
shown by the last preceding decennial census, of 10,000 or less.

      (g) The commissioner shall adopt any regulations necessary to carry out the provisions
of this act.

      (15) Disclosure of nonpublic personal information. No person shall disclose any non-
public personal information to a nonaffiliated third party contrary to the provisions of title
V of the Gramm-Leach-Bliley act of 1999 (public law 106-102). The commissioner may adopt
rules and regulations necessary to carry out this section. Such rules and regulations shall be
consistent with and not more restrictive than standards contained in regulations promulgated
under title V of the Gramm-Leach-Bliley act of 1999 (public law 106-102) by federal reg-
ulatory agencies governing financial institutions doing business in Kansas.

      New Sec.  47. As used in sections 47 through 53 and amendments thereto:

      (a) ``Carrier'' means any insurance company, nonprofit medical and hospital service
corporation, nonprofit optometric, dental, or pharmacy service corporation, municipal
group-funded pool, fraternal benefit society or health maintenance organization, as these
terms are defined by chapter 40 of the Kansas Statutes Annotated, and amendments thereto,
that offers health benefit plans covering eligible employees of one or more small employers
in the state.

      (b) ``Health committee'' means the Kansas business health policy committee as specified
in section 48, and amendments thereto.

      (c) ``Dependent'' means the spouse or any child of an eligible employee.

      (d) ``Eligible employee'' shall have the meaning ascribed to it in K.S.A. 40-2209d and
amendments thereto.

      (e) ``Health benefit plan'' means any hospital or medical expense policy, health, hospital
or medical services corporation contract, and a plan provided by a municipal group-funded
pool, or a health maintenance organization contract offered by any employer or any certif-
icate issued under any such policy, contract or plan.

      (f) ``Kansas business health partnership'' or ``health partnership'' means a nonrisk bear-
ing nonprofit corporation that has responded to a request for a proposal by the health
committee and has been selected by the health committee to provide health insurance
through multiple unaffiliated participating carriers to small employers and their employees.

      (g) ``Low wage or modest wage employee'' means any employee whose family income
does not exceed 200% of the poverty level.

      (h) ``Small employer'' shall have the meaning ascribed to it in K.S.A. 40-2209d and
amendments thereto.

      New Sec.  48. (a) The governor of the state of Kansas shall appoint a cabinet level
committee which shall be known as the Kansas business health policy committee.

      (b) The Kansas business health policy committee, hereinafter referred to as the health
committee, shall consist of:

      (1) The secretary of the department of commerce and housing or the secretary's
designee;

      (2) the secretary of the department of social and rehabilitation services or the secretary's
designee;

      (3) the commissioner of insurance or the commissioner's designee;

      (4) one member appointed by the president of the senate;

      (5) one member appointed by the speaker of the house of representatives;

      (6) one member appointed by the minority leader of the senate;

      (7) one member appointed by the minority leader of the house of representatives; and

      (8) three members at large from the private sector appointed by the governor.

      The secretary of each state agency represented on this committee shall provide such staff
and other resources as the health committee may require.

      (c)  (1) The initial meeting of the health committee shall be convened within 60 days
after the effective date of this act by the governor at a time and place designated by the
governor.

      (2) Meetings of the health committee subsequent to its initial meeting shall be held and
conducted in accordance with policies and procedures established by the health committee.

      (3) Commencing at the time of the initial meeting of the health committee, the powers,
authorities, duties and responsibilities conferred and imposed upon the health committee
by this act shall be operative and effective.

      (d) The health committee shall develop and approve a request for proposals for a qual-
ified entity to serve as the Kansas business health partnership, hereinafter referred to as
health partnership, which shall provide a mechanism to combine federal and state subsidies
with contributions from employers and employees to purchase health insurance in accord-
ance with guidelines developed by the health committee.

      (e) The health committee shall evaluate responses to the request for proposals and select
the qualified entity to serve as the health partnership.

      (f) The health committee shall:

      (1) Develop and approve subsidy eligibility criteria provided that:

      (A) Low wage and modest wage employees of small employers shall be eligible for
subsidies if:

      (1) The small employer has not previously offered health insurance coverage; or

      (2) the small employer has previously offered health insurance coverage and a majority
of such small employer's employees are low wage or modest wage employees as defined in
section 1;

      (B) any small employer's employee with a child who is eligible for coverage under the
state childrens' health insurance program established by K.S.A. 1999 Supp. 38-2001 et seq.,
and amendments thereto, or in the state medical assistance program shall be eligible au-
tomatically for a subsidy and shall be included in the determination of eligibility for the
small employer and its low-and-modest wage employees; and

      (C) at least 70% of the small employer's employees are insured through the partnership;
and

      (2) determine and arrange for eligibility determination for subsidies of low wage or
modest wage employees; and

      (3) develop subsidy schedules based upon employee wage levels.

      (g) The health committee shall oversee and monitor the ongoing operation of any sub-
sidy program and the financial accountability of all subsidy funds.

      (h) The health committee is hereby authorized to accept funds from the federal gov-
ernment, or its agencies, or any other source whatsoever for research studies, investigation,
planning and other purposes related to implementation of the objectives of this act. Any
funds so received shall be deposited in the state treasury and shall be credited to a special
revenue fund which is hereby created and shall be known as the health committee insurance
fund and used in accordance with or direction of the contributing federal agencies. Ex-
penditures from such fund may be made for any purpose in keeping with the responsibilities,
functions and authority of the department. Warrants on such fund shall be drawn in the
same manner as required of other state agencies upon vouchers signed by the secretary of
the department of social and rehabilitation services upon receiving prior approval of the
health committee.

      (i) The health committee is authorized to develop policies for the use of additional
federal or private funds to subsidize health insurance coverage for low-and-modest wage
employees of predominantly low-wage small employers.

      (j) The health committee is hereby authorized to organize, or cause to be organized,
one or more advisory committees. No member of any advisory committee established under
this subsection shall receive any payment or other compensation from the health partner-
ship. The membership of each advisory committee established under this subsection shall
contain at least one representative who is a small employer and one representative who is
an eligible employee as defined in section 1 and one representative of the insurance industry.

      New Sec.  49. (a) The health partnership selected by the health committee shall:

      (1) Be a domestic not-for-profit corporation; and

      (2) have a board of directors which includes among its members at least one director
who is a small employer and at least one director who is an employee.

      (3) No director shall have any interest in any business which sells health insurance or
which provides or delivers any health care services.

      (b) Operate the Kansas business health partnership.

      New Sec.  50. The health partnership shall develop and offer two or more health benefit
plans to small employers. In any health benefit plan developed under this act, any carrier
may contract for coverage within the scope of this act notwithstanding any mandated cov-
erages otherwise required by state law. Except for preventative and health screening serv-
ices, the provisions of K.S.A. 40-2,100 to 40-2,105, inclusive, 40-2114 and subsection (i) of
40-2209 and 40-2229 and 40-2230, and K.S.A. 1999 Supp. 40-2,163, 40-2,164, 40-2,165 and
40-2,166, and amendments thereto, shall not be mandatory with respect to any health benefit
plan developed under this act. In performing these duties, the health partnership shall:

      (a) Develop and offer two or more lower-cost benefit plans such that:

      (1) Each health benefit plan is consistent with any criteria established by the health
partnership;

      (2) each health benefit plan shall be offered by all participating carriers except that no
participating carrier shall be required to offer any health benefit plan, or portion thereof,
which such participating carrier is not licensed or authorized to offer in this state;

      (3) no participating carrier shall offer any health benefit plan developed under this act
to any small employer unless such small employer is covered through the health partnership.

      (b) Develop and make available one or more supplemental health benefit plans or one
or more other benefit options so that the total package of health benefits available to all
eligible children who receive health benefits through the health partnership meets, at a
minimum, standards established by the federal health insurance program.

      (c) Offer coverage to any qualifying small employer.

      (d) Offer employees of participating small employers a choice of participating carriers.

      (e)  (1) Include centralized and consolidated enrollment, billing and customer service
functions;

      (2) use one standard enrollment form for all participating carriers; and

      (3) submit one consolidated bill to the small employer.

      (f) Issue or cause to be issued a request for proposals and contract with a qualified
vendor for any administrative or other service not performed by the health committee or
provided to the health committee under subsection (b) of section 48.

      (g) Issue a request for proposals and selectively contract with carriers.

      (h) Establish conditions of participation for small employers that conform with K.S.A.
40-2209b et seq., and amendments thereto, and the health insurance portability and ac-
countability act of 1996 (Public Law 104-191).

      (i) Enroll small employers and their eligible employees and dependents in health benefit
plans developed under this act.

      (j) Bill and collect premiums from participating small employers including any share of
the premium paid by such small employer's enrolled employees.

      (k) Remit funds collected under subsection (h) to the appropriate contracted carriers.

      (l) Provide that each eligible low-or-modest wage employee shall be permitted to enroll
in such employee's choice of participating carrier.

      (m) Develop premium rating policies for small employers.

      (1) In consultation with the health committee, the health partnership shall ensure, to
the maximum extent possible, that the combined effect of the premium rating and subsidy
policies is that subsidized workers and the dependents of such subsidized workers can afford
coverage.

      (2) Any rating policy developed under this subsection may vary with respect to subsidy
status of workers and the dependents of such workers.

      (n) Be authorized to contract for additional group vision, dental and life insurance plans,
and other limited insurance products.

      (o) Take whatever action is necessary to assure that any adult or child who receives
health benefit coverage through the health benefit partnership and who is eligible for the
state medical assistance program shall remain eligible to participate in the state health
insurance premium payment program.

      (p) Coordinate with the department of social and rehabilitation services to assure that
any funds available for the coverage of infants and pregnant women under the state medical
assistance program are also available for the benefit of eligible infants and pregnant women
who receive health benefit coverage through the health partnership.

      New Sec.  51. The health committee may provide a mechanism for direct subsidies to
low and modest wage employees of employers acquiring coverage through a direct contract
with a carrier rather than through the health partnership, and for provision to such em-
ployees of a supplemental benefit plan as described in subsection (a) of section 50.

      New Sec.  52. The department of social and rehabilitation services shall investigate and
pursue all possible policy options to bring into this partnership title XIX and the title XXI
eligible families of any employees employed by a small employer. Further, the department
of social and rehabilitation services shall develop and seek federal approval of any appro-
priate variance or state plan amendment for the state children's health insurance program
established by K.S.A. 1999 Supp. 38-2001 et seq., and amendments thereto, and the state
medical assistance program required to accomplish the purposes of this act.

      New Sec.  53. (a) Sections 47 through 53 and amendments thereto shall be known as
the Kansas business health partnership act.

      (b) The provisions of the Kansas business health partnership act shall expire on July 1,
2002.

      New Sec.  54. As used in sections 54 through 56 and amendments thereto:

      (a)  (1) ``Amusement ride'' means any mechanical or electrical device that carries or
conveys passengers along, around or over a fixed or restricted route or course or within a
defined area for the purpose of giving its passengers amusement, pleasure, thrills or excite-
ment and shall include but not be limited to:

      (A) Rides commonly known as ferris wheels, carousels, parachute towers, bungee jump-
ing, reverse bungee jumping, tunnels of love and roller coasters;

      (B) equipment generally associated with winter activities, such as ski lifts, ski tows, j-
bars, t-bars, chair lifts and aerial tramways;

      (C) equipment not originally designed to be used as an amusement ride, such as cranes
or other lifting devices, when used as part of an amusement ride;

      (D) any inflatable equipment or other device that does not have a rigid structure or
frame and which is inflated or otherwise supported by air pressure; and

      (E) any amusement ride not excluded under paragraph (2) of this subsection.

      (2) ``Amusement ride'' shall not include:

      (A) Games, concessions and associated structures;

      (B) any single passenger coin-operated ride that: (i) Is manually, mechanically or elec-
trically operated; (ii) is customarily placed in a public location; and (iii) does not normally
require the supervision or services of an operator; and

      (C) nonmechanized playground equipment, including, but not limited to, swings, see-
saws, stationary spring-mounted animal features, rider-propelled merry-go-rounds, climb-
ers, slides, trampolines and physical fitness devices.

      (b) ``Operator'' means a person actually engaged in or directly controlling the operations
of an amusement ride.

      (c) ``Owner'' means a person who owns, leases, controls or manages the operations of
an amusement ride and may include the state or any political subdivision of the state.

      New Sec.  55. No amusement ride shall be operated in this state unless at the time of
operation the owner has in effect an insurance policy, written by an insurance company
authorized to do business in Kansas, insuring the owner and operator against liability for
bodily injury to persons arising out of the operation of the amusement ride. Such insurance
policy shall:

      (a) Provide for coverage in an amount not less than $1,000,000 except that this require-
ment shall not apply if the owner of such amusement ride is the state, any subdivision of
the state or a not-for-profit organization organized under the laws of Kansas; and

      (b) name as an additional insured any person contracting with the owner for the amuse-
ment ride's operation.

      New Sec.  56. The governing body of any city or county may establish and enforce safety
standards for amusement rides and may require insurance in an amount which exceeds the
amount required by section 55, and amendments thereto. The governing body of any city
or county may allow, in lieu of an insurance policy, an owner or operator to be self-insured.

      New Sec.  57. (a) Sections 54 through 57 and amendments thereto shall be known as
the amusement ride insurance act.

      (b) The amusement ride insurance act shall take effect and be in force on and after
January 1, 2001.

      Sec.  58. K.S.A. 40-2a23, 40-2b22, 40-12a09 and K.S.A. 1999 Supp. 40-2404, 40-3202,
40-3209, 40-3220, 40-3227, 40-3606 and 45-221 are hereby repealed.'';

      And by renumbering remaining sections accordingly;

      In the title, in line 12, by striking all after the semicolon; in line 13, by striking all before
the second ``concerning''; in line 14, by striking all after the semicolon; in line 15, by striking
all before ``amending'' and inserting ``concerning health maintenance organizations; con-
cerning standards for prompt, fair and equitable settlement of health care claims and pay-
ment for health care services; establishing unfair trade practices act violations;''; in line 16,
by striking all after ``Supp.''; in line 17, by striking all before the second ``and'' and inserting
``40-2404, 40-3202, 40-3209, 40-3220, 40-3227, 40-3606 and 45-221'';

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Don Steffes

                                                                                    Sandy Praeger

                                                                                    Paul Feleciano, Jr.
 Conferees on the part of Senate
                                                                                   

                                                                                    Robert Tomlinson

                                                                                    Don Myers

                                                                                    Tom Burroughs
 Conferees on part of House


   On motion of Rep. Tomlinson, the conference committee report on S. Sub. for HB 2005
was adopted.

 On roll call, the vote was: Yeas 118; Nays 6; Present but not voting: 1; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dreher, Ed-
monds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn,
Garner, Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helger-
son, Henderson, Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jenkins, Jennison, Johnson, Johnston, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether, Lane,
Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays, McClure,
McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison, Judy Mor-
rison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Palmer, Pauls, E.
Peterson, J. Peterson, Phelps, Powell, Powers, Ray, Reardon, Reinhardt, Ruff, Schwartz,
Sharp, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tanner, Thi-
mesch, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber, Weiland, Wells, Welshimer,
Wilk.

 Nays: Dean, Kirk, Pottorff, Rehorn, Tedder, Toelkes.

 Present but not voting: Landwehr.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to HB 2007, submits the following report:

      The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed as Senate Substitute for Substitute for
House Bill No. 2007, as amended by Senate Committee of the Whole, as follows:

      On page 1, following line 15, by inserting:

      ``Section  1. As used in this act:

      (a) ``Abortion'' means an abortion as defined by K.S.A. 65-6701, and amendments
thereto.

      (b)  (1) ``Consideration'' means:

      (A) Any payment made or debt incurred;

      (B) any gift, honorarium or recognition of value bestowed;

      (C) any price, charge or fee which is waived, forgiven, reduced or indefinitely delayed;

      (D) any loan or debt which is canceled or otherwise forgiven; or

      (E) the transfer of any item from one person to another or provision of any service or
granting of any opportunity for which a charge is customarily made, without charge or for
a reduced charge.

      (2) ``Consideration'' shall not mean:

      (A) A payment in an amount not to exceed $25 for the cost of transporting, processing,
preserving and storing fetal tissue; or

      (B) a payment in an amount not to exceed the actual cost, as documented by the delivery
service, of transporting fetal tissue.

      (c) ``Delivery service'' means a common carrier as defined by K.S.A. 66-105, and
amendments thereto, or other person or entity used to transport fetal tissue.

      (d) ``Fetal tissue'' means any tissue, cells or organs obtained from a dead human embryo
or fetus after an abortion or after a stillbirth.

      (e) ``Person'' means a person as defined by K.S.A. 65-425, and amendments thereto.

      (f) ``Stillbirth'' means a stillbirth as defined by K.S.A. 65-2401, and amendments
thereto.

      Sec.  2. Except as specifically provided by this act, nothing in this act shall be construed
as either permitting or prohibiting the use of fetal tissue for any type of scientific, research,
laboratory or other kind of experimentation either prior to or subsequent to any abortion
or stillbirth.

      Sec.  3. This act shall not apply to:

      (a) The transfer of fetal tissue to a pathologist for testing or examination; or

      (b) the transfer of fetal tissue for the purpose of immediate burial, cremation or final
disposition.

      Sec.  4. (a) No person shall solicit, offer, knowingly acquire or accept or transfer any
fetal tissue for consideration.

      (b) No person shall solicit, offer or knowingly acquire or accept or transfer any fetal
tissue for the purpose of transplantation of such tissue into another person if:

      (1) The fetal tissue will be or is obtained pursuant to an abortion; and

      (2)  (A) the donation of such fetal tissue will be or is made pursuant to a promise to
the donating individual that the donated tissue will be transplanted into a recipient specified
by such donating individual;

      (B) such fetal tissue will be transplanted into a relative of the donating individual; or

      (C) the person who solicits or knowingly acquires or accepts the donation of such fetal
tissue has provided consideration for the costs associated with such abortion.

      (c) Any person who intentionally, knowingly or recklessly violates this section shall be
guilty of a severity level 2, nonperson felony.

      Sec.  5. (a) Every person who transfers fetal tissue to another person shall submit an-
nually a written report to the secretary of the department of health and environment which
contains the following:

      (1) The date of transfer;

      (2) a description of the fetal tissue;

      (3) the name and address of the transferor and the transferee;

      (4) the amount of consideration received by the transferor for making the transfer;

      (5) the mode of transfer or shipment; and

      (6) the name of the delivery service.

      (b) The identity of the woman donating the fetal tissue shall be confidential and shall
not be included in any report required by this section.

      (c) No person shall ship fetal tissue without disclosing to the delivery service that human
tissue is contained in such shipment.

      (d) Except as provided herein, information obtained by the secretary of health and
environment under this section shall be confidential and shall not be disclosed in a manner
that would reveal the identity of any person who submits a report to the secretary under
this section. Such information, including information identifying any person submitting a
report hereunder, may be disclosed to the attorney general upon a showing that a reasonable
cause exists to believe that a violation of this act has occurred. Any information disclosed to
the attorney general pursuant to this subsection shall be used solely for the purposes of a
criminal prosecution.

      (e) For the purpose of maintaining confidentiality, reports required by this section shall
identify the name and address of the person submitting such report only by confidential
code number assigned by the secretary of health and environment to such person and the
department of health and environment shall maintain such reports only by such number.

      (f) Any person who intentionally, knowingly or recklessly violates this section shall be
guilty of a class A nonperson misdemeanor.'';

      By renumbering section 1 as section 6;

      Also on page 1, following line 24, by inserting:

      ``(c) Any person who intentionally, knowingly or recklessly violates this section shall be
guilty of a severity level 2, nonperson felony.'';

      Also on page 1, in line 25, by striking ``(c)'' and inserting ``Sec. 7. (a)''; in line 30, by
striking ``(d)'' and inserting ``(b)''; in line 32, by striking ``(e)'' and inserting ``Sec. 8.'';

      By renumbering section 2 as section 9;

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Lana Oleen

                                                                                    John Vratil

                                                                                    Sherman Jones
 Conferees on the part of Senate
                                                                                   

                                                                                    Tony Powell

                                                                                    Becky Hutchins

                                                                                    Thomas Klein
 Conferees on part of House













 On motion of Rep. Powell, the conference committee report on S. Sub. for Sub. HB
2007 was adopted.

 On roll call, the vote was: Yeas 125; Nays 0; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn,
Garner, Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helger-
son, Henderson, Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jenkins, Jennison, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether,
Landwehr, Lane, Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans,
Mays, McClure, McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim
Morrison, Judy Morrison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne,
Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon,
Rehorn, Reinhardt, Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler,
Stone, Storm, Swenson, Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey,
Vining, Wagle, Weber, Weiland, Wells, Welshimer, Wilk.

 Nays: None.

 Present but not voting: None.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to HB 2624, submits the following report:

      The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed as Senate Substitute for House Bill No.
2624, as amended by Senate Committee of the Whole as follows:

      On page 1, in line 22, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 2, in line 9, by striking ``25'' and inserting ``36''; in line 21, before ``K.S.A.'' by
inserting ``On and after July 1, 2000,''; in line 22, by striking ``25'' and inserting ``36''; in line
27, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 3, in line 14, by striking ``25'' and inserting ``36''; in line 26, before ``K.S.A.'' by
inserting ``On and after July 1, 2000,''; in line 27, by striking ``25'' and inserting ``36''; in line
32, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 5, in line 15, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 7, by striking all in lines 42 and 43;

      On page 8, by striking all in lines 1 through 13;

      On page 9, in line 19, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 10, after line 9, by inserting the following:

      ``Sec.  8. K.S.A. 1999 Supp. 46-233 is hereby amended to read as follows: 46-233. (a)
(1) No state officer or employee shall in the capacity as such officer or employee be sub-
stantially involved in the preparation of or participate in the making of a contract with any
person or business by which such officer or employee is employed or in whose business
such officer or employee or any member of such officer's or employee's immediate family
has a substantial interest and no such person or business shall enter into any contract where
any state officer or employee, acting in such capacity, is a signatory to, has been substantially
involved in the preparation of or is a participant in the making of such contract and is
employed by such person or business or such officer or employee or any member of such
officer's or employee's immediate family has a substantial interest in such person or business.

      (2) Except as otherwise provided in this subsection, whenever any individual has par-
ticipated as a state officer or employee in the making of any contract with any person or
business, such individual shall not accept employment with such person or business as an
employee, independent contractor or subcontractor until two years after performance of
the contract is completed or until two years after the individual terminates employment as
a state officer or employee, whichever is sooner. This prohibition on accepting employment
shall not apply in any case in which: (A) A state officer or employee who participated in
making a contract while employed by an institution that is subsequently closed or abolished
or otherwise ceases operations or that has budget reductions imposed that are associated
with such closure and who is laid off from employment with such institution for the reason
of such closure, abolition or cessation of operations or such imposition of budget reductions;
or (B) a state officer or employee who participated in making a contract while employed by
an institution that is scheduled to be closed or abolished or to cease operations, who is
scheduled to be laid off from employment with such institution for the reason of the sched-
uled closure, abolition or cessation of operations, and who voluntarily terminates such em-
ployment after receiving such state officer or employee's notice of the scheduled layoff; (C)
a state officer or employee who participated in making a contract while employed by the
department of corrections at the Topeka correctional facility and who is laid off from such
employment due to the transfer of the reception and diagnostic center from the Topeka
correctional facility to the El Dorado correctional facility; (D) a state officer or employee
who participated in making a contract while employed by the department of corrections at
the Topeka correctional facility and who voluntarily terminates from such employment after
receiving such state officer or employee's notice of scheduled layoff due to the transfer of
the reception and diagnostic center from the Topeka correctional facility to the El Dorado
correctional facility; (E) a state officer or employee who participated in making a contract
while employed by the department of social and rehabilitation services within the division
of services for the blind or at Kansas industries for the blind at facilities located on the
Topeka state hospital property, as defined by K.S.A. 1999 Supp. 75-37,123 and amendments
thereto, and who is laid off from such employment due to the closure, abolition or other
cessation of operations of the Kansas industries for the blind as a state program at such
location; or (F) a state officer or employee who participated in making a contract while
employed by the department of social and rehabilitation services within the division of
services for the blind or at Kansas industries for the blind at facilities located on the Topeka
state hospital property, as defined by K.S.A. 1999 Supp. 75-37,123 and amendments thereto,
and who voluntarily terminates from such employment after receiving such state officer's or
employee's notice of scheduled layoff due to the closure, abolition or other cessation of
operations of the Kansas industries for the blind as a state program at such location. As used
in this subsection (a)(2), ``laid off'' and ``layoff'' mean, in the case of a state officer or em-
ployee in the classified service under the Kansas civil service act, being laid off under K.S.A.
75-2948, and amendments thereto, and, in the case of a state officer or employee in the
unclassified service under the Kansas civil service act, being terminated from employment
with the state agency by the appointing authority, except that ``laid off`` and ``layoff'' shall
not include any separation from employment pursuant to a budget reduction or expenditure
authority reduction and a reduction of F.T.E. positions under K.S.A. 75-6801, and amend-
ments thereto; and ``institution'' means Topeka state hospital or Winfield state hospital and
training center.

      (b) No individual shall, while a legislator or within one year after the expiration of a
term as legislator, be interested pecuniarily, either directly or indirectly, in any contract
with the state, which contract is funded in whole or in part by any appropriation or is
authorized by any law passed during such term, except that the prohibition of this subsection
(b) shall not apply to any contract interest in relation to which a disclosure statement is filed
as provided by K.S.A. 46-239, and amendments thereto.

      (c) No individual, while a legislator or within one year after the expiration of a term as
a legislator, shall represent any person in a court proceeding attacking any legislative action
taken or enactment made during any term such individual served as a legislator as being
unconstitutional because of error in the legislative process with respect to such action or
enactment unless such legislator voted no upon the enactment of the measure and declared
on the record, during such term, that such legislation was unconstitutional. The prohibition
of this subsection (c) shall not apply to a current or former legislator charged with a violation
of such legislative action or enactment.

      (d) Subsections (a) and (b) shall not apply to the following:

      (1) Contracts let after competitive bidding has been advertised for by published notice;
and

      (2) Contracts for property or services for which the price or rate is fixed by law.

      (e) When used in this section:

      (1) ``Substantial interest'' shall have the same meaning ascribed thereto by K.S.A. 46-
229, and amendments thereto, and any such interest held within the preceding 12 months
of the act or event of participating in the preparation of making a contract.

      (2) ``Substantially involved in the preparation or participate in the making of a contract''
means having approved or disapproved a contract or having provided significant factual or
specific information or advice or recommendations in relation to the negotiated terms of
the contract.'';

      Sec.  9. On and after July 1, 2000, K.S.A. 1999 Supp. 74-4914 is hereby amended to
read as follows: 74-4914. (1) The normal retirement date for a member of the system shall
be the first day of the month coinciding with or following termination of employment with
any participating employer not followed by employment with any participating employer
within 30 days and the attainment of age 65 or, commencing July 1, 1993, age 62 with the
completion of 10 years of credited service or the first day of the month coinciding with or
following the date that the total of the number of years of credited service and the number
of years of attained age of the member is equal to or more than 85. In no event shall a
normal retirement date for a member be before six months after the entry date of the
participating employer by whom such member is employed. A member may retire on the
normal retirement date or on the first day of any month thereafter upon the filing with the
office of the retirement system of an application in such form and manner as the board shall
prescribe. Nothing herein shall prevent any person, member or retirant from being em-
ployed, appointed or elected as an employee, appointee, officer or member of the legislature.
Elected officers may retire from the system on any date on or after the attainment of the
normal retirement date, but no retirement benefits payable under this act shall be paid until
the member has terminated such member's office.

      (2) No retirant shall make contributions to the system or receive service credit for any
service after the date of retirement.

      (3) Any member who is an employee of an affiliating employer pursuant to K.S.A. 74-
4954b and amendments thereto and has not withdrawn such member's accumulated con-
tributions from the Kansas police and firemen's retirement system may retire before such
member's normal retirement date on the first day of any month coinciding with or following
the attainment of age 55.

      (4) Any member may retire before such member's normal retirement date on the first
day of any month coinciding with or following termination of employment with any partic-
ipating employer not followed by employment with any participating employer within 30
days and the attainment of age 55 with the completion of 10 years of credited service, but
in no event before six months after the entry date, upon the filing with the office of the
retirement system of an application for retirement in such form and manner as the board
shall prescribe.

      (5) If a retirant who retired on or after July 1, 1988, is employed or appointed in or to
any position or office for which compensation for service is paid in an amount equal to
$15,000 or more in any one such calendar year, by any participating employer for which
such retirant was employed or appointed during the final two years of such retirant's par-
ticipation, such retirant shall not receive any retirement benefit for any month for which
such retirant serves in such position or office. The participating employer shall report to the
system within 30 days of when the compensation paid to the retirant is equal to or exceeds
any limitation provided by this section. Any retirant employed by a participating employer
shall not make contributions nor receive additional credit under such system for such service
except as provided by this section. Upon request of the executive secretary of the system,
the secretary of revenue shall provide such information as may be needed by the executive
secretary to carry out the provisions of this act. The provisions of this subsection shall not
apply to retirants employed as substitute teachers or officers, employees, or appointees or
members of the legislature or any other elected officials. The provisions of this subsection
shall not apply to members of the legislature prior to January 8, 2000. The provisions of this
subsection shall not apply to any other elected officials prior to the term of office of such
elected official which commences on or after July 1, 2000. The provisions of this subsection
shall apply to any other elected official on and after the term of office of such other elected
official which commences on or after July 1, 2000. Except as otherwise provided, commencing
January 8, 2001, the provisions of this subsection shall apply to members of the legislature.
For determination of the amount of compensation paid pursuant to this subsection, for
members of the legislature, compensation shall include any amount paid as provided pur-
suant to subsections (a), (b), (c) and (d) of K.S.A. 46-137a, and amendments thereto, or
pursuant to K.S.A. 46-137b, and amendments thereto. Notwithstanding any provision of law
to the contrary, when a member of the legislature is paid an amount of compensation of
$15,000 or more in any one calendar year, the member may continue to receive any amount
provided in subsections (b) and (d) of K.S.A. 46-137a, and amendments thereto, and still be
entitled to receive such member's retirement benefit.

      (6) For purposes of this section, any employee of a local governmental unit which has
its own pension plan who becomes an employee of a participating employer as a result of a
merger or consolidation of services provided by local governmental units, which occurred
on January 1, 1994, may count service with such local governmental unit in determining
whether such employee has met the years of credited service requirements contained in
this section.;

      Sec.  10. On and after July 1, 2000, K.S.A. 74-4914c is hereby amended to read as
follows: 74-4914c. (1) Notwithstanding the provisions of K.S.A. 74-4914, 74-4915 and sub-
section (23) of K.S.A. 74-4902, and amendments thereto, the normal retirement date for all
security officers, as defined by paragraph (a) or (b) of subsection (1) of K.S.A. 74-4914a and
amendments thereto, with at least three consecutive years of service as such security officer
immediately preceding the date of retirement, shall be the first day of the month coinciding
with or following the attainment of age 55 and, and commencing July 1, 2000, the first day
of the month coinciding with or following the date that the total of the number of years of
credited service and the number of years of attained age of the security officer is equal to
or more than 85. Any such security officer may retire before such normal retirement date
on the first day of any month coinciding with or following the attainment of age 50 or
completion of 10 years of credited service, whichever occurs later.

      (2)  (a) Except as otherwise provided in paragraph (b) of this subsection (2), any security
officer, as defined by paragraph (a) or (b) of subsection (1) of K.S.A. 74-4914a and amend-
ments thereto, who retires before the normal retirement date shall receive an annual re-
tirement benefit equal to the annual retirement benefit payable had such security officer
retired on the normal retirement date but based upon such security officer's final average
salary and years of participating and prior service credited to the date of actual retirement
reduced by an amount equal to the product of (i) such annual retirement benefit payable
had such security officer retired on the normal retirement date, multiplied by (ii) the product
of .6% multiplied by the number of months difference, to the nearest whole month, between
such security officer's attained age at the time of retirement and age 55.

      (b) Any security officer, as defined by paragraph (a) or (b) of subsection (1) of K.S.A.
74-4914a and amendments thereto, who retires on or after July 1, 1982, and prior to July
1, 1987, before the normal retirement date shall receive an annual retirement benefit equal
to the annual retirement benefit payable had such security officer retired on the normal
retirement date but based upon such security officer's final average salary and years of
participating and prior service credited to the date of actual retirement reduced by an
amount equal to the product of (i) such annual retirement benefit payable had such security
officer retired on the normal retirement date, multiplied by (ii) the product of .3% multiplied
by the number of months difference, to the nearest whole month, between such security
officer's attained age at the time of retirement and age 55.

      (c) Any security officer, as defined by paragraph (a) or (b) of subsection (1) of K.S.A.
74-4914a and amendments thereto, who retires on or after July 1, 1990, before the normal
retirement date shall receive an annual retirement benefit equal to the annual retirement
benefit payable had such security officer retired on the normal retirement date but based
upon such security officer's final average salary and years of participating and prior service
credited to the date of actual retirement reduced by an amount equal to the product of (i)
such annual retirement benefit payable had such security officer retired on the normal
retirement date, multiplied by (ii) the product of .2% multiplied by the number of months
difference, to the nearest whole month, between such security officer's attained age at the
time of retirement and age 55.

      (3) Notwithstanding the provisions of K.S.A. 74-4914, 74-4915 and subsection (23) of
K.S.A. 74-4902, the normal retirement date for all security officers, as defined by paragraph
(c), (d), (e) or (f) of subsection (1) of K.S.A. 74-4914a and amendments thereto, with at
least three consecutive years of service as such security officer immediately preceding the
date of retirement, shall be the first day of the month coinciding with or following the
attainment of age 60 and, and commencing July 1, 2000, the first day of the month coinciding
with or following the date that the total of the number of years of credited service and the
number of years of attained age of the security officer is equal to or more than 85. Any such
security officer may retire before such normal retirement date on the first day of any month
coinciding with or following the attainment of age 55 or completion of 10 years of credited
service, whichever occurs later.

      (4) (a) Except as otherwise provided in paragraph (b) of this subsection (4), any security
officer, as defined by paragraph (c), (d), (e) or (f) of subsection (1) of K.S.A. 74-4914a and
amendments thereto, who retires before the normal retirement date shall receive an annual
retirement benefit equal to the annual retirement benefit payable had such security officer
retired on the normal retirement date but based upon such security officer's final average
salary and years of participating and prior service credited to the date of actual retirement
reduced by an amount equal to the product of (i) such annual retirement benefit payable
had such security officer retired on the normal retirement date, multiplied by (ii) the product
of .6% multiplied by the number of months difference, to the nearest whole month, between
such security officer's attained age at the time of retirement and age 60.

      (b) Any security officer, as defined by paragraph (c), (d), (e) or (f) of subsection (1) of
K.S.A. 74-4914a and amendments thereto, who retires on or after July 1, 1982, and prior
to July 1, 1987, before the normal retirement date shall receive an annual retirement benefit
equal to the annual retirement benefit payable had such security officer retired on the
normal retirement date but based upon such security officer's final average salary and years
of participating and prior service credited to the date of actual retirement reduced by an
amount equal to the product of (i) such annual retirement benefit payable had such security
officer retired on the normal retirement date, multiplied by (ii) the product of .3% multiplied
by the number of months difference, to the nearest whole month, between such security
officer's attained age at the time of retirement and age 60.

      (c) Any security officer, as defined by paragraph (c), (d), (e) or (f) of subsection (1) of
K.S.A. 74-4914a and amendments thereto, who retires on or after July 1, 1990, before the
normal retirement date shall receive an annual retirement benefit equal to the annual re-
tirement benefit payable had such security officer retired on the normal retirement date
but based upon such security officer's final average salary and years of participating and
prior service credited to the date of actual retirement reduced by an amount equal to the
product of (i) such annual retirement benefit payable had such security officer retired on
the normal retirement date, multiplied by (ii) the product of .2% multiplied by the number
of months difference, to the nearest whole month, between such security officer's attained
age at the time of retirement and age 60.'';

      And by renumbering sections accordingly;

      Also on page 10, in line 10 before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 12, by striking all in lines 34 through 43;

      On page 13, by striking all in lines 1 through 5;

      On page 14, in line 11, before ``K.S.A.'' by inserting ``On and after July 1, 2000,''; in line
43, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 15, by striking all in lines 35 through 43;

      By striking all on pages 16 through 18;

      On page 19, by striking all in lines 1 through 32;

      And by renumbering sections accordingly;

      Also on page 19, in line 33, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 27, in line 9, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 28, by striking all in lines 22 through 43;

      By striking all on pages 29 through 33;

      On page 34, by striking all in lines 1 and 2 and by inserting the following;

      ``Sec.  16. On and after July 1, 2000, K.S.A. 1999 Supp. 74-4927, as amended by section
5 of 2000 House Bill No. 2034, is hereby amended to read as follows: 74-4927. (1) The
board may establish a plan of death and long-term disability benefits to be paid to the
members of the retirement system as provided by this section. The long-term disability
benefit shall not be payable until the member has been prevented from carrying out each
and every duty pertaining to the member's employment as a result of sickness or injury for
a period of 180 days and the annual benefit shall not exceed an amount equal to 662/3% of
the member's annual rate of compensation on the date such disability commenced and shall
be payable in equal monthly installments. In the event that a member's compensation is not
fixed at an annual rate but on an hourly, weekly, biweekly, monthly or any other basis than
annual, the board shall prescribe by rule and regulation a formula for establishing a reason-
able rate of annual compensation to be used in determining the amount of the death or
long-term disability benefit for such member. Such plan shall provide that:

      (A) For deaths occurring prior to January 1, 1987, the right to receive such death benefit
shall cease upon the member's attainment of age 70 or date of retirement whichever first
occurs. The right to receive such long-term disability benefit shall cease (i) for a member
who becomes eligible for such benefit before attaining age 60, upon the date that such
member attains age 65 or the date of such member's retirement, whichever first occurs, (ii)
for a member who becomes eligible for such benefit at or after attaining age 60, the date
that such member has received such benefit for a period of five years, upon the date that
such member attains age 70, or upon the date of such member's retirement, whichever first
occurs, (iii) for all disabilities incurred on or after January 1, 1987, for a member who
becomes eligible for such benefit at or after attaining age 70, the date that such member
has received such benefit for a period of 12 months or upon the date of such member's
retirement, whichever first occurs, and (iv) for all disabilities incurred on or after January
1, 1987, for a member who becomes eligible for such benefit at or after attaining age 75,
the date that such member has received such benefit for a period of six months or upon
the date of such member's retirement, whichever first occurs.

      (B) Long-term disability benefit payments shall be in lieu of any accidental total disa-
bility benefit that a member may be eligible to receive under subsection (3) of K.S.A. 74-
4916 and amendments thereto. The member must make an initial application for social
security disability benefits and, if denied such benefits, the member must pursue and exhaust
all administrative remedies of the social security administration which include, but are not
limited to, reconsideration and hearings. Such plan may provide that any amount which a
member receives as a social security benefit or a disability benefit or compensation from
any source by reason of any employment including, but not limited to, workers compensation
benefits may be deducted from the amount of long-term disability benefit payments under
such plan. During the period in which such member is pursuing such administrative rem-
edies prior to a final decision of the social security administration, social security disability
benefits may be estimated and may be deducted from the amount of long-term disability
benefit payments under such plan. Such long-term disability payments shall accrue from
the later of the 181st day of total disability or the first day upon which the member ceases
to draw compensation from the employer. If the social security benefit, workers compen-
sation benefit, other income or wages or other disability benefit by reason of employment,
or any part thereof, is paid in a lump-sum, the amount of the reduction shall be calculated
on a monthly basis over the period of time for which the lump-sum is given. In no case shall
a member who is entitled to receive long-term disability benefits receive less than $50 per
month. As used in this section, ``workers compensation benefits'' means the total award of
disability benefit payments under the workers compensation act notwithstanding any pay-
ment of attorney fees from such benefits as provided in the workers compensation act.

      (C) The plan may include other provisions relating to qualifications for benefits; sched-
ules and graduation of benefits; limitations of eligibility for benefits by reason of termination
of employment or membership; conversion privileges; limitations of eligibility for benefits
by reason of leaves of absence, military service or other interruptions in service; limitations
on the condition of long-term disability benefit payment by reason of improved health;
requirements for medical examinations or reports; or any other reasonable provisions as
established by rule and regulation of uniform application adopted by the board.

      (D) On and after April 30, 1981, the board may provide under the plan for the contin-
uation of long-term disability benefit payments to any former member who forfeits the
entitlement to continued service credit under the retirement system or continued assistance
in the purchase of retirement annuities under K.S.A. 74-4925 and amendments thereto and
to continued long-term disability benefit payments and continued death benefit coverage,
by reason of the member's withdrawal of contributions from the retirement system or the
repurchase of retirement annuities which were purchased with assistance received under
K.S.A. 74-4925 and amendments thereto. Such long-term disability benefit payments may
be continued until such individual dies, attains age 65 or is no longer disabled, whichever
occurs first.

      (E) Any visually impaired person who is in training at and employed by a sheltered
workshop for the blind operated by the secretary of social and rehabilitation services and
who would otherwise be eligible for the long-term disability benefit as described in this
section shall not be eligible to receive such benefit due to visual impairment as such im-
pairment shall be determined to be a preexisting condition.

      (2)  (A) In the event that a member becomes eligible for a long-term disability benefit
under the plan authorized by this section such member shall be given participating service
credit for the entire period of such disability. Such member's final average salary shall be
computed in accordance with subsection (17) of K.S.A. 74-4902 and amendments thereto
except that the years of participating service used in such computation shall be the years of
salaried participating service.

      (B) In the event that a member eligible for a long-term disability benefit under the plan
authorized by this section shall be disabled for a period of five years or more immediately
preceding retirement, such member's final average salary shall be adjusted upon retirement
by the actuarial salary assumption rates in existence during such period of disability. Effec-
tive July 1, 1993, such member's final average salary shall be adjusted upon retirement by
5% for each year of disability after July 1, 1993, but before July 1, 1998. Effective July 1,
1998, such member's final average salary shall be adjusted upon retirement by an amount
equal to the lesser of: (i) The percentage increase in the consumer price index for all urban
consumers as published by the bureau of labor statistics of the United States department
of labor minus 1%; or (ii) four percent per annum, measured from the month the disability
occurs the member's last day on the payroll to the month that is two months prior to the
month of retirement, for each year of disability after July 1, 1998.

      (C) In the event that a member eligible for a long-term disability benefit under the plan
authorized by this section shall be disabled for a period of five years or more immediately
preceding death, such member's current annual rate shall be adjusted by the actuarial salary
assumption rates in existence during such period of disability. Effective July 1, 1993, such
member's current annual rate shall be adjusted upon death by 5% for each year of disability
after July 1, 1993, but before July 1, 1998. Effective July 1, 1998, such member's current
annual rate shall be adjusted upon death by an amount equal to the lesser of: (i) The
percentage increase in the consumer price index for all urban consumers published by the
bureau of labor statistics of the United States department of labor minus 1%; or (ii) four
percent per annum, measured from the month the disability occurs the member's last day
on the payroll to the month that is two months prior to the month of death, for each year
of disability after July 1, 1998.

      (3)  (A) To carry out the legislative intent to provide, within the funds made available
therefor, the broadest possible coverage for members who are in active employment or
involuntarily absent from such active employment, the plan of death and long-term disability
benefits shall be subject to adjustment from time to time by the board within the limitations
of this section. The plan may include terms and provisions which are consistent with the
terms and provisions of group life and long-term disability policies usually issued to those
employers who employ a large number of employees. The board shall have the authority to
establish and adjust from time to time the procedures for financing and administering the
plan of death and long-term disability benefits authorized by this section. Either the insured
death benefit or the insured disability benefit or both such benefits may be financed directly
by the system or by one or more insurance companies authorized and licensed to transact
group life and group accident and health insurance in this state.

      (B) The board may contract with one or more insurance companies, which are author-
ized and licensed to transact group life and group accident and health insurance in Kansas,
to underwrite or to administer or to both underwrite and administer either the insured
death benefit or the long-term disability benefit or both such benefits. Each such contract
with an insurance company under this subsection shall be entered into on the basis of
competitive bids solicited and administered by the board. Such competitive bids shall be
based on specifications prepared by the board.

      (i) In the event the board purchases one or more policies of group insurance from such
company or companies to provide either the insured death benefit or the long-term disability
benefit or both such benefits, the board shall have the authority to subsequently cancel one
or more of such policies and, notwithstanding any other provision of law, to release each
company which issued any such canceled policy from any liability for future benefits under
any such policy and to have the reserves established by such company under any such
canceled policy returned to the system for deposit in the group insurance reserve of the
fund.

      (ii) In addition, the board shall have the authority to cancel any policy or policies of
group life and long-term disability insurance in existence on the effective date of this act
and, notwithstanding any other provision of law, to release each company which issued any
such canceled policy from any liability for future benefits under any such policy and to have
the reserves established by such company under any such canceled policy returned to the
system for deposit in the group insurance reserve of the fund. Notwithstanding any other
provision of law, no premium tax shall be due or payable by any such company or companies
on any such policy or policies purchased by the board nor shall any brokerage fees or
commissions be paid thereon.

      (4)  (A) There is hereby created in the state treasury the group insurance reserve fund.
Investment income of the fund shall be added or credited to the fund as provided by law.
The cost of the plan of death and long-term disability benefits shall be paid from the group
insurance reserve fund, which shall be administered by the board. Except as otherwise
provided by this subsection, each participating employer shall appropriate and pay to the
system in such manner as the board shall prescribe in addition to the employee and employer
retirement contributions an amount equal to .6% of the amount of compensation on which
the members' contributions to the Kansas public employees retirement system are based
for deposit in the group insurance reserve fund. Notwithstanding the provisions of this
subsection, no participating employer shall appropriate and pay to the system any amount
provided for by this subsection for deposit in the group insurance reserve fund for the period
commencing on April 1, 2000, and ending on June 30, 2001.

      (B) The director of the budget and the governor shall include in the budget and in the
budget request for appropriations for personal services a sum to pay the state's contribution
to the group insurance reserve fund as provided by this section and shall present the same
to the legislature for allowances and appropriation.

      (C) The provisions of subsection (4) of K.S.A. 74-4920 and amendments thereto shall
apply for the purpose of providing the funds to make the contributions to be deposited to
the group insurance reserve fund.

      (D) Any dividend or retrospective rate credit allowed by an insurance company or com-
panies shall be credited to the group insurance reserve fund and the board may take such
amounts into consideration in determining the amounts of the benefits under the plan
authorized by this section.

      (5) The death benefit provided under the plan of death and long-term disability benefits
authorized by this section shall be known and referred to as insured death benefit. The
long-term disability benefit provided under the plan of death and long-term disability ben-
efits authorized by this section shall be known and referred to as long-term disability benefit.

      (6) The board is hereby authorized to establish an optional death benefit plan. Except
as provided in subsection (7), such optional death benefit plan shall be made available to
all employees who are covered or may hereafter become covered by the plan of death and
long-term disability benefits authorized by this section. The cost of the optional death benefit
plan shall be paid by the applicant either by means of a system of payroll deductions or
direct payment to the board. The board shall have the authority and discretion to establish
such terms, conditions, specifications and coverages as it may deem to be in the best interest
of the state of Kansas and its employees which should include term death benefits for the
person's period of active state employment regardless of age, but in no case, on and after
January 1, 1989, shall the maximum allowable coverage be less than $200,000. The cost of
the optional death benefit plan shall not be established on such a basis as to unreasonably
discriminate against any particular age group. The board shall have full administrative re-
sponsibility, discretion and authority to establish and continue such optional death benefit
plan and the director of accounts and reports of the department of administration shall when
requested by the board and from funds appropriated or available for such purpose establish
a system to make periodic deductions from state payrolls to cover the cost of the optional
death benefit plan coverage under the provisions of this subsection (6) and shall remit all
deductions together with appropriate accounting reports to the system. There is hereby
created in the state treasury the optional death benefit plan reserve fund. Investment income
of the fund shall be added or credited to the fund as provided by law. All funds received by
the board, whether in the form of direct payments, payroll deductions or otherwise, shall
be accounted for separately from all other funds of the retirement system and shall be paid
into the optional death benefit plan reserve fund, from which the board is authorized to
make the appropriate payments and to pay the ongoing costs of administration of such
optional death benefit plan as may be incurred in carrying out the provisions of this sub-
section (6).

      (7) Any employer other than the state of Kansas which is currently a participating em-
ployer of the Kansas public employees retirement system or is in the process of affiliating
with the Kansas public employees retirement system may also elect to affiliate for the pur-
poses of subsection (6). All such employers shall make application for affiliation with such
system, to be effective on January 1 next following application. Such optional death benefit
plan shall not be available for employees of employers specified under this subsection until
after July 1, 1988.''

      Also on page 34, in line 3, before ``K.S.A.'' by inserting ``On and after July 1, 2000,''; in
line 35, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 35, in line 8, by striking ``25'' and inserting ``36'';

      On page 36, in line 20, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';in line
34, by striking ``25'' and inserting ``36'';

      On page 38, in line 8, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 39, in line 18, by striking ``25'' and inserting ``36'';

      On page 40, in line 28, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 41, in lines 25, 31 and 40, by striking ``Pursuant to the provisions of section 25,
and amendments thereto,''; in lines 26, 32 and 41, by striking ``in'' and inserting ``In'';

      On page 43, in line 17, by striking ``25'' and inserting ``36'';

      On page 45, in line 28, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 46, in line 3, by striking ``25'' and inserting ``36'';

      On page 48, in line 26, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 51, by striking all in lines 24 through 38;

      On page 52, in line 39, before ``K.S.A.'' by inserting ``On and after July 1, 2000,'';

      On page 55, by striking all in lines 38 through 43;

      On page 56, by striking all in lines 1 through 9;

      On page 57, in line 12, before ``K.S.A.'' by inserting ``On and after July 1, 2000,''; in line
14, by striking ``25'' and inserting ``36''; after line 28, by inserting the following:

      ``Sec.  26. On and after July 1, 2000, K.S.A. 75-2929d is hereby amended to read as
follows: 75-2929d. (a) The state civil service board shall hear appeals taken to it pursuant
to: (1) K.S.A. 75-2940, 75-2949 and 75-3747, and amendments thereto, concerning demo-
tion, dismissal or suspension of a permanent employee in the classified service, or concerning
refusal to examine an applicant or to certify a person as eligible for a job class, and (2)
K.S.A. 75-2973, and amendments thereto, concerning disciplinary action in violation of that
statute.

      (b) When an appeal is taken to the board, the board shall establish a time and a place
for the hearing which shall be held within 45 days after receipt of request for the appeal.
The board shall notify the person bringing the appeal and the appointing authority or other
person whose action is being reviewed of the time and the place of the hearing at least 14
days prior to such hearing. Each party at the hearing shall have the right to be represented
by a person of the party's own choice. Hearings shall be conducted in accordance with the
provisions of the Kansas administrative procedure act. For purposes of the administrative
procedure act, the state civil service board shall be deemed the agency head. The board
may affirm, modify or reverse an agency action and order any other action it deems
appropriate.

      (c) The board, or the director of personnel services when authorized by majority vote
of the board, may take deposition of depose witnesses. Either party to a hearing may depose
witnesses in accordance with the Kansas administrative procedure act. If books and papers
are required to be produced in advance of a hearing date, the person or agency producing
the books and papers shall be entitled to receive reasonable compensation to recover all
costs of such production from the person or agency for which they are produced. The board,
any presiding officer or the director may examine such public records as may be required
in relation to any matter which the board has authority to investigate.

      (d) Each person not in the classified or unclassified service who appears before the
board or the director by order shall receive for such person's attendance the fees and mileage
provided for witnesses in civil actions in the district court, which. Such fees and mileage
shall be audited and paid by the state upon presentation of proper vouchers. Each witness
subpoenaed at the request of parties other than the board or the director shall be entitled
to compensation from the state for attendance or travel only if the board certifies that the
testimony of such witness was relevant and material to the matter investigated or, if such
witness is not called to testify, the board determines and certifies that such compensation
should be paid.

      Sec.  27. On and after July 1, 2000, K.S.A. 75-2949 is hereby amended to read as follows:
75-2949. (a) An appointing authority may dismiss or demote any permanent employee in
the classified service when the appointing authority considers that the good of the service
will be served thereby and. For disciplinary purposes, an appointing authority may suspend
without pay a permanent classified employee for a period not to exceed 30 calendar days,
but. No permanent employee in the classified service shall be dismissed, demoted or sus-
pended for political, religious, racial or other nonmerit reasons.

      (b) Prior to dismissal, demotion or suspension of a permanent employee in the classified
service, the appointing authority shall furnish the employee by certified mail to the em-
ployee's last known address, return receipt requested, or by personal delivery, a statement
in writing specifically setting forth the reasons and factual basis therefor. A copy of such
statement shall be furnished immediately to the director. This statement shall contain notice
of the proposed dismissal, demotion or suspension and shall specify the proposed effective
date thereof. Except as otherwise provided in the Kansas civil service act, a proposed sus-
pension, demotion or dismissal shall become effective no less than three calendar days nor
more than 14 calendar days following the date the notice of such proposed suspension,
demotion or dismissal is personally delivered to the employee or deposited with the post
office as certified mail. If in the opinion of the appointing authority conditions warrant, the
appointing authority may relieve the employee of duties or change the duties of the em-
ployee during such period. If the employee is relieved from duty during such period, the
employee may be continued in pay status, or placed on leave of absence without pay by the
appointing authority. In the statement proposing suspension, demotion or dismissal, the
appointing authority shall offer the employee who is proposed to be suspended, demoted
or dismissed an opportunity to reply in writing, or appear in person, or both, before the
appointing authority or a designated representative of the appointing authority, on the issue
of the proposed suspension, demotion or dismissal prior to the time such suspension, de-
motion or dismissal is specified by the notice to become effective. The statement shall specify
the date, time and place by, or at which, the employee may reply in writing or appear, or
both. If the employee chooses to appear in person on the issue of the proposed action, the
employee may be represented by a person of the employee's choice.

      (c) Upon request by the employee, or upon the initiative of the appointing authority,
the appointing authority may extend the time for reply or appearance, or both, if the cir-
cumstances warrant. Notice of any such extension shall be furnished to the employee and
to the director of personnel services. The proposed suspension, demotion or dismissal shall
not become effective until after the extended period has expired.

      (d) Following the employee's response to the opportunity to reply to the proposed
action, or upon expiration of the time for such reply, if no reply is made, the appointing
authority, or the designee of the appointing authority, shall notify the employee of the final
decision on the proposed action. Such notice shall be in writing and shall be sent by certified
mail to the employee's last known address or personally delivered to the employee on or
before the effective date of the proposed action. A copy of the notice shall be furnished
immediately to the director of personnel services. This final notice of decision by the ap-
pointing authority or the designee of the appointing authority, to suspend, demote or dismiss
the employee shall inform the employee of the employee's right to appeal the decision to
the state civil service board within 30 calendar days after the effective date of the action.

      (e) At any time prior to the effective date of the proposed suspension, demotion or
dismissal or, if an appeal is taken to the state civil service board, at any time prior to the
final decision of the board, the appointing authority, or the designee of the appointing
authority, may withdraw or modify the action proposed to be taken or taken against the
employee. Notice of any such withdrawal or modification shall be given in writing to the
employee by certified mail to the employee's last known address or by personal delivery. A
copy of the notice shall be furnished immediately to the director of personnel services.

      (f) Any permanent employee finally dismissed, demoted or suspended, may request a
hearing from the state civil service board to determine the reasonableness of such action.
Each such request for a hearing shall be in writing and shall be submitted to the director
of personnel services filed in the office of the director of personnel services within 30 calendar
days after the effective date of the dismissal, demotion or suspension. Additional days shall
not be added to the thirty-day period in which an appeal may be filed if the notice of the
effective date of the dismissal, demotion or suspension is mailed to the employee. The board
shall grant the employee a hearing in accordance with the provisions of the Kansas admin-
istrative procedure act within 45 calendar days after receipt of such request. At the hearing
the burden of proof shall be upon the employee to establish that the appointing authority
did not act reasonably in taking such action.

      (g) No employee shall be disciplined or discriminated against in any way because of the
employee's proper use of the appeal procedure.

      (h) A permanent employee who is demoted pursuant to this section need not meet the
qualifications for the class of positions to which demoted if the appointing authority deter-
mines that the employee can reasonably be expected to perform satisfactorily the duties of
the position to which the employee is demoted. A permanent employee who is demoted
pursuant to this section shall have permanent status in the class to which demotion is made,
effective on the date of the demotion.

      (i) In case of a situation in which the possibility of proposing dismissal, suspension or
demotion of a permanent employee is indicated, but where the appointing authority needs
time to conduct an investigation before proposing such action, or in a situation where im-
mediate removal of an employee from such employee's job is needed to avoid disruption of
work, or for the protection of persons or property, or for a similar reason, the appointing
authority may relieve the employee of duties or change the duties of the employee for a
limited period and keep the employee in pay status. The secretary of administration shall
provide by rules and regulations, adopted pursuant to K.S.A. 75-3706, and amendments
thereto, procedures to be followed in such cases.

      Sec.  28. K.S.A. 75-4370 is hereby amended to read as follows: 75-4370. (a) In estab-
lishing certified pools of eligible candidates under the Kansas civil service act, a preference
shall be given to each state officer or employee (1) who (1)(A) is in the classified service
under the Kansas civil service act and is employed by an institution that is closed or abolished
or otherwise ceases operations or that is scheduled for such closure, abolition or cessation
of operations and has a budget reduction imposed that is associated with such closure,
abolition or cessation of operations, and (2) who (B) is laid off from employment with such
institution for the reason of such closure, abolition or cessation of operations or such im-
position of a budget reduction, and (3) who (C) remains in such employment until the date
the officer or employee is laid off or (2) (A) is in the classified service under the Kansas civil
service act and is laid off from employment at the Topeka correctional facility due to the
transfer of the reception and diagnostic unit from the Topeka correctional facility to the El
Dorado correctional facility, and (B) remains in such employment until the date the officer
or employee is laid off.

      (b) To qualify for the preference established by this section, a person described in
subsection (a) also shall meet the requirements for the vacant position. In addition to other
applicable provisions of the Kansas civil service act and rules and regulations and policies
adopted thereunder, the preference established by this section (1) shall place the person
into the reemployment pool, (2) shall provide an opportunity for an interview for any vacant
position in the same or higher pay grade than the position from which the person was laid
off and for which the person meets the qualifications, and (3) shall grant a right of first
refusal for any vacant position. No state agency shall be required to interview more than
seven applicants for any one position. The right of first refusal shall allow the person the
right to accept the first position applied for by the person for which the person meets the
qualifications and for which the pay grade is the same as or lower than the pay grade of the
position from which the person was laid off. The right of first refusal may be exercised only
one time and must be exercised within the 24 months following the date of layoff.

      (c) The secretary of administration shall give a global notice of layoff to all state officers
and employees, who are employed by an institution that is scheduled for closure, abolition
or cessation of operations, up to 180 days prior to such closure, abolition or cessation of
operations. The global notice of layoff shall be effective for all such state officers and em-
ployees, including any state officer or employee who is transferred to or employed by such
institution within 180 days of the date of such closure, abolition or cessation of operations,
for all purposes of lay off procedures under K.S.A. 75-2948 and amendments thereto, except
each such officer or employee receiving the global notice of layoff shall also be given an
individual notice of layoff which specifies such officer or employee's individual date of layoff.

      (d) Notice of layoff pursuant to K.S.A. 75-2948 and amendments thereto, shall be given
to state officers and employees whose proposed layoff is caused by the transfer of the recep-
tion and diagnostic unit from the Topeka correctional facility to the El Dorado correctional
facility.

      (d) (e) The secretary of administration shall adopt rules and regulations necessary to
implement the provisions of this section.

      (e) (f) This section shall be part of and supplemental to the Kansas civil service act.

      Sec.  29. K.S.A. 75-4371 is hereby amended to read as follows: 75-4371. (a) Each state
officer or employee (1) who (1)(A) is employed by an institution that is closed or abolished
or otherwise ceases operations or that is scheduled for such closure, abolition or cessation
of operations and has a budget reduction imposed that is associated with such closure,
abolition or cessation of operations, and (2) who (B) is laid off from employment with such
institution for the reason of such closure, abolition or cessation of operations or such im-
position of a budget reduction, and (3) who (C) remains in such employment until the date
the officer or employee is laid off; or (2)(A) is in the classified service under the Kansas civil
service act and is laid off from employment at the Topeka correctional facility due to the
transfer of the reception and diagnostic unit from the Topeka correctional facility to the El
Dorado correctional facility, and (B) remains in such employment until the date the officer
or employee is laid off, may receive compensation for 20% of all accumulated hours of sick
leave credited to such state officer or employee as of the date of being laid off. Each state
officer or employee, who is eligible for and who elects to receive compensation for accu-
mulated sick leave under this section, shall file a written statement of election therefor which
shall be in such form as may be prescribed by the secretary of administration and which
shall include a specific waiver of any right to receive any payment for accumulated sick
leave under the provisions of K.S.A. 75-5517 and amendments thereto. No state officer or
employee, who receives compensation for accumulated sick leave under this section, shall
receive any payment for accumulated sick leave under the provisions of K.S.A. 75-5517 and
amendments thereto. Payment for accumulated sick leave under this section shall be made
from the state leave payment reserve fund.

      (b) For the purposes of retirement employee contributions and retirement benefits,
each payment of compensation for accumulated sick leave under this section shall be subject
to the applicable provisions of the statutes governing the Kansas public employees retire-
ment system, K.S.A. 74-4901 et seq., and amendments thereto.

      (c) The secretary of administration shall adopt rules and regulations necessary to im-
plement the provisions of this section.

      Sec.  30. K.S.A. 75-4372 is hereby amended to read as follows: 75-4372. (a) Each state
officer or employee (1) who (1)(A) is employed by an institution that is closed or abolished
or otherwise ceases operations or that is scheduled for such closure, abolition or cessation
of operations and has a budget reduction imposed that is associated with such closure,
abolition or cessation of operations, and (2) who (B) is laid off from employment with such
institution for the reason of such closure, abolition or cessation of operations or such im-
position of a budget reduction, and (3) who (C) remains in such employment until the date
the officer or employee is laid off; or (2)(A) who is in the classified service under the Kansas
civil service act and is laid off from employment at the Topeka correctional facility due to
the transfer of the reception and diagnostic unit from the Topeka correctional facility to the
El Dorado correctional facility, and (B) remains in such employment until the date the officer
or employee is laid off, shall continue to be qualified to participate in the state health care
benefits program as provided in this section.

      (b) In accordance with the following, each such state officer or employee may partici-
pate in the state health care benefits program after being laid off for the following periods:

      (1) For the six-month period after the date of such person's layoff, during which period
that portion of the cost of participation of such person which would have been paid by the
state agency if such person was still a state officer or employee shall be paid as provided in
subsection (c); and

      (2) for the eighteen-month period after such six-month period, during which period the
entire cost of participation of such person shall be paid by such person.

      (c) There is hereby established the closure health insurance fund in the state treasury
which shall be administered by the secretary of administration. In accordance with the
provisions of appropriation acts, the secretary of administration shall cause to be deposited
in the closure health insurance fund an amount equal to the full cost for six months of the
employer contribution for full-time single member health care insurance under the state
health care benefits program for each such laid off state officer and employee on the officer
or employee's last day of service. Expenditures shall be made from the closure health in-
surance fund for the purpose of paying the employer's portion for full-time single member
health insurance under the state health care benefits program for each such laid off state
officer or employee until the expiration of six months or until notified by the laid off officer
or employee that such officer or employee is otherwise covered by health care insurance.
The secretary of administration shall establish a system to account for the state health
insurance expenditures for each such laid off state officer or employee. Upon notice that
the person who had been laid off is otherwise covered by health care insurance, the balance
attributed to such person shall be paid to the person who had been laid off. After such six-
month period, any participation by such person in the state health care benefits program
shall be paid by such person.

      (d) Except as otherwise provided by this section, the participation of each such state
officer or employee in the state health care benefits program shall be in accordance with
the provisions of K.S.A. 75-6501 through 75-6513 and amendments thereto and rules and
regulations and policies adopted by the Kansas state employees health care commission.
Each such state officer or employee may obtain family coverage under the state health care
benefits program administered by the Kansas state employees health care commission gen-
erally in the same manner as other state officers and employees and shall pay the entire
cost of such family coverage.

      New Sec.  31. The secretary of social and rehabilitation services is hereby authorized
and directed to develop and administer provisions for health care benefits and related as-
sistance which shall be provided to each person who is a blind person who was employed
prior to the effective date of this act at Kansas industries for the blind at facilities on the
Topeka state hospital property, as defined by K.S.A. 1999 Supp. 75-37,123 and amendments
thereto, and who voluntarily terminates or retires or who is laid off from such employment
due to the closure, abolition or other cessation of operations of the Kansas industries for
the blind as a state program at such location.

      Sec.  32. K.S.A. 75-4373 is hereby amended to read as follows: 75-4373. (a) Each state
officer or employee (1) who (1)(A) is employed by an institution that is closed or abolished
or otherwise ceases operations or that is scheduled for such closure, abolition or cessation
of operations and has a budget reduction imposed that is associated with such closure,
abolition or cessation of operations, and (2) who (B) is laid off from employment with such
institution for the reason of such closure, abolition or cessation of operations or such im-
position of a budget reduction, and (3) who (C) remains in such employment until the date
the officer or employee is laid off; or (2)(A) is in the classified service under the Kansas civil
service act and who is laid off from employment at the Topeka correctional facility due to
the transfer of the reception and diagnostic unit from the Topeka correctional facility to the
El Dorado correctional facility, and (B) remains in such employment until the date of officer
or employee is laid off, shall be eligible for the extended death benefit plan providing term
life insurance under this section.

      (b) The extended death benefit plan providing term life insurance under this section
shall provide a death benefit equal to 150% of the annual rate of compensation of the
covered state officer or employee, as of the date the covered state officer or employee is
laid off, for each state officer or employee described in subsection (a). The extended death
benefit plan providing term life insurance under this section shall provide death benefit
coverage for a period of 24 months after the date the covered state officer or employee is
laid off.

      (c) The secretary of administration shall administer the provisions of this section. The
secretary of administration shall issue a request for proposals from qualified vendors for
term life insurance under this section and is hereby authorized to enter into contracts for
such term life insurance pursuant to competitive bids. Contracts entered into for such in-
surance shall not be subject to the provisions of K.S.A. 75-4101 and amendments thereto.

      (d) There is hereby created in the state treasury the closure term life insurance fund
which shall be administered by the secretary of administration. All expenditures of moneys
credited to the closure term life insurance fund shall be for the provision of term life
insurance under this section in accordance with appropriation acts upon warrants of the
director of accounts and reports issued pursuant to vouchers approved by the secretary of
administration or the secretary's designee.

      Sec.  33. K.S.A. 75-4374 is hereby amended to read as follows: 75-4374. (a) The head
of any state agency, as defined by K.S.A. 75-3701, and amendments thereto, who hires any
state officer or employee who is laid off or transferred in lieu of layoff between state agencies,
may agree to reimburse such officer or employee's in-state moving expenses in an aggregate
amount of not more than $2,000, as verified by receipts. No such moving expenses shall be
paid when such transfer results in the new official duty station being less than 25 miles from
the old station.

      (b) Moving expenses may include, but not be limited to, the cost of packing and trans-
porting household goods and personal effects, subsistence expenses while en route from the
old residence to the new residence, subsistence expenses while occupying temporary quar-
ters in the new location and the expenses of a premove trip to look for a new residence.

      (c) Any state agency, as defined by K.S.A. 75-3701 and amendments thereto, which hires
any state officer or employee, who is a blind person employed at Kansas industries for the
blind at facilities on the Topeka state hospital property and who is laid off or transferred
between state agencies, in lieu of being laid off, shall purchase or otherwise provide all
adaptive equipment and other accommodations required by such state officer or employer
for such state officer or employee's position at such state agency.

      (d) As used in this section, ``state officer or employee'' means a state officer or employee
(1) who (1)(A) is employed by an institution that is closed or abolished or otherwise ceases
operations or that is scheduled for such closure, abolition or cessation of operations, and
(2) who (B) is laid off from employment with such institution for the reason of such closure,
abolition or cessation of operations, and (3) who (C) remains in such employment with such
institution until the date the officer or employee is laid off; or (2)(A) is in the classified
service under the Kansas civil service act and is laid off from employment at the Topeka
correctional facility due to the transfer of the reception and diagnostic unit from the Topeka
correctional facility to the El Dorado correctional facility, and (B) remains in such employ-
ment until the date the officer or employee is laid off.

      Sec.  34. K.S.A. 75-4376 is hereby amended to read as follows: 75-4376. As used in
K.S.A. 75-4370 through 75-4376 and amendments thereto, except as otherwise specifically
provided in such statutes:

      (a) ``Institution'' means Topeka state hospital or, Winfield state hospital and training
center and Kansas industries for the blind of the department of social and rehabilitation
services; and

      (b) ``laid off'' means, (1) in the case of a state officer or employee in the classified service
under the Kansas civil service act, being laid off under K.S.A. 75-2948 and amendments
thereto and,; (2) in the case of a state officer or employee in the unclassified service under
the Kansas civil service act, being terminated from employment with the state agency by
the appointing authority, except that ``laid off'' shall not include any separation from em-
ployment pursuant to a budget reduction or expenditure authority reduction and a reduction
of F.T.E. positions under K.S.A. 75-6801 and amendments thereto; and (3) in the case of
blind persons employed by Kansas industries for the blind, being terminated or otherwise
separated from employment at Kansas industries for the blind at the facilities located on the
Topeka state hospital property because Kansas industries for the blind is closed, abolished
or otherwise ceases operations as a state program at such location; and

      (c) ``Topeka state hospital property'' has the meaning ascribed thereto by K.S.A. 1999
Supp. 75-37,123 and amendments thereto.``;

      And by renumbering sections accordingly;

      On page 58, after line 5, by inserting the following:

      ``(d) The provisions of this section shall be effective on and after July 1, 2000.'';

      Also on page 58, in line 6, after ``The'' by inserting ``lump sum''; in lines 14 and 24, after
the period, by inserting ``The provisions of this section shall be effective on and after July
1, 2000.''; in line 31, after ``legislature'' by inserting ``, except that, commencing January 8,
2001, such member of the legislature shall not receive any retirement benefit for any month
for which such member of the legislature serves when compensation as provided in subsec-
tion (e) is paid in an amount equal to $15,000 or more in any one such calendar year''; in
line 33, after ``member'' by inserting ``for service prior to service as a member of the leg-
islature''; after line 39, by inserting the following:

      ``(c) When such member who is a member of the legislature retires as a member of the
legislature, such member's final average salary shall be recalculated to include legislative
compensation, if such inclusion of such compensation increases such member's final average
salary, of the member up to the time of retirement from the participating employer other
than the legislature as provided in subsection (a).

      (d) No such member who is a member of the legislature shall accrue any additional
retirement benefits for the period of time between the date the member retired from the
participating employer other than the legislature and the date such member retires as a
member of the legislature.

      (e) The participating employer shall report to the system within 30 days of when the
compensation paid to the retirant is equal to or exceeds any limitation provided in subsection
(a). Upon request of the executive secretary of the system, the secretary of revenue shall
provide such information as may be needed by the executive secretary to carry out the
provisions of this section. For determination of the amount of legislative compensation, as
provided in subsection (a) and this subsection, for members of the legislature, compensation
shall include any amount paid as provided pursuant to subsections (a), (b), (c) and (d) of
K.S.A. 46-137a, and amendments thereto, or pursuant to K.S.A. 46-137b, and amendments
thereto. Notwithstanding any provision of law to the contrary, when a member of the leg-
islature is paid an amount of compensation of $15,000 or more in any one calendar year,
the member may continue to receive any amount provided in subsections (b) and (d) of
K.S.A. 46-137a, and amendments thereto, and still be entitled to receive such member's
retirement benefit.'';

      Also on page 58, in line 40 by striking ``(c)'' and inserting ``(f)'';

      On page 59, in line 5, by striking ``(d)'' and inserting ``(g)''; after line 8, by inserting the
following:

      ``(h) The provisions of this section shall be effective on and after July 1, 2000.'';

      Also on page 59, in line 16, after ``official'' by inserting ``, except that such local official
shall not receive any retirement benefit for any month for which such local official serves
in such office when compensation is paid in an amount equal to $15,000 or more in any
one such calendar year. The participating employer shall report to the system within 30 days
of when the compensation paid to the retirant is equal to or exceeds any limitation provided
in this subsection. Upon request of the executive secretary of the system, the secretary of
revenue shall provide such information as may be needed by the executive secretary to carry
out the provisions of this section''; in line 20, after ``official'' by inserting ``or be entitled to
any benefit provided in K.S.A. 74-4916 or 74-4927, and amendments thereto'';

      On page 60, in line 12, by striking all after the period; by striking all in lines 13 through
15 and inserting ``The provisions of this section shall be effective on and after July 1, 2000.'';
in line 38, by striking ``No''; by striking all in lines 39 through 41 and inserting ``The pro-
visions of this section shall be effective on and after July 1, 2000.''; after line 41, by inserting
the following:

 ``Sec.  42. K.S.A. 75-4370, 75-4371, 75-4372, 75-4373, 75-4374 and 75-4376 and K.S.A.
1999 Supp. 46-233 are hereby repealed.''

      And by renumbering sections accordingly;

      On page 61, in line 1, before ``K.S.A.'' by inserting ``On and after July 1, 2000,''; also in
line 1, by striking the first ``and'' and by inserting ``, 74-4914c,''; also in line 1, after ``74-
4927k'' by inserting ``, 75-2929d and 75-2949''; in line 2, after ``20-2625,'' by inserting ``74-
4914,''; in line 3, by striking ``74-4920,''; also in line 3, after ``74-4927,'' by inserting ``as
amended by section 5 of 2000 House Bill No. 2034,''; in line 7, by striking ``statute book''
and inserting ``Kansas register'';

      On page 1, in the title, in line 10, after ``concerning'' by inserting ``public employment,
public officers and employees; relating to''; also in line 10, by striking ``relating to''; in line
13, by striking ``employer contribution rate;''; also in line 13, before ``amending'' by inserting
``personnel disciplinary actions, policies and procedures; compensation and benefits; pro-
cedures, benefits and property dispositions related to persons laid off to closed institutions
or transferred functions;''; in line 14, by striking ``and'' the first time it appears and by
inserting ``, 74-4914c,''; also in line 14, after ``74-4927k'' by inserting ``, 75-2929d, 75-2949,
75-4370, 75-4371, 75-4372, 75-4373, 75-4374 and 75-4376''; in line 15, after ``20-2625,'' by
inserting ``46-233, 74-4914,''; in line 16, by striking ``74-4920,''; also in line 16, after ``74-
4927,'' by inserting ``, as amended by section 5 of 2000 House Bill No. 2034,'';

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Dave Kerr

                                                                                    Alicia Salisbury

                                                                                    Marge Petty
 Conferees on the part of Senate
                                                                                   

                                                                                    Kenny A. Wilk

                                                                                    Deena L. Horst

                                                                                    Bonnie Sharp
 Conferees on part of House


   On motion of Rep. Wilk, the conference committee report on S. Sub. for HB 2624 was
adopted.

 On roll call, the vote was: Yeas 119; Nays 2; Present but not voting: 4; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Compton, Cox, Crow, Dahl, Dean, Dreher, Edmonds, Empson,
Faber, Farmer, Feuerborn, Findley, Flora, Flower, Freeborn, Garner, Gatewood, Geringer,
Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helgerson, Henderson, Henry, Her-
mes, Holmes, Howell, Huff, Humerickhouse, Hutchins, Jenkins, Jennison, Johnson, John-
ston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether, Landwehr, Lane, Larkin, Light,
Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays, McClure, McCreary,
McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison, Judy Morrison, My-
ers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Palmer, Pauls, E. Peterson, J.
Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon, Rehorn, Reinhardt, Ruff,
Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Swenson, Tanner, Ted-
der, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber, Weiland,
Wells, Wilk.

 Nays: Campbell, Carmody.

 Present but not voting: Flaharty, Horst, Storm, Welshimer.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
      Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to HB 2641, submits the following report:

      The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with Senate Committee amendments,
as follows:

      On page 1, by striking all in lines 19 through 43;

      On page 2, by striking all in lines 1 through 7; following line 7, by inserting the following:

      ``New Section  1. (a) The driver of a vehicle shall not overtake and pass another vehicle
when approaching within 100 feet of a stationary authorized emergency vehicle on a highway
that consists of two lanes carrying traffic in opposite directions, when the authorized emer-
gency vehicle is making use of visual signals meeting the requirements of K.S.A. 8-1720,
and amendments thereto, or subsection (d) of K.S.A. 8-1722, and amendments thereto.

      (b) From and after the effective date of this act, and prior to July 1, 2001, a law en-
forcement officer shall issue a warning citation to anyone violating the provisions of sub-
section (a).

      (c) This section shall be part of and supplemental to the uniform act regulating traffic
on highways.

      New Sec.  2. ``Low-speed vehicle'' means any four-wheeled electric vehicle whose top
speed is greater than 20 miles per hour but not greater than 25 miles per hour and is
manufactured in compliance with the national highway and traffic safety administration
standards for low-speed vehicles in 49 C.F.R. 571.500.

      New Sec.  3. (a) It shall be unlawful for any person to operate a low-speed vehicle on
any street or highway with a posted speed limit greater than 40 miles per hour.

      (b) The provisions of subsection (a), shall not prohibit a low-speed vehicle from crossing
a street or highway with a posted speed limit in excess of 40 miles per hour.

      (c) This section shall be a part of and supplemental to the uniform act regulating traffic
on highways.

      New Sec.  4. ``Electric-assisted bicycle'' means a bicycle with two or three wheels, a
saddle, fully operative pedals for human propulsion, and an electric motor. The electric-
assisted bicycle's electric motor must have a power output of no more than 1,000 watts, be
incapable of propelling the device at a speed of more than 20 miles per hour on level ground
and incapable of further increasing the speed of the device when human power alone is
used to propel the device beyond 20 miles per hour.

      Sec.  5. K.S.A. 1999 Supp. 8-126 is hereby amended to read as follows: 8-126. The
following words and phrases when used in this act shall have the meanings respectively
ascribed to them herein:

      (a) ``Vehicle'' means every device in, upon or by which any person or property is or may
be transported or drawn upon a public highway, excepting devices moved by human power
or used exclusively upon stationary rails or tracks.

      (b) ``Motor vehicle'' means every vehicle, other than a motorized bicycle or a motorized
wheelchair, which is self-propelled.

      (c) ``Truck'' means a motor vehicle which is used for the transportation or delivery of
freight and merchandise or more than 10 passengers.

      (d) ``Motorcycle'' means every motor vehicle designed to travel on not more than three
wheels in contact with the ground, except any such vehicle as may be included within the
term ``tractor'' as herein defined.

      (e) ``Truck tractor'' means every motor vehicle designed and used primarily for drawing
other vehicles, and not so constructed as to carry a load other than a part of the weight of
the vehicle or load so drawn.

      (f) ``Farm tractor'' means every motor vehicle designed and used as a farm implement
power unit operated with or without other attached farm implements in any manner con-
sistent with the structural design of such power unit.

      (g) ``Road tractor'' means every motor vehicle designed and used for drawing other
vehicles, and not so constructed as to carry any load thereon independently, or any part of
the weight of a vehicle or load so drawn.

      (h) ``Trailer'' means every vehicle without motive power designed to carry property or
passengers wholly on its own structure and to be drawn by a motor vehicle.

      (i) ``Semitrailer'' means every vehicle of the trailer type so designed and used in con-
junction with a motor vehicle that some part of its own weight and that of its own load rests
upon or is carried by another vehicle.

      (j) ``Pole trailer'' means any two-wheel vehicle used as a trailer with bolsters that support
the load, and do not have a rack or body extending to the tractor drawing the load.

      (k) ``Specially constructed vehicle'' means any vehicle which shall not have been origi-
nally constructed under a distinctive name, make, model or type, or which, if originally
otherwise constructed shall have been materially altered by the removal of essential parts,
or by the addition or substitution of essential parts, new or used, derived from other vehicles
or makes of vehicles.

      (l) ``Foreign vehicle'' means every motor vehicle, trailer or semitrailer which shall be
brought into this state otherwise than in ordinary course of business by or through a man-
ufacturer or dealer and which has not been registered in this state.

      (m) ``Person'' means every natural person, firm, partnership, association or corporation.

      (n) ``Owner'' means a person who holds the legal title of a vehicle, or in the event a
vehicle is the subject of an agreement for the conditional sale thereof with the right of
purchase upon performance of the conditions stated in the agreement and with an imme-
diate right of possession vested in the conditional vendee or in the event a vehicle is subject
to a lease of 30 days or more with an immediate right of possession vested in the lessee; or
in the event a party having a security interest in a vehicle is entitled to possession, then such
conditional vendee or lessee or secured party shall be deemed the owner for the purpose
of this act.

      (o) ``Nonresident'' means every person who is not a resident of this state.

      (p) ``Manufacturer'' means every person engaged in the business of manufacturing mo-
tor vehicles, trailers or semitrailers.

      (q) ``New vehicle dealer'' means every person actively engaged in the business of buying,
selling or exchanging new motor vehicles, travel trailers, trailers or vehicles and who holds
a dealer's contract therefor from a manufacturer or distributor and who has an established
place of business in this state.

      (r) ``Used vehicle dealer'' means every person actively engaged in the business of buying,
selling or exchanging used vehicles, and having an established place of business in this state
and who does not hold a dealer's contract for the sale of new motor vehicles, travel trailers,
trailers or vehicles.

      (s) ``Highway'' means every way or place of whatever nature open to the use of the
public as a matter of right for the purpose of vehicular travel. The term ``highway'' shall not
be deemed to include a roadway or driveway upon grounds owned by private owners, col-
leges, universities or other institutions.

      (t) ``Department'' or ``motor vehicle department'' or ``vehicle department'' means the
division of vehicles of the department of revenue, acting directly or through its duly au-
thorized officers and agents.

      (u) ``Commission'' or ``state highway commission'' means the director of vehicles of the
department of revenue.

      (v) ``Division'' means the division of vehicles of the department of revenue.

      (w) ``Travel trailer'' means every vehicle without motive power designed to be towed
by a motor vehicle constructed primarily for recreational purposes and measuring eight feet
or less in width.

      (x) ``Passenger vehicle'' means every motor vehicle, as herein defined, which is designed
primarily to carry 10 or fewer passengers, and which is not used as a truck.

      (y) ``Self-propelled farm implement'' means every farm implement designed for specific
use applications with its motive power unit permanently incorporated in its structural design.

      (z) ``Farm trailer'' means every trailer as defined in subsection (h) of this section and
every semitrailer as defined in subsection (i) of this section, designed and used primarily as
a farm vehicle.

      (aa) ``Motorized bicycle'' means every device having two tandem wheels or three wheels,
which may be propelled by either human power or helper motor, or by both, and which
has:

      (1) A motor which produces not more than 3.5 brake horsepower;

      (2) a cylinder capacity of not more than 50 130 cubic centimeters;

      (3) an automatic transmission; and

      (4) the capability of a maximum design speed of no more than 30 miles per hour.

      (bb) ``All-terrain vehicle'' means any motorized nonhighway vehicle 45 inches or less in
width, having a dry weight of 650 pounds or less, traveling on three or more low-pressure
tires, having a seat designed to be straddled by the operator. As used in this subsection, low-
pressure tire means any pneumatic tire six inches or more in width, designed for use on
wheels with rim diameter of 12 inches or less, and utilizing an operating pressure of 10
pounds per square inch or less as recommended by the vehicle manufacturer.

      (cc) ``Implement of husbandry'' means every vehicle designed or adapted and used
exclusively for agricultural operations, including feedlots, and only incidentally moved or
operated upon the highways. Such term shall include, but not be limited to:

      (1) A farm tractor;

      (2) a self-propelled farm implement;

      (3) a fertilizer spreader, nurse tank or truck permanently mounted with a spreader used
exclusively for dispensing or spreading water, dust or liquid fertilizers or agricultural chem-
icals, as defined in K.S.A. 2-2202, and amendments thereto, regardless of ownership;

      (4) a truck mounted with a fertilizer spreader used or manufactured principally to spread
animal dung;

      (5) a mixer-feed truck owned and used by a feedlot, as defined in K.S.A. 47-1501, and
amendments thereto, and specially designed and used exclusively for dispensing food to
livestock in such feedlot.

      (dd) ``Motorized wheelchair'' means any self-propelled vehicle designed specifically for
use by a physically disabled person that is incapable of a speed in excess of 15 miles per
hour.

      (ee) ``Oil well servicing, oil well clean-out or oil well drilling machinery or equipment''
means a vehicle constructed as a machine used exclusively for servicing, cleaning-out or
drilling an oil well and consisting in general of a mast, an engine for power, a draw works
and a chassis permanently constructed or assembled for one or more of those purposes.
The passenger capacity of the cab of a vehicle shall not be considered in determining
whether such vehicle is an oil well servicing, oil well clean-out or oil well drilling machinery
or equipment.

      Sec.  6. K.S.A. 1999 Supp. 8-1,126 is hereby amended to read as follows: 8-1,126. When
a motor vehicle which bears a special license plate or placard issued pursuant to K.S.A. 8-
1,125, and amendments thereto, is being operated by or used for the transportation of a
person with a disability, such motor vehicle:

      (a) May be parked in any parking space, whether on public or private property, which
is clearly marked as being reserved for the use of persons with a disability or persons re-
sponsible for the transportation of a person with a disability, except a parking space on
private property which is clearly marked as being reserved for the use of a specified person
with a disability;

      (b) may be parked for a period of time not to exceed 24 hours in any parking zone
which is restricted as to the length of parking time permitted, except where stopping, stand-
ing or parking is prohibited to all vehicles, where parking is reserved for special types of
vehicles or where parking would clearly present a traffic hazard; and

      (c) shall be exempt from any parking meter fees of the state or any city, county or other
political subdivision.

      Sec.  7. K.S.A. 1999 Supp. 8-235 is hereby amended to read as follows: 8-235. (a) No
person, except those expressly exempted, shall drive any motor vehicle upon a highway in
this state unless such person has a valid driver's license. No person shall receive a driver's
license unless and until such person surrenders or with the approval of the division, lists to
the division all valid licenses in such person's possession issued to such person by any other
jurisdiction. All surrendered licenses or the information listed on foreign licenses shall be
returned by the division to the issuing department, together with information that the li-
censee is now licensed in a new jurisdiction. No person shall be permitted to have more
than one valid license at any time.

      (b) Any person licensed under the motor vehicle drivers' license act may exercise the
privilege granted upon all streets and highways in this state and shall not be required to
obtain any other license to exercise such privilege by any local authority. Nothing herein
shall prevent cities from requiring licenses of persons who drive taxicabs or municipally
franchised transit systems for hire upon city streets, to protect the public from drivers whose
character or habits make them unfit to transport the public. If a license is denied, the
applicant may appeal such decision to the district court of the county in which such city is
located by filing within 10 days after such denial, a notice of appeal with the clerk of the
district court and by filing a copy of such notice with the city clerk of the involved city. The
city clerk shall certify a copy of such decision of the city governing body to the clerk of the
district court and the matter shall be docketed as any other cause and the applicant shall
be granted a trial of such person's character and habits. The matter shall be heard by the
court de novo in accordance with the code of civil procedure. The cost of such appeal shall
be assessed in such manner as the court may direct.

      (c) Any person operating in this state a motor vehicle, except a motorcycle, which is
registered in this state other than under a temporary thirty-day permit shall be the holder
of a driver's license which is classified for the operation of such motor vehicle, and any
person operating in this state a motorcycle which is registered in this state shall be the
holder of a class M driver's license, except that any person operating in this state a motor-
cycle which is registered under a temporary thirty-day permit shall be the holder of a driver's
license for any class of motor vehicles.

      (d) No person shall drive any motorized bicycle upon a highway of this state unless: (1)
Such person has a valid driver's license which entitles the licensee to drive a motor vehicle
in any class or classes; or (2) such person is at least 15 years of age and has passed the
written and visual examinations required for obtaining a class C driver's license, in which
case the division shall issue to such person a class C license which clearly indicates such
license is valid only for the operation of motorized bicycles; or (3) such person has had their
driving privileges suspended and has made application to the division for the issuance of a
class C license for the operation of motorized bicycles, in accordance with paragraph (2), in
which case the division shall issue to such person a class C license which clearly indicates
such license is valid only for the operation of motorized bicycles.

      (e) Violation of this section shall constitute a class B misdemeanor.

      Sec.  8. K.S.A. 1999 Supp. 8-235d is hereby amended to read as follows: 8-235d. (a)
Drivers' license examiners of the division shall accept original applications for drivers' li-
censes and instruction permits, as distinguished from applications for renewals of licenses,
on forms prescribed by the division and also shall issue instruction permits. Drivers' license
examiners of the division shall examine every applicant for a driver's license who is required
by the provisions of the motor vehicle drivers' license act to be examined. Such examination
shall be held in the county where the applicant resides or at a place adjacent thereto rea-
sonably convenient to the applicant or at a location established by the secretary for the
issuance of a commercial driver's license. Such examination shall include a test of the ap-
plicant's eyesight, the applicant's ability to read and understand highway signs regulating,
warning and directing traffic, the applicant's knowledge of the traffic laws of this state and
shall include an actual demonstration of ability to exercise ordinary and reasonable control
in the operation of motor vehicles which the class of license applied for would entitle the
applicant to drive. At the conclusion of the examination the examiner shall issue a license
to the applicant, if the applicant has successfully passed the examination with the class of
license the applicant has applied for.

      (b) In addition to the requirements of subsection (a),:

      (1) Any person applying for a driver's license shall comply with the provisions of sub-
section (b) of K.S.A. 8-240, and amendments thereto; and

      (2) any person who is under the age of 18 years and at least 16 years of age, who is
applying for a driver's license for the first time, not including an instruction permit, shall
submit a signed affidavit of either a parent or guardian, stating that the applicant has com-
pleted at least 50 hours of adult supervised driving with at least 10 of those hours being at
night. The required adult supervised driving required in this subsection shall be conducted
by an adult who is at least 21 years of age and is the holder of a valid commercial driver's
license, class A, B or C driver's license.

      Evidence of failure of any licensee who was required to complete the 50 hours of adult
supervised driving under this subsection shall not be admissible in any action for the purpose
of determining any aspect of comparative negligence or mitigation of damages.

      Sec.  9. K.S.A. 1999 Supp. 8-237 is hereby amended to read as follows: 8-237. The
division of vehicles shall not issue any driver's license to any person:

      (a) Who is under the age of 16 years, except that the division may issue a restricted
class C or M license, as provided in this act, to any person who: (1) Is at least 15 years of
age; (2) has successfully completed an approved course in driver training; (3) has held an
instructional permit issued under the provisions of K.S.A. 8-239, and amendments thereto,
for a period of at least six months and has completed at least 25 hours of adult supervised
driving; and (4) upon the written application of the person's parent or guardian. The required
adult supervised driving required in clause (3) above shall be conducted by an adult who is
at least 21 years of age and is the holder of a valid commercial driver's license, class A, B
or C driver's license. Except as hereafter provided, the application of the parent or guardian
shall be submitted to the division. The governing body of any city, by ordinance, may require
the application of any person who is under 16 years of age and who resides within the city
to be first submitted to the chief law enforcement officer of the city. The board of county
commissioners of any county, by resolution, may require the application of any person who
is under 16 years of age and who resides within the county and outside the corporate limits
of any city to be first submitted to the chief law enforcement officer of the county. No
ordinance or resolution authorized by this subsection shall become effective until a copy of
it is transmitted to the division of vehicles. The chief law enforcement officer of any city or
county which has adopted the ordinance or resolution authorized by this subsection shall
make a recommendation on the application as to the necessity for the issuance of the re-
stricted license, and the recommendation shall be transmitted, with the application, to the
division of vehicles. If the division finds that it is necessary to issue the restricted license, it
shall issue a driver's license to the person.

      A restricted class C license issued under this subsection shall entitle the licensee, while
possessing the license, to operate any motor vehicle in class C, as designated in K.S.A. 8-
234b, and amendments thereto. A restricted class M license shall entitle the licensee, while
possessing such license, to operate a motorcycle. The restricted license shall entitle the
licensee to operate the appropriate vehicle at any time:

      (1) While going to or from or in connection with any job, employment or farm-related
work;

      (2) on days while school is in session, over the most direct and accessible route between
the licensee's residence and school of enrollment for the purposes of school attendance;

      (3) when the licensee is operating a passenger car, at any time when accompanied by
an adult who is the holder of a valid commercial driver's license, class A, B or C driver's
license and who is actually occupying a seat beside the driver; or

      (4) when the licensee is operating a motorcycle, at any time when accompanied by an
adult who is the holder of a valid class M driver's license and who is operating a motorcycle
in the general proximity of the licensee.

      Any licensee issued a restricted license under this subsection shall not operate any motor
vehicle with nonsibling minor passengers and any conviction for violating this provision shall
be construed as a moving traffic violation for the purpose of K.S.A. 8-255, and amendments
thereto.

      A restricted driver's license issued under this subsection is subject to suspension or rev-
ocation in the same manner as any other driver's license. In addition, the division may
suspend the restricted driver's license upon receiving satisfactory evidence that: (1) The
licensee has violated the restriction of the license, (2) the licensee has been involved in two
or more accidents chargeable to the licensee or (3) the recommendation of the chief law
enforcement officer of any city or county requiring the recommendation has been with-
drawn. The suspended license shall not be reinstated for one year or until the licensee
reaches the age of 16, whichever period is longer.

      Any licensee issued a restricted license under this subsection who: (1) Is under the age
of 16 years and is convicted of two or more moving traffic violations committed on separate
occasions shall not be eligible to receive a driver's license which is not restricted in accord-
ance with the provisions of this subsection until the person reaches 17 years of age; or (2)
fails to provide the required affidavit stating that the licensee has completed at least 50
hours of adult supervised driving with 10 of those hours being at night shall not be eligible
to receive a driver's license which is not restricted in accordance with the provisions of this
subsection until the person provides such affidavit to the division or the person reaches 17
years of age, whichever occurs first.

      Any licensee issued a restricted license under this subsection on and after July 1, 1999,
shall provide prior to reaching 16 years of age, a signed affidavit of either a parent or
guardian, stating that the applicant has completed the required 25 hours prior to being
issued a restricted license and 25 hours of additional adult supervised driving. Of the 50
hours required by this subsection, at least 10 of those hours shall be at night. The adult
supervised driving shall be conducted by an adult who is at least 21 years of age and is the
holder of a valid commercial driver's license, class A, B or C driver's license.

      Evidence of failure of any licensee who was required to complete the 50 hours of adult
supervised driving under this subsection shall not be admissible in any action for the purpose
of determining any aspect of comparative negligence or mitigation of damages.

      (b) Who is under the age of 18 years, except as provided in K.S.A. 1999 Supp. 8-2,147,
and amendments thereto, for the purpose of driving a commercial or class A or B motor
vehicle.

      (c) Whose license is currently revoked, suspended or canceled in this or any other state,
except as provided in K.S.A. 8-256, and amendments thereto.

      (d) Who is a habitual drunkard, habitual user of narcotic drugs or habitual user of any
other drug to a degree which renders the user incapable of safely driving a motor vehicle.

      (e) Who has previously been adjudged to be afflicted with or suffering from any mental
disability or disease and who, at the time of making application for a driver's license, has
not been restored to capacity in the manner provided by law. Application of this limitation
to any person known to have suffered any seizure disorder is subject to the provisions of
paragraph (7) of subsection (e) of K.S.A. 8-247, and amendments thereto.

      (f) Who is required by the motor vehicle drivers' license act to take an examination,
unless the person has successfully passed the examination.

      (g) Who is at least 16 years of age and less than 17 years of age, who is applying for a
driver's license for the first time since reaching 16 years of age and who, three times or
more, has been adjudged to be a traffic offender under the Kansas juvenile code or a juvenile
offender under the Kansas juvenile justice code, by reason of violation of one or more
statutes regulating the movement of traffic on the roads, streets or highways of this state,
except that, in the discretion of the director, the person may be issued a driver's license
which is restricted in the manner the division deems to be appropriate. No person described
by this subsection shall be eligible to receive a driver's license which is not restricted until
the person has reached the age of 17 years.

      (h) Who has not submitted proof of age or proof of identity, as required by K.S.A. 8-
240, and amendments thereto.

      (i) Whose presence in the United States is in violation of federal immigration laws.

      Sec.  10. K.S.A. 1999 Supp. 8-240 is hereby amended to read as follows: 8-240. (a) Every
application for an instruction permit shall be made upon a form furnished by the division
of vehicles and accompanied by a fee of $2 for class A, B, C or M and $5 for all commercial
classes. Every other application shall be made upon a form furnished by the division and
accompanied by an examination fee of $3, unless a different fee is required by K.S.A. 8-
241, and amendments thereto, and by the proper fee for the license for which the application
is made. If the applicant is not required to take an examination the examination fee shall
not be required. The examination shall consist of three tests, as follows: (1) Vision; (2)
written; and (3) driving. If the applicant fails the vision test, the applicant may have correc-
tion of vision made and take the vision test again without any additional fee. If an applicant
fails the written test, the applicant may take such test again upon the payment of an addi-
tional examination fee of $1.50. If an applicant fails the driving test, the applicant may take
such test again upon the payment of an additional examination fee of $1.50. If an applicant
fails to pass all three of the tests within a period of six months from the date of original
application and desires to take additional tests, the applicant shall file an application for
reexamination upon a form furnished by the division, which shall be accompanied by a
reexamination fee of $3, except that any applicant who fails to pass the written or driving
portion of an examination four times within a six-month period, shall be required to wait a
period of six months from the date of the last failed examination before additional exami-
nations may be given. Upon the filing of such application and the payment of such reex-
amination fee, the applicant shall be entitled to reexamination in like manner and subject
to the additional fees and time limitation as provided for examination on an original appli-
cation. If the applicant passes the reexamination, the applicant shall be issued the classified
driver's license for which the applicant originally applied, which license shall be issued to
expire as if the applicant had passed the original examination.

      (b)  (1) For the purposes of obtaining any driver's license, an applicant, except for any
applicant under 16 years of age, shall provide at least two of the documents specified in
K.S.A. 8-246, and amendments thereto. Any applicant under 16 years of age shall provide
at least one of the documents specified in K.S.A. 8-246, and amendments thereto, which
shall contain the date of birth of the applicant and such applicant's parent or guardian shall
sign the application for any driver's license shall submit, with the application, proof of age
or proof of identity, or both, as the division may require.

      (2) An applicant who submits proof of age or of identity issued by an entity other than
a state or the United States shall also submit such proof as the division may require that the
applicant is lawfully present in the United States.

      (3) The division shall not issue any driver's license to any person who is not lawfully
present in the United States.

      (4) The division shall not issue any driver's license to any person who is not a resident
of the state of Kansas, except as provided in K.S.A. 1999 Supp. 8-2,148, and amendments
thereto.

      (5) The parent or guardian of an applicant under 16 years of age shall sign the appli-
cation for any driver's license submitted by such applicant.

      (c) Every application shall state the name, date of birth, sex and residence address of
the applicant, and briefly describe the applicant, and shall state whether the applicant has
theretofore been licensed as a driver, and, if so, when and by what state or country, and
whether any such license has ever been suspended or revoked, or whether an application
has ever been refused, and, if so, the date of and reason for such suspension, revocation or
refusal. In addition to the above criteria, applications for commercial drivers' licenses and
instruction permits for commercial licenses must include the following: The applicant's
social security number; the person's signature; the person's color photograph; certifications,
including those required by 49 C.F.R. 383.71(a), effective January 1, 1991; a consent to
release driving record information; and, any other information required by the division.

      (d) When an application is received from a person previously licensed in another juris-
diction, the division shall request a copy of the driver's record from the other jurisdiction.
When received, the driver's record shall become a part of the driver's record in this state
with the same force and effect as though entered on the driver's record in this state in the
original instance.

      (e) When the division receives a request for a driver's record from another licensing
jurisdiction the record shall be forwarded without charge.

      (f) A fee shall be charged as follows:

      (1) For a class C driver's license issued to a person at least 21 years of age, but less than
65 years of age, $12;

      (2) for a class C driver's license issued to a person less than 21 years of age or 65 years
of age or older, or a farm permit, $8;

      (3) for a class M driver's license issued to a person at least 21 years of age, but less than
65 years of age, $6.50;

      (4) for a class M driver's license issued to a person less than 21 years of age or 65 years
of age or older, $5;

      (5) for a class A or B driver's license issued to a person who is at least 21 years of age,
but less than 65 years of age, $18;

      (6) for a class A or B driver's license issued to a person less than 21 years of age or 65
years of age or older, $12; or

      (7) for any class of commercial driver's license, $14.

      A fee of $10 shall be charged for each commercial driver's license endorsement, except
air brake endorsements which shall have no charge.

      If one fails to make an original application or renewal application for a driver's license
within the time required by law, or fails to make application within 60 days after becoming
a resident of Kansas, a penalty of $1 shall be added to the fee charged for the driver's
license.

      Sec.  11. K.S.A. 1999 Supp. 8-293 is hereby amended to read as follows: 8-293. Except
as provided in paragraph (3) of subsection (d) of K.S.A. 8-235, and amendments thereto, no
licensee shall be issued a new or replacement driver's license if: (a) The license has been
surrendered pursuant to K.S.A. 8-1001, and amendments thereto; (b) the licensee has been
issued a temporary license; or (c) a suspension, revocation or cancellation order has been
stayed by a court or by the division of vehicles.

      Sec.  12. K.S.A. 8-1103 is hereby amended to read as follows: 8-1103. (a) Whenever any
person providing wrecker or towing service, as defined by law, while lawfully in possession
of a vehicle, at the direction of a law enforcement officer or the owner, renders any service
to the owner thereof by the recovery, transportation, protection, storage or safekeeping
thereof, a first and prior lien on the vehicle is hereby created in favor of such person
rendering such service and the lien shall amount to the full amount and value of the service
rendered. The lien may be foreclosed in the manner provided in this act. If the name of
the owner of the vehicle is known to the person in possession of such vehicle, then within
15 days, notice shall be given to the owner that the vehicle is being held subject to satisfaction
of the lien. Any vehicle remaining in the possession of a person providing wrecker or towing
service for a period of 60 days after such wrecker or towing service was provided may be
sold to pay the reasonable or agreed charges for such recovery, transportation, protection,
storage or safekeeping of such vehicle and personal property therein, the costs of such sale,
the costs of notice to the owner of the vehicle and publication as required by this act, except
that any such vehicle and personal property of a total value of less than $500 $1,000 may
be sold at any time, after giving the notices required by this act, unless a court order has
been issued to hold such vehicle for the purpose of a criminal investigation or for use as
evidence at a trial. If a court orders any vehicle to be held for the purpose of a criminal
investigation or for use as evidence at a trial, then such order shall be in writing, and the
court shall assess as costs the reasonable or agreed charges for the protection, storage or
safekeeping accrued while the vehicle was held pursuant to such written order. Any personal
property within the vehicle need not be released to the owner thereof until the reasonable
or agreed charges for such recovery, transportation or safekeeping have been paid, or sat-
isfactory arrangements for payment have been made, except that personal medical supplies
shall be released to the owner thereof upon request. The person in possession of such vehicle
and personal property shall be responsible only for the reasonable care of such property.
Any personal property within the vehicle not returned to the owner shall be sold at the
auction authorized by this act.

      (b) At the time of providing wrecker or towing service, any person providing such
wrecker or towing service shall give written notice to the driver, if available, of the vehicle
being towed that a fee will be charged for storage of such vehicle. Failure to give such
written notice shall invalidate any lien established for such storage fee.

      Sec.  13. K.S.A. 8-1104 is hereby amended to read as follows: 8-1104. Before any such
vehicle and personal property is sold, the person intending to sell such vehicle shall request
verification from the division of vehicles of the last registered owner and any lienholders, if
any. Such verification request shall be submitted to the division of vehicles no less than 45
days nor more than 60 days after such person took possession of the vehicle, except that if
the value of the vehicle and personal property is less than $500 $1,000, the verification
request shall be submitted to the division of vehicles within 60 days after such person took
possession of the vehicle. Notice of sale, as provided in this act, shall be mailed by certified
mail to any such registered owner and any such lienholders within 10 days after receipt of
verification of the last owner and any lienholders, if any. The person intending to sell such
vehicle and personal property pursuant to this act shall cause a notice of the time and place
of sale, containing a description of the vehicle and personal property, to be published at
least once each week for three consecutive weeks in a newspaper published in the county
where such sale is advertised to take place, and if there is no newspaper published in such
county, then the notice shall be published in some newspaper of general circulation in such
county. Notices given under this section shall state that if the amount due, together with
storage, publication, notice and sale costs, is not paid within 15 days from the date of mailing,
the vehicle and personal property will be sold at public auction.

      Sec.  14. K.S.A. 8-1108 is hereby amended to read as follows: 8-1108. Failure to give
any notice required under the provisions of this act shall invalidate any lien established
under stop the imposition of storage fees, until the notice provisions are complied with in
accordance with the provisions of this act.

      Sec.  15. K.S.A. 8-1324 is hereby amended to read as follows: 8-1324. (a) Any resident
may make application to the division of vehicles and be issued one identification card,
certified by the registrant and attested by the division as to true name, correct age, photo-
graph and other identifying data as the division may require. Every application for an iden-
tification card shall be signed and verified by the applicant and shall contain such bona fide
documentary evidence of the age and identity of such applicant as the division may require.
The applicant, except for any applicant under 16 years of age, shall provide at least two of
the documents specified in K.S.A. 8-1326, and amendments thereto. Any applicant under
16 years of age shall provide at least one of the documents specified in K.S.A. 8-1326, and
amendments thereto, and the applicant's parent or guardian shall sign the application for
the identification card.

      (b) An applicant who submits documentary evidence under subsection (a), issued by an
entity other than a state or the United States shall also submit such proof as the division
may require that the applicant is lawfully present in the United States.

      (c) The division shall not issue an identification card to any person who is not lawfully
present in the United States.

      (d) The parent or guardian of an applicant under 16 years of age shall sign the appli-
cation for an identification card submitted by such applicant.

      (e) The division shall require payment of a fee of $6 $8 at the time application for an
identification card is made, except that persons who are 65 or more years of age or who are
handicapped, as defined in K.S.A. 8-1,124, and amendments thereto, shall be required to
pay a fee of only $2 $4.

      (b) (f) For the purposes of K.S.A. 8-1324 through 8-1328, and amendments thereto, a
person shall be deemed to be a resident of the state if:

      (1) The person owns, leases or rents a place of domicile in this state;

      (2) the person engages in a trade, business or profession in this state;

      (3) the person is registered to vote in this state;

      (4) the person enrolls the person's child in a school in this state; or

      (5) the person registers the person's motor vehicle in this state.

      Sec.  16. K.S.A. 8-1332 is hereby amended to read as follows: 8-1332. (a) When used
in reference to an identification card, ``cancellation'' means that an identification card is
terminated without prejudice and must be surrendered. Cancellation of a card may be made
when such card has been issued through error, because the person is not entitled to a card
or when voluntarily surrendered to the division.

      (b) The division is hereby authorized to cancel any identification card upon determining
that the cardholder was not entitled to the issuance of such card or that the cardholder failed
to give the required or correct information in such person's application or committed any
fraud in making such application.

      (c) Upon cancellation of an identification card the cardholder must surrender the iden-
tification card so canceled to the division.

      Sec.  17. K.S.A. 8-1439 is hereby amended to read as follows: 8-1439. ``Motor-driven
cycle'' means every motorcycle, including every motor scooter, with a motor which produces
not to exceed five (5) brake horsepower, and every bicycle with motor attached, except a
motorized bicycle or a low power cycle an electric-assisted bicycle.

      Sec.  18. K.S.A. 8-1439a is hereby amended to read as follows: 8-1439a. ``Motorized
bicycle'' means every device having two tandem wheels or three wheels which may be
propelled by either human power or helper motor, or by both, and which has:

      (a) A motor which produces not more than 3.5 brake horsepower;

      (b) a cylinder capacity of not more than 50 130 cubic centimeters;

      (c) an automatic transmission; and

      (d) the capability of a maximum design speed of no more than 30 miles per hour except
a low power cycle.

      Sec.  19. K.S.A. 1999 Supp. 8-1486 is hereby amended to read as follows: 8-1486. K.S.A.
8-1414a, 8-1459a and 8-1475a, and amendments thereto, and K.S.A. 1999 Supp. 8-1402a,
8-1439c and, 8-1458a and 8-1487, and amendments thereto, and K.S.A. 1999 Supp. 8-1487
sections 2 and 4, and amendments thereto, shall be a part of, and supplemental to, the
uniform act regulating traffic on highways.'';

      By renumbering sections accordingly;

      On page 3, preceding line 1, by inserting:

      ``Sec.  21. K.S.A. 8-1592b is hereby amended to read as follows: 8-1592b. Vehicle reg-
istration and driver's license shall not be required for operation of a low power cycle an
electric-assisted bicycle. Traffic regulations applicable to bicycles shall apply to low power
cycles electric-assisted bicycles, except tricycles with no brake horsepower.

      Sec.  22. K.S.A. 8-1701 is hereby amended to read as follows: 8-1701. (a) It is unlawful
for any person to drive or move or for the owner to cause or knowingly permit to be driven
or moved on any highway any vehicle or combination of vehicles which does not contain
those parts or is not at all times equipped with such lamps and other equipment in proper
condition and adjustment as required in this article, or which is equipped in any manner in
violation of any provision of any section of this article 17, or for any person to do any act
forbidden or fail to perform any act required by any provision of any section of this article
17. Except as otherwise provided in K.S.A. 8-1742a, 8-1743, 8-1746 and 8-1750 to 8-1760,
inclusive, and amendments thereto, any violation of this subsection (a) or of any other
provision of this article 17 is a traffic infraction.

      (b) Nothing contained in this article 17 shall be construed to prohibit the use of addi-
tional parts and accessories on any vehicle not inconsistent with the provisions of this article.

      (c) The provisions of this article 17 with respect to equipment required on vehicles shall
not apply to implements of husbandry, road machinery, road rollers or farm tractors except
as specifically made applicable in this act.

      (d) The provisions of this article 17 with respect to equipment required on vehicles shall
not apply to motorcycles or motor-driven cycles, except as specifically made applicable by
law.

      (e) A low-speed vehicle which is in compliance with the equipment requirements in 49
C.F.R. 571.500 shall be deemed to be in compliance with the provisions of this article 17.

      Sec.  23. K.S.A. 8-1717 is hereby amended to read as follows: 8-1717. (a) Every farm
tractor manufactured or assembled after January 1, 1975, shall be equipped with vehicular
hazard warning lights of a type described in K.S.A. 8-1722, and amendments thereto, visible
from a distance of not less than 1,000 feet to the front and rear in normal sunlight, which
shall be displayed whenever any such vehicle is operated upon a highway.

      (b) Every farm tractor manufactured or assembled after January 1, 1975, shall at all
times, and every other such motor vehicle shall at all times mentioned in K.S.A. 8-1703,
and amendments thereto, be equipped with lamps and reflectors as follows:

      (1) At least two head lamps meeting the requirements of K.S.A. 8-1724, 8-1726 or 8-
1727, and amendments thereto.

      (2) At least one red lamp visible when lighted from a distance of not less than 1,000
feet to the rear mounted as far to the left of the center of the vehicle as practicable.

      (3) At least two red reflectors visible from all distances within 600 feet to 100 feet to
the rear when directly in front of lawful lower beams of head lamps.

      (c) On every combination of farm tractor and towed farm equipment or towed imple-
ment of husbandry, the farm tractor shall be equipped as required in subsections (a) and
(b), and the towed unit shall be equipped at all times mentioned in K.S.A. 8-1703, and
amendments thereto, with lamps and reflectors as follows:

      (1) If the towed unit or its load extends more than four feet to the rear of the tractor
or obscures any light thereon, the unit shall be equipped on the rear with at least one red
lamp visible when lighted from a distance of not less than 1,000 feet to the rear, mounted
as far to the left of the center of the towed unit as practicable, and at least two red reflectors
visible from all distances within 600 feet to 100 feet to the rear when directly in front of
lawful lower beams of head lamps.

      (2) If the towed unit of such combination extends more than four feet to the left of the
center line of the tractor, the unit shall be equipped on the front with an amber reflector
visible from all distances within 600 feet to 100 feet to the front when directly in front of
lawful lower beams of head lamps. This reflector shall be so positioned to indicate, as nearly
as practicable, the extreme left projection of the towed unit.

      (3) If the towed unit or its load obscures either of the vehicle hazard warning lights on
the tractor, the towed unit shall be equipped with vehicle hazard warning lights described
in subsection (a).

      (d) The two red reflectors required in the preceding subsections shall be so positioned
as to show from the rear, as nearly as practicable, the extreme width of the vehicle or
combination carrying them. If all other requirements are met, reflective tape or paint may
be used in lieu of the reflectors required by subsection (c).

      (e) As used in this section:

      (1) ``Slow-moving vehicle'' means any vehicle, farm tractor, implement of husbandry,
equipment or piece of machinery designed for use at speeds of less than 25 miles per hour,
or which is normally moved at speeds of less than 25 miles per hour, and includes all road
construction or maintenance machinery, except when such machinery is engaged in actual
construction or maintenance work and there is either a flagman or clearly visible warning
signs to warn of such machinery's presence on the roadway.

      (2) ``Slow-moving vehicle emblem'' means a triangular-shaped emblem of substantial
construction having equal sides of 14 inches and an altitude of 12 inches, and such emblem
shall be painted a fluorescent yellow-orange color and bordered with reflective red-colored
strips having a minimum width of 13/4 inches, with the vertices of the overall triangle trun-
cated in such a manner that the remaining altitude shall be at least 14 inches.

      (f) The secretary of transportation shall approve slow-moving vehicle emblems which
meet the requirements of this act, and shall compile and publish a list of approved emblems
and the manufacturers thereof.

      (g) A slow-moving vehicle emblem shall be mounted or affixed on the rear of the slow-
moving vehicle in compliance with standard S276.2 of the American society of agricultural
engineers, as such standard was revised in March, 1968.

      (h) No person shall operate any slow-moving vehicle on any highway which is within
the national system of interstate and defense highways, the state highway system or the state
system of modern express highways and freeways, unless such vehicle is equipped with a
properly mounted slow-moving vehicle emblem, which has been approved by the secretary
of transportation, and which is maintained in a clean, fluorescent and reflective condition,
or display a slow-moving vehicle emblem on any vehicle other than a slow-moving vehicle
or display such emblem on a slow-moving vehicle which is being operated at a speed of 25
miles per hour or more, or to use such emblem in any manner other than authorized by
this section.

      (i) Notwithstanding the provisions of this section, a low-speed vehicle shall not be re-
quired to display a slow-moving vehicle emblem.'';

      On page 4, following line 19, by inserting:

``Unlawful passing of stopped emergency vehiclesection 1$20''
      On page 6, preceding line 18, by inserting:

``Unlawful operation of low-speed vehiclesection 3$20'';
      By renumbering sections accordingly;

      On page 8, in line 7, by striking all following ``K.S.A.'' where it appears for the first time
and inserting ``8-1103, 8-1104, 8-1106, 8-1108, 8-1324, 8-1332, 8-1439, 8-1439a, 8-1439b,
8-1530, 8-1592b, 8-1701 and 8-1717 and K.S.A. 1999 Supp. 8-126, 8-1,126, 8-235, 8-235d,
8-237, 8-240, 8-293, 8-1486 and 8-2118'';

      In the title, in line 14, by striking all following ``ACT''; by striking all of lines 15 and 16
and inserting ``relating to vehicles; concerning the regulation thereof; relating to the duties
of the division of vehicles; providing for certain electric vehicles; concerning wrecker and
towing service; amending K.S.A. 8-1103, 8-1104, 8-1108, 8-1324, 8-1332, 8-1439, 8-1439a,
8-1530, 8-1592b, 8-1701 and 8-1717 and K.S.A. 1999 Supp. 8-126, 8-1,126, 8-235, 8-235d,
8-237, 8-240, 8-293, 8-1486 and 8-2118 and repealing the existing sections; also repealing
K.S.A. 8-1106 and 8-1439b.'';

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Ben Vidricksen

                                                                                    Nick Jordan

                                                                                    Mark Gilstrap
 Conferees on the part of Senate
                                                                                   

                                                                                    Gary K. Hayzlett

                                                                                    John Ballou

                                                                                    Bruce Larkin
 Conferees on part of House


   On motion of Rep. Hayzlett, the conference committee report on HB 2641 was adopted.

 On roll call, the vote was: Yeas 120; Nays 5; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher, Edmonds,
Empson, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn, Garner, Gate-
wood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helgerson, Hender-
son, Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins, Jenkins,
Jennison, Johnson, Johnston, Kirk, Klein, Phil Kline, Krehbiel, Kuether, Landwehr, Lane,
Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays, McClure,
McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison, Judy Mor-
rison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Palmer, Pauls, E.
Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon, Reinhardt, Ruff,
Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tan-
ner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vining, Wagle, Weber, Weiland,
Wells, Welshimer, Wilk.

 Nays: Campbell, Faber, Phill Kline, Rehorn, Vickrey.

 Present but not voting: None.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to HB 2660, submits the following report:

 The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with Senate Committee amendments,
as follows:

 On page 1, in line 18, before ``For'', by inserting ``(a)''; in line 21, by striking ``this act''
and inserting ``sections 2 through 13''; preceding line 22, by inserting new material to read
as follows:

 ``(b) For the fiscal year ending June 30, 2001, appropriations are hereby made, restrictions
and limitations are hereby imposed, and transfers, disbursements, procedures and acts in-
cidental to the foregoing are hereby directed or authorized as provided in subsection (b) of
section 12.'';

 On page 6, in line 10, by striking ``state general fund'' and inserting ``state of Kansas--
department of corrections inmate benefit fund''; in line 12, following ``parolee,'', by inserting
``for a grant for victim's rights education''; also in line 12, by striking ``claimants''; by striking
all in lines 13 through 16 and inserting new material to read as follows:

``Speak Out for Stephanie Foundation, P.O. Box 7829, Overland Park, KS66207$50,000'';
   On page 8, in line 31, following ``(b)'', by inserting ``On and after January 1, 2001,'';

                                                                                      And your committee on conference recommends the adoption of this report.

                                                                                    Stephen R. Morris

                                                                                    Nick Jordan

                                                                                    Mark Gilstrap
 Conferees on the part of Senate
                                                                                   

                                                                                    David Adkins

                                                                                    Melvin J. Neufeld

                                                                                    Bill Feuerborn
 Conferees on part of House


 On motion of Rep. Adkins, the conference committee report on HB 2660 was adopted.

 On roll call, the vote was: Yeas 74; Nays 51; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Adkins, Alldritt, Allen, Ballard, Barnes, Beggs, Benlon, Bethell, Boston, Burroughs,
Campbell, Carmody, Cox, Dean, Farmer, Feuerborn, Findley, Flaharty, Flora, Garner, Ga-
tewood, Gilbert, Glasscock, Grant, Gregory, Hayzlett, Henry, Horst, Huff, Jennison, John-
ston, Kirk, Phill Kline, Kuether, Lane, Larkin, Lightner, M. Long, Mays, McClure, Mc-
Creary, McKechnie, McKinney, Merrick, Minor, Judy Morrison, Myers, O'Brien, O'Connor,
O'Neal, Palmer, E. Peterson, Pottorff, Powell, Powers, Reardon, Rehorn, Reinhardt,
Schwartz, Sharp, Showalter, Sloan, Spangler, Stone, Storm, Swenson, Tedder, Thimesch,
Toelkes, Toplikar, Vining, Wagle, Welshimer, Wilk.

 Nays: Aday, Aurand, Ballou, Compton, Crow, Dahl, Dreher, Edmonds, Empson, Faber,
Flower, Freeborn, Geringer, Haley, Helgerson, Henderson, Hermes, Holmes, Howell, Hu-
merickhouse, Hutchins, Jenkins, Johnson, Klein, Phil Kline, Krehbiel, Landwehr, Light,
Lloyd, P. Long, Loyd, Mason, Mayans, Mollenkamp, Jim Morrison, Neufeld, Nichols, Os-
borne, Pauls, J. Peterson, Phelps, Ray, Ruff, Shriver, Shultz, Tanner, Tomlinson, Vickrey,
Weber, Weiland, Wells.

 Present but not voting: None.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to Substitute for HB 2683, submits the following report:

      The House accedes to all Senate amendments to the substitute bill and the committee
further agrees to amend the substitute bill as printed with Senate Committee amendments
as follows;

      On page 1, in line 22, by striking ``New'';

      On page 2, by striking all in lines 21 through 43;

      By striking all on pages 3 through 38;

      On page 39, by striking all in lines 1 through 21; in line 22, by striking ``16'' and inserting
``2''; in line 23, by striking ``Kansas register'' and inserting ``statute book'';

      On page 1, in the title, in line 10, by striking ``crimes,''; also in line 10, by striking ``and
punishment''; in line 12, by striking the semicolon; by striking all in lines 13 through 18; in
line 19, by striking ``sections'';

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Tim Emert

                                                                                    John Vratil

                                                                                    Greta Goodwin
 Conferees on the part of Senate
                                                                                   

                                                                                    Michael R. O'Neal

                                                                                    Tim Carmody

                                                                                    Janice L. Pauls
 Conferees on part of House


   On motion of Rep. O'Neal, the conference committee report on Sub. HB 2683 was
adopted.

 On roll call, the vote was: Yeas 125; Nays 0; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn,
Garner, Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helger-
son, Henderson, Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jenkins, Jennison, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether,
Landwehr, Lane, Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans,
Mays, McClure, McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim
Morrison, Judy Morrison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne,
Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon,
Rehorn, Reinhardt, Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler,
Stone, Storm, Swenson, Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey,
Vining, Wagle, Weber, Weiland, Wells, Welshimer, Wilk.

 Nays: None.

 Present but not voting: None.

 Absent or not voting: None.

MOTIONS TO CONCUR AND NONCONCUR
 On motion of Rep. Powell, the House concurred in Senate amendments to HB 2838,
An act concerning children and minors; concerning the health, safety and welfare thereof;
amending K.S.A. 21-3604, 38-102, 38-614, 38-1529 and K.S.A. 1999 Supp. 38-1583 and 38-
1585 and repealing the existing sections. (The House requested the Senate to return the
bill, which was in conference).

 On roll call, the vote was: Yeas 107; Nays 14; Present but not voting: 1; Absent or not
voting: 3.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Barnes, Beggs, Benlon, Bethell, Bur-
roughs, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher, Edmonds, Empson, Faber,
Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn, Garner, Gatewood, Gil-
bert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helgerson, Henderson, Henry, Hermes,
Holmes, Horst, Huff, Humerickhouse, Hutchins, Jenkins, Jennison, Johnson, Johnston,
Kirk, Klein, Phill Kline, Krehbiel, Kuether, Larkin, Lightner, Lloyd, M. Long, P. Long,
Loyd, Mason, Mays, McClure, McCreary, McKechnie, McKinney, Merrick, Minor, Mol-
lenkamp, Jim Morrison, Judy Morrison, Myers, Nichols, O'Brien, O'Connor, O'Neal, Pal-
mer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Ray, Reardon, Rehorn, Rein-
hardt, Ruff, Sharp, Showalter, Shriver, Sloan, Stone, Storm, Swenson, Tanner, Tedder,
Thimesch, Toelkes, Tomlinson, Vickrey, Vining, Wagle, Weiland, Wells, Welshimer, Wilk.

 Nays: Ballou, Boston, Geringer, Howell, Phil Kline, Lane, Light, Osborne, Powers,
Schwartz, Shultz, Spangler, Toplikar, Weber.

 Present but not voting: Campbell.

 Absent or not voting: Landwehr, Mayans, Neufeld.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to SB 470, submits the following report:

      The Senate accedes to all House amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with House Committee of the Whole
amendments, as follows:

      On page 1, by striking all in lines 20 through 43;

      By striking all on pages 2 through 16 and inserting the following:

      ``Section  1. K.S.A. 50-626 is hereby amended to read as follows: 50-626. (a) No supplier
shall engage in any deceptive act or practice in connection with a consumer transaction.

      (b) Deceptive acts and practices include, but are not limited to, the following, each of
which is hereby declared to be a violation of this act, whether or not any consumer has in
fact been misled:

      (1) Representations made knowingly or with reason to know that:

      (A) Property or services have sponsorship, approval, accessories, characteristics, ingre-
dients, uses, benefits or quantities that they do not have;

      (B) the supplier has a sponsorship, approval, status, affiliation or connection that the
supplier does not have;

      (C) property is original or new, if such property has been deteriorated, altered, recon-
ditioned, repossessed or is second-hand or otherwise used to an extent that is materially
different from the representation;

      (D) property or services are of particular standard, quality, grade, style or model, if they
are of another which differs materially from the representation;

      (E) the consumer will receive a rebate, discount or other benefit as an inducement for
entering into a consumer transaction in return for giving the supplier the names of pro-
spective consumers or otherwise helping the supplier to enter into other consumer trans-
actions, if receipt of benefit is contingent on an event occurring after the consumer enters
into the transaction;

      (F) property or services has uses, benefits or characteristics unless the supplier relied
upon and possesses a reasonable basis for making such representation; or

      (G) use, benefit or characteristic of property or services has been proven or otherwise
substantiated unless the supplier relied upon and possesses the type and amount of proof
or substantiation represented to exist;

      (2) the willful use, in any oral or written representation, of exaggeration, falsehood,
innuendo or ambiguity as to a material fact;

      (3) the willful failure to state a material fact, or the willful concealment, suppression or
omission of a material fact;

      (4) disparaging the property, services or business of another by making, knowingly or
with reason to know, false or misleading representations of material facts;

      (5) offering property or services without intent to sell them;

      (6) offering property or services without intent to supply reasonable, expectable public
demand, unless the offer discloses the limitation;

      (7) making false or misleading representations, knowingly or with reason to know, of
fact concerning the reason for, existence of or amounts of price reductions, or the price in
comparison to prices of competitors or one's own price at a past or future time;

      (8) falsely stating, knowingly or with reason to know, that a consumer transaction in-
volves consumer rights, remedies or obligations;

      (9) falsely stating, knowingly or with reason to know, that services, replacements or
repairs are needed;

      (10) falsely stating, knowingly or with reason to know, the reasons for offering or sup-
plying property or services at sale or discount prices; and

      (11) sending or delivering a solicitation for goods or services which could reasonably be
interpreted or construed as a bill, invoice or statement of account due, unless:

      (A) Such solicitation contains the following notice, on its face, in conspicuous and legible
type in contrast by typography, layout or color with other printing on its face:

      ``THIS IS A SOLICITATION FOR THE PURCHASE OF GOODS OR SERVICES
AND NOT A BILL, INVOICE OR STATEMENT OF ACCOUNT DUE. YOU ARE UN-
DER NO OBLIGATION TO MAKE ANY PAYMENTS UNLESS YOU ACCEPT THIS
OFFER''; and

      (B) such solicitation, if made by any classified telephone directory service not affiliated
with a local telephone service in the area of service, contains the following notice, on its
face, in a prominent and conspicuous manner:

``______________________ IS NOT AFFILIATED WITH

      (name of telephone directory service)

ANY LOCAL TELEPHONE COMPANY''.; and

      (12) using, in any printed advertisement, an assumed or fictitious name for the conduct
of such person's business that includes the name of any municipality, community or region
or other description of the municipality, community or region in this state in such a manner
as to suggest that such person's business is located in such municipality, community or region
unless: (A) Such person's business is, in fact, located in such municipality, community or
region; or (B) such person includes in any such printed advertisement the complete street
and city address of the location from which such person's business is actually conducted. If
located outside of Kansas, the state in which such person's business is located also shall be
included. The provisions of this subsection shall not apply to the use of any trademark or
service mark registered under the laws of this state or under federal law; any such name
that, when applied to the goods or services of such person's business, is merely descriptive
of them; or any such name that is merely a surname. Nothing in this subsection shall be
construed to impose any liability on any publisher when such publisher had no knowledge
the business was not, in fact, located in such municipality, community or region.

      Sec.  2. K.S.A. 50-626 is hereby repealed.

      Sec.  3. This act shall take effect and be in force from and after its publication in the
statute book.'';

      On page 1, in the title, by striking all in lines 12 through 17 and inserting the following:

      ``AN ACT concerning the consumer protection act; relating to deceptive use of name of
municipality, community or region in printed advertisements; amending K.S.A. 50-626 and
repealing the existing section.'';

                                                                                    \ And your committee on conference recommends the adoption of this report.

                                                                                    Michael R. O'Neal

                                                                                    Tim Carmody

                                                                                    Janice L. Pauls
 Conferees on the part of House
                                                                                   

                                                                                    Tim Emert

                                                                                    Edward W. Pugh

                                                                                    Greta Goodwin
 Conferees on part of Senate


   On motion of Rep. O'Neal, the conference committee report on SB 470 was adopted.

 On roll call, the vote was: Yeas 122; Nays 3; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn,
Garner, Gatewood, Geringer, Gilbert, Glasscock, Grant, Hayzlett, Helgerson, Henderson,
Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins, Jenkins, Jenni-
son, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether, Landwehr,
Lane, Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays,
McClure, McCreary, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison, Judy Mor-
rison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Palmer, Pauls, E.
Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon, Rehorn, Reinhardt,
Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson,
Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber,
Weiland, Wells, Welshimer, Wilk.

 Nays: Gregory, Haley, McKechnie.

 Present but not voting: None.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to SB 92, submits the following report:

      The Senate accedes to all House amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with House Committee amendments,
as follows:

      On page 1, by striking all in lines 17 through 43;

      By striking all on pages 2 through 9 and inserting the following:

      ``Section  1. K.S.A. 75-6102 is hereby amended to read as follows: 75-6102. As used in
K.S.A. 75-6101 through 75-6118, and amendments thereto, unless the context clearly re-
quires otherwise:

      (a) ``State'' means the state of Kansas and any department or branch of state govern-
ment, or any agency, authority, institution or other instrumentality thereof.

      (b) ``Municipality'' means any county, township, city, school district or other political or
taxing subdivision of the state, or any agency, authority, institution or other instrumentality
thereof.

      (c) ``Governmental entity'' means state or municipality.

      (d) ``Employee'' means any officer, employee, servant or member of a board, commis-
sion, committee, division, department, branch or council of a governmental entity, including
elected or appointed officials and persons acting on behalf or in service of a governmental
entity in any official capacity, whether with or without compensation and a charitable health
care provider. Employee includes any steward or racing judge appointed pursuant to K.S.A.
74-8818, and amendments thereto, regardless of whether the services of such steward or
racing judge are rendered pursuant to contract as an independent contractor, but does not
otherwise include any independent contractor under contract with a governmental entity
except (1) employees of the United States marshal's service engaged in the transportation
of inmates on behalf of the secretary of corrections, (2) a person who is an employee of a
nonprofit independent contractor, other than a municipality, under contract to provide ed-
ucational or vocational training to inmates in the custody of the secretary of corrections and
who is engaged in providing such service in an institution under the control of the secretary
of corrections provided that such employee does not otherwise have coverage for such acts
and omissions within the scope of their employment through a liability insurance contract
of such independent contractor; and (3) a person who is an employee or volunteer of a
nonprofit program, other than a municipality, who has contracted with the commissioner
of juvenile justice or with another nonprofit program that has contracted with the commis-
sioner of juvenile justice to provide a juvenile justice program for juvenile offenders in a
judicial district provided that such employee or volunteer does not otherwise have coverage
for such acts and omissions within the scope of their employment or volunteer activities
through a liability insurance contract of such nonprofit program. ``Employee'' also includes
an employee of an indigent health care clinic. ``Employee'' also includes former employees
for acts and omissions within the scope of their employment during their former employ-
ment with the governmental entity.

      (e) ``Community service work'' means public or community service performed by a
person (1) as a result of a contract of diversion entered into by such person as authorized
by law, (2) pursuant to the assignment of such person by a court to a community corrections
program, (3) as a result of suspension of sentence or as a condition of probation pursuant
to court order, (4) in lieu of a fine imposed by court order or (5) as a condition of placement
ordered by a court pursuant to K.S.A. 38-1663, and amendments thereto.

      (f) ``Charitable health care provider'' means a person licensed by the state board of
healing arts as an exempt licensee or a federally active licensee, a person issued a limited
permit by the state board of healing arts, a physician's assistant registered by the state board
of healing arts or a health care provider as the term ``health care provider'' is defined under
K.S.A. 65-4921, and amendments thereto, who has entered into an agreement with:

      (1) The secretary of health and environment under K.S.A. 75-6120, and amendments
thereto, who, pursuant to such agreement, gratuitously renders professional services to a
person who has provided information which would reasonably lead the health care provider
to make the good faith assumption that such person meets the definition of medically in-
digent person as defined by this section or to a person receiving medical assistance from
the programs operated by the department of social and rehabilitation services, and who is
considered an employee of the state of Kansas under K.S.A. 75-6120, and amendments
thereto;

      (2) the secretary of health and environment and who, pursuant to such agreement,
gratuitously renders professional services in conducting children's immunization programs
administered by the secretary; or

      (3) a local health department or indigent health care clinic, which renders professional
services to medically indigent persons or persons receiving medical assistance from the
programs operated by the department of social and rehabilitation services gratuitously or
for a fee paid by the local health department or indigent health care clinic to such provider
and who is considered an employee of the state of Kansas under K.S.A. 75-6120 and amend-
ments thereto. Professional services rendered by a provider under this paragraph (3) shall
be considered gratuitous notwithstanding fees based on income eligibility guidelines charged
by a local health department or indigent health care clinic and notwithstanding any fee paid
by the local health department or indigent health care clinic to a provider in accordance
with this paragraph (3).

      (g) ``Medically indigent person'' means a person who lacks resources to pay for medically
necessary health care services and who meets the eligibility criteria for qualification as a
medically indigent person established by the secretary of health and environment under
K.S.A. 75-6120, and amendments thereto.

      (h) ``Indigent health care clinic'' means an outpatient medical care clinic operated on a
not-for-profit basis which has a contractual agreement in effect with the secretary of health
and environment to provide health care services to medically indigent persons.

      (i) ``Local health department'' shall have the meaning ascribed to such term under
K.S.A. 65-241 and amendments thereto.

      Sec.  2. K.S.A. 75-6102 is hereby repealed.

      Sec.  3. This act shall take effect and be in force from and after its publication in the
statute book.'';

      On page 1, in the title, by striking all in lines 12 through 14 and inserting:

      ``AN ACT concerning the Kansas tort claims act; relating to the definition of an employee;
amending K.S.A. 75-6102 and repealing the existing section.'';

                                                                                    \ And your committee on conference recommends the adoption of this report.

                                                                                    Michael R. O'Neal

                                                                                    Tim Carmody

                                                                                    Janice L. Pauls
 Conferees on the part of House
                                                                                   

                                                                                    Tim Emert

                                                                                    Lana Oleen

                                                                                    Greta Goodwin
 Conferees on part of Senate


   On motion of Rep. O'Neal, the conference committee report on SB 92 was adopted.

 On roll call, the vote was: Yeas 125; Nays 0; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn,
Garner, Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helger-
son, Henderson, Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jenkins, Jennison, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether,
Landwehr, Lane, Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans,
Mays, McClure, McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim
Morrison, Judy Morrison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne,
Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon,
Rehorn, Reinhardt, Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler,
Stone, Storm, Swenson, Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey,
Vining, Wagle, Weber, Weiland, Wells, Welshimer, Wilk.

 Nays: None.

 Present but not voting: None.

 Absent or not voting: None.

INTRODUCTION OF ORIGINAL MOTIONS
 On motion of Rep. Glasscock, pursuant to subsection (k) of Joint Rule 4 of the Joint Rules
of the Senate and House of Representatives, the rules were suspended for the purpose of
considering H. Sub. for SB 430; HB 2355.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to SB 430, submits the following report:

      The House recedes from all of its amendments to the bill; and your committee on con-
ference agrees to further amend the bill, as printed with amendments by Senate Committee
of the Whole, as follows:

      On page 4, following line 34, by inserting:

      ``Sec.  4. K.S.A. 1999 Supp. 41-727 is hereby amended to read as follows: 41-727. (a)
Except with regard to serving of alcoholic liquor or cereal malt beverage as permitted by
K.S.A. 41-308a, 41-308b, 41-2610 or 41-2704 and sections 5, 6 and 7, and amendments
thereto, and subject to any rules and regulations adopted pursuant to such statutes, no
person under 21 years of age shall possess, consume, obtain, purchase or attempt to obtain
or purchase alcoholic liquor or cereal malt beverage except as authorized by law.

      (b) Violation of this section by a person 18 or more years of age but less than 21 years
of age is a class C misdemeanor for which the minimum fine is $200.

      (c) Any person less than 18 years of age who violates this section is a juvenile offender
under the Kansas juvenile justice code. Upon adjudication thereof and as a condition of
disposition, the court shall require the offender to pay a fine of not less than $200 nor more
than $500.

      (d) In addition to any other penalty provided for a violation of this section, the court
may order the offender to do either or both of the following:

      (1) Perform 40 hours of public service; or

      (2) attend and satisfactorily complete a suitable educational or training program dealing
with the effects of alcohol or other chemical substances when ingested by humans.

      (e) This section shall not apply to the possession and consumption of cereal malt bev-
erage by a person under the legal age for consumption of cereal malt beverage when such
possession and consumption is permitted and supervised, and such beverage is furnished,
by the person's parent or legal guardian.

      (f) Any city ordinance or county resolution prohibiting the acts prohibited by this section
shall provide a minimum penalty which is not less than the minimum penalty prescribed by
this section.

      (g) This section shall be part of and supplemental to the Kansas liquor control act.

      New Sec.  5. (a) Any person listed in subsections (b)(1), (b)(2) or (b)(3) may engage or
direct a person under 21 years of age to violate the provisions of the Kansas liquor control
act in order to develop a program or system which determines and encourages compliance
with the provisions of such act prohibiting the furnishing or sale of alcoholic liquor to a
person under 21 years of age or the consumption of alcoholic liquor by such persons.

      (b) No person shall engage or direct a person under 21 years of age to violate any
provision of the Kansas liquor control act for purposes of determining compliance with the
provisions of such act unless such person is:

      (1) An officer having authority to enforce the provisions of the Kansas liquor control
act;

      (2) an authorized representative of the attorney general, a county attorney or a district
attorney; or

      (3) a licensee under the Kansas liquor control act or such licensee's designee pursuant
to a self-compliance program designed to increase compliance with the provisions of the
Kansas liquor control act if such program has been approved by the director.

      New Sec.  6. (a) Any person listed in subsections (b)(1), (b)(2) or (b)(3) may engage or
direct a person under 21 years of age to violate the provisions of the club and drinking
establishment act in order to develop a program or system which determines and encourages
compliance with the provisions of such act prohibiting the furnishing or sale of alcoholic
liquor to a person under 21 years of age or the consumption of alcoholic liquor by such
persons.

      (b) No person shall engage or direct a person under 21 years of age to violate any
provision of the club and drinking establishment act for purposes of determining compliance
with the provisions of such act unless such person is:

      (1) An officer having authority to enforce the provisions of the club and drinking estab-
lishment act;

      (2) an authorized representative of the attorney general, a county attorney or a district
attorney; or

      (3) a licensee or permittee under the club and drinking establishment act or such li-
censee's or permittee's designee pursuant to a self-compliance program designed to increase
compliance with the provisions of the club and drinking establishment act if such program
has been approved by the director.

      New Sec.  7. (a) Any person listed in subsections (b)(1), (b)(2) or (b)(3) may engage or
direct a person under the legal age for consumption of cereal malt beverage to violate the
provisions of K.S.A. 41-2701, et seq., and amendments thereto, in order to develop a pro-
gram or system which determines and encourages compliance with the provisions thereof
prohibiting the furnishing or sale of cereal malt beverages to a person under the legal age
for consumption of cereal malt beverage or the consumption of cereal malt beverages by
such persons.

      (b) No person shall engage or direct a person under the legal age for consumption of
cereal malt beverage to violate any provision of K.S.A. 41-2701 et seq., and amendments
thereto, for purposes of determining compliance therewith unless such person is:

      (1) An officer having authority to enforce the provisions of K.S.A. 41-2701 et seq., and
amendments thereto;

      (2) an authorized representative of the attorney general, a county attorney or a district
attorney; or

      (3) a licensee under the provisions of K.S.A. 41-2701, et seq., and amendments thereto,
or such licensee's designee pursuant to a self-compliance program designed to increase
compliance with the provisions of K.S.A. 41-2701 et seq., and amendments thereto if such
program has been approved by the director.

      Sec.  8. K.S.A. 41-211 is hereby amended to read as follows: 41-211. (a) The rules and
regulations adopted by the secretary of revenue pursuant to K.S.A. 41-210, and amendments
thereto, shall include rules and regulations:

      (1) Prescribing the nature, form and capacity of all containers used for alcoholic liquors;

      (2) prescribing the nature of and the representations to be shown upon the labels at-
tached to the containers and requiring that the labels attached to all original containers or
packages of alcoholic liquors sold or offered for sale in this state shall set forth in plain and
legible print in the English language the quantity of such liquors, exclusive of the package
or cask containing them, in either metric or English measurement;

      (3) prescribing administrative procedures for the issuance of licenses and the investi-
gation of license applications and providing for advisory recommendations from governing
bodies of cities as to retailers' licenses and for hearings on applications;

      (4) prescribing conditions for the issuance of duplicate licenses in lieu of those lost or
destroyed;

      (5) prescribing those violations of the rules and regulations for which licenses shall be
suspended or revoked;

      (6) establishing standards of purity, sanitation and honest advertising and representa-
tions;

      (7) requiring the destruction of stamps upon containers which have been opened;

      (8) in the case of manufacturers and distributors of alcoholic liquors, requiring the labels
attached to all containers of such liquors which are intended for sale in this state to set forth,
in plain legible print in the English language, the name and kind of alcoholic liquors con-
tained therein, together with their alcoholic content, and if a blended product (except wine)
to so state, except that, if the director deems it unnecessary to show the alcoholic content
of beer on labels of containers of beer, the alcoholic content shall not be required to be
shown thereon; and

      (9) establishing procedures and conditions under which minors may be engaged in pro-
grams or systems encouraging compliance with the provisions of laws relating to the sale of
alcoholic liquor and cereal malt beverages to a person under 21 years of age or under the
legal age for consumption of cereal malt beverages as authorized by sections 5, 6 and 7, and
amendments thereto. Such regulations shall include provisions which require that such per-
son used in any such program or system to be (A) at least 18 years of age and not more than
191/2 years of age; (B) exhibit a youthful appearance; (C) carry only one piece of identifi-
cation, which shall be a valid form of identification; (D) truthful in interactions with licens-
ees; except if asked, such person may deny working with law enforcement officials.

      It shall be an absolute defense in any civil proceeding or criminal prosecution if any such
program or system does not comply with the procedures and conditions required by such
rules and regulations;

      (9) (10) providing for such other details as are necessary or convenient to the admin-
istration and enforcement of this act.

      (b) The secretary of revenue may adopt rules and regulations pursuant to K.S.A. 41-
210, and amendments thereto establishing:

      (1) Standards of manufacture of alcoholic liquors and beer, regardless of its alcoholic
content, not inconsistent with federal laws, in order to insure the use of proper ingredients
and methods in the manufacture and distribution thereof; and

      (2) standards, not inconsistent with federal law, for the proper labeling of containers or
barrels, casks or other bulk containers or bottles of alcoholic liquor and beer, regardless of
its alcoholic content, manufactured or sold in this state.

      New Sec.  9. Any citation issued for a violation of the liquor control act or the club and
drinking establishment act shall be delivered to the person allegedly committing the violation
at the time of the alleged violation. A copy of such citation also shall be delivered by United
States mail to the licensee within 30 days of the alleged violation. If such citation and copy
are not so delivered, the citation shall be void and unenforceable.

      New Sec.  10. Any licensee who has been the subject of an operation conducted by the
division of alcoholic beverage control or any local law enforcement agency to determine
compliance with the provisions of laws relating to the sale of alcoholic liquor and cereal
malt beverages to persons under 21 years of age or the legal age for consumption of cereal
malt beverage shall be issued a written notice of compliance with such laws within 30 days
of the date of such operation.'';

      By renumbering sections accordingly;

      Also on page 4, in line 35, following ``K.S.A.'' by inserting ``41-211,''; in line 36, by striking
``and 41-719a'' and inserting ``, 41-719a and 41-727'';

      In the title, in line 15, following ``liquor'' by inserting ``and cereal malt beverages''; in line
16, following ``K.S.A.'' by inserting ``41-211,''; in line 17, after ``41-719'' by inserting ``and
41-727'';

                                                                                          \ And your committee on conference recommends the adoption of this report.

                                                                                    Tony Powell

                                                                                    Phill Kline

                                                                                    Thomas Klein
 Conferees on the part of House
                                                                                   

                                                                                    Lana Oleen

                                                                                    John Vratil

                                                                                    Sherman Jones
 Conferees on part of Senate


   On motion of Rep. Powell, the conference committee report on H. Sub. for SB 430 was
adopted.

 On roll call, the vote was: Yeas 72; Nays 52; Present but not voting: 0; Absent or not
voting: 1.

 Yeas: Aday, Adkins, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Bethell, Bur-
roughs, Carmody, Compton, Cox, Dreher, Empson, Feuerborn, Findley, Flaharty, Flora,
Flower, Glasscock, Grant, Gregory, Haley, Henderson, Horst, Huff, Humerickhouse,
Hutchins, Jennison, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Lane, Larkin,
Lightner, M. Long, P. Long, Loyd, Mayans, McKechnie, Merrick, Minor, Judy Morrison,
O'Connor, O'Neal, E. Peterson, J. Peterson, Phelps, Powell, Ray, Reardon, Rehorn, Rein-
hardt, Schwartz, Sharp, Shriver, Sloan, Spangler, Stone, Swenson, Tedder, Toelkes, Tom-
linson, Wagle, Weiland, Wells, Wilk.

 Nays: Alldritt, Boston, Campbell, Crow, Dahl, Dean, Edmonds, Faber, Farmer, Free-
born, Garner, Gatewood, Geringer, Gilbert, Hayzlett, Helgerson, Hermes, Holmes, Howell,
Jenkins, Johnson, Kuether, Landwehr, Light, Lloyd, Mason, Mays, McClure, McCreary,
McKinney, Mollenkamp, Jim Morrison, Myers, Neufeld, Nichols, O'Brien, Osborne, Pal-
mer, Pauls, Pottorff, Powers, Ruff, Showalter, Shultz, Storm, Tanner, Thimesch, Toplikar,
Vickrey, Vining, Weber, Welshimer.

 Present but not voting: None.

 Absent or not voting: Henry.

     On motion of Rep. Glasscock, the House recessed until 8:00 p.m.












______
Evening Session
 The House met pursuant to recess with Speaker pro tem Mays in the chair.

INTRODUCTION OF ORIGINAL MOTIONS
 On motion of Rep. Glasscock, pursuant to subsection (k) of Joint Rule 4 of the Joint Rules
of the Senate and House of Representatives, the rules were suspended for the purpose of
considering SB 471; H. Sub. for SB 40; HB 2996.



CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to House Substitute for SB 40, submits the following report:

      The Senate accedes to all House amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with House Committee of the Whole
amendments, as follows:

      On page 1, by striking all in lines 19 through 43;

      By striking all on pages 2, 3 and 4;

      On page 5, by striking all in lines 1 through 24 and inserting new material to read as
follows:

      ``Section  1. K.S.A. 76-6b05 is hereby amended to read as follows: 76-6b05. (a) All mon-
eys received by the state treasurer under K.S.A. 76-6b04, and amendments thereto, shall be
credited to the state institutions building fund, which is hereby created in the state treasury,
to be appropriated by the legislature as needed used for the construction, reconstruction,
equipment and repair of buildings and grounds at institutions specified in K.S.A. 76-6b04,
and amendments thereto, and for payment of debt service on revenue bonds issued to finance
such projects, all subject to appropriation by the legislature.

      (b) Subject to any restrictions imposed by appropriation acts, the juvenile justice au-
thority is authorized to pledge funds appropriated to it from the state institutions building
fund or from any other source and transferred to a special revenue fund of the juvenile
justice authority specified by statute for the payment of debt service on revenue bonds issued
for the purposes set forth in subsection (a). Subject to any restrictions imposed by appro-
priation acts, the juvenile justice authority is also authorized to pledge any funds appropri-
ated to it from the state institutions building fund or from any other source and transferred
to a special revenue fund of the juvenile justice authority specified by statute as a priority
for the payment of debt service on such revenue bonds. Neither the state or the juvenile
justice authority shall have the power to pledge the faith and credit or taxing power of the
state of Kansas for such purposes and any payment by the juvenile justice authority for such
purposes shall be subject to and dependent on appropriations being made from time to time
by the legislature. Any obligation of the juvenile justice authority for payment of debt service
on revenue bonds and any such revenue bonds issued for the purposes set forth in subsection
(a) shall not be considered a debt or obligation of the state for the purpose of section 6 of
article 11 of the constitution of the state of Kansas.

      Sec.  2. K.S.A. 76-6b05 is hereby repealed.

      Sec.  3. This act shall take effect and be in force from and after its publication in the
Kansas register.'';

      On page 1, in the title, by striking all in lines 10 through 16 and inserting ``AN  ACT
concerning the state institutions building fund; debt service on revenue bonds for certain
capital improvement projects; amending K.S.A. 76-6b05 and repealing the existing section.'';

                                                                                    \ And your committee on conference recommends the adoption of this report.

                                                                                    Kenny A. Wilk

                                                                                    Deena L. Horst

                                                                                    Bonnie Sharp
 Conferees on the part of House
                                                                                   

                                                                                    Dave Kerr

                                                                                    Alicia L. Salisbury

                                                                                    Marge Petty
 Conferees on part of Senate


   On motion of Rep. Horst, the conference committee report on H. Sub. for SB 40 was
adopted.

 Call of the House was demanded.

 On roll call, the vote was: Yeas 114; Nays 11; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Barnes, Beggs, Benlon, Bethell, Bos-
ton, Burroughs, Carmody, Compton, Cox, Dean, Dreher, Edmonds, Empson, Faber, Far-
mer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn, Garner, Gatewood, Geringer,
Gilbert, Glasscock, Grant, Haley, Hayzlett, Henderson, Henry, Hermes, Holmes, Horst,
Huff, Humerickhouse, Hutchins, Jenkins, Jennison, Johnson, Kirk, Klein, Phil Kline, Phill
Kline, Krehbiel, Kuether, Lane, Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd,
Mason, Mayans, Mays, McClure, McCreary, McKechnie, McKinney, Merrick, Minor, Mol-
lenkamp, Jim Morrison, Judy Morrison, Myers, Neufeld, Nichols, O'Brien, O'Connor,
O'Neal, Osborne, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray,
Reardon, Rehorn, Reinhardt, Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan,
Spangler, Stone, Storm, Swenson, Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar,
Vickrey, Vining, Wagle, Weiland, Wells, Welshimer, Wilk.

 Nays: Ballou, Campbell, Crow, Dahl, Gregory, Helgerson, Howell, Johnston, Landwehr,
Palmer, Weber.

 Present but not voting: None.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to SB 471, submits the following report:

      The Senate accedes to all House amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with House Committee amendments,
as follows:

      On page 1, by striking all in lines 18 through 43;

      By striking all on pages 2 through 4 and inserting the following:

      ``Section  1. K.S.A. 1999 Supp. 39-1411 is hereby amended to read as follows: 39-1411.
(a) The secretary of health and environment shall maintain a register of the reports received
and investigated by the department of health and environment under K.S.A. 39-1402 and
39-1403, and amendments to such sections, and the findings, evaluations and actions rec-
ommended by the department with respect to such reports. The findings, evaluations and
actions shall be subject to such notice and appeals procedures as may be adopted by rules
and regulations of the secretary of health and environment, which rules and regulations shall
be consistent with the Kansas administrative procedure act and any requirements of state
or federal law relating thereto except that the secretary shall not be required to conduct a
hearing in cases forwarded to the appropriate state authority under subsection (b). The
register shall be available for inspection by personnel of the department of health and
environment as specified by the secretary of health and environment and to such other
persons as may be required by federal law and designated by the secretary of health and
environment by rules and regulations. Information from the register shall be provided as
specified in K.S.A. 1999 Supp. 65-6205 and amendments thereto. The secretary of health
and environment shall forward a copy of any report of abuse, neglect or exploitation of a
resident of an adult care home to the secretary of aging.

      (b) The secretary of health and environment shall forward any finding of abuse, neglect
or exploitation alleged to be committed by a provider of services licensed, registered or
otherwise authorized to provide services in this state to the appropriate state authority which
regulates such provider. The appropriate state regulatory authority, after notice to the al-
leged perpetrator and a hearing on such matter if requested by the alleged perpetrator, may
consider the finding in any disciplinary action taken with respect to the provider of services
under the jurisdiction of such authority. The secretary of health and environment may
consider the finding of abuse, neglect or exploitation in any licensing action taken with
respect to any adult care home or medical care facility under the jurisdiction of the secretary.

      (c) If the investigation of the department of health and environment indicates reason
to believe that the resident is in need of protective services, that finding and all information
relating to that finding shall be forwarded by the secretary of health and environment to
the secretary of social and rehabilitation services.

      (d) Except as otherwise provided in this section, the report received by the department
of health and environment and the written findings, evaluations and actions recommended
shall be confidential and shall not be subject to the open records act. Except as otherwise
provided in this section, the name of the person making the original report to the department
of health and environment or any person mentioned in such report shall not be disclosed
unless such person specifically requests or agrees in writing to such disclosure or unless a
judicial or administrative proceeding results therefrom. In the event that an administrative
or judicial action arises, no use of the information shall be made until the judge or presiding
officer makes a specific finding, in writing, after a hearing, that under all the circumstances
the need for the information outweighs the need for confidentiality. Except as otherwise
provided in this section, no information contained in the register shall be made available to
the public in such a manner as to identify individuals.

 Sec.  2. K.S.A. 1999 Supp. 39-1411 is hereby repealed.

 Sec.  3. This act shall take effect and be in force from and after its publication in the
statute book.'';

      On page 1, in the title, by striking all in lines 12 through 15 and inserting the following:

      ``AN ACT concerning the Kansas administrative procedure act; relating to abuse, neglect
or exploitation of adults; investigations by the department of health and environment;
amending K.S.A. 1999 Supp. 39-1411 and repealing the existing section.'';

                                                                                    \ And your committee on conference recommends the adoption of this report.

                                                                                    Michael R. O'Neal

                                                                                    Tim Carmody

                                                                                    David Haley
 Conferees on the part of House
                                                                                   

                                                                                    Tim Emert

                                                                                    Edward W. Pugh

                                                                                    Greta Goodwin
 Conferees on part of Senate


   On motion of Rep. O'Neal, the conference committee report on SB 471 was adopted.

 On roll call, the vote was: Yeas 125; Nays 0; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn,
Garner, Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helger-
son, Henderson, Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jenkins, Jennison, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether,
Landwehr, Lane, Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans,
Mays, McClure, McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim
Morrison, Judy Morrison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne,
Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon,
Rehorn, Reinhardt, Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler,
Stone, Storm, Swenson, Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey,
Vining, Wagle, Weber, Weiland, Wells, Welshimer, Wilk.

 Nays: None.

 Present but not voting: None.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to HB 2013, submits the following report:

      The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed as Substitute for House Bill No. 2013,
as amended by Senate Committee of the Whole, as follows:

      On page 1, in line 29, by striking all after ``as'' and inserting ``the bingo act.''; in line 31,
by striking all after ``act''; in line 32, by striking all before the colon;

      On page 2, in line 28, following ``special'' by inserting ``, mini'';

      On page 12, in line 17, after ``of'' by inserting ``the'';

      On page 14, in line 39, by striking ``$200'' and inserting ``$500''; in line 41, following the
period, by inserting ``Any monetary prize awarded in games of bingo shall be paid by a check
on the bingo trust bank account of the licensee upon the request of the winner of such
award.'';

      On page 16, in line 19, by striking ``per'' and inserting ``during a''; also in line 19, before
the period, by inserting ``or the lessor of the premises''; in line 23, following the period, by
inserting ``No more than four of such drawings shall be conducted by each licensee or lessor
during any calendar year.'';

      On page 17, in line 19, by striking all after ``sold; in line 20, by striking all before ``by'';

      On page 19, in line 5, by striking ``operators'' and inserting ``licensees''; in line 13, by
striking ``one game'' and inserting ``three games''; also in line 13, following ``winner'' by
inserting ``or winners''; in line 17, following the period, by inserting ``There shall be no limit
on the number of instant bingo tickets which may be sold for participation in any such game
of instant bingo.''; in line 20, by striking ``12 games.'' and inserting ``20 games. No mini
bingo game shall be conducted by a licensee more than one hour prior to, or after the
commencement of, the first regular or special game of call bingo operated or conducted by
the licensee for such session.'';

      On page 21, in line 15, by striking all after ``treasury''; in line 16, by striking all before
the period; in line 23, following the period, by inserting ``Except as provided by K.S.A. 79-
4711, and amendments thereto, 1/3 of each deposit remitted to the state treasurer pursuant
to subsection (b) shall be credited to the state bingo regulation fund and the balance shall
be credited to the state general fund.'';

      On page 46, in line 36, by striking ``23'' and inserting ``22'';

      On page 47, in line 28, by striking ``23'' and inserting ``22'';

      On page 49, following line 16, by inserting the following:

      ``Sec.  26. K.S.A. 1999 Supp. 79-3603 is hereby amended to read as follows: 79-3603.
For the privilege of engaging in the business of selling tangible personal property at retail
in this state or rendering or furnishing any of the services taxable under this act, there is
hereby levied and there shall be collected and paid a tax at the rate of 4.9% and, unless
otherwise specifically provided by law. Within a redevelopment district established pursuant
to K.S.A. 74-8921, and amendments thereto, there is hereby levied and there shall be col-
lected and paid an additional tax at the rate of 2% until the earlier of the date the bonds
issued to finance or refinance the redevelopment project have been paid in full or the final
scheduled maturity of the first series of bonds issued to finance any part of the project upon:

      (a) The gross receipts received from the sale of tangible personal property at retail
within this state;

      (b)  (1) the gross receipts from intrastate telephone or telegraph services and (2) the
gross receipts received from the sale of interstate telephone or telegraph services, which
(A) originate within this state and terminate outside the state and are billed to a customer's
telephone number or account in this state; or (B) originate outside this state and terminate
within this state and are billed to a customer's telephone number or account in this state
except that the sale of interstate telephone or telegraph service does not include: (A) Any
interstate incoming or outgoing wide area telephone service or wide area transmission type
service which entitles the subscriber to make or receive an unlimited number of commu-
nications to or from persons having telephone service in a specified area which is outside
the state in which the station provided this service is located; (B) any interstate private
communications service to the persons contracting for the receipt of that service that entitles
the purchaser to exclusive or priority use of a communications channel or group of channels
between exchanges; (C) any value-added nonvoice service in which computer processing
applications are used to act on the form, content, code or protocol of the information to be
transmitted; (D) any telecommunication service to a provider of telecommunication services
which will be used to render telecommunications services, including carrier access services;
or (E) any service or transaction defined in this section among entities classified as members
of an affiliated group as provided by federal law (U.S.C. Section 1504). For the purposes
of this subsection the term gross receipts does not include purchases of telephone, telegraph
or telecommunications using a prepaid telephone calling card or pre-paid authorization
number. As used in this subsection, a pre-paid telephone calling card or pre-paid authori-
zation number means the right to exclusively make telephone calls, paid for in advance, with
the prepaid value measured in minutes or other time units, that enables the origination of
calls using an access number or authorization code or both, whether manually or electron-
ically dialed;

      (c) the gross receipts from the sale or furnishing of gas, water, electricity and heat,
which sale is not otherwise exempt from taxation under the provisions of this act, and
whether furnished by municipally or privately owned utilities;

      (d) the gross receipts from the sale of meals or drinks furnished at any private club,
drinking establishment, catered event, restaurant, eating house, dining car, hotel, drugstore
or other place where meals or drinks are regularly sold to the public;

      (e) the gross receipts from the sale of admissions to any place providing amusement,
entertainment or recreation services including admissions to state, county, district and local
fairs, but such tax shall not be levied and collected upon the gross receipts received from
sales of admissions to any cultural and historical event which occurs triennially;

      (f) the gross receipts from the operation of any coin-operated device dispensing or
providing tangible personal property, amusement or other services except laundry services,
whether automatic or manually operated;

      (g) the gross receipts from the service of renting of rooms by hotels, as defined by K.S.A.
36-501 and amendments thereto, or by accommodation brokers, as defined by K.S.A. 12-
1692, and amendments thereto;

      (h) the gross receipts from the service of renting or leasing of tangible personal property
except such tax shall not apply to the renting or leasing of machinery, equipment or other
personal property owned by a city and purchased from the proceeds of industrial revenue
bonds issued prior to July 1, 1973, in accordance with the provisions of K.S.A. 12-1740
through 12-1749, and amendments thereto, and any city or lessee renting or leasing such
machinery, equipment or other personal property purchased with the proceeds of such
bonds who shall have paid a tax under the provisions of this section upon sales made prior
to July 1, 1973, shall be entitled to a refund from the sales tax refund fund of all taxes paid
thereon;

      (i) the gross receipts from the rendering of dry cleaning, pressing, dyeing and laundry
services except laundry services rendered through a coin-operated device whether automatic
or manually operated;

      (j) the gross receipts from the rendering of the services of washing and washing and
waxing of vehicles;

      (k) the gross receipts from cable, community antennae and other subscriber radio and
television services;

      (l) the gross receipts received from the sales of tangible personal property to all con-
tractors, subcontractors or repairmen of materials and supplies for use by them in erecting
structures for others, or building on, or otherwise improving, altering, or repairing real or
personal property of others;

      (m) the gross receipts received from fees and charges by public and private clubs, drink-
ing establishments, organizations and businesses for participation in sports, games and other
recreational activities, but such tax shall not be levied and collected upon the gross receipts
received from: (1) Fees and charges by any political subdivision, by any organization exempt
from property taxation pursuant to paragraph Ninth of K.S.A. 79-201, and amendments
thereto, or by any youth recreation organization exclusively providing services to persons 18
years of age or younger which is exempt from federal income taxation pursuant to section
501(c)(3) of the federal internal revenue code of 1986, for participation in sports, games
and other recreational activities; and (2) entry fees and charges for participation in a special
event or tournament sanctioned by a national sporting association to which spectators are
charged an admission which is taxable pursuant to subsection (e);

      (n) the gross receipts received from dues charged by public and private clubs, drinking
establishments, organizations and businesses, payment of which entitles a member to the
use of facilities for recreation or entertainment, but such tax shall not be levied and collected
upon the gross receipts received from: (1) Dues charged by any organization exempt from
property taxation pursuant to paragraphs Eighth and Ninth of K.S.A. 79-201, and amend-
ments thereto; and (2) sales of memberships in a nonprofit organization which is exempt
from federal income taxation pursuant to section 501 (c)(3) of the federal internal revenue
code of 1986, and whose purpose is to support the operation of a nonprofit zoo;

      (o) the gross receipts received from the isolated or occasional sale of motor vehicles or
trailers but not including: (1) The transfer of motor vehicles or trailers by a person to a
corporation solely in exchange for stock securities in such corporation; or (2) the transfer
of motor vehicles or trailers by one corporation to another when all of the assets of such
corporation are transferred to such other corporation; or (3) the sale of motor vehicles or
trailers which are subject to taxation pursuant to the provisions of K.S.A. 79-5101 et seq.,
and amendments thereto, by an immediate family member to another immediate family
member. For the purposes of clause (3), immediate family member means lineal ascendants
or descendants, and their spouses. In determining the base for computing the tax on such
isolated or occasional sale, the fair market value of any motor vehicle or trailer traded in by
the purchaser to the seller may be deducted from the selling price;

      (p) the gross receipts received for the service of installing or applying tangible personal
property which when installed or applied is not being held for sale in the regular course of
business, and whether or not such tangible personal property when installed or applied
remains tangible personal property or becomes a part of real estate, except that no tax shall
be imposed upon the service of installing or applying tangible personal property in connec-
tion with the original construction of a building or facility, the original construction, recon-
struction, restoration, remodeling, renovation, repair or replacement of a residence or the
construction, reconstruction, restoration, replacement or repair of a bridge or highway.

      For the purposes of this subsection:

      (1) ``Original construction'' shall mean the first or initial construction of a new building
or facility. The term ``original construction'' shall include the addition of an entire room or
floor to any existing building or facility, the completion of any unfinished portion of any
existing building or facility and the restoration, reconstruction or replacement of a building
or facility damaged or destroyed by fire, flood, tornado, lightning, explosion or earthquake,
but such term, except with regard to a residence, shall not include replacement, remodeling,
restoration, renovation or reconstruction under any other circumstances;

      (2) ``building'' shall mean only those enclosures within which individuals customarily
are employed, or which are customarily used to house machinery, equipment or other prop-
erty, and including the land improvements immediately surrounding such building;

      (3) ``facility'' shall mean a mill, plant, refinery, oil or gas well, water well, feedlot or any
conveyance, transmission or distribution line of any cooperative, nonprofit, membership
corporation organized under or subject to the provisions of K.S.A. 17-4601 et seq., and
amendments thereto, or of any municipal or quasi-municipal corporation, including the land
improvements immediately surrounding such facility; and

      (4) ``residence'' shall mean only those enclosures within which individuals customarily
live;

      (q) the gross receipts received for the service of repairing, servicing, altering or main-
taining tangible personal property, except computer software described in subsection (s),
which when such services are rendered is not being held for sale in the regular course of
business, and whether or not any tangible personal property is transferred in connection
therewith. The tax imposed by this subsection shall be applicable to the services of repairing,
servicing, altering or maintaining an item of tangible personal property which has been and
is fastened to, connected with or built into real property;

      (r) the gross receipts from fees or charges made under service or maintenance agree-
ment contracts for services, charges for the providing of which are taxable under the pro-
visions of subsection (p) or (q);

      (s) the gross receipts received from the sale of computer software, and the sale of the
services of modifying, altering, updating or maintaining computer software. As used in this
subsection, ``computer software'' means information and directions loaded into a computer
which dictate different functions to be performed by the computer. Computer software
includes any canned or prewritten program which is held or existing for general or repeated
sale, even if the program was originally developed for a single end user as custom computer
software. The sale of computer software or services does not include: (1) The initial sale of
any custom computer program which is originally developed for the exclusive use of a single
end user; or (2) those services rendered in the modification of computer software when the
modification is developed exclusively for a single end user only to the extent of the modi-
fication and only to the extent that the actual amount charged for the modification is sep-
arately stated on invoices, statements and other billing documents provided to the end user.
The services of modification, alteration, updating and maintenance of computer software
shall only include the modification, alteration, updating and maintenance of computer soft-
ware taxable under this subsection whether or not the services are actually provided; and

      (t) the gross receipts received for telephone answering services, including mobile phone
services, beeper services and other similar services; and

      (u) the gross receipts received from the sale of prepaid telephone calling cards or pre-
paid authorization numbers and the recharge of such cards or numbers. A pre-paid tele-
phone calling card or pre-paid authorization number means the right to exclusively make
telephone calls, paid for in advance, with the prepaid value measured in minutes or other
time units, that enables the origination of calls using an access number or authorization
code or both, whether manually or electronically dialed. If the sale or recharge of such card
or number does not take place at the vendor's place of business, it shall be conclusively
determined to take place at the customer's shipping address; if there is no item shipped
then it shall be the customer's billing address.; and

      (v) the gross receipts received from the sales of bingo cards, bingo faces and instant
bingo tickets by licensees under K.S.A. 79-4701, et seq., and amendments thereto, shall be
taxed at a rate of: (1) 4.9% on July 1, 2000, and before July 1, 2001; and (2) 2.5% on July
1, 2001, and before July 1, 2002. From and after July 1, 2002, all sales of bingo cards, bingo
faces and instant bingo tickets by licensees under K.S.A. 79-4701 et seq., and amendments
thereto, shall be exempt from taxes imposed pursuant to this section.'';

      Also on page 49, by striking all in line 20 and inserting ``79-4714 and 79-4804 and K.S.A.
1999 Supp. 74-8836, 79-3603 and'';

      In the title, in line 23, by striking all after ``74-8836'' and inserting ``, 79-3603 and 79-'';

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Lana Oleen

                                                                                    John Vratil

                                                                                    Sherman Jones
 Conferees on the part of Senate
                                                                                   

                                                                                    Tony Powell

                                                                                    Becky Hutchins

                                                                                    Thomas Klein
 Conferees on part of House


 On motion of Rep. Powell, the conference committee report on Sub. HB 2013 was
adopted.

 On roll call, the vote was: Yeas 65; Nays 59; Present but not voting: 1; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Aurand, Ballard, Barnes, Beggs, Bethell, Carmody, Compton, Crow,
Dreher, Edmonds, Farmer, Feuerborn, Findley, Flora, Flower, Gatewood, Geringer, Gil-
bert, Grant, Gregory, Helgerson, Henry, Horst, Huff, Humerickhouse, Hutchins, Jennison,
Johnson, Johnston, Kirk, Klein, Phil Kline, Kuether, Larkin, P. Long, Mayans, McCreary,
Minor, Jim Morrison, Myers, O'Brien, Osborne, Palmer, J. Peterson, Phelps, Powell, Re-
horn, Ruff, Schwartz, Showalter, Shriver, Sloan, Stone, Tanner, Tedder, Thimesch, Toelkes,
Toplikar, Vining, Weber, Weiland, Wells, Wilk.

 Nays: Alldritt, Allen, Ballou, Benlon, Boston, Burroughs, Campbell, Cox, Dahl, Dean,
Empson, Faber, Flaharty, Freeborn, Garner, Glasscock, Haley, Hayzlett, Henderson, Her-
mes, Holmes, Howell, Jenkins, Phill Kline, Krehbiel, Landwehr, Lane, Light, Lightner,
Lloyd, M. Long, Loyd, Mason, Mays, McClure, McKechnie, McKinney, Merrick, Mollen-
kamp, Judy Morrison, Neufeld, Nichols, O'Connor, O'Neal, Pauls, E. Peterson, Pottorff,
Powers, Ray, Reardon, Reinhardt, Sharp, Shultz, Spangler, Storm, Swenson, Tomlinson,
Vickrey, Welshimer.

 Present but not voting: Wagle.

 Absent or not voting: None.


EXPLANATION OF VOTE
 Mr. Speaker: I vote yes on HB 2013 although I am not sure why. The bill cuts taxes
on bingo and promotes gambling, which is acknowledged in the bill with its provisions
regarding door prizes and bingo addiction. I assume we do this because the money goes to
a worthy cause.

 I think education is a worthy cause too. We have 50 million untapped dollars for education
if we would just allow slot machines at our pari-mutual facilities.

 Does anyone see the hypocrisy here?--Rick Rehorn

  CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to HB 2996, submits the following report:

      The Senate recedes from all of its amendments to the bill;

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Dave Kerr

                                                                                    Alicia L. Salisbury

                                                                                    Christine Downey
 Conferees on the part of Senate
                                                                                   

                                                                                    David Adkins

                                                                                    Melvin J. Neufeld

                                                                                    Bill Reardon
 Conferees on part of House


   On motion of Rep. Adkins, the conference committee report on HB 2996 was adopted.

 On roll call, the vote was: Yeas 125; Nays 0; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn,
Garner, Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helger-
son, Henderson, Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jenkins, Jennison, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether,
Landwehr, Lane, Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans,
Mays, McClure, McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim
Morrison, Judy Morrison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne,
Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon,
Rehorn, Reinhardt, Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler,
Stone, Storm, Swenson, Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey,
Vining, Wagle, Weber, Weiland, Wells, Welshimer, Wilk.

 Nays: None.

 Present but not voting: None.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to HB 3019, submits the following report:

      The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with Senate Committee of the Whole
amendments, as follows:

      On page 9, in line 42, by striking ``of'';

      On page 10, in line 24, before the semicolon, by inserting ``, but shall not include the
boundaries of any redevelopment district in a major tourism area which includes an auto
race track facility located in Wyandotte county as follows: Beginning at the intersection of
Interstate 70 and Interstate 435; west along Interstate 70 to 118th Street; north along 118th
Street to State Avenue; northeasterly along proposed relocated State Avenue to 110th Street;
north along 110th Street to Parallel Parkway; east along Parallel Parkway to Interstate 435;
South along Interstate 435 to Interstate 70''; in line 42, by striking ``expansion of the''; in
line 43, after ``area'', by inserting ``be expanded'';

      On page 11, in line 2, by striking the first ``the''; in line 9, after ``the'' by inserting ``pro-
posed''; also in line 9, after ``boundaries'', by striking ``proposed''; in line 14, by striking
``approval'' and inserting ``expansion beyond the campus boundaries''; in line 22, by striking
all after the first ``by''; by striking all in lines 23 and 24, and inserting ``the governing body
of the county, no sales tax increment collected from taxpayers doing business within the
project area, but outside the boundaries of the college campus shall be pledged pursuant
to section 3 as debt service for payment of principle and interest on any bonds issued for
the project until it is first subject to a county-wide election and has received the approval
of a majority of the electors of the county voting thereon at an election held pursuant to
the notice, publication and other election procedures prescribed by K.S.A. 12-187 and
amendments thereto.'';

      On page 12, in line 24, by striking ``all'' and inserting ``any'';

      On page 13, in line 38, by striking ``redevelopment district'' and inserting ``project area'';
also in line 38, by striking all after the comma; in line 39, by striking all before ``any'';

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Lana Oleen

                                                                                    Nancey Harrington

                                                                                    Sherman Jones
 Conferees on the part of Senate
                                                                                   

                                                                                    William G. Mason

                                                                                    Jene Vickrey

                                                                                    Annie Kuether
 Conferees on part of House


   On motion of Rep. Mason, the conference committee report on HB 3019 was adopted.

 On roll call, the vote was: Yeas 109; Nays 16; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Compton, Cox, Crow, Dean, Dreher, Empson, Feuer-
born, Findley, Flaharty, Flora, Flower, Freeborn, Garner, Gatewood, Geringer, Gilbert,
Glasscock, Grant, Haley, Hayzlett, Helgerson, Henderson, Henry, Hermes, Holmes, Horst,
Howell, Huff, Humerickhouse, Hutchins, Jenkins, Jennison, Johnson, Johnston, Kirk, Klein,
Phil Kline, Phill Kline, Krehbiel, Kuether, Lane, Larkin, Light, Lightner, Lloyd, M. Long,
Loyd, Mason, Mayans, Mays, McClure, McKechnie, McKinney, Merrick, Minor, Judy Mor-
rison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Pauls, E. Peterson,
J. Peterson, Phelps, Powers, Ray, Reardon, Rehorn, Reinhardt, Ruff, Schwartz, Sharp,
Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tanner, Tedder, Thi-
mesch, Toelkes, Tomlinson, Vickrey, Vining, Weber, Weiland, Wells, Welshimer, Wilk.

 Nays: Carmody, Dahl, Edmonds, Faber, Farmer, Gregory, Landwehr, P. Long, Mc-
Creary, Mollenkamp, Jim Morrison, Palmer, Pottorff, Powell, Toplikar, Wagle.

 Present but not voting: None.

 Absent or not voting: None.


EXPLANATION OF VOTE
 Mr. Speaker: I vote yes on HB 3019. This legislation is the most responsible economic
development initiative I have seen during my tenure in the Kansas legislature. This bill will
truly revitalize tourism in Wyandotte County and provide a stimulus for much needed ec-
onomic development. I thank the members of the House for their support of this measure.--
Doug Spangler

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to SENATE Substitute for Substitute for HB 2864, submits the following report:

      The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with Senate Committee of the Whole
amendments, as follows:

      On page 8, by striking lines 25 through 30 and inserting ``Any public agency subject to
this act that knowingly violates any of the provisions of this act or that intentionally fails to
furnish information as required by this act shall be liable for the payment of a civil penalty
in an action brought by the attorney general or county or district attorney, in a sum set by
the court of not to exceed $500 for each violation.'';

      Also on page 8, by striking lines 36 and 37; after line 37, by inserting the following:

      ``New Sec.  6. In investigating alleged violations of the Kansas open records act, the
attorney general or county or district attorney may:

      (a) Subpoena witnesses, evidence, documents or other material;

      (b) take testimony under oath;

      (c) examine or cause to be examined any documentary material of whatever nature
relevant to such alleged violations;

      (d) require attendance during such examination of documentary material and take tes-
timony under oath or acknowledgment in respect of any such documentary material; and

      (e) serve interrogatories.

      New Sec.  7. In investigating alleged violations of the Kansas open meetings act, the
attorney general or county or district attorney may:

      (a) Subpoena witnesses, evidence, documents or other material;

      (b) take testimony under oath;

      (c) examine or cause to be examined any documentary material of whatever nature
relevant to such alleged violations;

      (d) require attendance during such examination of documentary material and take tes-
timony under oath or acknowledgment in respect of any such documentary material; and

      (e) serve interrogatories.

      New Sec.  8. (a) It is the intent of the legislature that exceptions to disclosure under the
open records act shall be created or maintained only if:

      (1) The public record is of a sensitive or personal nature concerning individuals;

      (2) the public record is necessary for the effective and efficient administration of a
governmental program; or

      (3) the public record affects confidential information.

      The maintenance or creation of an exception to disclosure must be compelled as measured
by these criteria. Further, the legislature finds that the public has a right to have access to
public records unless the criteria in this section for restricting such access to a public record
are met and the criteria are considered during legislative review in connection with the
particular exception to disclosure to be significant enough to override the strong public
policy of open government. To strengthen the policy of open government, the legislature
shall consider the criteria in this section before enacting an exception to disclosure.

      (b) All exceptions to disclosure in existence on July 1, 2000, shall expire on July 1, 2005,
and any new exception to disclosure or substantial amendment of an existing exception shall
expire on July 1 of the fifth year after enactment of the new exception or substantial amend-
ment, unless the legislature acts to reenact the exception. A law that enacts a new exception
or substantially amends an existing exception shall state that the exception expires at the
end of five years and that the exception shall be reviewed by the legislature before the
scheduled date.

      (c) For purposes of this section, an exception is substantially amended if the amendment
expands the scope of the exception to include more records or information. An exception
is not substantially amended if the amendment narrows the scope of the exception.

      (d) This section is not intended to repeal an exception that has been amended following
legislative review before the scheduled repeal of the exception if the exception is not sub-
stantially amended as a result of the review.

      (e) In the year before the expiration of an exception, the revisor of statutes shall certify
to the president of the senate and the speaker of the house of representatives, by June 1,
the language and statutory citation of each exception which will expire in the following year
which meets the criteria of an exception as defined in this section. Any exception that is not
identified and certified to the president of the senate and the speaker of the house of
representatives is not subject to legislative review and shall not expire. If the revisor of
statutes fails to certify an exception that the revisor subsequently determines should have
been certified, the revisor shall include the exception in the following year's certification
after that determination.

      (f) ``Exception'' means any provision of law which creates an exception to disclosure or
limits disclosure under the open records act pursuant to K.S.A. 45-221, and amendments
thereto, or pursuant to any other provision of law.

      (g) A provision of law which creates or amends an exception to disclosure under the
open records law shall not be subject to review and expiration under this act if such provision:

      (1) Is required by federal law;

      (2) applies solely to the legislature or to the state court system.

      (h)  (1) The legislature shall review the exception before its scheduled expiration and
consider as part of the review process the following:

      (A) What specific records are affected by the exception;

      (B) whom does the exception uniquely affect, as opposed to the general public;

      (C) what is the identifiable public purpose or goal of the exception;

      (D) whether the information contained in the records may be obtained readily by al-
ternative means and how it may be obtained;

      (2) An exception may be created or maintained only if it serves an identifiable public
purpose and may be no broader than is necessary to meet the public purpose it serves. An
identifiable public purpose is served if the legislature finds that the purpose is sufficiently
compelling to override the strong public policy of open government and cannot be accom-
plished without the exception and if the exception:

      (A) Allows the effective and efficient administration of a governmental program, which
administration would be significantly impaired without the exception;

      (B) protects information of a sensitive personal nature concerning individuals, the re-
lease of which information would be defamatory to such individuals or cause unwarranted
damage to the good name or reputation of such individuals or would jeopardize the safety
of such individuals. Only information that would identify the individuals may be excepted
under this paragraph; or

      (C) protects information of a confidential nature concerning entities, including, but not
limited to, a formula, pattern, device, combination of devices, or compilation of information
which is used to protect or further a business advantage over those who do not know or use
it, the disclosure of which information would injure the affected entity in the marketplace.

      (3) Records made before the date of the expiration of an exception shall be subject to
disclosure as otherwise provided by law. In deciding whether the records shall be made
public, the legislature shall consider whether the damage or loss to persons or entities
uniquely affected by the exception of the type specified in paragraph (2)(B) or (2)(C) of this
subsection (h) would occur if the records were made public.

      Sec.  9. K.S.A. 14-101 is hereby amended to read as follows: 14-101. (a) All cities now
organized and acting as cities of the second class, by virtue of the authority of former acts,
and all cities hereafter attaining a population of more than two thousand (2,000) 2,000 and
less than fifteen thousand (15,000) 15,000, shall be governed by the provisions of this act;
and whenever any city shall have hereafter attained a population of more than two thousand
(2,000), and such facts shall have been duly ascertained and certified by the proper author-
ities of such city. Except as provided by this section, whenever the population of a city
exceeds 2,000, the governing body of such city shall certify such fact to the governor,. The
governor shall declare, by public proclamation, such city subject to the provisions of this
act: Provided, That. If the governing body of any city which has attained a population of
more than two thousand (2,000) 2,000 and less than five thousand (5,000) 5,000 shall de-
termine by resolution duly adopted that it would be more advantageous for such city to
continue to operate as a city of the third class, such governing body shall not be required
to so certify the population of such city to the governor and the laws relating to the cities
of the third class shall continue to be applicable to such city. The governing body of such
city shall, at the time of making the certificate herein provided for, make out and certification
required by this section shall transmit to the governor an accurate description by metes and
bounds of all the lands included within the limits of such city, and the additions thereto, if
any.

      (b) The change in classification of any city under the provisions of this section shall take
effect on the date the proclamation of the governor is issued unless a later date is specified
therein, in which case the change and classification shall take place on such later date. The
governing board body of any such city, holding office at the time of the proclamation, shall
continue to be the governing board body of such city and the members of such board shall
hold their respective offices until the next city election in an odd-numbered year.

      (c) Whenever the governor shall make issues a proclamation as herein provided for
required by this section, it shall be the duty of the mayor of the city affected thereby to call
a meeting of the city council, and the governing body shall. At such meeting, the governing
body shall divide the city into wards.

      Thereupon, except as is otherwise provided by law, the county election officer shall pro-
vide for registration of voters within ten (10) 10 days.

      (d) The governor or the governor's designee shall send a notice of the issuance of a
proclamation by the governor pursuant to this section to the county clerk of the county in
which such city is located. Such notice also shall include a statement that land within the
corporate limits of such city is no longer located within the territory of any township. If
such city is located in more than one county, such notice shall be sent to the county clerk of
each county in which such city is located.

      Sec.  10. K.S.A. 14-101, 45-222 and 45-223 and K.S.A. 1999 Supp. 45-221 are hereby
repealed.'';

      By renumbering the remaining section accordingly;

      On page 1, in the title, in line 12 by striking all after ``concerning''; in line 13, by striking
all before ``amending'' and inserting ``public agencies; relating to the state of Kansas and
local units of government; providing for local freedom of information officers; providing
penalties for violations of the open records act; providing certain powers to specified public
officials for investigation of violations of the Kansas open records act and the Kansas open
meetings act; relating to the changes in the classification of certain cities; relating to em-
ployees of certain cities and counties''; in line 14, before ``45-222'' by inserting ``14-101,'';

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Janice L. Hardenburger

                                                                                    Ben Vidricksen

                                                                                    U.L. Gooch
 Conferees on the part of Senate
                                                                                   

                                                                                    Carlos Mayans

                                                                                    Kay O'Connor

                                                                                    Ruby Gilbert
 Conferees on part of House


   On motion of Rep. Mayans, the conference committee report on S. Sub. for Sub. HB
2864 was adopted.

 On roll call, the vote was: Yeas 123; Nays 2; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn,
Garner, Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helger-
son, Henderson, Henry, Hermes, Holmes, Horst, Howell, Huff, Hutchins, Jenkins, Jenni-
son, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether, Landwehr,
Lane, Larkin, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays, McClure,
McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison, Judy Mor-
rison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Palmer, Pauls, E.
Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon, Rehorn, Reinhardt,
Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson,
Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber,
Weiland, Wells, Welshimer, Wilk.

 Nays: Humerickhouse, Light.

 Present but not voting: None.

 Absent or not voting: None.

MOTIONS TO CONCUR AND NONCONCUR
 On motion of Rep. Adkins, the House concurred in Senate amendments to HB 2355,
An act concerning the former Topeka state hospital; providing for a memorial for persons
buried in the Topeka state hospital cemetery; advisory committee; Topeka state hospital
cemetery memorial gift fund; prescribing certain duties for the secretary of administration.
(The House requested the Senate to return the bill, which was in conference).

 On roll call, the vote was: Yeas 121; Nays 4; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Adkins, Alldritt, Allen, Aurand, Ballard, Barnes, Beggs, Benlon, Bethell, Boston,
Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher, Empson, Fa-
ber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Garner, Gatewood, Geringer,
Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helgerson, Henderson, Henry, Her-
mes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins, Jenkins, Jennison, Johnson,
Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether, Landwehr, Lane, Larkin,
Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays, McClure, Mc-
Creary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison, Judy Morri-
son, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne, Palmer, Pauls, E. Pe-
terson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon, Rehorn, Reinhardt,
Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson,
Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber,
Weiland, Wells, Welshimer, Wilk.

 Nays: Aday, Ballou, Edmonds, Freeborn.

 Present but not voting: None.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to SENATE Substitute for HB 2027, submits the following report:

      The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill as follows:

      On page 1, preceding line 43, by inserting the following:

      ``(d) The enactment of this legislation shall not be considered a statement of legislative
intent to endorse future state general fund financing for ensuing fiscal years for the proposed
nonjudicial pay plan contained in the report to the Kansas supreme court by the nonjudicial
salary initiative entitled nonjudicial employee compensation submitted to the 2000
legislature.'';

      On page 4, in line 37, by striking ``$53'' and inserting ``$54'';

      On page 5, in line 6, by striking ``$53'' and inserting ``$54''; in line 13, by striking ``$53''
and inserting ``$54''; in line 23, by striking ``55%'' and inserting ``56%''; in line 24, by striking
``45%'' and inserting ``44%''; in line 32, by striking ``6.01%'' and inserting ``6.05%''; in line
33, by striking ``3.34%'' and inserting ``3.36%''; in line 35, by striking ``2.57%'' and inserting
``2.58%''; in line 37, by striking ``.70%'' and inserting ``.69%''; in line 39, by striking ``2.06%''
and inserting ``2.07%''; in line 41, by striking ``5.20%'' and inserting ``5.23%'';

      On page 6, in line 1, by striking ``endowment for youth'' and inserting ``juvenile delin-
quency prevention''; in line 2, by striking ``1.52%'' and inserting ``1.53''; in line 6, by striking
``1.80%'' and inserting ``1.81%''; in line 8, by striking ``22.37%'' and inserting ``21.97%''; in
line 17, by striking ``145.00'' and inserting ``146.00''; in line 18, by striking ``110.00'' and
inserting ``111.00''; in line 30, by striking ``$53'' and inserting ``$54''; in line 33, by striking
``$53'' and inserting ``$54''; in line 38, by striking ``$53'' and inserting ``$54''; in line 41, by
striking ``$53'' and inserting ``$54'';

      On page 7, in line 34, by striking ``$87'' and inserting ``$101'';

      On page 8, in line 38, by striking ``$44'' and inserting ``$26''; in line 39, by striking ``$5,000''
and inserting ``$500''; also in line 39, by striking ``$65'' and inserting ``$46''; in line 40,
following ``exceeds'', by inserting ``$500 but does not exceed''; also in line 40, before the
period, by inserting: ``or $76 if the amount in controversy or claimed exceeds $5,000'';

      On page 9, in line 12, by striking ``$22'' and inserting ``$26''; in line 13, by striking ``$40''
and inserting ``$46'';

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Pat Ranson

                                                                                    Nick Jordan

                                                                                    Mark Gilstrap
 Conferees on the part of Senate
                                                                                   

                                                                                    David Adkins

                                                                                    Jeff Peterson

                                                                                    Rocky Nichols
 Conferees on part of House


   On motion of Rep. J. Peterson, the conference committee report on S. Sub. for HB
2027 was adopted.

 On roll call, the vote was: Yeas 125; Nays 0; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn,
Garner, Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helger-
son, Henderson, Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jenkins, Jennison, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether,
Landwehr, Lane, Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans,
Mays, McClure, McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim
Morrison, Judy Morrison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne,
Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon,
Rehorn, Reinhardt, Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler,
Stone, Storm, Swenson, Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey,
Vining, Wagle, Weber, Weiland, Wells, Welshimer, Wilk.

 Nays: None.

 Present but not voting: None.

 Absent or not voting: None.


EXPLANATION OF VOTE
 Mr. Speaker: I vote yes on HB 2027. This legislation is long overdue for the non-judicial
personnel in the court system. Especially all of the hardworking dedicated employees of the
29th Judicial District in Wyandotte County. We finally won!--Doug Spangler

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to Senate Substitute for HB 2224, submits the following report:

      The House accedes to all Senate amendments to the substitute bill, and your committee
on conference further agrees to amend the substitute bill, as printed with Senate Committee
of the Whole amendments, as follows:

      On page 1, preceding line 21, by inserting new material to read as follows:

      ``New Section  1. There is hereby established in the state treasury the family services
and community intervention fund which shall be administered by the secretary of social and
rehabilitation services. The secretary of social and rehabilitation services may accept money
from any source for the purposes for which money in the family services and community
intervention fund may be expended. Upon receipt of such money, the secretary shall remit
the entire amount at least monthly to the state treasurer, who shall deposit it in the state
treasury and credit it to the family services and community intervention fund. All moneys
in the special fund for family services and community intervention shall be used for the
purpose of assisting state, county, or local governments or political subdivisions thereof; or
community agencies; to provide services, intervention and support services to children al-
leged or adjudged to be a child in need of care as defined by K.S.A. 38-1502, and amend-
ments thereto, especially those youth at risk because of their own actions or behaviors and
not due to abuse or neglect by a parent, guardian or other person responsible for their care.
The purpose of the family services and community intervention fund shall be to enhance
the ability of families and children to resolve problems within the family and community
that might otherwise result in a child becoming a ward of the court, by the collaboration of
governmental and local service providers. All expenditures from the family services and
community intervention 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 or by a person or persons designated by the secretary.'';

      By renumbering remaining sections accordingly;

      On page 2, preceding line 38, by inserting new material to read as follows:

      ``Sec.  3. K.S.A. 1999 Supp. 38-1502 is hereby amended to read as follows: 38-1502. As
used in this code, unless the context otherwise indicates:

      (a) ``Child in need of care'' means a person less than 18 years of age who:

      (1) Is without adequate parental care, control or subsistence and the condition is not
due solely to the lack of financial means of the child's parents or other custodian;

      (2) is without the care or control necessary for the child's physical, mental or emotional
health;

      (3) has been physically, mentally or emotionally abused or neglected or sexually abused;

      (4) has been placed for care or adoption in violation of law;

      (5) has been abandoned or does not have a known living parent;

      (6) is not attending school as required by K.S.A. 72-977 or 72-1111, and amendments
thereto;

      (7) except in the case of a violation of K.S.A. 41-727, subsection (j) of K.S.A. 74-8810
or subsection (m) or (n) of K.S.A. 79-3321, and amendments thereto, or, except as provided
in subsection (a)(12) of K.S.A. 21-4204a and amendments thereto, does an act which, when
committed by a person under 18 years of age, is prohibited by state law, city ordinance or
county resolution but which is not prohibited when done by an adult;

      (8) while less than 10 years of age, commits any act which if done by an adult would
constitute the commission of a felony or misdemeanor as defined by K.S.A. 21-3105 and
amendments thereto;

      (9) is willfully and voluntarily absent from the child's home without the consent of the
child's parent or other custodian;

      (10) is willfully and voluntarily absent at least a second time from a court ordered or
designated placement, or a placement pursuant to court order, if the absence is without the
consent of the person with whom the child is placed or, if the child is placed in a facility,
without the consent of the person in charge of such facility or such person's designee;

      (11) has been residing in the same residence with a sibling or another person under 18
years of age, who has been physically, mentally or emotionally abused or neglected, or
sexually abused; or

      (12) while less than 10 years of age commits the offense defined in K.S.A. 21-4204a and
amendments thereto.

      (b) ``Physical, mental or emotional abuse or neglect'' means the infliction of physical,
mental or emotional injury or the causing of a deterioration of a child and may include, but
shall not be limited to, failing to maintain reasonable care and treatment, negligent treatment
or maltreatment or exploiting a child to the extent that the child's health or emotional well-
being is endangered. A parent legitimately practicing religious beliefs who does not provide
specified medical treatment for a child because of religious beliefs shall not for that reason
be considered a negligent parent; however, this exception shall not preclude a court from
entering an order pursuant to subsection (a)(2) of K.S.A. 38-1513 and amendments thereto.

      (c) ``Sexual abuse'' means any act committed with a child which is described in article
35, chapter 21 of the Kansas Statutes Annotated and those acts described in K.S.A. 21-3602
or 21-3603, and amendments thereto, regardless of the age of the child.

      (d) ``Parent,'' when used in relation to a child or children, includes a guardian, conser-
vator and every person who is by law liable to maintain, care for or support the child.

      (e) ``Interested party'' means the state, the petitioner, the child, any parent and any
person found to be an interested party pursuant to K.S.A. 38-1541 and amendments thereto.

      (f) ``Law enforcement officer'' means any person who by virtue of office or public em-
ployment is vested by law with a duty to maintain public order or to make arrests for crimes,
whether that duty extends to all crimes or is limited to specific crimes.

      (g) ``Youth residential facility'' means any home, foster home or structure which provides
24-hour-a-day care for children and which is licensed pursuant to article 5 of chapter 65 of
the Kansas Statutes Annotated.

      (h) ``Shelter facility'' means any public or private facility or home other than a juvenile
detention facility that may be used in accordance with this code for the purpose of providing
either temporary placement for the care of children in need of care prior to the issuance of
a dispositional order or longer term care under a dispositional order.

      (i) ``Juvenile detention facility'' means any secure public or private facility used for the
lawful custody of accused or adjudicated juvenile offenders which must not be a jail.

      (j) ``Adult correction facility'' means any public or private facility, secure or nonsecure,
which is used for the lawful custody of accused or convicted adult criminal offenders.

      (k) ``Secure facility'' means a facility which is operated or structured so as to ensure that
all entrances and exits from the facility are under the exclusive control of the staff of the
facility, whether or not the person being detained has freedom of movement within the
perimeters of the facility, or which relies on locked rooms and buildings, fences or physical
restraint in order to control behavior of its residents. No secure facility shall be in a city or
county jail.

      (l) ``Ward of the court'' means a child over whom the court has acquired jurisdiction by
the filing of a petition pursuant to this code and who continues subject to that jurisdiction
until the petition is dismissed or the child is discharged as provided in K.S.A. 38-1503 and
amendments thereto.

      (m) ``Custody,'' whether temporary, protective or legal, means the status created by
court order or statute which vests in a custodian, whether an individual or an agency, the
right to physical possession of the child and the right to determine placement of the child,
subject to restrictions placed by the court.

      (n) ``Placement'' means the designation by the individual or agency having custody of
where and with whom the child will live.

      (o) ``Secretary'' means the secretary of social and rehabilitation services.

      (p) ``Relative'' means a person related by blood, marriage or adoption but, when refer-
ring to a relative of a child's parent, does not include the child's other parent.

      (q) ``Court-appointed special advocate'' means a responsible adult other than an attorney
guardian ad litem who is appointed by the court to represent the best interests of a child,
as provided in K.S.A. 38-1505a and amendments thereto, in a proceeding pursuant to this
code.

      (r) ``Multidisciplinary team'' means a group of persons, appointed by the court or by
the state department of social and rehabilitation services under K.S.A. 38-1523a and amend-
ments thereto, which has knowledge of the circumstances of a child in need of care. A
multidisciplinary team may serve as a community services team.

      (s) ``Jail'' means:

      (1) An adult jail or lockup; or

      (2) a facility in the same building or on the same grounds as an adult jail or lockup,
unless the facility meets all applicable standards and licensure requirements under law and
there is (A) total separation of the juvenile and adult facility spatial areas such that there
could be no haphazard or accidental contact between juvenile and adult residents in the
respective facilities; (B) total separation in all juvenile and adult program activities within
the facilities, including recreation, education, counseling, health care, dining, sleeping, and
general living activities; and (C) separate juvenile and adult staff, including management,
security staff and direct care staff such as recreational, educational and counseling.

      (t) ``Kinship care'' means the placement of a child in the home of the child's relative or
in the home of another adult with whom the child or the child's parent already has a close
emotional attachment.

      (u) ``Juvenile intake and assessment worker'' means a responsible adult authorized to
perform intake and assessment services as part of the intake and assessment system estab-
lished pursuant to K.S.A. 75-7023, and amendments thereto.

      (v) ``Abandon'' means to forsake, desert or cease providing care for the child without
making appropriate provisions for substitute care.

      (w) ``Permanent guardianship'' means a judicially created relationship between child
and caretaker which is intended to be permanent and self-sustaining without ongoing state
oversight or intervention by the secretary. The permanent guardian stands in loco parentis
and exercises all the rights and responsibilities of a parent. Upon appointment of a perma-
nent guardian, the child in need of care proceedings shall be dismissed. A permanent guard-
ian may be appointed after termination of parental rights or without termination of parental
rights, if the parent consents and agrees to the appointment of a permanent guardian. Upon
appointment of a permanent guardian, the child shall be discharged from the custody of the
secretary.

      (x) ``Aggravated circumstances'' means the abandonment, torture, chronic abuse, sexual
abuse or chronic, life threatening neglect of a child.

      (y) ``Permanency hearing'' means a notice and opportunity to be heard is provided to
interested parties, foster parents, preadoptive parents or relatives providing care for the
child. The court, after consideration of the evidence, shall determine whether progress
toward the case plan goal is adequate or reintegration is a viable alternative, or if the case
should be referred to the county or district attorney for filing of a petition to terminate
parental rights or to appoint a permanent guardian.

      (z) ``Extended out of home placement'' means a child has been in the custody of the
secretary and placed with neither parent for 15 of the most recent 22 months beginning 60
days after the date at which a child in the custody of the secretary was removed from the
home.

      (aa) ``Educational institution'' means all schools at the elementary and secondary levels.

      (bb) ``Educator'' means any administrator, teacher or other professional or paraprofes-
sional employee of an educational institution who has exposure to a pupil specified in sub-
section (a) of K.S.A. 1999 Supp. 72-89b03 and amendments thereto.

      (cc) ``Neglect'' means acts or omissions by a parent, guardian or person responsible for
the care of a child resulting in harm to a child or presenting a likelihood of harm and the
acts or omissions are not due solely to the lack of financial means of the child's parents or
other custodian. Neglect may include but shall not be limited to:

      (1) Failure to provide the child with food, clothing or shelter necessary to sustain the
life or health of the child;

      (2) failure to provide adequate supervision of a child or to remove a child from a situation
which requires judgment or actions beyond the child's level of maturity, physical condition
or mental abilities and that results in bodily injury or a likelihood of harm to the child; or

      (3) failure to use resources available to treat a diagnosed medical condition if such treat-
ment will make a child substantially more comfortable, reduce pain and suffering, correct
or substantially diminish a crippling condition from worsening. A parent legitimately prac-
ticing religious beliefs who does not provide specified medical treatment for a child because
of religious beliefs shall not for that reason be considered a negligent parent; however, this
exception shall not preclude a court from entering an order pursuant to subsection (a)(2) of
K.S.A. 38-1513, and amendments thereto.

      (dd) ``Community services team'' means a group of persons, appointed by the court or
by the state department of social and rehabilitation services for the purpose of assessing the
needs of a child who is alleged to be a child in need of care.

      Sec.  4. K.S.A. 38-1503 is hereby amended to read as follows: 38-1503. (a) Proceedings
concerning any child who appears to be a child in need of care shall be governed by this
code, except in those instances when the Indian child welfare act of 1978 (25 U.S.C. § §
1901 et seq.) applies.

      (b) Subject to the uniform child custody jurisdiction act, K.S.A. 38-1301 et seq. and
amendments thereto, the district court shall have original jurisdiction to receive and deter-
mine proceedings under this code.

      (c) When jurisdiction has been acquired by the court over the person of a child in need
of care it may continue until the child: (1) Has attained the age of 21 years; (2) has been
adopted; or (3) has been discharged by the court. Any child 18 years of age or over may
request, by motion to the court, that the jurisdiction of the court cease. Subsequently, the
court shall enter an order discharging the person from any further jurisdiction of the court.

      (d) When it is no longer appropriate for the court to exercise jurisdiction over a child
the court, upon its own motion or the motion of an interested party, shall enter an order
discharging the child. Except upon request of the child, the court shall not enter an order
discharging a child which reaches 18 years of age before completing the child's high school
education until June 1 of the school year during which the child became 18 years of age as
long as the child is still attending high school.

      (e) Unless the court finds that substantial injustice would result, the provisions of this
code shall govern with respect to acts or omissions occurring prior to the effective date of
this code, and amendments thereto, and with respect to children alleged or adjudicated to
have done or to have been affected by the acts or omissions, to the same extent as if the
acts or omissions had occurred on or after the effective date of this code, and amendments
thereto, and the children had been alleged or adjudicated to be children in need of care.

      Sec.  5. K.S.A. 1999 Supp. 38-1507 is hereby amended to read as follows: 38-1507. (a)
Except as otherwise provided, in order to protect the privacy of children who are the subject
of a child in need of care record or report, all records and reports concerning children in
need of care, including the juvenile intake and assessment report, received by the depart-
ment of social and rehabilitation services, a law enforcement agency or any juvenile intake
and assessment worker shall be kept confidential except: (1) To those persons or entities
with a need for information that is directly related to achieving the purposes of this code,
or (2) upon an order of a court of competent jurisdiction pursuant to a determination by
the court that disclosure of the reports and records is in the best interests of the child or
are necessary for the proceedings before the court, or both, and are otherwise admissible
in evidence. Such access shall be limited to in camera inspection unless the court otherwise
issues an order specifying the terms of disclosure.

      (b) The provisions of subsection (a) shall not prevent disclosure of information to an
educational institution or to individual educators about a pupil specified in subsection (a)
of K.S.A. 1999 Supp. 72-89b03 and amendments thereto.

      (c) When a report is received by the department of social and rehabilitation services, a
law enforcement agency or any juvenile intake and assessment worker which indicates a
child may be in need of care, the following persons and entities shall have a free exchange
of information between and among them:

      (1) The department of social and rehabilitation services;

      (2) the commissioner of juvenile justice;

      (3) the law enforcement agency receiving such report;

      (4) members of a court appointed multidisciplinary team;

      (5) an entity mandated by federal law or an agency of any state authorized to receive
and investigate reports of a child known or suspected to be in need of care;

      (6) a military enclave or Indian tribal organization authorized to receive and investigate
reports of a child known or suspected to be in need of care;

      (7) a county or district attorney;

      (8) a court services officer who has taken a child into custody pursuant to K.S.A. 38-
1527, and amendments thereto;

      (9) a guardian ad litem appointed for a child alleged to be in need of care;

      (10) an intake and assessment worker; and

      (11) any community corrections program which has the child under court ordered
supervision;

      (12) the department of health and environment or persons authorized by the department
of health and environment pursuant to K.S.A. 59-512, and amendments thereto, for the
purpose of carrying out responsibilities relating to licensure or registration of child care
providers as required by chapter 65 of article 5 of the Kansas Statutes Annotated, and
amendments thereto; and

      (13) members of a duly appointed community services team.

      (d) The following persons or entities shall have access to information, records or reports
received by the department of social and rehabilitation services, a law enforcement agency
or any juvenile intake and assessment worker. Access shall be limited to information rea-
sonably necessary to carry out their lawful responsibilities to maintain their personal safety
and the personal safety of individuals in their care or to diagnose, treat, care for or protect
a child alleged to be in need of care.

      (1) A child named in the report or records.

      (2) A parent or other person responsible for the welfare of a child, or such person's
legal representative.

      (3) A court-appointed special advocate for a child, a citizen review board or other ad-
vocate which reports to the court.

      (4) A person licensed to practice the healing arts or mental health profession in order
to diagnose, care for, treat or supervise: (A) A child whom such service provider reasonably
suspects may be in need of care; (B) a member of the child's family; or (C) a person who
allegedly abused or neglected the child.

      (5) A person or entity licensed or registered by the secretary of health and environment
or approved by the secretary of social and rehabilitation services to care for, treat or super-
vise a child in need of care. In order to assist a child placed for care by the secretary of
social and rehabilitation services in a foster home or child care facility, the secretary shall
provide relevant information to the foster parents or child care facility prior to placement
and as such information becomes available to the secretary.

      (6) A coroner or medical examiner when such person is determining the cause of death
of a child.

      (7) The state child death review board established under K.S.A. 22a-243, and amend-
ments thereto.

      (8) A prospective adoptive parent prior to placing a child in their care.

      (9) The department of health and environment or person authorized by the department
of health and environment pursuant to K.S.A. 59-512, and amendments thereto, for the
purpose of carrying out responsibilities relating to licensure or registration of child care
providers as required by chapter 65 of article 5 of the Kansas Statutes Annotated, and
amendments thereto.

      (10) The state protection and advocacy agency as provided by subsection (a)(10) of
K.S.A. 65-5603 or subsection (a)(2)(A) and (B) of K.S.A. 74-5515, and amendments thereto.

      (11) Any educational institution to the extent necessary to enable the educational insti-
tution to provide the safest possible environment for its pupils and employees.

      (12) Any educator to the extent necessary to enable the educator to protect the personal
safety of the educator and the educator's pupils.

      (13) The secretary of social and rehabilitation services.

      (14) A law enforcement agency.

      (15) A juvenile intake and assessment worker.

      (16) The commissioner of juvenile justice.

      (e) Information from a record or report of a child in need of care shall be available to
members of the standing house or senate committee on judiciary, house committee on
appropriations, senate committee on ways and means, legislative post audit committee and
joint committee on children and families, carrying out such member's or committee's official
functions in accordance with K.S.A. 75-4319 and amendments thereto, in a closed or ex-
ecutive meeting. Except in limited conditions established by 2/3 of the members of such
committee, records and reports received by the committee shall not be further disclosed.
Unauthorized disclosure may subject such member to discipline or censure from the house
of representatives or senate.

      (f) Nothing in this section shall be interpreted to prohibit the secretary of social and
rehabilitation services from summarizing the outcome of department actions regarding a
child alleged to be a child in need of care to a person having made such report.

      (g) Disclosure of information from reports or records of a child in need of care to the
public shall be limited to confirmation of factual details with respect to how the case was
handled that do not violate the privacy of the child, if living, or the child's siblings, parents
or guardians. Further, confidential information may be released to the public only with the
express written permission of the individuals involved or their representatives or upon order
of the court having jurisdiction upon a finding by the court that public disclosure of infor-
mation in the records or reports is necessary for the resolution of an issue before the court.

      (h) Nothing in this section shall be interpreted to prohibit a court of competent juris-
diction from making an order disclosing the findings or information pursuant to a report of
alleged or suspected child abuse or neglect which has resulted in a child fatality or near
fatality if the court determines such disclosure is necessary to a legitimate state purpose. In
making such order, the court shall give due consideration to the privacy of the child, if,
living, or the child's siblings, parents or guardians.

      (i) Information authorized to be disclosed in subsections (d) through (g) shall not contain
information which identifies a reporter of a child in need of care.

      (j) Records or reports authorized to be disclosed in this section shall not be further
disclosed, except that the provisions of this subsection shall not prevent disclosure of infor-
mation to an educational institution or to individual educators about a pupil specified in
subsection (a) of K.S.A. 1999 Supp. 72-89b03 and amendments thereto.

      (k) Anyone who participates in providing or receiving information without malice under
the provisions of this section shall have immunity from any civil liability that might otherwise
be incurred or imposed. Any such participant shall have the same immunity with respect to
participation in any judicial proceedings resulting from providing or receiving information.

      (l) No individual, association, partnership, corporation or other entity shall willfully or
knowingly disclose, permit or encourage disclosure of the contents of records or reports
concerning a child in need of care received by the department of social and rehabilitation
services, a law enforcement agency or a juvenile intake and assessment worker except as
provided by this code. Violation of this subsection is a class B misdemeanor.

      Sec.  6. K.S.A. 1999 Supp. 38-1513 is hereby amended to read as follows: 38-1513. (a)
Physical or mental care and treatment. (1) When a child less than 18 years of age is alleged
to have been physically, mentally or emotionally abused or neglected or sexually abused, no
consent shall be required to medically examine the child to determine whether there has
been sexual abuse the child has been maltreated.

      (2) When the health or condition of a child who is a ward of the court requires it, the
court may consent to the performing and furnishing of hospital, medical, surgical or dental
treatment or procedures, including the release and inspection of medical or dental records.
A child, or parent of any child, who is opposed to certain medical procedures authorized by
this subsection may request an opportunity for a hearing thereon before the court. Subse-
quent to the hearing, the court may limit the performance of matters provided for in this
subsection or may authorize the performance of those matters subject to terms and condi-
tions the court considers proper.

      (3) Prior to adjudication disposition the person having custody of the child may give
consent to the following:

      (A) Dental treatment for the child by a licensed dentist;

      (B) diagnostic examinations of the child, including but not limited to the withdrawal of
blood or other body fluids, x-rays and other laboratory examinations;

      (C) releases and inspections of the child's medical history records;

      (D) immunizations for the child;

      (E) administration of lawfully prescribed drugs to the child; and

      (F) examinations of the child including, but not limited to, the withdrawal of blood or
other body fluids or tissues, for the purpose of determining the child's parentage.

      (4) When the court has granted legal custody of a child in a dispositional hearing to any
agency, association or individual, the custodian or an agent designated by the custodian shall
have authority to consent to the performance and furnishing of hospital, medical, surgical
or dental treatment or procedures or mental care or treatment other than inpatient treat-
ment at a state psychiatric hospital, including the release and inspection of medical or
hospital records, subject to terms and conditions the court considers proper.

      (5) If a child is already in the custody of the secretary, the secretary may consent to the
mental care and treatment of the child, without court approval, so long as such care and
treatment do not include inpatient treatment at a state psychiatric hospital.

      (6) Any health care provider who in good faith renders hospital, medical, surgical, men-
tal or dental care or treatment to any child after a consent has been obtained as authorized
by this section shall not be liable in any civil or criminal action for failure to obtain consent
of a parent.

      (7) Nothing in this section shall be construed to mean that any person shall be relieved
of legal responsibility to provide care and support for a child.

      (b) Mental care and treatment requiring court action. If it is brought to the court's
attention, while the court is exercising jurisdiction over the person of a child under this
code, that the child may be a mentally ill person as defined in K.S.A. 1999 Supp. 59-2946
and amendments thereto, the court may:

      (1) Direct or authorize the county or district attorney or the person supplying the in-
formation to file the petition provided for in K.S.A. 1999 Supp. 59-2957 and amendments
thereto and proceed to hear and determine the issues raised by the application as provided
in the care and treatment act for mentally ill persons; or

      (2) authorize that the child seek voluntary admission to a treatment facility as provided
in K.S.A. 1999 Supp. 59-2949 and amendments thereto.

      The application to determine whether the child is a mentally ill person may be filed in
the same proceedings as the petition alleging the child to be a child in need of care, or may
be brought in separate proceedings. In either event the court may enter an order staying
any further proceedings under this code until all proceedings have been concluded under
the care and treatment act for mentally ill persons.

      Sec.  7. K.S.A. 38-1531 is hereby amended to read as follows: 38-1531. (a) Filing of
petition. An action pursuant to this code is commenced by the filing of a petition with the
clerk of the district court.

      (b) Contents of petition. (1) The petition shall state, if known:

      (A) The name, date of birth and residence address of the child;

      (B) the name and residence address of the child's parents;

      (C) the name and residence address of any persons having custody or control of the
child, or the nearest known relative if no parent can be found; and

      (D) plainly and concisely in the language of the statutory definition, the basis for re-
questing that the court assume jurisdiction over the child.

      (2) The petition shall also state the specific facts which are relied upon to support the
allegation referred to in the preceding paragraph including any known dates, times and
locations.

      (3) The proceedings shall be entitled: ``In the Interest of ____________.''

      (4) The petition shall contain a request that the court find the child to be a child in
need of care.

      (5) The petition shall contain a request that the parent or parents be ordered to pay
child support. The request for child support may be omitted with respect to a parent already
ordered to pay child support for the child and shall be omitted with respect to one or both
parents upon written request of the secretary.

      (6) If the petition requests removal of the child from the child's home, the petition shall
specify the efforts known to the petitioner to maintain the family unit and prevent the
unnecessary removal of the child from the child's home, or shall specify the facts supporting
that an emergency exists which threatens the safety of the child.

      (7) If the petition requests custody of the child to the secretary, the petition shall specify
the facts supporting that allowing the child to remain in the home would be contrary to the
welfare of the child or that placement is in the best interests of the child.

      (c) Motions. Motions may be made orally or in writing. The motion shall state with
particularity the grounds for the motion and shall state the relief or order sought.

      Sec.  8. K.S.A. 1999 Supp. 38-1532 is hereby amended to read as follows: 38-1532. Upon
the filing of a petition under this code the court shall proceed by one of the following
methods:

      (a) Issue summons stating the place and time at which the parties are required to appear
and answer the allegations of the petition, which shall be within 30 days of the date the
petition is filed, and deliver the summons with copies of the petition attached to the sheriff
or a person specially appointed to serve it.

      (b) If the child has been taken into protective custody under the provisions of K.S.A.
38-1542 and a temporary custody hearing is held as required by K.S.A. 38-1543, a copy of
the petition shall be served at the hearing on each interested party who is in attendance at
the hearing and a record of service made a part of the proceedings. The court shall announce
the time the parties will be required to next appear before the court. Process shall be served
on any interested party not at the temporary custody hearing.

      Upon the written request of the petitioner or the county or district attorney separate or
additional summons shall be issued to any interested party.

      The court shall attempt to notify both parents, if known.

      (c) If the petition requests custody to the secretary, the court shall cause a copy of the
petition to be provided to the secretary for the purpose of documentation upon filing. How-
ever, the failure of the secretary to receive a copy of the petition shall not affect the juris-
diction of the court or its authority in the proceeding.

      Sec.  9. K.S.A. 1999 Supp. 38-1542 is hereby amended to read as follows: 38-1542. (a)
The court upon verified application may issue ex parte an order directing that a child be
held in protective custody and, if the child has not been taken into custody, an order directing
that the child be taken into custody. The application shall state for each child:

      (1) The applicant's belief that the child is a child in need of care and that allowing the
child to remain in the home is contrary to the welfare of the child or placement is in the best
interest of the child and that the child is likely to sustain harm if not immediately afforded
protective custody; and

      (2) the specific facts which are relied upon to support the belief application, including
efforts known to the applicant, to maintain the family unit and prevent the unnecessary
removal of the child from the child's home, or the specific facts supporting that an emergency
exists which threatens the safety of the child.

      (b)  (1) The order of protective custody may be issued only after the court has deter-
mined there is probable cause to believe the allegations in the application are true. The
order shall remain in effect until the temporary custody hearing provided for in K.S.A. 38-
1543, and amendments thereto, unless earlier rescinded by the court.

      (2)  No child shall be held in protective custody for more than 72 hours, excluding
Saturdays, Sundays and legal holidays, unless within the 72-hour period a determination is
made as to the necessity for temporary custody in a temporary custody hearing. Nothing in
this subsection (b)(2) shall be construed to mean that the child must remain in protective
custody for 72 hours.

      (c) Whenever the court determines the necessity for an order of protective custody, the
court may place the child in the protective custody of: (1) A parent or other person having
custody of the child and may enter a restraining order pursuant to subsection (d) (e); (2) a
person, other than the parent or other person having custody, who shall not be required to
be licensed under article 5 of chapter 65 of the Kansas Statutes Annotated; (3) a youth
residential facility; or (4) the secretary if the child is alleged to be a child in need of care the
court may award custody to the secretary. However, if the secretary presents the court with
a plan to provide services to a child or family which the court finds will assure the safety of
the child, the court may only place the child in the protective custody of the secretary until
the court finds the services are in place. The court shall have the authority to require any
person or entity agreeing to participate in the plan to perform as set out in the plan. When
the child is placed in the protective custody of the secretary, the secretary shall have the
discretionary authority to place the child with a parent or to make other suitable placement
for the child. When circumstances require, a child in protective custody may be placed in
a juvenile detention facility or other secure facility pursuant to an order of protective custody
for not to exceed 24 hours, excluding Saturdays, Sundays and legal holidays.

      (d) The order of protective custody shall be served on the child's parents and any other
person having legal custody of the child. The order shall prohibit all parties from removing
the child from the court's jurisdiction without the court's permission.

      (e) If the court issues an order of protective custody, the court may also enter an order
restraining any alleged perpetrator of physical, sexual, mental or emotional abuse of the
child from residing in the child's home; visiting, contacting, harassing or intimidating the
child, other family member or witness; or attempting to visit, contact, harass or intimidate
the child, other family member or witness. Such restraining order shall be served on any
alleged perpetrator to whom the order is directed.

      (f) The court shall not enter an order removing a child from the custody of a parent
pursuant to this section unless the court first finds from evidence presented by the petitioner
that reasonable efforts have been made to maintain the family unit and prevent or eliminate
the need for the unnecessary removal of the child from the child's home or that an emergency
exists which threatens the safety of the child and requires the that remaining in the home
is contrary to the welfare of the child or that immediate removal placement is in the best
interest of the child. Such findings shall be included in any order entered by the court. If
the child is placed in the custody of the secretary, the court shall provide the secretary with
a written copy of any orders entered for the purpose of documenting these orders upon
making the order.

      Sec.  10. K.S.A. 1999 Supp. 38-1543 is hereby amended to read as follows: 38-1543. (a)
Upon notice and hearing, the court may issue an order directing who shall have temporary
custody and may modify the order during the pendency of the proceedings as will best serve
the child's welfare.

      (b) A hearing pursuant to this section shall be held within 72 hours, excluding Saturdays,
Sundays and legal holidays, following a child having been taken into protective custody.

      (c) Whenever it is determined that a temporary custody hearing is required, the court
shall immediately set the time and place for the hearing. Notice of a temporary custody
hearing shall be in substantially the following form:

  (Name of Court)
(Caption of Case)

NOTICE OF TEMPORARY CUSTODY HEARING
TO:
(Names)
(Relationship)
(Addressess)









  On__________,  __________, 19 __  (year), at __  o'clock __m.

  (day)  (date)
the court will conduct a hearing at ________________ to determine if the above
named child or children should be in the temporary custody of some person or agency other
than the parent or other person having legal custody prior to the hearing on the petition
filed in the above captioned case. The court may order one or both parents to pay child
support.

 __________, an attorney has been appointed as guardian at litem for the child or
children. Each parent or other legal custodian has the right to appear and be heard person-
ally, either with or without an attorney. An attorney will be appointed for a parent who can
show that the parent is not financially able to hire one.

Date  __________, 19 __ (year) Clerk of the District Court

by  ____________
(Seal) 


REPORT OF SERVICE
      I certify that I have delivered a true copy of the above notice on the persons above named
in the manner and at the times indicated below:

Name
Location of Service
Manner of Service
Date
Time
(other than above)















Date Returned: ________, 19__  (year)

______________ 
  (Signature)
  ______________
  (Title)
        (d) Notice of the temporary custody hearing shall be given at least 24 hours prior to the
hearing. The court may continue the hearing to afford the 24 hours prior notice or, with
the consent of the party, proceed with the hearing at the designated time. If an order of
temporary custody is entered and the parent or other person having custody of the child
has not been notified of the hearing, did not appear or waive appearance and requests a
rehearing, the court shall rehear the matter without unnecessary delay.

 (e)  Oral notice may be used for giving notice of a temporary custody hearing where there
is insufficient time to give written notice. Oral notice is completed upon filing a certificate
of oral notice in substantially the following form:

(Name of Court)
(Caption of Case)

CERTIFICATE OF ORAL NOTICE OF TEMPORARY CUSTODY HEARING
      I gave oral notice that the court will conduct a hearing at ___ o'clock  ___ m. on


__________, 19   (year), to the persons listed, in the manner and at the times indicated
below:

Name
Relationship
Date
Time
Method of Communication
(in person or telephone)















I advised each of the above named persons that:

        (1) The hearing is to determine if the above named child or children should be in the
                              temporary custody of a person or agency other than a parent;

      (2) the court will appoint an attorney to serve as guardian ad litem for the child or
              children named above;

      (3) each parent or legal cusstodian has the right to appear and be heard personally
              either with or without an attorney;

      (4) an attorney will be appointed for a parent who can show that the parent is not
              financially able to hire an attorney; and

      (5) the court may order one or both parents to pay child support.

                                                                                                      ____________________________________

                                                                                                     
(Signature)
                                                                                                      ____________________________________

                                                                                                     
(Name Printed)
                                                                                                      ____________________________________

                                                                                                     
(Title)
      (f) The court may enter an order of temporary custody after determining that: (1) The
child is dangerous to self or to others; (2) the child is not likely to be available within the
jurisdiction of the court for future proceedings; or (3) the health or welfare of the child may
be endangered without further care.

      (g) Whenever the court determines the necessity for an order of temporary custody the
court may place the child in the temporary custody of: (1) A parent or other person having
custody of the child and may enter a restraining order pursuant to subsection (h); (2) a
person, other than the parent or other person having custody, who shall not be required to
be licensed under article 5 of chapter 65 of the Kansas Statutes Annotated; (3) a youth
residential facility; or (4) the secretary if the child is alleged to be a child in need of care,
the court may award custody to the secretary. However, if the secretary presents the court
with a plan to provide services to a child or family which the court finds will assure the
safety of the child, the court may only place the child in the temporary custody of the
secretary until the court finds the services are in place. The court shall have the authority
to require any person or entity agreeing to participate in the plan to perform as set out in
the plan. When the child is placed in the temporary custody of the secretary, the secretary
shall have the discretionary authority to place the child with a parent or to make other
suitable placement for the child. When circumstances require, a child may be placed in a
juvenile detention facility or other secure facility, but the total amount of time that the child
may be held in such facility under this section and K.S.A. 38-1542 and amendments thereto
shall not exceed 24 hours, excluding Saturdays, Sundays and legal holidays. The order of
temporary custody shall remain in effect until modified or rescinded by the court or a
disposition order is entered but not exceeding 60 days, unless good cause is shown and
stated on the record.

      (h) If the court issues an order of temporary custody, the court may enter an order
restraining any alleged perpetrator of physical, sexual, mental or emotional abuse of the
child from residing in the child's home; visiting, contacting, harassing or intimidating the
child; or attempting to visit, contact, harass or intimidate the child.

      (i) The court shall not enter an order removing a child from the custody of a parent
pursuant to this section unless the court first finds from evidence presented by the petitioner
that reasonable efforts have been made to maintain the family unit and prevent or eliminate
the need for the unnecessary removal of the child from the child's home or that an emergency
exists which threatens the safety of the child and requires the immediate removal that
remaining in the home is contrary to the welfare of the child or that placement is in the best
interest of the child. Such findings shall be included in any order entered by the court. If
the child is placed in the custody of the secretary, the court shall provide the secretary with
a written copy of any orders entered for the purpose of documenting these orders upon
making the order.

      Sec.  11. K.S.A. 1999 Supp. 38-1544 is hereby amended to read as follows: 38-1544. (a)
At any time after filing a petition, but prior to an adjudication, the court may enter an order
for continuance and informal supervision without an adjudication if no interested party
objects. Upon granting the continuance, the court shall include in the order any conditions
with which the interested parties are expected to comply and provide the parties with a copy
of the order. The conditions may include appropriate dispositional alternatives authorized
by K.S.A. 38-1563 and amendments thereto.

      (b) An order for informal supervision may remain in force for a period of up to six
months and may be extended, upon hearing, for an additional six-month period for a total
of one year.

      (c) The court after notice and hearing may revoke or modify the order with respect to
a party upon a showing that the party, being subject to the order for informal supervision,
has substantially failed to comply with the terms of the order, or that modification would
be in the best interests of the child. Upon revocation, proceedings shall resume pursuant
to this code.

      (d) Parties to the order for informal supervision who successfully complete the terms
and period of supervision shall not again be proceeded against in any court based solely
upon the allegations in the original petition and the proceedings shall be dismissed.

      (e) If the court issues an order for informal supervision pursuant to this section, the
court may enter an order restraining any alleged perpetrator of physical, sexual, mental or
emotional abuse of the child from residing in the child's home, visiting, contacting, harassing
or intimidating the child, other family member or witness; or attempting to visit, contact,
harass or intimidate the child, other family member or witness.

      Sec.  12. K.S.A. 1999 Supp. 38-1562 is hereby amended to read as follows: 38-1562. (a)
At any time after a child has been adjudicated to be a child in need of care and prior to
disposition, the judge shall permit any interested parties, and any persons required to be
notified pursuant to subsection (b), to be heard as to proposals for appropriate disposition
of the case.

      (b) Before entering an order placing the child in the custody of a person other than the
child's parent, the court shall require notice of the time and place of the hearing to be given
to all the child's grandparents at their last known addresses or, if no grandparent is living
or if no living grandparent's address is known, to the closest relative of each of the child's
parents whose address is known, and to the foster parent, preadoptive parent or relative
providing care. Such notice shall be given by restricted mail not less than 10 business days
before the hearing and shall state that the person receiving the notice shall have an oppor-
tunity to be heard at the hearing. The provisions of this subsection shall not require addi-
tional notice to any person otherwise receiving notice of the hearing pursuant to K.S.A. 38-
1536 and amendments thereto. Individuals receiving notice pursuant to this subsection shall
not be made a party to the action solely on the basis of this notice and opportunity to be
heard.

      (c) Prior to entering an order of disposition, the court shall give consideration to the
child's physical, mental and emotional condition; the child's need for assistance; the manner
in which the parent participated in the abuse, neglect or abandonment of the child; any
relevant information from the intake and assessment process; and the evidence received at
the dispositional hearing. In determining when reunification is a viable alternative, the court
shall specifically consider whether the parent has been found by a court to have: (1) Com-
mitted murder in the first degree, K.S.A. 21-3401 and amendments thereto, murder in the
second degree, K.S.A. 21-3402 and amendments thereto, capital murder, K.S.A. 21-3439
and amendments thereto, voluntary manslaughter, K.S.A. 21-3403 and amendments thereto
or violated a law of another state which prohibits such murder or manslaughter of a child;
(2) aided or abetted, attempted, conspired or solicited to commit such murder or voluntary
manslaughter of a child as provided in subsection (c)(1); (3) committed a felony battery that
resulted in bodily injury to the child or another child; (4) subjected the child or another
child to aggravated circumstances as defined in subsection (x) of K.S.A. 38-1502 and amend-
ments thereto; (5) parental rights of the parent to another child have been terminated
involuntarily; or (6) the child has been in extended out of home placement as defined in
subsection (z) of K.S.A. 38-1502 and amendments thereto. If reintegration is not a viable
alternative, the court shall consider whether a compelling reason has been documented in
the case plan to find neither adoption nor permanent guardianship are in the best interests
of the child, the child is in a stable placement with a relative, or services set out in the case
plan necessary for the safe return of the child have been made available to the parent with
whom reintegration is planned. If reintegration is not a viable alternative and either adoption
or permanent guardianship might be in the best interests of the child, the county or district
attorney or the county or district attorney's designee shall file a motion to terminate parental
rights or a motion to establish permanent guardianship within 30 days and the court shall
set a hearing on such motion within 90 days of the filing of such motion. No such hearing
is required when the parents voluntarily relinquish parental rights or agree to appointment
of a permanent guardian.

      Sec.  13. K.S.A. 1999 Supp. 38-1563 is hereby amended to read as follows: 38-1563. (a)
After consideration of any evidence offered relating to disposition, the court may retain
jurisdiction and place the child in the custody of the child's parent subject to terms and
conditions which the court prescribes to assure the proper care and protection of the child,
including supervision of the child and the parent by a court services officer, or may order
the child and the parent to participate in programs operated by the secretary or another
appropriate individual or agency. The terms and conditions may require any special treat-
ment or care which the child needs for the child's physical, mental or emotional health.

      (b) The duration of any period of supervision or other terms or conditions shall be for
an initial period of no more than 18 12 months. The court, at the expiration of that period,
upon a hearing and for good cause shown, may make successive extensions of the supervision
or other terms or conditions for up to 12 months at a time.

      (c) The court may order the child and the parents of any child who has been adjudged
a child in need of care to attend counseling sessions as the court directs. The expense of
the counseling may be assessed as an expense in the case. No mental health center shall
charge a greater fee for court-ordered counseling than the center would have charged to
the person receiving counseling if the person had requested counseling on the person's own
initiative.

      (d) If the court finds that placing the child in the custody of a parent will not assure
protection from physical, mental or emotional abuse or neglect or sexual abuse or will not
is contrary to the welfare of the child or that placement would be in the best interests of
the child, the court shall enter an order awarding custody of the child, until the further
order of the court, to one of the following:

      (1) A relative of the child or a person with whom the child has close emotional ties;

      (2) any other suitable person;

      (3) a shelter facility; or

      (4) the secretary.

      If the child is adjudged to be a child in need of care, the court shall not place the child in
the custody of the secretary if the court has received from the secretary, written documen-
tation of the services and/or community services plan offered or delivered to prevent the
need for such custody unless the court finds that the services documented by the secretary
are insufficient to protect the safety of the child and that being in the custody of the parent
with such services in place is contrary to the welfare or that placement is in the best interests
of the child. The court shall have the authority to require any person or entity agreeing to
participate in the plan to perform as set out in the plan. The secretary shall present to the
court in writing the specific actions taken to maintain the family unit and prevent the un-
necessary removal of the child from the child's home.

      In making such a custody order, the court shall give preference, to the extent that the
court finds it is in the best interests of the child, first to granting custody to a relative of the
child and second to granting custody of the child to a person with whom the child has close
emotional ties. If the court has awarded legal custody based on the finding specified by this
subsection, the legal custodian shall not return the child to the home of that parent without
the written consent of the court.

      (e) When the custody of the child is awarded to the secretary:

      (1) The court may recommend to the secretary where the child should be placed.

      (2) The secretary shall notify the court in writing of any placement of the child or, within
10 days of the order awarding the custody of the child to the secretary, any proposed
placement of the child, whichever occurs first.

      (3) The court may determine if such placement is contrary to the welfare or in the best
interests of the child, and if the court determines that such placement is not in the best
interests of the child, the court shall notify the secretary who shall then make an alternative
placement subject to the procedures established in this paragraph. In determining if such
placement is in the best interests of the child, the court, after providing the parties with an
opportunity to be heard, shall consider the health and safety needs of the child and the
resources available to meet the needs of children in the custody of the secretary.

      (4) When the secretary provides the court with a plan to provide services to a child or
family which the court finds is in place and which will assure the safety of the child, the
court shall approve the return of the child to the child's home. The court shall have the
authority to require any person or entity agreeing to participate in the plan to perform as
set out in the plan.

      (f) If custody of a child is awarded under this section to a person other than the child's
parent, the court may grant any individual reasonable rights to visit the child upon motion
of the individual and a finding that the visitation rights would be in the best interests of the
child.

      (g) If the court issues an order of custody pursuant to this section, the court may enter
an order restraining any alleged perpetrator of physical, sexual, mental or emotional abuse
of the child from residing in the child's home; visiting, contacting, harassing or intimidating
the child, other family member or witness; or attempting to visit, contact, harass or intimidate
the child, other family member or witness.

      (h) The court shall not enter an order removing a child from the custody of a parent
pursuant to this section unless the court first finds from evidence presented by the petitioner
that reasonable efforts have been made to maintain the family unit and prevent or eliminate
the need for the unnecessary removal of the child; from the child's home or that reasonable
efforts are not necessary because reintegration is not a viable alternative; or that an emer-
gency exists which threatens the safety of the child and requires the immediate removal
that allowing the child to remain in the home is contrary to the welfare of the child or that
placement would be in the best interest of the child. If the child is placed in the custody of
the secretary, the court shall provide the secretary with a copy of any orders entered for the
purpose of documenting these orders within 10 days of making the order. Reintegration may
not be a viable alternative when the: (1) Parent has been found by a court to have committed
murder in the first degree, K.S.A. 21-3401, and amendments thereto, murder in the second
degree, K.S.A. 21-3402, and amendments thereto, capital murder, K.S.A. 21-3439, and
amendments thereto, voluntary manslaughter, K.S.A. 21-3403, and amendments thereto, or
violated a law of another state which prohibits such murder or manslaughter of a child; (2)
parent aided or abetted, attempted, conspired or solicited to commit such murder or vol-
untary manslaughter of a child as provided in subsection (h)(1); (3) parent committed a
felony battery that resulted in bodily injury to the child or another child; (4) parent has
subjected the child or another child to aggravated circumstances as defined in subsection
(x) of K.S.A. 38-1502, and amendments thereto; (5) parental rights of the parent to another
child have been terminated involuntarily or (6) the child has been in extended out of home
placement as defined in subsection (z) of K.S.A. 38-1502, and amendments thereto. Such
findings shall be included in any order entered by the court.

      (i) In addition to or in lieu of any other order authorized by this section, if a child is
adjudged to be a child in need of care by reason of a violation of the uniform controlled
substances act (K.S.A. 65-4101 et seq., and amendments thereto), or K.S.A. 41-719, 41-804,
41-2719, 65-4152, 65-4153, 65-4154 or 65-4155, and amendments thereto, the court shall
order the child to submit to and complete an alcohol and drug evaluation by a community-
based alcohol and drug safety action program certified pursuant to K.S.A. 8-1008, and
amendments thereto, and to pay a fee not to exceed the fee established by that statute for
such evaluation. If the court finds that the child and those legally liable for the child's support
are indigent, the fee may be waived. In no event shall the fee be assessed against the
secretary or the department of social and rehabilitation services.

      (j) In addition to any other order authorized by this section, if child support has been
requested and the parent or parents have a duty to support the child, the court may order
one or both parents to pay child support and, when custody is awarded to the secretary, the
court shall order one or both parents to pay child support. The court shall determine, for
each parent separately, whether the parent is already subject to an order to pay support for
the child. If the parent is not presently ordered to pay support for any child who is a ward
of the court and the court has personal jurisdiction over the parent, the court shall order
the parent to pay child support in an amount determined under K.S.A. 38-1595, and amend-
ments thereto. Except for good cause shown, the court shall issue an immediate income
withholding order pursuant to K.S.A. 23-4,105 et seq., and amendments thereto, for each
parent ordered to pay support under this subsection, regardless of whether a payor has been
identified for the parent. A parent ordered to pay child support under this subsection shall
be notified, at the hearing or otherwise, that the child support order may be registered
pursuant to K.S.A. 38-1597, and amendments thereto. The parent shall also be informed
that, after registration, the income withholding order may be served on the parent's em-
ployer without further notice to the parent and the child support order may be enforced by
any method allowed by law. Failure to provide this notice shall not affect the validity of the
child support order.

      Sec.  14. K.S.A. 1999 Supp. 38-1565 is hereby amended to read as follows: 38-1565. (a)
If a child is placed outside the child's home and no permanency plan is made a part of the
record of the dispositional hearing, a written permanency plan shall be prepared which
provides for reintegration of the child into the child's family or, if reintegration is not a
viable alternative, for other permanent placement of the child. Reintegration may not be a
viable alternative when the: (1) Parent has been found by a court to have committed murder
in the first degree, K.S.A. 21-3401 and amendments thereto, murder in the second degree,
K.S.A. 21-3402 and amendments thereto, capital murder, K.S.A. 21-3439 and amendments
thereto, voluntary manslaughter, K.S.A. 21-3403 and amendments thereto or violated a law
of another state which prohibits such murder or manslaughter of a child; (2) parent aided
or abetted, attempted, conspired or solicited to commit such murder or voluntary man-
slaughter of a child as provided in subsection (a)(1); (3) parent committed a felony battery
that resulted in bodily injury to the child or another child; (4) parent has subjected the child
or another child to aggravated circumstances as defined in subsection (x) of K.S.A. 38-1502,
and amendments thereto; (5) parental rights of the parent to another child have been ter-
minated involuntarily; or (6) the child has been in extended out of home placement as
defined in subsection (z) of K.S.A. 38-1502 and amendments thereto. If the permanency
goal is reintegration into the family, the permanency plan shall include measurable objectives
and time schedules for reintegration. The plan shall be submitted to the court not later than
30 days after the dispositional order is entered. If the child is placed in the custody of the
secretary, the plan shall be prepared and submitted by the secretary. If the child is placed
in the custody of a facility or person other than the secretary, the plan shall be prepared
and submitted by a court services officer.

      (b) A court services officer or, if the child is in the secretary's custody, the secretary
shall submit to the court, at least every six months, a written report of the progress being
made toward the goals of the permanency plan submitted pursuant to subsection (a) and
the specific actions taken to achieve the goals of the permanency plan. If the child is placed
in foster care, the foster parent or parents shall submit to the court, at least every six months,
a report in regard to the child's adjustment, progress and condition. The department of
social and rehabilitation services shall notify the foster parent or parents of the foster parent's
or parent's duty to submit such report, on a form provided by the department of social and
rehabilitation services, at least two weeks prior to the date when the report is due, and the
name of the judge and the address of the court to which the report is to be submitted. Such
report shall be confidential and shall only be reviewed by the court and the child's guardian
ad litem. The court shall review the progress being made toward plan submitted by the
secretary, the reports submitted by foster parents and determine whether reasonable efforts
and progress have been made to achieve the goals of the permanency plan and the foster
parent report and,. If the court determines that progress is inadequate or that the perma-
nency plan is no longer viable, the court shall hold a hearing pursuant to subsection (c). If
the secretary has custody of the child, such hearing shall be held no more than 12 months
after the child is placed outside the child's home and at least every 12 months thereafter.
For children in the custody of the secretary prior to July 1, 1998, within 30 days of receiving
a request from the secretary, a permanency hearing shall be held. At each hearing, the court
shall make a written finding whether reasonable efforts have been made to accomplish the
permanency goal and whether continued out of home placement is necessary for the child's
safety. If the goal of the permanency plan submitted pursuant to subsection (a) is reinte-
gration into the family and the court determines after 12 months from the time such plan
is first submitted that progress is inadequate, the court shall hold a hearing pursuant to
subsection (c). Nothing in this subsection shall be interpreted to prohibit termination of
parental rights prior to the expiration of 12 months.

      (c) Whenever a hearing is required under subsection (b), the court shall notify all in-
terested parties and the foster parents, preadoptive parents or relatives providing care for
the child and hold a hearing. Individuals receiving notice pursuant to this subsection shall
not be made a party to the action solely on the basis of this notice and opportunity to be
heard. After providing the interested parties, foster parents, preadoptive parents or relatives
providing care for the child an opportunity to be heard, the court shall determine whether
the child's needs are being adequately met and whether reintegration continues to be a
viable alternative. If the court finds reintegration is no longer a viable alternative, the court
shall consider whether the child is in a stable placement with a relative, services set out in
the case plan necessary for the safe return of the child have been made available to the
parent with whom reintegration is planned or compelling reasons are documented in the
case plan to support a finding that neither adoption nor permanent guardianship are in the
child's best interest. If reintegration is not a viable alternative and either adoption or per-
manent guardianship might be in the best interests of the child, the county or district
attorney or the county or district attorney's designee shall file a motion to terminate parental
rights or for a motion to establish a permanent guardianship within 30 days and the court
shall set a hearing on such motion within 90 days of the filing of such motion. When the
court finds reintegration continues to be a viable alternative, the court shall determine
whether and, if applicable, when the child will be returned to the parent; may rescind any
of its prior dispositional orders and enter any dispositional order authorized by this code or
may order that a new plan for the reintegration be prepared and submitted to the court. If
reintegration cannot be accomplished as approved by the court, the court shall be informed
and shall schedule a hearing pursuant to subsection (c). No such hearing is required when
the parents voluntarily relinquish parental rights or agree to appointment of a permanent
guardian.

      Sec.  15. K.S.A. 38-1566 is hereby amended to read as follows: 38-1566.  (a) Except
as provided in K.S.A. 38-1567, and amendments thereto, if a child has been in the same
foster home or shelter facility for six months or longer, or has been placed by the secretary
in the home of a parent or relative, the secretary shall give written notice of any plan to
move the child to a different placement. The notice shall be given to (a) (1) the court having
jurisdiction over the child; (b) (2) each parent whose address is available; (c) (3) the foster
parent or custodian from whose home or shelter facility it is proposed to remove the child;
(d) (4) the child, if 12 or more years of age; and (e) (5) the child's guardian ad litem. The
notice shall state the home or shelter facility to which the secretary plans to transfer the
child and the reason for the proposed action. The notice shall be delivered or mailed 30
days in advance of the planned transfer, except that the secretary shall not be required to
wait 30 days to transfer the child if all persons enumerated in clauses (b) (2) through (e)
(5) consent in writing to the transfer. Within 10 days after receipt of the notice any person
receiving notice as provided above may request, either orally or in writing, that the court
conduct a hearing to determine whether or not the change in placement is in the best
interests of the child concerned. When the request has been received, the court shall sched-
ule a hearing and immediately notify the secretary of the request and the time and date the
matter will be heard. The court shall give notice of the hearing to persons enumerated in
clauses (b) (2) through (e) (5). The secretary shall not change the placement of the child
unless the change is approved by the court.

      (b) When, after the notice set out above, a child in the custody of the secretary is removed
from the home of a parent after having been placed in the home of a parent for a period of
six months or longer, the secretary shall request a finding by the court whether reasonable
efforts were made to prevent the necessity for removal and whether allowing the child to
remain in the home is contrary to the welfare of the child or not in the best interests of the
child. The secretary shall present to the court in writing the efforts to maintain the family
unit and prevent the unnecessary removal of the child from the child's home. In making the
finding, the court may rely on documentation submitted by the secretary or may set the date
for a hearing on the matter. If the secretary requests such finding, the court shall provide
the secretary with a written copy of the finding by the court for the purpose of documenting
these orders not more than 45 days from the date of the request.

      Sec.  16. K.S.A. 38-1567 is hereby amended to read as follows: 38-1567. When an emer-
gency exists requiring immediate action to assure the safety and protection of the child or
the secretary is notified that the foster parents or shelter facility refuse to allow the child to
remain, the secretary may transfer the child to another foster home or shelter facility without
prior court approval, but the secretary shall notify the court of the action at the earliest
practical time. When the child is removed from the home of a parent after having been
placed in the home or facility for a period of six months or longer, the secretary shall present
to the court in writing the specific nature of the emergency and request a finding by the
court whether remaining in the home was contrary to the welfare or not in the best interests
of the child. In making the finding, the court may rely on documentation submitted by the
secretary or may set the date for a hearing on the matter. If the secretary requests such a
finding, the court shall provide the secretary with a written copy of the finding by the court
not more than 45 days from the date of the request.'';

      By renumbering the remaining sections accordingly;

      Also on page 2, in line 43, by striking all following ``to'';

      On page 3, in line 1, by striking all preceding ``any''; in line 2, by striking all preceding
``(a)(12)'' and inserting ``(a)(1) through'';

      On page 4, in line 15, following ``to'', by inserting ``: (1) A parent; (2) a person other than
the parent or other person having custody, who shall not be required to be licensed under
article 5 of chapter 65 of the Kansas Statutes Annotated, and amendments thereto; (3) a
youth residential facility; or (4)''; in line 16, following ``not'', by inserting ``already''; in line
17, by striking ``secretary'' and inserting ``custodian'';

      On page 5, preceding line 23, by inserting new material to read as follows:

      ``Sec.  18. K.S.A. 1999 Supp. 38-1581 is hereby amended to read as follows: 38-1581.
(a) Either in the petition filed under this code or in a motion made in proceedings under
this code, any interested party may request that either or both parents be found unfit and
the parental rights of either or both parents be terminated or a permanent guardianship be
appointed.

      (b) Whenever a pleading is filed requesting termination of parental rights, the pleading
shall contain a statement of specific facts which are relied upon to support the request,
including dates, times and locations to the extent known.

      (c) The county or district attorney or the county or district attorney's designee shall file
pleadings alleging a parent is unfit and requesting termination of parental rights or the
establishment of a permanent guardianship within 30 days after the court has determined
reintegration is not a viable alternative and unless the court has not found a compelling
reason why adoption or permanent guardianship may not be in the best interest of the child.
The court shall set a hearing on such pleadings and matters within 90 days of the filing of
such pleadings.

      Sec.  19. K.S.A. 1999 Supp. 38-1583 is hereby amended to read as follows: 38-1583. (a)
When the child has been adjudicated to be a child in need of care, the court may terminate
parental rights when the court finds by clear and convincing evidence that the parent is
unfit by reason of conduct or condition which renders the parent unable to care properly
for a child and the conduct or condition is unlikely to change in the foreseeable future.

      (b) In making a determination hereunder the court shall consider, but is not limited to,
the following, if applicable:

      (1) Emotional illness, mental illness, mental deficiency or physical disability of the par-
ent, of such duration or nature as to render the parent unlikely to care for the ongoing
physical, mental and emotional needs of the child;

      (2) conduct toward a child of a physically, emotionally or sexually cruel or abusive na-
ture;

      (3) excessive use of intoxicating liquors or narcotic or dangerous drugs;

      (4) physical, mental or emotional neglect of the child;

      (5) conviction of a felony and imprisonment;

      (6) unexplained injury or death of another child or stepchild of the parent;

      (7) reasonable efforts by appropriate public or private child caring agencies have been
unable to rehabilitate the family; and

      (8) lack of effort on the part of the parent to adjust the parent's circumstances, conduct
or conditions to meet the needs of the child.

      (c) In addition to the foregoing, when a child is not in the physical custody of a parent,
the court, in proceedings concerning the termination of parental rights, shall also consider,
but is not limited to the following:

      (1) Failure to assure care of the child in the parental home when able to do so;

      (2) failure to maintain regular visitation, contact or communication with the child or
with the custodian of the child;

      (3) failure to carry out a reasonable plan approved by the court directed toward the
integration of the child into the parental home; and

      (4) failure to pay a reasonable portion of the cost of substitute physical care and main-
tenance based on ability to pay.

      In making the above determination, the court may disregard incidental visitations, con-
tacts, communications or contributions.

      (d) The rights of the parents may be terminated as provided in this section if the court
finds that the parents have abandoned the child or the child was left under such circum-
stances that the identity of the parents is unknown and cannot be ascertained, despite
diligent searching, and the parents have not come forward to claim the child within three
months after the child is found.

      (e) The existence of any one of the above standing alone may, but does not necessarily,
establish grounds for termination of parental rights. The determination shall be based on
an evaluation of all factors which are applicable. In considering any of the above factors for
terminating the rights of a parent, the court shall give primary consideration to the physical,
mental or emotional condition and needs of the child. If presented to the court and subject
to the provisions of K.S.A. 60-419, and amendments thereto, the court shall consider as
evidence testimony from a person licensed to practice medicine and surgery, a licensed
psychologist or a licensed social worker expressing an opinion relating to the physical, mental
or emotional condition and needs of the child. The court shall consider any such testimony
only if the licensed professional providing such testimony is subject to cross-examination.

      (f) A termination of parental rights under the Kansas code for care of children shall not
terminate the right of the child to inherit from or through the parent. Upon such termi-
nation, all the rights of birth parents to such child, including their right to inherit from or
through such child, shall cease.

      (g) If, after finding the parent unfit, the court determines a compelling reason why it is
contrary to the welfare or not in the best interests of the child to terminate parental rights
or upon agreement of the parents, the court may award permanent guardianship to an
individual providing care for the child, a relative or other person with whom the child has
a close emotional attachment. Prior to awarding permanent guardianship, the court shall
receive and consider an assessment as provided in K.S.A. 59-2132 and amendments thereto
of any potential permanent guardian. Upon appointment of a permanent guardian, the court
shall enter an order discharging the child from the court's jurisdiction discharge the child
from the custody of the secretary.

      (h) If a parent is convicted of an offense as provided in subsection (7) of K.S.A. 38-1585
and amendments thereto or is adjudicated a juvenile offender because of an act which if
committed by an adult would be an offense as provided in subsection (7) of K.S.A. 38-1585
and amendments thereto, and if the victim was the other parent of a child, the court may
disregard such convicted or adjudicated parent's opinions or wishes in regard to the place-
ment of such child.

      (i) If the secretary has documented to the court a compelling reason why custody for
adoption, custody for permanent guardianship, nor custody for placement with a fit and
willing relative are currently a viable option, the court may order custody to remain with
the secretary for continued permanency planning and another planned permanent living
arrangement.

      Sec.  20. K.S.A. 1999 Supp. 38-1584 is hereby amended to read as follows: 38-1584. (a)
Purpose of section. The purpose of this section is to provide stability in the life of a child
who must be removed from the home of a parent, to acknowledge that time perception of
a child differs from that of an adult and to make the ongoing physical, mental and emotional
needs of the child the decisive consideration in proceedings under this section. The primary
goal for all children whose parents' parental rights have been terminated is placement in a
permanent family setting.

      (b) Actions by the court. (1) Custody for adoption. When parental rights have been
terminated and it appears that adoption is a viable alternative, the court shall enter one of
the following orders:

      (A) An order granting custody of the child, for adoption proceedings, to a reputable
person of good moral character, the secretary or a corporation organized under the laws of
the state of Kansas authorized to care for and surrender children for adoption as provided
in K.S.A. 38-112 et seq. and amendments thereto. The person, secretary or corporation shall
have authority to place the child in a family home, be a party to proceedings and give consent
for the legal adoption of the child which shall be the only consent required to authorize the
entry of an order or decree of adoption.

      (B) An order granting custody of the child to proposed adoptive parents and consenting
to the adoption of the child by the proposed adoptive parents.

      (2) Custody for long-term foster care permanent guardianship. When parental rights
have been terminated and it does not appear that adoption is a viable alternative, the court
shall may enter an order granting custody of the child for foster care permanent guardi-
anship to a reputable person of good moral character, a youth residential facility, the sec-
retary or a corporation or association willing to receive the child, embracing in its objectives
the purpose of caring for or obtaining homes for children. Upon appointment of a permanent
guardian, the court shall discharge the child from the custody of the secretary.

      (3) Custody for placement with a fit and willing relative. When parental rights have
been terminated and it does not appear that adoption is a viable alternative, the court may
enter an order granting custody of the child for placement with a willing relative who is a
reputable person of good moral character. Upon an order of custody and placement with a
fit and willing relative, the court shall discharge the child from the custody of the secretary.

      (3) (4) Preferences in custody for adoption or long-term foster care permanent guardi-
anship. In making an order under subsection (b)(1) or (2), the court shall give preference,
to the extent that the court finds it is in the best interests of the child, first to granting such
custody to a relative of the child and second to granting such custody to a person with whom
the child has close emotional ties.

      (c) Guardian and conservator of child. The secretary shall be guardian and conservator
of any child placed in the secretary's custody, subject to any prior conservatorship.

      (d) Reports and review of progress and reasonable efforts to implement a permanency
plan of adoption; permanent guardianship; or placement with a fit and willing relative. After
parental rights have been terminated and up to the time an adoption has been accomplished,
the person or agency awarded custody of the child shall within 60 days submit a written
plan for permanent placement which shall include measurable objectives and time schedules
and shall thereafter not less frequently than each six months make a written report to the
court stating the progress having been made toward finding an adoptive placement or long-
term foster care permanent guardianship or placement for the child with a fit and willing
relative. Upon the receipt of each report the court shall review the contents thereof and
determine whether or not a hearing should be held on the subject. In any case, the court
shall notify all interested parties and hear evidence regarding progress toward finding an
adoptive home or the acceptability of the long-term foster care permanent guardian or
placement with a fit and willing relative plan within 18 12 months after parental rights have
been terminated and every 12 months thereafter. If the court determines that inadequate
progress is being reasonable efforts or progress have not been made toward finding an
adoptive placement or establishing an acceptable long-term foster care plan permanent
guardianship or placement with a fit and willing relative, the court may rescind its prior
orders and make other orders regarding custody and adoption that are appropriate under
the circumstances. Reports of a proposed adoptive placement need not contain the identity
of the proposed adoptive parents.

      (e) Discharge upon adoption. When the adoption of a child has been accomplished, the
court shall enter an order discharging the child from the court's jurisdiction in the pending
proceedings.

      (f) If the secretary has documented to the court a compelling reason why neither custody
for adoption nor custody for permanent guardianship nor custody for placement with a fit
and willing relative are currently a viable option, the court may order custody to remain
with the secretary for continued permanency planning and another planned permanent
living arrangement.

      Sec.  21. K.S.A. 1999 Supp. 38-1587 is hereby amended to read as follows: 38-1587. (a)
A permanent guardian may be appointed after a finding of unfitness pursuant to K.S.A. 38-
1583 and amendments thereto or with the consent and agreement of the parents.

      (b) Upon appointment of the permanent guardian, the child in need of care proceeding
shall be dismissed court shall discharge the child from the custody of the secretary.

      Sec.  22. K.S.A. 1999 Supp. 38-1591 is hereby amended to read as follows: 38-1591. (a)
An appeal may be taken by any interested party from any adjudication, disposition, termi-
nation of parental rights or order of temporary custody in any proceedings pursuant to this
code.

      (b) An appeal from an order entered by a district magistrate judge shall be to a district
judge. The appeal shall be heard within 30 days from the date the notice of appeal is filed.
If no record was made of the proceedings, the trial shall be de novo.

      (c) Procedure on appeal shall be governed by article 21 of chapter 60 of the Kansas
Statutes Annotated.

      (d) Notwithstanding any other provision of law to the contrary, appeals under this sec-
tion shall have priority over all other cases.

      (e) Every notice of appeal, docketing statement and brief shall be verified by the inter-
ested party if the party has been personally served at any time during the proceedings.
Failure to have the required verification shall result in the dismissal of the appeal.'';

      By renumbering the remaining sections accordingly;

      On page 9, in line 24, following the period, by inserting ``The provisions of K.S.A. 38-
1664, and amendments thereto, shall not apply to juvenile offenders committed directly to
a juvenile correctional facility.'';

      On page 26, by striking all in lines 41 through 43;

      On page 27, by striking all in lines 1 through 43;

      On page 28, by striking all in lines 1 through 43;

      On page 29, by striking all in lines 1 through 8 and inserting new material as follows:

      ``Sec.  33. K.S.A. 75-3329 is hereby amended to read as follows: 75-3329. As used in
this act:

      (a) ``Board'' means the secretary of social and rehabilitation services.

      (b) ``State institution'' means institution as defined in K.S.A. 76-12a01, and amendments
thereto.

      (c) ``Child'' or ``children'' means a person or persons under the age of eighteen (18) 18.

      (d) ``Private children's home'' means any licensed home, institution or charitable organ-
ization which is operated by a corporation organized not for profit under the laws of this
state which the secretary finds has and maintains adequate facilities and is properly staffed
to provide adequate care, custody, education, training and treatment for any child which
the secretary may place therein under the authority of this act, or a licensed foster care
home, boarding home, personal care home or nursing home.'';

      By renumbering the remaining sections accordingly;

      Also on page 29, in line 30, following ``K.S.A.'', by inserting ``38-1503, 38-1531, 38-1566,
38-1567,''; also in line 30, following ``38-1568'', by inserting ``and 75-3329''; also in line 30,
following ``22-4904,'', by inserting ``38-1502, 38-1507, 38-1513, 38-1532, 38-1542, 38-1543,
38-1544, 38-1562, 38-1563, 38-1565, 38-1581, 38-1583, 38-1584, 38-1587, 38-1591,''; in line
32, by striking the comma where it appears for the second time and inserting ``and''; also in
line 32, by striking ``and 75-7023''; in line 34, by striking ``statute book'' and inserting ``Kansas
register'';

      On page 1, in the title, in line 12, by striking all following ``to''; in line 13, preceding ``in''
by inserting ``children''; also in line 13, by striking all following ``offenders''; by striking all
in line 14; in line 15, by striking all preceding the semicolon; also in line 15, preceding ``38-
1568'', by inserting ``38-1503, 38-1531, 38-1566, 38-1567,''; also in line 15, preceding ``and'',
by inserting ``and 75-3329''; in line 16, following ``22-4904,'', by inserting ``38-1502, 38-1507,
38-1513, 38-1532, 38-1542, 38-1543, 38-1544, 38-1562, 38-1563, 38-1565, 38-1581, 38-
1583, 38-1584, 38-1587, 38-1591,''; in line 17, following ``38-16,129'', by striking the comma
and inserting ``and''; also in line 17, by striking ``and 75-7023'';

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Tim Emert

                                                                                    John Vratil

                                                                                    Greta Goodwin
 Conferees on the part of Senate
                                                                                   

                                                                                    Michael R. O'Neal

                                                                                    Tim Carmody

                                                                                    Janice L. Pauls
 Conferees on part of House


   On motion of Rep. Pauls, the conference committee report on S. Sub. for HB 2224 was
adopted.

 On roll call, the vote was: Yeas 117; Nays 8; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Barnes, Beggs, Benlon, Bethell, Bos-
ton, Burroughs, Carmody, Compton, Cox, Dahl, Dean, Dreher, Empson, Farmer, Feuer-
born, Findley, Flaharty, Flora, Flower, Freeborn, Garner, Gatewood, Geringer, Gilbert,
Glasscock, Grant, Gregory, Haley, Hayzlett, Helgerson, Henderson, Henry, Hermes,
Holmes, Horst, Huff, Humerickhouse, Hutchins, Jenkins, Jennison, Johnson, Johnston,
Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether, Landwehr, Lane, Larkin, Light,
Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans, Mays, McClure, McCreary,
McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim Morrison, Judy Morrison, My-
ers, Neufeld, Nichols, O'Brien, O'Neal, Palmer, Pauls, E. Peterson, J. Peterson, Phelps,
Pottorff, Powell, Powers, Ray, Reardon, Rehorn, Reinhardt, Ruff, Schwartz, Sharp, Show-
alter, Shriver, Shultz, Sloan, Spangler, Stone, Storm, Swenson, Tanner, Tedder, Thimesch,
Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber, Weiland, Wells, Welshimer,
Wilk.

 Nays: Ballou, Campbell, Crow, Edmonds, Faber, Howell, O'Connor, Osborne.

 Present but not voting: None.

 Absent or not voting: None.

MESSAGES FROM THE SENATE
 The Senate adopts conference committee report on SB 92.

 The Senate adopts conference committee report on SB 470.

 The Senate adopts conference committee report on HB 2905.

 Also, the Senate adopts conference committee report on H. Sub. for SB 430.

INTRODUCTION OF ORIGINAL MOTIONS
 On motion of Rep. Glasscock, pursuant to subsection (k) of Joint Rule 4 of the Joint Rules
of the Senate and House of Representatives, the rules were suspended for the purpose of
considering H. Sub. for SB 504; HB 2905; SB 316.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to House Substitute for SB 504, submits the following report:

      The Senate accedes to all House amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed, with House Committee of the Whole
amendments, as follows:

      On page 2, in line 36, after the stricken material, by inserting ``within the county''; in line
39, after ``place'', by inserting ``within the county''; in line 41, by striking ``, and within the
county'';

      On page 4, in line 42, by striking ``K.S.A. 61-1720'' and inserting ``section 17'';

      On page 7, in line 38, by striking ``by K.S.A. 60-903, 60-2401 or 60-3104, and amendments
thereto,''; in line 41, by striking all after ``clerk''; in line 42, by striking ``(d)'';

      On page 8, in line 34, by striking ``plaintiff'' and inserting ``party'';

      On page 19, in line 38, before ``shall'' by inserting ``and the provisions of article 7 of
chapter 60 of the Kansas Statutes Annotated relating to the attachment of real property,'';

      Also on page 19, in line 42, before ``property'' by inserting ``intangible'';

      On page 20, in line 24, before ``property'' by inserting ``intangible''; in line 41, before
``property'' by inserting ``intangible'';

      On page 25, in line 9, before ``property'' by inserting ``intangible''; in line 15, by striking
``send'' and inserting ``file''; also in line 15, by striking ``to'' the second time it appears and
inserting ``with''; in line 27, by striking all after ``to''; in line 28, by striking all before ``each'';

      On page 26, in line 6, after ``clerk'' by inserting ``or the garnishee''; in line 10, by striking
the comma and inserting ``and''; by striking all after ``garnishee''; in line 11, by striking
``clerk''; in line 24, by striking ``clerk of the''; in line 25, by striking ``clerk''; in line 26, by
striking ``of the''; by striking all in line 30; in line 31, by striking all before the period and
inserting ``provisions of section 46, and amendments thereto, relating to attachment shall
be applicable'';

      On page 27, in line 2, by striking all after ``to''; in line 3, by striking all before ``all''; in
line 6, before the period, by inserting ``, unless the garnishee receives prior to such payment
an order of the court to the contrary''; in line 7, by striking ``to the''; in line 8, by striking
all before ``pro-rata''; in line 10, by striking ``court'' and inserting ``judgment creditors''; in
line 15, by striking ``sections 7 through 18'' and inserting ``section 13''; in line 28, by striking
``sections 7 through''; in line 29, by striking ``18'' and inserting ``section 13'';

      On page 29, in line 7, by striking ``66'' and inserting ``65'';

      On page 30, in line 19, by striking ``deceased or incompetent'';

                                                                                    \ And your committee on conference recommends the adoption of this report.

                                                                                    Michael R. O'Neal

                                                                                    Tim Carmody

                                                                                    Janice L. Pauls
 Conferees on the part of House
                                                                                   

                                                                                    Tim Emert

                                                                                    John Vratil

                                                                                    Greta Goodwin
 Conferees on part of Senate


   On motion of Rep. O'Neal, the conference committee report on H. Sub. for SB 504
was adopted.

 On roll call, the vote was: Yeas 77; Nays 48; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Allen, Aurand, Ballou, Beggs, Benlon, Bethell, Boston, Campbell,
Carmody, Compton, Dahl, Dreher, Edmonds, Empson, Faber, Farmer, Flora, Flower,
Freeborn, Geringer, Glasscock, Gregory, Hayzlett, Holmes, Horst, Huff, Humerickhouse,
Hutchins, Jenkins, Jennison, Johnson, Kirk, Phil Kline, Phill Kline, Krehbiel, Kuether, Land-
wehr, Light, Lightner, Lloyd, P. Long, Loyd, Mayans, Mays, McCreary, Merrick, Mollen-
kamp, Jim Morrison, Judy Morrison, Myers, Neufeld, Nichols, O'Connor, O'Neal, Osborne,
Palmer, J. Peterson, Pottorff, Powell, Ray, Schwartz, Shultz, Sloan, Stone, Storm, Tanner,
Toelkes, Tomlinson, Toplikar, Vickrey, Vining, Wagle, Weber, Weiland, Wilk.

 Nays: Alldritt, Ballard, Barnes, Burroughs, Cox, Crow, Dean, Feuerborn, Findley, Fla-
harty, Garner, Gatewood, Gilbert, Grant, Haley, Helgerson, Henderson, Henry, Hermes,
Howell, Johnston, Klein, Lane, Larkin, M. Long, Mason, McClure, McKechnie, McKinney,
Minor, O'Brien, Pauls, E. Peterson, Phelps, Powers, Reardon, Rehorn, Reinhardt, Ruff,
Sharp, Showalter, Shriver, Spangler, Swenson, Tedder, Thimesch, Wells, Welshimer.

 Present but not voting: None.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on House amend-
ments to SB 483, submits the following report:

      The Senate accedes to all House amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with House Committee amendments,
as follows:

      On page 1, after line 18, by inserting the following:

      ``Section  1. On and after January 1, 2001, K.S.A. 1999 Supp. 17-7503 is hereby
amended to read as follows: 17-7503. (a) Every domestic corporation organized for profit
shall make an annual report in writing to the secretary of state, stating the prescribed in-
formation concerning the corporation at the close of business on the last day of its tax period
next preceding the date of filing, but if a corporation's tax period is other than the calendar
year, it shall give notice thereof to the secretary of state prior to December 31 of the year
it commences such tax period. The reports shall be made on forms prescribed by the sec-
retary of state. The report shall be filed at the time prescribed by law for filing the corpo-
ration's annual Kansas income tax return, except that if any such corporation shall apply for
an extension of time for filing its annual income tax return under the internal revenue service
or under subsection (c) of K.S.A. 79-3221, and amendments thereto, such corporation shall
also apply, not more than 90 days after the due date of its annual report, to the secretary
of state for an extension of the time for filing the report and an extension shall be granted
for a period of time corresponding to that granted under the internal revenue code or K.S.A.
79-3221, and amendments thereto. Such application shall include a copy of the application
to income tax authorities. The report shall contain the following information:

      (1) The name of the corporation;

      (2) the location of the principal office;

      (3) the names of the president, secretary, treasurer and members of the board of di-
rectors, with the residence address of each;

      (4) the number of shares of capital stock issued and the amount of capital stock paid
up;

      (5) the nature and kind of business in which the corporation is engaged; and

      (6) a list of stockholders owning at least 5% of the capital stock of the corporation, with
the post office address of each.

      (b) Every corporation subject to the provisions of this section which holds agricultural
land, as defined in K.S.A. 17-5903, and amendments thereto, within this state shall show
the following additional information on the report:

      (1) The acreage and location listed by section, range, township and county of each lot,
tract or parcel of agricultural land in this state owned or leased by or to the corporation;

      (2) the purposes for which such agricultural land is owned or leased and, if leased, to
whom such agricultural land is leased;

      (3) the value of the nonagricultural assets and the agricultural assets, stated separately,
owned and controlled by the corporation both within and without the state of Kansas and
where situated;

      (4) the total number of stockholders of the corporation;

      (5) the number of acres owned or operated by the corporation, the number of acres
leased by the corporation and the number of acres leased to the corporation;

      (6) the number of acres of agricultural land, held and reported in each category under
provision (5), state separately, being irrigated; and

      (7) whether any of the agricultural land held and reported under this subsection was
acquired after July 1, 1981.

      (c) The report shall be signed by its president, secretary, treasurer or other officer duly
authorized so to act, or by any two of its directors, or by an incorporator in the event its
board of directors shall not have been elected. The fact that an individual's name is signed
on such report shall be prima facie evidence that such individual is authorized to sign the
report on behalf of the corporation; however, the official title or position of the individual
signing the report shall be designated. This report will be dated and subscribed by the person
as true, under penalty of perjury. At the time of filing such annual report it shall be the duty
of each domestic corporation organized for profit to pay to the secretary of state an annual
franchise tax in an amount equal to $1 for each $1,000 of the corporation's shareholder's
equity attributable to Kansas, except that no such tax shall be less than $20 or more than
$2,500. The amount of any such franchise tax paid by the corporation to the secretary as
provided by this subsection shall not be disclosed by the secretary.

      Sec.  2. On and after January 1, 2001, K.S.A. 1999 Supp. 17-7505 is hereby amended
to read as follows: 17-7505. (a) Every foreign corporation organized for profit, or organized
under the cooperative type statutes of the state, territory or foreign country of incorporation,
now or hereafter doing business in this state, and owning or using a part or all of its capital
in this state, and subject to compliance with the laws relating to the admission of foreign
corporations to do business in Kansas, shall make an annual report in writing to the secretary
of state, stating the prescribed information concerning the corporation at the close of busi-
ness on the last day of its tax period next preceding the date of filing, but if a corporation
operates on a fiscal year other than the calendar year it shall give written notice thereof to
the secretary of state prior to December 31 of the year commencing such fiscal year. The
report shall be made on a form prescribed by the secretary of state. The report shall be
filed at the time prescribed by law for filing the corporation's annual Kansas income tax
return, except that if any such corporation shall apply for an extension of time for filing its
annual income tax return under the internal revenue service or under subsection (c) of
K.S.A. 79-3221, and amendments thereto, such corporation shall also apply, not more than
90 days after the due date of its annual report, to the secretary of state for an extension of
the time for filing the report and an extension shall be granted for a period of time corre-
sponding to that granted under the internal revenue code or K.S.A. 79-3221, and amend-
ments thereto. Such application shall include a copy of the application to income tax au-
thorities. The report shall contain the following facts:

      (1) The name of the corporation and under the laws of what state or country organized;

      (2) the location of its principal office;

      (3) the names of the president, secretary, treasurer and members of the board of di-
rectors, with the residence address of each;

      (4) the number of shares of capital stock issued and the amount of capital stock paid
up;

      (5) the nature and kind of business in which the company is engaged and its place or
places of business both within and without the state of Kansas;

      (6) the value of the property owned and used by the company in Kansas, where situated,
and the value of the property owned and used outside of Kansas and where situated; and

      (7) the corporation's shareholder's equity attributable to Kansas.

      (b) Every corporation subject to the provisions of this section which holds agricultural
land, as defined in K.S.A. 17-5903, and amendments thereto, within this state shall show
the following additional information on the report:

      (1) The acreage and location listed by section, range, township and county of each lot,
tract or parcel of agricultural land in this state owned or leased by or to the corporation;

      (2) the purposes for which such agricultural land is owned or leased and, if leased, to
whom such agricultural land is leased;

      (3) the value of the nonagricultural assets and the agricultural assets, stated separately,
owned and controlled by the corporation both within and without the state of Kansas and
where situated;

      (4) the total number of stockholders of the corporation;

      (5) the number of acres owned or operated by the corporation, the number of acres
leased by the corporation and the number of acres leased to the corporation;

      (6) the number of acres of agricultural land, held and reported in each category under
paragraph (5) of this subsection (b), stated separately, being irrigated; and

      (7) whether any of the agricultural land held and reported under this subsection was
acquired after July 1, 1981.

      The report shall be signed by its president, secretary, treasurer or other officer duly
authorized so to act, or by any two of its directors, or by an incorporator in the event its
board of directors shall not have been elected. The fact that an individual's name is signed
on such report shall be prima facie evidence that such individual is authorized to sign the
report on behalf of the corporation; however, the official title or position of the individual
signing the report shall be designated. This report will be dated and subscribed by the person
as true, under penalty of perjury. At the time of filing its annual report, each such foreign
corporation shall pay to the secretary of state an annual franchise tax in an amount equal to
$1 for each $1,000 of the corporation's shareholder's equity attributable to Kansas, except
that no such tax shall be less than $20 or more than $2,500. The amount of any such franchise
tax paid by the foreign corporation to the secretary as provided by this subsection shall not
be disclosed by the secretary.'';

      And by renumbering section 1 as section 3;

      Also on page 1, after line 40, by inserting the following:

      ``Sec.  4. On and after January 1, 2001, K.S.A. 1999 Supp. 17-76,139 is hereby amended
to read as follows: 17-76,139. (a) Every limited liability company organized under the laws
of this state shall make an annual report in writing to the secretary of state, stating the
prescribed information concerning the limited liability company at the close of business on
the last day of its tax period next preceding the date of filing. If the limited liability company's
tax period is other than the calendar year, it shall give notice of its different tax period in
writing to the secretary of state prior to December 31 of the year it commences the different
tax period. The annual report shall be filed at the time prescribed by law for filing the
limited liability company's annual Kansas income tax return. If the limited liability company
applies for an extension of time for filing its annual income tax return under the internal
revenue code, the limited liability company shall also apply, not more than 90 days after the
due date of its annual report, to the secretary of state for an extension of the time for filing
its report and an extension shall be granted for a period of time corresponding to that granted
under the internal revenue code. The application shall include a copy of the application to
income tax authorities. The annual report shall be made on a form prescribed by the sec-
retary of state. The report shall contain the following information:

      (1) The name of the limited liability company; and

      (2) a reconciliation of the capital accounts for the preceding taxable year as required to
be reported on the federal partnership return of income or for a one-member LLC taxed
as a sole proprietorship, the net book value of the LLC as calculated on an income tax basis;
and

      (3) a list of the members owning at least 5% of the capital of the company, with the
post office address of each.

      (b) Every foreign limited liability company shall make an annual report in writing to the
secretary of state, stating the prescribed information concerning the limited liability com-
pany at the close of business on the last day of its tax period next preceding the date of
filing. If the limited liability company's tax period is other than the calendar year, it shall
give notice in writing of its different tax period to the secretary of state prior to December
31 of the year it commences the different tax period. The annual report shall be filed at the
time prescribed by law for filing the limited liability company's annual Kansas income tax
return. If the limited liability company applies for an extension of time for filing its annual
income tax return under the internal revenue code, the limited liability company also shall
apply, not more than 90 days after the due date of its annual report, to the secretary of state
for an extension of the time for filing its report and an extension shall be granted for a
period of time corresponding to that granted under the internal revenue code. The appli-
cation shall include a copy of the application to income tax authorities. The annual report
shall be made on a form prescribed by the secretary of state. The report shall contain the
following information:

      (1) The name of the limited liability company;

      (2) a reconciliation of the capital accounts for the preceding taxable year as required to
be reported on the federal partnership return of income or for a one-member LLC taxed
as a sole proprietorship, the net book value of the LLC as calculated on an income tax basis.

      (c) The annual report required by this section shall be signed by a member of the limited
liability company and forwarded to the secretary of state. At the time of filing the report,
the limited liability company shall pay to the secretary of state an annual franchise tax in an
amount equal to $1 for each $1,000 of the net capital accounts located in or used in this
state at the end of the preceding taxable year as required to be reported on the federal
partnership return of income, or for a one-member LLC taxed as a sole proprietorship, $1
for each $1,000 of net book value of the LLC as calculated on an income tax basis located
in or used in this state at the end of the preceding taxable year, except that no annual tax
shall be less than $20 or more than $2,500. The amount of any such franchise tax paid by
the limited liability company to the secretary as provided by this subsection shall not be
disclosed by the secretary.

      (d) The provisions of K.S.A. 17-7509, and amendments thereto, relating to penalties for
failure of a corporation to file an annual report or pay the required franchise tax, and the
provisions of subsection (a) of K.S.A. 17-7510 and amendments thereto, relating to penalties
for failure of a corporation to file an annual report or pay the required franchise tax, shall
be applicable to the articles of organization of any domestic limited liability company or to
the authority of any foreign limited liability company which fails to file its annual report or
pay the franchise tax within 90 days of the time prescribed in this section for filing and
paying the same. Whenever the articles of organization of a domestic limited liability com-
pany or the authority of any foreign limited liability company are forfeited for failure to file
an annual report or to pay the required franchise tax, the domestic limited liability company
or the authority of a foreign limited liability company may be reinstated by filing a certificate
of reinstatement, in the manner and form to be prescribed by the secretary of state and
paying to the secretary of state all fees and taxes, including any penalties thereon, due to
the state. The fee for filing a certificate of reinstatement shall be the same as that prescribed
by K.S.A. 17-7506, and amendments thereto, for filing a certificate of extension, restoration,
renewal or revival of a corporation's articles of incorporation.

      (e) When reinstatement is effective, it relates back to and takes effect as of the effective
date of the forfeiture and the company may resume its business as if the forfeiture had
never occurred.

      (f) No limited liability company shall be required to file its first annual report under
this act, or pay any annual franchise tax required to accompany such report, unless such
limited liability company has filed its articles of organization or application for authority at
least six months prior to the last day of its tax period. If any limited liability company files
with the secretary of state a notice of change in its tax period and the next annual report
filed by such limited liability company subsequent to such notice is based on a tax period
of less than 12 months, the annual tax liability shall be determined by multiplying the annual
franchise tax liability for such year by a fraction, the numerator of which is the number of
months or any portion thereof covered by the annual report and the denominator of which
is 12, except that the tax shall not be less than $20.

      Sec.  5. On and after January 1, 2001, K.S.A. 1999 Supp. 45-221 is hereby amended to
read as follows: 45-221. (a) Except to the extent disclosure is otherwise required by law, a
public agency shall not be required to disclose:

      (1) Records the disclosure of which is specifically prohibited or restricted by federal
law, state statute or rule of the Kansas supreme court or the disclosure of which is prohibited
or restricted pursuant to specific authorization of federal law, state statute or rule of the
Kansas supreme court to restrict or prohibit disclosure.

      (2) Records which are privileged under the rules of evidence, unless the holder of the
privilege consents to the disclosure.

      (3) Medical, psychiatric, psychological or alcoholism or drug dependency treatment re-
cords which pertain to identifiable patients.

      (4) Personnel records, performance ratings or individually identifiable records pertain-
ing to employees or applicants for employment, except that this exemption shall not apply
to the names, positions, salaries and lengths of service of officers and employees of public
agencies once they are employed as such.

      (5) Information which would reveal the identity of any undercover agent or any inform-
ant reporting a specific violation of law.

      (6) Letters of reference or recommendation pertaining to the character or qualifications
of an identifiable individual.

      (7) Library, archive and museum materials contributed by private persons, to the extent
of any limitations imposed as conditions of the contribution.

      (8) Information which would reveal the identity of an individual who lawfully makes a
donation to a public agency, if anonymity of the donor is a condition of the donation.

      (9) Testing and examination materials, before the test or examination is given or if it is
to be given again, or records of individual test or examination scores, other than records
which show only passage or failure and not specific scores.

      (10) Criminal investigation records, except that the district court, in an action brought
pursuant to K.S.A. 45-222, and amendments thereto, may order disclosure of such records,
subject to such conditions as the court may impose, if the court finds that disclosure:

      (A) Is in the public interest;

      (B) would not interfere with any prospective law enforcement action;

      (C) would not reveal the identity of any confidential source or undercover agent;

      (D) would not reveal confidential investigative techniques or procedures not known to
the general public;

      (E) would not endanger the life or physical safety of any person; and

      (F) would not reveal the name, address, phone number or any other information which
specifically and individually identifies the victim of any sexual offense in article 35 of chapter
21 of the Kansas Statutes Annotated, and amendments thereto.

      (11) Records of agencies involved in administrative adjudication or civil litigation, com-
piled in the process of detecting or investigating violations of civil law or administrative rules
and regulations, if disclosure would interfere with a prospective administrative adjudication
or civil litigation or reveal the identity of a confidential source or undercover agent.

      (12) Records of emergency or security information or procedures of a public agency,
or plans, drawings, specifications or related information for any building or facility which is
used for purposes requiring security measures in or around the building or facility or which
is used for the generation or transmission of power, water, fuels or communications, if
disclosure would jeopardize security of the public agency, building or facility.

      (13) The contents of appraisals or engineering or feasibility estimates or evaluations
made by or for a public agency relative to the acquisition of property, prior to the award of
formal contracts therefor.

      (14) Correspondence between a public agency and a private individual, other than cor-
respondence which is intended to give notice of an action, policy or determination relating
to any regulatory, supervisory or enforcement responsibility of the public agency or which
is widely distributed to the public by a public agency and is not specifically in response to
communications from such a private individual.

      (15) Records pertaining to employer-employee negotiations, if disclosure would reveal
information discussed in a lawful executive session under K.S.A. 75-4319, and amendments
thereto.

      (16) Software programs for electronic data processing and documentation thereof, but
each public agency shall maintain a register, open to the public, that describes:

      (A) The information which the agency maintains on computer facilities; and

      (B) the form in which the information can be made available using existing computer
programs.

      (17) Applications, financial statements and other information submitted in connection
with applications for student financial assistance where financial need is a consideration for
the award.

      (18) Plans, designs, drawings or specifications which are prepared by a person other
than an employee of a public agency or records which are the property of a private person.

      (19) Well samples, logs or surveys which the state corporation commission requires to
be filed by persons who have drilled or caused to be drilled, or are drilling or causing to be
drilled, holes for the purpose of discovery or production of oil or gas, to the extent that
disclosure is limited by rules and regulations of the state corporation commission.

      (20) Notes, preliminary drafts, research data in the process of analysis, unfunded grant
proposals, memoranda, recommendations or other records in which opinions are expressed
or policies or actions are proposed, except that this exemption shall not apply when such
records are publicly cited or identified in an open meeting or in an agenda of an open
meeting.

      (21) Records of a public agency having legislative powers, which records pertain to
proposed legislation or amendments to proposed legislation, except that this exemption shall
not apply when such records are:

      (A) Publicly cited or identified in an open meeting or in an agenda of an open meeting;
or

      (B) distributed to a majority of a quorum of any body which has authority to take action
or make recommendations to the public agency with regard to the matters to which such
records pertain.

      (22) Records of a public agency having legislative powers, which records pertain to
research prepared for one or more members of such agency, except that this exemption
shall not apply when such records are:

      (A) Publicly cited or identified in an open meeting or in an agenda of an open meeting;
or

      (B) distributed to a majority of a quorum of any body which has authority to take action
or make recommendations to the public agency with regard to the matters to which such
records pertain.

      (23) Library patron and circulation records which pertain to identifiable individuals.

      (24) Records which are compiled for census or research purposes and which pertain to
identifiable individuals.

      (25) Records which represent and constitute the work product of an attorney.

      (26) Records of a utility or other public service pertaining to individually identifiable
residential customers of the utility or service, except that information concerning billings
for specific individual customers named by the requester shall be subject to disclosure as
provided by this act.

      (27) Specifications for competitive bidding, until the specifications are officially ap-
proved by the public agency.

      (28) Sealed bids and related documents, until a bid is accepted or all bids rejected.

      (29) Correctional records pertaining to an identifiable inmate or release, except that:

      (A) The name; photograph and other identifying information; sentence data; parole
eligibility date; custody or supervision level; disciplinary record; supervision violations; con-
ditions of supervision, excluding requirements pertaining to mental health or substance
abuse counseling; location of facility where incarcerated or location of parole office main-
taining supervision and address of a releasee whose crime was committed after the effective
date of this act shall be subject to disclosure to any person other than another inmate or
releasee, except that the disclosure of the location of an inmate transferred to another state
pursuant to the interstate corrections compact shall be at the discretion of the secretary of
corrections;

      (B) the ombudsman of corrections, the attorney general, law enforcement agencies,
counsel for the inmate to whom the record pertains and any county or district attorney shall
have access to correctional records to the extent otherwise permitted by law;

      (C) the information provided to the law enforcement agency pursuant to the sex of-
fender registration act, K.S.A. 22-4901, et seq., and amendments thereto, shall be subject
to disclosure to any person, except that the name, address, telephone number or any other
information which specifically and individually identifies the victim of any offender required
to register as provided by the Kansas offender registration act, K.S.A. 22-4901 et seq. and
amendments thereto, shall not be disclosed; and

      (D) records of the department of corrections regarding the financial assets of an of-
fender in the custody of the secretary of corrections shall be subject to disclosure to the
victim, or such victim's family, of the crime for which the inmate is in custody as set forth
in an order of restitution by the sentencing court.

      (30) Public records containing information of a personal nature where the public dis-
closure thereof would constitute a clearly unwarranted invasion of personal privacy.

      (31) Public records pertaining to prospective location of a business or industry where
no previous public disclosure has been made of the business' or industry's interest in locating
in, relocating within or expanding within the state. This exception shall not include those
records pertaining to application of agencies for permits or licenses necessary to do business
or to expand business operations within this state, except as otherwise provided by law.

      (32) The bidder's list of contractors who have requested bid proposals for construction
projects from any public agency, until a bid is accepted or all bids rejected.

      (33) Engineering and architectural estimates made by or for any public agency relative
to public improvements.

      (34) Financial information submitted by contractors in qualification statements to any
public agency.

      (35) Records involved in the obtaining and processing of intellectual property rights that
are expected to be, wholly or partially vested in or owned by a state educational institution,
as defined in K.S.A. 76-711, and amendments thereto, or an assignee of the institution
organized and existing for the benefit of the institution.

      (36) Any report or record which is made pursuant to K.S.A. 65-4922, 65-4923 or 65-
4924, and amendments thereto, and which is privileged pursuant to K.S.A. 65-4915 or 65-
4925, and amendments thereto.

      (37) Information which would reveal the precise location of an archeological site.

      (38) Any financial data or traffic information from a railroad company, to a public
agency, concerning the sale, lease or rehabilitation of the railroad's property in Kansas.

      (39) Risk-based capital reports, risk-based capital plans and corrective orders including
the working papers and the results of any analysis filed with the commissioner of insurance
in accordance with K.S.A. 1999 Supp. 40-2c20, and amendments thereto.

      (40) Memoranda and related materials required to be used to support the annual ac-
tuarial opinions submitted pursuant to subsection (b) of K.S.A. 40-409, and amendments
thereto.

      (41) Disclosure reports filed with the commissioner of insurance under subsection (a)
of K.S.A. 1999 Supp. 40-2,156, and amendments thereto.

      (42) All financial analysis ratios and examination synopses concerning insurance com-
panies that are submitted to the commissioner by the national association of insurance
commissioners' insurance regulatory information system.

      (43) Any records the disclosure of which is restricted or prohibited by a tribal-state
gaming compact.

      (44) Market research, market plans, business plans and the terms and conditions of
managed care or other third party contracts, developed or entered into by the university of
Kansas medical center in the operation and management of the university hospital which
the chancellor of the university of Kansas or the chancellor's designee determines would
give an unfair advantage to competitors of the university of Kansas medical center.

      (45) The amount of franchise tax paid to the secretary of state by domestic corporations,
foreign corporations, domestic limited liability companies, foreign limited liability compa-
nies, domestic limited partnership, foreign limited partnership, domestic limited liability
partnerships and foreign limited liability partnerships.

      (b) Except to the extent disclosure is otherwise required by law or as appropriate during
the course of an administrative proceeding or on appeal from agency action, a public agency
or officer shall not disclose financial information of a taxpayer which may be required or
requested by a county appraiser or the director of property valuation to assist in the deter-
mination of the value of the taxpayer's property for ad valorem taxation purposes; or any
financial information of a personal nature required or requested by a public agency or
officer, including a name, job description or title revealing the salary or other compensation
of officers, employees or applicants for employment with a firm, corporation or agency,
except a public agency. Nothing contained herein shall be construed to prohibit the publi-
cation of statistics, so classified as to prevent identification of particular reports or returns
and the items thereof.

      (c) As used in this section, the term ''cited or identified`` shall not include a request to
an employee of a public agency that a document be prepared.

      (d) If a public record contains material which is not subject to disclosure pursuant to
this act, the public agency shall separate or delete such material and make available to the
requester that material in the public record which is subject to disclosure pursuant to this
act. If a public record is not subject to disclosure because it pertains to an identifiable
individual, the public agency shall delete the identifying portions of the record and make
available to the requester any remaining portions which are subject to disclosure pursuant
to this act, unless the request is for a record pertaining to a specific individual or to such a
limited group of individuals that the individuals' identities are reasonably ascertainable, the
public agency shall not be required to disclose those portions of the record which pertain
to such individual or individuals.

      (e) The provisions of this section shall not be construed to exempt from public disclosure
statistical information not descriptive of any identifiable person.

      (f) Notwithstanding the provisions of subsection (a), any public record which has been
in existence more than 70 years shall be open for inspection by any person unless disclosure
of the record is specifically prohibited or restricted by federal law, state statute or rule of
the Kansas supreme court or by a policy adopted pursuant to K.S.A. 72-6214, and amend-
ments thereto.

      Sec.  6. On and after January 1, 2001, K.S.A. 1999 Supp. 56-1a-606 is hereby amended
to read as follows: 56-1a-606. (a) Every limited partnership organized under the laws of this
state shall make an annual report in writing to the secretary of state, stating the prescribed
information concerning the limited partnership at the close of business on the last day of
its tax period next preceding the date of filing. If the limited partnership's tax period is other
than the calendar year, it shall give notice of its different tax period to the secretary of state
prior to December 31 of the year it commences the different tax period. The annual report
shall be filed at the time prescribed by law for filing the limited partnership's annual Kansas
income tax return. If the limited partnership applies for an extension of time for filing its
annual income tax return under the internal revenue code or under K.S.A. 79-3221 and
amendments thereto, the limited partnership shall also apply, not more than 90 days after
the due date of its annual report, to the secretary of state for an extension of the time for
filing its report and an extension shall be granted for a period of time corresponding to that
granted under the internal revenue code or K.S.A. 79-3221 and amendments thereto. The
application shall include a copy of the application to income tax authorities.

      (b) The annual report shall be made on a form prescribed by the secretary of state. The
report shall contain the following information:

      (1) The name of the limited partnership; and

      (2) a reconciliation of the partners' capital accounts for the preceding taxable year as
required to be reported on the federal partnership return of income; and

      (3) a list of the partners owning at least 5% of the capital of the partnership, with the
post office address of each.

      (c) Every limited partnership subject to the provisions of this section which is a limited
corporate partnership, as defined in K.S.A. 17-5903 and amendments thereto, and which
holds agricultural land, as defined in K.S.A. 17-5903 and amendments thereto, within this
state shall show the following additional information on the report:

      (1) The number of acres and location, listed by section, range, township and county of
each lot, tract or parcel of agricultural land in this state owned or leased by the limited
partnership; and

      (2) whether any of the agricultural land held and reported under subsection (c)(1) was
acquired after July 1, 1981.

      (d) The annual report shall be signed by the general partner or partners of the limited
partnership, sworn to before an officer duly authorized to administer oaths and forwarded
to the secretary of state. At the time of filing the report, the limited partnership shall pay
to the secretary of state an annual franchise tax in an amount equal to $1 for each $1,000
of the partners' net capital accounts located in or used in this state at the end of the preceding
taxable year as required to be reported on the federal partnership return of income, except
that no annual tax shall be less than $20 or more than $2,500. The amount of any such
franchise tax paid by the limited partnership to the secretary as provided by this subsection
shall not be disclosed by the secretary.

      (e) The provisions of K.S.A. 17-7509 and amendments thereto, relating to penalties for
failure of a corporation to file an annual report or pay the required franchise tax, and the
provisions of subsection (a) of K.S.A. 17-7510 and amendments thereto, relating to forfeiture
of a domestic corporation's articles of incorporation for failure to file an annual report or
pay the required franchise tax, shall be applicable to the certificate of partnership of any
limited partnership which fails to file its annual report or pay the franchise tax within 90
days of the time prescribed in this section for filing and paying the same. Whenever the
certificate of partnership of a limited partnership is forfeited for failure to file an annual
report or to pay the required franchise tax, the limited partnership may be reinstated by
filing a certificate of reinstatement, in the manner and form to be prescribed by the secretary
of state and paying to the secretary of state all fees and taxes, including any penalties thereon,
due to the state. The fee for filing a certificate of reinstatement shall be the same as that
prescribed by K.S.A. 17-7506 and amendments thereto for filing a certificate of extension,
restoration, renewal or revival of a corporation's articles of incorporation.

      Sec.  7. On and after January 1, 2001, K.S.A. 1999 Supp. 56-1a-607 is hereby amended
to read as follows: 56-1a-607. (a) Every foreign limited partnership shall make an annual
report in writing to the secretary of state, stating the prescribed information concerning the
limited partnership at the close of business on the last day of its tax period next preceding
the date of filing. If the limited partnership's tax period is other than the calendar year, it
shall give notice of its different tax period to the secretary of state prior to December 31 of
the year it commences the different tax period. The annual report shall be filed at the time
prescribed by law for filing the limited partnership's annual Kansas income tax return. If
the limited partnership applies for an extension of time for filing its annual income tax return
under the internal revenue code or under K.S.A. 79-3221 and amendments thereto, the
limited partnership shall also apply, not more than 90 days after the due date of its annual
report, to the secretary of state for an extension of the time for filing its report and an
extension shall be granted for a period of time corresponding to that granted under the
internal revenue code or K.S.A. 79-3221 and amendments thereto. The application shall
include a copy of the application to income tax authorities.

      (b) The annual report shall be made on a form prescribed by the secretary of state. The
report shall contain the following information:

      (1) The name of the limited partnership; and

      (2) a reconciliation of the partners' capital accounts for the preceding taxable year as
required to be reported on the federal partnership return of income.

      (c) Every foreign limited partnership subject to the provisions of this section which is
a limited corporate partnership, as defined in K.S.A. 17-5903 and amendments thereto, and
which holds agricultural land, as defined in K.S.A. 17-5903 and amendments thereto, within
this state shall show the following additional information on the report:

      (1) The number of acres and location, listed by section, range, township and county of
agricultural land in this state owned or leased by the limited partnership; and

      (2) whether any of the agricultural land held and reported under subsection (c)(1) was
acquired after July 1, 1981.

      (d) The annual report shall be signed by the general partner or partners of the limited
partnership, sworn to before an officer duly authorized to administer oaths and forwarded
to the secretary of state. At the time of filing the report, the foreign limited partnership
shall pay to the secretary of state an annual franchise tax in an amount equal to $1 for each
$1,000 of the partners' net capital accounts located in or used in this state at the end of the
preceding taxable year as required to be reported on the federal partnership return of
income, except that no annual tax shall be less than $20 or more than $2,500. The amount
of any such franchise tax paid by the limited partnership to the secretary as provided by
this subsection shall not be disclosed by the secretary.

      (e) The provisions of K.S.A. 17-7509 and amendments thereto, relating to penalties for
failure of a corporation to file an annual report or pay the required franchise tax, and the
provisions of subsection (b) of K.S.A. 17-7510 and amendments thereto, relating to forfeiture
of a foreign corporation's authority to do business in this state for failure to file an annual
report or pay the required franchise tax, shall be applicable to the authority of any foreign
limited partnership which fails to file its annual report or pay the franchise tax within 90
days of the time prescribed in this section for filing and paying the same. Whenever the
authority of a foreign limited partnership to do business in this state is forfeited for failure
to file an annual report or to pay the required franchise tax, the foreign limited partnership's
authority to do business in this state may be reinstated by filing a certificate of reinstatement,
in the manner and form to be prescribed by the secretary of state and paying to the secretary
of state all fees and taxes, including any penalties thereon, due to the state. The fee for filing
a certificate of reinstatement shall be the same as that prescribed by K.S.A. 17-7506 and
amendments thereto for filing a certificate of extension, restoration, renewal or revival of a
corporation's articles of incorporation.

      Sec.  8. On and after January 1, 2001, K.S.A. 1999 Supp. 56a-1201 is hereby amended
to read as follows: 56a-1201. (a) Every limited liability partnership organized under the laws
of this state shall make an annual report in writing to the secretary of state, stating the
prescribed information concerning the limited liability partnership at the close of business
on the last day of its tax period next preceding the date of filing. If the limited liability
partnership's tax period is other than the calendar year, it shall give notice of its different
tax period in writing to the secretary of state prior to December 31 of the year it commences
the different tax period. The annual report shall be filed at the time prescribed by law for
filing the limited liability partnership's annual Kansas income tax return. If the limited
liability partnership applies for an extension of time for filing its annual income tax return
under the internal revenue code, the limited liability partnership shall also apply, not more
than 90 days after the due date of its annual report, to the secretary of state for an extension
of the time for filing its report and an extension shall be granted for a period of time
corresponding to that granted under the internal revenue code. The application shall include
a copy of the application to income tax authorities.

      (b) The annual report shall be made on a form prescribed by the secretary of state. The
report shall contain the following information:

      (1) The name of the limited liability partnership; and

      (2) a reconciliation of the capital accounts for the preceding taxable year as required to
be reported on the federal partnership return of income; and

      (3) a list of the partners owning at least 5% of the capital of the partnership, with the
post office address of each.

      (c) The annual report shall be signed by a partner of the limited liability partnership
and forwarded to the secretary of state. At the time of filing the report, the limited liability
partnership shall pay to the secretary of state an annual franchise tax in an amount equal to
$1 for each $1,000 of the net capital accounts located in or used in this state at the end of
the preceding taxable year as required to be reported on the federal partnership return of
income, except that no annual tax shall be less than $20 or more than $2,500. The amount
of any such franchise tax paid by the limited liability partnership to the secretary as provided
by this subsection shall not be disclosed by the secretary.

      (d) The provisions of K.S.A. 17-7509, and amendments thereto, relating to penalties for
failure of a corporation to file an annual report or pay the required franchise tax, and the
provisions of subsection (a) of K.S.A. 17-7510 and amendments thereto, relating to penalties
for failure of a corporation to file an annual report or pay the required franchise tax, shall
be applicable to the statement of qualification of any limited liability partnership which fails
to file its annual report or pay the franchise tax within 90 days of the time prescribed in this
section for filing and paying the same. Whenever the statement of qualification of a limited
liability partnership is forfeited for failure to file an annual report or to pay the required
franchise tax, the limited liability partnership may be reinstated by filing a certificate of
reinstatement, in the manner and form to be prescribed by the secretary of state and paying
to the secretary of state all fees and taxes, including any penalties thereon, due to the state.
The fee for filing a certificate of reinstatement shall be the same as that prescribed by K.S.A.
17-7506, and amendments thereto, for filing a certificate of extension, restoration, renewal
or revival of a corporation's articles of incorporation.

      Sec.  9. On and after January 1, 2001, K.S.A. 1999 Supp. 56a-1202 is hereby amended
to read as follows: 56a-1202. (a) Every foreign limited liability partnership shall make an
annual report in writing to the secretary of state, stating the prescribed information con-
cerning the foreign limited liability partnership at the close of business on the last day of its
tax period next preceding the date of filing. If the foreign limited liability partnership's tax
period is other than the calendar year, it shall give notice in writing of its different tax period
to the secretary of state prior to December 31 of the year it commences the different tax
period. The annual report shall be filed at the time prescribed by law for filing the foreign
limited liability partnership's annual Kansas income tax return. If the foreign limited liability
partnership applies for an extension of time for filing its annual income tax return under
the internal revenue code, the foreign limited liability partnership shall also apply, not more
than 90 days after the due date of its annual report, to the secretary of state for an extension
of the time for filing its report and an extension shall be granted for a period of time
corresponding to that granted under the internal revenue code. The application shall include
a copy of the application to income tax authorities.

      (b) The annual report shall be made on a form prescribed by the secretary of state. The
report shall contain the following information:

      (1) The name of the foreign limited liability partnership; and

      (2) a reconciliation of the capital accounts for the preceding taxable year as required to
be reported on the federal partnership return of income.

      (c) The annual report shall be signed by a partner of the foreign limited liability part-
nership and forwarded to the secretary of state. At the time of filing the report, the foreign
limited liability partnership shall pay to the secretary of state an annual franchise tax in an
amount equal to $1 for each $1,000 of the net capital accounts located in or used in this
state at the end of the preceding taxable year as required to be reported on the federal
partnership return of income, except that no annual tax shall be less than $20 or more than
$2,500. The amount of any such franchise tax paid by the foreign limited liability partnership
to the secretary as provided by this subsection shall not be disclosed by the secretary.

      (d) The provisions of K.S.A. 17-7509, and amendments thereto, relating to penalties for
failure of a corporation to file an annual report or pay the required franchise tax, and the
provisions of subsection (a) of K.S.A. 17-7510, and amendments thereto, relating to penalties
for failure of a corporation to file an annual report or pay the required franchise tax, shall
be applicable to the statement of foreign qualification of any foreign limited liability part-
nership which fails to file its annual report or pay the franchise tax within 90 days of the
time prescribed in this section for filing and paying the same. Whenever the statement of
foreign qualification of a foreign limited liability partnership is forfeited for failure to file
an annual report or to pay the required franchise tax, the statement of foreign qualification
of the foreign limited liability partnership may be reinstated by filing a certificate of rein-
statement, in the manner and form to be prescribed by the secretary of state and paying to
the secretary of state all fees and taxes, including any penalties thereon, due to the state.
The fee for filing a certificate of reinstatement shall be the same as that prescribed by K.S.A.
17-7506, and amendments thereto, for filing a certificate of extension, restoration, renewal
or revival of a corporation's articles of incorporation.'';

      And by renumbering sections 2 and 3 as sections 10 and 11;

      On page 4, after line 43, by inserting the following:

      ``Sec.  12. On and after January 1, 2001, K.S.A. 1999 Supp. 17-7503, 17-7505, 17-76,139,
45-221, 56-1a-606, 56-1a-607, 56a-1201 and 56a-1202 are hereby repealed.'';

      And by renumbering section 4 as section 13;

      On page 1, in the title, in line 14, by striking ``service of process;''; in line 15, before
``amending'' by inserting ``service of process; annual reports; annual franchise tax;''; in line
16, after ``Supp.'' by inserting ``17-7503, 17-7505,''; also in line 16, after ``17-7667'' by in-
serting ``, 17-76,139, 45-221, 56-1a-606, 56-1a-607, 56a-1201 and 56a-1202'';

                                                                                    \ And your committee on conference recommends the adoption of this report.

                                                                                   

                                                                                    Michael R. O'Neal

                                                                                    Tim Carmody
 Conferees on the part of House
                                                                                   

                                                                                    Tim Emert

                                                                                    John Vratil

                                                                                    Greta Goodwin
 Conferees on part of Senate


   On motion of Rep. O'Neal, the conference committee report on SB 483 was adopted.

 On roll call, the vote was: Yeas 71; Nays 54; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Allen, Aurand, Ballou, Beggs, Benlon, Bethell, Boston, Campbell,
Carmody, Compton, Cox, Dahl, Dreher, Edmonds, Empson, Farmer, Flower, Freeborn,
Geringer, Glasscock, Gregory, Hayzlett, Hermes, Holmes, Horst, Huff, Humerickhouse,
Hutchins, Jenkins, Jennison, Johnson, Phil Kline, Phill Kline, Krehbiel, Landwehr, Lane,
Light, Lightner, Lloyd, P. Long, Loyd, Mason, Mays, McCreary, Merrick, Minor, Jim Mor-
rison, Myers, Neufeld, O'Connor, O'Neal, Osborne, Palmer, J. Peterson, Pottorff, Powell,
Powers, Ray, Schwartz, Shultz, Sloan, Stone, Tanner, Tomlinson, Vickrey, Vining, Wagle,
Weber, Wilk.

 Nays: Alldritt, Ballard, Barnes, Burroughs, Crow, Dean, Faber, Feuerborn, Findley, Fla-
harty, Flora, Garner, Gatewood, Gilbert, Grant, Haley, Helgerson, Henderson, Henry,
Howell, Johnston, Kirk, Klein, Kuether, Larkin, M. Long, Mayans, McClure, McKechnie,
McKinney, Mollenkamp, Judy Morrison, Nichols, O'Brien, Pauls, E. Peterson, Phelps, Rear-
don, Rehorn, Reinhardt, Ruff, Sharp, Showalter, Shriver, Spangler, Storm, Swenson, Ted-
der, Thimesch, Toelkes, Toplikar, Weiland, Wells, Welshimer.

 Present but not voting: None.

 Absent or not voting: None.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to HB 2905, submits the following report:

      The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with Senate Committee of the Whole
amendments, as follows:

      On page 5, in line 16, by striking ``for interest''; in line 20, by striking all following ``(4)'';
by striking all in line 21; in line 22, by striking ``parties'' and inserting ``not certified as a
certified shorthand reporter by the Kansas supreme court'';

      On page 12, in line 9, by striking ``5'' and inserting ``6''; in line 15, by striking ``, such''
and inserting ``. Such''; in line 16, by striking ``to'' and inserting ``shall''; in line 22, preceding
``K.S.A.'' by inserting ``On the date of the issuance by the Kansas supreme court of an opinion
in the case of Owen Lumber Company vs. Chartrand, case no. 82,228, which affirms the
decision of the Kansas court of appeals or on the date the Kansas supreme court denies the
petition for review,'';

      On page 13, in line 23, by striking ``personally''; following line 37, by inserting the follow-
ing:

      ``Sec.  8. K.S.A. 1999 Supp. 60-2610 is hereby amended to read as follows: 60-2610. (a)
If a person gives a worthless check, as defined by subsection (g), the person shall be liable
to the holder of the check for the amount of the check, the incurred court costs, the costs
of restricted mail and the service charge and the costs of collection, including but not limited
to reasonable attorney fees, plus an amount equal to the greater of the following:

      (1) Damages equal to three times the amount of the check but not exceeding the amount
of the check by more than $500; or

      (2) $100.

      The court may waive all or part of the attorney fees provided for by this subsection, if
the court finds that the damages and other amounts awarded are sufficient to adequately
compensate the holder of the check. In the event the court waives all or part of the attorney
fees, the court shall make written findings of fact as to the specific reasons that the amounts
awarded are sufficient to adequately compensate the holder of the check.

      (b) The amounts specified by subsection (a) shall be recoverable in a civil action brought
by or on behalf of the holder of the check only if: (1) Not less than 14 days before filing the
civil action, the holder of the check made written demand on the maker or drawer for
payment of the amount of the check, and the incurred service charge and the costs of
restricted mail; and (2) the maker or drawer failed to tender to the holder, prior to the filing
of the action, an amount not less than the amount demanded. The written demand shall be
sent by restricted mail, as defined by subsection (g), to the person to be given notice at such
person's address as it appears on such check, draft or order or to the last known address of
the maker or drawer and shall include notice that, if the money is not paid within 14 days,
triple damages in addition to an amount of money equal to the sum of the amount of the
check, the incurred court costs, service charge, costs of restricted mail and the costs of
collection including but not limited to reasonable attorney fees unless the court otherwise
orders, may be incurred by the maker or drawer of the check. Notice required by subsection
(b)(1) shall state the exact amount and date due, as well as an estimate of the amount that
may be incurred if the amount demanded is not paid by the specified date.

      (c) Subsequent to the filing of an action under this section but prior to the hearing of
commencement of a dispositional hearing by the court, the defendant may tender to the
plaintiff as satisfaction of the claim, an amount of money equal to the sum of the amount
of the check, the incurred court costs, service charge, costs of restricted mail and the costs
of collection, including but not limited to reasonable attorney fees. The plaintiff shall include
in the petition a statement alleging that the defendant may tender such amount as satisfaction
of the claim as provided in this subsection. If the amount alleged in the petition is tendered
to the plaintiff in full satisfaction of the debt prior to the commencement of the dispositional
hearing by the court, the case shall be dismissed by the plaintiff. For purposes of this sub-
section only, the amount tendered as satisfaction of the claim shall not include triple damages
or damages of $100 as provided in subsections (a)(1) and (2). For purposes of this subsection,
a dispositional hearing means a trial or other hearing by the court in which the plaintiff is
seeking the entry of judgment against the defendant. The court may waive all or part of the
attorney fees provided for by this subsection, if the court finds that the damages and other
amounts awarded are sufficient to adequately compensate the holder of the check. In the
event the court waives all or part of the attorney fees, the court shall make written findings
of fact as to the specific reasons that the amounts awarded are sufficient to adequately
compensate the holder of the check.

      (d) If the trier of fact determines that the failure of the defendant to satisfy the dishon-
ored check was due to economic hardship, the court may waive all or part of the damages
provided for by this section, but the court shall render judgment against defendant for not
less than the amount of the dishonored check, the incurred court costs, service charge, costs
of restricted mail and the costs of collection, including but not limited to reasonable attorney
fees, unless otherwise provided in this subsection. The court may waive all or part of the
attorney fees provided for by this subsection, if the court finds that the damages and other
amounts awarded are sufficient to adequately compensate the holder of the check. In the
event the court waives all or part of the attorney fees, the court shall make written findings
of fact as to the specific reasons that the amounts awarded are sufficient to adequately
compensate the holder of the check.

      (e) Any amount previously paid as restitution or reparations to the holder of the check
by its maker or drawer shall be credited against the amount for which the maker or drawer
is liable under subsection (a).

      (f) Conviction of giving a worthless check or habitually giving a worthless check, as
defined by K.S.A. 21-3707 and 21-3708 and amendments thereto, shall not be a prerequisite
or bar to recovery pursuant to this section.

      (g) As used in this section:

      (1) ``Giving a worthless check'' means the making, drawing, issuing or delivering or
causing or directing the making, drawing, issuing or delivering of any check, order or draft
on any bank, credit union, savings and loan association or depository for the payment of
money or its equivalent:

      (A) With intent to defraud or in payment for a preexisting debt; and

      (B) which is dishonored by the drawee because the maker or drawer had no deposits
in or credits with the drawee or has not sufficient funds in, or credits with, the drawee for
the payment of such check, order or draft in full upon its presentation.

      (2) ``Restricted mail'' means mail which carries on its face the endorsements ``restricted
mail'' and ``deliver to addressee only.''

      (3) ``Service charge'' means $10, or subject to limitations contained in this subsection,
if a larger amount is posted conspicuously, the larger amount. In no event shall the amount
of such insufficient check service charge exceed $30.'';

      By renumbering sections accordingly;

      On page 17, following line 11, by inserting the following:

      ``Sec.  11. On the date of the issuance by the Kansas supreme court of an opinion in the
case of Owen Lumber Company vs. Chartrand, case no. 82,228, which affirms the decision
of the Kansas court of appeals or on the date the Kansas supreme court denies the petition
for review, K.S.A. 60-1103 is hereby repealed.'';

      By renumbering sections accordingly;

      Also on page 17, in line 13, by striking all following ``Supp.'' and inserting ``60-228, 60-
312 and 60-2610 are hereby''; in line 16, by striking ``Kansas register'' and inserting ``statute
book'';

      In the title, in line 15, by striking ``relating to civil procedure; relating to;''; in line 16,
preceding ``amending'' by inserting ``service of process; worthless checks;''; in line 18, by
striking all following ``Supp.'' and inserting ``60-228, 60-312 and 60-2610 and repealing the
existing sections.'';

                                                                                     And your committee on conference recommends the adoption of this report.

                                                                                    Tim Emert

                                                                                    John Vratil

                                                                                    Greta Goodwin
 Conferees on the part of Senate
                                                                                   

                                                                                    Michael R. O'Neal

                                                                                    Tim Carmody

                                                                                    Janice L. Pauls
 Conferees on part of House


   On motion of Rep. O'Neal, the conference committee report on HB 2905 was adopted.

 On roll call, the vote was: Yeas 125; Nays 0; Present but not voting: 0; Absent or not
voting: 0.

 Yeas: Aday, Adkins, Alldritt, Allen, Aurand, Ballard, Ballou, Barnes, Beggs, Benlon, Be-
thell, Boston, Burroughs, Campbell, Carmody, Compton, Cox, Crow, Dahl, Dean, Dreher,
Edmonds, Empson, Faber, Farmer, Feuerborn, Findley, Flaharty, Flora, Flower, Freeborn,
Garner, Gatewood, Geringer, Gilbert, Glasscock, Grant, Gregory, Haley, Hayzlett, Helger-
son, Henderson, Henry, Hermes, Holmes, Horst, Howell, Huff, Humerickhouse, Hutchins,
Jenkins, Jennison, Johnson, Johnston, Kirk, Klein, Phil Kline, Phill Kline, Krehbiel, Kuether,
Landwehr, Lane, Larkin, Light, Lightner, Lloyd, M. Long, P. Long, Loyd, Mason, Mayans,
Mays, McClure, McCreary, McKechnie, McKinney, Merrick, Minor, Mollenkamp, Jim
Morrison, Judy Morrison, Myers, Neufeld, Nichols, O'Brien, O'Connor, O'Neal, Osborne,
Palmer, Pauls, E. Peterson, J. Peterson, Phelps, Pottorff, Powell, Powers, Ray, Reardon,
Rehorn, Reinhardt, Ruff, Schwartz, Sharp, Showalter, Shriver, Shultz, Sloan, Spangler,
Stone, Storm, Swenson, Tanner, Tedder, Thimesch, Toelkes, Tomlinson, Toplikar, Vickrey,
Vining, Wagle, Weber, Weiland, Wells, Welshimer, Wilk.

 Nays: None.

 Present but not voting: None.

 Absent or not voting: None.

MESSAGE FROM THE SENATE
 The Senate adopts conference committee report on H. Sub. for SB 40.

 The Senate adopts conference committee report on SB 471.

 The Senate adopts conference committee report on S. Sub. for HB 2513.












INTRODUCTION OF ORIGINAL MOTIONS

 Pursuant to Joint Rule 3 (f), Rep. Adkins moved that the rules be suspended and that no
copies be printed for distribution of the conference committee report on S. Sub. for HB
2513. The motion prevailed.

CONFERENCE COMMITTEE REPORT
 Mr. President and Mr. Speaker: Your committee on conference on Senate amend-
ments to SENATE Substitute for HB 2513, submits the following report:

 The House accedes to all Senate amendments to the bill, and your committee on con-
ference further agrees to amend the bill, as printed with Senate Committee of the Whole
amendments, as follows:

 By striking all after the enacting clause and inserting in lieu thereof the following material
to read as follows:

 ``Section 1. (a) For the fiscal years ending June 30, 2000, June 30, 2001, and June 30,
2002, appropriations are hereby made, restrictions and limitations are hereby imposed, and
transfers, fees, receipts, disbursements, and acts incidental to the foregoing are hereby
directed or authorized as provided in this act.

 (b) The agencies named in this act are hereby authorized to initiate and complete the
capital improvement projects specified and authorized by this act or for which appropriations
are made by this act, subject to the restrictions and limitations imposed by this act.

 (c) This act shall be known and may be cited as the omnibus appropriation act of 2000
and shall constitute the omnibus reconciliation spending limit bill for the 2000 regular
session of the legislature for purposes of subsection (a) of K.S.A. 75-6702 and amendments
thereto.

 (d) The appropriations made by this act shall not be subject to the provisions of K.S.A.
46-155 and amendments thereto.

 Sec. 2.

STATE TREASURER
 (a) There is hereby appropriated from the state general fund for the fiscal year or years
specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2000$10,000
Postsecondary education savings program
For the fiscal year ending June 30, 2001
$133
 (b) On July 1, 2000, of the $1,728,882 appropriated for the above agency for the fiscal
year ending June 30, 2001, by section 9 (a) of 2000 House Substitute for Senate Bill No.
326 from the state general fund in the operating expenditures account, the sum of $295,692
is hereby lapsed.

 (c) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Postsecondary education savings program expense fund

For the fiscal year ending June 30, 2001No limit
 Sec. 3.

DEPARTMENT OF ADMINISTRATION
 (a) There is hereby appropriated from the state general fund for the fiscal year or years
specified, the following:

Budget analysis

For the fiscal year ending June 30, 2001$9,040
Long-term care ombudsman

For the fiscal year ending June 30, 2001$1,071
Performance review board

For the fiscal year ending June 30, 2001$1,798
 (b) On July 1, 2000, of the $16,836,819 appropriated for the above agency for the fiscal
year ending June 30, 2001 by section 20 (a) of 2000 House Substitute for Senate Bill No.
326 from the state general fund in the department of administration operations account,
the sum of $77,371 is hereby lapsed.

 (c) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures shall not exceed the follow-
ing:

Capitol restoration project revenue fund

For the fiscal year ending June 30, 2001No limit
Provided, That the department of administration may make expenditures from the capitol
restoration project revenue fund for the capital improvement project to construct, equip,
furnish, renovate, reconstruct, and repair the state capitol: Provided, however, That ex-
penditures from this fund for such capital improvement project shall not exceed
$40,000,000, plus all amounts required for costs of bond issuance, costs of interest on the
bonds issued for such capital improvement project during the construction of the project
and any required reserves for the payment of principal and interest on the bonds: Provided
further, That such capital improvement project is hereby approved for the department of
administration for the purposes of subsection (b) of K.S.A. 74-8905 and amendments thereto
and the authorization of the issuance of bonds by the Kansas development finance authority
in accordance with that statute: And provided further, That all moneys received from the
issuance of any such bonds shall be deposited in the state treasury to the credit of this fund.

Public broadcasting digital television fund

For the fiscal year ending June 30, 2001No limit
Provided, That the department of administration may make expenditures from the public
broadcasting digital television fund for capital improvement projects and equipment acqui-
sition for the conversion of public television stations to digital broadcasting: Provided, how-
ever, That expenditures from this fund for such capital improvement projects and equipment
acquisition shall not exceed $6,000,000, plus all amounts required for costs of bond issuance,
costs of interest on the bonds issued for such capital improvement projects and equipment
acquisition during the construction of such projects and acquisitions and any required re-
serves for the payment of principal and interest on the bonds: Provided further, That such
capital improvement projects and equipment acquisition are hereby approved for the de-
partment of administration for the purposes of subsection (b) of K.S.A. 74-8905 and amend-
ments thereto and the authorization of the issuance of bonds by the Kansas development
finance authority in accordance with that statute: And provided further, That all moneys
received from the issuance of any such bonds shall be deposited in the state treasury to the
credit of this fund: And provided further, That all expenditures from this fund shall be used
to match federal funding for capital improvement projects and equipment acquisition for
the conversion of public television stations to digital broadcasting.

Municipal accounting and training services recovery fundNo limit
Provided, That expenditures may be made from the municipal accounting and training
services recovery fund to provide general ledger, payroll reporting, utilities billing, data
processing, and accounting services to municipalities and to provide training programs con-
ducted for municipal government personnel, including official hospitality: Provided further,
That the director of accounts and reports is hereby authorized to fix, charge and collect fees
for such services and programs: And provided further, That such fees shall be fixed to cover
all or part of the operating expenditures incurred in providing such services and programs,
including official hospitality: And provided further, That all fees received for such services
and programs, including official hospitality, shall be credited to this fund.

Closure health insurance fund

For the fiscal year ending June 30, 2001No limit
Closure term life insurance fund

For the fiscal year ending June 30, 2001No limit
 (d) On July 15, 2000, the director of accounts and reports shall transfer $50,000 from the
state emergency fund to the state general fund.

 (e) On the effective date of this act, the expenditure limitation established by section
42(b) of chapter 132 of the 1999 Session Laws of Kansas on the motor pool service fund is
hereby increased from $ 2,570,075 to $2,994,357.

 (f) On July 1, 2000, the expenditure limitation established by section 20(b) of 2000 House
Substitute for Senate Bill No. 326 on the architectural services recovery fund is hereby
increased from $1,691,096 to $1,694,540.

 (g) In addition to the other purposes for which expenditures may be made by the de-
partment of administration from the state buildings operating fund for fiscal year 2001 as
authorized by section 20(b) of 2000 House Substitute for Senate Bill No. 326, expenditures
may be made by the above agency from the state buildings operating fund for fiscal year
2001 for relocation of blind services and the Kansas industries for the blind: Provided,
however, That such expenditures shall not be made except upon approval of the state finance
council acting on this matter which is hereby characterized as a matter of legislative dele-
gation and subject to the guidelines prescribed by subsection (c) of K.S.A. 75-3711c and
amendments thereto.

 (h) On July 1, 2000, the position limitation established by section 69(a) of 2000 House
Substitute for Senate Bill No. 326 for the department of administration is hereby decreased
from 884.4 to 874.4.

 (i) The director of accounts and reports shall not make the transfer of all moneys in the
municipal accounting and training services recovery fund to the accounting services recovery
fund which was directed to be made on July 1, 2000, by section 20(k) of 2000 House
Substitute for Senate Bill No. 326. The liabilities of the municipal accounting and training
services recovery fund shall not be transferred to and imposed upon the accounting services
recovery fund on July 1, 2000, by section 20(k) of 2000 House Substitute for Senate Bill
No. 326. The municipal accounting and training services recovery fund are hereby specifi-
cally continued in existence on and after July 1, 2000, and shall not be abolished by section
20(k) of 2000 House Substitute for Senate Bill No. 326.

 (j) On July 1, 2000, the director of accounts and reports shall transfer $3,552,000 from
the state general fund to the flexible spending fund.

 (k) The director of accounts and reports shall not make the transfer of all moneys in the
closure health insurance fund and the closure term life insurance fund to the state general
fund which was directed to be made on July 1, 2000, by section (20)(l) of 2000 House
Substitute for Senate Bill No. 326. The liabilities of the closure health insurance fund and
the closure term life insurance fund shall not be transferred to and imposed upon the state
general fund on July 1, 2000, by section 20(l) of 2000 House Substitute for Senate Bill No.
326. The closure health insurance fund and the closure term life insurance fund is hereby
specifically continued in existence on and after July 1, 2000, and shall not be abolished by
section 20(l) of 2000 House Substitute for Senate Bill No. 326.

 Sec. 4.

DEPARTMENT OF REVENUE
 (a) There is hereby appropriated from the state general fund for the fiscal year or years
specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2000$50,000
For the fiscal year ending June 30, 2001$1,080,858
 (b) On July 1, 2000, the position limitation established by section 69(a) of 2000 House
Substitute for Senate Bill No. 326 for the department of revenue is hereby increased from
1,157.0 to 1,162.0.

 (c) On the July 1, 2000, the expenditure limitation established by section 22(b) of 2000
House Substitute for Senate Bill No. 326 on the division of vehicles operating fund is hereby
increased from $30,544,804 to $30,613,887.

 Sec. 5.

STATE BOARD OF REGENTS
 (a) There is hereby appropriated from the state general fund for the fiscal year or years
specified, the following:

Operating expenditures (including official hospitality)

For the fiscal year ending June 30, 2001$150
 (b) On July 1, 2000, the expenditure limitation established by section 50(b) of 2000 House
Substitute for Senate Bill No. 326 on the economic development initiatives fund is hereby
increased from $9,566,110 to $10,066,110.

 (c) On July 1, 2000, the expenditure limitation established by section 50(c) of 2000 House
Substitute for Senate Bill No. 326 on the vocational education capital outlay aid account of
the economic development initiatives fund is hereby increased from $2,200,000 to
$2,700,000.

 (d) On July 15, 2000, or as soon thereafter as moneys are available, the director of accounts
and reports shall transfer $500,000 from the Kansas economic development endowment
account of the state economic development initiatives fund of the department of commerce
and housing to the economic development initiatives fund of the state board of regents.

 Sec. 6.

EMPORIA STATE UNIVERSITY
 (a) On July 1, 2000, of the $29,378,363 appropriated for the above agency for the fiscal
year ending June 30, 2001 by section 45(a) of 2000 House Substitute for Senate Bill No.
326 from the state general fund in the operating expenditures (including official hospitality)
account, the sum of $78,865 is hereby lapsed.

 (b) On the effective date of this act, of the $28,701,695 appropriated for the above agency
for the fiscal year ending June 30, 2000 by section 67(a) of chapter 132 of the 1999 Session
Laws of Kansas from the state general fund in the operating expenditures (including official
hospitality) account, the sum of $32,227 is hereby lapsed.

 (c) On July 1, 2000, the expenditure limitation established by section 45(b) of 2000 House
Substitute for Senate Bill No. 326 on the general fees fund is hereby increased from
$8,855,138 to $8,888,734.

 (d) On the effective date of this act, the expenditure limitation established by section
45(b) of 2000 Senate Bill No. 39 on the general fees fund is hereby increased from
$8,317,742 to $8,349,969.

 Sec. 7.

FORT HAYS STATE UNIVERSITY
 (a) There is hereby appropriated from the state general fund for the fiscal year or years
specified, the following:

Operating expenditures (including official hospitality)

For the fiscal year ending June 30, 2000$1,863
For the fiscal year ending June 30, 2001$3,693
 (b) On the effective date of this act, the expenditure limitation established by section
42(b) of 2000 Senate Bill No. 39 on the general fees fund is hereby decreased from
$8,239,479 to $8,237,616.

 Sec. 8.

PITTSBURG STATE UNIVERSITY
 (a) There is hereby appropriated from the state general fund for the fiscal year or years
specified, the following:

Operating expenditures (including official hospitality)

For the fiscal year ending June 30, 2000$74,765
For the fiscal year ending June 30, 2001$107,448
 (b) On the effective date of this act, the expenditure limitation established by section
47(b) of 2000 Senate Bill No. 39 on the general fees fund is hereby decreased from
$10,497,103 to $10,422,338.

 (c) On July 1, 2000, the expenditure limitation established by section 46(b) of 2000 House
Substitute for Senate Bill No. 326 on the general fees fund is hereby decreased from
$11,159,978 to $11,048,357.

 Sec. 9.

UNIVERSITY OF KANSAS MEDICAL CENTER
 (a) On July 1, 2000, of the $98,539,396 appropriated for the above agency for the fiscal
year ending June 30, 2001 by section 48(a) of 2000 House Substitute for Senate Bill No.
326 from the state general fund in the operating expenditures (including official hospitality)
account, the sum of $65,544 is hereby lapsed.

 (b) On July 1, 2000, the expenditure limitation established by section 48(b) of 2000 House
Substitute for Senate Bill No. 326 on the general fees fund is hereby increased from
$11,033,864 to $11,099,315.

 (c) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures shall not exceed the follow-
ing:

Wahl hall renovation fundNo limit
Provided, That the university of Kansas medical center may make expenditures from the
Wahl hall renovation fund for the capital improvement project to construct, equip, furnish,
renovate, reconstruct, and repair Wahl hall.

 (d) In addition to the other purposes for which expenditures may be made by the above
agency from the children's initiatives fund for fiscal year 2001, expenditures may be made
by the above agency from the children's initiatives fund for fiscal year 2001 for the following
specified purposes subject to the expenditure limitations prescribed therefor:

Children's initiatives fund--Telekid health care link$250,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--Telekid health care link account shall
be in addition to any expenditure limitation imposed on the children's initiatives fund for
fiscal year 2001.

Children's initiatives fund--pediatric biomedical research$1,000,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--pediatric biomedical research account
shall be in addition to any expenditure limitation imposed on the children's initiatives fund
for fiscal year 2001.

 Sec. 10.

KANSAS, INC.
 (a) On July 1, 2000, the expenditure limitation established by section 26(a) of 2000 House
Substitute for Senate Bill No. 326 on the EDIF fund is hereby increased from $377,137 to
$377,949.

 (b) On July 1, 2000, the expenditure limitation established by section 26(b) of 2000 House
Substitute for Senate Bill No. 326 on the operations (including official hospitality) account
of the EDIF fund is hereby increased from $377,137 to $377,949.

 (c) On July 15, 2000, or as soon thereafter as moneys are available, the director of accounts
and reports shall transfer $812 from the Kansas economic development endowment account
of the state economic development initiatives fund of the department of commerce and
housing to the EDIF fund of Kansas, Inc.

 Sec. 11.

KANSAS TECHNOLOGY ENTERPRISE CORPORATION
 (a) On July 1, 2000, the expenditure limitation established by section 27(a) of 2000 House
Substitute for Senate Bill No. 326 on the economic development research and development
fund is hereby increased from $12,523,562 to $13,088,590.

 (b) On July 1, 2000, the expenditure limitation established by section 27(b) of 2000 House
Substitute for Senate Bill No. 326 on the operations, assistance and grants (including official
hospitality) account of the economic development research and development fund is hereby
increased from $12,523,562 to $13,088,590.

 (c) On January 15, 2001, or as soon thereafter as moneys are available, the director of
accounts and reports shall transfer $315,028 from the Kansas economic development en-
dowment account of the state economic development initiatives fund of the department of
commerce and housing to the economic development research and development fund of
the Kansas technology enterprise corporation.

 Sec. 12.

DEPARTMENT OF COMMERCE AND HOUSING
 (a) On July 1, 2000, the expenditure limitation established by section 25(b) of 2000 House
Substitute for Senate Bill No. 326 on the Kansas economic development account of the
state economic development initiatives fund is hereby increased from $16,061,331 to
$16,578,179.

 (b) On July 1, 2000, the expenditure limitation established by section 25(c) of 2000 House
Substitute for Senate Bill No. 326 on the Kansas industrial training and Kansas industrial
retraining program account of the Kansas economic development endowment account of
the state economic development initiatives fund is hereby increased from $3,300,000 to
$3,600,000.

 (c) On July 1, 2000, the expenditure limitation established by section 25(c) of 2000 House
Substitute for Senate Bill No. 326 on the tourism grants account of the Kansas economic
development endowment account of the state economic development initiatives fund is
hereby increased from $852,100 to $1,052,100.

 (d) On July 1, 2000, the expenditure limitation established by section 25(c) of 2000 House
Substitute for Senate Bill No. 326 on the state operations (including official hospitality)
account of the Kansas economic development endowment account is hereby increased from
$9,167,931 to $9,184,779.

 (e) In addition to the other purposes for which expenditures may be made by the de-
partment of commerce and housing from the Kansas economic development endowment
account of the state economic development initiatives fund for fiscal year 2000, expenditures
may be made by the above agency from the Kansas economic development endowment
account of the state economic development initiatives fund for fiscal year 2000 for grants
to the Kansas sports hall of fame: Provided, That expenditures for such purpose from the
Kansas economic development endowment account of the state economic development
initiatives fund for fiscal year 2000 shall not exceed $50,000: Provided further, That all such
expenditures for such purpose shall be in addition to any expenditure limitation on the
Kansas economic development endowment account of the state economic development
initiatives fund for fiscal year 2000.

 Sec. 13.

KANSAS PUBLIC EMPLOYEES RETIREMENT SYSTEM
 (a) On the effective date of this act, the expenditure limitation established for the fiscal
year ending June 30, 2000, by section 17(a) of 2000 Senate Bill No. 39 on the agency
operations account of the Kansas public employees retirement fund is hereby increased
from $4,918,994 to $4,986,334.

 (b) On the effective date of this act, the expenditure limitation established for the fiscal
year ending June 30, 2000, by section 37(b) of chapter 132 of the 1999 Session Laws of
Kansas on the bonus awards to unclassified employees subaccount of the agency operations
account of the Kansas public employees retirement fund is hereby increased from $75,000
to $91,540.

 (c) On the effective date of this act, the expenditure limitation established for the fiscal
year ending June 30, 2000, by section 17(b) of 2000 Senate Bill No. 39 on the investment
related expenses account of the Kansas public employees retirement fund is hereby de-
creased from $26,644,408 to $26,011,735.

 (d) On the effective date of this act, the expenditure limitation established for the fiscal
year ending June 30, 2000, by section 6(b) of chapter 160 of the 1999 Session Laws of
Kansas on the technology project account of the Kansas public employees retirement fund
is hereby decreased from $2,451,255 to $100,000.

 (e) On July 1, 2000, the expenditure limitation established for the fiscal year ending June
30, 2001, by section 15(b) of 2000 House Substitute for Senate Bill No. 326 on the agency
operations account of the Kansas public employees retirement fund is hereby increased
from $5,989,105 to $6,100,616.

 (f) On July 1, 2000, the expenditure limitation established for the fiscal year ending June
30, 2001, by section 15(b) of 2000 House Substitute for Senate Bill No. 326 on the bonus
awards to unclassified employees subaccount of the agency operations account of the Kansas
public employees retirement fund is hereby increased from $75,000 to $91,540.

 (g) On July 1, 2000, the expenditure limitation established for the fiscal year ending June
30, 2001, by section 15(b) of 2000 House Substitute for Senate Bill No. 326 on the invest-
ment related expenses account of the Kansas public employees retirement fund is hereby
increased from $26,876,393 to $26,909,271.

 (h) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Senior services trust fund

For the fiscal year ending June 30, 2000No limit
For the fiscal year ending June 30, 2001No limit
 (i) In addition to the other purposes for which expenditures may be made by the above
agency from the agency operations account of the Kansas public employees retirement fund
for fiscal year 2000, as authorized by section 37(b) of chapter 132 of the 1999 Session Laws
of Kansas, or for fiscal year 2001, as authorized by section 15(b) of 2000 House Substitute
for Senate Bill No. 326, expenditures may be made by the above agency for fiscal year 2000
and fiscal year 2001 for the purpose of paying fees and expenses associated with the search
for a new executive secretary pursuant to procedures established by the board of trustees
of the Kansas public employees retirement system: Provided, That any expenditures for
such purpose shall be in addition to any expenditure limitation on the agency operations
account of such fund for fiscal year 2000 and fiscal year 2001: Provided, however, That the
aggregate amount of expenditures for such fees and expenses for fiscal year 2000 and fiscal
year 2001 shall not exceed $50,000 for the two-year period.

 (j) In addition to the other purposes for which expenditures may be made by the above
agency from the agency operations account of the Kansas public employees retirement fund
for the fiscal year ending June 30, 2001, as authorized by section 15(b) of 2000 House
Substitute for Senate Bill No. 326, expenditures may be made by the above agency for fiscal
year 2001 for the purpose of paying expenses associated with the technology project as
approved by the board of trustees of the Kansas public employees retirement system: Pro-
vided, That any expenditures for such purpose shall be in addition to any expenditure lim-
itation on the agency operations account of such fund: Provided, however, That the total
amount of expenditures for such expenses for fiscal year 2001 shall not exceed $2,283,913:
Provided further, That any contract negotiated for the technology project shall be reviewed
and approved by the chief information technology officer of the executive branch who also
shall consider that the technology project is in compliance with the provisions of K.S.A. 75-
7209 and amendments thereto.

 (k) In addition to other purposes for which expenditures may be made by the Kansas
public employees retirement system from the Kansas public employees retirement fund for
fiscal year 2001 as authorized by this or other appropriation act of the 2000 regular session
of the legislature, and notwithstanding any provisions of K.S.A. 74-4904 and amendments
thereto to the contrary, the board of trustees of the Kansas public employees retirement
system is hereby authorized and directed to make expenditures from the Kansas public
employees retirement fund for fiscal year 2001 for a hearing under K.S.A. 74-4904 and
amendments thereto for one active member of the Kansas police and firemen's retirement
system who currently serves in the Kansas highway patrol, who is in tier 1 instead of tier 2
under the Kansas police and firemen's retirement system as a result of no election pursuant
to K.S.A. 74-4955a and amendments thereto and, who at the end of calendar year 1999 was
51 years of age and had 28 years of total projected service.

 Sec. 14.

KANSAS LOTTERY
 (a) On July 1, 2000, the expenditure limitation established by section 23(a) of 2000 House
Substitute for Senate Bill No. 326 on the lottery operating fund is hereby increased from
$8,998,099 to $9,010,196.

 (b) On July 1, 2000, the provisions of section 23(b) of 2000 House Substitute for Senate
Bill No. 326 are hereby declared to be null and void and shall have no force and effect.

 (c) Notwithstanding the provisions of K.S.A. 74-8711 and amendments thereto, each
monthly transfer credited for the fiscal year ending June 30, 2001, from the lottery operating
fund to the state gaming revenue fund pursuant to subsection (d) of K.S.A. 74-8711 and
amendments thereto shall be an amount equal to not less than 30.00% of total monthly
revenues from the sales of lottery tickets and shares less estimated returned tickets.

 Sec. 15.

KANSAS RACING AND GAMING COMMISSION
 (a) On the effective date of this act, the position limitation established by section 90(a)
of chapter 132 of the 1999 Session Laws of Kansas for the Kansas racing and gaming
commission--state racing operations is hereby increased from 42.0 to 51.0.

 (b) On July 1, 2000, the position limitation established by section 69(a) of 2000 House
Substitute for Senate Bill No. 326 for the Kansas racing and gaming commission--state
racing operations is hereby increased from 43.0 to 52.0.

 (c) On the effective date of this act, the expenditure limitation established by section 26(a)
of 2000 Senate Bill No. 39 on the state racing fund is hereby increased from $3,283,383 to
$3,423,383.

 (d) On July 1, 2000, the expenditure limitation established by section 24(a) of 2000 House
Substitute for Senate Bill No. 326 on the state racing fund is hereby increased from
$3,217,143 to $3,813,653.

 (e) Notwithstanding the provisions of subsection (c) of K.S.A. 74-8826 and amendments
thereto, and notwithstanding any agreements between the director of accounts and reports
and the executive director of the state racing and gaming commission that set a $300,000
maximum amount of reserve balance for the state racing fund, the state racing fund may
have an amount of not to exceed $440,000 as an unencumbered cash balance on June 30,
2000, and such unencumbered cash balance shall not be subject to transfer to the state
gaming revenues fund for the fiscal year ending June 30, 2000.

 (f) Notwithstanding the provisions of K.S.A. 74-8826 and amendments thereto, or any
other provision of law to the contrary, no expenditures shall be made for a period of more
than 90 days after the date of the start of simulcasting at the Camptown race track from
the state racing fund for the fiscal years ending June 30, 2000, and June 30, 2001, for the
purpose of regulating simulcasting at the Camptown race track located in Frontenac, Kansas,
unless revenues derived from live racing at the Camptown race track are deposited in the
state racing fund within 100 days of the start of simulcasting.

 Sec. 16.

DEPARTMENT OF TRANSPORTATION
 (a) On July 1, 2000, the expenditure limitation established by section 68(b) of 2000 House
Substitute for Senate Bill No. 326 on the agency operations account of the state highway
fund is hereby increased from $209,875,792 to $210,266,469.

 (b) In addition to the other purposes for which expenditures may be made by the de-
partment of transportation from the state highway fund for the fiscal year 2001, as authorized
by this or other appropriation act of the 2000 regular session of the legislature, expenditures
shall be made by the department of transportation from the state highway fund for fiscal
year 2001 for loans or grants to qualified entities pursuant to the provisions of K.S.A. 75-
5048, and amendments thereto, in addition to such other terms and conditions, the secretary
of transportation shall require any qualified entity receiving such loans or grants to maintain
or to improve services on such railroad line: Provided, That such qualified entity shall pro-
vide to the secretary of transportation demonstrable evidence of improvements of services
on such railroad line: Provided further, That improvements in services shall include but
shall not be limited to, the rehabilitation of the track including rail, ties and roadbed, the
use of heavier weight rail, increased service to shippers, and any other maintenance that
improves services on such railroad line.

 Sec. 17.

SECRETARY OF STATE
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2000$20,000
For the fiscal year ending June 30, 2001$401,818
 (b) In addition to the other purposes for which expenditures may be made by the secretary
of state from the uniform commercial code fee fund for fiscal year 2001, expenditures may
be made by the above agency from the uniform commercial code fee fund for fiscal year
2001 for operating expenditures, including expenditures for 2.0 additional full-time equiv-
alent positions, for implementation of 2000 Senate Bill No. 366: Provided, That all such
expenditures from the uniform commercial code fee fund for fiscal year 2001 for such
purpose shall be in addition to any expenditure limitation established for the uniform com-
mercial code fee fund for fiscal year 2001: Provided, however, That expenditures from the
uniform commercial code fee fund for fiscal year 2001 for operating expenditures for im-
plementation of 2000 Senate Bill No. 366 shall not exceed $45,000: Provided further, That
such 2.0 additional full-time equivalent positions shall be in addition to any other limitation
established for the secretary of state on the number of full-time and regular part-time
positions equated to full-time, excluding seasonal and temporary positions, paid from ap-
propriations for the fiscal year ending June 30, 2001, made in this or other appropriation
act of the 2000 regular session of the legislature: And provided further, That, on June 30,
2000, if 2000 Senate Bill No. 366 is not enacted by the legislature during the 2000 regular
session and signed into law by the governor, then the provisions of this subsection (b) are
hereby declared to be null and void and shall be of no force and effect.

 (c) On July 1, 2000, the position limitation established by section 69 (a) of 2000 House
Substitute for Senate Bill No. 326 for the secretary of state is hereby increased from 54.0
to 55.0.

 Sec. 18.

GOVERNMENTAL ETHICS COMMISSION
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$1,325
 (b) On July 1, 2000, the expenditure limitation established by section 16(b) of 2000 House
Substitute for Senate Bill No. 326 on the governmental ethics commission fee fund is hereby
increased from $131,692 to $148,192: Provided, That, on June 30, 2000, if 2000 Senate Bill
No. 481 is not enacted by the legislature during the 2000 regular session and signed into
law by the governor, then the provisions of this subsection (b) are hereby declared to be
null and void and shall be of no force and effect.

 (c) On July 1, 2000, of the $415,796 appropriated for the above agency for the fiscal year
ending June 30, 2001 by section 16(a) of 2000 House Substitute for Senate Bill No. 326
from the state general fund in the operating expenditures account, the sum of $16,500 is
hereby lapsed: Provided, That, on June 30, 2000, if 2000 Senate Bill No. 481 is not enacted
by the legislature during the 2000 regular session and signed into law by the governor, then
the provisions of this subsection (c) are hereby declared to be null and void and shall be of
no force and effect.

 Sec. 19.

KANSAS COMMISSION ON VETERANS AFFAIRS
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures--veterans' affairs

For the fiscal year ending June 30, 2001$5,048
Operating expenditures--Kansas soldiers' home

For the fiscal year ending June 30, 2001$11,910
Operating expenditures--Kansas veterans' home

For the fiscal year ending June 30, 2001$14,518
 (b) There is appropriated for the above agency from the state institutions building fund
for the fiscal year or years specified, for the capital improvement project or projects specified
as follows:

State veterans cemeteries planning costs

For the fiscal year ending June 30, 2001$50,000
 Sec. 20.

DEPARTMENT OF SOCIAL AND REHABILITATION SERVICES
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

State operations

For the fiscal year ending June 30, 2001$1,050
Other medical assistance

For the fiscal year ending June 30, 2001$3,509,385
Youth services aid and assistance

For the fiscal year ending June 30, 2001$400,000
Larned state hospital--operating expenditures

For the fiscal year ending June 30, 2001$7,611
Osawatomie state hospital--operating expenditures

For the fiscal year ending June 30, 2001$13,121
Parsons state hospital and training center--operating expenditures

For the fiscal year ending June 30, 2001$11,139
Mental health and retardation services aid and assistance

For the fiscal year ending June 30, 2001$2,867,559
 (b) On July 1, 2000, of the $51,312,197 appropriated for the above agency for the fiscal
year ending June 30, 2001, by section 33(a) of 2000 House Substitute for Senate Bill No.
326 from the state general fund in the cash assistance account, the sum of $2,410,000 is
hereby lapsed.

 (c) On the effective date of this act, of the $53,328,276 appropriated for the above agency
for the fiscal year ending June 30, 2000, by section 55(a) of chapter 132 of the 1999 Session
Laws of Kansas from the state general fund in the cash assistance account, the sum of
$1,010,000 is hereby lapsed.

 (d) On the effective date of this act, of the $165,360,603 appropriated for the above agency
for the fiscal year ending June 30, 2000, by section 55(a) of chapter 132 of the 1999 Session
Laws of Kansas from the state general fund in the mental health and retardation services
aid and assistance and state institutions operations account, the sum of $104,969 is hereby
lapsed.

 (e) On the effective date of this act, of the $30,937,751 appropriated for the above agency
for the fiscal year ending June 30, 2001, by section 33(a) of 2000 House Substitute for
Senate Bill No. 326 from the state general fund in the community based services account,
the sum of $800,000 is hereby lapsed.

 (f) On the effective date of this act, of the $10,100,000 appropriated for the above agency
for the fiscal year ending June 30, 2001, by section 33(a) of 2000 House Substitute for
Senate Bill No. 326 from the state general fund in the children's health insurance account,
the sum of $1,000,000 is hereby lapsed.

 (g) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Flexible spending fund--nursing facilities quality enhancement wage

pass-through pursuant to 1999 Senate Bill No.126 (K.S.A. 1999 Supp. 39-971)

For the fiscal year ending June 30, 2001$39,205
Provided, That no expenditures shall be made from the flexible spending fund--nursing
facilities quality enhancement wage pass-through pursuant to 1999 Senate Bill No.126
(K.S.A. 1999 Supp. 39-971), except upon approval of the state finance council acting on this
matter which is hereby characterized as a matter of legislative delegation and subject to the
guidelines prescribed in subsection (c) of K.S.A. 75-3711c and amendments thereto and
acting on this matter after receiving the certification of the director of the budget that
sufficient moneys are available in the state medicaid match fund--SRS.

Flexible spending fund--HCBS/PD waiver

For the fiscal year ending June 30, 2001$2,600,000
Provided, That no expenditures shall be made from the flexible spending fund--HCBS/PD
waiver except upon approval of the state finance council acting on this matter which is
hereby characterized as a matter of legislative delegation and subject to the guidelines
prescribed in subsection (c) of K.S.A. 75-3711c and amendments thereto and acting on this
matter after receiving the certification of the director of the budget that sufficient moneys
are not available in the flexible spending fund pursuant to the intergovernmental transfer
program.

Grant to Horizon health plan fund

For the fiscal year ending June 30, 2001$1,000,000
Provided, That all expenditures from the grant to Horizon health plan fund shall be for a
grant to Horizon Health Plan, Inc., a Kansas domestic health maintenance organization, to
provide a donation of financial aid to assist the grantee in satisfying the claims of Kansas
hospitals and other health care providers which provided health care services under title
XIX or title XXI of the federal social security act to Kansans through Horizon Health Plan,
Inc., in accordance with the plan for liquidation approved and entered as a final order of
the district court in the case entitled IN THE MATTER OF THE LIQUIDATION OF
HORIZON HEALTH PLAN, INC., Case No. 99-C-1802: Provided further, That the grant
to Horizon Health Plan, Inc., shall not constitute the assumption by the state of Kansas of
any liability or responsibility for the liabilities, activities or operations of Horizon Health
Plan, Inc., or any other claims or possible causes of action against Horizon Health Plan,
Inc., whatsoever.

 (h) On July 1, 2000, the expenditure limitation established by section 33(b) of 2000 House
Substitute for Senate Bill No. 326 on the HCBS programs fund is hereby increased from
$800,000 to $6,000,000.

 (i) On July 1, 2000, the expenditure limitation established by section 33(b) of 2000 House
Substitute for Senate Bill No. 326 on the social welfare fund is hereby increased from
$54,753,127 to $55,353,127.

 (j) In addition to the other purposes for which expenditures may be made by the de-
partment of social and rehabilitation services from the moneys appropriated from the state
general fund or from any special revenue fund for fiscal year 2001 as authorized by this or
other appropriation act of the 2000 regular session of the legislature, expenditures shall be
made by the department of social and rehabilitation services from the moneys appropriated
from the state general fund or from any special revenue fund for fiscal year 2001 to initiate
one or more pilot programs for crisis stabilization of mentally ill individuals.

 (k) On the effective date of this act, of the $1,800,000 appropriated for the above agency
for the fiscal year ending June 30, 2001, by section 33(a) of 2000 House Substitute for
Senate Bill No. 326 from the state general fund in the children's mental health initiative
account, the sum of $800,000 is hereby lapsed.

 (l) In addition to the other purposes for which expenditures may be made by the de-
partment of social and rehabilitation services from the moneys appropriated from the state
general fund or from any special revenue fund for fiscal year 2001 as authorized by this or
other appropriation act of the 2000 regular session of the legislature, expenditures shall be
made by the department of social and rehabilitation services from the moneys appropriated
from the state general fund or from any special revenue fund for fiscal year 2001 to adopt
and to implement policies and procedures requiring that of the moneys appropriated in the
social welfare fund for fiscal year 2001, the amount of $600,000 shall be used exclusively
for matching federal medicaid program funds for clients with mental illness in order to
maximize all funding sources available to community mental health centers for the provision
of services for clients with mental illness: Provided, That the secretary of social and reha-
bilitation services shall prepare and submit a report to the legislature at the beginning of
the regular session in 2001 setting forth the number of individuals served with such $600,000
and the amount of enhanced funding generated by the expenditure of such $600,000: Pro-
vided further, That the secretary of social and rehabilitation services shall continue the
current homeless mentally ill services from within existing agency resources, which may
include the additional federal leveraged funds.

 (m) In addition to the other purposes for which expenditures may be made by the de-
partment of social and rehabilitation services from any moneys appropriated from the state
general fund or any special revenue fund for the fiscal year 2001, as authorized by this or
other appropriation act of the 2000 regular session of the legislature, expenditures shall be
made by the department of social and rehabilitation services from any such moneys appro-
priated for fiscal year 2001 for the receipt, crediting and disbursement of moneys received
by the department of social and rehabilitation services for payments of support pursuant to
a rule or administrative order issued by the Kansas supreme court, which is hereby author-
ized to be issued by the Kansas supreme court, directing payments of support, which are
made pursuant to any court order entered in this state regardless of the date of the order,
to be made to a central unit for the collection and disbursement of support payments,
notwithstanding the provisions of any statute to the contrary.

 (n) (1) In addition to the other purposes for which expenditures may be made by the
department of social and rehabilitation services from the youth services aid and assistance
account of the state general fund for the fiscal year ending June 30, 2000, and June 30,
2001, by this or other appropriation act of the 2000 regular session of the legislature, ex-
penditures shall be made from the youth services aid and assistance account of the state
general fund for fiscal years 2000 and 2001 for the secretary of social and rehabilitation
services (SRS) to provide assistance to contractors by accelerating contractual payments
which are owed or will be owed by the department of social and rehabilitation services
under the terms of fiscal year 2000 contracts: Provided, That the secretary of social and
rehabilitation services shall work with each contractor to assure that such accelerated pay-
ments are used to pay any existing delinquent accounts contractors have with the subcon-
tractors as a priority: Provided further, That the secretary of social and rehabilitation services
shall assure that payments by the department of social and rehabilitation services to such
contractors for foster care and adoption contractors are paid in the time period prescribed
by subsection (b) of K.S.A. 75- 6403, and amendments thereto, to facilitate steady cash flow
for the contractors and their ability to maintain timely payments to their subcontractors:
And provided further, That the department of social and rehabilitation services shall main-
tain regular monitoring of their contractors' business activities, including but not limited to,
the status of their payments to their subcontractors which are to be a priority: And provided
further, That should any SRS contractor regularly fail to maintain timely reimbursement to
their subcontractors, the department of social and rehabilitation services shall require the
development of a corrective action plan by such contractor: And provided further, That
continued failure by an SRS contractor to make timely payments to subcontractors after the
implementation of a corrective action plan may be the basis for the department of social
and rehabilitation services seeking new bids for that contractor's area of responsibility.

 (2) As used in this subsection:

 (A) ``Subcontractor'' means a qualified entity providing adoption or foster care services
pursuant to a contract with a contractor.

 (B) ``Contractor'' means an entity providing adoption or foster care service pursuant to a
contract with the department of social and rehabilitation services.

 (o) On July 1, 2000, or as soon thereafter as moneys are available, the director of accounts
and reports shall transfer $39,205 from the flexible spending fund of the department of
administration to the flexible spending fund--nursing facilities quality enhancement wage
pass- through pursuant to 1999 Senate Bill No.126 (K.S.A. 1999 Supp. 39-971) of the de-
partment of social and rehabilitation services: Provided, That no transfer shall be made
under this subsection except upon approval of the state finance council acting on this matter
which is hereby characterized as a matter of legislative delegation and subject to the guide-
lines prescribed in subsection (c) of K.S.A. 75-3711c and amendments thereto and acting
on this matter after receiving the certification of the director of the budget that sufficient
moneys are available in the flexible spending fund pursuant to the intergovernmental trans-
fer program.

 (p) During the fiscal year ending June 30, 2001, no expenditures shall be made by the
department of social and rehabilitation services from the moneys appropriated in the state
medicaid match fund--SRS except upon approval of the state finance council acting on this
matter which is hereby characterized as a matter of legislative delegation and subject to the
guidelines prescribed in subsection (c) of K.S.A. 75-3711c and amendments thereto and
acting on this matter after receiving the certification of the director of the budget that
sufficient moneys are available in the state medicaid match fund--SRS pursuant to the
intergovernmental transfer program: Provided, That the state finance council may authorize
the department of social and rehabilitation services to make expenditures from the state
medicaid match fund--SRS for the HCBS/MR waiver program and for the HCBS/PD
waiver program: Provided, however, That (1) expenditures from the state medicaid match
fund--SRS for the HCBS/MR waiver program shall not exceed $15,300,000, and (2) ex-
penditures from the state medicaid match fund--SRS for the HCBS/PD waiver program
shall not exceed $800,000.

 (q) On July 1, 2000, or as soon thereafter as moneys are available, the director of accounts
and reports shall transfer $2,600,000 from the flexible spending fund of the department of
administration to the flexible spending fund--HCBS/PD waiver of the department of social
and rehabilitation services: Provided, That no transfer shall be made under this subsection
except upon approval of the state finance council acting on this matter which is hereby
characterized as a matter of legislative delegation and subject to the guidelines prescribed
in subsection (c) of K.S.A. 75- 3711c and amendments thereto and acting on this matter
after receiving the certification of the director of the budget that sufficient moneys are not
available in the flexible spending fund pursuant to the intergovernmental transfer program.

 (r) In addition to the other purposes for which expenditures may be made from the
children's initiatives fund for fiscal year 2001, expenditures may be made by the above
agency from the children's initiatives fund for fiscal year 2001 for the following specified
purposes subject to the expenditure limitations prescribed therefor:

Children's initiatives fund--children's mental health waiver$1,800,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--children's mental health waiver account
shall be in addition to any expenditure limitation imposed on the children's initiatives fund
for fiscal year 2001.

Children's initiatives fund--family centered system of care$5,000,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--family centered system of care account
shall be in addition to any expenditure limitation imposed on the children's initiatives fund
for fiscal year 2001.

Children's initiatives fund--therapeutic preschool$1,000,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--therapeutic preschool account shall be
in addition to any expenditure limitation imposed on the children's initiatives fund for fiscal
year 2001: Provided, however, That the secretary of social and rehabilitation services shall
adopt and implement policies and procedures requiring community mental health centers
to aggressively use the medicaid program for preschool clients of the program in order to
maximize all funding sources available to community mental health centers for the provision
of services for preschool clients.

Children's initiatives fund--child care$1,400,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--child care account shall be in addition
to any expenditure limitation imposed on the children's initiatives fund for fiscal year 2001.

Children's initiatives fund--community services for child welfare$2,600,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--community services for child welfare
account shall be in addition to any expenditure limitation imposed on the children's initia-
tives fund for fiscal year 2001.

Children's initiatives fund--HealthWave$1,000,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--HealthWave account shall be in ad-
dition to any expenditure limitation imposed on the children's initiatives fund for fiscal year
2001.

Children's initiatives fund--children's cabinet early childhood discretionary grant program$2,750,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--children's cabinet early childhood dis-
cretionary grant program account shall be in addition to any expenditure limitation imposed
on the children's initiatives fund for fiscal year 2001: Provided further, That the Kansas
children's cabinet shall develop and administer a discretionary competitive grant program
designed to fund innovative, research-driven, outcomes-based early childhood focused pre-
vention initiatives: And provided further, That the cabinet shall adopt criteria for awarding,
monitoring and evaluating the grants which may include elements of such models as the
cabinet may determine appropriate but any such models must be compatible with the ``Com-
munities That Care Model'': Provided, however, That such grants shall be managed by the
office of prevention administration within the department of social and rehabilitation serv-
ices: And provided further, That grant funds may not be used to supplant any grantee's
existing fund: And provided further, That the cabinet shall fund only those programs, serv-
ices and/or initiatives which they specifically find comply with the criteria set forth in sub-
section (a) of K.S.A. 1999 Supp. 38-2,102 and amendments thereto.

Children's initiatives fund--children's cabinet accountability fund$250,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--children's cabinet accountability fund
account shall

be in addition to any expenditure limitation imposed on the children's initiatives fund for
fiscal year 2001.

 (s) (1) On July 1, 2000, the director of accounts and reports shall transfer all moneys
credited as of June 30, 2000, in the Kansas endowment for youth fund--children's mental
health waiver account of the Kansas endowment for youth fund to the children's initiatives
fund--children's mental health waiver account in the children's initiatives fund established
by subsection (s). On July 1, 2000, and after such transfer, (A) all encumbrances and other
liabilities of the Kansas endowment for youth fund--children's mental health waiver account
of the Kansas endowment for youth fund are hereby transferred to and imposed upon the
children's initiatives fund--children's mental health waiver account in the children's initia-
tives fund established pursuant to subsection (s), (B) the Kansas endowment for youth
fund--children's mental health waiver account of the above agency in the Kansas endow-
ment for youth fund is hereby abolished, and (C) any appropriation of moneys in the Kansas
endowment for youth fund--children's mental health waiver account of the Kansas endow-
ment for youth fund for the above agency for the fiscal year ending June 30, 2001, by any
provision of chapter 132 or chapter 160 of the 1999 Session Laws of Kansas or this or other
appropriation act of the 2000 regular session of the legislature, is hereby lapsed.

 (2) On July 1, 2000, the director of accounts and reports shall transfer all moneys credited
as of June 30, 2000, in the Kansas endowment for youth fund--family centered system of
care account of the Kansas endowment for youth fund to the children's initiatives fund--
family centered system of care account in the children's initiatives fund established by sub-
section (s). On July 1, 2000, and after such transfer, (A) all encumbrances and other liabilities
of the Kansas endowment for youth fund--family centered system of care account of the
Kansas endowment for youth fund are hereby transferred to and imposed upon the chil-
dren's initiatives fund--family centered system of care account in the children's initiatives
fund established pursuant to subsection (s), (B) the Kansas endowment for youth fund--
family centered system of care account of the above agency in the Kansas endowment for
youth fund is hereby abolished, and (C) any appropriation of moneys in the Kansas endow-
ment for youth fund--family centered system of care account of the Kansas endowment for
youth fund for the above agency for the fiscal year ending June 30, 2001, by any provision
of chapter 132 or chapter 160 of the 1999 Session Laws of Kansas or this or other appro-
priation act of the 2000 regular session of the legislature, is hereby lapsed.

 (3) On July 1, 2000, the director of accounts and reports shall transfer all moneys credited
as of June 30, 2000, in the Kansas endowment for youth fund--CDDO rate reimbursement
account of the Kansas endowment for youth fund to the children's initiatives fund--chil-
dren's mental health waiver account in the children's initiatives fund established by subsec-
tion (s). On July 1, 2000, and after such transfer, (A) all encumbrances and other liabilities
of the Kansas endowment for youth fund--CDDO rate reimbursement account of the
Kansas endowment for youth fund are hereby transferred to and imposed upon the chil-
dren's initiatives fund--children's mental health waiver account in the children's initiatives
fund established pursuant to subsection (s), (B) the Kansas endowment for youth fund--
CDDO rate reimbursement account of the above agency in the Kansas endowment for
youth fund is hereby abolished, and (C) any appropriation of moneys in the Kansas endow-
ment for youth fund--CDDO rate reimbursement account of the Kansas endowment for
youth fund for the above agency for the fiscal year ending June 30, 2001, by any provision
of chapter 132 or chapter 160 of the 1999 Session Laws of Kansas or this or other appro-
priation act of the 2000 regular session of the legislature, is hereby lapsed.

 (4) On July 1, 2000, the director of accounts and reports shall transfer all moneys credited
as of June 30, 2000, in the Kansas endowment for youth fund--home and community based
services for physically disabled account of the Kansas endowment for youth fund to the
children's initiatives fund--children's mental health waiver account in the children's initia-
tives fund, which is established by subsection (s). On July 1, 2000, and after such transfer,
(A) all encumbrances and other liabilities of the Kansas endowment for youth fund--home
and community based services for physically disabled account of the Kansas endowment for
youth fund are hereby transferred to and imposed upon the children's initiatives fund--
children's mental health waiver account in the children's initiatives fund, (B) the Kansas
endowment for youth fund--home and community based services for physically disabled
account of the above agency in the Kansas endowment for youth fund is hereby abolished,
and (C) any appropriation of moneys in the Kansas endowment for youth fund--home and
community based services for physically disabled account of the Kansas endowment for
youth fund for the above agency for the fiscal year ending June 30, 2001, by any provision
of chapter 132 or chapter 160 of the 1999 Session Laws of Kansas or this or other appro-
priation act of the 2000 regular session of the legislature, is hereby lapsed.

 (5) On July 1, 2000, the director of accounts and reports shall transfer all moneys credited
as of June 30, 2000, in the Kansas endowment for youth fund--home and community based
services for mental retardation account of the Kansas endowment for youth fund to the
children's initiatives fund--children's mental health waiver account in the children's initia-
tives fund established by subsection (s). On July 1, 2000, and after such transfer, (A) all
encumbrances and other liabilities of the Kansas endowment for youth fund--home and
community based services for mental retardation account of the Kansas endowment for
youth fund are hereby transferred to and imposed upon the children's initiatives fund--
children's mental health waiver account in the children's initiatives fund, (B) the Kansas
endowment for youth fund--home and community based services for mental retardation
account of the above agency in the Kansas endowment for youth fund is hereby abolished,
and (C) any appropriation of moneys in the Kansas endowment for youth fund--home and
community based services for mental retardation account of the Kansas endowment for
youth fund for the above agency for the fiscal year ending June 30, 2001, by any provision
of chapter 132 or chapter 160 of the 1999 Session Laws of Kansas or this or other appro-
priation act of the 2000 regular session of the legislature, is hereby lapsed.

 (6) In addition to the other purposes for which expenditures may be made from the
children's initiatives fund for fiscal year 2001 as authorized by this or other appropriation
act of the 2000 regular session of the legislature, expenditures may be made by the above
agency from the children's initiatives fund for fiscal year 2001, from the unencumbered
balance as of July 1, 2000, in each account of the children's initiatives fund that is established
by subsection (s) and into which moneys are transferred pursuant to this subsection (t) and
in each account of the children's initiatives fund that is established by this subsection (t):
Provided, That all expenditures from the unencumbered balance of any such account of the
children's initiatives fund shall not exceed the amount of the unencumbered balance in such
account on July 1, 2000: Provided further, That all expenditures from the unencumbered
balance of any such account shall be in addition to any expenditure limitation imposed on
the children's initiatives fund for fiscal year 2001.

 (t) On the effective date of this act, the amounts specified in section 34(m) of 2000 Senate
Bill No. 39 as being included in the mental health and retardation services aid and assistance
and state institutions operations account of the state general fund for the following institu-
tions are hereby changed to the amounts specified, but expenditures from the mental health
and retardation services aid and assistance and state institutions operations account of the
state general fund for any such institution shall not be limited to, or be required to be made
in, the amount listed for the institution, as follows: (1) The amount for Kansas neurological
institute is hereby decreased from $7,640,245 to $7,633,917; (2) the amount for Larned
state hospital is hereby decreased from $11,210,786 to $11,199,279; (3) the amount for
Osawatomie state hospital is hereby decreased from $5,790,631 to $5,775,055; (4) the
amount for Parsons state hospital and training center is hereby decreased from $5,799,369
to $5,782,829; and (5) the amount for Rainbow mental health facility is hereby decreased
from $719,111 to $705,996.

 (u) On the effective date of this act, the expenditure limitation established by section
55(b) of chapter 132 of the 1999 Session Laws of Kansas on the Osawatomie state hospital
fee fund is hereby decreased from $1,943,508 to $1,927,933.

 (v) On the effective date of this act, the expenditure limitation established by section
55(b) of chapter 132 of the 1999 Session Laws of Kansas on the Parsons state hospital and
training center fee fund is hereby decreased from $793,081 to $777,682.

 (w) On July 1, 2000, of the $8,517,075 appropriated for the above agency for the fiscal
year ending June 30, 2001, by section 33(a) of 2000 House Substitute for Senate Bill No.
326 from the state general fund in the Kansas neurological institute--operating expenditures
account, the sum of $24,487 is hereby lapsed.

 (x) On July 1, 2000, of the $1,333,972 appropriated for the above agency for the fiscal
year ending June 30, 2001, by section 33(a) of 2000 House Substitute for Senate Bill No.
326 from the state general fund in the Rainbow mental health facility--operating expend-
itures account, the sum of $12,733 is hereby lapsed.

 (y) On July 1, 2000, the expenditure limitation established by section 33(b) of 2000 House
Substitute for Senate Bill No. 326 on the Larned state hospital fee fund is hereby decreased
from $3,293,118 to $3,224,006.

 (z) On July 1, 2000, the expenditure limitation established by section 33(b) of 2000 House
Substitute for Senate Bill No. 326 on the Osawatomie state hospital fee fund is hereby
decreased from $5,635,313 to $5,534,639.

 (aa) On July 1, 2000, the expenditure limitation established by section 33(b) of 2000 House
Substitute for Senate Bill No. 326 on the Parsons state hospital and training center fee fund
is hereby decreased from $779,407 to $734,771.

 (bb) On the effective date of this act, or as soon thereafter as any moneys are credited to
the long-term care loan and grant fund, the director of accounts and reports shall transfer
amounts which equal in the aggregate $1,000,000 from the long-term care loan and grant
fund of the department on aging to the grant to Horizon health plan fund of the department
of social and rehabilitation services: Provided, That the first $1,000,000 that is credited to
the long-term care loan and grant fund under the intergovernmental transfer program shall
be transferred from the long-term care loan and grant fund of the department on aging to
the grant to Horizon health plan fund of the department of social and rehabilitation services
in accordance with this subsection.

 (cc) In the event that the department of social and rehabilitation services issues a request
for proposal for the title XXI program children's health insurance program, the secretary
shall consider the following factors in developing the request for proposal: (1) The combi-
nation of title XIX and title XXI programs as such programs relate to children, and (2) the
inclusion of all marketing and outreach efforts relating to the children's health insurance
program: Provided, That the department of social and rehabilitation services shall consider
all options to initiate a medicaid managed care program in Sedgwick county: Provided fur-
ther, That the department of social and rehabilitation services shall work in support with
the Kansas business health partnership.

 Sec. 21.

DEPARTMENT ON AGING
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Administration

For the fiscal year ending June 30, 2000$246,392
For the fiscal year ending June 30, 2001$57,593
Long-term care

For the fiscal year ending June 30, 2000$3,440,000
Program grants

For the fiscal year ending June 30, 2001$126,500
Provided, That all expenditures from the program grants account for retired senior volunteer
program (RSVP) grant awards shall give first priority to volunteers for the nutrition programs
and other area agencies on aging programs: Provided further, That the secretary of aging
shall report back to the legislature at the beginning of the regular session in 2001 about the
different methods of providing food service for the elderly with recommendations to elim-
inate duplication of services in the nutrition programs when appropriate: And provided
further, That the secretary of aging is hereby authorized to expend all federal funds available
for nutrition and other food service programs for the elderly: And provided further, That,
if the state and federal funds available for nutrition and other food service programs for the
elderly are estimated to be insufficient to meet the needs for such programs during fiscal
year 2001, the secretary of aging shall prepare and submit a budget request to the governor
and to the legislature for an emergency supplemental appropriation for fiscal year 2001 for
nutrition and other food service programs for the elderly.

 (b) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Flexible spending fund--nursing facilities quality enhancement wage pass-through pursuant
to 1999 Senate Bill No.126 (K.S.A. 1999 Supp. 39-971)

For the fiscal year ending June 30, 2001$1,660,795
Provided, That no expenditures shall be made from the flexible spending fund--nursing
facilities quality enhancement wage pass-through pursuant to 1999 Senate Bill No.126
(K.S.A. 1999 Supp. 39-971) except upon approval of the state finance council acting on this
matter which is hereby characterized as a matter of legislative delegation and subject to the
guidelines prescribed in subsection (c) of K.S.A. 75-3711c and amendments thereto and
acting on this matter after receiving the certification of the director of the budget that
sufficient moneys are available in the state medicaid match fund--department on aging.

Flexible spending fund--long-term care

For the fiscal year ending June 30, 2001$12,252,000
Provided, That no expenditures shall be made from the flexible spending fund--long-term
care except upon approval of the state finance council acting on this matter which is hereby
characterized as a matter of legislative delegation and subject to the guidelines prescribed
in subsection (c) of K.S.A. 75-3711c and amendments thereto and acting on this matter
after receiving the certification of the director of the budget that sufficient moneys are
available in the state medicaid match fund--department on aging.

Long-term care loan and grant fund

For the fiscal year ending June 30, 2000$0
For the fiscal year ending June 30, 2001$11,000,000
Provided, That no expenditures shall be made from the long-term care loan and grant fund
pursuant to 2000 Senate Bill No. 248 for fiscal year 2000 or fiscal year 2001 except upon
approval of the state finance council acting on this matter which is hereby characterized as
a matter of legislative delegation and subject to the guidelines prescribed in subsection (c)
of K.S.A. 75-3711c and amendments thereto and acting on this matter after receiving the
certification of the director of the budget that sufficient moneys are available in the fund
pursuant to the intergovernmental transfer program.

Senior services fund

For the fiscal year ending June 30, 2000No limit
For the fiscal year ending June 30, 2001No limit
Provided, That no expenditures shall be made from the senior services fund pursuant to
2000 Senate Bill No. 248 for fiscal year 2000 or fiscal year 2001 except upon approval of
the state finance council acting on this matter which is hereby characterized as a matter of
legislative delegation and subject to the guidelines prescribed in subsection (c) of K.S.A. 75-
3711c and amendments thereto and acting on this matter after receiving the certification
of the director of the budget that sufficient moneys are available in the fund pursuant to
the intergovernmental transfer program.

Intergovernmental transfer fund

For the fiscal year ending June 30, 2000No limit
For the fiscal year ending June 30, 2001No limit
Intergovernmental transfer administration fund

For the fiscal year ending June 30, 2000No limit
For the fiscal year ending June 30, 2001No limit
 (c) On July 1, 2000, of the $121,808,000 appropriated for the above agency for the fiscal
year ending June 30, 2001, by section 32(a) of 2000 House Substitute for Senate Bill No.
326 from the state general fund in the long term care account, the sum of $4,800,000 is
hereby lapsed.

 (d) During the fiscal year ending June 30, 2000, the secretary of aging, with the approval
of the director of the budget, may transfer any part of any item of appropriation for the
fiscal year ending June 30, 2000, from the state general fund for the department on aging
to another item of appropriation for fiscal year 2000 from the state general fund for the
department on aging. The secretary of aging shall certify each such transfer to the director
of accounts and reports and shall transmit a copy of each such certification to the legislative
research department.

 (e) On July 1, 2000, or as soon thereafter as moneys are available, the director of accounts
and reports shall transfer $2,637,734 from the flexible spending fund of the department of
administration to the flexible spending fund--nursing facilities quality enhancement wage
pass- through pursuant to 1999 Senate Bill No.126 (K.S.A. 1999 Supp. 39-971) of the de-
partment on aging: Provided, That no transfer shall be made under this subsection except
upon approval of the state finance council acting on this matter which is hereby character-
ized as a matter of legislative delegation and subject to the guidelines prescribed in subsec-
tion (c) of K.S.A. 75-3711c and amendments thereto and acting on this matter after receiving
the certification of the director of the budget that sufficient moneys are available in the
flexible spending fund pursuant to the intergovernmental transfer program.

 (f) On July 1, 2000, or as soon thereafter as moneys are available, the director of accounts
and reports shall transfer $12,252,000 from the flexible spending fund of the department
of administration to the flexible spending fund--long term care of the department on aging:
Provided, That no transfer shall be made under this subsection except upon approval of the
state finance council acting on this matter which is hereby characterized as a matter of
legislative delegation and subject to the guidelines prescribed in subsection (c) of K.S.A. 75-
3711c and amendments thereto and acting on this matter after receiving the certification
of the director of the budget that sufficient moneys are available in the flexible spending
fund pursuant to the intergovernmental transfer program.

 Sec. 22.

ATTORNEY GENERAL--KANSAS BUREAU OF INVESTIGATION
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Kansas City satellite laboratory

For the fiscal year ending June 30, 2000$86,000
Provided, That any unencumbered balance in the operating expenditures account in excess
of $100 as of June 30, 2000, is hereby reappropriated for fiscal year 2001.

Operating expenditures

For the fiscal year ending June 30, 2001$18,610
 Sec. 23.

KANSAS PAROLE BOARD
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Parole from adult correctional institutions

For the fiscal year ending June 30, 2001$110,024
 (b) On July 1, 2000, the position limitation established by section 69(a) of 2000 House
Substitute for Senate Bill No. 326 for the Parole Board is hereby increased from 3.0 to 4.0.

 Sec. 24.

KANSAS SENTENCING COMMISSION
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$1,084
Criminal justice information system

For the fiscal year ending June 30, 2000$115,681
For the fiscal year ending June 30, 2001$322,815
Provided, That any unencumbered balance in the criminal justice information system ac-
count in excess of $100 as of June 30, 2000, is hereby reappropriated for fiscal year 2001.

 (b) On the effective date of this act, the amount of expenditures prescribed by section
80(a) of chapter 132 of the 1999 Session Laws of Kansas to be made by the Kansas sen-
tencing commission for fiscal year 2000 from the reappropriated balance in the state match-
ing funds account of the state general fund for a payment to the Kansas highway patrol is
hereby decreased from $75,000 to $0: Provided, That, in addition to the other purposes for
which expenditures may be made by the Kansas sentencing commission from the reappro-
priated balance in the state matching funds account of the state general fund for fiscal year
2000 and within the expenditure limitation of $75,000 on expenditures from such reappro-
priated balance established by section 80(a) of chapter 132 of the 1999 Session Laws of
Kansas, the Kansas sentencing commission may make expenditures from such reappro-
priated balance for fiscal year 2000 for operating expenditures: Provided, however, That
expenditures from such reappropriated balance for fiscal year 2000 for operating expendi-
tures shall not exceed $56,706: Provided further, That, in addition to the other purposes for
which expenditures may be made by the Kansas sentencing commission from the reappro-
priated balance in the state matching funds account of the state general fund for fiscal year
2000 and within the expenditure limitation of $75,000 on expenditures from such reappro-
priated balance established by section 80(a) of chapter 132 of the 1999 Session Laws of
Kansas, the Kansas sentencing commission may make expenditures from such reappro-
priated balance for fiscal year 2000 for core project costs of the criminal justice information
system: And provided further, That expenditures from such reappropriated balance for fiscal
year 2000 for core project costs of the criminal justice information system shall not exceed
$18,294.

 (c) In addition to the other purposes for which expenditures may be made by the Kansas
sentencing commission from moneys appropriated in the sentencing commission forfeiture
fund for fiscal year 2000 as authorized by chapter 132 or chapter 160 of the 1999 Session
Laws of Kansas, expenditures may be made by the Kansas sentencing commission for fiscal
year 2000 from the moneys appropriated in the sentencing commission forfeiture fund for
all purposes for which expenditures may be made for operating expenditures.

 (d) In addition to the other purposes for which expenditures may be made by the Kansas
sentencing commission from moneys appropriated from the state general fund or any special
revenue fund for fiscal year 2001, expenditures shall be made by the Kansas sentencing
commission for fiscal year 2001 from moneys appropriated from the state general fund or
any special revenue fund for the position of project manager for the criminal justice infor-
mation system, which position is hereby created for the Kansas sentencing commission and
which shall be the project manager for the consolidated criminal justice information system:
Provided, That the project manager shall report directly to the director of the Kansas sen-
tencing commission on the implementation, completion, maintenance and funding of the
criminal justice information system: Provided further, That all expenditures and revenues
related and effecting the implementation, completion, and continued maintenance of the
criminal justice information system and those agencies in which those revenues and ex-
penditures are budgeted within, shall submit all fiscal information relating to the criminal
justice information system to the project manager thus creating a unified consolidated crim-
inal justice information system budget.

 (e) On July 1, 2000, the position limitation established by section 69(a) of 2000 House
Substitute for Senate Bill No. 326 for the Kansas sentencing commission is hereby increased
from 9.0 to 10.0.

 Sec. 25.

ADJUTANT GENERAL
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2000$60,000
For the fiscal year ending June 30, 2001$5,352
 (b) On the effective date of this act, of the $1,107,592 appropriated for the above agency
for the fiscal year ending June 30, 2000, by section 39(a) of chapter 160 of the 1999 Session
Laws of Kansas from the state general fund in the disaster relief account, the sum of $60,000
is hereby lapsed.

 Sec. 26.

KANSAS HIGHWAY PATROL
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2000$203,400
For the fiscal year ending June 30, 2001$15,959
 (b) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Special services fund

For the fiscal year ending June 30, 2001$1,000,000
 (c) On the effective date of this act, the director of accounts and reports shall transfer
$1,000,000 from the state highway fund of the department of transportation to the special
services fund of the Kansas highway patrol for the purpose of financing operating expend-
itures of the Kansas highway patrol.

 (d) On the effective date of this act, of the $25,236,627 appropriated for the above agency
for the fiscal year ending June 30, 2001, by section 56(a) of 2000 House Substitute for
Senate Bill No. 326 from the state general fund in the operating expenditures account, the
sum of $1,000,000 is hereby lapsed.

 (e) On July 1, 2000, the expenditure limitation established by section 56(b) of 2000 House
Substitute for Senate Bill No. 326 on the motor carrier inspection fund is hereby increased
from $8,931,251 to $9,042,951.

 (f) On July 1, 2000, the position limitation established by section 69(a) of 2000 House
Substitute for Senate Bill No. 326 for the Kansas highway patrol is hereby increased from
807.8 to 823.8.

 Sec. 27.

STATE FIRE MARSHAL
 (a) On July 1, 2000, the expenditure limitation established by section 54(a) of 2000 House
Substitute for Senate Bill No. 326 on the fire marshal fee fund is hereby increased from
$2,729,164 to $2,736,071.

 Sec. 28.

CITIZENS' UTILITY RATEPAYER BOARD
 (a) On July 1, 2000, the expenditure limitation established for the fiscal year ending June
30, 2001, by section 19(a) of 2000 House Substitute for Senate Bill No. 326 on the utility
regulatory fee fund is hereby increased from $470,195 to $471,003.

 (b) On July 1, 2000, October 1, 2000, January 1, 2001, and April 1, 2001, or as soon after
each such date as moneys are available, and upon receipt of certification by the state cor-
poration commission of the amount to be transferred, the director of accounts and reports
shall transfer from the public service regulation fund of the state corporation commission
to the utility regulatory fee fund of the citizens' utility ratepayer board all moneys assessed
by the state corporation commission for the citizens' utility ratepayer board under K.S.A.
66-1502 or 66-1503 and amendments thereto and deposited in the state treasury to the
credit of the public service regulation fund.

 Sec. 29.

STATE CORPORATION COMMISSION
 (a) On July 1, 2000, the expenditure limitation established for the fiscal year ending June
30, 2001, by section 18(b) of 2000 House Substitute for Senate Bill No. 326 on the public
service regulation fund, the motor carrier license fees fund, and the conservation fee fund,
in the aggregate, is hereby increased from $12,169,603 to $12,201,166.

 Sec. 30.

INSURANCE DEPARTMENT
 (a) On the effective date of this act, the expenditure limitation established for the fiscal
year ending June 30, 2000, by section 13(a) of 2000 Senate Bill No. 39 on the insurance
department service regulation fund is hereby increased from $6,686,972 to $6,698,972.

 (b) On July 1, 2000, the expenditure limitation established for the fiscal year ending June
30, 2001, by section 10(a) of 2000 House Substitute for Senate Bill No. 326 on the insurance
department service regulation fund is hereby increased from $6,943,491 to $6,951,327.

 (c) On July 1, 2000, the position limitation established for the fiscal year ending June 30,
2001, by section 69(a) of 2000 House Substitute for Senate Bill No. 326 for the insurance
department is hereby decreased from 159.0 to 157.0.

 (d) There is appropriated for the above agency from the following special revenue fund
for the fiscal year or years specified, all moneys now or hereafter lawfully credited to and
available in such fund, except that expenditures other than refunds authorized by law shall
not exceed the following:

Surety bond and escrow payment fund

For the fiscal year ending June 30, 2000No limit
For the fiscal year ending June 30, 2001No limit
 Sec. 31.

KANSAS REAL ESTATE COMMISSION
 (a) On July 1, 2000, the expenditure limitation established for the fiscal year ending June
30, 2001, by section 73(a) of 2000 House Substitute for Senate Bill No. 326 on the real
estate fee fund is hereby decreased from $685,757 to $657,427.

 (b) On July 1, 2000, the position limitation established for the fiscal year ending June 30,
2001, by section 22 of chapter 132 of the 1999 Session Laws of Kansas for the Kansas real
estate commission is hereby decreased from 14.0 to 13.0.

 Sec. 32.

HEALTH CARE STABILIZATION FUND BOARD OF GOVERNORS
 (a) On July 1, 2000, the expenditure limitation established for the fiscal year ending June
30, 2001, by section 11(b) of 2000 House Substitute for Senate Bill No. 326 on expenditures
from the health care stabilization fund for operating expenditures is hereby increased from
$895,049 to $897,146.

 Sec. 33.

STATE BANK COMMISSIONER
 (a) On July 1, 2000, the expenditure limitation established for the fiscal year ending June
30, 2001, by section 72(a) of 2000 House Substitute for Senate Bill No. 326 on the bank
commissioner fee fund is hereby increased from $4,000,720 to $4,012,919.

 Sec. 34.

STATE BOARD OF HEALING ARTS
 (a) On July 1, 2000, the expenditure limitation established for the fiscal year ending June
30, 2001, by section 7(a) of chapter 132 of the 1999 Session Laws of Kansas on the healing
arts fee fund is hereby increased from $1,654,921 to $1,655,771: Provided, That, on June
30, 2000, if 2000 Senate Bill No. 599 is not enacted by the legislature during the 2000
regular session and signed into law by the governor, then the provisions of this subsection
(a) are hereby declared to be null and void and shall be of no force and effect.

 Sec. 35.

STATE LIBRARY
 (a) In addition to the other purposes for which expenditures may be made from the
children's initiatives fund for fiscal year 2001, expenditures may be made by the above
agency from the children's initiatives fund for fiscal year 2001 for the following specified
purposes subject to the expenditure limitations prescribed therefor:

Children's initiatives fund--children's access network$70,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--children's access network account shall
be in addition to any expenditure limitation imposed on the children's initiatives fund for
fiscal year 2001.

 Sec. 36.

JUVENILE JUSTICE AUTHORITY
 (a) In addition to the other purposes for which expenditures may be made from the
children's initiatives fund for fiscal year 2001, expenditures may be made by the above
agency from the children's initiatives fund for fiscal year 2001 for the following specified
purposes subject to the expenditure limitations prescribed therefor:

Children's initiatives fund--prevention program grants$5,000,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--prevention program grants account
shall be in addition to any expenditure limitation imposed on the children's initiatives fund
for fiscal year 2001: Provided further, That money awarded as grants from this account shall
be distributed according to the percentage distribution of a judicial district's high school
graduation failure rate, averaged over a period of three years, and be subject to the require-
ment that no judicial district shall receive less than $50,000: And provided further, That
money awarded as grants from this account is not an entitlement to communities, but a
grant that must meet conditions prescribed by the above agency for appropriate outcomes.

Children's initiatives fund--intervention and graduated sanctions community grants$2,000,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--intervention and graduated sanctions
community grants account shall be in addition to any expenditure limitation imposed on the
children's initiatives fund for fiscal year 2001.

 (b) (1) On July 1, 2000, the director of accounts and reports shall transfer all moneys
credited as of June 30, 2000, in the Kansas endowment for youth fund-- prevention program
grants account of the Kansas endowment for youth fund to the children's initiatives fund--
prevention program grants account in the children's initiatives fund established by subsec-
tion (a). On July 1, 2000, and after such transfer, (A) all encumbrances and other liabilities
of the Kansas endowment for youth fund-- prevention program grants account of the Kansas
endowment for youth fund are hereby transferred to and imposed upon the children's
initiatives fund--prevention program grants account in the children's initiatives fund, (B)
the Kansas endowment for youth fund--prevention program grants account of the above
agency in the Kansas endowment for youth fund is hereby abolished, and (C) any appro-
priation of moneys in the Kansas endowment for youth fund-- prevention program grants
account of the Kansas endowment for youth fund for the above agency for the fiscal year
ending June 30, 2001, by any provision of chapter 132 or chapter 160 of the 1999 Session
Laws of Kansas or this or other appropriation act of the 2000 regular session of the legis-
lature, is hereby lapsed.

 (2) On July 1, 2000, the director of accounts and reports shall transfer all moneys credited
as of June 30, 2000, in the Kansas endowment for youth fund--intervention and graduated
sanctions community grants account of the Kansas endowment for youth fund to the chil-
dren's initiatives fund--intervention and graduated sanctions community grants account in
the children's initiatives fund established by subsection (a). On July 1, 2000, and after such
transfer, (A) all encumbrances and other liabilities of the Kansas endowment for youth
fund--intervention and graduated sanctions community grants account of the Kansas en-
dowment for youth fund are hereby transferred to and imposed upon the children's initia-
tives fund--intervention and graduated sanctions community grants account in the chil-
dren's initiatives fund, (B) the Kansas endowment for youth fund--intervention and
graduated sanctions community grants account of the above agency in the Kansas endow-
ment for youth fund is hereby abolished, and (C) any appropriation of moneys in the Kansas
endowment for youth fund--intervention and graduated sanctions community grants ac-
count of the Kansas endowment for youth fund for the above agency for the fiscal year
ending June 30, 2001, by any provision of chapter 132 or chapter 160 of the 1999 Session
Laws of Kansas or this or other appropriation act of the 2000 regular session of the legis-
lature, is hereby lapsed.

 (3) On July 1, 2000, the director of accounts and reports shall establish the children's
initiatives fund--community management information systems projects account in the chil-
dren's initiatives fund and shall transfer all moneys credited as of June 30, 2000, in the
Kansas endowment for youth fund--community management information systems projects
account of the Kansas endowment for youth fund to the children's initiatives fund--com-
munity management information systems projects account in the children's initiatives fund,
which is hereby established. On July 1, 2000, and after such transfer, (A) all encumbrances
and other liabilities of the Kansas endowment for youth fund--community management
information systems projects account of the Kansas endowment for youth fund are hereby
transferred to and imposed upon the children's initiatives fund--community management
information systems projects account in the children's initiatives fund, (B) the Kansas en-
dowment for youth fund--community management information systems projects account
of the above agency in the Kansas endowment for youth fund is hereby abolished, and (C)
any appropriation of moneys in the Kansas endowment for youth fund--community man-
agement information systems projects account of the Kansas endowment for youth fund for
the above agency for the fiscal year ending June 30, 2001, by any provision of chapter 132
or chapter 160 of the 1999 Session Laws of Kansas or this or other appropriation act of the
2000 regular session of the legislature, is hereby lapsed.

 (4) In addition to the other purposes for which expenditures may be made from the
children's initiatives fund for fiscal year 2001 as authorized by this or other appropriation
act of the 2000 regular session of the legislature, expenditures may be made by the above
agency from the children's initiatives fund for fiscal year 2001, from the unencumbered
balance as of July 1, 2000, in each account of the children's initiatives fund that is established
by subsection (a) and into which account moneys are transferred pursuant to this subsection
(b) and in each account of the children's initiatives fund that is established by this subsection
(b): Provided, That all expenditures from the unencumbered balance of any such account
of the children's initiatives fund shall not exceed the amount of the unencumbered balance
in such account on July 1, 2000: Provided further, That all expenditures from the unencum-
bered balance of any such account shall be in addition to any expenditure limitation imposed
on the children's initiatives fund for fiscal year 2001.

 (c) There is appropriated for the above agency from the state institutions building fund
for the fiscal year or years specified, for the capital improvement project or projects specified
as follows:

Construction/remodeling of juvenile correctional facilities--SIBF

For the fiscal year ending June 30, 2001$4,500,000
Provided, That the juvenile justice authority may make expenditures from the construction/
remodeling of juvenile correctional facilities--SIBF account to renovate or replace existing
deficient space in existing facilities, specifically including space at the Larned juvenile cor-
rectional facility and at the Topeka juvenile correctional facility, and to construct new ju-
venile correctional space.

 (d) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Construction/remodeling of juvenile correctional facilities fund

For the fiscal year ending June 30, 2001No limit
Provided, That the juvenile justice authority may make expenditures from the construction/
remodeling of juvenile correctional facilities fund for capital improvement projects to re-
model a living unit at Beloit juvenile correctional facility, construct a new medium security
juvenile correctional facility on the Larned state hospital grounds, raze and reconstruct
medium security living units at Topeka juvenile correctional facility, and construct new
maximum security buildings at Topeka juvenile correctional facility: Provided further, That
the capital improvement project to construct a new medium security juvenile correctional
facility on the Larned state hospital grounds shall include an additional 32 beds, either in
new construction of an additional 32-bed pod, or renovation of the Meyer building on the
Larned state hospital grounds, within the approved budget for such capital improvement
project: And provided further, That the juvenile justice authority is hereby authorized to
make expenditures for fiscal year 2001 to utilize the Meyer building on the Larned state
hospital grounds for relief of overcrowding: And provided further, That the capital improve-
ment project to construct new maximum security buildings at Topeka juvenile correctional
facility shall include (1) a secured commons area which shall be constructed on the east end
of the campus for institutional services which shall include, but not limited to, food and
medical services, and a visitors center, and (2) on the east side of the commons area of the
campus, facilities for (A) up to 150 maximum security beds, (B) up to 60 beds for system-
wide and facility classification and diagnostic purposes, and (C) up to 15 medical beds: And
provided further, That one superintendent shall be the chief administrative officer over all
existing, renovated, or new buildings and facilities of the Topeka juvenile correctional fa-
cility: And provided further, That the capital improvement projects to construct new max-
imum security buildings at the Topeka juvenile correctional facility, construct a new medium
security juvenile correctional facility on the Larned state hospital grounds, raze and recon-
struct medium security living units at Topeka juvenile correctional facility, and remodel a
living unit at Beloit juvenile correctional facility are hereby approved for the juvenile justice
authority for the purposes of subsection (b) of K.S.A. 74-8905 and amendments thereto and
the authorization of the issuance of bonds by the Kansas development finance authority in
accordance with that statute: Provided, however, That total expenditures from this fund for
such capital improvement projects shall not exceed $50,000,000, plus all amounts required
for cost of bond issuance, cost of interest on the bonds during the construction of the projects
and required reserves for the payment of principal and interest on the bonds: And provided
further, That all moneys received from the issuance of any such bonds shall be deposited
in the state treasury to the credit of this fund.

Construction of juvenile correctional facilities fund-- VOI/TIS

For the fiscal year ending June 30, 2001No limit
Provided, That the juvenile justice authority may make expenditures from the construction
of juvenile correctional facilities fund -- VOI/TIS to construct new maximum security build-
ings at Topeka juvenile correctional facility: Provided, however, That expenditures from this
fund to construct new maximum security buildings at Topeka juvenile correctional facility
shall not exceed $5,500,000.

 Sec. 37.

EMERGENCY MEDICAL SERVICES BOARD
 (a) There is appropriated for the above agency from the following special revenue fund
for the fiscal year or years specified, all moneys now or hereafter lawfully credited to and
available in such fund or funds, except that expenditures other than refunds authorized by
law shall not exceed the following:

Rural health options grant fund

For the fiscal year ending June 30, 2000No limit
 (b) In addition to the other purposes for which expenditures may be made by the above
agency from the KSIP account established in the state general fund for the above agency
under the Kansas savings incentive program pursuant to section 91 of chapter 132 of the
1999 Session Laws of Kansas for the fiscal year ending June 30, 2000, expenditures may be
made by the above agency from the KSIP account of the above agency in the state general
fund for fiscal year 2000 for operating expenditures: Provided, That expenditures for op-
erating expenditures from the KSIP account of the above agency in the state general fund
for fiscal year 2000 shall not exceed $34,047.

 Sec. 38.

KANSAS DEPARTMENT OF AGRICULTURE
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$17,499
 (b) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Grain commodities commission services fund

For the fiscal year ending June 30, 2001No limit
Kansas agricultural remediation board fund

For the fiscal year ending June 30, 2001$150,000
Kansas agricultural remediation fund

For the fiscal year ending June 30, 2001No limit
 (c) On July 1, 2000, the expenditure limitation established by section 61(b) of 2000 House
Substitute for Senate Bill No. 326 on the feeding stuffs fee fund is hereby increased from
$491,867 to $501,875.

 (d) On July 1, 2000, the expenditure limitation established by section 61(b) of 2000 House
Substitute for Senate Bill No. 326 on the fertilizer fee fund is hereby increased from
$417,688 to $427,765.

 (e) On July 1, 2000, the expenditure limitation established by section 61(b) of 2000 House
Substitute for Senate Bill No. 326 on the agricultural liming materials fee fund is hereby
decreased from $40,300 to $23,044.

 (f) On July 1, 2000, the expenditure limitation established by section 61(b) of 2000 House
Substitute for Senate Bill No. 326 on the warehouse fee fund is hereby increased from
$616,480 to $618,169.

 (g) On July 1, 2000, the director of accounts and reports shall transfer $1,854 from the
state water plan fund of the Kansas water office to the water plan special revenue fund of
the Kansas department of agriculture.

 (h) On July 1, 2000, the expenditure limitation established by section 61(b) of 2000 House
Substitute for Senate Bill No. 326 on expenditures from the water plan special revenue fund
for salaries and wages is hereby increased from $577,677 to $579,531.

 (i) On July 1, 2000, the appropriation of all moneys credited to and available in the Kansas
corn commission fund for the fiscal year ending June 30, 2001, by section 61(b) of 2000
House Substitute for Senate Bill No. 326 is hereby lapsed and the Kansas corn commission
fund in the state treasury is hereby abolished.

 (j) On July 1, 2000, the appropriation of all moneys credited to and available in the Kansas
grain sorghum commission fund for the fiscal year ending June 30, 2001, by section 61(b)
of 2000 House Substitute for Senate Bill No. 326 is hereby lapsed and the Kansas grain
sorghum commission fund in the state treasury is hereby abolished.

 (k) On July 1, 2000, the director of accounts and reports shall transfer $426,223 from the
grain inspection fee fund of the Kansas department of agriculture to the Kansas agricultural
remediation board fund of the Kansas department of agriculture.

 (l) On July 1, 2000, the position limitation established by section 69(a) of 2000 House
Substitute for Senate Bill No. 326 for the Kansas department of agriculture is hereby de-
creased from 305.5 to 303.2.

 (m) In addition to the other purposes for which expenditures may be made by the Kansas
department of agriculture from moneys appropriated from the state general fund or from
any special revenue fund for the fiscal year ending June 30, 2001, from which expenditures
may be made for salaries and wages, as authorized by this or other appropriation act of the
2000 regular session of the legislature, expenditures may be made by the Kansas department
of agriculture from such moneys appropriated from the state general fund or from any
special revenue fund for fiscal year 2001 for four full-time equivalent positions in the un-
classified service under the Kansas civil service act: Provided, That all such additional full-
time equivalent positions in the unclassified service under the Kansas civil service act shall
be in addition to other positions within the Kansas department of agriculture in the unclas-
sified service as prescribed by law and shall be established by the secretary of agriculture
within any position limitation established for the Kansas department of agriculture on the
number of full-time and regular part-time positions equated to full-time, excluding seasonal
and temporary positions, paid from appropriations for fiscal year 2001 made by this or other
appropriation act of the 2000 regular session of the legislature: Provided, however, That the
authority to establish such additional positions in the unclassified service shall not affect the
classified service status of any person who is an employee of the Kansas department of
agriculture and who is in a position in the classified service under the Kansas civil service
act on June 30, 2000.

 Sec. 39.

KANSAS WHEAT COMMISSION
 (a) Notwithstanding the provisions of any other statute to the contrary, during the fiscal
year ending June 30, 2000, the aggregate amount of expenditures from the Kansas wheat
commission fund by the Kansas wheat commission for the new market plan for the Kansas
wheat commission shall not exceed $463,000: Provided, That all expenditures from the
Kansas wheat commission fund by the Kansas wheat commission for the new market plan
for the Kansas wheat commission shall be within the overall expenditure limitation estab-
lished for the Kansas wheat commission fund for fiscal year 2000: Provided, however, That
the expenditure limitation established by this subsection on the aggregate amount of ex-
penditures from the Kansas wheat commission fund by the Kansas wheat commission for
the new market plan for the Kansas wheat commission for fiscal year 2000 shall not be
increased except upon specific authorization by act of the legislature and shall not be in-
creased by the state finance council: Provided further, That, on and after the effective date
of this act, the provisions of subsection (b) of section 65 of 2000 Senate Bill No. 39 are
hereby declared to be null and void and of no force and effect.

 (b) On July 1, 2000, the appropriation of all moneys credited to and available in the
Kansas wheat commission fund for the fiscal year ending June 30, 2001, by section 64(b) of
2000 House Substitute for Senate Bill No. 326 is hereby lapsed and the Kansas wheat
commission fund in the state treasury is hereby abolished.

 (c) On July 1, 2000, the appropriation of all moneys credited to and available in the wheat
research reserve fund for the fiscal year ending June 30, 2001, by section 64(b) of 2000
House Substitute for Senate Bill No. 326 is hereby lapsed and the wheat research reserve
fund in the state treasury is hereby abolished.

 Sec. 40.

STATE FAIR BOARD
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, for the capital improvement project or projects specified as follows:

ADA, EPA and fire safety compliance

For the fiscal year ending June 30, 2001$150,000
 Sec. 41.

KANSAS ANIMAL HEALTH DEPARTMENT
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$3,310
 (b) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Poultry improvements fee fund

For the fiscal year ending June 30, 2000No limit
For the fiscal year ending June 30, 2001No limit
Provided, That expenditures may be made from the poultry improvements fee fund for fiscal
year 2000 and fiscal year 2001 for operating expenditures for the disease control program
of the animal health department: Provided further, That the livestock commissioner is
hereby authorized to fix, charge and collect fees for administration and regulatory activities
under the poultry disease control act during fiscal years 2000 and 2001: And provided
further, That such fees shall be fixed in order to recover all or part of the operating expenses
incurred for administration of the poultry disease control act during fiscal years 2000 and
2001.

 Sec. 42.

STATE CONSERVATION COMMISSION
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$1,714
 Sec. 43.

KANSAS WATER OFFICE
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year ending June 30, 2001, the following:

Water resources operating expenditures

For the fiscal year ending June 30, 2001$4,185
 (b) On July 1, 2000, the expenditure limitation established by section 66(b) of 2000 House
Substitute for Senate Bill No. 326 on the state water plan fund is hereby increased from
$2,826,474 to $2,896,500.

 (c) (1) Subject to the limitations of this section, whenever it appears that the resources
in the fiscal year ending June 30, 2001, are insufficient to meet in full the estimated ex-
penditures as they become due to meet duties imposed by law on the water marketing fund
of the Kansas water office as a result of increases in water rates, fees or charges imposed
by the federal government, the pooled money investment board is authorized and directed
to loan to the director of the Kansas water office sufficient funds to reimburse the water
marketing fund for increases in water rates, fees or charges imposed by the federal govern-
ment, and to allow the Kansas water office to spread such increases to consumers over a
longer period, except that no such loan shall be made unless the terms thereof have been
approved by the state finance council acting on this matter which is hereby characterized
as a matter of legislative delegation and subject to the guidelines prescribed in subsection
(c) of K.S.A. 75-3711c and amendments thereto. The pooled money investment board is
authorized and directed to use any moneys in the operating accounts, investment accounts
or other investments of the state of Kansas to provide the funds for such loan. Each such
loan shall bear interest at a rate equal to the interest rate being paid on state inactive account
moneys at the time of the making of such loan. Such loan shall not be deemed to be an
indebtedness or debt of the state of Kansas within the meaning of section 6 of article 11 of
the constitution of the state of Kansas.

 (2) Upon certification by the pooled money investment board by the director of the Kansas
water office of the amount of each loan authorized pursuant to subsection (d)(1), the pooled
money investment board shall transfer each such amount certified by the director of the
Kansas water office from the state bank account or accounts prescribed in subsection (d)(1)
to the water marketing fund of the Kansas water office.

 (3) The principal and interest of each loan authorized pursuant to subsection (d)(1) shall
be repaid in payments payable at least annually for a period of not more than five years.

 (4) The aggregate outstanding balance of all loans pursuant to this subsection (c) shall
not exceed $1,000,000 at any one time.

 Sec. 44.

KANSAS STATE SCHOOL FOR THE BLIND
 (a) On the effective date of this act, of the $4,287,704 appropriated for the above agency
for the fiscal year ending June 30, 2000, by section 60(a) of chapter 132 of the 1999 Session
Laws of Kansas from the state general fund in the operating expenditures account, the sum
of $1,676 is hereby lapsed.

 (b) On the effective date of this act, the expenditure limitation established by section
60(b) of chapter 132 of the 1999 Session Laws of Kansas on the general fees fund is hereby
increased from $9,349 to $19,349.

 (c) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$16,472
 Sec. 45.

KANSAS STATE SCHOOL FOR THE DEAF
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$4,207
 (b) On July 1, 2000, the position limitation established by section 69(a) of 2000 House
Substitute for Senate Bill No. 326 for the Kansas state school for the deaf is hereby decreased
from 174.5 to 173.5.

 Sec. 46.

STATE HISTORICAL SOCIETY
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year and years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$14,072
 (b) On the effective date of this act, of the $6,009,530 appropriated for the above agency
for the fiscal year ending June 30, 2000, by section 62(a) of chapter 132 of the 1999 Session
Laws of Kansas from the state general fund in the operating expenditures account, the sum
of $9,667 is hereby lapsed.

 (c) On July 1, 2000, of the $5,769,882 appropriated for the above agency for the fiscal
year ending June 30, 2001, by section 40(a) of 2000 House Substitute for Senate Bill No.
326 from the state general fund in the operating expenditures account, the sum of $25,240
is hereby lapsed.

 (d) In addition to the other purposes for which expenditures may be made by the state
historical society from moneys appropriated from the state general fund or any special
revenue fund for fiscal year 2000 or fiscal year 2001 as authorized by this or other appro-
priation act of the 2000 regular session of the legislature, expenditures shall be made by the
state historical society for fiscal year 2000 and fiscal year 2001 from the moneys appropriated
from the state general fund or any special revenue fund for the following capital improve-
ment projects, in the following order of priority from the highest to the lowest priority,
subject to the aggregate expenditure limitations prescribed therefor:

First territorial capitol$71,000
Hollenberg pony express station$28,406
Shawnee Indian mission$20,000
Constitution Hall$2,200
Fort Hays blockhouse$50,000
Native American heritage museum$3,200
Provided, That no expenditures shall be made for any such project unless each of the capital
improvement projects that have a higher priority, as prescribed by this subsection, have
been initiated during fiscal years 2000 and 2001: Provided further, That expenditures for
any such project shall not exceed, in the aggregate during fiscal years 2000 and 2001, the
amount prescribed by this subsection for such project: And provided further, That, if ex-
penditures are necessary for emergency repair projects for the fiscal year 2000 or 2001,
expenditures may be made by the state historical society for the purpose of initiating and
completing such emergency repair projects at any time and notwithstanding the other pro-
visions of this subsection and the priorities for capital improvement projects prescribed by
this subsection for the state historical society.

 (e) On July 1, 2000, the position limitation established by section 69(a) of 2000 House
Substitute for Senate Bill No. 326 for the state historical society is hereby decreased from
137.5 to 136.5.

 Sec. 47.

KANSAS HUMAN RIGHTS COMMISSION
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$5,426
 (b) In addition to the other purposes for which expenditures may be made by the Kansas
human rights commission from moneys appropriated from the state general fund or any
special revenue fund for fiscal year 2000 or fiscal year 2001 as authorized by this or other
appropriation act of the 2000 regular session of the legislature, expenditures may be made
by the Kansas human rights commission for fiscal year 2000 and fiscal year 2001 from the
moneys appropriated from the state general fund or any special revenue fund for the op-
erating expenditures associated with reassigning one or more positions from the investigator
I job class to the investigator II job class and from the investigator II job class to the public
service administrator II job class, if the Kansas human rights commission determines that
such action is appropriate and adequate funds are available therefor within appropriations
for the Kansas human rights commission.

 Sec. 48.

DEPARTMENT OF HUMAN RESOURCES
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$3,884
 (b) In addition to the other purposes for which expenditures may be made by the de-
partment of human resources from moneys appropriated from any special revenue fund for
fiscal year 2000 or fiscal year 2001 as authorized by this or other appropriation act of the
2000 regular session of the legislature, expenditures may be made by the department of
human resources for fiscal year 2000 and fiscal year 2001 from the moneys appropriated
from any special revenue fund for the expenses of the sale, exchange or other disposition
conveying title for any portion or all of the real estate of the department of human resources:
Provided, That such expenditures may be made and such sale, exchange or other disposition
conveying title for any portion or all of the real estate of the department of human resources
may be executed or otherwise effectuated only upon specific authorization by the state
finance council acting on this matter, which is hereby characterized as a matter of legislative
delegation and subject to the guidelines prescribed in subsection (c) of K.S.A. 75-3711c and
amendments thereto and acting after receiving the recommendations of the joint committee
on state building construction: Provided, however, That no such sale, exchange or other
disposition conveying title for any portion of the real estate of the department of human
resources until the proposed sale, exchange or other disposition conveying title for such real
estate has been reviewed by the joint committee on state building construction: Provided
further, That the net proceeds from the sale of any of the real estate of the department of
human resources shall be deposited in the state treasury to the credit of the employment
security administration property sale fund of the department of human resources.

 (c) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Workforce investment act state operations fund

For the fiscal year ending June 30, 2000No limit
For the fiscal year ending June 30, 2001No limit
Workforce investment act non-state operations fund

For the fiscal year ending June 30, 2000No limit
For the fiscal year ending June 30, 2001No limit
Employment security administration property sale fund

For the fiscal year ending June 30, 2000No limit
For the fiscal year ending June 30, 2001No limit
Provided, That the secretary of human resources, in consultation with the secretary of ad-
ministration, is hereby authorized to make expenditures for fiscal year 2000 and fiscal year
2001 from the employment security administration property sale fund to purchase or acquire
by exchange additional real estate to provide space for the job service and unemployment
insurance programs of the department of human resources, including the initiation and
completion of capital improvements on such real estate for such purposes: Provided, how-
ever, That no expenditures shall be made from this fund for a proposed purchase or other
acquisition of additional real estate to provide space for the job service and unemployment
insurance programs of the department of human resources until such proposed purchase
or other acquisition, including the preliminary plans and program statement for any capital
improvement project that is proposed to be initiated and completed by or for the department
of human resources on such real estate for such purposes, have been reviewed by the joint
committee on state building construction.

 (d) On July 1, 2000, the position limitation established by section 69(a) of 2000 House
Substitute for Senate Bill No. 326 for the department of human resources is hereby de-
creased from 996.5 to 964.3.

 Sec. 49.

DEPARTMENT OF REVENUE--HOMESTEAD PROPERTY TAX REFUNDS
 (a) There is hereby appropriated from the state general fund for the fiscal year or years
specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2000$1,200,000
 Sec. 50.

KANSAS ARTS COMMISSION
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$1,247
 Sec. 51.  

LEGISLATIVE COORDINATING COUNCIL
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Legislative coordinating council--operations

For the fiscal year ending June 30, 2001$2,162
Legislative research department--operations

For the fiscal year ending June 30, 2001$8,223
Office of the revisor of statutes--operations

For the fiscal year ending June 30, 2001$5,300
 Sec. 52.

DIVISION OF POST AUDIT
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operations (including legislative post audit committee)

For the fiscal year ending June 30, 2001$3,890
 Sec. 53.

LEGISLATURE
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operations (including official hospitality)

For the fiscal year ending June 30, 2001$37,512
 (b) In addition to the other purposes for which expenditures may be made by the legis-
lature from the operations (including official hospitality) account of the state general fund
for fiscal year 2001, expenditures shall be made by the legislature from the operations
(including official hospitality) account of the state general fund for fiscal year 2001 for an
interim study to be conducted by the SRS transition oversight committee to study and
develop priorities for services to be provided under the home and community based services
(HCBS) waiver programs of the department of social and rehabilitation services and the
department on aging and such other matters as may be specified by the legislative coordi-
nating council.

 Sec. 54.

GOVERNOR'S DEPARTMENT
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Governor's department

For the fiscal year ending June 30, 2001$910
 Sec. 55.

UNIVERSITY OF KANSAS
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures (including official hospitality)

For the fiscal year ending June 30, 2001$33,986
Geological survey

For the fiscal year ending June 30, 2001$2,764
 (b) In addition to the other purposes for which expenditures may be made by the uni-
versity of Kansas from the restricted fees fund for fiscal year 2000, as authorized by chapter
132 or 160 of the 1999 Session Laws of Kansas or by this or other appropriation act of the
2000 regular session of the legislature, expenditures may be made by the university of Kansas
from the appropriate account or accounts of the restricted fees fund during fiscal year 2000
for the following capital improvement project or projects, subject to the expenditure limi-
tations prescribed therefor:

Renovate Strong hall west wingNo limit
 (c) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Construct student recreation center--special revenue fund

For the fiscal year ending June 30, 2001No limit
Provided, That the university of Kansas may make expenditures from the construct student
recreation center--special revenue fund for the capital improvement project to construct a
new student recreation center in addition to the expenditure of other moneys appropriated
therefor: Provided, however, That expenditures from this fund for such capital improvement
project shall not exceed $17,000,000 plus all amounts required for costs of any bond issu-
ance, costs of interest on any bond issued or obtained for such capital improvement project
and any required reserves for payment of principal and interest on any bond: Provided
further, That such capital improvement project is hereby approved for the university of
Kansas for the purposes of subsection (b) of K.S.A. 75-8905 and amendments thereto and
the authorization of the issuance of bonds by the Kansas development finance authority in
accordance with that statute: And provided further, That all moneys received from the
issuance of any such bonds shall be deposited in the state treasury to the credit of this fund.

Geological survey cost fund

For the fiscal year ending June 30, 2001No limit
 Sec. 56.

KANSAS STATE UNIVERSITY
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures (including official hospitality)

For the fiscal year ending June 30, 2001$95,819
 Sec. 57.

KANSAS STATE UNIVERSITY EXTENSION SYSTEMS
AND AGRICULTURE RESEARCH PROGRAMS
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures (including official hospitality)

For the fiscal year ending June 30, 2001$62,063
Cooperative extension service (including official hospitality)

For the fiscal year ending June 30, 2001$113,996
Agricultural experiment stations (including official hospitality)

For the fiscal year ending June 30, 2001$18,431
 Sec. 58.

KANSAS STATE UNIVERSITY VETERINARY MEDICAL CENTER
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures (including official hospitality)

For the fiscal year ending June 30, 2001$12,854
 Sec. 59.

WICHITA STATE UNIVERSITY
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures (including official hospitality)

For the fiscal year ending June 30, 2001$50,967
 Sec. 60.

DEPARTMENT OF EDUCATION
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures (including official hospitality)

For the fiscal year ending June 30, 2001$212,444
School district juvenile detention facilities and Flint Hills job corps center grants

For the fiscal year ending June 30, 2001$870,931
KPERS--employer contributions

For the fiscal year ending June 30, 2001$3,924,071
Provided, That, as a condition of such grant, the Kansas cultural heritage and arts center
shall develop a plan exploring the feasibility of affiliating with a state agency that has as its
mission historical preservation and research and shall present such plan to the legislature
at the beginning of the 2001 regular session.

Mentor teacher program grants

For the fiscal year ending June 30, 2001$1,000,000
Provided, That expenditures shall be made from the mentor teacher program grants account
of the state department of education for payment of stipends to mentor teachers in accord-
ance with the provisions of 2000 Senate Bill No. 432.

Environmental education program

For the fiscal year ending June 30, 2001$30,000
Governor's teaching excellence awards

For the fiscal year ending June 30, 2001$5,000
Any unencumbered balance in excess of $100 as of June 30, 2000, in each of the following
accounts is hereby reappropriated for FY 2001: Supplemental general state aid.

 (b) On July 1, 2000, of the $1,813,086,000 appropriated for the above agency for the
fiscal year ending June 30, 2001, by section 35(a) of 2000 House Substitute for Senate Bill
No. 326 from the state general fund in the general state aid account, the sum of $12,746,896
is hereby lapsed.

 (c) On July 1, 2000, of the $81,779,000 appropriated for the above agency for the fiscal
year ending June 30, 2001, by section 35 (a) of 2000 House Substitute for Senate Bill No.
326 from the state general fund in the supplemental general state aid account, the sum of
$4,052,365 is hereby lapsed.

 (d) On July 1, 2000, of the $59,000 appropriated for the above agency for the fiscal year
ending June 30, 2001, by section 35(a) of 2000 House Substitute for Senate Bill No. 326
from the state general fund in the governor's teaching excellence scholarships account, the
sum of $5,000 is hereby lapsed.

 (e) On July 1, 2000, the expenditure limitation established by section 35(a) of 2000 House
Substitute for Senate Bill No. 326 on expenditures from the reappropriated balance in the
KPERS--employer contributions account of the state general fund is hereby increased from
$504,371 to $2,092,433.

 (f) Any unencumbered balance in the general state aid account of the state general fund
of the department of education in excess of $100 as of June 30, 2000, is hereby reappro-
priated in the general state aid account of the state general fund of the department of
education for fiscal year 2001: Provided, That the amount reappropriated from such unen-
cumbered balance shall not exceed $13,841,896 and any additional remaining amount in
such unencumbered balance for general state aid shall not be reappropriated and is hereby
lapsed: Provided, however, That expenditures from such reappropriated balance shall not
exceed $11,841,896 except upon approval of the state finance council: Provided, further,
That any portion of the amount of such reappropriated balance in excess of $11,841,896
shall be transferred to the inservice education aid account of the state general fund of the
department of education to be used to fund approved inservice education programs as
authorized by K.S.A. 72-9601 et seq., and amendments thereto: And provided further, That
the amount transferred to the inservice education aid account from such unencumbered
balance under this subsection (f)(2) shall not exceed $2,000,000.

 (g) (1) On the effective date of this act, the appropriation of all moneys credited to and
available in the flexible spending fund--general state aid of the above agency for the fiscal
year ending June 30, 2001, by section 35(a) of 2000 House Substitute for Senate Bill No.
326 is hereby lapsed.

 (2) The director of accounts and reports shall not make the transfer on July 1, 2000, or
as soon thereafter as moneys are available, of $7,761,000 from the flexible spending fund
of the department of administration to the flexible spending fund--general state aid of the
department of education pursuant to section 35(e) of 2000 House Substitute for Senate Bill
No. 326 and the provisions of section 35(e) of 2000 House Substitute for Senate Bill No.
326 are hereby declared to be void and of no force and effect.

 (h) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified, all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law shall not exceed the following:

Grant for Kansas cultural heritage center fund

For the fiscal year ending June 30, 2001$100,000
Economic development initiatives fund

For the fiscal year ending June 30, 2001$50,000
Provided, That no expenditures shall be made from the economic development initiatives
fund of the department of education other than for purposes specifically authorized by this
or other appropriation act: Provided, however, That expenditures may be made by the
department of education for fiscal year 2001 from the economic development initiatives
fund for the following purposes, subject to the expenditure limitation prescribed therefor:

Challenger project$50,000
 (i) On July 1, 2000, or as soon after such date as moneys are available, the director of
accounts and reports shall transfer $50,000 from the Kansas economic development endow-
ment account of the state economic development initiatives fund of the department of
commerce and housing to the economic development initiatives fund of the department of
education.

 (j) In addition to the other purposes for which expenditures may be made from the
children's initiatives fund for fiscal year 2001, expenditures may be made by the above
agency from the children's initiatives fund for fiscal year 2001 for the following specified
purposes subject to the expenditure limitations prescribed therefor:

Children's initiatives fund--grant to the Kansas optometric associationfor vision study$250,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--grant to the Kansas optometric asso-
ciation for vision study account shall be in addition to any expenditure limitation imposed
on the children's initiatives fund for fiscal year 2001: Provided further, That all expenditures
from the children's initiatives fund--grant to the Kansas optometric association for vision
study account shall be for a grant to the Kansas optometric association to conduct a pilot
study of vision problems known as convergence insufficiency and convergence excess, ac-
commodative insufficiency, and ocular motor dysfunction and their relationship to academic
performance and special education referral for students in early elementary grades: And
provided further, That the Kansas optometric association shall make a progress report to
the legislature during the 2001 regular session and a final report to the legislative budget
committee and governor on or before September 1, 2001.

Children's initiatives fund--parent education program$1,500,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--parent education program account
shall be in addition to any expenditure limitation imposed on the children's initiatives fund
for fiscal year 2001: Provided, however, That all expenditures from the children's initiatives
fund--parent education program account for each grant under the parent education pro-
gram shall be matched by the school district in an amount which is equal to not less than
65% of the grant.

Children's initiatives fund--general state aid four-year-old at-risk$1,000,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--general state aid four-year-old at-risk
account shall be in addition to any expenditure limitation imposed on the children's initia-
tives fund for fiscal year 2001.

Children's initiatives fund--school violence prevention$500,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--school violence prevention account
shall be in addition to any expenditure limitation imposed on the children's initiatives fund
for fiscal year 2001.

 (k) (1) On July 1, 2000, the director of accounts and reports shall transfer all moneys
credited as of June 30, 2000, in the Kansas endowment for youth fund--parent education
program account of the Kansas endowment for youth fund to the children's initiatives fund--
parent education program account in the children's initiatives fund established by subsection
(j). On July 1, 2000, and after such transfer, (A) all encumbrances and other liabilities of
the Kansas endowment for youth fund--parent education program account of the Kansas
endowment for youth fund are hereby transferred to and imposed upon the children's
initiatives fund--parent education program account in the children's initiatives fund, (B)
the Kansas endowment for youth fund--parent education program account of the above
agency in the Kansas endowment for youth fund is hereby abolished, and (C) any appro-
priation of moneys in the Kansas endowment for youth fund--parent education program
account of the Kansas endowment for youth fund for the above agency for the fiscal year
ending June 30, 2001, by any provision of chapter 132 or chapter 160 of the 1999 Session
Laws of Kansas or this or other appropriation act of the 2000 regular session of the legis-
lature, is hereby lapsed.

Children's initiatives fund--communities in schools program fund$125,000
Provided, That all expenditures by the above agency from the children's initiatives fund for
fiscal year 2001 from the children's initiatives fund--communities in schools program fund
account shall be in addition to any expenditure limitation imposed on the children's initia-
tives fund for fiscal year 2001.

Children's initiatives fund--mentoring program grants$500,000
Provided, That expenditures shall be made by the department of education from the men-
toring program grants account for grants to school districts to provide for mentoring pro-
grams in reading, mathematics and language arts: Provided further, That receipt of a men-
toring program grant shall be conditioned upon the school district providing the legislature
by the end of the 2001 session with longitudinal data as the state department of education
requires, including special education enrollment as a percentage of district-wide enrollment
for at least five years prior to the implementation of a mentoring program grant, and the
effect, if any, of implementation of the program on the percentage of special education
enrollment to district-wide enrollment.

 (2) On July 1, 2000, the director of accounts and shall transfer all moneys credited as of
June 30, 2000, in the Kansas endowment for youth fund--national geographic society ed-
ucation foundation endowment account of the Kansas endowment for youth fund to the
children's initiatives fund--national geographic society education foundation endowment
account in the children's initiatives fund, which is hereby established. On July 1, 2000, and
after such transfer, (A) all encumbrances and other liabilities of the Kansas endowment for
youth fund--national geographic society education foundation endowment account of the
Kansas endowment for youth fund are hereby transferred to and imposed upon the chil-
dren's initiatives fund--national geographic society education foundation endowment ac-
count in the children's initiatives fund, (B) the Kansas endowment for youth fund--national
geographic society education foundation endowment account of the above agency in the
Kansas endowment for youth fund is hereby abolished, and (C) any appropriation of moneys
in the Kansas endowment for youth fund--national geographic society education foundation
endowment account of the Kansas endowment for youth fund for the above agency for the
fiscal year ending June 30, 2001, by any provision of chapter 132 or chapter 160 of the 1999
Session Laws of Kansas or this or other appropriation act of the 2000 regular session of the
legislature, is hereby lapsed.

 (3) On July 1, 2000, the director of accounts and reports shall transfer all moneys credited
as of June 30, 2000, in the Kansas endowment for youth fund--experimental wraparound
Kansas project account of the Kansas endowment for youth fund to the children's initiatives
fund--experimental wraparound Kansas project account in the children's initiatives fund,
which is hereby established. On July 1, 2000, and after such transfer, (A) all encumbrances
and other liabilities of the Kansas endowment for youth fund--experimental wraparound
Kansas project account of the Kansas endowment for youth fund are hereby transferred to
and imposed upon the children's initiatives fund--experimental wraparound Kansas project
account in the children's initiatives fund, (B) the Kansas endowment for youth fund--
experimental wraparound Kansas project account of the above agency in the Kansas endow-
ment for youth fund is hereby abolished, and (C) any appropriation of moneys in the Kansas
endowment for youth fund--experimental wraparound Kansas project account of the Kansas
endowment for youth fund for the above agency for the fiscal year ending June 30, 2001,
by any provision of chapter 132 or chapter 160 of the 1999 Session Laws of Kansas or this
or other appropriation act of the 2000 regular session of the legislature, is hereby lapsed.

 (4) In addition to the other purposes for which expenditures may be made from the
children's initiatives fund for fiscal year 2001 as authorized by this or other appropriation
act of the 2000 regular session of the legislature, expenditures may be made by the above
agency from the children's initiatives fund for fiscal year 2001, from the unencumbered
balance as of July 1, 2000, in each account of the children's initiatives fund that is established
by subsection (j) and into which moneys are transferred pursuant to this subsection (k) and
in each account of the children's initiatives fund that is established by this subsection (k):
Provided, That all expenditures from the unencumbered balance of any such account of the
children's initiatives fund shall not exceed the amount of the unencumbered balance in such
account on July 1, 2000: Provided further, That all expenditures from the unencumbered
balance of any such account shall be in addition to any expenditure limitation imposed on
the children's initiatives fund for fiscal year 2001.

 (l) On July 1, 2000, or as soon thereafter as moneys are available, the director of accounts
and reports shall transfer $100,000 from the state highway fund of the department of trans-
portation to the grant for the Kansas cultural heritage center fund of the department of
education for the purpose of developing the Dodge City train depot as a historical trans-
portation site.

 (m) In addition to the directives provided in section 35(a) of 2000 House Substitute for
Senate Bill No. 326 for expenditures from the special education services aid account of the
above agency, fully-trained reading recovery teacher leaders, selected by the agency in
accordance with established criteria, shall be considered to be special teachers as defined
in subsection (j)(1) of K.S.A. 72-962 and amendments thereto for the purpose of determining
amounts of payments to be made to school districts in accordance with the provisions of
K.S.A. 72-978 and amendments thereto from the amount remaining in the special education
services aid account after deduction of expenditures made in accordance with the provisions
of K.S.A. 1999 Supp. 72-893 and amendments thereto: Provided, however, That expendi-
tures for fully-trained reading recovery teacher leaders considered to be special teachers
shall not exceed $160,000: Provided, That consideration of reading recovery teacher leaders
as special teachers for determination of the amount of the special education services aid of
a school district shall be conditioned upon the school district providing the legislature by
the end of the 2001 session with longitudinal data as the state department of education
requires, including special education enrollment as a percentage of district-wide enrollment
for at least five years prior to implementation of a reading recovery program and the effect,
if any, of implementation of the program on the percentage of special education enrollment
to district-wide enrollment.

 Sec. 61.

JUDICIAL BRANCH
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Judiciary operations

For the fiscal year ending June 30, 2001$155,551
 (b) There is appropriated for the above agency from the following special revenue fund
or funds for the fiscal year or years specified all moneys now or hereafter lawfully credited
to and available in such fund or funds, except that expenditures other than refunds author-
ized by law and transfers to other state agencies shall not exceed the following:

Judicial branch nonjudicial salary initiative fund

For the fiscal year ending June 30, 2001$3,900,000
 Sec. 62.

ATTORNEY GENERAL
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures

For the fiscal year ending June 30, 2001$9,313
 (b) In addition to the other purposes for which expenditures may be made by the attorney
general from the moneys received pursuant to K.S.A. 23-128a, and amendments thereto,
and credited to the crime victims assistance fund and appropriated in the crime victims
assistance fund for fiscal year 2001, as authorized by this or other appropriation act of the
2000 regular session of the legislature, expenditures shall be made by the attorney general
from such moneys appropriated in the crime victims assistance fund for fiscal year 2001 and
which are not needed for use as matching funds for meeting any federal requirement for
the purposes of establishing child exchange and visitation centers pursuant to K.S.A. 1999
Supp. 75-720 and amendments thereto, for salary and wages and other operating expendi-
tures for the statewide DARE (Drug Abuse Resistance Education) coordinator and staff
provided for in K.S.A. 1999 Supp. 75-721 and amendments thereto: Provided, That such
expenditures for salaries and wages and other operating expenditures for the statewide
DARE (Drug Abuse Resistance Education) coordinator and staff provided for in K.S.A.
1999 Supp. 75-721 and amendments thereto shall not exceed $159,956: Provided further,
That such expenditures may include expenditures for official hospitality for training session:
And provided further, That the attorney general shall report to the 2001 legislature on
available research that documents the effectiveness of the DARE program nationwide and
on efforts to develop data on the effectiveness of the DARE program that is specific to
Kansas.

 (c) On July 1, 2000, the director of accounts and reports shall transfer all moneys credited
as of June 30, 2000, in the Kansas endowment for youth fund--DARE (Drug Abuse Resis-
tance Education) coordinator, support staff, training and program expenditures account of
the Kansas endowment for youth fund to the children's initiatives fund. On July 1, 2000,
and after such transfer, (A) all encumbrances and other liabilities of the Kansas endowment
for youth fund--DARE (Drug Abuse Resistance Education) coordinator, support staff,
training and program expenditures account of the Kansas endowment for youth fund are
hereby transferred to and imposed upon the children's initiatives fund, (B) the Kansas
endowment for youth--DARE (Drug Abuse Resistance Education) coordinator, support
staff, training and program expenditures account of the above agency in the Kansas endow-
ment for youth fund is hereby abolished, and (C) any appropriation of moneys in the Kansas
endowment for youth fund--DARE (Drug Abuse Resistance Education) coordinator, sup-
port staff, training and program expenditures account of the Kansas endowment for youth
fund for the above agency for the fiscal year ending June 30, 2001, by any provision of
chapter 132 or chapter 160 of the 1999 Session Laws of Kansas or this or other appropriation
act of the 2000 regular session of the legislature, is hereby lapsed.

 Sec. 63.

DEPARTMENT OF HEALTH AND ENVIRONMENT
 (a) There is appropriated for the above agency from the state general fund for the fiscal
year or years specified, the following:

Operating expenditures (including official hospitality)

For the fiscal year ending June 30, 2001$87,698
Provided, That any unencumbered balance in excess of $100 as of June 30, 2000, in the
salaries and wages account, any unencumbered balance in excess of $100 as of June 30,
2000, in the other operating expenditures (including official hospitality) account, any unen-
cumbered balance in excess of $100 as of June 30, 2000, in the salaries and wages for swine
production facility inspectors account, any unencumbered balance in excess of $100 as o